HomeMy WebLinkAbout1997-154 Resale Restr - HoustonCITY OF ASHLAND AFFORDABLE HOUSING
RESALE RESTRICTION AGREEMENT (SDCs ONLY)
Owner: THOMAS M. HOUSTON
STEPHANIE K. HOUSTON
1137 VILLAGE SQUARE DRIVE
Agreement date:
Property Address:
Purchase Price: ~///, /~7. O'o
Name of development:/~/,/,~.~Z/./;"//4~:~. Date of Purchase: ~,-/5--~7 '7
Recording Requested by: City of Ashland
When Recorded Return to: Affordable Housing Coordinator, City of Ashland,
20 E. Main Street, Ashland, Oregon 97520
Agreement entered into on the date specified above by the City of Ashland ("City") and
the Owner (also referred to as "You") named above regarding certain improved real
property located at the property address specified above ("the home").
RECITALS:
A. The home referred to in this agreement is described more fully on the
attached Exhibit A.
B. The home is being made available for purchase by an eligible
moderate-income purchaser pursuant to the City's Affordable Housing Program
("Program"). The Owner is an eligible moderate-income purchaser under the Program
and intends to live in the home as an owner-occupant.
C. The Owner recognizes that in purchasing the home, the Owner is receiving
the benefits of the City's assistance to the developer of the property upon which the
home is located, and that without such assistance the Owner would not have been
able to purchase the home. The Owner understands that signing this Agreement and
complying with its terms are necessary to permit the City to fulfill its affordable housing
goals.
City and Owner agree:
1. Occupancy Requirement. You agree and acknowledge that the City's
acceptance of your participation in the Program and purchase of the home is
conditioned upon your continuing occupancy of the home. For purposes of this
agreement, continuing occupancy includes renting of the home by the Owner to
others if you have established a temporary residence outside Jackson County,
Oregon. Any such rental, however, shall not exceed 24 months in any five year
period.
PAGE 1-RESALE RESTRICTION AGREEMENT (p:planning\aff-sdc.fk)(December 28, 1993)
2. Oeferment of Systems Development Charges (SDCs). City will defer the
payment of SDCs owed by you and due on the home. You will execute a promissory
note payable to City in a principal amount equal to the total cost of the SDCs that
have been deferred. The note and the obligations under this Agreement will be
secured by a trust deed on the home.
3. SDCs Due Upon Transfer of Home. Except as provided in paragraph 4, you
agree to pay to the City when you "transfer" the home any amount due from the
promissory note referred to in paragraph 2.
3.1. Definition of transfer. To "transfer" the home means any sale, assignment
or transfer, whether voluntary or involuntary, of any interest in the home, including, but
not limited to, a fee simple interest, a co-tenancy interest, a survivorship interest, a life
estate, a leasehold interest (except as provided in paragraph 1), any right to
possession under a rental agreement (except as provided in paragraph 1), or an
interest evidenced by a mortgage, trust deed or land sale contract in which
possession of the home is transferred and you retain title.
3.2. Assumption requirement. This agreement shall apply to and bind any
purchaser or transferee in an exempt or qualified transfer (see paragraph 4). Such
purchaser or transferee shall assume your duties and obligations under this
Agreement in writing, or sign an agreement substantially similar to this Agreement,
prior to the transfer of the home. If the purchaser or transferee fails to assume this
Agreement or execute and deliver a substantially similar agreement to the City prior to
the sale or transfer, then you shall pay any amount due from the promissory note
referred to in paragraph 2.
Recording of the assumption agreement in the official records of Jackson County,
Oregon, shall be a condition of the City's approval of the proposed transfer. You
agree to pay a reasonable assumption fee to the City and to reimburse the City for its
expenses incurred in administering its rights and obligations in connection with any
transfer under this Agreement. Upon the close of any transfer, you agree to provide
the City with copies of the recorded trust deed, final sales contract, settlement
statement, escrow instructions, and any other documents prepared or used in
connection with the transaction.
4. Exempt and Qualified Transfers. No amount shall be due under paragraph 3,
however, if the transfer is either an "exempt transfer" or a "qualified transfer" as
provided in this paragraph:
4.1. Exempt transfer. An "exempt transfer" is:
4.1.1. A transfer by gift or inheritance to your spouse or children;
4.1.2. A taking of title by a surviving joint tenant; a court-ordered transfer
of title to a spouse as part of a dissolution proceeding; or an acquisition of title,
or of any interest in the title, in conjunction with marriage.
PAGE 2-RESALE RESTRICTION AGREEMENT (p:planning\aff-sdc.fk)(December 28, 1993)
4.1.3. A refinancing of the existing purchase money first mortgage or
trust deed encumbering the home by securing a new first mortgage or trust
deed on the home in an amount not greater than the then present balance of
the first mortgage or trust deed plus applicable loan fees and closing costs. An
exempt transfer also includes a home equity loan secured by a third mortgage
or trust deed on the home, which shall be subordinate to this note and the trust
deed securing it provided that the proceeds of such home equity loan shall only
be used for improvements to the home, including landscaping.
4.2. Qualified transfer. A "qualified transfer" is a transfer to an eligible buyer for
a sales price that does not exceed the affordable housing purchase price as
determined by Ashland City Council Resolution number 93-39 including amendments,
if any. A qualified transfer must also meet the requirements set forth in this paragraph.
At least 30 days prior to the transfer, you shall provide the following information to the
City:
4.2.1. The name, address and telephone number of the proposed buyer;
4.2.2. A financial statement signed by the proposed buyer and his or her
spouse, if any, in a form acceptable by the City and accompanied by such
supporting documentation as requested by the City. The financial information
shall be used by the City to determine the income eligibility of the proposed
buyer. To be an eligible buyer, a buyer shall certify that he or she will occupy
the home as his or her principal home. The buyer and all other members of the
buyer's household shall meet the income guidelines established from time to
time by the City for participation in its affordable housing program.
4.2.3. A copy of the proposed sales agreement and all related
documents, which set forth the terms of the transfer;
4.2.4. A written certification signed by the proposed buyer and you in a
form acceptable to the City stating that:
4.2.5. The transfer shall be closed in accordance with the terms of the
sales agreement and other documents submitted and approved by the City;
4.2.6. Neither the proposed buyer nor any other party has paid or will
pay to you or for your benefit, and you have not received nor will you receive
from the proposed buyer or any other party, either directly or indirectly or for
your benefit, money or any other consideration in addition to what is set forth in
the sales agreement and related documents;
4.2.7. In the event that a transfer is made in violation of the terms of this
agreement, or that false or misleading statements are made in any documents
or certifications submitted to the City, the City shall have the right to file a legal
action to force the parties to terminate or rescind the sales agreement, or to
PAGE 3-RESALE RESTRICTION AGREEMENT (p:pla, nntng\aff-sdc.fk)(December28, 1993)
declare the sale void notwithstanding the fact that the sale may have closed and
become final as between the buyer and you.
5. You Must Notify City of Transfer. If you desire to transfer the home, you are
required to notify City in writing to that effect. If the transfer is a qualified transfer, the
notice and information provided must comply with paragraph 4.2. For any other
transfer the notice shall state the street address of the home, your full name or names,
the address and telephone number at which you are to be contacted if not at the
home. The notice shall be given at least 30 days prior to the transfer and shall be
delivered as provided in paragraph 9.
6. Priority and Effectiveness of this Agreement. This Agreement, or a
memorandum of this agreement, shall be filed for recordation in the County Clerk
deed records, Jackson County, Oregon prior to any sale, conveyance, transfer or
other disposition of the home, or of any estate or interest in the home, by you. The
Agreement shall have priority over any subsequent sale, conveyance, transfer, lease or
other disposition or encumbrance of the home, or of any estate or interest in the
home.
7. Term of Agreement. The restrictions contained in this Agreement shall continue
for a period of 20 years from the date of this Agreement.
8. Survival of Agreement Upon Transfer. The City's rights under this Agreement
shall survive any transfer of the home by you.
9. Notices. Except as otherwise specified in this Agreement, all'notices required to
be sent pursuant to this Agreement shall be made by personal delivery or by deposit
in the United States mail, first class postage prepaid, and shall be deemed to have
been delivered and received on the date of personal delivery or five days after deposit
in the mail, if sent to the following addresses:
City:
Affordable Housing Coordinator
City of Ashland
20 E. Main Street
Ashland, Oregon 97520
OWNER: at the address of the home
The addresses above may be changed by notice given pursuant to this paragraph.
10. Waiver. No condition of this agreement or of the note or trust deed shall be
deemed waived unless expressly waived in writing by City.
11. Default. A default shall occur if you fail to perform or observe any of the
provisions of this agreement, the note or trust deed. If any default occurs, City may,
at its option, declare the entire unpaid balance of principal and accrued interest on the
PAGE 4-RESALE RESTRICTION AGREEMENT (p:pl~,.i.g\~-~c.f~(~,.~r28, 1993)
note immediately due and payable and enforce any of the remedies set forth in the
trust deed.
12. Binding Effect. Throughout this Agreement, the terms "Owner" and "you" refer
individually and collectively to all persons who sign this Agreement and all persons
signing this Agreement shall be jointly and severally liable for its obligations.
13. Attorneys' fees. If either party is required to initiate legal proceedings to enforce
its rights under this Agreement, the prevailing party in such action shall be entitled to
an award of reasonable attorneys' fees and costs in addition to any other recovery
under this Agreement.
OWNER:
State of Oregon
County of Jackson
CITY OF ASHLAND:
This instrument was acknowledged before,me on ~'~..~
by ~/~),_,~,/'/x. ~/o ~..~,~..., and ~~ ~.
~ O~IClAL S~L ~
~ SONJA N AK~AN ~
~// COMMISSION NO. ~ ~
State of Oregon
County of Jackson
01~ta'w°4~t~blic fo~ ~.Z4~<.~__~,'
Oregon
My commission expires:
This j_nstrument was acknowledged before me on_., ,(~..~ . ~ ~ , 199~, ¢
by ~'~ ~. ~,~ ~.~-'-as ~ ~'z~ r-,~;~.~z./of the City of
Ashland, Oregon. ~ ~./
Notary PSblic for Oregon
My Commission expires: /-/- ~ ~ ¢ ~
PAGE 5-RESALE RESTRICTION AGREEMENT (p:plann|ng\aff-sdc.fk)(Decernber28, 1993)
REMOVE THIS PAGE AND ATTACH THE LEGAL DESCRIPTION OF THE
PROPERTY AS EXHIBIT A. (SEE PARAGRAPH A ON PAGE 1.)
72187
EXHIBIT A
Lot Twenty-nine (29) in ASHLAND VILLAGE SUBDIVISION, A PLANNED COMMUNITY
in the City of Ashland, Jackson County, Oregon, according to the official
plat thereof, now of record.
(Code 5-1, Portion Account #1-06104-4, Map #391E10BB, Portion Tax Lot
#3700)
(Code 5-8, Portion Account #1-11373-7, Map #391E10BB, Portion Tax Lot
#3700)
PROMISSORY NOTE
SECURED BY DEED OF TRUST
Ashland, Oregon, 5- ,2 F , 199~'~
For value received, I promise to pay to the order of the City of Ashland, Oregon,
("City"), at City Hall or such other place as the City may designate, the principal sum
of~ou.~- H~o~.~_~ /?~ ~,-c_~_ /~ ~/o//,~,.~ ~,-~,~. 5/~'~($ ~ ¢o~..~' ), plus
accrued interest, upon the terms and conditions set forth below.
1. AFFORDABLE HOUSING AGREEMENT. This obligation is secured by a Trust
Deed and is subject to all the terms and conditions of such Trust Deed. This
obligation is given pursuant to a "CITY OF ASHLAND AFFORDABLE HOUSING
RESALE RESTRICTION AGREEMENT (SDCs ONLY)" and is subject to all the terms
and conditions of such agreement (further referred to in this note as "the Agreement").
The promisor shall have the right to prepay all or any portion of the unpaid principal of
this note without penalty. However, any payments shall be applied first to
accumulated interest and then to principal.
2. INTEREST. The unpaid principal balance of this note shall bear simple interest at
the rate of six percent (6.0%) per year from the date of this note until paid.
3. REPAYMENT.
3.1. During the first 20 years after this note is executed, no payments of either
principal or interest shall be due or payable so long as I continue to own and occupy
the home as my primary residence, and so long as I am not in violation of any of the
terms of this note or the trust deed securing it. As set forth in the Agreement, I may
also make a qualified transfer of the home to an eligible buyer who shall assume this
note without violating the terms of this note.
3.2. During the first 20 years after this note is executed, the total amount of the
principal and accrued interest shall become immediately due and payable in full upon
my transfer of the home to any person or entity other than an eligible buyer as defined
in the Agreement or to an otherwise eligible buyer who does not assume this note and
the trust deed securing it and agree to comply with all of its terms, or whenever I
cease to occupy the home as my primary residence, or whenever I am in default for
failure to comply with any of the terms of this note or the trust deed. At the end of 20
years following the date of execution of this note, if I am at that time the owner and
occupier of the home and am not in default under any terms of this note or the trust
deed, this note and my obligation to pay the principal and accrued interest shall be
cancelled and forgiven by the City.
4. BINDING EFFECT; JOINT AND SEVERAL OBLIGATIONS. This note and its terms
shall be binding upon my heirs, executors, administrators, personal representatives,
successors, and assigns. Throughout this note, the terms "1," "me," and "my" refer
PAGE 1 of 2-Promissory Note
individually and collectively to all persons who sign this note, and all persons signing
this note shall be jointly and severally liable for its obligations.
5. ATTORNEY FEES AND COSTS. If either party is required to initiate legal
proceedings to enforce its rights under this Agreement, the prevailing party in such
action shall be entitled to an award of reasonable attorneys' fees and costs in addition
to any other recovery under this Agreement.
11. SEVERABILITY: GOVERNING LAW. If any provision of this note is or becomes
inconsistent with any applicable present or future law, rule or regulation, such
provision will be deemed rescinded or modified in order to comply with the relevant
law rule or regulation, and all other provisions of this note shall continue in full force
and effect. This note shall be governed by and interpreted under the laws of the State
of Oregon.
14. NO WAIVER. Failure by the City to require strict performance of any term of
this note, including the extension of any payment or acceptance of any part of a
payment, shall not affect the City's rights or be considered a waiver by the City of the
strict performance of all conditions of this note. No waiver by the City of any default
shall be considered a waiver of any subsequent default or a waiver of this paragraph.
EXECUTED this ,2 ~ ~day of ~~-- ,199¢/.'~
NOTICE TO BUYER: THIS DOCUMENT CONTAINS PROVISIONS RESTRICTING
RESALES AND ASSUMPTIONS.
/ Signature
inmd Name
Printed Name
PAGE 2 of 2-Promissory Note
72187
EXHIBIT A
Lot Twenty-nine (29) in ASHLAND VILLAGE SUBDIVISION, A PLANNED COMMUNITY
in the City of Ashland, Jackson County, Oregon, according to the official
plat thereof, now of record.
(Code 5-1, Portion Account #1-06104-4, Map #391E10BB, Portion Tax Lot
#3700)
(Code 5-8, Portion Account #1-11373-7, Map #391E10BB, Portion Tax Lot
#3700)
97-27155
TRUST DEED
RETURN TO JACKSON COUNTY TITLE plViSION
502 WEST MAIN ST., MEDFORD, OR 97501
This trust deed is made on ~Z~,4- .-,~' 1991g, between STEPHANIE K. HOUSTON
THOMAS M. HOUSTON, as Grantor(s), the City of
Ashland, ¢s Beneficiary, and Paul Nolte, an active member of the Oregon State Bar as
Trustee.
1. Conveyance by Grantor. For good and valuable consideration, receipt of which is
acknowledged, and for the purpose of securing the loan obligations described in
Section 3 below, Grantor irrevocably grants, bargains, sells, conveys, assigns, and
transfers to Trustee in trust for the benefit and security of the Beneficiary, with power
of sale and right of entry and possession, all of Grantor's right, title, and interest in and
to the real property located in Jackson County, State of Oregon, and more particularly
described in the attached Exhibit A (the "Property").
2. The Note. Beneficiary has offered to defer the systems development charges due
on the Property and to make a loan to Grantor for the amount of the charges which
loan is to be evidenced by a promissory note of the same date as this trust deed.
(The promissory note as modified, supplemented, extended, renewed, or replaced
from time to time is referred to below as the "Note".) The date of maturity of the debt
secured by this instrument is 20 years from the date of the Note. In the event the
Property, or any part of, or interest in, the Property is sold, agreed to be sold,
conveyed, assigned or alienated by the Grantor without complying with the terms of
the Note or the Agreement described below, then, at the Beneficiary's option, all
obligations secured by this instrument, irrespective of the maturity dates expressed
above or in the Note, shall immediately become due and payable.
3. Obligations Secured. This trust deed secures the following, collectively referred
to as the "loan obligations":
3.1. The payment of all indebtedness, including but not limited to principal and
interest, and the performance of all covenants and obligations of Grantor under the
Note, whether such payment and performance is now due or becomes due in the
future;
3.2. The payment and performance of all covenants and obligations in the City
of Ashland Affordable Housing Resale Restriction Agreement (SDCs Only) dated
,,~_,_cx~/~ 2,~,/¢'/? ("the Agreement") entered into by Grantor and Beneficiary. The term
Ioa¢obligations" as used in this trust deed shall mean all amounts payable to
Beneficiary under the terms of the Note and the Agreement.
4. Possession. Grantor agrees to pay the Note and the Agreement in accordance
with their terms. Until default occurs, Grantor shall remain in possession and control
of the property and subject to the terms of the Agreement, Grantor shall be free to
operate and manage the property and receive the proceeds of operation.
PAGE 1-TRUST DEED (p:planning\af-trst4.dedl ~
5. Warranty of title. Grantor warrants that Grantor holds merchantable title to the
property in fee simple or that Grantor holds a vandee's interest in the property under a
conditional sales contract. Grantor warrants and will defend Grantor's title against the
lawful claims of all persons. In the event any action or proceeding is commenced that
questions Grantor's title or the interest of Beneficiary or Trustee under this deed,
Grantor shall defend the action at Grantor's expense.
6. Powers of Trustee. In addition to all powers of Trustee arising as a matter of law,
Trustee shall have the power to take the following action with respect to the property
on the request of Beneficiary and Grantor: (a) joining in the dedication of roads or
other rights in the public; (b) joining in granting any easement or creating any
restriction on the property; (c) joining in any subordination or other agreement
affecting this deed or the interest of Beneficiary under this deed; or (d) selling the
property or any part thereof. Trustee shall not be obligated to notify any other party of
a pending sale under any other deed or trust or lien, or of any action or proceeding in
which Grantor, Beneficiary, or Trustee shall be a party, unless the action or
proceeding is brought by Trustee.
7. Deed of Reconveyance. If Grantor pays all of the loan obligations when due and
otherwise performs all of the obligations imposed on Grantor under this instrument, the
Note and the Agreement, Beneficiary shall execute and deliver to Trustee a request for
full reconveyance.
8. Default. Grantor shall be deemed to be in default if Grantor fails to perform any of
the obligations imposed by this deed, the Note or the Agreement.
9. Remedies. On the occurrence of any event of default and at any time thereafter,
Beneficiary may exercise any one or more of the following rights and remedies:
9.1. The right to declare all sums secured by this trust deed immediately due
and payable.
9.2. The right to foreclose by notice and sale by Trustee or by judicial
foreclosure, in either case in accordance with applicable law.
9.3. The right in connection with any legal proceedings to have a receiver
appointed to take possession of any or all of the property, with the power to
protect and preserve the property and to use the property preceding
foreclosure or sale and apply the proceeds, over and above costs of the
receivership, against the loan obligations. The receiver may serve without bond
if permitted by law. Beneficiary's right to the appointment of a receiver shall
exist whether or not apparent value of the property exceeds the loan obligations
by a substantial amount.
9.4. Any other right or remedy provided in this deed, the Note or the
Agreement.
PAGE 2-TRUST DEED (p:planning~aff-trst4.ded) ~,
10. Application of proceeds. In the event the Trustee exercises the power of sale
conferred by this trust deed, the Trustee shall apply the proceeds of the sale in the
following order:
10.1. To the expense of the sale, including reasonable attorney fees,
10.2. To the loan obligations secured by this trust deed, and
10.3. The surplus, if any, to the persons entitled thereto.
11. Waiver. A waiver by either party of a breach of a provision of this agreement
shall not constitute a waiver of or prejudice the party's right otherwise to demand strict
compliance with that provision or any other provision. Election by Beneficiary to
pursue any remedy shall not exclude pursuit of any other remedy, and an election 'to
make expenditures or take action to perform an obligation of Grantor under this deed
after failure of the Grantor to perform shall not affect' Beneficiary's right to declare a
default and exercise its remedies under this trust deed or the Contract.
12. Trust Deed Binding on Successors and Assigns. Subject to the limitations
stated in this deed on transfer of Grantor's interest, and subject to the provisions of
applicable law with respect to successor trustees, this deed shall be binding on and
inure to the benefit of the parties, their successors and assigns.
13. Subordination. Grantor and Beneficiary acknowledge and agree that this Deed
of Trust is subject and subordinate in all respects to the liens, terms, covenants and
conditions of the Deed of Trust in favor of Bank of America ("First Deed of Trust") and
to all advances heretofore made or which may hereafter be made pursuant to the First
Deed of Trust including all sums advanced for the purpose of (a) protecting or further
securing the lien of the First Deed of Trust or for any other purpose expressly
permitted by the First Deed of Trust or (b) construction renovating, repairing,
furnishing, fixturing or equipping the Property. The terms and provisions of the First
Deed of Trust are paramount and controlling, and they supersede any other terms and
provisions hereof in conflict therewith. In the event of a foreclosure or deed in lieu of
foreclosure of the First Deed of Trust, any provisions herein or any provisions in any
other collateral agreement restricting the use of the Property to low or moderate
income households or otherwise restricting the Grantor's ability to sell the Property
shall have no further force or effect on subsequent owners or purchaser of the
Property. Any person, including his successors or assigns (other than the Grantor or
a related entity of the Grantor), receiving title to the Property through a foreclosure or
deed in lieu of foreclosure of the First Deed of Trust shall receive title to the Property
free and clear from such restrictions.
Further, if the property is transferred as a result of deed in lieu of foreclosure
pursuant to the First Deed of Trust the lien of this Deed of Trust shall automatically
terminate upon transfer of the property pursuant to the foreclosure or deed in lieu of
foreclosure provided that (i) the Beneficiary has been given written notice of a default
under the First Deed of Trust and (ii) the Beneficiary shall not have cured the default
PAGE 3-TRUST DEED (p:planning\aff-trst4.ded)
97-27155
under the First Deed of Trust, or diligently pursued curing the default as determined by
the beneficiary under the First Deed of Trust within the 60-day period provided in such
notice to the Beneficiary.
,
STATE OF OREGON
COUNTY OF JACKSON
,-~'~. This instrument was acknowledge,d before me on ,~-- .2~'- ~/? by
~,.~.~ . _ __. _. _~
~ OFFICIAL SEAL
~ .~7~'~ SONJA N ~AN___
~ ~~OTARY P B~m - OREGON
~ ~%~/~ MM~~ NO. ~21~
~ MYrMIdON ~P~ .~ ~. 6, 1~
Notary ~?bblic for Oregon
My commission expires:
PAGE 4-TRUST DEED (p:planning\aff-trst4.ded)
72137
97-27155
EXHIBIT A
Lot Twenty-nine (29) in ASHLAND VILLAGE SUBDIVISION, A PLANNED COMMUNITY
in the City of Ashland, Jackson County, Oregon, according to the official
plat thereof, now of record.
(Code 5-1, Portion Account #1-06104-4, Map #391E10BB, Portion Tax Lot
#3700)
(Code 5-8, Portion Account #1-11373-7, Map #391E10BB, Portion Tax Lot
#3700)
Sackson County, Oregon
Recorded
OFFICIAl. i~ECORDS
SUBORDINATION AGREEMENT
The City of Ashland
Y_9_t_ _a c_ _e_ .................
After recording, return to (Name, Addreal, Zip):
SPACE RESERVED
FOR
RECORDER'S USE
THIS AGREEMENT made and entered into this _22.q~ .......... day of __~.._u_l.~_ .............................. ,19__9_8__,
by and between ..... ~[33~_D..i~y_._oZ__~h.].c~Qd. ................................................................................. ,
hereinafter called the first party, arid .... bla~.i. OZIO.]._JEO, CJ~J~_.rvlO. IL"~_cj.~,g~ ..................................................... ,
hereinafter calleel the second varty, V¢ITNESSETH:
On or about __-b'Jg--Y-_-2--8_ ................,19__9_'_7_ ...........................................................................
..................... , being the owner of the following described property in _~_~Qrt. ............... County, Oregon, to-wit:
STATE OF OREGON,
County of .......................... } ss.
I certify that the within instrument
was received for record on the ...... day
of .............................. ,19 ....., at
........... o'clock ...... M., and recorded in
book/reel/volume No ..............on page
............... and/or as fee/file/instru-
ment/microfilm/reception No ............ ,
Records of said County.
Witness my hand and seal of County
affixed.
NAME TITLE
By ................................ , Deputy.
Lot 29 in Ashland Village Subdivision, a Planned Cc~manity in the City of Ashland,
Jackson County, Oregon, according to the official Plat thereof, now of record,
(IF SPACE INSUFFICIENT, CONTINUE DESCRIPTION ON REVERSE)
executed and delivered to the first party a certain ...... _2__n_d____ri3c~__$~_ _ _nee~__ ......................................................
(State whether mortgage, trust deed, contract, security agreement or otherwise)
~ ,, oblig~jtion as ,stated on note
(herein called the first party's lien) on the property, to secure the sum o[ ~, .................. ,wmcn hen was:
'-- Recorded on ____3__u~_y___23_~ ................ ,1 ~_7___, in the Records of _~a__c_k__s__o_n_ ................. County, Oregon, in
book/reel/volume No. _'~_' .............. at page ................. and/or as fee/file/instrument/microfilm/reception No.
o~ -~9-7--7-2--7~-5-5- ........(indicate which;
~ ' No ...................... (indicate which);
g .co -- Created by a security agreement, notice of which was given by the filing on .................................. 19 .....,
._~ of a financing statement in the office of the Oregon [] Secretary of State [] Dept. of Motor Vehicles (indicate which)
~ [ where it bears file No ....................... and in the office of the ................................................ of
......................... County, Oregon, where it bears fee/file/instrument/microfilm/reception No.
t .................... (indicate which).
Reference to the document so recorded or filed is hereby made. The first party has never sold or assigned first party's lien and at all
times since the date thereof has been and now is the owner and holder thereof and the debt thereby secured.
The second party is about to loan the sum of $_-1-Q_9~__7-7_5-_-_0--0_ ..... to the present owner of the property, with interest there-
on at a rate not exceeding ___8_.__0_Q___% per annum. This loan is to be secured by the present owner's ...........................
................... _~L"~___ ~__ _ _~ ................................................................ (hereinafter called
(State nature of lien to be given, whether mortgage, trust deed, contract, security agreement or otherwise)
the second party's lien) upon the property and is to be repaid not more than __~0 ............... [] days [] years (indicate which)
from its date.
(OVER)
To induce the second party to make the loan last mentioned, the first party has agreed and consented to subordinate first
party's lien to the lien about to be taken by the second party as above set forth.
NOW, THEREFORE, for value received, and for the purpose of inducing the second party to make the loan aforesaid, the
first party, on behalf of the first party and also on behalf of the first party's personal representatives, successors, and assigns, hereby
covenants, consents and agrees to and with the second party and second party's personal representatives, successors, and assigns,
that the first party's lien on the property is and shall always be subject and subordinate to the lien about to be delivered to the sec-
ond party as aforesaid, and that the second party's lien in all respects shall be first, prior and superior to that of the first party, pro-
vided always, however, that if the second party's lien is not duly filed or recorded, or an appropriate financing statement with respect
thereto duly filed within ___3_0_ .......... days after the date hereof, this subordination agreement shag be null and void and of no
force or effect.
It is expressly understood and agreed that nothing herein contained shall .be construed to change, alter or impair the first
party's lien, except as hereinabove expressly set forth.
In construing this subordination agreement, and where the context so requires, the singular includes the plural, and all gram-
matical changes shall be made so that this agreement shall apply equally to corporations and to individuals.
IN WITNESS WHEREOF, the undersigned has executed this agreement. If the undersigned is a corporation, it has caused its
name to be signed and its seal, if any, affixed by an officer or other person duly authorized to do so by order of its board of directors.
City of Ashland
STATE OF OREGON, County of __ ,~/.).~J_¥..5_~ ............ ..~__~) ss .....
,T~i~ instrulxtent was acknowledged before me on .... alJ-]-?--~-/--I .................... , 19-C]_~,
by _ __c~J_L~ _ _ _ ~C~_C._'__,<YS__ _~t _x- .......................................................................
This instrument was acknowledged before me on .... ~ ................................. ,19 ..... ,
by .............................................. 7.:~__~z='£ .............................................. ,
as
of ..................................... ~-~£2 _ .......................................................
.~ OFFICIAL 3EAL _ _
NANCY E SLOCUM Notary ~'ublic fqf'¢rcgon ~ _ ..,~,c~__ ..................
I'~OTARY PUBLIC- OREGON . . ,,,j . . _
COMMISSION NO. 046453 My commission expires ...... _~__-_/_ff~_L~_~/_ ...................
MY COMMISSION EXPIRES SEPT. 18,
Aff T tle
July 23, 1998
Paul Nolte
City of Ashland
20 E. Main
Ashland, OR 97520
RE: Your Loan # 30.00
Thomas & Stephanie Houston
1137 Village Square Drive
Enclosed please find the subordination agreement per our recent conversation.
Please have it signed by the appropriate person. Mr. and Mrs. Houston are
doing a streamline refinance of there current loan and will be receiving no
cash out of this transaction. The balance on the loan they are paying off is
the same as their new loan amount.
'~Please call our office in Ashland at 488-0778 and request a pickup and we will
send someone by your office to pick p the document and forward it to me.
cO(c~ank you in advance for your prompt attention to this matter. Very truly yours,
AMERI~ITLE
Lind~ Pruitt
Escrow Officer