1. Regulations
  2. title 7
  3. chapter VII
  4. part 764
  5. subpart E
  6. § 764.205

View all text of Subpart E [§ 764.201 - § 764.230]

§ 764.205 - Security requirements.

A Down payment loan must:

(a) Be secured in accordance with §§ 764.103 through 764.106;

(b) Be secured by a lien on the property being acquired with the loan funds and junior only to the party financing the balance of the purchase price.

[72 FR 63298, Nov. 8, 2007, as amended at 73 FR 74345, Dec. 8, 2008; 86 FR 43392, Aug. 9, 2021]

AUTHORITY: 5 U.S.C. 301 and 7 U.S.C. 1989.

SOURCE: 72 FR 63298, Nov. 8, 2007, unless otherwise noted.

CITE AS: 7 CFR 764.205