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HomeMy WebLinkAboutResolution #3536;. RESOLUTION NO. 3536 A RESOLUTION APPROVING A SUBORDINATION AGREEMENT OF MORTGAGE BETWEEN THE CITY OF CANTON AND BETTY J. HAMMOND OF CANTON AND DIRECTING THE MAYOR AND CITY CLERK TO EXECUTE AND DELIVER SAID AGREEMENT ON BEHALF OF THE CITY OF CANTON, ILLINOIS. WHEREAS, the Community and Industrial Development Committee has determined that it is necessary and in the best interest of the City of Canton to enter into a loan subordination agreement with Betty J. Hammond, hereto attached and herein incorporated as Exhibit "A"; and WHEREAS, the Canton City Council has made a similar determination. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF CANTON, Fulton County, Illinois as follows: 1. That the Subordination Agreement of mortgage hereto attached as Exhibit "A" between the City of Canton and Betty J. Hammond is hereby approved. 2. That the Mayor and City Clerk are hereby authorized and directed to execute and deliver said agreement on behalf of the City of Canton, Illinois. 3. That this Resolution shall be in full force and in effect immediately upon its passage by the City Council of the City of Canton, Illinois. PASSED by the City Council of the City of Canton, Fulton County, Illinois at a regular meeting this 5th day of Sdpten'ber, 2000, upon a roll call vote as follows: AYES: Aldermen. -May, Shores , Ni:differ; Phillips , Sarff, Hartford, i~lleck. Alderman Meade was excused from voting, as Betty is related to Alderman rleade.) NAYS : None . ABSENT: None. APP OVED: ~~ Donald E. Edwards, Mayor ATTEST: ~~~~.~ Nancy White City Clerk SUBORDINATION AGREEMENT OF MORTGAGE THE CITY OF CANTON ("City") is the owner and holder of the following described instrument(s) executed by Betty J. Hammond of Canton, Fulton County, State of Illinois Title of Instrument Date of Instrument Date Filed Doc. No. Home Repair Mortgage 8/22/1984 8/31/1984 Doc No. 84-8263 Pg. 338 Vol. 959 AND, Superior Direct, A Division of Superior Bank FSB, 5600 N. River Rod., Suite 600, Rosemont, IL 60018, (called the "Lender") has agreed to loan Thirty Three Thousand, Nine Hundred Dollars, ($33,900.00), to Betty J. Hammond (called the "Borrower") for the following purposes: Refinance house mortgage at a new rate. THEREFORE, in consideration the Lender's agreement to make such loan to Borrower, the CITY (1) consents to the Borrower obtaining the loan from the Lender for such purposes, and (2) agrees to and does subordinate for a period of six months (6) in favor of the Lender and its successors and assigns its liens or security interests created or evidenced by the above-described instrument(s) insofar as they cover the following described property and provided the Lender perfects a lien on that property: Lot Number 350 in Wright's Addition to the City of Canton, Fulton County, Illinois. This subordination is limited to the amount actually loaned by the Lender to the Borrower (principal and accrued interest) for the foregoing purposes and also the amount actually advanced for foreclosure costs and other advances made or to be made by the Lender, for a total limitation not to exceed Thirty Three Thousand, Nine Hundred Dollars, ($33,900.00). Any amount which is in excess of this figure will not be covered by this subordination unless prior written consent was obtained from the City for incurring the expenditure in question. IN WITNESS WHEREOF, the City of Canton has caused this subordination to be signed on the day of , 2000. City of Canton, By Donald E. Edwards, Mayor ATTEST: ~11 ,~, wl Prepared by and return to: City of Canton Nancy Whit ,City Clerk 210 E. Chestnut St. Canton, II, 61520 210 E. Chestnut St. C~O'~~9.LG~~y Canton, IL 61520 v September 6, 2000 Superior Direct Lidia Titiyevsky 5600 N. River Road, Suite 600 Rosemont, IL 60018 Dear Lidia: ~DG~Y'~;'Yl2G'Y~t Office (309) 647-1288 Fax (309) 647-1310 As per yow request, the City Council of the City of Canton, at its regular meeting September 5, 2000, passed a Resolution approving a subordination agreement with Betty J. Hammond, hereto attached. Sincerely, L' a J. audle Community Development Coordinator Encs. ~Devc(~mcnt City of Canton MEMORANDUM To: Mayor Edwards, Aldermen, Jim Snider, Jim Elson From: Linda Caudle Date: August 24, 2000 Re: Request for Subordination Agreement on Rehabilitation Loan I have received a request, (attached), from Superior Direct, a Division of Superior Bank FSB of Rosemont, IL to subordinate a loan for Betty J. Hammond to refinance home for a better rate. The amount of the loan would be for $33,900 for a term of thirty (30) years with payments at $361.81. The property is located at 625 South 2"d Avenue, Lot Number 350 in Wright's Addition to the City of Canton, Fulton County, Illinois. The home repair loan was granted August 22, 1984 in the amount of $7,867.22, filed 8/31/84 (Doc No. 84-8263, Pg. 338, Vol. 959). The city holds a promissory note signed by Mrs. Hammond to repay the full amount at the time the property changes ownership. History of this loan: 6/30/93 -City passed resolution approving a subordination agreement fora $13,9001oan from the Farmers Home Administration to refinance 1~` mortgage, pay taxes, repair roof, make improvements. 10/1/96 -City passed resolution approving a subordination agreement fora $3,4001oan from Height's Finance Corporation to refinance 1~` mortgage, pay taxes and repair roof. 10/20/98 -City passed a resolution approving a subordination agreement for a loan for $31,800 from Mortgage Lenders Network to refinance l~` mortgage for cash flow and home improvements. 4/18/00 -City passed a resolution approving a subordination agreement for a loan of $29,250 from SWS Mortgage Services to refinance mortgage and new roof for a period of six months at which time the City's loan must be paid. 8/24/00 -Requesting the city to subordinate a $33,900 thirty year loan from Superior Direct to refinance. The title of the home shows a lien of the City's loan in the amount of $7,867.22 and a lien placed on the property in June 2000 in the amount of $1785 to DJ Roofing. • • '08i24i00 12:25 847 518 2701 • {/000 09:52 FAX 847 518 2701 SUPERIOR BANK ~ f~J001 ~+-~' . • t , Su.perior~ Direct A D1~I~Ion or5uperior Butk TSII ! I Date: ~~~~'{ -'(7~~ # of Pages' t a Company: l:.t~ 0~" ~h ,. Fax: ~~ ~0~~ ~' ~~~ Subject: ~U ~~ 4~1 ~~ ~ t°S~'- From: Lidia Titiyevsky, Loan Processor Phone:800-451-6409 x2839 Fax: 847-518-27ot 847-518 Z~O2- colvnv~rrrs: or t ~o~~ ~ 2~d. os i~-i ~rti ~ ~~ ~rYlrvtar~l Cv2~ cS. ~1.n.d, ~r~er~ u ~, r~~o ll. ~ 52b amb~v~n~- ~- 3 Boa Yr lr f ~1lcp t Il O/'] C~ nv~ .~ 1 f"~ V O~i ~-r~ , r in e 1 ~.. ~ ..-~~ _ 1 ,~ 5600 N. River Rd. • Suite 600 • Rosemont, II. 60018 • (847) • SI8 •0055 ;~'