South Australian Numbered Acts South Australian Numbered Acts10—Amendment of section 76—Interpretation
(1) Section
76—before the definition of "liability" insert:
"home" means any residential premises;
"home mortgage"—a mortgage is a home mortgage if—
(a) the
mortgagor is a natural person; and
(b) the
whole of the amount secured by the mortgage has been, is being, or is to be,
used for any of the following purposes:
(i)
purchasing land on which a home that the mortgagor (or,
if there are two or more mortgagors, at least one of them) intends to occupy
as his or her sole or principal place of residence has been, or is to be,
built;
(ii)
building, or making additions or improvements to, a home
that the mortgagor (or, if there are two or more mortgagors, at least one of
them) occupies or intends to occupy as his or her sole or principal place of
residence;
(iii)
repaying a loan previously taken out for one or more of
the above purposes,
but if the amount secured by the mortgage is to be used for some purpose in
addition to a purpose mentioned above, the mortgage is not a home mortgage;
Examples—
1 A person takes out a mortgage over his or her
home to secure a loan which is to be used in part to finance home improvements
and in part to finance the purchase of a motor vehicle. In this case, the
mortgage is not a home mortgage.
2 A person takes out a mortgage to finance the
purchase of shop premises with an attached residence, intending to occupy the
residence as his or her principal place of residence. In this case, the
mortgage is not a home mortgage.
(2) Section 76,
definition of "mortgage"—delete the parenthetical passage at the foot of
the definition and insert the following as part of the definition:
Note—
1 A "mortgage" includes an instrument that would,
assuming the fulfilment of a condition to which the instrument is subject,
fall into one of the above categories.
2 A "mortgage" includes an agreement that gives
rise to a presumptive mortgage under section 10(3) of the Consumer Credit
(South Australia) Code.