MEMORANDUM
Planning and Development Services Department
TO: David L. Corliss, City Manager
FROM: Margene K. Swarts, Assistant Director, Development Services
CC: Scott McCullough, Director, Planning and Development Services
DATE: November 30, 2011
RE: Subordination Agreement
The Community Development Division received a request for a Subordination Agreement for a lien the City holds for a loan recipient. The information regarding the requests follow:
In 2001, Leonard Ford, 1801 Atherton Court, participated in the City’s First Time Homebuyer Program. In order to participate in the program, he was required to sign a mortgage and mortgage note to protect the City’s interest in the property. Mr. Ford wishes to refinance the primary mortgage on the property and in order to do so the City must subordinate the lien to the new loan with Capitol Federal Savings Bank. The City’s interest will be protected and staff recommends approval.
In 2002, Seth Swartzendruber, 4016 Overland Drive, participated in the City’s First Time Homebuyer Program. In order to participate in the program, he was required to sign a mortgage and mortgage note to protect the City’s interest in the property. Mr. Swartzendruber wishes to refinance the primary mortgage on the property and in order to do so the City must subordinate the lien to the new loan with Capitol Federal Savings Bank. The City’s interest will be protected and staff recommends approval.
In 1998, Shala Stevenson, 1238 Prairie Avenue, participated in the City’s First Time Homebuyer Program. In order to participate in the program, she was required to sign a mortgage and mortgage note to protect the City’s interest in the property. Ms. Stevenson wishes to refinance the primary mortgage on the property and in order to do so the City must subordinate the lien to the new loan with 66 Federal Credit Union. The City’s interest will be protected and staff recommends approval.
The City Clerk will have the documents for the Mayor's signature. If you have further questions, please let me know.