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HomeMy WebLinkAbout0977 ~ ~ City Affprdable Mortgage Plan - -r.-~. - , Gr'~duated Payment and _ ~ - Adjustable Rate Loan Rider F. ,L' F~-iIBIT"A" 909190-4 Notice: The security instrument secures a Note which contains p~ovisions that: (1) Cause the interest rate to change periodically based on changes in an Index. The Borrower's scheduled monthly payment will also change periodically. I ~2) Cause the Borrower's monthly payments to be reduced for the first F~ years of the loan. However, that reduction will be eliminated as the Borrower's scheduled monthly payment increases by a set amount in the second through FTF`rFt years of the loan. ~3) Altow the outstanding principal baiance af the loan to increase over time. This will happen if the scheduled monthly payment ss not large enough to pay all of the interest due and the Lender lends the Borrower the I difference under the terms of the Note. I This Rider is made this _ 17th day of _S~nt~'Jnt~r , 1 g 84 , and is incorporated i~to, and shall ne deemed to amend and supplement the Mortgage, Deed of Trust, or Deed to Secure Debt (the "Security instrument") of the same date given by the undersigned (the "Borrower'") to secure Borrcvrer's Note to City Federal Savings and I r1A?1 Accnrfatinn IfFin "I onrior"1 nf thp c~mo rloto /fho "Atnfo"1 onrl ~n..n.~.,., ~I.~, .~~.....:4..,,.~ c~__,._:... . - - - ; ~.,.c:. ic:... j y r...~-~ ..~.J~.,.v~,~.:~~ i~~c ..~ci.uiiir iiiJii~iii~ciii and located at 3201 North AlA, Unit # 1101, Fort Pierce, Florida 33449 Modifications. In addition io the covenants and agrEemer,ts made tn the Security Instrument. Berro~ve~ and Lender further covenant and agree as follows A. Interesi Rate Changes 13.750 The Note has an "Initia~ interest Rate" of °o. The Note interest rate may be increased or decreased or the first day of the month beginning on APril 1 g 85 , and on that day of the month every SIX (6) months !hereafter. The dates on which the inierest ra:e may change are called the ~Interest Rate Change Dates". Changes in the interest rate will be based on changes in a measure of ihe cost of money called the ~Index:' The Index will be stated as a percentage figure. The !ndex at the beginning of this loan is the ene following tne box which ; is marked: i r ~ The average dfscount rate on twenty six week Treasury Biils as announced by ihe U.S. Treasury Department E foliowing its sale of these securities. ~ - . ~ _ The weekly averaqe yie!d on United States Treasury Securit+es adjUSted to a constart maturity ~ of _ years as publ~sned by ,he Federal Reserve Board in Statistical Re!ease H-15 (519) ~ published weekly. ~ _ E. ~ ~ x ~ The Lender may subs:itute a new measure cf ihe cost of money as the Index if at any time the lndex beirg used E ceases !o be publicly arnounced by its source. The substituted Index will be used to determ~ne changes in the ~ interest rate begir,ning ~rrith the first interest rate change after the substitution. Any substituted Index wil! be beyond ~ the control of the Lender and will be readily avaiiable to and verifiable by Borower. ~ To set each new interest rate, the Lender wiil first determine the "Current Index" figure. The Current Irdex figure is ` ?he figure most recen;ly available 45 days bebre each Interest Rate Change Date. ~ The Lender will round up the Curent Index figure to the nearest one eighth of one percent (.125°0}. The Lender w~l! ~ add the amount of 3. 000 °-b to the Current In~ex figure. The result of ih~s add~tion w~ll be the new interest rate. '1~e interest rate shall not increase more than four (m) percen*age points above _ th~ initial interest rate during the lo~n terrn. B. Monthly Payment Changes: Capitalized Interest The secured indebtedness is payable in monthly instal{ments. Monthly payments will be appiied first to the ~nterest due and then to ~r~ncipal. The interest due may be greater than th~ c~~rrent amount of Borower~s scheduled monthly payment. In tha4 case, the ~nierest due wh~ch is greater than the Bor.?owers scheduled monthly payment w~l! be advanced on Borrower~; account by Lender and added ta the outstanding pnncipal balance under the Note. un;ess otherwise pa~d by Borrower Such cap~taiized ~n!erest ~s part of the ~ndebtedness for wh~ch the Secur~ty Instrument secures repayment. Borrowers monthiy payment for th? first year witi be :n the amo nt of U.S. ~ 1,127.21 ~ Borrower s monthiy paymen; w~ii be reset on ihe ~~St day of _ ~~r for the f~rst FNE _ years so that: B~~,x 443 P~~~~ ~77 INITIAL HEF2E ~ _ - _ ~ _ _ ;;c';c~.:~ ~ - ..a . _ _ ~ _ _ ~a.