Regulates shared appreciation mortgages in Massachusetts, setting terms and protections for borrowers.

Massachusetts H1145 regulates shared appreciation mortgages, requiring entities to notify borrowers of loan transfers and provide periodic statements. It mandates that the Annual Percentage Rate for such mortgages not exceed the Average Prime Offer Rate. Borrowers must receive a questionnaire about home retention options before the shared appreciation payment is due. The loan must not include confidentiality provisions, mandatory arbitration clauses, or become due upon the borrower's death if heirs reside in the property. Violations void the contract and allow for damages and attorney fees.

Regulates shared appreciation mortgages in Massachusetts, setting terms and protections for borrowers.

Massachusetts H1145 regulates shared appreciation mortgages, requiring entities to notify borrowers of loan transfers and provide periodic statements. It mandates that the Annual Percentage Rate for such mortgages not exceed the Average Prime Offer Rate. Borrowers must receive a questionnaire about home retention options before the shared appreciation payment is due. The loan must not include confidentiality provisions, mandatory arbitration clauses, or become due upon the borrower's death if heirs reside in the property. Violations void the contract and allow for damages and attorney fees.