Federal Mortgage LawsQuestion 18 of 400
The Home Ownership and Equity Protection Act (HOEPA) primarily provides additional protections for borrowers obtaining:
a.All conventional conforming loans
b.High-cost mortgage loans that exceed certain APR, points-and-fees, or prepayment thresholds
c.Only reverse mortgages
d.Loans on commercial office buildings
Explanation
HOEPA imposes extra disclosures and restrictions on high-cost mortgages that exceed defined thresholds for APR, points and fees, or prepayment penalties. Conforming loans that stay under those thresholds are not high-cost. HOEPA is not limited to reverse mortgages, and it applies to consumer residential loans, not commercial buildings.
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