Civil Code § 1917.073

1917.073.

Each lender making a shared appreciation loan shall additionally furnish to the prospective borrower, prior to the consummation of the loan, a statement containing the following information:

IMPORTANT INFORMATION ABOUT YOUR SHARED APPRECIATION LOAN

You are being offered a shared appreciation loan. Before you decide to accept this loan read this statement, which is designed to provide important information that you should consider.

1.Prevailing interest rate: __%.

2.Fixed interest rate on this loan: __%.

3.Lender’s share of net appreciated value: one-third.

4.Amount of this loan: $__.

5.Amount of the monthly payments: $__.

6.Term of this loan: __ years.

7.Amortization period on which payments are calculated: 30 years.

8.Prepayment penalty (if any) __.