Tex. Nat. Res. Code § 161.505
Current with legislation from the 2023 Regular and Special Sessions signed by the Governor as of November 21, 2023.
A disbursement of money on a loan may not be made unless the loan is secured by a mortgage, deed of trust, or other lien on the land purchased with the proceeds of the loan. A mortgage, deed of trust, or other lien may be a participation in a lien securing any other loan for the purchase of the property, including a lien securing a home loan under Chapter 162.
Tex. Nat. Res. Code § 161.505