Rinyu v. Teal

MILLER, Justice.

The question confronting us in this case is whether a deed, absolute on its face, coupled with an oral repurchase option in the grantor, was in reality a mortgage of a rural homestead, which mortgage provided for usurious interest. The court below held that it was such a mortgage. We reverse and render in part and modify and affirm in part.

The subject matter of the action is three tracts of land, comprising 103.80 acres in Austin County, which tracts were near the site of appellees’ residence, and which were a part of their rural homestead. The three tracts were (a) an 11 acre…