North Carolina Statutes
§ 53-263 — Limits on borrowers' liability
(a)When a reverse mortgage loan becomes due, if the borrower mortgaged one hundred percent (100%) of the full value of the house then the amount owed by the borrower shall not be greater than (i) the fair market value of the house, minus sale costs, or (ii) the outstanding balance of the loan, whichever amount is less.
(b)If the borrower mortgaged less than one hundred percent (100%) of the full value of the house, the amount owed by the borrower shall not be greater than (i) the outstanding balance of the loan, or (ii) the percentage of the fair market value, minus sale costs, as provided in the contract, whichever amount is less.
(c)The lender shall enforce the debt only through the sale of the property and shall not obtain a deficiency judgment against the borrower. (1991, c. 546, s.
Free access — add to your briefcase to read the full text and ask questions with AI
North Carolina § 53-263 (Limits on borrowers' liability) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.
Nearby Sections
15
§ 53-136
Industrial bank defined§ 53-137
Manner of organization§ 53-138
Corporate title§ 53-139
Capital stock§ 53-141
Powers§ 53-142
Restriction on powers§ 53-144
Supervision and examination§ 53-158.10
Definitions