Qualified Rehabilitation Loan Law and Legal Definition

According to 26 USCS § 143 (k)(5)(A) [Title 26. Internal Revenue Code; Subtitle A. Income Taxes; Chapter 1. Normal Taxes and Surtaxes; Subchapter B. Computation of Taxable Income; Part IV. Tax Exemption Requirements for State and Local Bonds; Subpart A. Private Activity Bonds], the term “qualified rehabilitation loan” means “any owner-financing provided in connection with--

(i) a qualified rehabilitation, or

(ii) the acquisition of a residence with respect to which there has been a qualified rehabilitation,

but only if the mortgagor to whom such financing is provided is the first resident of the residence after the completion of the rehabilitation.”