Title：
Regulations Governing the Extension of Mortgage Loans by Financial Institutions
Inactive Regulations
(Restrictions on land loans)
5. Land loans extended by a financial institution shall be subject to the following restrictions:
(1)The borrower shall submit a substantive development plan for the land purchased and undertake that construction will commence within a specific time frame.
(2)The maximum loan amount may not exceed 50 percent of the acquisition cost or appraised value of the land, whichever is lower. 10 percent of the loan may not be disbursed until construction begins.
(3)The loan amount in the preceding Subparagraph may not be increased by reason of working funds or other purposes.