Texas Government Code 2306.295 – Rules Governing Purchase and Sale of Mortgage Loans
Terms Used In Texas Government Code 2306.295
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Mortgage loan: A loan made by a lender to a borrower for the financing of real property. Source: OCC
The department shall adopt rules governing the purchase and sale of mortgage loans and the application of sale proceeds, including rules governing:
(1) procedures for submitting requests or inviting proposals for the purchase and sale of mortgage loans or interest in the mortgage loans;
(2) restrictions on the number of family units, location, or other qualifications of residences to be financed by residential mortgage loans;
(3) income limits of individuals and families of low and very low income or families of moderate income occupying a residence financed by a residential mortgage loan;
(4) restrictions relating to the interest rates on mortgage loans or the return realized by mortgage lenders;
(5) requirements for commitments by mortgage lenders relating to mortgage loans;
(6) schedules of fees and charges necessary for expenses and reserves of the housing finance division;
(7) resale of the housing development; and
(8) any other matter related to the power of the department to purchase and sell mortgage loans or interests in mortgage loans.