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R15-100 RESOLUTION NO. R15 -100 A RESOLUTION OF THE CITY OF BOYNTON BEACH, FLORIDA, APPROVING THE • SUBORDINATION OF THE CITY'S MORTGAGE WITH VALERIE VENEGAS IN FAVOR OF QUICKEN LOANS, INC.; AUTHORIZING THE CITY MANAGER TO SIGN THE SUBORDINATION AGREEMENT BY THE CITY OF BOYNTON BEACH IN FAVOR OF 11 QUICKEN LOANS, INC., AND PROVIDING AN 1 EFFECTIVE DATE. 1 . 1 WHEREAS, upon recommendation of staff, the City Commission has determined 1 • that it is in the best interests of the residents of the City to authorize the City Manager to 1 execute a Subordination Agreement in favor of Quicken Loans, Inc., for Valerie Venegas. 1: NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF 1 THE CITY OF BOYNTON BEACH, FLORIDA, THAT: 1: Section 1. The foregoing "Whereas" clauses are hereby ratified and confirmed as 19 being true and correct and are hereby made a specific part of this Resolution upon adoption 20 hereof. 21 Section 2. The City Commission of the City of Boynton Beach, Florida does 2. hereby approve the request for subordination of the City's Mortgages and authorize the City 2 Manager to sign the Subordination Agreement for Valerie Venegas in favor of Quicken 2 Loans, Inc., a copy of which is attached hereto as Exhibit "A ". 2 - Section 3. This Resolution shall become effective immediately upon passage. 2; 2 28 PASSED AND ADOPTED this 3 day of September, 2015. 2f. CITY OF BOYNTON BEACH, FLORIDA 30 3' YES NO 32 35 Mayor — Jerry Taylor 34. 35 Vice Mayor — Joe Casello 36 37 Commissioner — David T. Merker ✓ 38 3� Commissioner — Mack McCray ✓ 4C 41 Commissioner — Michael M. Fitzpatrick 4e 43 `I 44 VOTE 4'o 4F 4E ATTEST: 47 4E 4E � ��•- _ Ai P • 5C Ct M. Prainito, MMC 51 Clerk 52 5c 54 G`il�; Q.A 5E (Corporate Seal) 5E This Instrument Prepared by: James A. Cherof, Esquire GOREN, CHEROF, DOODY AND EZROL, P.A. 3099 East Commercial Boulevard, Suite 200 Fort Lauderdale, Florida 33308 SUBORDINATION AGREEMENT THIS SUBORDINATION AGREEMENT (the "Agreement ") is made this day of , 2015 by the City of Boynton Beach, a Florida municipal corporation, (the "CITY ") in favor of Quicken Loans, Inc. ( "Quicken "). WITNESSETH: WHEREAS, the CITY is the owner and holder of that certain promissory note and mortgage in the original principal amount of Twenty-seven Thousand Three Hundred Seventy-five and 00 /100 Dollars ($27,375.00), executed on June 16, 2010, which Mortgage was recorded on July 19, 2010 in Official Records Book 23953, Page 0380 of the Public Records of Palm Beach County, Florida and that corrective mortgage executed on November 30, 2010 which Mortgage was recorded on January 14, 2011 in Official Records Book 24314, Page 0077 of the Public Records of Palm Beach County, Florida (collectively referred to as the "Mortgage ") by Valerie Venegas, an un- remarried woman, (referred to as the "Mortgagor "), and WHEREAS, Mortgagors are the owners in fee simple of the following described real property (the "Property"), which Property is encumbered by the Mortgage: Lot 32, Block 18, FIRST ADDITION TO ROLLING GREEN, according to the Plat thereof as recorded in Plat Book 24, Page 86 of the Public Records of Palm Beach County, Florida. Tax Parcel No. 08- 43- 45- 21 -02- 018 -0320 WHEREAS, Quicken has agreed to refinance the Mortgagor loan, and grant a mortgage loan to the Mortgagor in an amount not to exceed $71,000.00 to be secured by a first mortgage encumbering the Property (hereinafter the "New Mortgage "), provided that the CITY's Mortgage, currently in second position, is subordinated to the New Mortgage; THEREFORE, in consideration of the sum of Ten Dollars and 00 /100 ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the CITY hereby represents, covenants and agrees as follows: 1. The foregoing recitals are true and correct and incorporated herein as if set forth in full. 2. The Mortgage has not been assigned, pledged or transferred in any manner whatsoever other than as set forth above. 3. The Mortgage is and shall be subject, subordinate, junior and inferior to the New Mortgage in the principal amount not to exceed $71,000.00 given by Mortgagor, Valerie Venegas to Quicken, of even date and simultaneously recorded herewith in the Public Records of Palm Beach County, Florida. This subordination is only to the extent of the loan amount not to exceed $71,000.00 and does not apply to any addition or future advances which may be made under the New Mortgage. 4. This Agreement shall bind and inure to the benefit of the parties hereto, their respective heirs, successors and/or assigns. IN WITNESS WHEREOF the undersigned has duly executed this Agreement on , 2015. Signed, sealed and delivered CITY OF BOYNTON BEACH, a in the presence of: Florida municipal corporation By: Lori LaVerriere, City Manager STATE OF FLORIDA COUNTY OF PALM BEACH The foregoing instrument was acknowledged before me on this day of August, 2015 by Lori LaVerriere, City Manager of the City of Boynton Beach, on behalf of the CITY, who is either personally known to me or has produced a Florida Driver's License as identification. NOTARY PUBLIC 2 of 2 C:\ Users \Prainitoj\Appdata\Local\Microsoft\Windows \Temporary Internet Files\ Content. IE5\ QXDIPCBU \Subordination_Agreement - _V alerie_Venegas_(Quicken).Doc firreto,M1Oy OMB Approval No. 2502 -0266 * Mil * Good Faith Estimate (GFE) efVE 3343826930 Name of0 Originator Loans Inc. rig Borrower Valerie Venegas Nicholas A Kwasiborski Originator 635 Woodward Avenue Address Detroit. MI 48226 Propeny 450 NE 14th Ave Address Boynton Beach. FL 33435 Originator Phone Number (800) 226 - 6308 Originator Email NickKwaslborski @quickenioans.com Date ofGFE 08/12/2015 Application Date: 07/06/2015 Purpose This GFE gives you an estimate of your settlement charges and loan terms if you are approved for this loan. For more information, see HUD's Special Information Booklet on settlement charges, your Truth -in- Lending Disclosures, and other consumer information at www.tmd.gov /respa. If you decide you would like to proceed with this loan, contact us. Shopping for Only you can shop for the best loan for you. Compare this GFE with other loan offers, so you can fmd the best loan. your loan Use the slapping chart on page 3 to compare all the offers you receive. Important 1. The interest rate for this GFE is available through 108/20/2015 1. After this time, the interest rate, dates some of your loan Origination Charges, and the monthly payment shown below can change until you lock your interest rate. 2. This estimate for all other settlement charges is available through 1 07/17/2015 1. 3. After you lock your interest rate, you must go to settlement within 1 451 days (your rate lock period) to receive the locked interest rate. 4. You must lock the interest rate at least 1N/A1 days before settlement. Summary of Your initial loan amount is $ 71.000.00 your loan Your loan term is 30 years Your initial interest rate is 4.9900 % Your initial monthly amount owed for principal, interest, and any mortgage insurance is $ 380.71 ... per month Can your interest rate rise? ® No ❑ Yes, it can rise to a maximum of %. The first change will be in MOS. Even if you make payments on time, can your loan balance I] No ❑ Yes, it can rise to a maximum of rise? S Even if you make payments on time, can your monthly ® No ❑ Yes, the first increase can be in amount owed for principal, interest, and any mortgage and the monthly insurance rise? amount owed can rise to S . The maximum it Cell everrisem Does your loan have a prepayment penalty? ® No ❑ Yes, your maximum prepayment penalty is $ Does your loan have a balloon payment? ® No ❑ Yes, you have a balloon payment of S due in years. Escrow Some lenders require an escrow account to hold funds for paying property taxes or other property- related charges in account addition to your monthly amount owed of $ 1 380.71 1. information Do we require you to have an escrow account for your loan? ❑ No, you do not have an escrow account. You must pay these charges directly when due. ® Yes, you have an escrow account. It may or may not cover all of these charges. Ask us. Summary A Your Adjusted Origination Charges (See page 2.1 8 5,176.81 of your settlement B Your Charges for All Other Settlement Services (See page 2.1 8 5,349.33 charges A + B Total Estimated Settlement Charges $ 10.526.14 3216884638 Good I, N M Good Faith Estimate (H11i}GFEI II 1 1' II I II I I11I 1111 111 II11 1111 1IIII11 III 11 /17/Qe G • I I l e a 1 N Wolters Kluwer Finanebl Se,vleea Q03343826930 015{ 34] 0107 Paps 1 05 3 VMP115F 10505)00 3343826930 Understanding Your Adjusted Origination Charges your estimated 1. Our orlon charge settlement This charge is for getting this loan for you. 61.049.00 Charges 2. Your credit or charge (points) for the specific interest rate chosen ❑ The credit or charge for the interest rate of 1 1% is included in "Our origination charge.' (See item 1 above.) ❑ You receive a credit of S I 1 for this interest rate of %• This credit reduces your settlement charges. ® You pay a charge of $1 4,127.81 1 for this interest rate of l 4.990 1%. This charge (points) increases your total settlement charges. The tradeoff table on page 3 shows that you can change your total settlement charges by choosing a different interest rate for this loan. 64.127.81 ^ A Your Adjusted Origination Charges $ 5,176.81 Your Charges for All Other Settlement Service Some of these 3. Required services that we select charges can These charges are for services we require to complete your settlement, change at We will choose the providers of these services. settlement. See Service Charge Service _Charge the top of page 3 Appraisal Fee $.485.00 Credit Report /Monitori 825.25 for more Life of Loan Tax Service 860.00 Flood Certification 815.50 information. Tax Certification Fee 618.00 Subordination Agreement 650.00 Mortgage Insurance Premium 8147.81 $801.56 4. Title serves and lender's title insurance This charge includes the services of a title or settlement agent, for example, and title insurance to protect the lender, if required. $1.125.29 5. Owner's title insurance You may purcbase an owner's title insurance policy to protect your interest in the property. 6. Required services that you can shop for These charges are for other services that are required to complete your settlement. We can identity providers of these services or you can shop for them yourself. Our estimates for providing these services are below. Service Charge Service Charge 7. Government recording charges These charges are for state and local fees to record your loan and title documents. 6146.60 8. Transfer taxes These charges are for state and local fees on mortgages and home sales. 8591.25 9. Initial deposit for your escrow account This charge is held in an escrow account to pay future recurring charges on your property and includes ® all property taxes, ® all insurance, and ❑ other 62.625.59 10. Daily interest charges This charge is for the daily interest on your loan from the day of your settlement until the first day of the next month or the first day of your normal mortgage payment cycle. This amount is 81 9.84 per day for (61 days (if your settlement Al 08/21/2015 U. , 659.04 11. Homeowner's insurance This charge is for the insurance you must buy for the property to protect from a toss, such as fre. Policy Charge Policy Charge 60.00 B Your Charges for All Other Settlement Services 8 5.349.33 A + [ B 1 Total Estimated Settlement Chary s 4 10.526.14 Goal FYM EetYnel.lhtUn -GFE[ 11111 11E111111111111 11111111 1111111iNNNI i,nms MP OP Pepe 1 of 3 VMP116F 10909).00 Wolters xluwor Finale( Smokes Q033431316930 02.94 193 0203 3343826930 InStructioriS This GFE estimates your settlement charges. At your settlement, you will receive a HUD-1, a form that lists your actual costs. Compare the charges on the HUD -1 with the charges on this GFE. Charges can change if you select your own provider and do not use the companies we identify. (See below for detail.) Understanding T. lac .;I inryn.;l The total of Ih 9a charges These cnaiy s cannot increase can increase to 10. can cI1 nge i Which charges it :ua •I In 1 it ch`iemBltlt at can change at - settlement • Our origination charge • Required acrvlces that we select • Requital services that you can shop for • Your credit or charge (points) for the • Title services and lender's title (if you do not use companies we specific interest rate chosen (after you insurance (g` we rekct them or you identify) lock in your interest rate) use companies we identify) • Title services and lender's tide • Your adjusted origination charges (tiller • Owner's tide insurance (V you use c m nt e (!f you do not use you lock in your interest mte) companies we identify) co sr We identify) • Transfer taxes • Required services that you can shop •Owner's title insurance (f you do not for Wyatt use centpanies we use companies >a identify) identify) . Initial deposit for your escrow account • Government record charges , Daily interest charges • Homeowner's insurance Using the In this GFE, we offered you this loan with a particular interest rate and estimated settlement charges. However: tradeoff table • If you want to choose this same loan with lower settlement charges, then you will have a bigber Interest rate. • If you want to choose this same loan with a lower Interest rate, then you will have higher settlement charges. If you would hike to choose an available option, you must ask us for a new GFE. Loan originators have the option to complete this table. Please ask for oddiu oal information if the fable is not completed, The same loan with The same lean with a Th.', loco In tl:15 Gl'E lower settlement charges lower interest rate Your initial loan amotmt S 71.000.00 I $ S Your initial interest rate 4.9900 % Your initial monthly amount owed S 380.71 S S Change in the monthly No change You will pay S You will pay S amount owed from this GFE more every month less every month Change in the atoount you will pay No change Your settlement charges Your settlement charges at settlement with this interest rate will be reduced by will Increase by S S How much your total estimated t settlement charges will be S 10,526.14 _S S t For an adjustable rate loan, the comparisons above are for the initial interest rate before adjustments are made. Using the Use this chart to compare GFEs from different loan originators. Fill in the information by using a different column for each GFE you shopping chart receive. By comparing loan offers, you can shop for the best loan. This loan Loan 2 Loan 3 Loan 4 Loan originator mine Initial loan amount S Loan term years Initial interest rate Inhlal monthly amount owed S Rate lock period Can interest rate rise? Can loan balance rise? Can monthly amount owed rise? Prepayment penalty? Balloon m enft _ Total b$17.1natod Settlement C,r,r•hra S If your loan IS Some lenders may sell your loan after settlement. Any fees lenders receive in Ibe future cannot change die loan you receive or the sold in the future charges you paid at settlement. Good Faith Estimate lHUG -GFEI • III III(IFI I (I I t l� ft8� 11I(If 1 1 iII I� 1I 1111111 till 1 1` ).00 VMPB �� r 11 1 Wolters Kluwer Financial SerServices � Q03313926930 0384 293 0303 pwe 3 o1 3 VMPI I eF {010! IN' ..IrnrnI 111111rnI1uiIi CFN 20110017601 OR BK 24314 PG 0077 This instrument was prepared by: RECORDED 91/14/2911 19:15:44 Community Improvement Division Pats Beach County, Florida The City of Boynton Beach, Florida Sharon R. Bock, CLERK & COMPTROLLER P.O. Box 310 Pgs 00177 - 79; t 3pgs ) Boynton Beach, Florida 33425 THIS CORRECTIVE MORTGAGE IS BEING EXECUTED AND RECORDED IN ORDER TO CORRECT THE AMOUNT OF 529,469.00 IN THAT CERTAIN MORTGAGE FROM THE BORROWER TO THE LENDER DATED JUNE 16, 2010 AND RECORDED JULY 19, 2010 IN OFFICIAL RECORDS BOOK 23953, PAGE 0380, PUBLIC RECORDS OF PALM BEACH COUNTY, FLORIDA. DOCUMENTARY STAMP TAXES WERE PAID ON SAID ORIGINAL MORTGAGE. CORRECTIVE MORTGAGE Valerie Venegas, an un- remarried woman, the Mortgagors, in consideration of the principal sum specified in the promissory note hereafter descr c eived from THE CITY OF BOYNTON BEACH, the Mortgagee, hereby on this day of November, 2010 mortgage to the Mortgagee the real property in Palm Beach County, Florida, described as: Lot 32, Block 18, FIRST ADDITION TO ROLLING GREEN, as per plat thereof, recorded in Plat Book 24, Page 86, of the Public Records of Palm Beach County, Florida. 450 N.E. 14 Avenue, Boynton Beach, Florida 33435 as security for the payment of the promissory note of which the following is a copy: $27,375.00 Boynton Beach, Florida Dated: June 16, 2010 FOR VALUE RECEIVED Valerie Venegas, an un- remarried woman, promise to pay to the order of THE CITY OF BOYNTON BEACH, FLORIDA, the sum of Twenty Seven Thousand Three Hundred Seventy Five and 00/100 DOLLARS ($27,375.00), with interest at the rate of NO (0 %) percent per annum, in the following manner: The obligation assumed under this Promissory Note shall be forgiven at the rate of 1/120" per month until forgiven in full ten (10) years from the date above mentioned. For purposes of forgiveness of this loan the amount of $228.12 Dollars shall be forgiven each month on the 16 day, beginning September 2010. This Promissory Note is not assumable and is fully due and payable less the amount of forgiveness in the event the above - described property is sold, or property owner fails to maintain property in accordance to City Code of Ordinances. This note is negotiable and payable at Boynton Beach, Florida, or at such other place as the holder hereof may designate in writing, and if default in payment occurs, may be placed in the hands of an attorney at law for collection, in which event the maker agrees to pay the cost of collection, including a reasonable attorney's fee which shall include costs and attorney's fees on an appeal of any litigation involved in enforcing this obligation. All makers and endorsers now or hereafter becoming parties hereto jointly and severally w ive demand • resentment, notice of nonpayment and protest. Mortgagor VALERIE ENEGAS and agree: 1. To make all payments required by that note and this mortgage promptly when due or upon sale of the property, or failure to maintain property according to City Code of Ordinances. 2. To pay all taxes, assessments, liens and encumbrances on that property promptly when due. If they are not promptly paid, the Mortgagee may pay them without waiving the option to foreclose, and such payments, with interest thereon from the date of payment at the same rate as specified in that note, shall also be secured by this mortgage. 3. To commit, permit, or suffer no waste, impairment, or deterioration of the mortgaged property. 4. To pay all expenses reasonably incurred by the Mortgagee because of failure of the Mortgagors to comply with the agreements in that note of this mortgage, including reasonable attorney's fees which shall include costs and attorney's fees on an appeal of any litigation involved in enforcing this obligation. The cost thereof, with interest thereon from the date of payments at the same rate as specified in that note, shall also be secured by this mortgage. 5. If any payment provided for in that note is not paid within fifteen days after it becomes due, or if any agreement in this mortgage other than the agreement to make the payments is breached, the entire unpaid principal balance of that note shall immediately become due at the option of the Mortgagee, and the Mortgagee may foreclose this mortgage in the manner provided by law, and have the mortgaged property sold to satisfy or apply on the indebtedness - hereby secured. 6. The rents and profits of the mortgaged property are also thereby mortgaged, and if proceedings to foreclose this mortgage shall be instituted, the court having jurisdiction hereof should appoint a receiver of the mortgaged property, and apply those rents and profits to the indebtedness hereby secured, regardless of the solvency of the Mortgagors or the adequacy of the security. 7. To maintain the property in compliance with City Codes. 8. Upon the death of the property owner(s), if the property is acquired through probate, the same terms and conditions of the mortgage remain in effect. If the property is sold, or the inheritor chooses not to reside on the property, or the property is rented out, the city is to be repaid the unforgiven portion remaining. Signed in the presence of: �t tness Mortgagor VALERIE VENEGAS Witness Mortgagor STATE OF FLORIDA COUNTY OF PALM BEACH I hereby certify that on this day, before me, a Notary Public duly authorized in the state Y Y Y rY Y and county named above to take acknowledgements, personally appeared Valerie Venegas He /she is personal/ nall / known to me [or has produced f1/4 as identification] to be the person(s) described as Mortgagors in and who executed the foregoing mortgage and acknowledged before me that said persons executed that mortgage. Witness my hand and official seal in the county and state named above this 3 D day of Dere f aalc ) . ' eaLLLI.A (SEAL) tary Public My Commission Expires: � Pk� NOV- ., “k /LRIc State of Florida t- y ,. ,:... 4 ^ >sonD0r5fa34 CORRECTIVE PROMISSORY NOTE $27,375.00 Boynton Beach, Florida Dated: June 16, 2010 FOR VALUE RECEIVED Valerie Venegas, an un- remarried woman, promises to pay to the order of THE CITY OF BOYNTON BEACH, FLORIDA, the sum of Twenty Seven Thousand Three Hundred Seventy Five and 00/100 DOLLARS $27,375.00 with interest at the rate of NO (0 %) percent per annum, in the following manner: The obligation assumed under this Promissory Note shall be forgiven at the rate of 1 /120th per month until forgiven in full ten (10) years from the date above mentioned. For purposes of forgiveness of this loan the amount of $228.12 Dollars shall be forgiven each month on the 16th day, beginning September 2010. This Promissory Note is not assumable and is fully due and payable less the amount of forgiveness in the event the above described property is sold, or property owner fails to maintain property in accordance to City Code of Ordinances. This note is negotiable and payable at Boynton Beach, Florida, or at such other place as the holder hereof may designate in writing, and if default in payment occurs, may be placed in the hands of an attorney at law for collection, in which event the maker agrees to pay the cost of collection, including a reasonable attorney's fee which shall include costs and attorney's fees on an appeal of any litigation involved in enforcing this obligation. All makers and endorsers now or hereafter becoming parties hereto jointly and severally waive demand presentment, notice of nonpayment and protest. Mortgagor VALERIE VENEGAS Mortgagor