Resolution 078-2002
RESOLUTION NO" 078-2002
A RESOLUTION AUTHORIZING THE MONROE COUNTY'S STATE
HOUSING INITIATIVES PARTNERSHIP (SHIP) ADMINISTRATOR
TO EXECUTE SHIP MORTGAGE SUBORDINATION DOCUMENTS
UNDER CERTAIN CONDITIONS FOR THE PURPOSE OF
ALLOWING THE REFINANCE OF EXISTING PRIMARY
MORTGAGE LOANS AT IMPROVED TERMS
WHEREAS, the Special Programs Office, Monroe County Housing Authority is the County's
program administrator for the State Housing Initiatives Partnership (SHIP) Program, with a fiduciary
responsibility to act in the best interest of Monroe County; and,
WHEREAS, the Director of the Special Programs Office is designated as Monroe County
SHIP Administrator; and,
WHEREAS, the Monroe County SHIP Program has made subordinate mortgage loans under
the First Time Homebuyers Program annually since 1994 resulting in over 177 mortgage loans; and,
WHEREAS, the Florida Housing Finance Corporation has adopted the criteria set forth below
when considering a subordination request from mortgage borrowers under the Corporation's HOME
Single Family Programs; and,
WHEREAS, presently the time required to secure a Mortgage Subordination of an existing
Monroe County SHIP mortgage is greater than time available to borrowers primary mortgage loan
commitment/rate lock; and,
WHEREAS, the current process for approval of SHIP Mortgage Subordination discourages
SHIP Mortgagees from trying to secure improved primary mortgage terms
NOW, THEREFORE, BE IT RESOLVED, by the Board of County Commissioners of
Monroe County Florida tat Monroe County hereby:
THE Monroe County SHIP Administrator is hereby authorized to execute Mortgage Subordination, in
the form attached hereto as Exhibit "A" of existing Monroe County SHIP mortgage loans when the
following conditions are present:
(a) The proposed primary mortgage loan has a rate or other terms that is an improvement in the rate or
terms of the existing primary mortgage loan,
(b) The amount of the proposed primary mortgage loan does not exceed the sum of the existing
mortgage loan payoff and the closing costs as documented on a proposed HUD-1 Settlement
Statement.
(c) The sum of the proposed primary mortgage and the existing SHIP mortgage loan does not exceed
105% of the value of the property as reflected on a property appraisal.
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Upon execution and recording of all such Mortgage Subordination shall be forwarded to and retained
by the Monroe County Clerk of Court,
PASSED AND ADOPTED, by the Board of County Commissioners of Monroe County, Florida at a
regular meeting of said Board on the 13th day of February 2002.
BOARD OF C
OF MONROE
TY COMMISSIONERS
TY, FLORIDA
Mayor McCoy
Mayor Pro Tern Spehar
. ner Neugent
Williams
elson
Yes
Yes
By:
Yes
Yes
Absent
Charles "Sonny" McCoy, Mayor
D,G..
Approved as to form and legal sufficiency
UZANY{ A. HUTTON
DATE I; % '2
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PAGE 02
Exhibit "A"
AGREEMENT TO SUBORDINATE LOAN
THIS AGREEMENT made this day of 2001 between the COUNTY OF
MONROE, an agency and instrumentality of the State of Florida, whose address is 1403 121b Street, Key
West, FL 33040, herein referred to as "Lienholder," and , a
Corporation, having its principal office at , herein referred to as '"Lender."
THE PARTIES STIPULATE AND RECITE THAT:
A.
By reason of that Mortgage given by Lienholder to
hereinafter
referred to as "Owner," in the amount of
($
) dated the
day of
in Official Records Book
and recorded the _ day of
Page upon the property hereinafter described,
In$f!rt property descriptio" 1t6n.
B- Owner desires to negotiate a loan from Lender, and Lienholder acknowledges that such loan
is in his best interest.
C. Lender is willing to loan money to Owner if Lienholder will subordinate his present lien
against the above-described property of Owner.
D. The proceeds of said loan shall satisfy the existing primary mortgage and finance loan
closing costs exclusively.
For the reasons set forth above and in consideration of the mutual covenants and promises of the
parties hereto, Lienholder and Lender agree as follows:
The lien of Lienholder against the above-described property of Owner shall be subordinate to the
claim of Lender under the Mortgage Deed (security agreement) executed by Owner, dated the
day of 200_ and recorded on the of 200_ in O.R. Book
, Page , of the Public Records of Monroe County. Florida. Future loans made by Lender to
Owner shall not be subordinate to the claims of Lienholder.
Lienholder shall assign to Lender all sums presently due to Lienholder from Owner until the above-
described loan of Lender is paid in full. Lienholder shall execute such additional assignments as Lender may
require to give effect to this agreement.
IN WITNESS WHEREOF, the parties have executed this agreement at Monroe County. State of
Florida, the day and year first above written.
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Lienholder Initials
Lender Initials
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PAGE 03
WITNESSES
MONROE COUNTY
By:
Richard C. Casey, Jr.> Programs Administrator
APPROVED AS TO FORM
AND Al SUFFIC .
"'^TI=
ST ATE OF FLORIDA COUNTY
OF MONROE
J HEREBY CERTIFY that on this day of 200_, before me, an officer
duly qualified to take acknowledgments, personally appeared RICHARD C. CASEY, JR., to me known to
be the person descnned herein and who executed the foregoing instrument and acknowledged before me that
he ex.ecuted the same. Driver License shown as identification.
SEAL
NOTARY PUBLIC SIONA11JRE
Printed Name of Notary:
Commission No.:
My Commission Expires:
WITNESSES
(Name of Lender in Caps)
By:
Title:
STATE OF FLORIDA COUNTY
OF MONROE
I HEREBY CERTIFY that on this day of 200_> before me, an officer
duly qualified to take acknowledgments. personally appeared , to me
known to be the person described herein and who executed the foregoing instrument and acknowledged
before me that he/she executed the same. Driver License shown as identification.
SEAL
NOTARY PUBLIC SIGNATURE
Printed Name of Notary:
Commission No.:
My Commission Expires:
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