This form is a deed of trust modification. It is to be entered into by a borrower, co-grantor, and the lender. The agreement modifies the mortgage or deed of trust to secure a debt described within the agreement. Other provisions include: renewal and extension of the lien, co-grantor liability, and note payment terms.
Hawaii Change or Modification Agreement of Deed of Trust is a legal document that allows borrowers and lenders to alter the terms of an existing Deed of Trust in the state of Hawaii. This agreement is commonly used in situations where both parties agree to make changes to the original terms to accommodate new circumstances, such as adjusting the interest rate, extending the loan maturity date, or modifying the payment terms. In Hawaii, there are several types of Change or Modification Agreement of Deed of Trust, depending on the specific modifications being made: 1. Interest Rate Modification: This type of agreement is used when borrowers and lenders agree to change the interest rate stated in the original Deed of Trust. For example, if the borrower is struggling to make payments at the current interest rate, they may negotiate with the lender to lower the rate to a more affordable level. 2. Loan Term Extension: When borrowers find it difficult to meet the original loan maturity date, a Loan Term Extension agreement can be executed. This agreement allows the borrower and lender to establish a new maturity date, giving the borrower more time to repay the loan. 3. Payment Restructuring: In case borrowers are facing financial hardship, they may request a Payment Restructuring agreement. This modification allows the lender to restructure the borrower's repayment plan by adjusting the monthly installments or temporarily reducing or suspending payments until the borrower's financial situation improves. 4. Release of Collateral: Occasionally, borrowers may have additional collateral tied to the original Deed of Trust. A Release of Collateral agreement allows the borrower and lender to remove some or all of the collateral originally pledged to secure the loan. 5. Principal Reduction: If borrowers are struggling with a high loan balance or negative equity, they may negotiate a Principal Reduction agreement. This type of modification aims to reduce the outstanding principal amount, making the loan more affordable for the borrower. Hawaii Change or Modification Agreement of Deed of Trust offers a flexible and legally binding method for borrowers and lenders to adapt the terms of the original Deed of Trust based on their mutual agreement and changing circumstances. It is crucial for both parties involved to carefully review and understand the terms outlined in the agreement before signing to ensure compliance with the applicable laws in the state of Hawaii.
