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"~ RENEGOTIAHLE RATE RIDER
/ MARCH S RENEGOT=ABLE RATE R=DER i9 made ttiis gRD day of
, 19 81, and is incorporated iato aud sia 1 be
eeme to amend aad supplement a mortqaqe (herain "security
iaatrumsat") dated of even data herewith, qiveA by the
uadersiqnad (harein "Borrower") to secure Borrower's Note to
Heritaqe Federal Savinqs and Loaa Association (herein "Lender")
and coveriaq the property dascribed ia said mortqaqe and
~ located at LOT il BLK 155 PT. ST, LUCIE SECTION 4 PORT T UCIE,
(property a ess . L A
RENEGOTIABLE RATE COV~IANTS. In addition to the covenants
and agreements made in the security instryment, Borrower and
Lender further covenant and aqree as follows:
A. T~RMS OF NOTE AND KORTGAGE. Borrower and Lender
acknawledqe that the security instrument shall be deemed a
Reneqotiabl~ Rate Mortqaqe ("RRr:" ). The term of the RRK
loaa is years, and tY~.e tera of the mortqaqe securi.zq
said Zoan- s- 30 years. Borrower and Lender aqree that
the iaitial loaa term may be up to six (6) months lonqer
thaa later terms.
8. NOTE AQTOMATSCALLY REqEWABLE. Borrower and Lender
aqree that the Promissory Note {":1ote") secured by the
mortqaqe iastrument is automatically renewa.ble for a aeriod
equai zo the term of the mortqag~ i~~uvmerri~ iup ~a _
years). The interest rate may increase or decrease at each
renewal of the short-term (_~_ years ) loan, which may
restrlt in an iacrease or decrease in the amount of the
monthly payment dua under t~e Note.
C. MODIFICATIONS AT .~';~iEWAL.. Lender aqress that the
only provision.o~ said note which ~ray be ~odified at renewal
+s the contract interest rate set fort'~ therein, toqether
wi.th aay chanqe-in the amouat of the monthly installaents of
principal and interest necessary to amortize a loaa with the same
principal a.nd at the same interest rate over the remainiaq ter•n
of this mortgage. Bonawer and Lender aqree that the interest
rite offerad at renewal shall be based upon a monthly index
rate comnuted by the Federal Home Loan Bank Board, as set
forth in the vote. Interest rate decreases and increases
are mandatory and are not discretionary or opt~.ional with the
Lender.
D. BORROWER'S RIGA'!' OF REFIISAL. Borrower and Lender
acknowledqe that Horrowe= has the riqht to decline Lender's
offer of rene~wal, in which ca9e the r~naini.zq balance of the
unpaid principal and interest secured by the mor*_qaqe becomes
due and oayable upon the.aaturity day of the Initial Lcan
fierm, or aay Rene~~l Loan Term, as the case nay be.
E. NOTICE. At least ninety (90) days before the end
of the Initial Loan Term and any` Renewal S.oan Term9, excent
for the final Renewal Loan Ter.a, the Lender must send to the
Borrawer a Yenewal notice which states, amonq ot+'~er thinqs,
the renewal intesest rate and new monthly instalL~aent for
the next Renewal Loan Term.
F. PREPAYMENT. The unpaid principal 5alance secured
by the security instrument may be prepaid in full or in aart
without penalty at any time.
F G. RE.~DIES. If Borrawer breaches Sorrower's covenants ~
and aqreemeats heseunder, t'~en Lender may invoke any remedies
provided under the security inst..~uaPnt, includinq, but not
li.mited to, t:~ose provided under Qniform Covenant 7.
' aooi 3~0 ~cE ~9~1
; LCS-69
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