If you have an agriculture real estate loan to purchase land with a muti-purpose building with four walls, do you need to do a flood hazard determination?
Can a third-party conduct the private flood policy review?
It is my understanding that we must accept private flood insurance only if it contains the Compliance Aid statement. Correct?
If we are renewing, extending or increasing a loan do we need to do a new flood determination? Can it be recertified?
When the building is a 1-4 family dwelling used as a vacation rental, has a transient license, and is rented nightly and weekly to generate income, should we consider residential or non-residential maximum limits?
In a zone change scenario, does the escrow requirement apply to residential improved real estate or mobile home that went into a special flood hazard area?
We are taking leasehold improvements on property located within a flood zone on a new loan. I'm pretty sure I need content coverage but what about building coverage? The lease agreement does state that the company leasing is responsible for any insurance protection whether it be fire, wind or flood.
In 2019, a construction loan in a Special Flood Hazard Area had a flood determination completed and insurance was obtained. At the same time, a perm loan number was assigned, though that loan was not originated/signed until 2021. Does a new determination need to be obtained because a loan was "made" in 2021 or can we use the original determination based on seven year rule and look at it as an increase, renewal, or extension of credit from the construction to perm side which took place in 2019?
Do we have to force place insurance in the following situation?
Mr. Smith's flood policy expires on 2/1/21. The loan pays off on 2/15/21. Mt. Smith decided to not renew his flood policy in anticipation of paying the loan in full. Do we have to force place coverage for the period of 2/1/21 through 2/15/21, even though the payoff was within the 29-day grace period?
Is it true that the NFIP will only pay out if the borrower has hazard insurance in place on the property? Our bank's practice is to get hazard insurance at closing, but doesn't monitor for it after that. If the hazard insurance policy has expired and there is a flood, will the NFIP pay out?