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.
;
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~ 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.
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