Current through January 8, 2025
Section 0775-01-.02 - DEFINITIONS(1) "Act" means the Tennessee Housing Rehabilitation Corporation Act, T.C.A. 13-2201-2214, as amended;(2) "Board of Directors" means the Board of Directors of the Tennessee Housing Rehabilitation Corporation pursuant to T.C.A. 13-2203(a);(3) "Certificate of Insurance" means the document issued to the approved mortgagee by the Corporation, subsequent to the satisfaction of all conditions of the commitment to insure for a subject mortgage loan and upon payment of the required premium, which shall bind the mortgagee and the Corporation according to the terms and conditions of the master policy;(4) "Commitment to Insure" means the document issued approving a subject mortgage loan for THRC mortgage insurance contingent upon satisfaction of, or compliance with, all terms and conditions contained therein and the payment of the required premium;(5) "Contract of THRC Mortgage Insurance" means the agreement between the approved mortgagee and the Corporation insuring a mortgage loan approved for said insurance as evidenced by the "Certificate of Insurance" issued for the subject mortgage loan according to the terms and conditions of the "Master Policy";(6) "Corporation" means the Tennessee Housing Rehabilitation Corporation created and established pursuant to T.C.A. Section 13-2203;(7) "Cost of Rehabilitation" means the sum total of the costs incurred by an owner and approved by the Corporation as reasonable and necessary for carrying out the rehabilitation of housing accommodations. These costs may include property acquisition, interim financing, refinancing, plans and specifications, architectural, legal and engineering services, labor, materials, supplies and all other services;(8) "Default" means the failure of a mortgagor to make any required payment, in full, or to perform any other obligation under the insured mortgage where such failure has continued for a period of thirty (30) consecutive days. Sixty (60) days in default means the failure of a mortgagor to make two (2) such required payments or to perform any other obligation pursuant to the insured mortgage where such failure has continued for sixty (60) consecutive days.(9) "President" means the chief executive officer of the Corporation as provided in T.C.A. 13-2203(d);(10) "Financial Institution" or "Mortgage Lender" means any commercial bank, trust company, national banking association, savings and loan association, federal savings and loan association, credit union, federal credit union, insurance company, pension fund or retirement system, or any other individual, partnership, trust, association or corporation which is authorized to transact business in this State and which is approved by the Corporation as eligible for mortgage insurance hereunder; "Financial Institution" or "Mortgage Lender" includes the Tennessee Housing Development Agency, the Federal Home Loan Mortgage Corporation and the Federal National Mortgage Association.(11) "Housing Accommodation" means any building or structure, or portion thereof, and facilities incidental thereto, which is occupied or used, or is intended to be occupied or used, as the residence or home of one or more persons or families;(12) "Master Policy" means the document issued subsequent to the approval of an eligible mortgage lender to participate in the THRC mortgage insurance programs, stating the terms and conditions under which approved mortgage loans may be insured by the Corporation;(13) "Mortgage" or "Insurable Mortgage" means a mortgage loan and deed of trust, or other instrument, securing a loan for the "cost of rehabilitation", which constitutes a first lien on improvements and real property in this State at the time a mortgage insurance certificate is issued, held in fee simple or on a leasehold under a lease having a remaining term of at least twenty percent (20%) greater duration than the remaining term of the loan obligation secured by such mortgage deed of trust. Such lease shall have a minimum remaining term of five (5) years and shall otherwise conform to the provisions of T.C.A. 64-701;(14) "Mortgage Insurance Fund" means the mortgage insurance fund established pursuant to T.C.A. 13-2205;(15) "Mortgage Insurance Fund Requirement" means the mortgage insurance fund requirement established pursuant to T.C.A. 13-2201(7). The Board of Directors may, at its discretion, vary the mortgage insurance fund requirement from time to time, consistent with the provisions of the Act;(16) "Mortgagee" means the original approved mortgage lender under an insurable mortgage, and its successors and assigns, as approved by the Corporation;(17) "Mortgagor" means the original borrower under an insurable mortgage, and his successors and assigns, as approved by the Corporation;(18) "Owner" means any person, firm, partnership, or corporation, either public or private, having the legal or beneficial ownership of a housing accommodation or of a building, structure, or property containing one or more housing accommodations;(19) "Property" means the land and the housing accommodation or accommodations constructed thereon, including the rights and benefits of its ownership, securing - the subject mortgage loan;(20) "Rehabilitation" means the alteration, improvement or repair of one or more housing accommodations and facilities incidental thereto, intended to raise said housing accommodation to the design and condition required for use;(21) "Rehabilitation Loan" means a loan made by a financial institution for the purpose of undertaking rehabilitation of a housing accommodation and which otherwise complies with the conditions established pursuant to the Act;(22) "State" means the State of Tennessee;(23) "THRC Mortgage Insurance" means mortgage insurance issued by the Tennessee Housing Rehabilitation Corporation as evidenced by a contract of THRC mortgage insurance pursuant to the provisions of the Act, these Rules and Regulations, and the Rules of Practice of the Corporation;(24) "Date of Mortgage Loan Consummation" is defined as the date on which all conditions of a Commitment to Insure have been satisfied, including completion of all rehabilitation required under such Commitment, and on which all documents pertinent to the closing of the mortgage loan have been properly executed and recorded; and(25) "Declared Percentage" means the percentage of the outstanding mortgage balance which is insured in accordance with the mortgage insurance plan selected by the mortgagee and as set forth on the Application for Mortgage Insurance, the Commitment to Insure, and the Certificate of Insurance relating to said insured loan.Tenn. Comp. R. & Regs. 0775-01-.02
. Rule filed October 10, 1975, effective November 10, 1975. Amended; filed April 30, 1976, effective July 14, 1976.Authority: T.C.A. Section 13-2204(4).