Ohio Revised Code|Section 1343.011 | Residential mortgage loans.

                                                
(A) As used in this section: 
(1) "Discount points" means any charges, whether or not  actually denominated as "discount points," that are paid by the  seller or the buyer of residential real property to a residential  mortgage lender or that are deducted and retained by a residential  mortgage lender from the proceeds of the residential mortgage.  "Discount points" does not include the costs associated with  settlement services as defined in the "Real Estate Settlement  Procedures Act of 1974," 88 Stat. 1724, 12 U.S.C. 2601, amendments  thereto, reenactments thereof, enactments parallel thereto, or in  substitution therefor, or regulations issued thereunder.
(2) "Residential mortgage" means an obligation to pay a sum  of money evidenced by a note and secured by a lien upon real  property located within this state containing two or fewer  residential units or on which two or fewer residential units are  to be constructed and includes such an obligation on a residential  condominium or cooperative unit.
(3) "Residential mortgage lender" means any person, bank, or  savings and loan association that lends money or extends or grants  credit and obtains a residential mortgage to assure payment of the  debt. The term also includes the holder at any time of a  residential mortgage obligation.
(B) Except residential mortgage loans described in division  (B)(3) of section 1343.01 of the Revised Code, no residential  mortgage lender shall receive either directly or indirectly from a  seller or buyer of real estate any discount points in excess of  two per cent of the original principal amount of the residential  mortgage. This division is not a limitation on discount points or  other charges for purposes of section 501(b)(4) of the "Depository  Institutions Deregulation and Monetary Control Act of 1980," 94  Stat. 161, 12 U.S.C.A. 1735f-7a.
(C)(1) Except as provided in division (C)(2) of this section,  residential mortgage obligations may be prepaid or refinanced  without penalty at any time after five years from the execution  date of the mortgage. Prior to such time a prepayment or  refinancing penalty may be provided not in excess of one per cent  of the original principal amount of the residential mortgage.
(2)(a) No penalty may be charged for the prepayment or  refinancing of a residential mortgage obligation of less than  seventy-five thousand dollars that is made or arranged by a  mortgage broker, loan officer, or nonbank mortgage lender, as  those terms are defined in section 1345.01 of the Revised Code,  and that is secured by a mortgage on a borrower's real estate that  is a first lien on the real estate.
(b) The amount specified in division (C)(2)(a) of this  section shall be adjusted annually on the first day of January by  the annual percentage change in the consumer price index for all  urban consumers, midwest region, all items, as determined by the  bureau of labor statistics of the United States department of  labor or, if that index is no longer published, a generally  available comparable index, as reported on the first day of June  of the year preceding the adjustment. The department of commerce  shall publish the adjusted amounts on its official web site.