After recording please return to:
Community Investment Department
Federal Home Loan Bank of Des Moines
Western Office
1001 Fourth Avenue, Suite 2600
Seattle, WA 98154
FEDERAL HOME LOAN BANK OF DES MOINES
Mortgage with Power of Sale and Retention Agreement
THIS MORTGAGE WITH POWER OF SALE AND RETENTION AGREEMENT (“Agreement”) is made this
day of
, 20
, between:
(“Mortgagor”), whose address is
, and The Federal Home
Loan Bank of Des Moines (“Mortgagee”) whose address is 1001 Fourth Avenue, Suite 2600, Seattle,
Washington 98154.
MORTGAGE PROVISIONS.
1.
Mortgagor, in consideration of a grant in the amount of
Dollars ($
) made by Mortgagee,
and to secure the performance of Mortgagor’s obligations hereunder, hereby mortgages and warrants to
Mortgagee the following described real property (“Property”) in
County, Wyoming:
Tax Account Number:
AHP#___________________
AHP Project #: _____________________
2.
This Agreement is for the purpose of securing performance of each agreement of Mortgagor set forth
herein, and payment of the sum of
Dollars ($
).
3.
Until any default the Mortgagor may hold and enjoy the Property. Mortgagor will pay all taxes,
assessments and charges of every kind on the Property or any interest therein, including improvements thereon.
4.
Except as set forth herein, in the event any portion of the Property is taken or damaged in an eminent
domain proceeding during the Retention Period (as defined herein), the entire amount of the award or such
portion as may be necessary to fully satisfy the obligation secured hereby shall be paid to Mortgagee to be
applied to said obligation.
5.
Upon Mortgagor’s satisfaction of the obligation secured hereby and performance of all the covenants
and conditions of this Agreement, and upon Mortgagor’s payment of the cost of release hereof, the mortgage
created by this Agreement shall become void.
6.
Upon default by Mortgagor in the payment of any indebtedness secured by this Agreement or in the
performance of any agreement contained herein, Mortgagee may foreclose this mortgage, by court proceeding or
by advertisement and sale of the Property at public auction in
County, Wyoming, pursuant to applicable
Federal Home Loan Bank of Des Moines – Affordable Housing Program
AHP Wyoming Rental
provisions of Wyoming law, and may in the name of the Mortgagee or as the attorney in fact of the Mortgagor,
for such purpose hereby irrevocably appointed, effectually convey the Property to the purchaser or purchasers
absolutely and forever; and any foreclosure shall forever bar Mortgagor and all persons claiming under
Mortgagor from all right and interest in the Property. Mortgagee shall apply the proceeds of the sale as follows:
(1) to the expense of the sale, including a reasonable attorney's fee; (2) to the obligation secured by this
Agreement; (3) the surplus, if any, shall be distributed to the persons entitled thereto.
7.
In the event of a foreclosure sale of the Property pursuant to the provisions of this Agreement, the
purchaser shall have immediate and peaceable possession of the Property, and if Mortgagor remains in
possession after the effective date of such sale such possession shall be construed as a tenancy at sufferance only,
giving the purchaser all remedies, by way of summary possession or otherwise, conferred by law.
8.
This Agreement applies to, inures to the benefit of, and is binding not only on the parties hereto, but
also on their heirs, devisees, legatees, administrators, executors, assigns and successors.
9.
The invalidity, illegality, or unenforceability of any provision of this Agreement pursuant to judicial
decree shall not affect the validity or enforceability of any other provision of this Agreement, all of which shall
remain in full force and effect, and applicable state law shall replace such invalid, illegal or unenforceable
provision to the extent possible.
RETENTION AGREEMENT.
10.
Mortgagor’s purchase, construction or rehabilitation of the Property was or will be partially financed
with proceeds from a $
Affordable Housing Program Grant (“Grant”) from Mortgagee. Federal
regulations (12 CFR Part 1291) condition Mortgagor’s receipt of the Grant on Mortgagor’s agreement to
consequences in some circumstances if Mortgagor sells or refinances the Property, for the purpose of ensuring
that the Grant is used as specified in the Grant application and that the Property is retained as affordable housing
for a period of fifteen (15) years commencing on the later of the physical Project Completion Date or the date
Grant proceeds were disbursed to or for Mortgagor (“Retention Period”).
11.
The date for project completion on the Property is
(“Project Completion Date”) (if not filled in,
the Project Completion Date will hereafter be determined and agreed upon in writing by Mortgagor and
Mortgagee, either of whom may record an Addendum to this Agreement stating the Project Completion Date).
12.
Mortgagor shall notify Mortgagee in writing received at least two weeks prior to any sale or refinancing
of the Property that closes within the Retention Period. Mortgagor may notify Mortgagee by either handdelivery or certified mail, return receipt requested, at the following address:
Community Investment Department
Federal Home Loan Bank of Des Moines
Western Office
1001 Fourth Avenue, Suite 2600
Seattle, WA 98154
13.
Except as set forth herein, if a transaction by which Mortgagor sells or refinances the Property closes
within the Retention Period, Mortgagor must repay to Mortgagee all of the Grant, without interest.
14.
Mortgagor acknowledges receipt of the Grant funds from Mortgagee based in part on the agreement that
the Property’s rental units, or applicable portion thereof, must remain occupied by and affordable for households
with incomes at or below the levels committed to be served in Mortgagor’s approved Grant application or any
modifications thereof agreed to by Mortgagor and Mortgagee(the “Application”), and must remain subject to the
rent restrictions specified therein, for the duration of the Retention Period. Mortgagor shall not be required to
repay any portion of the Grant if: (a) Mortgagor sells or refinances the Property within the Retention Period and
the Property for the remainder of the Retention Period remains subject to the encumbrance created by this
Agreement; or (b) households within the Property are relocated to another property due to the exercise of
eminent domain or for expansion of housing or services, but only if Mortgagee in its sole discretion authorizes
such relocations and determines repayment should not be required, and only if such property for the remainder of
Federal Home Loan Bank of Des Moines – Affordable Housing Program
AHP Wyoming Rental (Rev. 6-15)
Page 2
the Retention Period is made subject to an encumbrance created by a legally compliant retention agreement
acceptable to Mortgagee which incorporates the income-eligibility and rent restrictions committed to in the
Application. The income-eligibility and rent restrictions committed to by Mortgagor shall terminate after any
foreclosure or a deed in lieu of foreclosure, but such termination shall not release Mortgagor from any obligation
to repay the Grant to Mortgagee and shall not impair Mortgagee’s claim to foreclosure proceeds. Mortgagor
will provide certification upon request or at least annually that Mortgagor complies with the requirement that the
Property meets the foregoing income eligibility and rent restriction standards throughout the Retention Period.
MORTGAGOR:
By:
Typed name:
Title:
STATE OF WYOMING
COUNTY OF
)
)
)
ss.
This is to certify that on this
day of
, 20_____, before me, the
undersigned, a Notary Public in and for the State of Wyoming, duly commissioned and sworn, personally
appeared
, known to me to be
of
, the within named Mortgagor, who
executed the within instrument, acknowledged the said instrument to be the free and voluntary act and deed of
the Mortgagor for the uses and purposes therein mentioned, and on oath stated that _____ was authorized to
execute the said instrument for and on behalf of the Mortgagor.
Date:
Name:
NOTARY PUBLIC, State of Wyoming
Residing at
My appointment expires
(Use this space for notarial stamp/seal)
Federal Home Loan Bank of Des Moines – Affordable Housing Program
AHP Wyoming Rental (Rev. 6-15)
Page 3
CERTIFICATE OF DISCHARGE
Do not record. To be used only when obligation has been met.
This certifies that a Mortgage with Power of Sale and Retention Agreement from _________________________
to the Federal Home Loan Bank of Des Moines, dated ____________________, 20____ A.D., and recorded in
book
__________
of
__________
on
page
_________
(or
under
Recording
No.
_______________________________) has been fully satisfied by the performance of the obligations secured
thereby, and is hereby cancelled and discharged.
Mail Discharge to:
Community Investment Department
Federal Home Loan Bank of Des Moines
Western Office
1001 Fourth Avenue, Suite 2600
Seattle, WA 98154
FEDERAL HOME LOAN BANK OF DES MOINES
By: ______________________________________
______________________________________
Its: ______________________________________
STATE OF WASHINGTON
COUNTY OF KING
)
)
)
ss.
I certify that I know that __________________is the person who appeared before me, and said person
acknowledged that _____ signed this Certificate of Discharge, on oath stated that _____was authorized to
execute the Certificate of Discharge and acknowledged it as the ___________ of the Federal Home Loan Bank
of Des Moines to be the free and voluntary act of such party for the uses and purposes stated therein.
Date:
Name:
Notary Public, State of Washington
Residing at:
My Commission expires:
Federal Home Loan Bank of Des Moines – Affordable Housing Program
AHP Wyoming Rental (Rev. 6-15)
Page 4