Finance
Under Texas law, a home equity loan (Section 50(a)(6) loan) can be refinanced no more than once per:
A6 months
B12 months✓ Correct
C24 months
D36 months
Explanation
Texas Constitution Article XVI Section 50(a)(6) restricts home equity loans in many ways, including requiring that a Section 50(a)(6) loan may not be refinanced into another Section 50(a)(6) loan more than once per 12-month period. This is designed to prevent repeated equity stripping of homesteads.
Related Texas Finance Questions
- Under Texas law, a lender must provide a final Closing Disclosure at least 3 business days before closing. A 'business day' under TRID is defined as:
- In Texas, the usury laws set maximum interest rates on loans. For most consumer loans, the maximum rate is governed by:
- A Texas property has an existing assumable VA loan at 3.5% interest. A new buyer who is not a veteran:
- Under the Dodd-Frank Act, a seller who provides financing for more than three properties per year in Texas must comply with:
- Texas law requires that a Notice of Right to Cancel (right of rescission) be given to borrowers in which of the following transactions?
- Texas non-judicial foreclosure sales take place on:
- In Texas, a 'hard money' loan is characterized by:
- A Texas HELOC (Home Equity Line of Credit) is a:
Practice More Texas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Texas Quiz →