The veteran shall furnish at his or her expense an ALTA Mortgagee's Title Insurance policy for the amount of the loan, a title company lien search, or a certificate of title.

1. (1) The title policy, or other reports, shall show that the State has a first lien except in the case of:

   1. (a) Property taxes not payable;
   2. (b) A lien of a bonded irrigation or drainage district, in which case all due assessments must be paid;
   3. (c) A public improvement lien, bonded or being collected by the County Tax Collector in which case all due assessments must be paid;
   4. (d) A lien for Reclamation Service of the United States Government, in which case all due assessments must be paid;
   5. (e) An ALTA Mortgagee's Title Insurance policy insuring the State against loss from any prior encumbrance, but the encumbrance must be acceptable to the veteran mortgagor.
2. (2) All water stock shall be endorsed to, and deposited with, the Director to be held by the State until its interest terminates.

Statutory/Other Authority

ORS 406

Statutes/Other Implemented

ORS 407

History

DVA 2-2001, f. & cert. ef. 5-23-01