When a SAA is required. The Agency requires a borrower to enter into a SAA with the Agency covering all real estate security when the borrower:
Owns any real estate that serves or will serve as loan security; and
Accepts a writedown in accordance with § 766.111.
When SAA is due. The borrower must repay the calculated amount of shared appreciation after a term of 5 years from the date of the writedown, or earlier if:
The borrower sells or conveys all or a portion of the Agency's real estate security, unless real estate is conveyed upon the death of a borrower to a spouse who will continue farming;
The borrower repays or satisfies all FLP loans;
The borrower ceases farming; or
The Agency accelerates the borrower's loans.
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