Common use of Loan Closing Clause in Contracts

Loan Closing. All loans guaranteed by the Agency shall be closed by attorneys, escrow companies, escrow departments of lending institutions, or other persons, or entities skilled and experienced in conducting loan closings. The lender shall: a. Ensure funds for the particular loan or line of credit will be used only for the purposes authorized in Agency regulations and as contained in the conditional commitment; b. Ensure that documents, including the mortgage and any security agreements, chattel mortgages or equivalent documents relating to it have been properly signed, are valid and contain terms enforceable by the lender; c. Ensure that all security with appropriate lien priorities is obtained in accordance with the conditional commitment and Agency regulations; d. Ensure that all closing documents required to be recorded are recorded accurately, in the appropriate offices, and in a timely and accurate manner; e. Ensure that security interests are perfected in collateral according to applicable regulatory requirements and procedures; f. Ensure that all required hazard insurance will be obtained in accordance with Agency regulations or is now in effect; g. Collect all fees and costs due and payable by the borrower in the course of the loan transaction and disburse payment directly to the parties for services rendered; h. Ensure that construction, relocation, repairs, or development are completed in accordance with applicable drawings and specifications; i. Ensure the borrower has marketable title to security property now owned, and will obtain such title to any additional property to be acquired with loan funds, subject only to the instruments securing the loan to be guaranteed and any other exceptions set forth in Agency regulations; j. Secure the entire loan equally with the same security and the same lien priority for both the guaranteed and unguaranteed portions of the loan, under the assurance that the unguaranteed portion of the loan will not be paid first nor given priority over the guaranteed portion of the loan; k. Submit the required guarantee fee with the guaranteed loan closing report.

Loan Closing. All loans guaranteed by the Agency shall be closed by attorneys, escrow companies, escrow departments of lending institutions, or other persons, or entities skilled and experienced in conducting loan closings. The lender shall: : a. Ensure funds for the particular loan or line of credit will be used only for the purposes authorized in Agency regulations and as contained in the conditional commitment; ; b. Ensure that documents, including the mortgage and any security agreements, chattel mortgages or equivalent documents relating to it have been properly signed, are valid and contain terms enforceable by the lender; ; c. Ensure that all security with appropriate lien priorities is obtained in accordance with the conditional commitment and Agency regulations; ; d. Ensure that all closing documents required to be recorded are recorded accurately, in the appropriate offices, and in a timely and accurate manner; ; e. Ensure that security interests are perfected in collateral according to applicable regulatory requirements and procedures; ; f. Ensure that all required hazard insurance will be obtained in accordance with Agency regulations or is now in effect; ; g. Collect all fees and costs due and payable by the borrower in the course of the loan transaction and disburse payment directly to the parties for services rendered; ; h. Ensure that construction, relocation, repairs, or development are completed in accordance with applicable drawings and specifications; ; i. Ensure the borrower has marketable title to security property now owned, and will obtain such title to any additional property to be acquired with loan funds, subject only to the instruments securing the loan to be guaranteed and any other exceptions set forth in Agency regulations; ; j. Secure the entire loan equally with the same security and the same lien priority for both the guaranteed and unguaranteed portions of the loan, under the assurance that the unguaranteed portion of the loan will not be paid first nor given priority over the guaranteed portion of the loan; ; k. Submit the required guarantee fee with the guaranteed loan closing report. 4.

Loan Closing. All loans guaranteed by the Agency shall be closed by attorneys, escrow companies, escrow departments of lending institutions, or other persons, or entities skilled and experienced in conducting loan closings. The lender shall: : a. Ensure funds for the particular loan or line of credit will be used only for the purposes authorized in Agency regulations and as contained in the conditional commitment; ; b. Ensure that documents, including the mortgage and any security agreements, chattel mortgages or equivalent documents relating to it have been properly signed, are valid and contain terms enforceable by the lender; ; c. Ensure that all security with appropriate lien priorities is obtained in accordance with the conditional commitment and Agency regulations; ; d. Ensure that all closing documents required to be recorded are recorded accurately, in the appropriate offices, and in a timely and accurate manner; ; e. Ensure that security interests are perfected in collateral according to applicable regulatory requirements and procedures; ; f. Ensure that all required hazard insurance will be obtained in accordance with Agency regulations or is now in effect; ; g. Collect all fees and costs due and payable by the borrower in the course of the loan transaction and disburse payment directly to the parties for services rendered; ; h. Ensure that construction, relocation, repairs, or development are completed in accordance with applicable drawings and specifications; ; i. Ensure the borrower has marketable title to security property now owned, and will obtain such title to any additional property to be acquired with loan funds, subject only to the instruments securing the loan to be guaranteed and any other exceptions set forth in Agency regulations; ; j. Secure the entire loan equally with the same security and the same lien priority for both the guaranteed and unguaranteed portions of the loan, under the assurance that the unguaranteed portion of the loan will not be paid first nor given priority over the guaranteed portion of the loan; ; k. Submit the required guarantee fee with the guaranteed loan closing report.