NRS677.245. Limitation on investment in real property; recording deed or other document; subsidiary ledger or other appropriate record.

      1.  Unless the licensee has received a written waiver from the Commissioner, the total amount of money that the licensee has advanced or committed for the real property that it has developed or constructed may not exceed twice the sum of its stockholders’ equity and any other reserves required by the Commissioner.

      2.  If a licensee acquires title to any real property pursuant to the provisions of subsection 1 of NRS 677.630, the deed or other document representing the transaction must be recorded within a reasonable time after the acquisition of that property.

      3.  An account must be established for the acquired property with a separate subsidiary ledger or other appropriate record. The amount carried in the account must be the sum of the unpaid principal balance of any loan made by the licensee that was secured by the foreclosed property plus the cost of the foreclosure less any advance payments held in the account for loans in progress at the time of acquisition, together with:

      (a) Any amount paid after acquisition for taxes on the property that accrued before the acquisition;

      (b) Assessments that are due or delinquent at the time of acquisition;

      (c) Any other costs of acquisition; and

      (d) The cost of insurance on the property.

      4.  The subsidiary ledger or other appropriate record must indicate as to each property:

      (a) The type and character of the property;

      (b) All the capitalized items of investment and their cost; and

      (c) The account number of the former loan or contract of sale.

      (Added to NRS by 1985, 2193; A 1987, 2000; 1997, 1015)