As used in Rules 0770-1-2-.01 through .21
of these regulations, the following terms shall have the meanings indicated:
Home. A fee simple or
eligible leasehold interest in an owner occupied dwelling as defined in T.C.A.
§13-23-117 which is located in the State of Tennessee and
used as the mortgagor's residence. It shall include a one family unit in a
condominium multi-family project together with an undivided interest in the
common elements and limited common elements in such condominium
Building. A newly-constructed or previously occupied home.
Leasehold Interest. A
leasehold under a lease the original term of which is for a period longer than
15 years and has a remaining term at least 17 years longer than the repayment
period of the loan.
Common Elements. Those common elements described in the Master
Deed of a condominium project duly constituted pursuant to the Horizontal
Property Act of the State of Tennessee.
Limited Common Elements. Those limited common
elements described in the Master Deed of a condominium project duly constituted
pursuant to the Horizontal Property Act of the State of Tennessee.
Maturity. The date on
which the mortgage indebtedness would be liquidated if paid in accordance with
periodic payments provided for in the loan documents.
Security for a loan, which constitutes a first lien on a fee interest or
eligible leasehold interest in a home, the sufficiency of which security is
insured by a policy of insurance or guaranty written by a qualified insurer.
The term mortgage shall include a deed of trust. For the purposes of this
program and these regulations an insured mortgage shall also mean security for
a loan, which security constitutes a first lien on a fee interest or eligible
leasehold interest on a home in which the borro25.equitywer owns, or is
''prepared to own by use of a cash down payment'', at least 25% equity in the
property based on its appraisal value or the sale price, whichever is the
Insurer. Any public or private entity qualified to insure the
sufficiency of or to guarantee mortgages in Tennessee and approved by the
Agency. The Executive Director will review and certify from time to time those
entities who meet the requirements of being a ''qualified insurer''.
borrower under a mortgage and the heirs, executors, administrators and
The owner of a fully marketable title. Also, the holder of a life estate having
the usual rights of present possession, control and beneficial use of the
property. A reminaderman is not an owner.
Originating Agent. A
qualified lender, as defined in T.C.A. §13-23-103(4),
which either is an FHA or VA approved mortgagee or supervised by a state or
federal regulatory body, and which has entered into a Working Agreement to
originate and process Homeownership Loans for the Agency.
Eligible Servicer. An
Eligible Servicer is any financial institution which is an FHA or VA approved
mortgagee, or an approved Seller-Servicer of the Federal National Mortgage
Association or the Federal Home Loan Mortgage Corporation, and which is located
and authorized to do business in the State of Tennessee and which is approved
by the Agency.