714                                         LAWS OF MARYLAND                                   Ch. 33

(B) OTHER INFORMATION.

THE DEPARTMENT MAY REQUIRE ANY INFORMATION NECESSARY TO
MAKE A SOUND LOAN.

REVISOR'S NOTE: This subsection presently appears as
the first clause of Art. 41, § 266FF-2(d)(2).

The present authorization to obtain appraisals
and credit information is deleted as included in
the term "any information".

The only other changes are in style.

13-313. ACTION ON LOAN APPLICATIONS.

ON APPLICATION FOR A LOAN, THE DEPARTMENT SHALL
CONSIDER THE FINANCIAL RESOURCES AVAILABLE TO THE APPLICANT
TO FINANCE THE PURCHASE OF THE HOME. THE DEPARTMENT SAY NOT
APPROVE A LOAN IF IT REASONABLY APPEARS THAT THE APPLICANT
HAS SUFFICIENT DOWN PAYMENT OR COULD BE EXPECTED TO
OTHERWISE FINANCE THE PURCHASE.

REVISOR'S NOTE: This section is new language derived
without substantive change from Art. 41, §
266FF-2(b)(3)(ii) and (v).

The present references to consideration of
secondary sources of income and dependent
allowances now appear in § 13—306(d) of this
subtitle, which sets upper income limits.

13-314. MISCELLANEOUS MORTGAGE REQUIREMENTS.

(A)   SECURITY REQUIREMENTS.

A LOAN SHALL BE SECURED BY A FIRST LIEN MORTGAGE ON THE
PROPERTY PURCHASED.

REVISOR'S NOTE: This subsection is new language derived
without substantive change from the last sentence
of Art. 41, § 266FF-2(a).

The present reference to "improvements and
fixtures" on the property is deleted as
unnecessary.

"Mortgage" is defined in § 1-101 of this article.

(B)   PROHIBITED CHARGES.

EXCEPT AS EXPRESSLY PERMITTED BY THIS SUBTITLE, THE
DEPARTMENT MAY NOT CHARGE TO EITHER BUYER OR SELLER ANY
POINTS OR FEES THAT WOULD BE CONSIDERED INTEREST UNDER TITLE
12, SUBTITLE 1 OF THE COMMERCIAL LAW ARTICLE.