(1) Before approving any application, the Authority shall be satisfied that the borrower can provide from his or her own resources, the difference between the amount of the approved loan and the cost of the house, hereinafter called the “borrower's equity”.
(2) The borrower's equity may be represented by all land, all cash, all labour or any combination thereof employed in the acquisition of the house. Secondary borrowing to provide the borrower's equity may be permitted only in rare instances.
(3) Borrower's equities obtained through benevolent sources, such as a relative or employer, shall not be excluded unless the terms of repayment are onerous and in such cases, be taken into account in determining the borrower's ability to discharge his or her obligations.