NAC645B.080. Provision and retention of certain documents.

     1. Except as otherwise provided in NAC 645B.038, before an investor who is a natural person makes a loan for which a licensed mortgage broker is acting as a broker, the mortgage broker must provide, unless specifically waived in writing, to the investor:

     (a) A written application for the loan which is signed by the prospective borrower and which contains the borrower’s address, a history of his or her employment and income, details of monthly payments he or she is obliged to pay and any other information requested by the investor.

     (b) Evidence of the history of employment of the prospective borrower and income, such as a tax return or an employer’s statement of the borrower’s past yearly income.

     (c) A report on the history of credit of the prospective borrower issued by a credit reporting agency, including an explanation by the borrower of any material derogatory item in the report and evidence that the report has been compared for accuracy to the borrower’s application for the loan.

     (d) An analysis by the mortgage broker of the ability of the prospective borrower to pay his or her monthly debts.

     (e) A preliminary report on the status of the title of the property which is proposed as security for the loan.

     2. A mortgage broker shall retain a copy of the documents described in subsection 1 and shall retain in his or her files a statement from the investor, on a form provided by the Division, acknowledging that:

     (a) The investor received the documents, or that the investor waived in writing the right to receive the documents;

     (b) The decision to make the loan was made after the investor had the opportunity to receive and review the documents; and

     (c) The investor continues to meet the minimum financial requirement set forth in NAC 645B.255.

     3. If the loan is made, the mortgage broker shall retain in his or her files and provide to the investor:

     (a) A copy of the promissory note;

     (b) A recorded copy of the deed of trust securing the loan; and

     (c) A copy of the policy of title insurance on the property securing the loan.

Ê The mortgage broker shall retain in his or her files a statement, on a form provided by the Division, acknowledging that the documents were provided to the investor.

     4. If the loan is made, the mortgage broker shall retain in his or her files:

     (a) A copy of a policy of fire insurance which is adequate to cover the replacement costs of all improvements on the property securing the loan, including an endorsement naming the investor as the insured, when applicable;

     (b) If the investor is not a natural person, a copy of its statement authorizing the loan; and

     (c) If the borrower is not a natural person, a copy of its statement authorizing the loan.

     5. The mortgage broker shall store his or her original notes, if retained, in a fireproof container or room.

     6. If the mortgage broker has obtained an appraisal or any other independent assessment of the value of the mortgage property, the mortgage broker shall provide a copy of the appraisal or independent assessment to the:

     (a) Investor, upon request; and

     (b) Borrower, upon request, if the borrower has paid for the appraisal or independent assessment.

     [Comm’r of Savings Associations, Mortgage Reg. § 8, eff. 6-29-82]—(NAC A by Comm’r of Financial Institutions, 5-19-88; R045-00, 9-5-2000; A by Comm’r of Mortgage Lending by R056-08, R057-08 & R058-08, 4-23-2009)