# COMAR Title 05 — Department of Housing and Community Development

## Subtitle 06 — Housing Insurance

### Chapter 09 — Business Reserve Insurance

#### Regulation .03 Eligible Property.

*COMAR 05.06.09.03*

A. Real property financed by loans insured by the Fund shall:

  (1) Have clear and merchantable title acceptable to the Fund;

  (2) Conform to all applicable federal, State, and local building, zoning, environmental, health, and housing codes;

  (3) Be insured with hazard insurance issued by a company that is approved by the State Insurance Commissioner and, when applicable, flood insurance;

  (4) Have an appraised value that is satisfactory to the Fund;

  (5) Be secured by a lien against the mortgaged property or other collateral acceptable to the Fund; and

  (6) Meet any other standards of the Fund.

B. Personal property financed by loans insured by the Fund shall:

  (1) Have clear and merchantable title acceptable to the Fund;

  (2) Have an appraised value that is satisfactory to the Fund;

  (3) Be secured by a lien against real property, personal property or other collateral acceptable to the Fund; and

  (4) Meet any other standards of the Fund.

C. Loan to business project for credit, operating costs and administrative costs insured by the Fund shall:

  (1) Be secured by a lien against real property, personal property or other collateral acceptable to the Fund; and

  (2) Meet any other standards of the Fund.