HomeMy WebLinkAbout2017 CON (DEED OF TRUST and CC&R's) Timothy and Julia Captain - 1213 "E" Avenue/17
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The City of National City
MEMORANDUM
DATE: December 12, 2017
TO: City Clerk's Office
FROM: Angelita Palma, Community Development Specialist II
Housing & Economic Development Department
SUBJECT: HOME Program FTHB Program Recorded Loan Documents
Please keep the attached recorded original HOME Program First -Time Homebuyer documents on file:
Deed of Trust and Declaration of Covenants Conditions and Restrictions for:
Captain, Timothy & Julia Captain
1213 E Avenue #B5
Loan #17NC8 APN: 560-410-22-05
HOME Loan: $70,000
Closing Date: 9/28/2017
1243 National City Blvd; National City, California 91950
REcording regeusted by
Orange Coast Title
355-1899669-59
FREE RECORDING REQUESTED
PURSUANT TO GOVERNMENT CODE
SECTION 27383
Recording Requested By And When
Recorded Mail To:
City of National City
Housing, Grants, and Asset Management
1243 National City Boulevard
National City, CA 91950
DOC# 2017-0525992
1111111111111111SHIMHIMIEMMINIFIE
Nov 09, 2017 03:59 PM
OFFICIAL RECORDS
Ernest J. SAN DIEGO COUNTY RECORDER
FEES: $0.00
PAGES: 14
[RECORD AFTER THE CC&R'SI
DEED OF TRUST
(HUD HOME Program 3% Deferred)
City Loan No. _17NC8
THIS DEED OF TRUST ("Deed of Trust") is made this 8th day of November 2017, among the
Trustor, Timothy Captain and Julia Captain as Husband and Wife as community property with right
of survivorship_ ("Borrower"), the trustee, Orange Coast Title Company_ ("Trustee"), and the
Beneficiary, City of National City ("Lender"), whose address is 1243 National City Boulevard,
National City, California 91950.
BORROWER HEREBY irrevocably grants, transfers, and assigns to Trustee, in trust, with
power of sale, all that property in the City of National City, County of San Diego, State of
California, described as:
(See Legal Description - Exhibit "A")
which has the address of 1213 E Avenue #B5, National City, California (herein "Property
Address");
TOGETHER with all the improvements now and hereafter erected on the Property, and all
easements, rights, appurtenances and rents (subject, however, to the rights and authorities given
herein to Lender to collect and apply such rents), all of which shall be deemed to be and remain
part of the property covered by this Deed of Trust; and all of the foregoing, together -with said
property, are hereinafter referred to as the "Property";
TO SECURE to Lender:
This deed of trust is 2nd and subject to a fist trust deed
recording concurrently herewith
CITY OF NATIONAL CITY PAGE 1 OF 11
HOME -DEED OF TRUST
REcording reqeusted by
Orange Coast Title
355-1899669-59
FREE RECORDING REQUESTED
PURSUANT TO GOVERNMENT CODE
SECTION 27383
Recording Requested By And When
Recorded Mail To:
City of National City
Housing, Grants, and Asset Management
1243 National City Boulevard
National City, CA 91950
[RECORD AFTER THE CC&R'S]
DEED OF TRUST
(HUD HOME Program 3% Deferred)
City Loan No. 17NC8
THIS DEED OF TRUST ("Deed of Trust") is made this 8th day of November, 2017, among the
Trustor, Timothy Captain and Julia Captain as Husband and Wife as community property with right
of survivorship_ ("Borrower"), the trustee, Orange Coast Title Company_ ("Trustee"), and the
Beneficiary, City of National City ("Lender"), whose address is 1243 National City Boulevard,
National City, California 91950.
BORROWER HEREBY irrevocably grants, transfers, and assigns to Trustee, in trust, with
power of sale, all that property in the City of National City, County of San Diego, State of
California, described as:
(See Legal Description - Exhibit "A")
which has the address of 1213 E Avenue #B5, National City, California (herein "Property
Address");
TOGETHER with all the improvements now and hereafter erected on the Property, and all
easements, rights, appurtenances and rents (subject, however, to the rights and authorities given
herein to Lender to collect and apply such rents), all of which shall be deemed to be and remain
part of the property covered by this Deed of Trust; and all of the foregoing, together with said
property, are hereinafter referred to as the "Property";
TO SECURE to Lender:
This deed of trust is 2nd and subject to a fist trust deed
recording concurrently herewith
CITY OF NATIONAL CITY PAGE 1 OF 11
HOME -DEED OF TRUST
(A) Repayment of the indebtedness evidenced by the Promissory Note (HUD HOME
Program three percent (3%) Deferred) of even date herewith, and extensions and renewals thereof, in
the principal sum of Seventy Thousand U.S. Dollars $70,000.00 ("HOME Note") made by Borrower
in favor of the Lender;
(B) The performance of each agreement and covenant of Borrower under that certain
Declaration of Covenants, Conditions and Restrictions (HUD HOME Program 3% Deferred)
("Declaration") of even date herewith and recorded concurrently herewith affecting the Property;
(C) The payment of all other sums, with interest thereon, advanced to protect the security
of this Deed of Trust; and
(D) The performance of the covenants and agreements of Borrower contained herein.
BORROWER covenants that Borrower is lawfully seized of the estate hereby conveyed and
has the right to grant and convey the Property, and that Borrower is unencumbered except for
encumbrances of record. Borrower covenants that Borrower warrants, and will defend generally, the
title to the Property against all claims and demands, subject to encumbrances of record.
UNIFORM COVENANTS
Borrower and Lender covenant and agree as follows:
1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal and
interest evidenced by the HOME Note.
2. Funds for Taxes and Insurance. To protect the security of this Deed of Trust, Borrower agrees
to pay, at least ten (10) days before delinquency, all taxes and assessments affecting the Property,
including assessments on appurtenant water stock, all encumbrances, charges and liens, with interest,
on the Property or any part thereof, which appear to be prior or superior hereto, and all costs, fees and
expenses of this Trust. Should Borrower fail to make any payment or fail to do any act as herein
provided, then Lender or Trustee, without obligation to do so and without notice to or demand upon
Borrower and without releasing Borrower from any obligation hereof, may make or do the same in
such manner and to such extent as either may deem necessary to protect the security hereof, Lender
or Trustee being authorized to enter upon the Property for such purposes; appear in and defend any
action or proceeding purporting to affect the security hereof or the rights or powers of Lender or
Trustee; pay, purchase, contest or compromise any encumbrance, charge or lien which in the
judgment of either Lender or Trustee appears to be prior or superior hereto; and, in exercising any
such powers, pay necessary expenses, employ counsel and pay his reasonable fees.
3. Application of Payments. All payments received by Lender under the HOME Note shall be
applied by Lender first in payment of amounts due to Lender by Borrower, then to interest payable
on the HOME Note, and then to the principal of the HOME Note.
4. Prior Mortgages and Deeds of Trust; Charges, Liens. Borrower shall perform all of
Borrower's obligations under any mortgage, deed of trust or other security agreement with a lien
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HOME -DEED OF TRUST
which has priority over this Deed of Trust, including Borrower's covenants to make payments when
due. Borrower shall pay or cause to be paid all taxes, assessments and other charges, fines and
impositions attributable to the Property which may attain a priority over this Deed of Trust, and
leasehold payments, if any.
5. Hazard Insurance. Borrower shall keep the improvement(s) now existing or hereinafter
erected on the Property insured against loss by fire, hazards included within the terms "extended
coverage," and such other hazards as Lender may require and in such amounts and for such periods
as Lender may require. The insurance carrier providing the insurance shall be chosen by Borrower
subject to approval by Lender, provided that such approval will not be unreasonably withheld. All
insurance policies and renewals thereof shall be in a form acceptable to Lender and shall include
a standard mortgagee clause in favor of and in a form acceptable to Lender. Lender has the right
to hold the policies and renewals thereof, subject to the terms of any mortgage, deed of trust or
other security agreement with a lien which has priority over this Deed of Trust. In the event of
loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make
proof of loss if not made promptly by Borrower. If Property is abandoned by Borrower, or if
Borrower fails to respond to Lender within thirty (30) days from the date notice is mailed by
Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or
repair of the Property or to the sums secured by this Deed of Trust.
6. Preservation and Maintenance of Property. Borrower will keep the Property in good repair
and shall not commit waste or permit impairment or deterioration of the Property and shall comply
with the provisions of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust is on a
unit in a condominium or planned unit development, Borrower shall perform all of Borrower's
obligations under the declaration of covenants, conditions and restrictions creating or governing the
condominium or planned unit development, the bylaws and regulations of the condominium or
planned unit development, and constituent documents. Borrower shall maintain the Property in
conformance with all applicable state, federal, and local laws, ordinances, codes and regulations. In
the event that Borrower fails to maintain the Property in accordance with these standards and after at
least thirty (30) business days prior to the notice to Borrower, the City or the City's Contractor or
Agent may, but shall be under no obligation to, enter upon the Property, make such repairs or
replacements as are deemed necessary in the City's discretion, and provide for payment thereof. Any
amount advanced by the City to make such repairs, together with interest thereon from the date of
such advance at the rate of seven (7%) percent (unless payment of such an interest rate would be
contrary to applicable law, in which event such sums shall bear interest at the highest rate then
allowable by applicable law), shall become an additional obligation to the Borrower to the City and
shall be secured by the Deed of Trust, if not previously reconveyed.
7. Protection of Lender Security. If Borrower fails to perform the covenants and agreements
contained in this Deed of Trust, or if any action or proceeding is commenced which materially affects
Lender's interest in the Property, then Lender, at Lender's option, upon notice to Borrower, may make
such appearances, disburse such sums including reasonable attorneys' fees, and take such action as is
necessary to protect Lender's interest. If Lender's required hazard insurance is a condition of making
the loan secured by this Deed of Trust, Borrower shall pay the premiums required to maintain such
insurance in effect until such time as the requirement for such insurance terminates in accordance
CITY OF NATIONAL CITY PAGE 3 OF 11
HOME -DEED OF TRUST
with Borrower's and Lender's written agreement or applicable law. Any amounts disbursed by
Lender pursuant to this Section, with interest thereon at the rate of ten percent (10%) per annum, will
become additional indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and
Lender agree to other terms of payment, such amounts will be payable upon notice from Lender to
Borrower requesting payment thereof. Nothing contained in this Section will require Lender to incur
any expense or take any action hereunder.
8. Inspection. Lender may make or cause to be made reasonable entries upon and inspections
of the Property, provided that Lender will give Borrower notice prior to any such inspection,
specifying reasonable cause therefor related to Lender's interest in the Property.
9. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in
connection with any condemnation or other taking of the Property, or part thereof, or for conveyance
in lieu of condemnation, are hereby assigned and shall be paid to Lender subject to the terms of any
mortgage, deed of trust or other security agreement with a lien which has priority over this Deed of
Trust.
10. Borrower Not Released; Forbearance by Lender Not a Waiver. Extension of the time for
payment or modification of amortization of the sums secured by this Deed of Trust granted by Lender
to any successor in interest of Borrower shall not operate to release, in any manner, the liability of the
original Borrower and Borrower's successors in interest. Lender shall not be required to commence
proceedings against such successor or refuse to extend time for payment or otherwise modify
amortization of the sums secured by this Deed of Trust by reason of any demand made by the original
Borrower and Borrower's successors in interest. Any forbearance by Lender in exercising any right
or remedy hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude
the exercise of any such right or remedy.
11. Successors and Assigns Bound, Joint and Several Liability. The covenants and agreements
contained herein shall bind, and the rights hereunder shall inure to, the respective successors and
assigns of Lender and Borrower, subject to the provisions of Section 15 hereof. All covenants and
agreements of Borrower shall be joint and several.
12. Notice. Except for any notice required under applicable law to be given in another manner:
(a) any notice to Borrower provided for in this Deed of Trust shall be given by
delivering it or by mailing such notice by certified mail, addressed to Borrower at the Property
Address; and
(b) any notice to Lender will be given by certified mail, return receipt requested, to
Lender's address stated herein or to such other address as Lender may designate by notice to
Borrower as provided herein.
Any Notice provided for in this Deed of Trust shall be deemed to have been given to Borrower or
Lender when given in the manner designated herein.
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HOME -DEED OF TRUST
13. Governing Law, Severability. The state and local laws applicable to this Deed of Trust shall
be the laws of the jurisdiction in which the Property is located. The foregoing sentence shall not
limit the applicability of federal law to this Deed of Trust. In the event that any provision or clause
of this Deed of Trust or the HOME Note conflicts with applicable law, such conflict shall not affect
other provisions of this Deed of Trust or the HOME Note which can be given effect without the
conflicting provision and, to this end, the provisions of this Deed of Trust and the HOME Note are
declared to be severable. As used herein, "costs," "expenses" and "attorneys' fees" include all sums
to the extent not prohibited by applicable law or limited herein.
14. Borrower's Copy. Borrower shall be furnished a conformed copy of the HOME Note and
this Deed of Trust at the time of execution or after recordation hereof.
15. Due on Sale, Breach or 30-Years.
(a) Payment. Borrower shall pay principal and all accrued interest (either simple interest
or default interest, as the case may be) on the HOME Note, in one lump sum, to Lender upon the
earliest of: (1) a Sale (as defined in Section 15(b), below); (2) a default after completion of the
applicable acceleration procedures set forth in Section 16, below; or (3) thirty (30) years from the
date of the HOME Note. Borrower shall make any payments at the City of National City Finance
Department's office located at 1243 National City Boulevard, National City, California 91950, or
such other place as designated by Lender.
(d) Sale Defined. The following shall all be considered transfers or sales of the Property
and shall be referred to herein generally as a "Sale": (i) all or any part of the Property or any
interest in the Property is sold, conveyed or transferred; (ii) if Borrower is not a natural person and
a beneficial interest in Borrower is sold, conveyed or transferred; (iii) all or any part of the Property
is refinanced or further encumbered, except as otherwise allowed by law; (iv) Borrower does not
occupy the Property as his, her, or their, primary residence; (v) the leasing or renting of all or any
part of the Property; (vi) any material breach of the HOME Note, the Declaration, this Deed of
Trust, or any other agreement or obligation secured by the property; or (vii) the filing of bankruptcy
by the Borrower. Notwithstanding the foregoing, a refinancing of the Property shall not be
considered a default, provided the Lender provides written consent to Borrower prior to the
refinancing, which consent may be granted or withheld in the sole and absolute discretion of the
Lender.
(c) No Assumption of Note. The HOME Note may not be assumed by any person,
except as otherwise allowed by law.
NON -UNIFORM COVENANTS
Borrower and Lender further covenant and agree as follows:
16. Acceleration (Default), Remedies. Upon Borrower's default (or breach) of this Deed of
Trust, the HOME Note, Declaration, or any other document secured by this Deed of Trust, the
Declaration and/or the Property, Lender, prior to acceleration, shall give notice to Borrower as
provided in Section 12 hereof specifying:
CITY OF NATIONAL CITY PAGE 5 OF 1 l
HOME -DEED OF TRUST
(a) the breach;
(b) the action required to cure such breach;
(c) a date, not less than ten (10) days from the date the notice is mailed to Borrower,
by which such breach must be cured; and
(d) that failure to cure such breach on or before the date specified in the notice may
result in acceleration of the sums secured by this Deed of Trust and sale of the Property.
The notice shall further inform Borrower of the right to reinstate after acceleration and the
right to bring a court action to assert the nonexistence of a default or any other defense of Borrower
to acceleration and sale. If the breach is not cured on or before the date specified in the notice,
Lender, at Lender's option, may declare all of the sums secured by this Deed of Trust to be
immediately due and payable without further demand and may invoke the power of sale and any
other remedies permitted by applicable law. Lender shall be entitled to collect all reasonable costs
and expenses incurred in pursuing the remedies provided in this Section 16, including, but not
limited to, reasonable attorneys' fees.
If Lender invokes power of sale, Lender shall execute or cause Trustee to execute a written
notice of the occurrence of an event of default and of Lender's election to cause the Property to be
sold and shall cause such notice to be recorded in each county in which the Property or some part
thereof is located. Lender or Trustee shall mail copies of such notice in the manner prescribed by
applicable law. Trustee shall give public notice of sale to the persons and in the manner prescribed
by law. After the lapse of such time as may be required by applicable law, Trustee, without
demand on Borrower, shall sell the Property at public auction to the highest bidder at the time and
place and under the terms designated in the notice of sale in one or more parcels and in such order
as Trustee may determine. Trustee may postpone sale of all or any parcel of the Property by public
announcement at the time and place of any previously scheduled sale. Lender or Lender's designee
may purchase the Property at any sale.
Trustee shall deliver to the purchaser Trustee's deed conveying the Property so sold
without any covenant or warranty, expressed or implied. The recitals in the Trustee's deed shall
be prima facie evidence of the truth of the statements made therein. Trustee shall apply the
proceeds of the sale in the following order:
(1) to all reasonable costs and expenses of the sale, including, but not limited to,
reasonable Trustee's and attorneys' fees and costs of title evidence;
(2) to all sums secured by this Deed of Trust; and
(3) the excess, if any, to the person or persons legally entitled thereto.
17. Borrower's Right to Reinstate.
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HOME -DEED OF TRUST
(a) Curable Breach. Notwithstanding Lender's acceleration of the sums secured by this
Deed of Trust due to Borrower's breach (default), Borrower shall have the right to have any
proceedings begun by Lender to enforce this Deed of Trust discontinued at any time prior to five (5)
days before the sale of the Property pursuant to the power of sale contained in this Deed of Trust or
at any time prior to entry of a judgment enforcing this Deed of Trust if:
(1) Borrower pays Lender all sums which would be then due under this Deed
of Trust and the HOME Note had no acceleration occurred;
(2) Borrower cures all breaches of any other covenants or agreements of
Borrower contained in this Deed of Trust;
(3) Borrower pays all reasonable expenses incurred by Lender and the Trustee
in enforcing the covenants and agreements of Borrower contained in this Deed of Trust, including,
but not limited to, reasonable attorneys' fees; and
(4) Borrower takes such action as Lender may reasonably require to assure that
the lien of this Deed of Trust, Lender's interest in the Property and Borrower's obligation to pay
the sums secured by this Deed of Trust shall continue unimpaired.
Upon such payment and cure by Borrower as set forth in this Section 17(a), this Deed of Trust
and the obligations secured hereby shall remain in full force and effect as if no acceleration had
occurred.
(b) Non -Curable Breach.
(1) Failure to Occupy/Renting Out the Property is a Violation of Law. Borrower
hereby acknowledges that the loan evidenced by the HOME Note and secured by this Deed of Trust
was funded by Lender using U.S. Department of Housing and Urban Development ("HUD") Home
Investments Partnership Act ("HOME") funds. Section 215 of the HOME Investment Partnerships
Act (42 U.S.C. § 12745) and the HOME program regulations (24 C.F.R. §92.254) require Borrower
to occupy the Property as Borrower's principal residence. Renting out the Property (in whole or in
part) and/or Borrower's failure to occupy the Property as Borrower's principal residence is a violation
of State of California and Federal law (in addition to being a violation of the HOME Note, Declaration
and this Deed of Trust). Lender is obligated by Federal law to enforce the provisions of the HOME
program, Lender's failure to do so would jeopardize the Lender's ability to obtain additional HOME
funds from HUD and help other low-income families to obtain affordable housing.
(2) Failure to Occupy/Renting Out the Property Materially Impairs Lender's
Security. Borrower hereby acknowledges and agrees that renting out the Property (in whole or in
part) and/or Borrower's failure to occupy the Property as Borrower's principal residence, materially
impairs the Lender's security for the loan and the Lender's ability to obtain additional HOME funds
from HUD and help other low-income families to obtain affordable housing. Borrower further
acknowledges that if the Property is rented out (in whole or in part) and/or Borrower fails to occupy
the Property as Borrower's principal residence, then during any such period the Property will not
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HOME -DEED OF TRUST
qualify as "affordable housing" and the Lender may be in breach of its obligations to HUD and
therefore the Lender's security for the loan will be materially impaired.
(3) Failure to Occupy/Renting Out the Property is a Non -Curable Breach.
Borrower hereby acknowledges and agrees that renting out the Property (in whole or in part) and/or
Borrower's failure to occupy the Property as Borrower's principal residence, will be a non -curable
breach and the Lender shall have the right to accelerate the loan and foreclose on the Property as
provided herein. Notwithstanding anything to the contrary set forth in this Deed of Trust,
Borrower agrees that in the event Borrower rents out the Property and/or fails to occupy the
Property as Borrower's principal residence, Borrower shall not have the right to cure the
breach and reinstate the loan, this Deed of Trust or the obligations secured hereby.
(4) Borrower's Waiver. Borrower hereby knowingly waives and relinquishes any
and all legal and/or contractual rights Borrower may have to cure or otherwise reinstate this Deed of
Trust and the obligations secured hereby, in the event that Property is rented out (in whole or in part)
and/or Borrower fails to occupy the Property as Borrower's principal residence.
(5) Representation of Comprehension. Borrower acknowledges and agrees that
Lender has advised Borrower (and each of them if there is more than one Borrower) to retain an
attorney to represent Borrower with respect to the loan secured by this Deed of Trust. By executing
this Deed of Trust, Borrower (and each of them if there is more than one Borrower) represents that:
(i) Borrower fully understands and accepts the terms of this Deed of Trust, the HOME Note and
Declaration; (ii) Borrower has relied upon the legal advice of Borrower's attorneys or that Borrower
has freely and independently chosen not to seek the advice of an attorney; (iii) that neither the Lender
nor its attorneys represents Borrower; (iv) that Borrower has had a full and ample opportunity to
consult with any other professionals of Borrower's choice in connection with the rights and liabilities
created by this Deed of Trust, the HOME Note and Declaration; (v) that Borrower does not have any
questions with regard to the legal import of any term, word, phrase, or portion of this Deed of Trust,
the HOME Note or Declaration, or any of the foregoing documents in their entireties; and (vi)
Borrower accepts the terms of this Deed of Trust, the HOME Note and Declaration as written.
18. Assignment of Rents; Appointment of Receiver; Lender in Possession. As additional security
hereunder, upon acceleration of the HOME Note or abandonment of the Property, Lender, in person,
by agent or by judicially appointed receiver shall be entitled to enter upon, take possession of and
manage the Property and to collect the rents of the Property including those past due. All rents
collected by Lender or the receiver shall be applied first to payment of the cost of management of the
Property and collection of rents, including, but not limited to, receiver's fees, premiums on receiver's
bonds and reasonable attorneys' fees, and then to the sums secured by this Deed of Trust. Lender and
the receiver shall be liable to account only for those rents actually received.
19. Reconveyance. Upon satisfaction of both of the following conditions: (i) payment of all sums
secured by this Deed of Trust and (ii) termination of the Declaration, Lender shall request Trustee to
reconvey the Property and will surrender this Deed of Trust and all notes evidencing indebtedness
secured by this Deed of Trust to Trustee. Trustee shall reconvey the Property without warranty to the
person or persons legally entitled thereto. Such person or persons shall pay all costs of recordation,
if any.
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HOME -DEED OF TRUST
20. Substitute Trustee. Lender, at Lender's option, may from time to time appoint a successor
trustee to any Trustee appointed hereunder by an instrument executed and acknowledged by Lender
and recorded in the office of the Recorder of the county where the Property is located. The instrument
shall contain the name of the original lender, Trustee and Borrower, the book and page where this
instrument is recorded, and the name and address of the successor trustee. The successor trustee shall,
without conveyance of the Property, succeed to all the title, power and duties conferred upon the
Trustee herein and by applicable law. This procedure for substitution of trustee shall govern to the
exclusion of all other provisions for substitution.
21. Request for Notices. Borrower requests that copies of the notice of sale be sent to Borrower's
address which is the Property Address.
22. Statement of Obligation. Lender may charge a fee not to exceed the amount allowed by law
for furnishing the statement of obligation as provided by Section 2943 of the Civil Code of California.
23. Covenants, Conditions and Restrictions. The Property is subject to the Declaration which
is not attached hereto but is incorporated herein by reference. Borrower acknowledges receipt of
the Declaration and agrees, for himself, his heirs, successors and assigns to be bound by the same.
The obligations of Borrower under the Declaration shall be independent of, and in addition to,
Borrower's obligations under the HOME Note, and repayment of the HOME Note shall not
terminate or otherwise affect the Declaration.
24. Representations and Warranties of Borrower. Borrower represents and warrants, and a
violation thereof shall constitute a default/breach of this Deed of Trust, to the Lender as follows:
(a) Annual Gross Income. Borrower's annual gross income, including the income of
any co -purchasers or co -tenants, at the time of the execution of this Deed of Trust
does not exceed eighty percent (80%) of the area median income for the San Diego -
Carlsbad -San Marcos Metropolitan Statistical Area, as determined by HUD.
(b) Principal Place of Residence. For so long as this Deed of Trust is recorded against
the Property, Borrower will reside in the Property as Borrower's principal place of
residence. The Borrower shall be considered as occupying the Property as a
principal place of residence if the Borrower is living on the Property for at least ten
(10) months out of each calendar year. Borrower agrees not to neglect, sublet, lease
or rent out all or any portion of the Property during such period.
(c) Liquid Assets. At the time of the execution of this Deed of Trust, Borrower,
including any co -purchasers or co -tenants, and any other household members, does
not hold, directly or indirectly, "liquid assets", as defined below, whose aggregate
value exceeds $25,000 As used herein, the term "liquid assets" refers to cash and
assets which are readily convertible to cash within a reasonable period, including
but not limited to savings and checking accounts, certificates of deposit of any term,
marketable securities, money market and similar accounts, mutual fund shares, and
insurance policy cash values. The term "liquid assets" shall not include retirement
funds which are not readily accessible or which cannot be accessed by the buyer
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HOME -DEED OF TRUST
without the buyer incurring a penalty.
(d) Not a Full -Time Student. Borrower is not, and none of the co -purchasers or co-
tenants of Borrower are, a full-time student, or a household comprised exclusively
of persons who are full-time students, unless such persons are married and eligible
to file a joint federal income tax return. The term "full-time student" shall be
defined as any person who will be or has been a full-time student during five
calendar months of the calendar year in question at an educational institution (other
than a correspondence school) with regular faculty and students.
(e) Not a Student Dependent. Borrower is not, and none of the co -purchasers or co-
tenants of Borrower are, a student dependent as defined in the U.S. Internal
Revenue Code, unless the taxpayer (upon whom the student in question is
dependent) resides in the Property.
(f) Not an Owner of Real Property. Borrower does not, and none of the co -purchasers
of Borrower, own any real property at the time of escrow closing for the subject
Property.
(g)
First -Time Home Buyer, Displaced Homemaker or Single Parent. Borrower
satisfies at least one of the following criteria:
(1) Borrower is a first-time home buyer; that is, he or she has not owned
a home within the three-year period immediately preceding the date
of this Deed of Trust;
(2) Borrower is a displaced homemaker as defined in 24 C.F.R. §92.2;
or
(3) Borrower is a single parent as defined in 24 C.F.R. §92.2.
25. Request for Notice of Default. Lender requests that copies of notices of foreclosure from the
holder of any lien which has priority over this Deed of Trust be sent to Lender's address, as set forth
on page 1 of this Deed of Trust, as provided by Section 2924b of the Civil Code of California.
26. Refinancing. Neither the Property, nor any portion thereof, shall be refinanced without the
written consent of the Lender, except as otherwise allowed by law. The Lender may withhold any
such consent in its sole and absolute discretion, nothing contained herein shall obligate the Lender
to agree to Borrower's request to refinance the Property or any portion thereof.
27. Severability. If any provision of this Deed of Trust is deemed to be invalid or unenforceable
by a court of competent jurisdiction, that provision shall be severed from the rest of this Deed of
Trust and the remaining provisions shall continue in full force and effect.
28. Usury Savings Clause. If a court of competent jurisdiction determines, by way of final
unappealable order or judgment that the interest rate charged under the HOME Note is usurious,
CITY OF NATIONAL CITY PAGE 10 OF 11
HOME -DEED OF TRUST
then such rate shall automatically and retroactively be reduced to the maximum rate allowed under
applicable law.
29. Waiver by Lender. Any provision hereof, including without limitation, the requirement
that Borrower occupy the Property, may be waived only with the advance written approval of the
Lender and HUD for good cause shown.
30. Subordination of Deed of Trust. Borrower concurrently has executed a deed of trust or
mortgage in favor of SPRINGBOARD HOME LOANS ("Senior Deed of Trust"). This Deed of
Trust is subordinate to the Senior Deed of Trust on the Property, which the Senior Deed of Trust
is senior in recording priority to this Deed of Trust. Any party, and its successors and assigns,
receiving title to the Property through a trustee's sale, judicial foreclosure sale, or deed in lieu of
foreclosure of such Senior Deed of Trust, or assignment of the Senior Deed of Trust to the
Secretary of U.S. Department of Housing and Urban Development, and any conveyance or transfer
thereafter, shall receive title free and clear of the provisions of this Deed of Trust.
31. HOME Period. The loan evidenced by the HOME Note and secured by this Deed of Trust
was funded by Lender using U.S. Department of Housing and Urban Development ("HUD") Home
Investments Partnership Act ("HOME") funds. The HOME program regulations (24 C.F.R. Part
92), apply for a period of 15 years, from the date of recordation of this Deed of Trust. Beginning
15 years after the date of recordation of this Deed of Trust, and for the remainder of the term of
the HOME Note, the Property will continue to be subject to this Deed of Trust, but shall no longer
be subject to the HOME program regulations.
IN WITNESS WHEREOF, Borrower has executed this Deed of Trust.
Date: 11 $ (r7--
Date:
tk\.ziti
Borrower: Timothy'Captain
Borrower: Julia Captain
CITY OF NATIONAL CITY PAGE 11 OF 11
HOME -DEED OF TRUST
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document, to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
ACKNOWLEDGMENT
State of California
County of San Diego
16vevnbr.✓ ,
.Y1i1Gr/lri� !✓mes 1-)14n
-ri nia 1-k1 CaielaPA arstd 3L (x cork%
satisfactory evidence) to be the person r subscribed to the wit
and acknowledged to me that he/she/ e same in 44s4ter/t
capacity, ie and that byJzigsLher/ ei signatureC on the instrument the perso
behalf of which the persoacted, executed the instrument.
2017, before me,
notary public personally appeared
who proved to me on the basis of
whose name's )S/
executed tl'ie
n instrument
authorized
or the entity on
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signatur
ture of otary Publi
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(Seal)
AMANDA N
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San Diego County
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CITY OF NATIONAL CITY DEED OF TRUST
ACKNOWLEDGMENT
NOTARY SEA., CERTIFICATION
(Government Code 27361.7)
I CERTIFY UNDER PENALTY OF PERJURY THAT THE NOTARY SEAL ON THE DOCUMENT
TO WHICH THIS STATEMENT IS ATTACHED READS AS FOLLOWS.
Name of the Notary: c ✓ OV1 da 'e ✓fines- Maki
Commission Number: 2./ L 8 S Date Commission Expires:
County Where Bond is Filed: Spi'.� b 1 C6 d
Manufacturer or Vendor Number: N (Z.O
Signature:
1--2-(0-19
(Located on both sides of the notary seal borders
i m Name (if applicable) L 41,1 d C•
Place of Execution: San Diego Date: / / (/
EXHIBIT "A"
Legal Description of the Property
Property Address: 1213 E Avenue #B5, National City, CA 91950, National City, California
Parcel 1:
An undivided 1/32nd fractional interest in and to Lot I of Park Village, in the City of National City, County of San Diego, State of
California, according to Map thereof No. 9199, filed in the Office of the County Recorder of San Diego County, on April 30, 1979.
Except therefrom the following:
All Units as shown upon the superseding Condominium Plan of Park Village recorded on November 1, 1979 as Instrument No.
*51740 of Official Records of San Diego County.
Parcel 2:
Unit 5 as shown upon the Condominium Plan referred to above.
CITY OF NATIONAL CITY DEED OF TRUST EXHIBIT "A"
FREE RECORDING REQUESTED
PURSUANT TO GOVERNMENT CODE
27383
Recording Requested By And When
Recorded Mail to:
NA I-) (ECoosr T1 iC
City of National City
Housing, Grants, and Asset Management
1243 National City Boulevard
National City, CA 91950
DOC# 2017-0525991
111 IIIII IIII II IIIIllHH 11111 IDI IIIIIIIIIIIIIIIIIIIIIIIIII
Nov 09, 2017 03:59 PM
OFFICIAL RECORDS
Ernest J. Dronenburg, Jr.,
SAN DIEGO COUNTY RECORDER
FEES: $42.00
PAGES: 10
SPACE ABOVE THIS LINE FOR RECORDER'S USE
[RECORD AFTER THE 1ST DEED OF TRUST]
DECLARATION OF COVENANTS CONDITIONS AND RESTRICTIONS
(HUD HOME Program 3% Deferred)
City Loan No. 17NC8
THIS DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
("Declaration") is made as of this 8th day of November , 2017, by Timothy Captain and Julia
Captain Husband and Wife as community property with right of survivorship (hereafter
collectively and/or individually "Borrower"), in connection with that certain parcel of real property
("Property") located in the City of National City, County of San Diego, California, described in
Exhibit "A" attached hereto and incorporated herein by reference.
RECITALS
A. Concurrently with the recordation of this Declaration, the City of National City
("Lender") is funding a loan to Borrower ("HUD HOME Loan") evidenced by a promissory note
("HOME Note"). The HUD HOME Loan is secured by a deed of trust ("Deed of Trust") made by
Borrower, as trustor, in favor of the Lender as beneficiary. The Lender is making the HUD HOME
Loan to aid Borrower, who is a first-time homebuyer, in acquiring the Property.
B. The Deed of Trust and HUD HOME Loan and were conditioned in part upon the
recordation of this Declaration against the Property.
NOW, THEREFORE, Borrower hereby declares that the Property shall be subject to the
covenants, conditions and restrictions set forth below:
1. Representations and Warranties of Borrower. Borrower declares, represents and warrants
CITY OF NATIONAL CITY PAGE 1 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
FREE RECORDING REQUESTED
PURSUANT TO GOVERNMENT CODE
27383
Recording Requested By And When
Recorded Mail to:
�,2aN&Ecor-1—(1r-e
City of National City
Housing, Grants, and Asset Management
1243 National City Boulevard
National City, CA 91950
SPACE ABOVE THIS LINE FOR RECORDER'S USE
[RECORD AFTER THE 1ST DEED OF TRUST]
DECLARATION OF COVENANTS CONDITIONS AND RESTRICTIONS
(HUD HOME Program 3% Deferred)
City Loan No. 17NC8
THIS DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
("Declaration") is made as of this 8th day of November , 2017, by Timothy Captain and Julia
Captain Husband and Wife as community property with right of survivorship (hereafter
collectively and/or individually "Borrower"), in connection with that certain parcel of real property
("Property") located in the City of National City, County of San Diego, California, described in
Exhibit "A" attached hereto and incorporated herein by reference.
RECITALS
A. Concurrently with the recordation of this Declaration, the City of National City
("Lender") is funding a loan to Borrower ("HUD HOME Loan") evidenced by a promissory note
("HOME Note"). The HUD HOME Loan is secured by a deed of trust ("Deed of Trust") made by
Borrower, as trustor, in favor of the Lender as beneficiary. The Lender is making the HUD HOME
Loan to aid Borrower, who is a first-time homebuyer, in acquiring the Property.
B. The Deed of Trust and HUD HOME Loan and were conditioned in part upon the
recordation of this Declaration against the Property.
NOW, THEREFORE, Borrower hereby declares that the Property shall be subject to the
covenants, conditions and restrictions set forth below:
1. Representations and Warranties of Borrower. Borrower declares, represents and warrants
CITY OF NATIONAL CITY PAGE 1 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
to the Lender and agrees as follows:
(a) Income Eligibility Requirements -Annual Gross Income (§92.203). Borrower's
annual gross income, including the income of any co -purchasers or co -tenants, at the time of the
execution of this Declaration does not exceed eighty percent (80%) of the Area Median Income
for the San Diego -Carlsbad -San Marcos Metropolitan Statistical Area, as adjusted for family size,
as determined by HUD.
(b) Principal Place of Residence. For so long as the Deed of Trust is recorded against
the Property, Borrower will reside in the Property as Borrower's principal place of residence. The
Borrower shall be considered as occupying the Property as a principal place of residence if the
Borrower is living in the Property for at least ten (10) months out of each calendar year. Borrower
agrees not to neglect, sublet, lease or rent out all or any portion of the Property during such period.
(c) Ownership Interest. The Borrower has fee simple title on the Property (24 CFR
Part 92.254).
(d) Liquid Assets. At the time of the execution of this Declaration, Borrower, including
any co -purchasers or co -tenants and all other household members, does not hold, directly or
indirectly, "liquid assets", as defined below, whose aggregate value exceeds $25,000. As used
herein, the term "liquid assets" refers to cash and assets which are readily convertible to cash
within a reasonable period, including but not limited to savings and checking accounts, certificates
of deposit of any term, marketable securities, money market and similar accounts, mutual fund
shares, and insurance policy cash values. The term "liquid assets" shall not include retirement
funds which are not readily accessible or which cannot be accessed by the buyer without the buyer
incurring a penalty.
(e) Not a Full -Time Student. Borrower is not, and none of the co -purchasers or co-
tenants of Borrower are, a full-time student, or a household comprised exclusively of persons who
are full-time students, unless such persons are married and eligible to file a joint federal income
tax return. The term "full-time student" shall be defined as any person who will be or has been a
full-time student during five calendar months of the calendar year in question at an educational
institution (other than a correspondence school) with regular faculty and students.
(f) Not a Student Dependent. Borrower is not, and none of the co -purchasers or co-
tenants of Borrower are, a student dependent as defined in the U.S. Internal Revenue Code, unless
the taxpayer (upon whom the student in question is dependent) resides in the Property.
(g) Not an Owner of Real Property. Borrower does not, and none of the co -purchasers
of Borrower, own any real property at the time of escrow closing for the subject Property.
(h) First -Time Home Buyer, Displaced Homemaker or Single Parent. Borrower
satisfies at least one of the following criteria:
(1)
Borrower is a first-time home buyer; that is, he or she has not owned a home
within the three-year period immediately preceding the date of this
Declaration;
CITY OF NATIONAL CITY PAGE 2 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
(2) Borrower is a displaced homemaker as defined in 24 C.F.R. §92.2; or
(3)
Borrower is a single parent as defined in 24 C.F.R. §92.2.
(i) Homebuyer Counseling. Borrower has attended a HUD -approved Homebuyer
Counseling session.
2. Due on Sale, Default, or 30-Years.
(a) Borrower shall pay principal and all accrued interest (either simple interest or
default interest, as the case may be) on the HOME Note, in one lump sum, to Lender
upon the earliest of: (1) a Sale (as defined in Section 2(b), below); (2) a default after
completion of the applicable acceleration procedures set forth in Section 3, below;
or (3) thirty (30) years from the date first written above. Borrower shall make any
payments at the City of National City Finance Department's office located at 1243
National City Boulevard, National City, California 91950, or such other place as
designated by Lender
(b) Sale Defined. The following shall all be considered transfers or sales of the
Property and shall be referred to herein generally as a "Sale": (i) all or any part of
the Property or any interest in the Property is sold, conveyed or transferred; (ii) if
Borrower is not a natural person and a beneficial interest in Borrower is sold,
conveyed or transferred; (iii) all or any part of the Property is refinanced or further
encumbered, except as otherwise allowed by law; (iv) Borrower does not occupy
the Property as his, her, or their, primary residence; (v) the leasing or renting of all
or any part of the Property; (vi) any material breach of this Declaration, the HOME
Note or Deed of Trust; or (vii) the filing of bankruptcy by the Borrower.
Notwithstanding the foregoing, a refinancing of the Property shall not be
considered a default, provided the Lender provides written consent to Borrower
prior to the refinancing, which consent may be granted or withheld in the sole and
absolute discretion of the Lender.
(c) No Assumption of Note. The HOME Note may not be assumed by any person,
except as otherwise allowed by law.
3. Acceleration (Default).
(a) Acceleration, Remedies. Upon Borrower's default of this Declaration, the HOME
Note, the Deed of Trust, or any other document secured by this Declaration, the Deed of Trust
and/or the Property, Lender shall give notice to Borrower prior to acceleration, such notice shall
include:
(1) a description of the breach;
CITY OF NATIONAL CITY PAGE 3 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
(2) the action required to cure such breach (if any);
(3) a date, not less than ten (10) days from the date the notice is mailed to
Borrower, by which such breach must be cured; and
(4) a statement that failure to cure such breach on or before the date specified
in the notice may result in acceleration of the sums secured by the Deed of Trust and sale of the
Property.
The notice shall further inform Borrower of the right to reinstate after acceleration and the
right to bring a court action to assert the nonexistence of a default or any other defense of Borrower
to acceleration and sale. If the breach is not cured on or before the date specified in the notice,
Lender, at Lender's option, may declare all of the sums secured by the Deed of Trust to be
immediately due and payable without further demand and may invoke the power of sale and any
other remedies permitted by applicable law, including, but not limited to, as provided in and
pursuant to the procedure set forth in the Deed of Trust. Lender shall be entitled to collect all
reasonable costs and expenses incurred in pursuing the remedies provided in this Section 3,
including, but not limited to, reasonable attorneys' fees.
(b) Borrower's Right to Reinstate.
(1) Curable Breach. Notwithstanding Lender's acceleration of the sums
secured by the Deed of Trust due to Borrower's breach, Borrower shall have the right to have any
proceedings begun by Lender to enforce the Deed of Trust discontinued at any time prior to five
(5) days before the sale of the Property pursuant to the power of sale contained in the Deed of
Trust or at any time prior to entry of a judgment enforcing the Deed of Trust if:
(A) Borrower pays Lender all sums which would be then due under the
HOME Note and the Deed of Trust had no acceleration occurred;
(B) Borrower cures all breaches of any other covenants or agreements
of Borrower contained in the Deed of Trust;
(C) Borrower pays all reasonable expenses incurred by Lender and the
trustee in enforcing the covenants and agreements of Borrower contained in the Deed of Trust,
including, but not limited to, reasonable attorneys' fees; and
(D) Borrower takes such action as Lender may reasonably require to
assure that the lien of the Deed of Trust, Lender's interest in the Property and Borrower's
obligation to pay the sums secured by the Deed of Trust shall continue unimpaired.
Upon such payment and cure by Borrower as set forth in this Section 3(b) (1), the Deed of
Trust and the obligations secured hereby shall remain in full force and effect as if no acceleration
had occurred.
(2) Non -Curable Breach.
CITY OF NATIONAL CITY PAGE 4 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
(A) Failure to Occupy/Renting Out the Property is a Violation of Law.
Borrower hereby acknowledges that the HUD HOME Loan evidenced by the HOME Note and
secured by the Deed of Trust and this Declaration was funded by Lender using U.S. Department
of Housing and Urban Development ("HUD") Home Investments Partnership Act ("HOME")
funds. Section 215 of the HOME Investment Partnerships Act (42 U.S.C. § 12745) and the HOME
program regulations (24 C.F.R. §92.254) require Borrower to occupy the Property as Borrower's
principal residence. Leasing or renting out the Property in whole or in part and/or Borrower's
failure to occupy the Property as Borrower's principal residence is a violation of State of California
and Federal law (in addition to being a violation of this Declaration). Lender is obligated by
Federal law to enforce the provisions of the HOME program, Lender's failure to do so would
jeopardize Lender's ability to obtain additional HOME funds from HUD and help other low-
income families to obtain affordable housing.
(B) Failure to Occupy/Renting Out the Property Materially Impairs
Lender's Security. Borrower hereby acknowledges and agrees that renting out the Property (in
whole or in part) and/or Borrower's failure to occupy the Property as Borrower's principal
residence, materially impairs Lender's security for the HUD HOME Loan and Lender's ability to
obtain additional HOME funds from HUD and help other low-income families to obtain affordable
housing. Borrower further acknowledges that if the Property is rented out (in whole or in part)
and/or Borrower fails to occupy the Property as Borrower's principal residence, then during any
such period the Property will not qualify as "affordable housing" and Lender may be in breach of
its obligations to HUD and therefore the Lender's security for the HUD HOME Loan will be
materially impaired.
(C) Failure to Occupy/Renting Out the Property is a Non -Curable
Breach. Borrower hereby acknowledges and agrees that renting out the Property (in whole or in
part) and/or Borrower's failure to occupy the Property as Borrower's principal residence, will be
a non -curable breach and Lender shall have the right to accelerate the HUD HOME Loan and
foreclose on the Property as provided herein. Notwithstanding anything to the contrary set
forth in this Declaration, Borrower agrees that in the event Borrower rents out the Property
(in whole or in part) and/or fails to occupy the Property as Borrower's principal residence,
Borrower shall not have the right to cure the breach and reinstate the HUD HOME Loan,
the Deed of Trust or the obligations secured thereby.
(D) Borrower's Waiver. Borrower hereby knowingly waives and
relinquishes any and all legal and/or contractual rights Borrower may have to cure or otherwise
reinstate the Deed of Trust and the obligations secured thereby, in the event that Property is rented
out (in whole or in part) and/or Borrower fails to occupy the Property as Borrower's principal
residence.
(E) Representation of Comprehension. Borrower acknowledges and
agrees that Lender has advised Borrower (and each of them if there is more than one Borrower) to
retain an attorney to represent Borrower with respect to this Declaration. By executing this
Declaration, Borrower (and each of them if there is more than one Borrower) represents that: (i)
Borrower fully understands and accepts the terms of this Declaration, the HOME Note and Deed
of Trust; (ii) Borrower has relied upon the legal advice of Borrower's attorneys or that Borrower
has freely and independently chosen not to seek the advice of an attorney; (iii) that neither the
CITY OF NATIONAL CITY PAGE 5 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
Lender nor its attorneys represents Borrower; (iv) that Borrower has had a full and ample
opportunity to consult with any other professionals of Borrower's choice in connection with the
rights and liabilities created by this Declaration, the HOME Note and Deed of Trust; (v) that
Borrower does not have any questions with regard to the legal import of any term, word, phrase,
or portion of this Declaration, the HOME Note and Deed of Trust, or any of the foregoing
documents in their entireties; and (vi) Borrower accepts the terms of this Declaration, the HOME
Note and Deed of Trust as written.
4. Term. This Declaration shall expire upon the earlier of the foreclosure of any deed of trust
or mortgage on the Property made in favor of or held by an institutional lender or investor that is
senior in recording priority to this Declaration or payment in full of the HOME Note.
5. Covenant Against Discrimination. Borrower covenants on behalf of itself and its
successors and assigns, and each successor in interest to the Property, not to discriminate against
any prospective purchaser of the Property on the basis of race, religion, sex or national origin.
6. Enforcement. Borrower expressly agrees and declares that Lender or any successor public
agency is a proper party and shall have standing to initiate and pursue any and all actions or
proceedings, at law or in equity to enforce the provisions hereof and/or to recover damages for any
default hereunder and/or to enforce the terms of this Declaration. Further, Lender or any successor
public agency shall be the proper party to waive, relinquish, release or modify the rights,
covenants, obligations or restrictions contained in or arising under this Declaration.
7. Attorneys' Fees. Upon the breach of the terms of this Declaration, the HOME Note or
Deed of Trust, Borrower agrees to pay Lender any and all attorneys' fees, court costs, trustee fees,
and any and all other fees and costs incurred by Lender as a result of said breach and/or default.
8. Severability. In the event that any provision or covenant of this Declaration is deemed to
be invalid or unenforceable by a court of competent jurisdiction, that provision shall be severed
from the rest of this Declaration and the remaining provisions shall continue in full force and effect.
9. Covenants Run With The Land. The covenants contained herein shall constitute
"covenants running with the land" pursuant to Civil Code Sections 1460, 1462, 1463, 1464, 1465,
1467 and 1468, to the extent applicable, and shall bind the Property and every person having an
interest therein during the term of this Declaration, including Borrower and its successors, heirs
and assigns. Borrower agrees for itself and its successors that, in the event that, for any reason
whatsoever, a court of competent jurisdiction determines that the foregoing covenants do not run
with the land, such covenants shall be enforced as equitable servitudes against the Property.
10. Recordation. This Declaration shall be recorded in the Office of County Recorder of San
Diego, California.
1 1 . Remedies Cumulative. Lender shall have the right, in the event of any breach of any such
agreement or covenant, to exercise all the rights and remedies, and to maintain any actions at law
or suit in equity or other proper proceedings to redress the breach of agreement or covenant.
CITY OF NATIONAL CITY PAGE 6 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
12. Headings. The headings used in this Declaration are for convenience only and are not to
be used to interpret the meaning of any of the provisions of this Declaration.
13. Liberal Construction. The provisions of this Declaration shall be liberally construed to
effectuate its purpose. Failure to enforce any provision of this Declaration shall not constitute a
waiver of the right to enforce the provision later.
14. Number; Gender. The singular shall include the plural and the plural the singular, unless
the context requires the contrary; and the masculine, feminine and neuter shall include the
masculine, feminine or neuter, as the context requires.
15. Exhibits. Any exhibits referenced herein and attached to this Declaration are hereby
incorporated by reference.
16. Notices to Mortgagees of Record. On any loss to the Property, if such loss exceeds One
Thousand Dollars ($1,000.00), notice in writing of such loss shall be given to each mortgagee of
record.
17. Fire and Extended Coverage Insurance. Borrower shall obtain and maintain a policy of
fire insurance for the full insurable value of all the improvements within the Property. The form,
content and term of the policy, its endorsements and the issuing company must be satisfactory to
all mortgagees. If more than one mortgagee has a loan of record against the Property, or any part
thereof, the policy and endorsement shall meet the maximum standards of the various mortgagees
represented in the Property. The policy shall contain an agreed amount endorsement or its
equivalent, an increased cost of construction endorsement, vandalism and malicious mischief
coverage, a special form endorsement and a determinable cash adjustment clause or a similar
clause to permit cash settlements covering the full value of the improvements in case of partial
destruction and a decision not to rebuild. The policy shall name as insureds the owners, Borrower
and the mortgagees, as long as their respective interests may appear. "Mortgagees", as used herein,
includes beneficiaries under a deed of trust.
18. Binding Effect. This Declaration shall inure to the benefit of and be binding upon the
successors and assigns of Borrower and the heirs, personal representatives, grantees, tenants,
successors -in -interest or assigns of the owners.
19. Certifications by Borrower. Not less frequently than once a year Borrower shall certify to
Lender that Borrower:
(a) Complies with all the terms and conditions of this Declaration and the Deed of
Trust; and
(b) Has obtained and does maintain fire and casualty insurance on the Property
satisfactory to Lender, including a certificate of insurance, of which Lender shall
be a holder, from the insurance company providing coverage satisfactory to Lender
which may not be cancelled by the insurance company without thirty (30) days
advance notice of cancellation.
CITY OF NATIONAL CITY PAGE 7 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
20. Declaration Subordinate. This Declaration is subordinate to any deed of trust or mortgage
on the Property, which deed of trust is senior in recording priority to this Declaration. Any party,
and its successors and assigns, receiving title to the Property through a trustee's sale, judicial
foreclosure sale, or deed in lieu of foreclosure of such senior deed of trust or mortgage, and any
conveyance or transfer thereafter, shall receive title free and clear of the provisions of this
Declaration.
21. Refinancing. Neither the Property, nor any portion thereof, shall be refinanced without the
written consent the Lender, except as otherwise allowed by law. The Lender may withhold any
such consent in its sole and absolute discretion, nothing contained herein shall obligate Lender to
agree to Borrower's request to refinance the Property or any portion thereof.
22. Waiver by Lender. Any provision hereof, including without limitation, the requirement
that Borrower occupy the Property, may be waived only with the advance written approval of the
Lender and HUD for good cause shown.
23. HOME Period. The HUD HOME Loan was funded by Lender using U.S. Department of
Housing and Urban Development ("HUD") Home Investments Partnership Act ("HOME") funds.
The HOME program regulations (24 C.F.R. Part 92), apply for a period of 15 years, from the date
of recordation of the Deed of Trust. Beginning 15 years after the date of recordation of the Deed
of Trust, and for the remainder of the term of this Declaration, the Property will continue to be
subject to the restrictions set forth in this Declaration, but shall no longer be subject to the HOME
program regulations.
24. Declaration Independent of HOME Note. The obligations of Borrower under this
Declaration shall be independent of, and in addition to, Borrower's obligations under the HOME
Note, and repayment of the HOME Note shall not terminate or otherwise affect this Declaration.
Date:
Date:
8//-z-
Borrower: Timothy Captain
wer: Julia Captain
CITY OF NATIONAL CITY PAGE 8 OF 8
HOME -DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
ACKNOWLEDGMENT
A notary public or other officer completing this certificate verifies only the identity of the
individual who signed the document, to which this certificate is attached, and not the
truthfulness, accuracy, or validity of that document.
State of California
County of San Diego
{7cbfnii'ev 3
)
4*/) aid ',I4 (
satisfactory evidence)to be the perso
and acknowledged to me that
capacit , and that by hi�er/ ei signatur
behalf o hich the person
20 f, before me,
notary public personally appeared
who roved to me on the basis of
n's whose name(sJ,/s/ subscribed to the within instrument
executed the same in 4446/444r/ ei authorized
on the instrument the perso>s , or the entity on
executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal.
Signatur
ature of Notary u
Iic
(Seal)
AMANDA HERMESMAN
COMM. #2108805 z
Notary Public • California o
San Diego County
Comm. Ex ' ires A ' r. 26, 2019
CITY OF NATIONAL CITY
DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS
EXHIBIT "B"
EXHIBIT "A"
Legal Description of the Property
Property Address: 1213 E Avenue # B5 National City CA 91950, National City, California
Parcel 1:
An undivided 1/32nd fractional interest in and to Lot 1 of Park Village, in the City of National City, County of San Diego, State of
California, according to Map thereof No, 9199, filed in the Office of the County Recorder of San Diego County, on April 30, 1979.
EXCV134 the/et-ram the following:
MI Units as shown upon the superseding Condominium Plan of Park Village recorded ion November 1, 1979 as Ina rttrnent No.
461744) of Official Records of San Diego County.
Parcel 2:
Unit 5 as shown upon the Condominium Plan referred to above.
CITY OF NATIONAL CITY EXHIBIT "A"
DECLARATION OF COVENANTS, CONDITIONS & RESTRICTIONS