An agreement modifying a loan agreement and mortgage should be signed by both parties to the transaction and recorded in the office of the register of deeds and mortgages where the original mortgage was recorded. Such a modification or extension is contractual in nature and must be supported by consideration. This form is a generic example that may be referred to when preparing such a form for your particular state. It is for illustrative purposes only. Local laws should be consulted to determine any specific requirements for such a form in a particular jurisdiction.
The Georgia Mortgage Extension Agreement with Assumption of Debt by New Owner of Real Property Covered by the Mortgage and Increase of Interest is a legal document that outlines the terms and conditions under which the mortgage on a real property can be extended and transferred to a new owner, while also allowing for an increase in the interest rate. This agreement is often entered into when a property is sold or transferred to a new owner, and the new owner agrees to assume the existing mortgage on the property. The agreement typically contains the following key provisions: 1. Parties Involved: The agreement identifies and includes the names and contact information of the parties involved, namely the current owner, the new owner assuming the debt, and the mortgage lender. 2. Property Description: The agreement provides a detailed description of the real property under discussion, including its address, boundaries, and any unique identifying features. 3. Assumption of Debt: The agreement outlines the terms and conditions of the debt assumption, specifying that the new owner will take responsibility for the existing mortgage, including all obligations, terms, and conditions stated in the original mortgage agreement. 4. Extension of Mortgage: The agreement addresses the extension of the mortgage term, detailing the additional number of years or months that will be added to the original mortgage duration. 5. Increase of Interest: In some cases, the agreement permits the lender to increase the interest rate charged on the mortgage. This provision specifies the new interest rate and its effective date. 6. Terms and Conditions: The agreement includes specific terms and conditions that the new owner must abide by, such as making timely mortgage payments, providing insurance coverage, and maintaining the property in good condition. 7. Legal Consequences: The agreement may outline the legal consequences for default or breach of its provisions, including potential foreclosure actions and liability for attorney fees. Different types or variations of the Georgia Mortgage Extension Agreement with Assumption of Debt by New Owner of Real Property Covered by the Mortgage and Increase of Interest may exist based on unique circumstances or specific agreements between the parties involved. These variations can include agreements with different extension periods, varied interest rate adjustments, or additional clauses to address specific concerns or requirements. In summary, the Georgia Mortgage Extension Agreement with Assumption of Debt by New Owner of Real Property Covered by the Mortgage and Increase of Interest is a legal document that facilitates the transfer of a mortgage from a current owner to a new owner, while also allowing for an increase in the interest rate. It protects the rights and responsibilities of all parties involved and ensures a smooth transition in property ownership.
