Creating and Perfecting the Security Interest

Establish whether the Borrower or a third party owns the Personal Property

Confirm that the BorrowerBorrowerPerson who is the obligor per the Note. has provided a representation of ownership in the Underwriting Certificate (Borrower) (Form 6460.Borrower).

Verify that no other party has a Lien on the Personal Property

Conduct searches for UCCUCCUniform Commercial Code financing statements, tax LiensLiensLien, mortgage, bond interest, pledge, security interest, charge, or encumbrance of any kind. , and judgments on all relevant parties to the transaction.

Obtain a perfected first security interest in the Personal Property

• Obtain a security agreement from each third party that owns Personal PropertyPersonal PropertyFurniture, fixtures, equipment, and other tangible personal property located on or used in connection with the Property. .
• Verify that the Security InstrumentSecurity InstrumentInstrument creating a lien or encumbrance on 1 or more Properties and securing the Loan Document obligations. and each third party security agreement contains a granting clause creating a security interest in all Personal PropertyPersonal PropertyFurniture, fixtures, equipment, and other tangible personal property located on or used in connection with the Property. .
• File a UCCUCCUniform Commercial Code -1 financing statement in the appropriate filing and recording office(s), with a description that matches the security interest granted in the Security InstrumentSecurity InstrumentInstrument creating a lien or encumbrance on 1 or more Properties and securing the Loan Document obligations. .

Assign the security interest from you to Fannie Mae

File an appropriate assignment (e.g., UCCUCCUniform Commercial Code -1Ad; UCCUCCUniform Commercial Code -3) in the same office(s) where the UCCUCCUniform Commercial Code -1 is filed or recorded.