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HomeMy WebLinkAbout2016 CON HA (Subordination Agreement) Armando and Elizabeth Marquez - 3117 E 6th StreetNOTE TO FILE 02-05-18 IN THE MATTER OF: Resolution 2016-36, of the Community Development Commission -Housing Authority of the City Council of the City of National City authorizing the Chairman to execute a Subordination Agreement. Please note the following: A FULLY EXECUTED ORIGINAL RECORDED SUBORDINATION AGREEMENT WAS NEVER FILED WITH THE OFFICE OF THE CITY CLERK. A COPY OF THE SUBORDINATION AGREEMENT WAS PROVIDED. ORIGINATING DEPARTMENT: NTF CDC X Housing & Grants City Attorney Human Resources City Manager MIS Community Svcs. Planning Engineering Police Finance Public Works Fire Otto - ZO 2 DOC# 2016-0237230 IIIIIIIIIIIIIIIIIIIIIIIIII IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII,IIIII May 17, 2016 10:20 AM OFFICIAL RECORDS Ernest J. Dronenburg, Jr., SAN DIEGO COUNTY RECORDER FEES: $27.00 PAGES: 5 RECORDING REQUESTED BY WESTCOR LAND TITLE INS. CO. AND WHEN RECORDED MAIL TO: CDC-IHOUSING AUTHORITY OF THE CITY OF NATIONAL CITY 1243 NATIONAL CITY BLVD NATIONAL CITY, CA 91950 ATTN: HOUSING, GRANTS, & ASSET MGMT ORDER NO.: R-1603-CA-2930778 SPACE ABOVE THIS LINE FOR RECORDER'S USE SUBORDINATION AGREEMENT NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY INTEREST IN THE PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY THAN THE LIEN OF SOME OTHER OR LATER SECURITY INSTRUMENT. THIS AGREEMENT, made this i 9t day of APO/ , .20 /CO by Armando Marquez and Elizabeth Marquez, owners of the land hereinafter described and hereinafter referred to as "Owner" and the Community Development Commission -Housing Authority of the City of National City, present owner and holder of the deed of trust or mortgage and note first hereinafter described and hereinafter referred to as "Beneficiary", WITNESSETH THAT WHEREAS, Armando Marquez and Elizabeth Marquez (owners) did execute a deed of trust or mortgage, dated 7/18/1997 to the Community Development Commission of the City of National City, as trustee 3117 East 16th Street, National City, CA 91950 Legal Description: THE FOLLOWING DESCRIBED REAL PROPERTY IN THE CITY OF NATIONAL CITY COUNTY OF SAN DIEGO, STATE OF CALIFORNIA: LOT 5 OF CHRISTMAS IN JULY IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 13387, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, DECEMBER 20, 1996. to secure a note in the sum of $17,580.00 dated 7/18/1997 in favor of The Community Development Commission of the City of National City, which deed of trust or mortgage was recorded as instrument #1997-0376573, Official Records of San Diego county; and Page 1 of 4 WHEREAS, Owner has executed, or is about to execute, a deed of trust or mortgage and note not to exceed the sum of $75,800.00 dated 12th May, 2016 in favor of Homeward Residential, Inc., hereinafter referred to as "Lender", payable with interest and upon the terms and conditions described therein, which deed of trust or mortgage is to be recorded concurrently herewith; WHEREAS, it is a condition precedent to obtaining said loan that said deed of trust or mortgage last above mentioned shall unconditionally be and remain at all times a lien or charge upon the land hereinbefore described, prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned; and WHEREAS, lender is willing to make said loan provided the deed of trust or mortgage securing the same is a lien or charge upon the above described property prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned and provided that Beneficiary will specifically and unconditionally subordinate the lien or charge of the deed of trust or mortgage first above mentioned to the lien or charge of the deed of trust or mortgage in favor of Lender; and WHEREAS, it is the mutual benefit of the parties hereto that Lender make such loan to Owner; and Beneficiary is willing that the deed of trust or mortgage securing the same shall, when recorded, constitute a lien or charge upon said land which is unconditionally prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned. NOW, THEREFORE, in consideration of the mutual benefits accruing to the parties hereto and other valuable consideration, the receipt and sufficiency of which consideration is hereby acknowledged, and in order to induce Lender to make the loan above referred to, it is hereby declared, understood and agreed as follows: (1) That said deed of trust or mortgage securing said note in favor of Lender, and any renewals or extensions thereof, shall unconditionally be and remain at all time a lien or charge on the property therein described, prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned. (2) That Lender would not make its loan above described without the subordination agreement. (3) That this agreement shall be the whole and only agreement with regard to the subordination of the lien or charge of the deed of trust or mortgage first above mentioned to the lien or charge of the deed of trust or mortgage in favor of lender above referred to and shall supersede and cancel, but only insofar as would affect the priority between the deeds of trust hereinbefore specifically described, any prior agreement as to such subordination including, but not limited to, those provisions, if any, contained in the deed of trust or mortgage first above mentioned, which provide for the subordination of the lien or charge thereof to another deed, deed of trust or to another mortgage or mortgages. Beneficiary declares, agrees and acknowledges that (a) He consents to and approves (i) all provisions of the note and deed of trust or mortgage in favor of Lender above referred to, and (ii)alt agreements, including but not limited to any loan or escrow agreements, between Owner and Lender for the disbursement of the proceeds of Lender's loan; Page 2 of 4 (b) Lender in making disbursements pursuant to any such agreement is under no obligation or duty to, nor has Lender represented that it will, see to the application of such proceeds by the person or persons to whom Lender disburses such proceeds and any application or use of such proceeds for purposes other than those provided for in such agreement or agreements shalt not defeat the subordination herein made in whole or in part; (c) He intentionally and unconditionally waives, relinquishes and subordinates the lien or charge of the deed of trust or mortgage first above mentioned in favor of the lien or charge upon said land of the deed of trust or mortgage in favor of Lender above referred to and understands that in reliance upon, and in consideration of, this waiver, relinquishment and subordination specific loans and advances are being and will be made and, as part and parcel thereof, specific monetary and other obligations are being and will be entered into which would not be made or entered into but for said reliance upon this waiver, relinquishment and subordination; and (d) An endorsement has been placed upon the note secured by the deed of trust or mortgage first above mentioned that said deed of trust or mortgage has by this instrument been subordination to the lien or charge of the deed of trust or mortgage in favor of Lender above referred to. NOTICE: THIS SUBORDINATION AGREEMENT CONTAINS A PROVISION WHICH ALLOWS THE PERSON OBLIGATED ON YOUR REAL PROPERTY SECURITY TO OBTAIN A LOAN A PORTION OF WHICH MAY BE EXPENDED FOR OTHER PURPOSES THAN IMPROVEMENT OF THE LAND Community Development Commission -Housing Authority of the City of National City By: Ron Morrison, Chairman Beneficiary Armando Marquez t- Elizabeth Marquez (All signatures must be acknowledged) Page 3 of 4 Owners 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 SG ' On t,1—‘4 lot 2U f (, a Notary Pu lic, personally appeared �Z Q �l► ern n s cY- who proved to me on the basis of satisfactory evidence to be the person( whose namc(5J is/a6 subscribed to the within instrument and acknowledged to me that he!sh Tth%y executed the same in his/h jlthe(r authorized capacity(i() and that by hisfhh/ther signature on the instrument the personkd), or the entity upon behalf of which the person acted, 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. } SS: before me, WITNESS my hand and official seal. Signature FOR NOTARY SEAL OR STAMP ANGELITA MARCHANTE I COMM, 01946693 2 NOTARYPUBLIC'GALIFORNIA SAN DIEGO COUNTY My_Comm. Exp. Qto e 254212.121 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 ' 5J?'A COUNTY OF ,Q/Ve On /2 /Yf4/ ZoI ' T7. !<. I o cA,arci a Notary Public, personally appeared Mil eq. e Z a of d G—✓ttit Ge tit AIerr y v e z- who prored to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in hisiher/their authorized capacity(ies) and that by his/her/their signature(s)on the instrument the person(s), or the entity upon behalf of which the person(s) acted, 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. } SS: before me, WITNESS my hand and official seal. Page 4 of 4 FOR NOTARY SEAL OR STAMP D. K. HOWARD COMM. # 2125982 NOTARY PUBLIC • CALIFORNIA o SAN DIEGO COUNTY Comm. Exp. OCT. 3,_2019 EXHIBIT A Legal Description R-1603-CA-2930778 THE FOLLOWING DESCRIBED REAL PROPERTY IN THE CITY OF NATIONAL CITY COUNTY OF SAN DIEGO, STATE OF CALIFORNIA: LOT 5 OF CHRISTMAS IN JULY IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. '13387, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, DECEMBER 20, 1996. 558-170-29-00 Being Property Conveyed by Grant Deed from Christmas In April National City, a California Non-profit Corporation to Armando Marquez and Elizabeth Marquez, husband and wife as joint tenants, recorded August 7, 1997, in , San Diego County, California. s, , `Y a D et L; San Diego County Transaction #: 936064 Receipt #: 2017137088 1111111111111111111111111111111111111111 Ernest J. Dronenburg, Jr. Assessor/Recorder/County Clerk 1600 Pacific Highway Suite 260 Cashier Date: 06/01/2017 Print Date: 06/01/2017 8:45 am San Diego, CA 92112-1750 Cashier Location: CVO Tel. (619) 238-8158 Fax (619) 557-4155 www.sdarcc.com Payment Summary CITY OF NATIONAL CITY 1243 NATIONAL CITY BLVD Total Fees: $10.00 Total Payments: $0.00 HOUSING GRANTS AND ASSET MANAGEMENT Balance Due: $10.00 NATIONAL CITY, CA 91950 Total Charged: $10.00 Search Item SEARCHRECORD Document #: 2016-0237230 Date: 06/01/2017 8:45AM Pages: 5 Fees: Copies $10.00 Total Fees Due: $10.00 Grand Total - All Documents: $10.00 Page 1 of 1 RESOLUTION NO. 2016 — 36 RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE A SUBORDINATION AGREEMENT ALLOWING A NEW MORTGAGE THAT IS NOT -TO -EXCEED $75,800 TO BE AND REMAIN A LIEN PRIOR AND SUPERIOR TO A HOME PURCHASE ASSISTANCE LOAN ON A SINGLE -UNIT PROPERTY LOCATED AT 3117 EAST 16th STREET IN NATIONAL CITY WHEREAS, Armando and Elizabeth Marquez ("Borrowers") are the owners of a single -unit property located at 3117 East 16th Street in National City; and WHEREAS, on July 18,1997, the Community Development Commission of the City of National City made a loan for $17,580 from the HOME Investment Partnerships Program to assist in the purchase of the single -unit property; and WHEREAS, the Borrowers desire to refinance the existing first mortgage to reduce the interest rate to 3.75% and the term of the loan to 15 years from 30 years with a new mortgage with a principal amount not -to -exceed $75,800 from Homeward Residential, Inc., ("Lender"); and WHEREAS, in order to provide the loan, the Lender requires the subordination of the Deed of Trust that secures the HOME funds. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission -Housing Authority of the City of National City hereby authorizes the Chairman to execute a Subordination Agreement and any other Escrow related documents as necessary. After being recorded by the County of San Diego, a copy of the Subordination Agreement will be on file in the office of the City Clerk. PASSED and ADOPTED this 19th day of April, on Morrison, Chairman ATTEST: Leslie Deese, City Clerk PROVED . TO FORM: Claudia Gacitu. Silva General C:unse Passed and adopted by the Community Development Commission — Housing Authority of the City of National City, California, on April 19, 2016 by the following vote, to -wit: Ayes: Boardmembers Cano, Mendivil, Morrison, Rios, Sotelo-Solis. Nays: None. Absent: None. Abstain: None. AUTHENTICATED BY: RON MORRISON Chairman, Housing Authority Secretary, Housing Authority By: Deputy I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of RESOLUTION NO. 2016-36 of the Community Development Commission — Housing Authority of the City of National City, California, passed and adopted on April 19, 2016. Secretary, Housing Authority By: Deputy CITY OF NATIONAL CITY, CALIFORNIA C Q o \ 6- Q 0 COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY COUNCIL AGENDA STATEMENT MEETING DATE: April 19, 2016 AGENDA ITEM NO. 21 ITEM TITLE: Resolution of the Community Development Commission -Housing Authority of the City of National City authorizing the Chairman to execute a Subordination Agreement allowing a new mortgage that is not - to -exceed $75,800 to be and remain a lien prior and superior to a home purchase assistance loan on a single -unit property located at 3117 East 16th Street in National City. PREPARED BY: Carlos Aguirre, Community Dev. Mgr. PHONE: 619-336-4391 DEPARTMENT: Housing, Grants, & Asset M age ent EXPLANATION: APPROVED r: On July 18, 1997, the Community Development Commission of the City of National City ("CDC") made a loan for $17,580.00 from the HOME Partnerships Program to assist in the purchase of a single-family residence located at 3117 East 16th Street in National City. The loan has an outstanding principal balance of $17,580.00. Armando and Elizabeth Marquez ("Borrowers") are interested in refinancing the first mortgage loan on the property and have been approved for a new loan from Homeward Residential, Inc. ("Lender"). The Lender is requiring that the Community Development Commission -Housing Authority (CDC -HA) execute the attached subordination agreement allowing the new loan to hold superior position to the CDC -issued loan. The CDC -issued loan will maintain second lien position on the property. The purpose of the refinance is to reduce the interest rate to 3.75% and term of the loan to 15 years from 30 years. There will not be cash proceeds to the Borrowers through the refinance. Staff has satisfactorily reviewed the combined loan -to -value, preliminary title report, new loan terms, and underwriting summary that outline the closing costs of the transaction. FINANCIAL STATEMENT: N/A ACCOUNT NO. APPROVED: APPROVED: Finance MIS ENVIRONMENTAL REVIEW: N/A ORDINANCE: INTRODUCTION: FINAL ADOPTION: STAFF RECOMMENDATION: Adopt the resolution. BOARD / COMMISSION RECOMMENDATION: IN/AN `ATTACHMENTS: Attachment No. 1: Subordination Agreement (��cyok,v'\\OW NO. (AokG-?_)G Attachment No. 1 RECORDING REQUESTED BY WESTCOR LAND TITLE INS. CO. AND WHEN RECORDED MAIL TO: CDC -HOUSING AUTHORITY OF THE CITY OF NATIONAL CITY 1243 NATIONAL CITY BLVD NATIONAL CITY, CA 91950 ATTN: HOUSING, GRANTS, & ASSET MGMT ORDER NO.: R-1603-CA-2930778 SPACE ABOVE THIS LINE FOR RECORDER'S USE SUBORDINATION AGREEMENT NOTICE: THIS SUBORDINATION AGREEMENT RESULTS IN YOUR SECURITY INTEREST IN THE PROPERTY BECOMING SUBJECT TO AND OF LOWER PRIORITY THAN THE LIEN OF SOME OTHER OR LATER SECURITY INSTRUMENT. THIS AGREEMENT, made this day of by Armando Marquez and Elizabeth Marquez, owners of the land hereinafter described and hereinafter referred to as "Owner" and the Community Development Commission -Housing Authority of the City of National City, present owner and holder of the deed of trust or mortgage and note first hereinafter described and hereinafter referred to as "Beneficiary", WITNESSETH THAT WHEREAS, Armando Marquez and Elizabeth Marquez (owners) did execute a deed of trust or mortgage, dated 7/18/1997 to the Community Development Commission of the City of National City, as trustee 3117 East 16th Street, National City, CA 91950 Legal Description: THE FOLLOWING DESCRIBED REAL PROPERTY IN THE CITY OF NATIONAL CITY COUNTY OF SAN DIEGO, STATE OF CALIFORNIA: LOT 5 OF CHRISTMAS IN JULY IN THE CITY OF NATIONAL CITY, COUNTY OF SAN DIEGO, STATE OF CALIFORNIA, ACCORDING TO MAP THEREOF NO. 13387, FILED IN THE OFFICE OF THE COUNTY RECORDER OF SAN DIEGO COUNTY, DECEMBER 20, 1996. to secure a note in the sum of $17,580.00 dated 7/18/1997 in favor of The Community Development Commission of the City of National City, which deed of trust or mortgage was recorded as instrument #1997-0376573, Official Records of San Diego county; and Page 1 of 4 Attachment No. 1 WHEREAS, Owner has executed, or is about to execute, a deed of trust or mortgage and note not to exceed the sum of $75,800.00 dated in favor of Homeward Residential, Inc., hereinafter referred to as "Lender", payable with interest and upon the terms and conditions described therein, which deed of trust or mortgage is to be recorded concurrently herewith; WHEREAS, it is a condition precedent to obtaining said loan that said deed of trust or mortgage last above mentioned shall unconditionally be and remain at all times a lien or charge upon the land hereinbefore described, prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned; and WHEREAS, lender is willing to make said loan provided the deed of trust or mortgage securing the same is a lien or charge upon the above described property prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned and provided that Beneficiary will specifically and unconditionally subordinate the lien or charge of the deed of trust or mortgage first above mentioned to the lien or charge of the deed of trust or mortgage in favor of Lender; and WHEREAS, it is the mutual benefit of the parties hereto that Lender make such loan to Owner; and Beneficiary is willing that the deed of trust or mortgage securing the same shall, when recorded, constitute a lien or charge upon said land which is unconditionally prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned. NOW, THEREFORE, in consideration of the mutual benefits accruing to the parties hereto and other valuable consideration, the receipt and sufficiency of which consideration is hereby acknowledged, and in order to induce Lender to make the loan above referred to, it is hereby declared, understood and agreed as follows: (1) That said deed of trust or mortgage securing said note in favor of Lender, and any renewals or extensions thereof, shall unconditionally be and remain at all time a lien or charge on the property therein described, prior and superior to the lien or charge of the deed of trust or mortgage first above mentioned. (2) That Lender would not make its loan above described without the subordination agreement. (3) That this agreement shall be the whole and only agreement with regard to the subordination of the lien or charge of the deed of trust or mortgage first above mentioned to the lien or charge of the deed of trust or mortgage in favor of lender above referred to and shall supersede and cancel, but only insofar as would affect the priority between the deeds of trust hereinbefore specifically described, any prior agreement as to such subordination including, but not limited to, those provisions, if any, contained in the deed of trust or mortgage first above mentioned, which provide for the subordination of the lien or charge thereof to another deed, deed of trust or to another mortgage or mortgages. Beneficiary declares, agrees and acknowledges that (a) He consents to and approves (i) all provisions of the note and deed of trust or mortgage in favor of Lender above referred to, and (ii)all agreements, including but not limited to any loan or escrow agreements, between Owner and Lender for the disbursement of the proceeds of Lender's loan; Page 2 of 4 Attachment No. 1 (b) Lender in making disbursements pursuant to any such agreement is under no obligation or duty to, nor has Lender represented that it will, see to the application of such proceeds by the person or persons to whom Lender disburses such proceeds and any application or use of such proceeds for purposes other than those provided for in such agreement or agreements shall not defeat the subordination herein made in whole or in part; (c) He intentionally and unconditionally waives, relinquishes and subordinates the lien or charge of the deed of trust or mortgage first above mentioned in favor of the lien or charge upon said land of the deed of trust or mortgage in favor of Lender above referred to and understands that in reliance upon, and in consideration of, this waiver, relinquishment and subordination specific loans and advances are being and will be made and, as part and parcel thereof, specific monetary and other obligations are being and will be entered into which would not be made or entered into but for said reliance upon this waiver, relinquishment and subordination; and (d) An endorsement has been placed upon the note secured by the deed of trust or mortgage first above mentioned that said deed of trust or mortgage has by this instrument been subordination to the lien or charge of the deed of trust or mortgage in favor of Lender above referred to. NOTICE: THIS SUBORDINATION AGREEMENT CONTAINS A PROVISION WHICH ALLOWS THE PERSON OBLIGATED ON YOUR REAL PROPERTY SECURITY TO OBTAIN A LOAN A PORTION OF WHICH MAY BE EXPENDED FOR OTHER PURPOSES THAN IMPROVEMENT OF THE LAND Community Development Commission -Housing Authority of the City of National City Armando Marquez By: Ron Morrison, Chairman Elizabeth Marquez Beneficiary Owners (All signatures must be acknowledged) Page 3 of 4 Attachment No. 1 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 } SS: On before me, a Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies) and that by his/her/their signature(s)on the instrument the person(s), or the entity upon behalf of which the person(s) acted, 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. Signature FOR NOTARY SEAL OR STAMP 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 } SS: On before me, a Notary Public, personally appeared who proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies) and that by his/her/their signature(s)on the instrument the person(s), or the entity upon behalf of which the person(s) acted, 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. Signature Page 4 of 4 FOR NOTARY SEAL OR STAMP RESOLUTION NO. 2016 — RESOLUTION OF THE COMMUNITY DEVELOPMENT COMMISSION -HOUSING AUTHORITY OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY AUTHORIZING THE CHAIRMAN TO EXECUTE A SUBORDINATION AGREEMENT ALLOWING A NEW MORTGAGE THAT IS NOT -TO -EXCEED $75,800 TO BE AND REMAIN A LIEN PRIOR AND SUPERIOR TO A HOME PURCHASE ASSISTANCE LOAN ON A SINGLE -UNIT PROPERTY LOCATED AT 3117 EAST 16th STREET IN NATIONAL CITY WHEREAS, Armando and Elizabeth Marquez ("Borrowers") are the owners of a single -unit property located at 3117 East 16th Street in National City; and WHEREAS, on July 18,1997, the Community Development Commission of the City of National City made a loan for $17,580 from the HOME Investment Partnerships Program to assist in the purchase of the single -unit property; and WHEREAS, the Borrowers desire to refinance the existing first mortgage to reduce the interest rate to 3.75% and the term of the loan to 15 years from 30 years with a new mortgage with a principal amount not -to -exceed $75,800 from Homeward Residential, Inc., ("Lender"); and WHEREAS, in order to provide the loan, the Lender requires the subordination of the Deed of Trust that secures the HOME funds. NOW, THEREFORE, BE IT RESOLVED that the Community Development Commission -Housing Authority of the City of National City hereby authorizes the Chairman to execute a Subordination Agreement and any other Escrow related documents as necessary. After being recorded by the County of San Diego, a copy of the Subordination Agreement will be on file in the office of the City Clerk. PASSED and ADOPTED this 19th day of April, 2016. Ron Morrison, Chairman ATTEST: Leslie Deese, City Clerk APPROVED AS TO FORM: Claudia Gacitua Silva General Counsel CITY OF NATIONAL CITY Office of the City Clerk 1243 National City Blvd., National City, California 91950-4397 619-336-4228 Michael R. Dalla, CMC - City Clerk ARMANDO & ELIZABETH MARQUEZ Subordination Agreement 3117 East 6th Street Carlos Aguirre (Housing & Grants) Forwarded Copy of Agreement to Armando & Elizabeth Marquez.