RD 3560-75 Mortgage Modification

Form RD 3560-75 OMB No. 0575-0189

(00-00) Exp. Date: MM/DD/YY

UNITED STATES DEPARTMENT OF AGRICULTURE

RURAL HOUSING SERVICE

MORTGAGE AND LOAN AGREEMENT MODIFICATION AGREEMENT

THIS MORTGAGE AND LOAN AGREEMENT MODIFICATION AGREEMENT (the “Mortgage Modification”), dated as of the _____ day of ____________, _______, by and between the UNITED STATES OF AMERICA, acting through RURAL HOUSING SERVICE, formerly Farmers Home Administration, UNITED STATES DEPARTMENT OF AGRICULTURE (the “Government”), whose post office address is ________________________________, and _______________________________________, having an office and place of business at ________________________________________ (the “Borrower”). The Mortgage Modification modifies and amends that certain Real Estate Mortgage dated ___________________, and recorded on _____________________, in the _________ County Recorder’s Office, in Volume ____, Page ____, covering real property located in the _______ County, in the State of _______.

KNOW ALL MEN BY THESE PRESENTS, THAT:

WHEREAS, the Government and the Borrower are parties to a certain Promissory Note dated _____________________, (the “Promissory Note”) pursuant to which the Government agreed to loan to Borrower an amount not to exceed _____________________________ Dollars ($_______________);

WHEREAS, the Promissory Note is secured by a certain Real Estate Mortgage dated _________________________, and recorded on ________________________, in the __________ County Recorder’s Office, in Volume _____, Page _____, (the “Mortgage”), from the Borrower to the Government (the Promissory Note and Mortgage, together with all other instruments, affidavits, agreements, security agreements, financing statements and documents executed and delivered in connection therewith, are hereinafter sometimes referred to collectively as the “Loan Documents”);

WHEREAS, the Borrower and the Government have executed a reamortization agreement, whereby the parties have agreed to reamortize the Promissory Note that is listed on the face of the Mortgage; and

WHEREAS, the Borrower and the Government desire to modify the Mortgage in order to reflect the reamortized amount of the Promissory Note and to reflect new rates and terms.

NOW, THEREFORE, for valuable consideration, including but not limited to, the foregoing premises and the covenants contained herein, the receipt and sufficiency thereof is hereby acknowledged, the parties hereto agree as follows:

1. Defined Terms. All capitalized terms used herein and not specifically defined shall have the meaning set forth in the Loan Documents.

2. Modification of Rates and Terms. The Mortgage is hereby modified to reflect the following reamortized amount of the Promissory Note and new rates and terms:

Annual Rate Due Date of

Date of Instrument Principal Amount of Interest Final Installment

3. Revision of Restrictive Use Covenant. Covenant _______ of the Mortgage is revised to read as follows:

The Borrower and any successors in interest agree to use the housing for the purpose of housing people eligible for occupancy as provided in Section 515 of Title V of the Housing Act of 1949, and FmHA regulations then in effect during the remaining term of the Mortgage, as modified by this Mortgage Modification. No eligible person occupying the housing will be required to vacate nor any eligible person denied occupancy for housing prior to the close of such period because of a prohibited change in use of the housing. A tenant may seek enforcement of this provisions as well as the Government.

4. Loan Agreement. The terms of the Loan Agreement between the Borrower and the Government, dated ____________________________, are hereby revised to conform to the terms of the Mortgage Modification.

5. Ratification of Remaining Terms. All terms and provisions of the Mortgage not expressly modified hereby remain in full force and effect as originally written and are in all respects ratified and confirmed by the parties hereto.

6. Recording; Endorsement to Title Insurance Policy. Borrower shall promptly file an executed original of this Mortgage Modification with the Recorder of ___________ County, in the State of _________. Borrower shall be responsible for all expenses associated with this Mortgage Modification, including but not limited to, recording fees and title insurance premiums costs.

7. Continuation of Mortgage Lien and Security Interests. This Mortgage Modification does not constitute the creation of a new debt or the extinguishment of the debt evidenced by the Promissory Note, nor does it in any manner affect or impairs the Mortgage or any security agreement executed in connection with the Promissory Note or applicable to the Promissory Note. Borrower agrees the Mortgage and all other security interests granted by Borrower to the Government continue to be valid and existing liens on the property described in the Mortgage and the Loan Documents.

8. Counterparts. This Mortgage Modification may be signed by the parties in multiple, separate counterparts which taken together shall constitute one and the same Mortgage Modification.

[Remainder of page intentionally left blank; signature pages to follow.]

IN WITNESS WHEREOF, the parties have caused this Mortgage and Loan Agreement Modification Agreement to be executed by its authorized agents who hereunto set their hands and seals as of the date first written above.

BORROWER:

By:

Its:

By: __________________________________

ACKNOWLEDGMENT

STATE OF )

) ss:

COUNTY OF )

On this ______ day of ____________, 20__, before me, the undersigned, a notary public in and for said State, personally appeared ____________________, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the individual(s) or the person on behalf of which the individual(s) acted, executed instrument.

(NOTARIAL SEAL)

____________________________

Notary Public

My commission expires: ________________________

GOVERNMENT:

UNITED STATES OF AMERICA, acting

through the RURAL HOUSING SERVICE,

UNITED STATES DEPARTMENT OF AGRICULTURE

By: __________________________________

State Director

Rural Development

ACKNOWLEDGMENT

STATE OF )

) ss:

COUNTY OF )

On this ______ day of ____________, 20__, before me, the undersigned, a notary public in and for said State, personally appeared ____________________, personally known to me or proved to me on the basis of satisfactory evidence to be the individual(s) whose name(s) is (are) subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their capacity(ies), and that by his/her/their signature(s) on the instrument, the individual(s) or the person on behalf of which the individual(s) acted, executed instrument.

(NOTARIAL SEAL)

____________________________

Notary Public

My commission expires: ________________________

A federal agency may not conduct or sponsor, and a person is not required to respond to, nor shall a person be subject to a penalty for failure to comply with a collection of information subject to the requirements of the Paperwork Reduction Act unless that collection of information displays a currently valid OMB Control Number. The OMB Control Number for this information collection is 0575-0189. Public reporting for this collection of information is estimated to be approximately 60 minutes per response, including the time for reviewing instructions, searching existing data sources, gathering, and maintaining the data needed, completing, and reviewing the collection of information. All responses to this collection of information are voluntary. However, in order to obtain or retain a benefit, the information in this form is required under Section 515 Rural Rental Housing, which includes Congregate Housing, Group Homes, and Rural Cooperative Housing. Rural Development has no plans to publish information collected under the provisions of this program. Send comments regarding this burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden to: Information Collection Clearance Officer, Rural Development Innovation Center, Regulations Management Division at ICRMTRequests@usda.gov