As used in this article, unless the context otherwise requires:
(1) “Borrower” means the person receiving cash advances pursuant to the terms of and obligated
for repayment of a reverse mortgage. “Person” includes plural as well as singular.
(2) “Independent counseling” means counseling by a person unaffiliated with the lender, including but not limited
to a housing counseling agency approved by the United States department of housing
and urban development.
(3) “Lender” means a bank, savings and loan association, or credit union organized under the
laws of the United States or the state of Colorado or a person who regularly makes
loans or advances secured by interests in residential real property.
(4) “Reverse mortgage” means a written instrument evidencing or creating a nonrecourse loan secured by
real property which:
(a) Provides cash advances, whether in the form of a lump sum, periodic payments,
a line of credit, or other similar methods, or a combination thereof, to a borrower
based on the equity in the borrower's owner-occupied principal residence, which periodic
payments may be derived from an annuity purchased with such cash advances;
(b) Requires no partial or other payment of principal or interest until the entire
loan becomes due and payable; and
(c) Is made by any lender as defined in subsection (3) of this section.
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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