Section R20-4-325. Appraisal Requirements -- A.R.S. § 6-457

No association shall grant, make, disburse any portion of, or invest its funds in, any loan on the security of real estate, until:

1.        At least one qualified person, whose qualifications have been approved by the board of directors of the associa- tion, and whose compensation shall not in any way be affected by the approval or declining of the loan, has appraised the real property security; and

2.        Each such appraisal shall be in writing with a certificate signed by the appraiser, under oath, stating that he has personally examined the described property, setting forth the value of the land and, separately, the nature, condi- tion, and value of the improvement, or improvements to be made, if any; and

3.        Notwithstanding the provisions hereof, an association may make any insured or guaranteed loan on the basis of a valuation of the real estate security furnished to such association by any lending, insuring or guaranteeing agency of the United States or of the state of Arizona which shall insure or guarantee such loan, wholly or in part.

Effective 8-13-72

Historical Note

Former Rule 25. R20-4-325 recodified from R4-4-325 (Supp. 95-1).