USA lenders, prepare a
Wrap-Around Mortgage Security Agreement with this comprehensive ready-to-use template.
- The wrap-around mortgage is a second or junior mortgage with a face value of both the amount it secures and the balance due under the first mortgage on the subject property.
- The borrower makes payment to the new mortgagee (lender) based on the face value of the wrap-around mortgage, and the new mortgagee in turn makes the monthly payments to the original mortgagee.
- The borrower agrees to keep the property insured against fire, and all perils insurance with an extended endorsement, and any other insurance that the mortgagee may require.
- The borrower must ask permission of the mortgagee prior to making significant alterations to the mortgaged property.
- Any agreement between the parties pursuant to the mortgage shall be superior to the rights of the holder of any intervening lien or encumbrance.
- Any award or compensation payable pursuant to condemnation proceedings will be payable to the mortgagee.
This
USA Wrap-Around Mortgage Security Agreement is provided in MS Word format, and is fully editable to suit your needs.
