Civil 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.

Source: Section 1923, https://leginfo.­legislature.­ca.­gov/faces/codes_displaySection.­xhtml?lawCode=CIV§ionNum=1923.­ (updated Jan. 1, 1998; accessed Nov. 3, 2025).

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Nov. 3, 2025

§ 1923's source at ca​.gov