Bulletin: AL000012

Dear Associates:

We are experiencing an increase in requests to issue the ALTA-7 Manufactured Housing Endorsement to lenders that specialize in Mobile Home financing. The recent increase in the sale of manufactured housing, is perhaps, due to the growing problem of affordable housing.

The Stewart Title Guaranty Company Underwriting Manual (Virtual Underwriter) Sections 12.24.1 and 12.24.2 contains an excellent discussion of the requirements to issue the ALTA-7 Endorsement. In addition, you will need to consult the Alabama Code (1975), Sections 32-8-30 and 32-8-33, which were effective beginning 1-1-90.

The Alabama Code appears to treat a Mobile Home as personal property until it meets the referenced code requirements to become real property. The forms for obtaining a cancellation of certificates of title are available from the Department of Motor Vehicles, Montgomery, Alabama (334) 242-9000. In addition to the Alabama Code requirements we ask that you follow the underwriting requirements as contained in the Underwriting Manual, a copy of which is available through the references section at the end of this bulletin and can be accessed at http://www.vuwriter.com/ .

If asked to issue the ALTA-7 on Mobile Homes purchased prior to 1-1-90 the same procedures should be followed as outlined above.

Also, please review the Alabama Code (1975) sections 24-5-30 to 24-6-4 regarding anchoring of Mobile Homes.