This is a form of Promissory Note for use where residential property is security for the loan. A promissory note is a written promise to pay a debt. An unconditional promise to pay on demand or at a fixed or determined future time a particular sum of money to or to the order of a specified person or to the bearer. A separate deed of trust or mortgage is also required.
A San Antonio Texas Installments Fixed Rate Promissory Note Secured by Residential Real Estate is a legal document that outlines the terms and conditions of a loan agreement between a lender and a borrower where the borrowed funds are secured by residential real estate located in San Antonio, Texas. This type of promissory note is commonly used in real estate transactions and provides protection for both parties involved. Keywords: 1. San Antonio, Texas: Refers to the specific geographical location where the residential real estate is situated, indicating the jurisdiction and laws that govern the loan agreement. 2. Installments: Indicate that the loan will be repaid over a predetermined period in regular, fixed payments. These payments may be monthly or quarterly, depending on the agreed-upon terms. 3. Fixed Rate: Implies that the interest rate on the loan will remain constant throughout the repayment period. This offers stability to the borrower by ensuring consistent payments and an unchanging interest rate. 4. Promissory Note: A legally binding document that establishes the terms of the loan, including the loan amount, interest rate, repayment schedule, and any applicable fees or penalties. 5. Secured: Signifies that the loan is backed by collateral, in this case, residential real estate. If the borrower fails to repay the loan according to the terms, the lender may have the right to seize the property to recover the outstanding amount. Types of San Antonio Texas Installments Fixed Rate Promissory Note Secured by Residential Real Estate: 1. First lien promissory note: Refers to a loan where the lender has the primary claim on the residential property in case of default. This type of loan carries lower risk for the lender and often offers more favorable terms for the borrower. 2. Second lien promissory note: Represents a loan where the lender holds a secondary claim on the residential property. In case of default, the first lien lender is paid off first before the second lien lender. Consequently, second lien loans generally have higher interest rates and stricter terms to compensate for the increased risk.A San Antonio Texas Installments Fixed Rate Promissory Note Secured by Residential Real Estate is a legal document that outlines the terms and conditions of a loan agreement between a lender and a borrower where the borrowed funds are secured by residential real estate located in San Antonio, Texas. This type of promissory note is commonly used in real estate transactions and provides protection for both parties involved. Keywords: 1. San Antonio, Texas: Refers to the specific geographical location where the residential real estate is situated, indicating the jurisdiction and laws that govern the loan agreement. 2. Installments: Indicate that the loan will be repaid over a predetermined period in regular, fixed payments. These payments may be monthly or quarterly, depending on the agreed-upon terms. 3. Fixed Rate: Implies that the interest rate on the loan will remain constant throughout the repayment period. This offers stability to the borrower by ensuring consistent payments and an unchanging interest rate. 4. Promissory Note: A legally binding document that establishes the terms of the loan, including the loan amount, interest rate, repayment schedule, and any applicable fees or penalties. 5. Secured: Signifies that the loan is backed by collateral, in this case, residential real estate. If the borrower fails to repay the loan according to the terms, the lender may have the right to seize the property to recover the outstanding amount. Types of San Antonio Texas Installments Fixed Rate Promissory Note Secured by Residential Real Estate: 1. First lien promissory note: Refers to a loan where the lender has the primary claim on the residential property in case of default. This type of loan carries lower risk for the lender and often offers more favorable terms for the borrower. 2. Second lien promissory note: Represents a loan where the lender holds a secondary claim on the residential property. In case of default, the first lien lender is paid off first before the second lien lender. Consequently, second lien loans generally have higher interest rates and stricter terms to compensate for the increased risk.
