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HomeMy WebLinkAbout0968 s ~ . , ' r .~r. . . I~ Ct'T'1f. ~ ~ ~ . EXHTBIT A CITY AFFORbABLE MORTaAp~ p~~N C;~:~ °,`n ADJUSTABLE RATE IOAN AiOER ~ ~ 6AJ 9o93b7-2 Notlce~ The s6curity I~atrument aecurea n Note which contelns provlolona that; (t) Caua. tn~ ln~~raf1 r~t~ to th~nQ~ p~Nodlc~l~y ba~~d on chanp~~ In Ind~s. Th~ BorroMr'~ ~ch~Wul~d monlhtY p~rm~nl wttl •I~o tAan~• p~tlodit~l(y. (2) A~iow tho out~l~ndlnp pHntlpel b~lanco of th~ loan to Inth~s~ ovar Ilm~. Thls wlll hopp~n It th~ ~ch~dulb monthiy p~y. m~ni Is ~ol I~rp~ ~nou~h to p~y ~11 0l ih~ Int~r~~t du~ and ih~ ~~nd~r I~nd~ Iho E3onow~~ th~ dfH~ryf1C~ ynd~~ ~h~ 1~?tn• ol th~ Idol~. Th~a a~c~r me0~ tni~ 15thdsy ol ' MBrC , ip onC 1• lncorporatsd Inb, ~nd ~~at1 bi awm~Q ~o smen0 and lup0~emsnt I~e MOnP~pe. OeoC ot Tru~1, w aad to Sscuro ~o (Ihe "Sxunty Inelrument"y01 IM ~am~ a~~~ 9rv~n Dy tno ur,ds~s~qned (~ne "Borrorrer' ) to ~ecurs Bo~rower'~ Note to City fsderal Sovin~~ und loan A6~oCieUOn, (th~'•~y?~~r'~~ ot tno •~mq-d~s ~n~'No ' nd cov0 Inp I~s propsrty QasCtiDed in 1hs SoCUNty Ineiiument end bcete0 e! j l~ 2 I~IudNicrUons, In •ddUwn 1o t~s Covs~ant~ end aqroemenlt m~ds In Ihe Setur~ty Inatrumoni, Borrower and Lendar iurthar tOv~nsn~ snC agre• a~ lo~bws: . A. Int~r~N R~t• Ch~?~p~s The No~e ha• an "Inl~l~l (nlsrs~t Rr~~" ol ~-0 ~ 75 T~. T~~ Nole intore~t rele m~y be increesad or dscreassC an ~h• i~~~1 day o~ Ine mon~h peQ~nnlnfl on ~~UgUS~ t0 ~5~ end every monlt~~ 1h~r~sh~~. Tn• O~i~• o?e wn~ch tns Interoet rate may'ehanqe are causo u~e "lMsrosl ~fel• C~enge Oatee.' Cnan~ea ~n Iho iMaroat rete will be bawd on chengoe in a mses~re O~ ttto CUSt Ol mOnsy CeItW thd "lndex". Ths ino,r w~.! be sie~od as s percantage Ilflure. 7nu-Index et Ihe befllnninp o! Ihis (oan i~ Iha one lolbwing Ihe Dox whith It merks0 QI The averaga d~9count ~ete on twonty e~x week Treaaury Bi1ta as o~nou~iced by t~e ~1.S. Troasury Depanme~~ toltow~np •aie ' ot tf?e~e seturillb~. ? T~e weekiy averege yieid on Uniled Slalua Treaeury Sc~curittee ad~uatad to e con~tnnt me~urqy o1 yeen a~ ~uDti~~~ " ed by Ihe Fedore! ABSetvA BOerd in Stet~s~icnl Rtlteas~ N•t5 (5~9) publishod weekly. L _ The ~ender mey substituto a new measure ol !he Cost ol money es l~e Index d et eny time the Indax Deing used cee~~e !o C! Fuc;:ciy Announced by ile aource. T~e subanw~ed InCex wi11 bs ue~d to dotermins chnnge~ ~n the Inleroat ra;e b~~nn~nQ tne Iust ~nte?est rats chenq• diter thg Subst~tuGOn. Any lubstilutao lndsx wd! be Deyond I~e control ol Ih• Lendsr anC w~~~ o~ rea0~iy ~va,lnble to ~nd Vetifi~bte by Borrowe?. To eet ecc~ new Intereel rat~. tt~~ Lender wlll tlrct determino Ihe "Currenl Index" Npur~. T~~ Cun~nl Ind~x t~qun I~ tn• I~qv?i moet reconiiy evn~labis 45 day~ beforo each Imereei Rate Chengs~ Date. Tne Lenaer wd~ rounQ up lh~ Curr~nt Indox tigure lo tt~e neerest 4ns eiphlh ol one perCeM (.125%). Ths le~C~r w~it ade tnc amaun~ ot _2.'75 _ 9b to tha Curront Indax Ilgu~o. The reeult ol thls addltion will De l~e nsw fntoreat rate. p. Monthlv Pati~mont Chongis: Caplt~li:ed tntonel ~ Tne ~eture0 indebteOnosa 1~ peyable In monthiy inelellmenta. Monlhly peymenls wlll be applied hrat lo the Interett du~ s~d tne lo ~~incipal. Tt~e interest due mey be greater then'the Cunertt emount o1 U~rrow9t's sr.hedulecf ~'nonthly paymenl. In tn~~ ta~e tf~e i~lere5l ~uo wh~th is gre6ler lhen the Borrowet's shedu~eG monthly peymant will bs sdvnnted on 8orrower'~ ~r.covni ~ ,kender end addod to lhe oust8nding principal balence under lhe Nole, unfos3 othenrri~e pe~d by Borrower. Sut~ cea~teE+zao ~r seresi is paA o~ Ihe indebledneee lor whith the Socu~lfy In~trument aecures tepaymqnl. 8orrower'` monlhly paymenl for t~e luet _,._2 ~ month• will be ~n the emount ot V.S. S 4~~ - 8 Q On _ May 1 tg $,1 snd pvory 24;_^ month~ thereaher (Ih~ "Monthly Payrnen~ A~~u~tment pe~N 8orrower's mon~hly payment wi?I also be re9ot. In rseetilnQ the monthly peymont on (hose ds18e, the tender w;+~ ae~~~m~no tr ampunt ol Ihe monthly peyment on Ina bss~s of It?e ~o1low~ng Inclorn: (a) Ihe outetund~ng prir ;I;,al belanco: anC _ (b} the :hen Curren( fntblasl ~ete, ~nd (C) Ihe ~ama~mng tetm ol !he l0en. Tne Lenoer w~'~i set tho monthty paymenl a! en em0unt which would bo sun~cionl to pey the loen in (ul! Over ite rdma~n~nq ie~ assum,ng :tio inon current irnerest rate does nol cheng9. In add~t~on, I~e lendor moy mcreese the 8oirower'~ mo~~~iy D~r^~~ ~ at 3nyt,m~• tne tota~ ol the emoun+ 01 interosl tap~tehjud as provido0 ebove s~r.co It~e begmning ol the b8n reacne! S__.~ ~ C Loan CharAe~ ' couiG De tnai tr,e lonn secured by the Socuri(y Inelrumanl ?s •uDjecl to n lew wn:ch ~ofa maximum ?o~n Ch~rpee and In~~ i~ ~nte~treted so lhel Ihe inlere9l o+ otrur ?o~n Cherflos CoitoCled Or lo be coueClod ~n conn~BCt~on wrth Ihe lOnn. ~vo~~C •u~~ permi~ted ~im~l! ~t ~h~~ ia the cese, :hon: (A) 8ny 6uGh ~OE:1 ~h9rQs sheli beloducod by tt~e emount noce~sarY to re0uc~ i~~ c"~~: ic ~Ra pv~T~!;ed t~mlt; end (B) eny sume si~ubdy eouec~ed lrom Borrowor whiCh uxeoedod perm~tted I~m~ts w~n be r~~unr,-w gor~ows? Lendo~ mey Choose Io make 1ni~ retunC by re0ucinp Ihe pr~napsl owud under ihe Nolo, Or by mtkin0 a C~rstt ~~y**+e IO 80~rOw9r ; D. Prfor ll~~is I il lenoer Q~le~m~ne~ Ihal slt O? any pen ol tne sumf •scurod Dy lhis 5ecur~ty Inetrumonl are eub}ecl to ~ Ilsn whkn nu O~b~ oYe? in~~ Secu~~ty In~tr~ment, len0or mey ~en0 6o~rowsr e nONce idont~~lnp lAet I~en. tlorrower ~hati promptiy act vr~~n r~~c ~o ~~a? ~~en as prov+de0 1n paragrepn 4 ot the Secunty (nstrument, or 3na? promp~~y ~ecure en aQreement • lcm+ u~~~~~c~~ to lenaer eu~~nindtinp t~et I~en ~o tnie Secunty Initrumenl. gy ~?pn~np m~~ AWsr, Bonowe? •proe.t to ~?t o! th• •bov~. W,TNESS a~4~J9 r~c~ ~ . D nnis ur h - ~ er . ~tu hy trs~. r~~~.~w.av i~++wM~ ~rov0r`G~ Car-~ ~e~.~n v eswr iwvn r.uiw+ f~.~r+r+ . ' ' ~ya~', ~„'-.R ,..a . `~`~~'e'~ , . . `t.6~`-.~ ~s~3~^~~~"