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2011/04/20 Council Agenda Packet
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2011/04/20 Council Agenda Packet
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Council Agenda Packet
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4/20/2011
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5 <br /> C. Total property debt, including loans provided pursuant to this agreement, <br /> shall not exceed eighty percent (80%) of the post-rehabilitation estimated <br /> value of the property; <br /> D. The Lender agrees to base its Loan-to-Value calculations on an after <br /> rehabilitation value as determined by, at Lender's option, either an appraisal <br /> or a CHIP estimate of value; <br /> E. The minimum payment on these Lender loans shall be at least $25.00 per <br /> month; <br /> F. The Lender shall not impose any prepayment penalties for loans granted <br /> under this program; <br /> G. Upon Lender request, the City agrees to provide the Lender with copies of <br /> final inspection reports or other notices of completion for all work performed <br /> under the CHIP Program for the purpose of providing notification that the <br /> work is completed; and <br /> H. The Lender agrees to disburse the borrowers loan proceeds to the CHIP <br /> escrow account so that they may be held for payment of rehabilitation costs <br /> as the work progresses._ <br /> V. Definition of Default <br /> Default is the failure of the borrower to make payments on his loan for 90 <br /> consecutive days or more, wherein the Lender has made at least five (5) attempts <br /> by phone, registered mail, or by personal contact to collect such payments. All <br /> collection attempts shall be documented or certified by.the Lender. The Lender <br /> shall immediately notify CHIP of any loan payment which is more than 30 days <br /> overdue. <br /> VI. Reports <br /> A. The City shall provide an annual report to the Lender, which <br /> summarizes the following: <br /> 1 . The number and types of CHIP loans granted during the year; and <br /> 2. The number of buildings and housing units which have been <br /> rehabilitated by the program. <br /> B. The Lender will provide upon request, the loan balances for the <br /> outstanding loans and the principal and interest payments. <br /> 4 <br /> 41 <br />
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