Common use of Use of Form RD 426 Clause in Contracts

Use of Form RD 426. 1, ‘‘Valuations of Buildings.’’ The minimum insurance required will be indicated in the ap- praisal report by the employee who makes the appraisal of property that includes insurable buildings. In the case where no real estate appraisal is required or the appraisal report does not indicate the minimum insurance coverage, Form RD 426–1 will be pre- pared by the County Supervisor. Re- evaluation of the buildings will not be done on appraisal reports; however, when new buildings are constructed or values increase or decrease materially and reevaluation is necessary to prop- erly reflect the buildings’ security in- terest of RD, the County Supervisor will prepare or revise Form RD 426–1 as appropriate. Changes made on an exist- ing Form RD 426–1 will be dated and initialed. The reason for any deletion will be noted on the Form. [41 FR 34571, Aug. 16, 1976, as amended at 61 FR 59777, Nov. 22, 1996; 72 FR 64121, Nov. 15, 2007; 80 FR 9864, Feb. 24, 2015] Property insurance policies or other evidence of insurance will be accepted from borrowers when the requirements outlined herein are complied with fully.