An agreement modifying a loan agreement and a deed of trust should be signed by both parties to the transaction and recorded in the office of the register of deeds and deeds of trust where the original deed of trust 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.
An Oregon Extension of Loan Agreement Secured by a Deed of Trust as to Maturity Date and Increase in Interest Rate is a legal document that allows borrowers in Oregon to extend the maturity date of their loan and increase the interest rate under the terms and conditions of the original loan agreement. This extension can be necessary when borrowers are unable to repay the loan within the agreed-upon time frame or when they need additional time to meet their financial obligations. Key elements of an Oregon Extension of Loan Agreement include: 1. Maturity Date Extension: The primary purpose of this agreement is to extend the maturity date of the original loan. This allows borrowers to have more time to repay the loan in full, avoiding potential default and foreclosure. 2. Increase in Interest Rate: In some cases, lenders may agree to increase the interest rate on the loan as part of the extension. This is often done to compensate the lender for the increased risks associated with a longer loan term. 3. Securement by Deed of Trust: A deed of trust is a legal agreement that grants the lender a security interest in the borrower's property. It serves as collateral for the loan and gives the lender the authority to initiate foreclosure proceedings in case of default. It is worth noting that Oregon Extension of Loan Agreements can have different types based on their specific variations and circumstances. Some common variations include: 1. Short-Term Maturity Date Extension: This type of extension allows for a brief delay in the maturity date, usually a few months, giving the borrower additional time to arrange the necessary funds for repayment. 2. Long-Term Maturity Date Extension: When borrowers need a more substantial extension, they may opt for a long-term maturity date extension. This can range from several months to a few years, depending on the agreement reached between the lender and borrower. 3. Variable Interest Rate Increase: Instead of a fixed interest rate increase, some extensions may include a provision for a variable interest rate. This allows the interest rate to fluctuate based on market conditions or other predetermined factors. 4. Balloon Payment Extension: In cases where borrowers have agreed to make regular payments with a larger lump sum due at the end of the loan term (balloon payment), an extension can be granted to postpone the balloon payment deadline. In conclusion, an Oregon Extension of Loan Agreement Secured by a Deed of Trust as to Maturity Date and Increase in Interest Rate provides borrowers with an opportunity to extend the maturity date of their loan and potentially increase the interest rate. This agreement aims to offer flexibility and accommodate borrowers who require more time to fulfill their financial obligations or need to recalibrate their repayment plans.
