Contracts

Iowa's 3-day right of rescission under TILA/RESPA applies to:

AAll Iowa residential real estate purchase contracts
BRefinance transactions involving a non-purchase money loan secured by the borrower's primary residence✓ Correct
CFirst-time homebuyer purchase loans only
DAll FHA-insured transactions

Explanation

TILA's 3-business-day right of rescission applies to non-purchase money refinance transactions secured by the borrower's primary residence. It does not apply to purchase money mortgages used to acquire a home.

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