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HomeMy WebLinkAbout0929 Y47-024493 ~ENEGOTIAHLE RA2'r RIDER TSIS R.''NEGOTIABLE RATE RIDER is made this 4T~ day of , 19~ and is incorporated i.nto and s~iall be eem to amend and suppl~ent a mortqaqe (herein "security inst..-vment") dated of even date herewith, qiven by the undersiqned (herein "Borrower") to secure Borrower's Vote to Heritaqe Federal Savinqs and Loan Association (herein "Lender") and coverinq the property desc~~~~d ~T~ai~~mo~~~~qe and located at 5508 MELVrLLE RD., , (property a ess). '-tENEGOTIABLE RATE COVLNANTS. In addition to the covenants and aqreements made in t'~e security ~strument, 3vrrcwer and Lender furthe= covenant and aqree as follows: A. TERMS OF NO'i'E PiND KOR^_'GAGE . Borrower and Lender acknowledqe that the security instrument shall be deemed a Reneqotiable ~ate Mortgaqe ("RRN:" The term of the RR'i loart is years , and t~e tezn o= t':e nortgaqe securi.zg said loan is 30 years. Borrower and Lende= aqre~ that the initial loa.a ter.a may be up to six ( 6) months 2onqer than later te~s . ~ B• ~10TE AQTQMA'3'2CALLY R~E'AABLc . 3or~ower and Lender aqz~ee that the Promissory Note (";tote" ) secured by t~e - mortqage instrument is automaticallv r~ewab?e ior a~er~od equal to the ter~ of the ~ortqaqe instrument (up to years) . T'_:e interest rate may :ncrease or decrease at eac.'~ renewal of the short-term years) loaa, which may result in a.n increase or decrease in the amount of ~e monthly payment due under the Vote. C. MODIFICATIONS 3T 4E~~IEWAL :,ender aq+ ess ~at ~'~e only provision of said note •~ahich may be ~odified at renewa~ is t..'~e contsact interest rate set forth t~erein, ~oqetaer with a.ny chanqe- in the amount of the ~cntr'~ly installaents oi principal and interest necessar: to amortize a loan wi~h ~ae same principal aad at the same interest :ate over the remaininq ters of this mortqaqe. Borrower and Lender aqree t~at the interest r3te offered at renewal shall be based upon a monthl_v i.ndex rate comnuted by the Federal Home Loan Bank Board, as set ' forth in the vote. Interest rate decreases and iacr~ases ~ are mandator~ and are r.ot discretionary or optional ait~ `he Lender. t ' D. BORRQWER' S 2IGH^_' OF ~'IISAL . Borrcwer and Lender ; acknowledge that Horrower has the right to decline Lender's 3 offer o'f renewal, in which case the r~?aininq ~a~ance of the ~ unpaid principal and interest secured by *he mortgaqe becomes- ; due and oayable upon the ~aturitv day of t~e Initial ~oan s Term, or auy Renewal Loan Te_~, as ~e case r~ay be. ; ; ~ NOTICE. At least ninety (90) days before t~e enC i A of t~e Initial. Loan Ten~ and any ~enewal Loan "_'er.as , excect $ for the fi.nal Renewal Loan Te~, the Lender must send to u+e ~ Horrower a ~enewal notice which states, among otzer *hizgs, ~ the renewal interest rate and new ~onthly i.~s;~.all~ent Lor the next Renewal Loan Term. i ~ F. PREPAYMEN'~. The unpaid ~riaci~al 5alance secured i by the sec~srity inst~rument ~ay be prepaid ia f•111 or iz ~ar~ ~ without penalty at any time. j G. RE.'~II?DIES . =f 3or_awer brsaches 3orrcwer's covenants ~ and agreements hes+~under, t'~en Lender aay invoke any remedies ~ provided und~r t.'~e secu~ity ~nst~-umPnt, izcludinq, but zot ~ l.i~ited to, those orovided under Uni€or.n Covenant 7. ~ ~ , s 3~'~ 355 ~`~9 LCS -6 9 a , ~ , - : r__