CA Civ Code Section 1923

For purposes of this chapter, “reverse mortgage” means a nonrecourse loan secured by real property that meets all of the following criteria:

(a)

The loan provides cash advances to a borrower based on the equity or the value in a borrower’s owner-occupied principal residence.

(b)

The loan requires no payment of principal or interest until the entire loan becomes due and payable.

(c)

The loan is made by a lender licensed or chartered pursuant to the laws of this state or the United States.