Senate Bill No. 322

Public Act No. 00-183

An Act Concerning The Residential Mortgage Refinancing Guarantee Program.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Subsection (e) of section 1 of public act 99-262 is repealed and the following is substituted in lieu thereof:

(e) Mortgagors eligible for refinanced mortgages under this program shall meet the criteria established in the procedures adopted pursuant to subsection (b) of this section, including, but not limited to:

(1) The mortgagor shall occupy the property as such mortgagor's primary residence, and shall continue such occupancy for five years after the date of the refinancing under this section;

(2) The mortgagor shall have received the primary mortgage on the property no earlier than January 1, 1986, and no later than December 31, 1992;

(3) The mortgagor shall have a primary mortgage on the property with a loan to value ratio of no more than one hundred twenty-five per cent, and a recent full appraisal of the property in accordance with secondary market standards shall be required;

(4) The mortgagor shall have no second mortgage on the property except a second mortgage where repayment is waived after a certain period of time has elapsed; and

[(5) The mortgagor shall have mortgage insurance in place to allow the property to be refinanced and sold on the secondary market; and]

[(6)] (5) No mortgagor shall participate in this program if such mortgagor currently has other refinancing alternatives.

Approved June 1, 2000