AZ Operations Summary

Licensed Entity

WFG NATIONAL TITLE INSURANCE COMPANY

See Attached HUD Sample for Additional Information

Banking Information

• Bank account/AZ 4129635173/Wells Fargo Bank

• Bank account/CD 4126925320/Wells Fargo Bank

• Bank account/LS Waiting for response from LS

• Good Funds Law Yes

• Disbursements Requirements

• Special Bank Requirements (IOLTA or IOTA or account specific to that state’s funds) Bank must be domiciled in Arizona

Escrow/Settlement

• Who can prepare the HUD Escrow Officer

• Who can sign the HUD (EO/LTP/Attorney) Escrow Officer

• Who orders hazard insurance Customarily - Lender

• When is transaction consummated for new HUDs

• Record before/after disburse Record first by custom

• Filed/restricted escrow rates Yes, see HUD Sample/rates info

• Record retention requirements 7 years

• Is an attorney involved in the closing No

• Who can handle loan document signing Notary signing permissible

• Doc/Deed Prep Restrictions Legal docs must be prepared by AZ licensed attorney

• Use Escrow Instructions or not Yes

• Use Estimated HUD or Final Estimated customary

• Pass-thru charges Yes

• Rates Inclusive or not Inclusive of Search and Exam

• Up Charging No – filed escrow rates

• Junk Charges No – filed escrow rates

• Special HUD Requirements No

• Special Disclosures Yes – CPL availability; Yes – regarding no insurance on monies in escrow accounts; Yes – right to earn interest;

• CPL Yes

• UPL Issues Legal docs must be prepared by AZ licensed attorney

• Joinder of non-titled spouse Yes for community property

• Survey Required Purchase – no

Refinance - no

Audits

• Required Yes - Title and Escrow subject to state audits

Annual CPA Audit of Escrow Accounts required

Recording Process

• E-recording Yes

• Record before disbursement Record then disburse customary

• Special recording procedure

Recording/Document Requirements

• Marital Status Stated Yes

• Transfer Tax No

• Mortgage Tax No

• Address for grantor/grantee/property Grantee address required

• Witnesses No

• Names typed/printed Yes

• Prepared by/return to Return to address required

• Notary Stamp/requirements Name printed or typed, date of acknowledgment, date commission expires and stamp or seal.

• Parcel or tax index number Not required on Deed

• Recitation of Consideration Not required on Deed

• Derivation Clause No

• Corporate Signatures/Attestation Not required, use corporate resolution

• Ink Color/Font Black/Minimum 10 point

• Legal Description Required

• Margins ½” margins top bottom and sides; top page must have 2” top margin or cover page

• Other Special Recording: None

Document Types

• Conveyance Warranty Deed and Grant Deed (Aff. Of Property Value or Exemption code required)

• Security Instrument -- Deed of Trust is typical. Mortgages are permitted under AZ law.

• Release

Tenancies

• Tenants in Common YES
• Joint Tenants YES
• Tenancy by Entireties NO

• Community Property YES

• Homestead

• Joinder of Non-titled Spouse YES for Community Property

Taxes

• Taxes Levied Yes

• Taxes due 1st installment 10/1, 2nd installment 3/1

• Delinquent 1st installment 11/1; 2nd installment 5/1

Commitment/Policy Special Requirements

• Who can sign Commitment/Policy Title Officer or officer of the company

• Other

Payment Customs

May be negotiated in the contract. Customs are:

• Owners Policy paid by Seller
• Transfer tax and recording fee: usually split depending on agreement
• Survey charges: usually split depending on agreement
• Closing/settlement charges: usually split depending on agreement

Post Closing Requirements

• Recon follow up required If charged

Withholding

Arizona has no state withholding requirements in addition to FIRPTA.