Tex. Gov't Code Section 2304.076
Conditions Under Which Loan Becomes Immediately Due

(a)

A borrower must agree that if the borrower voluntarily destroys, moves from, or relinquishes ownership of the rehabilitated housing on or before the first anniversary of the date the rehabilitation is completed:

(1)

the borrower’s housing rehabilitation loan becomes immediately due and payable; and

(2)

an interest surcharge is added sufficient to make the total interest paid equal an amount determined by the prevailing interest rates for rehabilitation loans from private sources at the time of the sale.

(b)

The local government that approved the loan may waive the interest surcharge if:

(1)

the local government finds that the borrower must sell the housing because of financial hardship or similar circumstances; and

(2)

the department consents to the waiver.

(c)

A local government that approved a housing rehabilitation loan may, with the consent of the department, take the following action if the borrower dies or the borrower sells or gives away property encumbered by the loan:

(1)

declare all or part of any deferred payments due and payable;

(2)

declare the balance of the loan due and payable; or

(3)

allow a buyer, donee, or other successor in title who qualifies under Section 2304.062 (Department Loan Rules) to assume the loan.
Added by Acts 1993, 73rd Leg., ch. 268, Sec. 1, eff. Sept. 1, 1993.

Source: Section 2304.076 — Conditions Under Which Loan Becomes Immediately Due, https://statutes.­capitol.­texas.­gov/Docs/GV/htm/GV.­2304.­htm#2304.­076 (accessed Apr. 29, 2024).

2304.001
Short Title 2304.002
Purposes 2304.003
Definitions 2304.004
General Powers of Department 2304.005
Authority of Department to Adopt Minimum Housing Code Standards 2304.006
Limitation on Construction of Housing or Acquisition of Property by Department 2304.007
Prohibition on Borrowing, Incurring Obligations, or Pledging Credit 2304.008
Allocation of Available Loan Funds 2304.009
Relationship of Department and Local Governments 2304.010
Designation of Local Agency by Local Government 2304.011
Education Program Conducted by Local Government 2304.021
Fund 2304.022
Deposits to Fund 2304.023
Purposes of Fund 2304.024
Investment and Disbursement of Fund 2304.041
Designation of Area and Preparation of Plan 2304.042
Contents of Area Plan 2304.043
Approval of Area Plan 2304.044
Rejection of Area Plan 2304.061
Primary Use for Loan 2304.062
Department Loan Rules 2304.063
Loan Application 2304.064
Local Government Approval of Loan 2304.065
Department Approval 2304.066
Disbursement of Loan Funds 2304.067
Limit on Amount of Loan 2304.068
Administrative Charge Imposed by Local Government 2304.069
Interest Rate 2304.070
Term of Loan 2304.071
Installment Payments 2304.072
Loan to Be Secured 2304.073
Other Loan Conditions 2304.074
Adjustments if Borrower Unable to Repay Loan 2304.075
Disposition or Encumbrance of Property by Borrower 2304.076
Conditions Under Which Loan Becomes Immediately Due 2304.077
Acquisition of Property to Protect Loan 2304.078
Acquisition of Property to Enforce Lien 2304.079
Public Sale or Auction of Acquired Property 2304.080
Private Sale 2304.081
Contract for Servicing Loan 2304.082
Audit of Loans 2304.101
Standards for Contractors and Contracts 2304.102
Local Government Approval and Supervision of Contracts 2304.103
Advertising Requirement for Certain Contracts 2304.104
Performance and Payment Bonds
Green check means up to date. Up to date

Accessed:
Apr. 29, 2024

§ 2304.076’s source at texas​.gov