justicedao/ipfs_state_laws huggingface dataset:
274-045-0120 Transfer of Ownership (1) The Director shall be notified in writing of any transfer of ownership or the right to possess property that is used as security for a loan with the Oregon Department of Veterans' Affairs (ODVA). (2) The following are conditions that constitute a transfer of an ownership interest or the right to possess the loan security: (a) A borrower takes title to the property with a person other than his or her legal spouse; (b) Contract of sale; (c) Any deed transfer; (d) Any other indenture that purports to convey or transfer any portion of equitable title except for the following: (A) Deed to create a life estate retained by the eligible veteran mortgagor; (B) Deed to a government entity for public use as noted inORS 407.275(2); (C) A purchase option that extends for a period of 12 months and 32 days or more; (D) A purchase option with a consideration of three percent or more of the stated purchase price. (3) If any or all of the above referenced conditions in subsection (2)(a) through (d) occur to the security of an ODVA loan, the entire balance of the loan will be immediately due and payable. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115, 407.275, 407.305 & 407.335 Statutes/Other Implemented: ORS 407.275 & 407.335 History: DVA 3-2007, f. & cert. ef. 9-25-07 DVA 9-2001, f. & cert. ef. 11-23-01 DVA 3-2001(Temp), f. & cert. ef. 6-15-01 thru 12-11-01 DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0125 Rental The Director may approve the rental of a security, that has been occupied by the veteran. The Director, when determining whether to approve the rental of a home that serves as security for an ODVA loan, may consider the following factors including but not limited to the following: (1) The effect on the tax-exempt status of bonds issued under Article XI-A of the Oregon Constitution. (2) Whether the home was and is appropriately used as the principal residence of the borrower(s). (3) The financial integrity of the loan program. (4) Any potential decreases in the value of the security. (5) The impact on remedies available under the loan documents. (6) Whether or not there has been or will be any material change in the borrower’s/spouse’s employment. (7) The dissolution or annulment of the borrower’s marriage. (8) A significant geographical relocation by the borrower. (9) Any unusual hardship for the borrower(s). (10) The borrower(s) ability to maintain the home as his/her principal residence. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115 & 407.385 Statutes/Other Implemented: ORS 407.385 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0130 Modification of Mortgage (1) A request for modification of a mortgage must be made in writing by the borrower. (2) The borrower and the Director shall agree in writing to the terms of the modification, and it shall be recorded in the mortgage records in the county where the security is located. Statutory/Other Authority: ORS 406 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0145 Loan Cancellation Life Insurance (1) The Director of the Oregon Department of Veterans' Affairs (Director), prior to obtaining loan cancellation life insurance for any person who receives or assumes a loan or makes a contract with ODVA for the acquisition of a home, and the spouse or former spouse of that person, may enter into a contract with an insurance carrier which allows the carrier to: (a) Require an application for insurance; (b) Underwrite classes of prospective insureds on the basis of information, such as age and health status, contained in the application; (c) Set premium schedules commensurate with risk factors for other than service-connected disability; (d) Deny payment of benefits for suicide or certain pre-existing, nonservice-connected disability. (2) The Director will negotiate a contract with the insurance carrier as necessary to insure procurement and maintenance of adequate, solvent, and uninterrupted, long-term insurance coverage. (3) The insurance contract may provide that loan cancellation life insurance on a loan or contract for the acquisition of a home or farm will be canceled after payments on the loan or contract become four months delinquent. Accounts due monthly are considered four months delinquent when the cumulative delinquency equals four times the standard monthly payment. (4) The insurance contract may provide that insurance canceled for the above reason cannot be reinstated unless payments are brought current and a new application for insurance is submitted. The provisions of section (1) of this rule will apply to the newly submitted application. Statutory/Other Authority: ORS 406.030, 407.115, 407.465 & 407.475 Statutes/Other Implemented: ORS 407.115, 407.135, 407.145, 407.465 & 407.475 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0160 Partial Release of Security (1) A partial release of security may be granted when the borrower submits a complete application for one and the Director determines that granting the requested release would not jeopardize the Department of Veterans' Affairs' security position. (2) The remaining property must qualify as security for the loan balance under the provisions of ORS 407.225(3) and OAR 274-045-0040 to 274-045-0060. (3) Notwithstanding compliance with section (2) of this rule, the Director may require that the loan balance be reduced as consideration for granting the requested release. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406 & 407 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0170 Confidential Nature of Information Submitted by the Borrower Information submitted by the veteran in support of his or her application shall be considered confidential and shall not be disclosed to persons outside the Department, unless permission is given by the veteran to release the information, or the information is requested by a public agency in the exercise of its official duty and only then at the discretion of the Director. Statutory/Other Authority: ORS 406 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0180 Confidential Nature of Information Procured by the Director Information secured by the Director in connection with a veteran's application for a loan shall be considered confidential and shall not be disclosed to persons outside the employ of the Department, unless such information is requested by a public agency in the exercise of its official duty, and only then the release shall be at the discretion of the Director. Statutory/Other Authority: ORS 406 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0200 Director’s Decisions Control in All Controversies (1) The Director shall make all determinations as to the applicant's eligibility for a loan. (2) The Director shall make all determinations, based upon data and information in the file, as to whether the property offered is acceptable security and whether or not a loan shall be made. (3) The Director's decision shall be final in all matters pertaining to eligibility and the making of a loan. Statutory/Other Authority: ORS 406 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0230 Approved Lenders (1) Any lending institution, as defined in ORS 407.177(8) may apply to become an Approved Lender by submitting to the Director of Veterans' Affairs (Director) information required by the Director which may include, but is not limited to the following for review: (a) An application in the form prescribed by the Director, including a certificate of compliance with tax laws; (b) Its counsel's opinion regarding power and authority of the lending institution to enter into a purchase agreement with the Director; (c) A list of authorized officers; (d) Its most recent, audited financial statements; (e) Financial Statement of Condition (Balance Sheet) for the last two fiscal years and Profit and Loss Statement; (f) Resumes of principal officers and key employees; (g) Company biography and background; (h) Signed and executed broker agreement; (i) Resolution of the Board of Directors/Certificate of Authorized Signatures; (j) Articles of Incorporation (if incorporated); (k) Signed Credit Release Authorization; (l) Applicable licenses as required by state and local law; (m) Explanation of Quality Control Procedures; (n) W-9; (o) Any other documentation or information deemed necessary by the Director; (p) A credit report fee may be charged to the mortgage broker as part of the approved lender application process in an amount not to exceed the amount charged by the credit-reporting firm. Any funds not used or obligated for a credit report shall be refunded. (2) A lending institution will qualify as an Approved Lender if the Director determines that the applicant has the capability and resources to originate only or originate, underwrite and fund loans in a sound and professional manner. The Director shall consider such factors as those itemized in 274-045-0001(4)(a) through (l). (3) To become an Approved Lender, a lending institution shall enter into an agreement with the Director, providing for the manner and terms of the sale or processing of loans. This agreement shall be in the standard form prescribed by the Director. Approved Lenders shall carry out such agreement in accordance with the procedures set forth in the agreement, the rules, and the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide. The Director may revise such procedures from time to time. The Director may terminate its agreement with an Approved Lender at any time on the terms and conditions stated in such agreement, the rules, or the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.005 & 407.115 Statutes/Other Implemented: ORS 407.075 to 407. 385; Oregon Constitution Article XI-A, Section 3. History: DVA 6-2020, amend filed 07/10/2020, effective 07/11/2020 DVA 1-2020, temporary amend filed 01/21/2020, effective 01/22/2020 through 07/10/2020 DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0240 Loan Requirements (1) To be eligible for purchase or underwriting and closing by the ODVA pursuant to a commitment to an approved lender, a program loan shall be made or processed by the approved lender during the period of that commitment. The loan shall comply with the terms of such commitment, the requirements set forth in the agreement between ODVA and the approved lender, and the conditions set forth in the rules and the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide. (2) Each Approved Lender shall make loans for single-family dwellings. (3) Each program loan shall have a final maturity of at least 15 years and not more than 40 years from the date of its mailing. (4) Each program loam shall be secured by a first lien mortgage or trust deed. The veteran shall hold title to the home in fee simple. (5) No program loan shall be made to refinance an existing construction or rehabilitation loan, unless such loan was considered temporary financing. If a program loan is made to refinance such a loan, the approved lender shall certify to Oregon Department of Veterans' Affairs that the construction or rehabilitation has be satisfactorily completed before the delivery of the program loan for purchase. (6) Each program loan shall be executed on forms approved by the ODVA. Such forms shall prescribe program loan requirements regarding insurance, escrow payments, late charges, defaults, and similar matters. (7) The ODVA shall require that program loans be subject to acceleration at the option of the ODVA if at any time the veteran does not reside in the home as his/her primary residence, or if the veteran is determined to have been ineligible at the time the program loan was made. (8) The interest rate on each program loan shall be at the rate stated in the applicable commitment issued by the ODVA. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.005 & 407.115 Statutes/Other Implemented: ORS 407.075 to 407.385; Oregon Constitution Article XI-A, Section 3 History: DVA 6-2020, amend filed 07/10/2020, effective 07/11/2020 DVA 1-2020, temporary amend filed 01/21/2020, effective 01/22/2020 through 07/10/2020 DVA 4-2008, f. & cert. ef. 2-22-08 DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0250 Reservation of Funds and Commitments ODVA reserves funds for individual loans in the name of the veteran upon request from an Approved Lender or from authorized ODVA staff. ODVA may solicit applications and accept loan fund reservations from Approved Lender(s) subject to the terms of the appropriate agreements, and the rate and availability of funds. (1) ODVA will reserve funds for applications at the time of: (a) Acceptance of application for processing by ODVA; or (b) A verbal or written request from an Approved Lender that an application for funding is being processed. (2) When ODVA reserves funds, an interest rate will be committed to this reservation and will be effective for a period of 60 days. The loan must be closed before the end of 60 days or the committed interest rate will expire. If the reservation is reissued, will bear an interest rate at the higher of the expired/cancelled rate or the then-current interest rate at the time of reissue. If a veteran withdraws an application and subsequently re-applies for a loan on the same security, the "higher of" rule will apply for a period of 120 days from the date of withdrawal. (3) If the loan is not presented to ODVA for purchase with all documentation in place within 90 calendar days of the final HUD-1 settlement date, ODVA may charge the Approved Lender a fee of one basis point of the loan amount per calendar day, until loan is approved for purchased. Example: $150,000 loan closed and presented for purchase 120 calendar days after settlement date. The fee charged and deducted from the amount due to the Approved Lender is calculated as follows: $150,000 x .01% x 30 days = $450. (4) The commitment letter to the Approved Lender will contain the following information: (a) The dollar amount of the commitment; (b) The interest rate for the loan; (c) The term of the loan; (d) The mortgage insurance or guarantee required, if any; (e) The period of time during which the ODVA will purchase the loan; (f) The veteran who will be the borrower; (g) The property identification (i.e., property address); (h) Any additional information or conditions the ODVA considers appropriate in the commitment. (5) The ODVA will promptly notify Approved Lenders when it will not accept a commitment request, for whatever reasons. Statutory/Other Authority: ORS 406.005 & 407.115 Statutes/Other Implemented: ORS 407.075 to 407.385; Oregon Constitution Article XI-A, Section 3 History: DVA 6-2020, amend filed 07/10/2020, effective 07/11/2020 DVA 1-2020, temporary amend filed 01/21/2020, effective 01/22/2020 through 07/10/2020 DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0260 Title Insurance Each loan shall be covered by a title insurance policy issued in American Land Title Association (ALTA) form by a title insurer licensed by the State of Oregon. Such policy shall be in an amount at least equal to the outstanding principal balance of the program loan. The benefits of the policy shall run to the ODVA as either named insured or assignee. The policy shall not be subject to any exceptions or conditions other than those previously approved by the ODVA. [ED. NOTE: Forms referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115, 407.177, 407.179 & 407.181 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0270 Hazard Insurance The home securing a program loan shall be covered by hazard insurance, which meets the requirements of the rules and the Post Vietnam Era Veterans' Home Loan Origination Guide/Mortgage Brokers Loan Origination Guide, a copy of the Guide is on file with the Oregon Department of Veterans’ Affairs, 700 Summer Street NE, Salem, Oregon 97301-1285, and is available to the public during normal business hours. Such hazard insurance shall be in effect prior to purchase or funding of the program loan, and shall remain in effect for the term of the program loan. The ODVA shall be named as the mortgagee insured. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115, 407.177, 407.179 & 407.18 Statutes/Other Implemented: ORS 407 History: DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0280 Flood Insurance (1) The Director of the Oregon Department of Veterans' Affairs (Department) shall require that the location of the security on all loan applications received by the Department is reviewed and a determination made as to whether flood insurance will be required as a condition of the loan. (2) A flood determination fee will be charged to the borrower equal to the amount charged by the flood determination reporting company at the time the application is submitted. (3) All flood determinations are to be provided for the duration of the loan while it exists in the Department's portfolio (more commonly referred to as life-of-loan tracking). (4) The flood determination company must meet the qualifications as determined by the Department by applying relevant industry standards. (5) Based on the determination that the security for the loan is located in an area classified as a special flood hazard area, the Director shall require the borrower to purchase flood insurance as a requirement of the loan. (6) If following loan closing, it is determined that the security is located within a flood hazard area as defined by the National Flood Insurance Reform Act of 1994 (42 USCS 3701-4370a), the borrower may be required to purchase flood hazard insurance at no cost to the Department. If flood hazard insurance is not voluntarily acquired, the Director may force place said insurance and: (a) Disburse all costs associated with the acquisition of the coverage from the escrow account; or (b) If there is no established escrow account, disperse all costs of the acquisition and establish an escrow account to cover the cost; and (c) Loan payments will be increased to repay the amount advanced. Statutory/Other Authority: ORS 406.030, 407.115, 407.169, 407.177 & 407.275 Statutes/Other Implemented: ORS 407.169, 407.177 & 407.275 History: DVA 6-2005, f. & cert. ef. 10-24-05 DVA 2-2001, f. & cert. ef. 5-23-01
274-045-0401 Purpose and Objectives (1) This subsection of division 045 is established to administer the provisions of Article XI-A of the Constitution of the State of Oregon as it applies to ORS Chapter 407. These rules, together with the Processing Manual, shall implement the Post Vietnam Era Veterans’ Home Improvement Loan Program. (2) The program's objective is to provide funds to finance qualified improvements of owner occupied, residential housing for qualified veterans in the State of Oregon. No improvement will be financed that is inconsistent with the provisions of ORS Chapter 407, applicable federal tax laws, ODVA's Processing Manual and any subsequent changes as they are effected. Copies of the Processing Manual are on file with the Oregon Department of Veterans' Affairs, 700 Summer Street NE, Salem Oregon, and available to the public during normal business hours. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115, 407.125 & Art. XI-A OR Const. Statutes/Other Implemented: ORS 407.115, 407.125 & Art. XI-A OR Const. History: DVA 10-2001, f. & cert. ef. 12-26-01
274-045-0411 Definitions Selected words and terms as used in OAR chapter 274, division 045, are defined as follows: (1) Veterans' Home Improvement loan means a loan or loans issued pursuant to OAR 274-045-0401 for not more than the total loan right where said loan funds are used to improve the basic livability of the home as defined in OAR 274-045-0001(11). (2) Qualified improvements means the remodel or improvement of an existing home which will substantially enhance or protect the basic livability of the home, which are consistent with provisions of applicable tax laws. (3) Processing Manual means the Oregon Department of Veterans’ Affairs (ODVA) manual containing the policy for the Veterans' Home Improvement Loan Program and any subsequent changes as they are effected. (4) Veterans' Home Improvement Loan Program means all veterans' home improvement loans for which applications are received on or after June 29, 2001, and the veterans eligible for this program. (5) Existing loan means any loan or loans obtained by the veteran to purchase or improve the property used as security for a loan with the ODVA. (6) Loan to Value Ratio is the loan amount plus any outstanding balance owed to ODVA on the security divided by the net appraised value. [Publications: Publications referenced are available from the agency.] Statutory/Other Authority: ORS 406.030, 407.115, 407.125 & Art. XI-A OR Const. Statutes/Other Implemented: ORS 407.115, 407.125 & Art. XI-A OR Const. History: DVA 2-2005, f. & cert. ef. 4-22-05 DVA 10-2001, f. & cert. ef. 12-26-01
274-045-0421 Interest Rate As provided by ORS 407.327, the interest rate on veterans' home improvement loans for which applications are received on or after June 29, 2001 shall be fixed and consistent with OAR 274-045-0070. Statutory/Other Authority: ORS 406.030, 407.115, 407.125 & Art. XI-A OR Const. Statutes/Other Implemented: Art. XI-A OR Const. History: DVA 10-2001, f. & cert. ef. 12-26-01
274-045-0431 Approval of Veterans' Home Improvement Loans Veterans' home improvement loans will be processed using ODVA Processing Manual and current industry standards determined by the Department to be applicable to the proposed loan. Applicable industry standards may include, but are not limited to, local lending practices, FannieMae and other lending organization standards, and federal and state legal requirements. A copy of the Processing Manual is on file with the Oregon Department of Veterans' Affairs, 700 Summer Street NE, Salem Oregon, and is available to the public during normal business hours. Statutory/Other Authority: Art. XI-A, OR Const., ORS 406.030, 407.115 & 407.125 Statutes/Other Implemented: Art. XI-A, OR Const., ORS 407.115 & 407.125 History: DVA 6-2005, f. & cert. ef. 10-24-05 DVA 10-2001, f. & cert. ef. 12-26-01