Restrictions on Real Property Security

(1) With respect to a regulated loan in which the principal is Five Hundred Dollars ($500.00), or less, a lender may not contract for a security interest in real property. A security interest taken in violation of this Section is void. (2) The amount of Five Hundred Dollars ($500.00) in Subsection (1) is subject to change pursuant to the provisions on adjustment of dollar amounts (§ 1106).