Michigan Laws 445.1621 – Definitions
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As used in this act:
(a) “Assumed” means transfers of real property subject to a real property loan by assumptions, land contracts, wrap-around loans, or transfers subject to the mortgage or similar lien, and other like transfers.
Terms Used In Michigan Laws 445.1621
- Assumed: means transfers of real property subject to a real property loan by assumptions, land contracts, wrap-around loans, or transfers subject to the mortgage or similar lien, and other like transfers. See Michigan Laws 445.1621
- Contract: A legal written agreement that becomes binding when signed.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Equitable: Pertaining to civil suits in "equity" rather than in "law." In English legal history, the courts of "law" could order the payment of damages and could afford no other remedy. See damages. A separate court of "equity" could order someone to do something or to cease to do something. See, e.g., injunction. In American jurisprudence, the federal courts have both legal and equitable power, but the distinction is still an important one. For example, a trial by jury is normally available in "law" cases but not in "equity" cases. Source: U.S. Courts
- Fixed Rate: Having a "fixed" rate means that the APR doesn't change based on fluctuations of some external rate (such as the "Prime Rate"). In other words, a fixed rate is a rate that is not a variable rate. A fixed APR can change over time, in several circumstances:
- You are late making a payment or commit some other default, triggering an increase to a penalty rate
- The bank changes the terms of your account and you do not reject the change.
- The rate expires (if the rate was fixed for only a certain period of time).
- Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Lender: means a person or governmental agency, other than the Michigan state housing development authority, making real property loans, including, but not limited to, an individual, a federal or state chartered savings and loan association or savings bank, a state or national bank, a federal or state chartered credit union, an insurance company, or other lender approved as a mortgagee under the national housing act, 12 U. See Michigan Laws 445.1621
- Lien: A claim against real or personal property in satisfaction of a debt.
- Loan secured by a lien on real property: means a loan on the security of any instrument which makes the interest in real property specific security for the payment of the obligation secured by the instrument. See Michigan Laws 445.1621
- Loan secured by a lien on stock in a residential cooperative housing corporation: means a loan on the security of the following:
(i) A security interest in stock or a membership certificate issued to a tenant stockholder or resident member by a cooperative housing organization. See Michigan Laws 445.1621Mortgage: The written agreement pledging property to a creditor as collateral for a loan. Mortgagee: The person to whom property is mortgaged and who has loaned the money. National Bank: A bank that is subject to the supervision of the Comptroller of the Currency. The Office of the Comptroller of the Currency is a bureau of the U.S. Treasury Department. A national bank can be recognized because it must have "national" or "national association" in its name. Source: OCC Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period. person: may extend and be applied to bodies politic and corporate, as well as to individuals. See Michigan Laws 8.3l Personal property: All property that is not real property. Real property: Land, and all immovable fixtures erected on, growing on, or affixed to the land. Real property loan: means a loan, mortgage, advance, or credit sale secured by a lien on real property, on the stock allocated to a dwelling unit in a cooperative housing corporation, or on a residential manufactured home, whether real or personal property. See Michigan Laws 445.1621 Residential manufactured home: means a manufactured home as defined in section 603(6) of the national manufactured housing construction and safety standards act of 1974, 42 U. See Michigan Laws 445.1621 Residential window period loan: means a window period loan which is 1 of the following:
(i) A loan secured by a lien on real property intended for occupancy by not more than 4 families. See Michigan Laws 445.1621state: when applied to the different parts of the United States, shall be construed to extend to and include the District of Columbia and the several territories belonging to the United States; and the words "United States" shall be construed to include the district and territories. See Michigan Laws 8.3o Window period loan: means a real property loan which was made or assumed during a period beginning on January 5, 1977, and ending on October 15, 1982, other than a real property loan originated by a federal savings and loan association, a federal savings bank, a national bank, or a federally chartered credit union. See Michigan Laws 445.1621
(b) “Blended rate period” means a period of time commencing on the date that a residential window period loan contract is amended as provided in Section 4 and ending either on a date selected by the lender at least 3 years after the period commences or on the date the loan was originally scheduled to become due and payable in full, whichever date is earlier.
(c) “Due-on-sale clause” means a contract provision which authorizes the lender, at its option, to declare due and payable sums secured by the lender’s security instrument if all or any part of the property, or an interest in the property, securing the real property loan is sold or transferred without the lender’s prior written consent.
(d) “FHLBB mortgage index rate” means the national average contract interest rate on conventional 25 plus year fixed rate mortgages charged by all major lenders on mortgage loans for previously occupied homes, as most recently published by the federal home loan bank board in its journal or news releases.
(e) “Lender” means a person or governmental agency, other than the Michigan state housing development authority, making real property loans, including, but not limited to, an individual, a federal or state chartered savings and loan association or savings bank, a state or national bank, a federal or state chartered credit union, an insurance company, or other lender approved as a mortgagee under the national housing act, 12 U.S.C. § 1701 to 1750g; a manufactured housing retailer which extends credit; or any assignee or transferee, in whole or in part, of such a person or agency. Lender does not include an individual, with respect to a real property loan made by that individual, if during the calendar year in which that real property loan is made, the individual makes not more than 1 other real property loan.
(f) “Loan secured by a lien on real property” means a loan on the security of any instrument which makes the interest in real property specific security for the payment of the obligation secured by the instrument.
(g) “Loan secured by a lien on stock in a residential cooperative housing corporation” means a loan on the security of the following:
(i) A security interest in stock or a membership certificate issued to a tenant stockholder or resident member by a cooperative housing organization.
(ii) An assignment of the borrower’s interest in the proprietary lease of occupancy agreement issued by such organization.
(h) “Loan secured by a lien on a residential manufactured home, whether real or personal property” means a loan made pursuant to an agreement by which the party extending the credit acquires a security interest in the residential manufactured home.
(i) “Real property loan” means a loan, mortgage, advance, or credit sale secured by a lien on real property, on the stock allocated to a dwelling unit in a cooperative housing corporation, or on a residential manufactured home, whether real or personal property.
(j) “Residential manufactured home” means a manufactured home as defined in section 603(6) of the national manufactured housing construction and safety standards act of 1974, 42 U.S.C. § 5402(6), which is used as a residence.
(k) “Residential window period loan” means a window period loan which is 1 of the following:
(i) A loan secured by a lien on real property intended for occupancy by not more than 4 families.
(ii) A loan secured by a lien on stock in a residential cooperative housing corporation.
(iii) A loan secured by a lien on a residential manufactured home, whether real or personal property.
(l) “Sale or transfer” means the conveyance of property, or of any right, title, or interest in property, whether legal or equitable, whether voluntary or involuntary, by outright sale, deed, installment sale contract, land contract, contract for deed, leasehold interest with a term greater than 3 years, lease option contract, or any other method of conveyance of real property interest.
(m) “Window period loan” means a real property loan which was made or assumed during a period beginning on January 5, 1977, and ending on October 15, 1982, other than a real property loan originated by a federal savings and loan association, a federal savings bank, a national bank, or a federally chartered credit union. A lender’s identity with respect to a window period loan shall be the lender’s identity on the date the loan was originated.