New Mexico Administrative Code
Title 2 - PUBLIC FINANCE
Chapter 60 - INVESTMENT AND DEPOSIT OF PUBLIC FUNDS
Part 27 - INVESTMENT POLICY AND GUIDELINES ON PARTICIPATION LOANS SECTION 7-25-5.1 MARKET RATE INVESTMENTS
Section 2.60.27.11 - FINAL DOCUMENTS BEFORE CLOSING
Current through Register Vol. 35, No. 18, September 24, 2024
A. Commitment by the state investment council stating all terms, conditions, final required documents, servicing fees and period of commitment.
B. Original participation agreement signed by purchaser and seller on the standard form approved by the Attorney General.
C. Certified copy of the original executed note and mortgage filed within the county where property is located.
D. Title insurance policy showing the loan to be first in priority upon the mortgaged property with the exception of items normally excluded from the scope of such policies.
E. Evidence of fire and hazard insurance coverage on the mortgaged premises, in an amount equal to the lesser of the loan balance or the insurable value on the improvements, with a loss payable clause in favor of the originating institution, plus flood insurance, where the premises are located in a flood hazard area.
F. Survey by a registered land surveyor verifying that the property is actually located where it is proported to be, and that the improvements do not encroach on adjoining property.
G. Corporate resolution designating an individual to sign for the corporation authorized by its' board of directors.
H. Quarterly financial statements, income statements and balance sheets for the latest twelve month fiscal period preceding the loan date and an annual financial statement for the most recent fiscal year. A certification from the originating financial institution that they have reviewed the financial statements, income statements and balance sheet and that to the best of their knowledge the statements are an accurate representation of the borrower's financial condition.
I. Copies of documentation showing compliance with applicable special State and Federal laws or regulations governing the borrower's business.
J. Continuing guarantees on closely held corporations to prevent transfer of assets from the corporation to avoid debt repayment. The need for personal guarantees shall be determined upon the recommendation of the selling institution consistent with their standard loan requirements.
