source:
  type: regulation
  id: hpa-12usc-4901
  authority: '12 U.S.C. §4901 — Homeowners Protection Act: Definitions'
  description: 'HPA statutory definitions section (chapter 49). Establishes

    controlling terms used throughout HPA: adjustable rate mortgage,

    cancellation date (80% LTV), good payment history, mortgage

    insurance, mortgagee, mortgagor, original value, residential

    mortgage transaction, servicer, single-family dwelling, and

    termination date (78% LTV).

    '
obligations:
- id: hpa-12usc-4901-full
  canonical_id: hpa-12usc-4901-full
  section: 12 U.S.C. §4901
  description: 'In this chapter, the following definitions shall apply: (1) Adjustable rate mortgage The
    term “ adjustable rate mortgage ” means a residential mortgage that has an interest rate that is subject
    to change. A residential mortgage that: (A) does not fully amortize over the term of the obligation;
    and (…'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - usc-statute
  primary_source:
    tier: 1
    authority: 12 U.S.C. §4901(2)
    source_class: hpa-statute
    source_url: https://www.law.cornell.edu/uscode/text/12/4901
    snapshot_id: d01dd576b43f979f
    fetched_at: '2026-05-24T00:46:51Z'
    content_hash: sha256:71b58d4c6d951e47af8896325d489f11e556dfb00f6591127930f66404eddab3
    paragraph_quote: 'In this chapter, the following definitions shall apply: (1) Adjustable rate mortgage
      The term “ adjustable rate mortgage ” means a residential mortgage that has an interest rate that
      is subject to change. A residential mortgage that: (A) does not fully amortize over the term of
      the obligation; and (B) contains a conditional right to refinance or modify the unamortized principal
      at the maturity date of the term, shall be considered to be an adjustable rate mortgage for purposes
      of this chapter. (2) Cancellation date The term “ cancellation date ” means— (A) with respect to
      a fixed rate mortgage , at the option of the mortgagor, the date on which the principal balance
      of the mortgage—'
    drafter_attestation: Verbatim subsection of 12 U.S.C. §4901 from Cornell LII snapshot d01dd576b43f979f;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: hpa-12usc-4901-i
  canonical_id: hpa-12usc-4901-i
  section: 12 U.S.C. §4901(i)
  description: '(i): (i) based solely on the initial amortization schedule for that mortgage, and irrespective
    of the outstanding balance for that mortgage on that date, is first scheduled to reach 80 percent
    of the original value of the property securing the loan; or (ii) based solely on actual payments,
    reaches 80 per…'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - usc-statute
  primary_source:
    tier: 1
    authority: 12 U.S.C. §4901(2)
    source_class: hpa-statute
    source_url: https://www.law.cornell.edu/uscode/text/12/4901
    snapshot_id: d01dd576b43f979f
    fetched_at: '2026-05-24T00:46:51Z'
    content_hash: sha256:71b58d4c6d951e47af8896325d489f11e556dfb00f6591127930f66404eddab3
    paragraph_quote: (i) based solely on the initial amortization schedule for that mortgage, and irrespective
      of the outstanding balance for that mortgage on that date, is first scheduled to reach 80 percent
      of the original value of the property securing the loan; or (ii) based solely on actual payments,
      reaches 80 percent of the original value of the property securing the loan; and (B) with respect
      to an adjustable rate mortgage , at the option of the mortgagor, the date on which the principal
      balance of the mortgage—
    drafter_attestation: Verbatim subsection of 12 U.S.C. §4901 from Cornell LII snapshot d01dd576b43f979f;
      body isolated between nav and notes; substring-verified.
  judgment: false
- id: hpa-12usc-4901-i
  canonical_id: hpa-12usc-4901-i
  section: 12 U.S.C. §4901(i)
  description: '(i): (i) based solely on the amortization schedule then in effect for that mortgage, and
    irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach
    80 percent of the original value of the property securing the loan; or (ii) based solely on actual
    payments, first r…'
  type: do
  tags:
  - regulator-direct
  - section-complete
  - usc-statute
  primary_source:
    tier: 1
    authority: 12 U.S.C. §4901(2)
    source_class: hpa-statute
    source_url: https://www.law.cornell.edu/uscode/text/12/4901
    snapshot_id: d01dd576b43f979f
    fetched_at: '2026-05-24T00:46:51Z'
    content_hash: sha256:71b58d4c6d951e47af8896325d489f11e556dfb00f6591127930f66404eddab3
    paragraph_quote: (i) based solely on the amortization schedule then in effect for that mortgage, and
      irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach
      80 percent of the original value of the property securing the loan; or (ii) based solely on actual
      payments, first reaches 80 percent of the original value of the property securing the loan. (3)
      Fixed rate mortgage The term “ fixed rate mortgage ” means a residential mortgage that has an interest
      rate that is not subject to change. (4) Good payment history The term “ good payment history ” means,
      with respect to a mortgagor, that the mortgagor has not— (A) made a mortgage payment that was 60
      days or longer past due during the 12-month period beginning 24 months before the later of (i) the
      date on which the mortgage reaches the cancellation date , or (ii) the date that the mortgagor submits
      a request for cancellation under section 4902(a)(1) of this title ; or (B) made a mortgage payment
      that was 30 days or longer past due during the 12-month period preceding the later of (i) the date
      on which the mortgage reaches the cancellation date , or (ii) the date that the mortgagor submits
      a request for cancellation under section 4902(a)(1) of this title . (5) Initial amortization schedule
      The term “ initial amortization schedule ” means a schedule established at the time at which a residential
      mortgage transaction is consummated with respect to a fixed rate mortgage, showing— (A) the amount
      of principal and interest that is due at regular intervals to retire the principal balance and accrued
      interest over the amortization period of the loan; and (B) the unpaid principal balance of the loan
      after each scheduled payment is made. (6) Amortization schedule then in effect The term “ amortization
      schedule then in effect ” means, with respect to an adjustable rate mortgage, a schedule established
      at the time at which the residential mortgage transaction is consummated or, if such schedule has
      been changed or recalculated, is the most recent schedule under the terms of the note or mortgage,
      which shows— (A) the amount of principal and interest that is due at regular intervals to retire
      the principal balance and accrued interest over the remaining amortization period of the loan; and
      (B) the unpaid balance of the loan after each such scheduled payment is made. (7) Midpoint of the
      amortization period The term “ midpoint of the amortization period ” means, with respect to a residential
      mortgage transaction, the point in time that is halfway through the period that begins upon the
      first day of the amortization period established at the time a residential mortgage transaction
      is consummated and ends upon the completion of the entire period over which the mortgage is scheduled
      to be amortized. (8) Mortgage insurance The term “ mortgage insurance ” means insurance, including
      any mortgage guaranty insurance, against the nonpayment of, or default on, an individual mortgage
      or loan involved in a residential mortgage transaction . (9) Mortgage insurer The term “ mortgage
      insurer ” means a provider of private mortgage insurance , as described in this chapter, that is
      authorized to transact such business in the State in which the provider is transacting such business.
      (10) Mortgagee The term “ mortgagee ” means the holder of a residential mortgage at the time at
      which that mortgage transaction is consummated. (11) Mortgagor The term “ mortgagor ” means the
      original borrower under a residential mortgage or his or her successors or assignees. (12) Original
      value The term “ original value ”, with respect to a residential mortgage transaction , means the
      lesser of the sales price of the property securing the mortgage, as reflected in the contract, or
      the appraised value at the time at which the subject residential mortgage transaction was consummated.
      In the case of a residential mortgage transaction for refinancing the principal residence of the
      mortgagor, such term means only the appraised value relied upon by the mortgagee to approve the
      refinance transaction. (13) Private mortgage insurance The term “ private mortgage insurance ” means
      mortgage insurance other than mortgage insurance made available under the National Housing Act [
      12 U.S.C. 1701 et seq.], title 38, or title V of the Housing Act of 1949 [ 42 U.S.C. 1471 et seq.].
      (14) Residential mortgage The term “ residential mortgage ” means a mortgage, loan, or other evidence
      of a security interest created with respect to a single-family dwelling that is the principal residence
      of the mortgagor. (15) Residential mortgage transaction The term “ residential mortgage transaction
      ” means a transaction consummated on or after the date that is 1 year after July 29, 1998 , in which
      a mortgage, deed of trust, purchase money security interest arising under an installment sales contract,
      or equivalent consensual security interest is created or retained against a single-family dwelling
      that is the principal residence of the mortgagor to finance the acquisition, initial construction,
      or refinancing of that dwelling. (16) Servicer The term “ servicer ” has the same meaning as in
      section 2605(i)(2) of this title , with respect to a residential mortgage. (17) Single-family dwelling
      The term “ single-family dwelling ” means a residence consisting of 1 family dwelling unit. (18)
      Termination date The term “ termination date ” means— (A) with respect to a fixed rate mortgage
      , the date on which the principal balance of the mortgage, based solely on the initial amortization
      schedule for that mortgage, and irrespective of the outstanding balance for that mortgage on that
      date, is first scheduled to reach 78 percent of the original value of the property securing the
      loan; and (B) with respect to an adjustable rate mortgage , the date on which the principal balance
      of the mortgage, based solely on the amortization schedule then in effect for that mortgage, and
      irrespective of the outstanding balance for that mortgage on that date, is first scheduled to reach
      78 percent of the original value of the property securing the loan. ( Pub. L. 105–216, § 2 , July
      29, 1998 , 112 Stat. 897 ; Pub. L. 106–569, title IV , §§ 402(a)(1), (b), 405(a), 406(b)–(d), Dec.
      27, 2000 , 114 Stat. 2956 , 2958, 2959.)
    drafter_attestation: Verbatim subsection of 12 U.S.C. §4901 from Cornell LII snapshot d01dd576b43f979f;
      body isolated between nav and notes; substring-verified.
  judgment: false
