Alaska Admin. Code tit. 15, § 151.860 – Loan terms

(a) Each loan facilitated by the corporation under 15 AAC 151.850 - 15 AAC 151.865 must
1. (1) be initially serviced by a servicer approved by the corporation;
2. (2) constitute a first lien on real estate in fee simple or on a leasehold estate and be subject only to permitted encumbrances;
3. (3) if the loan to value ratio exceeds 80 percent, be the subject of private mortgage insurance, federal insurance, or a federal guarantee; and
4. (4) be insured by a mortgagee's policy of title insurance, issued by a title insurance company qualified to do business in the state and acceptable to the corporation, insuring the enforceable mortgage, subject only to permitted encumbrances.
(b) The loan-to-value ratio and the loan amounts on loans under 15 AAC 151.850 - 15 AAC 151.865 shall be as follows:
1. (1) other than as provided in paragraphs (2), (3), and (4) of this subsection, the loan-to-value ratio on a mortgage loan for the purchase of
  1. (A) a single family residence shall not exceed 95 percent;
  2. (B) a duplex residence shall not exceed 90 percent; and
  3. (C) a triplex or four-plex residence shall not exceed 80 percent;
2. (2) the amount of the guarantee plus the down payment on a mortgage loan guaranteed by the Veterans Administration must equal 25 percent of the value of the residence based on the lesser of the sales price or appraisal; and the VA guarantee must equal the maximum guarantee possible under the VA program;
3. (3) the down payment and loan-to-value ratios of mortgage loans insured or guaranteed by FHA, HUD, or RD shall be as required by FHA, HUD, or RD;
4. (4) the loan-to-value ratio of a mortgage loan made under 15 AAC 151.850 - 15 AAC 151.865 to an education professional or a health care professional for owner occupied, single family housing, shall not exceed 100 percent;
5. (5) the loan amount on a mortgage loan made under 15 AAC 151.850 - 15 AAC 151.865 for a residence shall not exceed the applicable FNMA or FHLMC maximum loan amount for the same type of property by more than 10 percent;
6. (6) the loan amount on a mortgage loan insured or guaranteed by FHA, HUD, or RD for a residence shall not exceed the applicable limits established by FHA, HUD, or RD;
(c) A residential mortgage loan under 15 AAC 151.850 - 15 AAC 151.865 to finance a unit in a condominium project or in a planned community project shall be subject to the following terms and conditions:
1. (1) the living units of the condominium or planned community project must be within the same structure or a reasonably contiguous structure, and the common elements of the project must have been completed before the loan is purchased; and
2. (2) prior acceptance procedures, warranties, and provisions relating to the sale and occupancy of units which are reasonable and customary in mortgage lending shall apply as prescribed in the Common Interest Communities guide.
(d) The corporation will facilitate a loan under 15 AAC 151.850 - 15 AAC 151.865 to finance a residence for members of the Alaska delegation to Congress only if the residence is located in the District of Columbia or within 50 miles of the District of Columbia.

(Eff. 1/9/2013, Register 213)