FL Shared Appreciation Endorsement Guideline 1
Explanation:This endorsement provides affirmative coverage against loss suffered by the insured as a result of the invalidity or unenforceability of the mortgage, we well as the loss of priority of the lien of the insured mortgage resulting from terms contained in the insured mortgage providing for shared appreciation interest. The definition of shared appreciation interest contained in the endorsement is tied to the formula contained in the insured mortgage. The endorsement does not insure against loss or damage based upon usury; consumer credit protection or truth-in-lending law; or bankruptcy.
Underwriting Requirements:In order for coverage to be provided, the formula to calculate the shared appreciation must be contained in the mortgage.
The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.
Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.
This guideline applies to the following form(s):