### Question
How does the law define acquisition loan?


### Answer
Under *12 U.S.C. § 1715z*, **acquisition loan** is defined as:

> a loan or advance of credit to a qualified purchaser of eligible low-income housing (as defined in section 231 of the Low-Income Housing Preservation and Resident Homeownership Act of 1990 [12 U.S.C. 4121]) acquiring the housing under section 220 or 221 of such Act [12 U.S.C. 4110 or 4111] who agrees to extend the low-income affordability restrictions pursuant to an approved plan of action under such Act [12 U.S.C. 4101 et seq.]

#### Citation:
  - *12 U.S.C. § 1715z*
  - Heading: **CHAPTER 12-SAVINGS ASSOCIATIONS > SUBCHAPTER II-MORTGAGE INSURANCE**

