Section 208-620-800 - What definitions are applicable to proprietary reverse mortgage products under the act?(1) Advance. A payment from the lender to the borrower.(2) "FHA-approved reverse mortgage" means a "home equity conversion mortgage" or other reverse mortgage product guaranteed or insured by the federal department of Housing and Urban Development.(3) "Owner-occupied residence" is the borrower's residence and includes a life estate property the legal title for which is held in the name of the borrower in a reverse mortgage transaction or in the name of a trust, provided the occupant of the property is the beneficiary of that trust.(4) "Proprietary reverse mortgage loan" is any reverse mortgage loan product that is not a home equity conversion mortgage loan or other federally guaranteed or insured loan.(5) "Reverse mortgage broker or lender" means a licensee under the Washington state Consumer Loan Act, chapter 31.04 RCW, or a person exempt from licensing pursuant to federal law.(6)"Reverse mortgage loan" means a nonrecourse consumer credit obligation in which: (a) A mortgage, deed of trust, or equivalent consensual security interest is created in the borrower's dwelling securing one or more advances;(b) Any principal, interest, or shared appreciation or equity is due and payable, other than in the case of default, only after:(ii) The dwelling is transferred; or (iii) The consumer ceases to occupy the dwelling as a dwelling; and(c) The broker or lender is licensed under Washington state law or exempt from licensing under federal law.Wash. Admin. Code § 208-620-800
Amended by WSR 16-08-026, Filed 3/30/2016, effective 4/30/2016Statutory Authority: RCW 43.320.040, 31.04.165, 2009 c 120, and 2009 c 149. 09-24-090, § 208-620-800, filed 12/1/09, effective 1/1/10.