OAR 813-020-0055: Mortgage Loans

(1) A mortgage loan under the Program, “Mortgage Loan”, is eligible for purchase by the Department if: (a) The borrower holds title to the property in fee simple or in another form of ownership acceptable to the Department; and (b) The Mortgage Loan meets the requirements set forth in the OHCS Oregon Bond and Flex Lending FirstHome Guideline Manual. (2) A Mortgage Loan is subject to repayment if the Approved Lender, the Department, the Servicer, or the Department's Servicer determines that the borrower was ineligible at the time the Mortgage Loan was made. (3) A second Mortgage Loan may be made to borrowers in conjunction with a FirstHome product. (a) Eligibility requirements for the second Mortgage Loan product follow the same eligibility requirements for the first Mortgage Loan; and (b) The second Mortgage Loan shall assume second lien position behind the first Mortgage Loan.