HomeMy WebLinkAboutRes HA-61 - Proposed Sale of APN 634-061-024 CITY OF PALM DESERT /PALM DESERT HOUSING AUTHORITY
JOINT CONSIDERATION
STAFF REPORT
REQUEST: REQUEST FOR APPROVAL OF THE PROPOSED SALE OF A
PROPERTY LOCATED AT 43-930 BLUEBERRY LANE (APN 634-
061-024), PALM DESERT (PURSUANT TO HEALTH AND SAFETY
CODE SECTION 33433(c)).
SUBMITTED BY: Jessica Gonzales, Management Analyst
DATE: March 13, 2014
CONTENTS: Housing Authority Resolution No. HA-�i
Draft Purchase and Sale Agreement for 43-930 Blueberry Lane
Draft Desert Rose Restrictive Covenant and Loan Documents
Recommendation
That the Authority Board,
1. Conduct a public hearing and accept testimony on the proposed sale of a
property located at 43-930 Blueberry Lane, (APN 634-061-024) , to qualified
households of low or moderate income; and
2. Following public testimony, close the public hearing, and request that the
Authority Board waive further reading and adopt Resolution No. HA-61
approving the sale of the property pursuant to the attached draft Purchase
and Sale Agreement at the calculated resale price of $136,444 for 43-930
Blueberry Lane or the fair market value of the property, whichever is less.
By Minute Motion, that the City Council and Authority Board,
3. Approve a silent homebuyer assistance loan not to exceed forty percent
(40%) of the sales price for the home to ensure an affordable housing cost for
a qualified low or moderate income household from any available funding
source restricted for such purpose (BEGIN, Housing Mitigation,
Agency/Housing Authority program income); and
4. Authorize the payment of the transaction costs from the sale proceeds for the
purpose of repairs required for closing, fees customary to real estate
transactions in Riverside County including escrow, title, FHA fees,
inspections, vermin eradication, commissions and disclosures; and
5. Authorize the use of the Desert Rose sales program and documents including
the restrictive covenant and loan documents for the applicable funding
source, in their substantial form attached; and
6. Authorize the Authority Chairman and/or the Authority's Executive Director or
his designee to finalize and execute the Purchase and Sales Agreement and
Staff Report
Public Hearing APN 634-061-024
March 13, 2014
Page 2 of 3
any ancillary documents necessary to effectuate the sale and actions taken
herewith.
Backqround
On February 9, 2012, the City adopted Resolution No. 2012-07 designating the Palm Desert
Housing Authority ("Housing Authority") as the successor housing entity for all housing
activities formerly completed by both the former Palm Desert Redevelopment Agency
("Agency") and Housing Authority. On October 11, 2012, the Housing Authority Board
accepted the housing functions and assets transferred pursuant to Resolution No. HA-47.
The Housing Authority is proposing to sell a single-family residence located at 43-930
Blueberry Lane in the Desert Rose Development (the "Property") to a qualified low or
moderate income household.
Health and Safety Code Section 33433(c) provides that the requirements of subdivisions (a)
and (b) will not apply to the sale of a small housing project if the City Council adopts a
resolution that authorizes the sale of small housing projects pursuant to Section 33433(c).
Pursuant to its Resolution No. 03-34, adopted on April 10, 2003, the City Council authorized
the Agency to sell small housing projects pursuant to Section 33433(c). On March 14,
2013, the City Council adopted Resolution No. 2013-11 authorizing the Authority to sell
small housing projects pursuant to Health and Safety Code Section 33433(c) as the
successor to the former Agency's housing functions and assets.
The property meets the definition of a small housing project in that the Housing Authority
will only sell the property to a qualified household (including persons or families) of low or
moderate incomes.
Section 33433(c) requires that a public hearing be held on the proposed sale pursuant to
Health and Safety Code Section 33431. Pursuant to Section 33431, notice of a public
hearing on the proposed sale of the property was published once a week for two successive
weeks in the Desert Sun.
When a qualified buyer is identified, the draft Purchase and Sale Agreement ("Agreement")
will be modified based on the terms of the sale agreed upon. However, the sales price will
not exceed the amounts on the draft Agreement.
In addition, and in order to ensure an affordable housing cost, the Housing Authority and/or
City will need to provide deferred down-payment assistance loans. The loan terms will be
consistent with the program funding requirements of the funding source used for this
purpose. The actual amount and funding source of the Housing Authority and/or City
assistance loans will vary for each transaction and will depend on the qualifying income and
buyer criteria. The silent homebuyer assistance loans for the home will not exceed forty
percent (40%) of the respective sales price.
Staff recommends that (i) the Housing Authority Board, hold a public hearing on the
proposed sale of the property and approve the sale of the property to a qualified household
pursuant to the general terms of the Purchase and Sale Agreement presented to the
Housing Authority at this meeting and (ii) that both the City Council and Authority Board
G:IHOUSING1Patty Leon1JMM1sWff repomHOUSING AUTHORITYISR-HA-City 33433(c)Public Heanng 43930 Blueberry Lane.doc
Staff Report
Public Hearing APN 634-061-024
March 13, 2014
Page 3 of 3
approve a silent homebuyer assistance loan for the home not to exceed forty percent (40%)
of the sales price to ensure an affordable housing cost from any available funding source
restricted for such purpose.
Fiscal Analvsis
The fiscal impact will be the cost differential from the former Agency's cost of each of the
property to the newly negotiated sales price, the costs of the transaction, and the amount of
the assistance loan from the applicable funding sources. The sale of this property will
reduce the monthly costs associated with maintaining the real property inventory.
Submitted by: Department Head:
/
���
Jes ic Gonz e , na ment Analyst Ja t M. Moore, Director of Housing
�;, �c
Paul Gib n Director of Finance
Appr val:
�
Jo . Wohlmuth, City Manager/Executive Director
CITY COUNCILA�TION
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RESOLUTION NO. HA -�L
A RESOLUTION OF THE PALM DESERT HOUSING AUTHORITY
APPROVING A RESIDENTIAL PURCHASE AND SALE AGREEMENT
PURSUANT TO HEALTH AND SAFETY CODE SECTION 33433(c)
THE PALM DESERT HOUSING AUTHORITY HEREBY FINDS,
DETERMINES, RESOLVES AND ORDERS AS FOLLOWS:
Section 1. On July 14, 1994, the former Palm Desert Redevelopment Agency
("Agency") held a public hearing approving the initial sale of the 161 single-family homes
located in the Desert Rose Development ("Desert Rose") in the City of Palm Desert to
qualifying households of low or moderate income pursuant to Resolution No. 296, and
amendments made thereto.
Section 2. Pursuant to Health and Safety Code Section 34175(b), on February 1,
2012, all assets, properties, contracts, leases, books and records, buildings, and
equipment of the Agency transferred to the control of the Successor Agency to the Palm
Desert Redevelopment Agency (the "Successor Agency") by operation of law including
housing assets.
Section 3. Pursuant to Health and Safety Code Section 34176(b), on February 9,
2012, the City adopted Resolution No. 2012-07 designating the Palm Desert Housing
Authority(the"Housing Authority") as the successor housing entity for all housing activities
formerly completed by both the Agency and the Housing Authority.
Section 4. On October 11, 2012, the Housing Authority Board accepted the housing
functions and assets transferred pursuant to Resolution No. HA-47.
Section 5. The Housing Authority owns a residential structure located at 43-930
Blueberry Lane in the City of Palm Desert, California (the "Property"). The Housing
Authority proposes to sell the Property to a qualifying person or household of low or
moderate income pursuant to the draft purchase and sale agreement (the "Agreement")
and Desert Rose Restrictive Covenant and Loan Documents presented to the Housing
Authority at this meeting and now on file in the offices of the Housing Authority Secretary
and City Clerk of the City of Palm Desert.
Section 6. Resolution No. 03-34 of the City Council authorized the Agency to sell or
lease a "small housing project" as that term is defined in Health and Safety Code Section
33013, pursuant to Health and Safety Code Section 33433(c).
Section 7. By its Resolution No. 2013-11, the City Council confirmed that the
authorization for the former Agency to sell small housing projects pursuant to Health and
Safety Code Section 33433(c)transferred to the Housing Authority as the successor to the
former Agency's housing functions and assets.
-1-
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RESOLUTION NO. HA - 61
Section 8. Following notice duly given, the Housing Authority has held a full and fair
public hearing on the sale by the Housing Authority of the Property pursuant to Health and
Safety Code Section 33431. The Housing Authority has made available to the public
through the office of the City Clerk a copy of the Agreement prior to the public hearing.
Section 9. The Housing Authority hereby finds and determines that the Property
qualify as a "small housing project" as that term is defined in Health and Safety Code
33013.
Section 10. The Housing Authority hereby approves the Agreement and the
Housing Authority Executive Director ("Executive Directo�") is hereby authorized and
directed, for and in the name and on behalf of the Housing Authority, to finalize, execute
and deliver the Agreement in substantially the form on file with the Housing Authority
Secretary and the City Clerk and presented at this meeting, with such additions thereto or
changes or insertions therein as may be approved by the Executive Director(such approval
to be conelusively evidenced by such execution and delivery).
Section 11. The officers of the Housing Authority are hereby authorized and
directed,jointly and severally, to execute and deliver any and all necessary documents and
instruments and to do all things which they may deem necessary or proper in order to
effectuate the purposes of this Resolution and the transaction contemplated hereby; and
any such actions previously taken by such officers are hereby ratified, confirmed and
approved.
PASSED, APPROVED AND ADOPTED this 13TH day of MARCH 2O14 by the
following vote, to wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
VAN G TANNER, CHAIRMAN
ATTEST:
RACHELLE D. KLASSEN, SECRETARY
PALM DESERT HOUSING AUTHORITY
-z-
DRAFT
CauFOaNiA
,� C A t. i F O R N i A RESIDENTIAL PURCHASE AGREEMENT
= A S S C�C 1 A T t O N AND JOINT ESCROW INSTRUCTI4NS
+9► O F R�A L T o tt s' For tlss W(th Single Family Residsntia!Property—Attachsd or Detached
(C.A.R.�orm RPA-CA,!?avised 4/13)
Date Febxvary 1?�_201 Q
t. OFFER:
A. TFNS IS AN OFFER FftOM A avalitferd buver of 2o�rex � �ma3arate_in�c�as .__ . (�uye�").
_....
B. THE REAL PRaPERTY TO BE AC�UIRED is described as 43930 Blueber� Ln. Palm L�e��t_ .�. 92260
�. �___,._ _ __ T_ ,AsseSSOr'S ParCel No. 63d-061-02d,, ,situated in
palm,�sart ,County o( .�„__ xf verside ,Calilomia,("Property°},
C. THE PURCHABE PRICE oHered is Ona t�widred Thirtv-Six Thonsand, Four Huadro¢ Fo�-Four
Oallars$j36.6,9.00
D. d.OSE OF ESCFiOW shali occur on 60 dava oz saonar (date)(or Q Days Atter AcceptenCo).
2. A(3ENCY:
A. DISCLOSUAE: Buyer and Selier each acknowledge prior receipt ot a °Disclosure Regarding Reaf Estate Agency RelationsNps"
(C.A.R.Form AD}.
B. POTENTIALLY COAAPETING BUYERS AND SEtLERS: 8uyar and SeNer each adcnowledge receipt ot a disclosure oi the possibilily oi
muitlple representatlon by !he Broker re�esentlng thai principal. This disclosure may be part of a listlng agreement, buyer represen�tlon
agreemeM o►separate document (C.A.R. Form DA). Buyer understands thal &oker rep►esenHng Buyer mey also represent other polential
buyers, wtro may constder, make oiters on w ulUmately acquire the Property. Seiler understands that Flroker represendng Seller may also
represent other se0ers with competing properties ol interesl to ih{s Buyer.
C. COt�1RMAT10N:The following agency relationships are hereby con(frmed tor this transacUon:
LisGng Agen! Centuxv 21 Osbarne ReaZtv (Print Firm Neme)is the�ent
at{chedc one):Q the Seller exdusively;or(�both the Buyer and Selier.
Selifng Agent Century 21 Oaborne Realtv (Print Flrm Name)(if not the same as the
ListMg Agent)is the agent oi(check�e):❑the 8uyer exdusivey;or Q the Sefler exclusively;or�both the Buyer and Seller. Real Estale
Brokers are rwt partles to the Agraement hetween Buyer and Seller.
3. FNdANCE TERMS:Buyer represents that Funds wiN be good when deposlied with Escrow Hdder.
A. INITIAL DEP061T:Deposit slrall be in the amount oi ................................................... $ 250,00
(1} 8uyer shaU deliver deposit directly ro Escrow Hotder by personal check, ❑elecironic tunds Uensier,❑ othet
wittdn 3 business days after acceptance(or�Other 25 days };
OR(2)(If chedced)0 8uy�has given tha deposit by personal chedc(or � )
to the agent subrt�ittlng lhe oiler(or to❑ ),
made payabie W .The deposil shall be heid
ur�ashed uMil Acceptanca end then deposiled with Escrow Hoider(� ❑tnto Broker's husl �count) wNhin 3
business days after Acc�ptance(or 0 Other )•
B. INCREA3HD DEPO�T:Buyer shall deposit with Escrow Hdder an increased deposit in the amaunt oi...........$
within Days Aiter Axeptence,or❑
It a Itquidated damages dause is incorporated {nto thls Agreement, Buyer and Sefler shall sign a separate
liquidated damages clause(C.A.R.Form RID)for any i�creased deposit at the time ft is DeNvered.
C. LOAN(S):
(1) flRST LOAN:in the amount of.................................................................S fiBD
This toan wilt be cornendonal flnanctng or, if checked, ❑FFfA,�VA, Q Seller (C.A.R. Form SFA),
❑assumed iinancing(C.A.R.Form PAA), Q Other .This loan shall 6e at a flxed
rate�ot ro exceed 9'0 or,Q an a��stable rate loan with ini8ai rate not to exceed %.
Regarcdess of the type ot ban,Buyer shall pay points not to exceed 'Yo oi the loan amount.
(2) �SECOND LOAN:in the amount of............................................................$ TBD
Thls loan will be conver�ional financing or,H checked, ❑Seiler(C.A.R.Fortn SFA), ❑assumed tinancing
(C.A.R.Form PAA), �Other SF.e 3.n .This loan shall be at a Bxed rate not to exceed
%or,Q an adjustable rate ban with iniGal rate not to exceed �.Regardiess of
the rype of loan,Buyer sheli pay points not to exceed %of the loan amount.
(3j FHANA:Fa any FHA or VA loan specified a6ove,Buyer has 17(or❑ )Days After Acceptance
to Deliver to Seller r�r�xilten noiice (C.A.R. Form FVA) ot any lender-required repairs or costs that Buyer
requests Seller W pay far or otherwise correct.Seller has na obligation to pay or sadsfy lender requirements
uniasa otherwise agreed in writing.
D. ADDIT10NAl FINANCING TERMS: Pa1m taeaert Hausina Anthori tv aad Ci tv of_Pa1m_
D�aert msiv aive do� �,�ym�t assist.artce. crovided baver onalifias.
E BALANCE OF DOWN PAYMENT OR PURCHASE PRICE in the amount ot.................................$ 136.29a,o0
to be deposited w{th Esa'ow Hotder within suHicleM tlme to dose escrow.
P. PURCHA8E PRtCE(TOTAL):.....................................................................a 136,444.00
BuyeYs inifia�s(,�_)( ) SeHer's Initi�s(�_)(X ) �
�
02013.CalHomfa AssodeYon d fiEA1.TOR80.Inc. �i�
RPA-CA REYISED 4li3(PA(iE/OF B) RevieVred by Date
CALIFORMA RE3lDENTIAL P'URdiA3E AGREEN�NT{RPA�CA PACiE 1 OF Sy
/lgent: John Osbome Phone:(18U�821-2121 Faz:()8018Yl-13&7 Prepared ustny z(pForrt�soitware
Broket: CENTURY Z'i Osbome R 41 Or ldla Ct Palm Desert,CA 92260
DRAFT
43930 8luebarry .Ln
Property Address:Pa3m DesertL_Ca 9226L1 ____4__ Date:Febsuazv 27, 2014
(i. VERIFICATION OF�WN PAYMENT AND CLbSINCi COSTS:Buyer(or Buyer's tender or loan broker pursuant to 3H(1)shall,wllhin 7(w
� ) Days Atier Acceptance, Defiver!o Seller wriflen verificetion of Buyefs down paymeni and closing cosis. (II checked,❑
veriticaUun atiached.)
H. LOAN TERMS:
(1) LOAN APPUCATIONS:Within 7(w Q.,�,.,,.,,,._,......_..._...... )Days After Acceptance, Buyer shali Deliver to Seller a ietter from tender or loan
broker stating ihat,based on a raview o(Buyers written applicaiion and credit report,Buyer is Qrequalilied or preapproved for any NEW ban
specified in 3C above.(If checked,Q letter attached.)
(2) LQAN CON'FII�QENCY:9uyer shall act diligently and in good taith to obtain Ihe designated loan(s).Obtaining the loan(s)spedfied above
Is a contlngency ot this Agreament unless othervvise agreed in wriling.Buyer's coniraclual obligations to obtafn and provide deposit,belance ol
down payment and ciosing costs are not contlngertcles oi this Agreement.
(3) LOAN CQNTINGENGY R�lIAqVA�:
(f} 1Mthin 77(or[��)D�ys ARer Acceptance,Buyer shaH,as specified in paragraph 14,in mi6ng remove the loan contingency or
cancel ihis Agreement;
OR(In (H checked) ❑the ban contingency sha0 remaln in eflacl until the designated 4oans are funded.
(q)�NO LOAN CONi'INGENCY{11 checkad}:Obtairifng any loan specHied ebove is NOT a coMingency o(this AgreemeM.If Buyer does rrot
obtain ihe loan arxi as a result Buyer does not purchase Ihe Property,Seper msy be entitled to Buyer's deposil or olher leg�l reme�es.
I. APPRAiSAL CON71NCiENCY AND REAAOVAL:Thts A�eement is(or,N checked,Q is NOT)conUngBm upon a written appreisei of the Properiy
hy a licersed a ceRHied appraiser at no less than the specified purchase price. N ihere is a loan contingency,Buyer's removal ot the loen
contingency shall be deemed removal ot this appraisal conHngency(or,�if checked,Buyer shali,as specNied in paragraph 148(3),in writlng
remove the appraisal continqency or cancel this Agreement within 1T(or )Days After Acceptance).B there fs no loan conUngency,
8uyer sF�fl,as speci8ed In paragra�h 14B(3),in wrfting remove the appraisal contfngency or cartcel this Agr�ment within 17(or )
Deys Afler Aaeptance.
J. ❑AlL CASH OFFER(if checked):Buyer shall,within 7(or❑ )Days After Acceptance, Deliver to Seller written verification ot
suflicient lunds to dose this transactbn.Qf cl�cked, ❑veriflcatYon attached.)
K. BUYER STATED FINANCINti:Seller has relied on Buyers representation of the type of(inancing specifi� (including but nol Iirt�ted to, as
applfcable,amouM oi down payment,coMingent or nqn contlngent loan,or all cash).If Buyer seeks aitemaEe finsndng,p)Seiler has no obligation
to c�operate with Buye�'s eHorts to obtatn such linancing, and{ii) Buyer shail also pursue the financing method specifted in ihis Agreemenl.
Buyer's failure to secure altemate financing does not excuse Buyer(rom the obliga0on to purchase the PropeAy and close escrow as specitied in
ihis Agreement.
4. ALIOCATiON OF COSTS(if chedced):Unless otl�erwise specified here,in writing,thfs�ragrapN oniy determines who is to pay for the inspeclion,
test or service("Repart'�mendoned;it does nat deiermine who is to pay for any work recommended or fderttiNed in the Report.
A. INSPECTtUNS ANd REPORTS:
(1}�Buyer�SeBer shail pay ior an inspecUon and report for woad destroying pests and orgenisms ("Wood Pest RepoA'� prepared by
Sellers Cho�,ge a registered sirocturat pest conhol cortspany.
(2)Q 8uyer❑Setler shali pay to have septic or private sewage disposal systems inspected •
(3) Q Buyer Q Seiler shaN pay to have domestic welis tested for water potability and productivily
(4) Q Buyer{�}Seller shall pay for a�atur�hazard zone disdosure report prepared by sirat umericaa or siai2ar
(5) ❑Buyer Q Seller shall pay tor the folbwing inspection or report
(6)�Buyer❑SeNer shaU pey tor the foliowing fnspection o�repoA � 7n q��+t i qp jZ�prt
B. GOYERNIYiENT RE�UIREMENTS AND RETROFIT:
(1)Q Buyer�Seller shail pay for smoke detector installation and/rn waier heater bracing,if required by Law.Prior to Cbse Oi Escrow,Setier
shall provide Buyer wdtten statemem(s)of compliance!n accordance with stete and local Law,unless exempt.
(2} 0 Buyer�Selier shall pay the cost ot compliance wfth any other minimum mandatory govemment retrofit standards, inspecdons and
reports If required as a cornfition ot ctosing escrow under any Law.
C. E3CROtlN AND TITLE:
(1)�Buy9t�Seller Shell pay escrow tee �'m:.� to flav his/het' o�ru
Escrow Halder shalf be �'�+^�et re Escrov
(2)Q Buyer�Seller shali pey for owner's title insurance policy specNied in paraOraph 12E
Owner's title policy to be issued by First American Tit1e •
(Buyer shaU pay tor arry tltle i�surar�e poAcy insuring Buyer's lender,unless otherwise agreed in v�ttiting.)
D. OTHER COSTS:
(1) �Buyer�Seller shafl pay County transfer tax or fee
(2)Q Buyer�Seiler shall pay City Vansfer tax or iee
{3) ❑Buyer❑Seller shall pay Homeowner's AssociaUon("HOA")transfar fee
(4) �Buyer�Seller shell pey HOA document preparation tees ��lated Fees
{B)Q Buyer�Seller shall pay for arry private Vanster fee
(B)�Buyer�Seder shail pay the cost,not to exceed$950.00 ,of a one-year home warranty plan,
i8sued by a�a*'�^�n x� .hield ,with ttre following oplionet covereges:
�Air CondiHoner Q Pooi/Spa Q Code and Permit upgrade �Other.�g tg�i�,r},��gs .
Buyer is informed that home warcanty plans have many optionai cover�es in addi6on to those listed above.Buyer fs advised lo invesiigate
lhese ooverages io determine those that may be suitable tor Buyer.
(7�Q 8uyer�Seller shall pay for
(B)Q Buyer Q Seiler shall pay for
Suyer's initials(�_)i ) Seiler's Ini6als(�_)(}�_) �
RPA-CA REVISED 4113(PAQE 2 OF 8) Rev�wed by Da�e ��
CALIFORMA RE5IDHNTiAL PURCMASE AGREEMEiJT'(RPA-CA PA(iE 2 OF 8) 43930 Blucbcrry
DRAFT
43930 HZueherry Ln
Property Address:Pa2m Desert, Ca 922G0 _ Date:Felazuary._27L 2QI4
_ __ ___..,._ __.. __..._ _
5. CLOSING AND POSSESSION:
A. Buyer inlends(or Q does nW intend)to occupy the Property as BuyeYs primary residence.
B. Seller-occup�d or vacant property:Possessbn shail 6e delivered to Buyer a15 PM or(� �AM 0 PM)on the date oi Close
Of Escrow:Q on___ .____.. ______�_____ :a'Q no�ater than Days Alter Close O(Escrow.II Vansler oi iiils
and possession do�ot occur at the same iime,Buyer and SeOer are advised io:(I}enter into a written occupan�cy egreement(C.A.R.Form PAA,
paragraph 2);and(li)consult wNh Ihefr insurance and legai advisors.
C. T�nant�occupbd praperty:(i)Property shall be vacant at leasl5(a❑ )Da�s Prior to Close Of Escrow,unless otherwise agreed
ln writing.Note to Sellar:If you are unable to dedver Property vauam in a�—arae w th rent coMrol and othet appUcabfe Law,you may
be in breach ot thfs 14greement
OR(ii)(it checiced)Q TenaM to remain in possession.(C.A.R.Fam PAA,paragraph 3)
D. A1 Cbse 01 Escrow,(f)Seper assigns to Buyer arry assignable warranty rights for items included in ihe sale,and(Il)Seller shall DeNver to Buyer
eveil�tiW Cop19B Di w�n��iti�s.@�'ilt�Y�t�fltl0t 81id will 10t d6iAtt1Ni1�tt1Y�581�Pt8billly Ot aPiy wdtrA11q8i.
E. At Glose Qf Escrow,uniess Whervvise agreed in wrltiny,Selier shaN provide keys and/or mesns to operate all lodcs,mailboxes,security systems,
eterr�and gerege door openers.It Property is a condominlum or locatad in e common IMerest subdivfsion, Buyer may be requlred ta pey a
deposit b the Homeowners'Association("HOA"}to�tain keys lo accessibte HOA Faciqtles.
g, STATUTORY OlSCLOSURES(INCLUDIN4 LEAD-BASED PAINT HAZARD DISCIOSURE3J AND CANCELLATION RICiHTS:
A. (1) Seller shali,within ihe time speCiBed in paragraph 14A,Delivar to Buyer,il recyuired by Law:(i)Federal Lead-Besed Palni Disclosures(C.A.R.
Fortn FLO)and pamphlet(`Lead Disclosures'�;and(IQ df�fosures or notices�equired by secUons 1102 et.seq.and 1103 eL seq.o(the Civi!
Code("Statutory Dlsciosures'�.Statutory Disclosures indude,but are not lim(ted to,a Real Eslate Transter Dlsciosure StalemeM("TDS'),
Natural Hazard Disclosure Statemenl("NHO"},notice or acivat krrowledge of release af illegal controtied substance,noUce of special tax
and/or�sessments(or,it atfowed,substantlally equ'rvatent not�e regarciing the MellaR�s Com�nity Fadlities Act artd Ir�rovement Bond
Act ol 1915j and,ff Setier has acWal knowledge,of industriai use and miiNery ordnance locatlon(C.A.R.Form SPQ a SSD).
(2j 8uyer sltail,within Ihe lime speci8ed in paragraph 148(1 j,retum Signed Coplas af the Statutory and Lead Disclosures to Seiler.
(3) In the evant Seller, prior to Cbse Of Escrow, becomes aware of adverse conditions materially aftecGng the Property, ot any meteriai
Inaccuracy in disdosures, informadon or representations previously provided to Buyer, Seller shall prompNy provlde a subsequent or
amended disdosure w notice,in writi�,covering those items.Nowever,a subsequent a�a�nded dtscbsure shal!not be required for
condidons end material inaccuracies of whfch Buyer is otherwise awa►e,or which are disclosed in reports provlded to or obtalned by
Buyer or ordered and paid tor by Buyer.
(4) if any disciosure or notfce specifled in 6A(f y,or subsequent or amer�ded disclasure or notice is Delhrered to Buyer after the oHer is Signed,
Buyer shaN have ihe dght to cancel this Agreement within 3 Days After Delivery in person,or 5 Days Aitet Delivery by deposit in the mail,by
giving written nodce of cancellation to SeMer w Selier's agant.
(Sj Note io Buyer�nd 8eiler.Waiver of Statutory and Lead D3sctosuras is pronibited by Law.
B. NATURAI ANO ENVIRONMENTAL HAZARDS:Within the time specitied in paragraph 14A,SeUer shell,if required by Law:(t)De6ver to Buyer
earthquake guides(and quesiionnaire)and environmental hazards booklet;(ii}even B exempt trom the obiigation ro provide a NHD,discbse il
ihe Property is tocated in a Special Flood Hazard Area; Potentia! Floo�ng (Inundation) Area; Very High Fre Hazard 2one; State Flre
Responsibility Area;EaAhqualce Fault Zone;Seismic Hazard Zaie;and(Uq cGsclose any other zone as requ(red by Law and provide a�y other
informadon required tor those zones.
C. WITtUtOLDIMQ TAXES: Within the dme Specified in paragraph 14A,to avad rec�ired w(thholding, Se{ler shall Oeiiver to Buyer or qualified
substituie,an afiidavit suffident lo c�mply with fedarai(FIRPTA)and CaUfomia withholding i.aw(C.A.Fi.Form AS or QS).
U. MEGAN'S LAW DATABASE DISCtOSURE:Nodcs:Pursuant to SecUon 290.46 of the Penat Coda,informaHon about specf�ed registered sex
of(enders is made avallable to the pubiic vfa an Intemet Web site maintafned by►he Department of Justice at www.meganslaw.ca.gov.Depending
on an offenders criminal history,thls intormation will include either the address at wFach the oftendar resides or ihe wmmunity oi residence and
ZIP Code in whtch he or she resides.(Neiiher Seller nor Brokers are required to check ihis website.if Buyer wanis further inlortnatlon,Broker
recommends that Buyer obtaln iniormalton from this website during Buyer's inspectbn contlngency period.Brokers do not have expertise in this
area.)
E. NOTICE REGARDING GAS AND HAZARDOUS LI�iUtD TRANSM{8310N PIPEUNEB:This notice is befng provided simpty to inform you that
infortnadon about the generat IocaUon of gas and hazardous Nquid uansmission pipelines is avallabie to the pubAc via the NeUonal Ptpeline
Mapping System(NPMS)Intemet Web site maintafned by the United States Depanment of Transporiation at ht�://www.npms.phmsa.dot.gov/.To
seek further information about possible transmisslon pipeUnes rtear!he PropeRy,you may crontact your local gas udliry or other�ipa6ne operators
in the area Contact informatlon for pipelfne operators fs searchable by ZIP Code and county on the NPMS Intemet Web site.
7. CONDOMINIUMIPLAHMIED OEVELOPMENT DISCLOSURES:
A. SELLER HAS:7(or❑ )Days After Axeptance to dtsclose to Buyer whether the Property is a condominium,w Is located in a
planned developmeM or olher common interest subdivlslon(C.A.R.Fwm SPQ or SSD).
B. I!the Property is a condominium or is lacated in a pianned devebpment or other common interest subdivision,Seller has 3(or❑ )
Days ARer Axeptance to request irom the HOA{C.A.R.Form NOA}:{i}Copies ot any documems raquired by Law;(N)disclosure of any pending
or antiapated claim or kdgation by or against the HOA;(Iil)a statement containing the locadon and number of des�gnated parking and storage
spaces;(iv)Coples of the most recent i2 months o(HOA minutes for regular and special meeGngs;and(v)the names and conlact informaUon ot
aU HOAs goveming the Property(collec4valy,"CI Ofsdosures"�.Selker shall itemiza and Deliver to Buyer ap C!Disclosures received irom Ihe HOA
and any C!Discbsures in Seiler's possession.BuyePs approval of CI Disclosures is a contir�ency of this Agreemern as specifled i�paragraph
t48(3).
& 1TEMS INCLUDED IN AND p(CLUDED FROM PURCHASE PRICE:
A. NOTE TO BUYER AND SELLER:ltems listed as induded or excluded in the MIS,fiyers or marketing materials are not inciuded in the purchase
price ur exduded from the sale urtless specified in SB or C.
8. ITEMS INCLUDBD IN SALE:
(1) AU EXISTINt3 fixtures and fittings that are attached to the Property;
{2) EXISTINC eledrical,mechanical,IigMing,piumbing and heatlng flxtures,ceiling fans,tireplace inserts,gas lo�and grates,solar systems,
built-in appfiances,window and door screens,awnings,shutters,window coverings,attached fioor coverings,television antennas,satellite
dishes,private integrated ielephona systems,eir coolers/condidoners,pooUspa equipment,garage door openers/remote controls,maBboz,
in-ground landscap�g,treeslshrubs,water softeners,water purifiers,securiry systems/alarms;(If checked)�stove(s), ❑rehigerator(s);
Buyer's IMlials(�„_,_)( ) Selter's Initlais{?�_)(�_) �
APA-CA REVISED 4/13(PAQE 3 OP 8) �'��dY Date ��
CAlIFORNIA RESIDENTlAL PURCHASE At3REE1YlENT(RPA-CA PA�E 3 OF 8} 43930 Slueberry
DRAFT
43930 Hluebe.rry Ia
Property Address:Pa2m Desertl Ce_ 92260 ___ _ �__ .Date:Febzuar�s 17, 2014
_. -- _ __ _ _
(3) The toilovving ad�iGonal items: Washerjnrver_ __.._ ___..__--_--- •
(4) Selier represents that all items included in the�zirchase pNce,unless ofherwise speafied,are owned by�ueler.�
{5) Ail ilems includect shall be transferred irae oi Ifens end v�nthout Se11er warrarny.
C. ITEMS EXCLUDED FROM SALE:Unless otherwise speciGed,audio and video components(such as(iat screen Ns and speakers)ara exduded
it any such item is not itseli aitached to the Property,even it a breicket or olher rrrechanism aitached to tMe component is attached to the Propeny;
and____ - — _ ___ _ _ --- — -- '
9. CONDITION OF PPtOPERTY:Unless othe�wise agreed:(q the Property is sold(a)in its PRESENT physicai("as-Is")condftion as of the date
ot Aaceptsnce and (b) subject to Buye�'s MwestigeGon rights; (ti) the Property, (nGuding pool, spa, landscaping and grounds, is to be
matnteined in substantially the same c�dltion as on 1he date oi A�eptance;arxi(lii)all debris artd personal p�aperty not lncluded M the sale shali
be removed by Close 01 Escrow.
A. Seller shall,withln the Ume specf(ied in paragraph 14A,DISCIOSE KtVOWtV MATERIAL FACTS ANO DEFECTS eflecUng the Properly,including
known insurance ctaims within the past five years,and make any and aU other disclosures required by law.
B. 8uyar hes tha rigM to i�eCt!t►$Property and, �s sp�iifed in p�rapraph 148,baseti upon iniurmatlon di�cova�ed i�thoee i��,18�tians: (i)
cancel ihis Rpreemenfi or(G)request ihat Se�r make RepaUs or take other action.
C. Buyer Is strongly advtsad to conduct Invastigations of the entlre Property in order to determi�Ns present oandlNon.Selisr may not be
aware of all defecls affecttng the Property or otfier factors that Buyer consi�rs fmportant.Property improvemenis mey not be built
eccording to code,i�compi(ance�nrtth current l.aw,or have had permils issued.
10.BUYEFMS INVESTIGA'flON OF PROPERTY AND MATTERS AFFECTIN(i PROPERi'Y:
A. BuyePs acceplance of Ihe corbfiion of,and any other marier afiecting the Property,is a comi�gency oi this Agreement as spedTied in thfs
paragrapfi and peragraph 148.Within ihe dme speciHed in paragraph 148{i),Buyer shali have the right,at Buysr's expense unless othetwise
agreerJ,to conduct inspeclfons,invesMigalions,iests,surveys and other studies{"Buyer Irnesdgalions'),indudirrg,but no[6mited to,the right lo:
p� i�pect tor lead�based paiM and other lead•based painl hazards; (li) inspect tor wood deslroytng pesls and organisms;{lii) raview the
registered seu olfender detabase;(hr}conflrm Me irisuraWliry of Buyer and ihe Properry;and(vj sattsfy 8uyer as to any tnatter specifled in the
ariached Buyers inspedion Advisory(G.A.R.Fortn BIA).Wilhout Seller's prior wtitten conseni,Buyer shali neilher make nor cause to be made:(I)
Irnrasive or destructive Buyer hwesdgadons;or(ily inspeclb�by any govemrtieniel huiiding or zoniny inspector or govemmer�t emptoyee,unless
requEred by law.
B. Seller shall make the Propeny avatlable fa ail Buyer invesiigatlons.Buyer shall(f)as specitied in paragraph 14B,camplele Buyer Investigalions
and,eilher remove Ihe contingency or cancel Ihis Agreement,and(it)give SeUer,at no cost,complete Copies o(ail Irnesliga8on reports obtained
by Buyer,which obligadon shag survive the terminallon ot lhis Agreement.
C. Seller shaN have water, gas, eteclriciry and all operabie pilot lights on for Buyer's investigations and through the date possession is made
available to Buyer.
D. Buyer Indemnity and Selier protecdon tor entry upon properly:Buysr shalL(I}keep the Property hee and ciear ot lier�s;(li)repeir ali damage
arising from Buyer Investigations;and pin fidemnf(y and hold SeBer harmisss from ali resulNng IlabiHry,deims,demands,damages and costs.
8uyer shail carty,or Buyer sha�require anyone actEng on Buyer's behalf to carry,polides of fiabitlty,workers'compensadon and other appficable
insurance,detendinp and protecting Seller iran liability tor arry injuries to persons or property occurring durinfl any Buyer Investiqatlons or work
done on the Property at Buyets dlrection prior to Ciose Qf Escrow.SeMer ts advised ihat certain protections may be atlorded SeHer by recordtng a
'Notice of Nonrespo�f�ty"(C.A.R.Farm NNR)for Buyer Investigetions and work done on the Property at Buyer's direclion.Buyers obllgatlor�s
u�der this paragraph shail survive ihe terminatbn of ihis RgreemenL
11.SELLER OISCLOSURES;ADDEPDA;ADVt30R1ES;OTHER TERINS:
A. Seller Dlsciosures(if eheckedf•Seiler shall within the flme sqecitied in paraaraph 14A com�lete and provide Buver with a:
�Seller Property Questionnake(C.A.R.Form SPQ) OH L�l 5upplemernat Contractuai end Siatutory Disclosure(C.A.R.Forrn SSD)
B. Addenda FI checked: �Addendum ft 1 (C.A.R.Form ADM)
Wood Destroying Pest Inspection and Allc�cation of Cost,Addernlum(C,A.R.Form WPA)
❑Purchase Agreement Addendum(G.A.R Form PAA) ❑SePtic Well and Property Monument Addendum(C.A.A.Form SWPI}
❑Short Sale Addandum(C.A.R.Form SSA) �Other
C. Advieoffes(If Checked)- �BuYer's Inspection Advi�(C A R Form BIA)
❑Probate Advisory(C.A.R.Form PAK) �Statewide Buyer and SeUer Advisory iG.A.R.Fomi SBSA)
❑Trust Advisory(C.A.R.Form TA} ❑HEO Adv(sory(C.A.R.Form REO)
D. Othsr Terms•
12.TITLE AND VESTINti:
A. wthin the time specified in paragraph 14,Buyer shall be provided a currenl preliminary title report,which shall include a search ot fhe Gene�al
Index,Seiler shalf within 7 Days ANer Acceptance,give Escnow Hofder a completed Statement of InformaGon.The preUminary repart is only an
offer by the dde insurer to issue a poqcy of tiUe insurance and may not contain every item affecting title.Buyer's review of the preltmfnary report
and ar�r other matters whlch may affect title are a con8ngency of this Agreement as specified in parag►aph 148.
B. Title is taken in its present condidon subject to all encumlxances, easements, covenants, condigans, resirictlons, righis and oiher matters,
whether of record or not,as ot the date of Acceptance exaept:(i)monetary liena af record unless Buyer is assuming those obNgeUons or taking
the Property subJect to those obligations;and(11)those matters which 5eller has agreed to remove in writing.
C. Wfthln the Ume specified in paragraph 14A,Seiler has a dury to�sclose to Buyer aii mariers known to SeNer aNectfng dtie,whether of record o�
not.
D. Al Ciose Of Escrow, Suyer shall receive a grant deed corneying title for, for stock coaperateve or long-term lease, an assignment of stock
certificale or of Se11en''s leasehold interest),induding oil,minerai arxi water rigMs it currenUy owned by SeUer.Title shall vest as designated in
8uyer's suppiemeniai escrow instructbns.THE MANNER OF TAKiNG TITLE MAY HAVE SIGNIFICANT LEGAL AND TAX CONSEQUENCES.
CONSULT AN APPROPRIATE PROFES510NAL
E. Buyer shall receive a CLTAlALTA Homeowner's PoAcy oi Title Insurance.A tide oomparry,at&ryer's request,can provide information about the
availabUity,desirabNity,coverage,and casi ot various dite insurance coverages and endorsements.IF Buyer desires titte coverage other than that
requked by this paregra�h,Buyer shaA instnict Escxow Holder in writing end pey any increese in coat.
Buyers Initials(�_){ ) Selber's Initials(JC )(�_ ) �
RPA-CA REVI8ED 4/13(PAGE 4 OF 8) ���bY Date �Y
CALIFOiiN1A RESIOENTIAL PURCMASE AOAEEN�NT(RPA-CA PAGE 4 OF 8) 43930 Siueberry
DRAFT
4393(3 92ueberry Ln
P�operty Address:PaZm_Desert, _Ca 92260___ Date:Febzuary 17, 2014
13.SALE OF BUYEFi'S PROPER7'Y:
A. This AgreemeM is N07 contingent upon the sale of arry properly awned by Buyer.
OR e. �(If checked)�The aflached eddendum(C.A.Fi.Fwm GAP)repa�dtng the contingency far[he sale ot property owned by Buyer is incorporated
into ihis Agreement.
14.T1ME PERtODS; REMOVAL OF CONTINCiENC1ES;CANCELLATIQN RIf3HTS:Tha toilowing time periods may onl�r be extended,altered,
modHied or chanyed by mutual written agreement.A�r removal ot condngencies or cenceUatton under lhis parag►aph by eithet Buyer or
SeNer must be axerdsed in good taitb and in writin�(C.A.R.Form CR or CC).
A. SELLER HAS:7(or� 15 )Daya Atter Acce�ance to Deliver to Buyer ail Reporls,�sclosures and inlormaUon for which Seller is
responsible under paragraphs d,6A,B and C,7A,9A, 17 A and 8,and 12A.Buyer may giva Seller a Noiice ko Seller to Perform(C.A.R. Form
NSP)if SeNer has not Delivered Ihe iiems wiihin the dme specified.
B. (1j BUYER HAS:17(ar❑ )Days Alter Acceptance,uniess athervvise agreed in writing,to:
(i) complaie alt Buyer IrwesGyations;approve all disclosures,reports and ather appikx�hie irilosmallon,which @uyer receives trom SeHer;a�d
approve ail maders affecting the Property;and
(II) Dellver to Seiler Signed Coples of Statutory and Lead Dlsdosures Deiivered by SeUer in axordence wlth perepreph 6A.
(2) IMthin the time speci6ed fn 148(1),Buyer may�equest Ihat Seqer make repalrs or lake any other actfon regarding the Proparty(C.A.R.Form
RR).Seller has no obligatlon to agree lo or respond to Buyer's requesis.
(3) By the end of the time specilied fn 148(i) (or as othervvise specitied in ihis Agreement), Buyer shall, Deliver to Seiler a removal oi the
applicabla contingency a cancella6on(C.A.R.Form CR or CC)of this Agreement.However,if any repat,disciosure or Inbrmatlon for which
Seller is responsibie is not DeBvered within Ihe dme specitied in 14A,then Buyer has 5(or❑ )Days Aflar Dellvery o(any such
items,or Ihe time specitMecl in 14B(1),whichever is laler,to De�iver to Seller a removaE oi fhe appl�able contingency a canceliation ot this
Agreement.
(4) ConUnuatlan of CoMing�cy:Even aiter ihe end o(the time specified in 14B{1�and before Seqer canceis,if al all,pursuant l0 14C,Buyer
retains the rqht to either{q in writing remove remafning conUngendes,or(�i)cancel ihis Agreement based on a remaining contlngency.Once
Buyer's w�itten rerroval of all coniingencles is Delivered to Seller,Seller may not cancel this Agreement pursuant to 14C(t).
C. SELLER RIGHT TO CANCEL:
(i) Selier Nght to Canc�l;Buyer Continge�des:ll,by the time specified in IFds Agresment,Buyer does not Deliver to Seller a remova!of the
appllcable contingency or car�eliatbn of Ihis Agreement then Se�er,after 6rst Dellvering to Buyar a Not�e to Buyer lo Peiiortn(C.A.R.Fam
IVBP)may cancel 1Ns Agreement.In such event,Seller shell authorize relum ot Buyets deposit.
(2) S�ler right to Cancel;Buyer Contract Obligatlons:Seller,after 11rst Del[vering to Buyer a NBP may canc�this Agreement for any ot the
foHowing reasons:(tj if Buyer taf�to deposil iunc�as requfred by 3A or 3B;{ii)it the iuixls de�sited pursuant to 3A nr 38 are noi good when
deposited;(Iii)ti Buyer tails to Oeiiver a not&�of FHA or VA cosis or tenns as requlred by 3C(3) (C.A.R.Form FVA};(hr)if Buyer tails to
Detiver a letter as raquired by 3H;{vj H Buyer fails to Dellver veri8catfo�as reguired by 3G or 3J;(+r�if Seller reasonabty disapproves of ihe
verflicaG�provided by 3G or 3J;�vtf)if Buyer lails to retum Statutory and Lead Disclosures es required by paragraph 6A(2);or(vlfl)tf Buyer
faiis to stgn or initial a separate liquidated damages form for an increesed deposit as required by paragraphs 38 and 25.in such event,Sener
shall authadze reEum ot Buyets deposN.
(3} Notice To Buyer To Perform:The P18P shall:(i)be in writlnq;(li)be signed by Seller;and(Iii)give Buyer at least 2{ot Q y Days
After Delivery(or untll the tlme specitled in the appticable paragraph,whichever occurs iast)to lake the applicable acNon.A NBP may not be
Delivered any earlier than 2 Qays Prfor to the eacpiraUUon of the�plicable tlme for Buyer to remove a cantingency or cancel this AQreement or
meet an obligation specified in 14C(2).
D. EFFECT OF BUYER'S REMOVAL OF CON7INGENCIES:!f Buyer removes,in writing,any contingency or cancellaUon ri�ts,unless otherwise
specified in a separate written agreement between Buyer and Seller, Buyer ahaN conciusively ba deemed ro have: (i)cott�pieted atl Buyer
tnvestigatians, arid revtew o!reports and other appllcable lntormation and disctosures pertaining to that Contingency cr cancellallon right;(If)
elected to proceed with the transaction;and(IfQ assumed ali IiabiNty,responsibifity and expense For Hepairs or correctlons pertaining to that
condngency or canceliatlon�ight,�tor inab(Aty to obtai�financi�g.
E. CLOSE OF ESCROW: 8efore Seiler ar Buyer may cancei ihis Agreement tor iailure of the ather party to close escrow pursuant to this
Agreement,Seller or Buyer must tirst Detiver to the other a demand to close escrow(C.A.R.Form DCE).
F. EFFECT OF CAMCELLATION ON DEPOSIT3:If Buyer or 5eiler gives wriflen noBce of canceilation pursuenl to rights duly exercised under the
tertns of this Agreement,Buyer and SeNer agree to Sign mutual instrucllons to cancel the sale and escrow and re�ase deposits,If any,to the
party entltled ta Ihe lunds, less fees and costs incurred by that party. Fees and costs may be payable to service providers and vendors for
senrices and products pravided duririg escrow. Release of tunds wilt►equire mutual Signed rel�se instruations trom Buyer and Seller,
]udtcial decision or arbitraUon eward.A 9uyer or Se11er may be sub�ect to a clvU pet�alry of up to a1,000 for retusal to algn such
Instrucdons ff no good falth dispule exists�to who is enNtled to the depoaited tunds(Cfvfi Code g1057.3).
15.REPAifi8:Repairs shali be wmpieled prior to tinat veri8cation of conditlon unless othervvise agreed in wriMng.R�atrs to be performed at Seliet's
expense may be perfortned by Seller or throu� olhers, provided that lhe work compiies with applicable Law, including govemmental permit,
inspectio�and approval requfremenGs.Repeirs shali be{�rfom�ed in a good,skiilfui manner with materials ot quality and appearance compareble to
existing materials.It is understood that e�cact restoradon of appearance or cosmetic items foltowing aN Repairs may r�t be possihle.Seller sha1L•(i)
obtain receipts for Repairs periormed by others;(if)prepare a written statement indicaling the Repairs performed 6y Selier and the date of such
Repairs;and(Ni)provide Copies of receipts and statements to Buye►prior to tinal veriikalion of condiUon.
16.FINAL VERiFICATtON OF CQNCI7'ION:Buyer shali have Ihe right to make a final inspectlon of the Property within 5(or )Days Prior
to Close Of Escrow,NOT AS A C(?NTIIdGENCY OF THE SALE,bul solely to conHrm:(i}the Property ia matntained pursuant to paragraph 9;(il)
Repairs have been completed as agreed;and(lif)Seller has complied with Seiler's other obligstlons urider this Agreement(C.A.R.Forrn VP).
17.PRORA710NS OF PROPERTY TAXES AND OTFIER ITEMS:Unless otherwise agreed in writing,the foliowireg items shaw be PAIO CURRENT and
praated between Buyer and Selter as of Cbse Ot Escrow:reaf pmperty taxes and assessments,interest,rents,HOA regular,special,and emergency
dues and assessments imposed prior to Cbse Of Escrow, premfums on insurance assumed by Buyer,payments on bonds and assessments
assumed by Buyer,and payments on Mello-Roos and other SpeciaE Assessment District bonds and assessments that ere now a fien.The following
items shali be assumed by 8uyer WITHOUT CREDIT toward the purchase{xice:prorated payments on Melio-Roos and other Special Assessment
District bonds and assessments and HOA specia]assessmertts that are now a Nen but not yet due. Properly vrill be reassessed upon change of
ownership.My supplementat tax bills shal!6e�id as follows:(�for periods after qose Of Escrow,by Buyer;and(N)fw periods prior to Ctose 01
Escrow,by Selier(see C.A.R.Form SPT or SBSA for turther fMormation).TAX BIILS tSSUED AFTER CLOSE OF ESCROW SHALL BE HANDLED
DIRECTLY BETWEEN 9UYER AND SELLER.Proratlons shall be made based on a 30-day mo�ih.
Buyer's IniUals(�_)( ) Selier's Inidals(�_)(�} �
RPA-CA REVISED 4/13(PAOE 5 OF$) Re�e�ed bI' Date �T�
CAUFORNiA RESIDENTIAL PURCHASE AGREEMENT(RRA-CA PAtiE 5 OF 8) 43930 Slueberty
DRAFT
4393U 8luebezry La
Property Address:Fa1m Desert Ce 92260 . Date:Februazy 2 7, 2019
18.SELECTION OF SERVICE PROVHiERS: Brokers do not guaraniee the performe�nce of any vendors,service or product providers{"Providers"),
whelher refemed by Broker or selected by Buyer,Seller or other person.Buyer and Salier may selact ANY Prov(ders of their own choosing.
19.MUtI'IPLE LIS71N4 SERVICE("MLS'7:Brokers are authorized to report to the MLS a pending sale and,upon Close Ot Escrow,ihe sales price and
other terms oi this transaction shali be provided to the MLS ro be published and disseminated lo pe►sons and eniiUes authaized W use the
inlortnation on tarms approved by 1he MLS.
20.EQUAL HOUSING OPPORTUNITIf:The Property is sold in compliance with federal,state and local antl-discriminalbn Laws.
21.ATTORNEY FEES:in any action,praceedl�,or arbitwtian between Buyer and Sei(er arising out ot this Agreement,the ptevafting 8uyer or Seller
shalt be entitled to reasonable attomey fees and cosis trom the non-prevailing Buyer or Selier,except as pravlded in paragraph 26A.
22.DEFlNlTION3:As used'm this Agreemertt:
A. "Accepta�ce"means the Gme ihe oHer or tina!counter oNer is accepted in wi�Nng by a party and is delivered to and personaliy received by fhe
other perly or that party's authcuiz�d agent in�cordance wiih the tem�s oi�t�s atfer or a linal counter offer.
B. "Cr4.R.Fwm"means►he speciNc iorm referenced or another camparabie form agreed to by the parties.
C. "Cbae Ot Escrow"means the date the grant deed,or other evidence oF trensfer of lille,Is recorded.
D. "Copy"means copy by any means inciuding photocopy,tdCfl,facsimile and electronic.
E. "Dsys"means calendar days.However,alter Acceptance,the last Day(or�rformance oi any act required by this Agreement(induding Ciose O(
Escrow)shall rmt fnclude any Selurday,Sunday,or fegat hofiday ar�d shatl instead be the next Oay.
F. "Days ABer"means the speeified nur�er af calendar days aiter the occurrence of the event specifled,not courrting the calendar date on which
the specified evenf occurs,and ending at 11:59PM on Ihe tinal day.
d. "Days Prlor"means ihe specltied number oi calendar days before the occumerice of the event specitied,not couniing ihe calendar date on which
the spedfied event is scheduled fo occur.
H. "Dallver","Dellvered"or"Oeltvery",means and shal(be etfec8ve upon(f)personal recefpt by 8uyer or Seller or the ir�vidual Reai Estate
Ucensee tor that piinc�al as specNied in paragraph D ot lhe sectiorr tiUed Reai Estate Brokers on page 8,regardless ot lhe method used(f.e.
messenger,mait,email,fax,olher};OR(iq ii checked,�per lhe attached eddenc�m(C.A.R.Form RDI�.
I. "Ebetranic Copy"or"Elactrortic Signeture"means,as applicable,an etedronic copy or signalure cromplyinp with Caliiomia Law.Buyer and
SeNer agree that elecironic means witi not be used by eflher party lo modily or atter the content or iniegrity of this Agreement without the
knowiedge and Consent o(the oiher.
J. "Lear"meens any law,code,statute,orciinance,regu�aUon,rule or order,which is adopted by a controlltr�g city,county,slate or tederallegislaifve,
judicial or execuNve bady w agency.
K. "Repat►s"means any re�airs(lrtchx�ng pesi controi),alieratlons,replacements,modiHcations or retrofining ot the Property provided tor under this
Agreemen4
L. "Signed"ma�s either a handwritten or electronic signature on an original dacument,Copy or any counterpart.
23.BROKER COMPENSATION: SeUer or Buyer, or both, as applicable, agrees W pay compensation to Brokar as specilied in a separale writien
agreeme�t beriroeen Broker and that Seller or Buyer.Compensation is payable upon Close Of Escrow,or if escrow does not ciose,as othervvise
specf8ed in the agreement between 8roker and that SeOer o�8uyer.
24.JOIN'f ESCROW IN8TRUCTIdNS TO ESCROW HOLDER:
A. The tdlowing peragraphs,or applicable portions ihareoi,oi this Agreement constltute the Jotnl aacrow fnstrucNons ot Buyer and Seller
to Escrow Holder,which Escrow Holder is to use along with ar�y related counter offers and eddenda,and any addiNonal mulua!fnstructions to
close the escrow:1,3,4,6C,11 B and D,12,13B,14F,17,22,23,24,28,90 ar�paregraph D of the section lided Reai Estate Brokers on page
8.It a Copy of the separate compensation agreement(s)provided for in paragraph 23,or paragraph D of the secNon tltled Real Estate Brokers on
page 8 is deposiied with Escrow Holder by Broker,Escrow Holder shall accept such agreemenf(sy and pay out trom Buyer's or Seller's funds,or
boih,as applicabte,!he 8roker's compertsatlon provided fcu in such agreement(s).The terms and condiitons oi fhis Agreemsnt not set forth in the
speci8ed paragraphs are addidonal matters tor the informatton ot Escrow Holder,but about which Escrow Holder need not�concemed.Buyer
and Selier will receive Escrow Holder's�nerai provisions�rectly from Esexow Hofder and wiii execute such provisions upon Escrow Hober's
request.To the exient the general provisions are inconsistent or conflict with this Agreement,the ganeral provisions wfll controi as to the duties
and obligaUons of Escrow Holder only.Buyer and Selier will execute addiUonal Instnictlons,documents and forrns provtded by Escrow Holder that
are reasonably necessary to close!he escrow.
B. A Copy of this Agreement shatl be deNvered to Escrow Holder within 3 business days after Acceptance(or ❑
).Escrow Holder shall provide Sellers Statement of
Inlormatfon to TiUe company when received lrom Seller.Buyer and Seller authorize Escrow}iolder!o acce�and rely on Copies and Signatures
as defined in this Agreement as originals,to open escroar and tor other purposes oi escrow.'I'he validity of this Agreemenf as belween Buyar and
SeHer is not aH�ted by whether ar when Escrow Holder Signs tt�s Agreement.
C. &okers are a party to ihe escrow for the sole purpose of compensation pursuant to para�aph 23 and paragraph 0 of the secdon�tled Real
Estate Btokers on page 8.Buyer and Seller trtevacabiy assign to Brotcers compensailon speciiied in paragraph 23,respecdvely,and irrevocably
instruct Escrow Holder to dis6urse those funds to Brokers at Cbse Of Escrow or pursuant to any other muluaily executed canceNation agreement.
Compensalion instrucdons can be amended or revoked oniy with the written conser�t of Brokers.Buyer and Seller shall release and fioid harmiess
Escrow Ho�er from any bability rasulti�g from Escrow Hoiders payment to Broker(s)of corttpensaqon pursuani io this Agreement.Escrow Hotder
shatl immediately notify Brokers:{i)if Buyers initfal or any addifional deposit is not made pursuant to this Agreement,or is not good at time af
deposit wiM Escrow Holder,or(in it Buyer and SeNer instnxt Escrow Hoider to canc�escrow.
D. A Copy of any arttendment ihat affecis any paragraph of this Agreement to►which Escrow Hotder is responsible shall be delivered to Escrow
Hoider witt�n 2 business days after mutual executton of the amerxlment.
euyer's Initials(�)( ) SeNer's Irbtiads(j�,_)(3: 1 �
�
..■.
RPA-CA REVISED 4/13(PAQE 6 OF 8) ���bY Date ��
CAL{FORNIA IiESIDENT1Al PURCHASE AtiREEMENT(RPA-CA PAOE 6 OF 8j 43930 Blueberry
DRAFT
a3930 Bluebdrsy Ln
Property Address:Pa.lm_Besert� Ca 92250 _____ _ ___�_ Date:Febsusry IT, 2014
25.LIQUIDATED DANU4GES: If Suyer fails to comptete this purcfiase becsuse of Buyer's detault, SeQer shall retain, as
IiquWeted damages,the deposit actualiy patd.lf the Propertq is a dwelling wtth r�o more than faur units,or�e ot which Buyer
intends ta accupy,then tha$mouat retait�d shall be no more than 39b of the purchase price.Any sxcess shall be retumed
io Buyer.Release ot iunds wili require mutuai,Slg�d raleaas instructions from bath Buyer and Selier,judicial cbclsion or
arbitration award. AT TiME OF THE iNCREASED DEPOSIT SUYER AND SELLER SNALL SICiN A SEPARATE UDUIDATED
DAMAGIE5 PR�VIStON FOR ANY INCREASED DEPOSIT{C.A.R.FORM RID).
Bu a Inkia4s /_____ ��SelleYs Initlais /
26.DISPUTE RESOLUTION: _...._.Y�..._�..,__._.�.._ . _. _.
A. MEDIATION:Buyer and Selier agres to mediate arry disputa or ctaim arising between them out of this AgreemenL or any resulting Wansact(on,
lsefore resortiny w arbfirallon or cQurt activn,Suyer and Seller also agree to mediate any dlsputes or claima with Brokar(s),who,!n wrltinp:
agree to such medtadon prlor to,or withi�a r�sonsbte time after,Me�spute or cielm is prasenteEl io the 8►oker.Mediadon fees,it any,
she0 be divided equaAy amwig the parties Invdved.ll,iw any dlspula or deim ta which this peragraph appAes,any pa�ryry p)commences an acNon
withou!tfrst attemplinQ to resolve tTw matter through madialion,or(Iq before canmen�m�t oi an action,reiuses fo medlate after a requesl has
been made,then thai perly shall not be entilled to recover ettomey tees,even if ihey woukl otherwise be availabte to thai party in any such acUon.
THIS MEDIATION PROVISION APPLIES WHETHER OR NOT THE ARBITRATION PROVISION IS INiTIALED.Excluslona from this medialfon
agreement are sryeciNed In paragraph 26C.
B. ARBITRATION OF DlSPUTES:
Buyer and Seikr agree ihat any dispute a�cleim in Law or equfty arising betw�n them out of this AgreemeM or any
resufting transaction,wbich is not settled ihrough mediat[�,shaU be decfded by neutral,Wnding arbitratbn.8uyer and
3elier etso agree to arbBratie any disputes or cia4ms w[th Broker(a},who,in wriifog,agree to such arbitration prior to,or
wkhin a reasanabte tirt�after,the dispute or cleim ts preser�ted to the Broker.The arbitrator shall be a retired judge or
jusUce,or an attorney wftM at least 8 years of rosidentfal real estate Law experience,unless the partias mutuaily agree to
a dif(ereM arbitrator.The pariies shall have the rigMt to discovery in accordance with Code of Civil Pra�dure§7283.05.
In atl other respects, the arbilretion shall be cor�ucted in accordar�e with Tiile 8 of Part 3 of the Cade of Chri!
Procedure.Jud�neM upon ihe award of the arbitrata(s)may be entered into any court hav(ng ju�isdictio�.Enforcement
of tbis agreemeM to arbitrate shalt be govemed by the Federe! Arbitration Act. Excluslons from thfs arbitratlon
agreement aro specHied fn peragraph 26C.
"NOTICE:BY iNRIALiNG IN"fFfE SPACE BElOW YOU ARE AGREEINti TO HAVE ANY QiSPUTE ARtSiNCi OUT
OF THE MATTERS INCL1lDED IN THE'ARBITRATION OF DISPUTES'PROViSiON DfqDED BY NEUTRAL ARBRRATI�N
AS PROVIDED BY GALIFORNIA LAW AND YOU ARE GMNG UP ANY RIGHTS YOU NNGHT POSSESS TO HAVE THE
DiSPUTE LtTIGATED{N A COUAT OR JURY TRIAt. BY tNITiAUNG IN THE SPACE BEi.OW YOU ARE GIVING UP YOUR
JUDICIAL RICiHTS TO DISCOVERY AND APPEAL, UNLESS THOSE RIGHT3 ARE SPECIFlCALLY INCLUDED #N THE
'ARBITRATION OF DISPIFfES' PHOVIStON. IF YOU R£FilSE TO SUBIUNT TO ARBITRATICIN AFTER AGREEINCi TO THiS
PROVISION,YOU MAY BE COMPELLED TC>ARBITRATE UNOER THE AUi'HORITY OF THE CAUWRNIA CODE OF CIVIL
PROCEDURf.YOUR At�REEMENT TO THIS ARBI7RA7(ON PROVISION IS VOLUNTARY."
"WE HAVE READ AND 1.1NDERSTAND THE Ft�REC3AING ANQ AGREE TO SUBNqT OISPUTES ARISINCi OUT
OF THE AAATTERS INCLUDED IN THE'ARBITRATION OF DISPUTES'PROVISION TO NEU?'RAL ARBITRA'fION."
B ar'a IMtials ! Seller's toidals !
C. ADDITIONAL MEDIATtON AND ARBITRATION TERMS:
(1) EXCLUSIONS:The fo8owing matters are exaluded from medtation and arbitration:{I)a judfcial or rron•Judicial toreciosure or other
actbn or proceeding to en}orce a deed of trus�mortgage or inslallment tand saN a�ntract as deflnad in CIvN Code 32985; (if)an
unlawtui dstalner acUon;pil)the filirtg or enbre�meni of a rnachanic's Ilin; arnd(Iv) any mattir that Is wfthin the jurlsdictlon ot a
probate,amaN cFafms�bankruptcy court The flling of a court action ta eneble tfie re�rding of a�oti�e ot pending actbn,for order of
atteahment,receivership, InjuncHon,w other provisfonal remadlea,shail not consdtute a wahrer nor violatlon ot the mediation and
arbRraHon ptovtslons.
(2) BROKERS:Broicers ahall not be obUgated nor compeikd!o medtate or arbitrate unless they agree to do so in writing.Any Broker{s)
part�lpadng tn madistlon a arbttratlon shall not be desmed a pmry to the Agres�nt.
27.TERMS AND CONDITIQNS OF OFPER:
This is an offer to purchase the Property on the above lerms and canditinns. The ilquidated damages paregraph ar the arbitration of disputes
paragraph is irx�rporated in this AgreemeM it inilialed by all paAies or if incorparated by mutual agreement in a coai�offer or addendum.if at least
one but not all parties iMtial,a caunter offer is required until agreement is reached.Seller has the right to conHnue�offer the Property tor sale and to
accept arry other oifer at any dme prior to notittcatton oE Acceptance.Buyer fias read and acicnowledges receipt of a Copy oi the affer and agrees to
the above confirtnation af�ency relationsNps.lf tfiis oKer Is accepted and Buyer subsequently detaults,Buyer may be responeible for paymeni of
Brokers compensatlon. Ttds Agreement and any supplemeni, addendum or mndificadon, induding any Copy, may be Signed in iwo or more
counterparts,ali of which shall canstitute one end the same writing.
28.7MAE OF ESSENCE;EN'11RE CONTRACT;CHANGIES:Time is of the essence. All understandings between the partfes are incorporated in ihis
Agreemenl.its tertns are intended by the pardes as a flnal.Compieie and exclusive expressbn of their Agreement with nespect to its s�ject matter,
and may�ot be car�tradicted�evkience of any pdor agreement or contemporaneous orai agreemenL If a�y provis�on of this Agreement is heid to be
InettecUve ar invaNd,tlte remaining provisions wiN nevertheless be gfven fuU force and effecl.Except as otherw�e specified,tMs Agreement shaA be
interpreted arai disputes shali 6e resolved in accordance with ihe Iaws of Ute State ot Calitomia.Neither this AgreameM nor any ptovlsia�in it
may be extended,amended,mod#8ed,altered or cNanged,e�pt 1n writing 51g�d by Buyer and Selier.
8uyer's I�fials(�,.,,.,_)( ) SeNer's Inidals(X_)(�_? �
RPA-CA REVISED A/13(PAGE T OF 8j Revlawed by Ua1e ���
CAUFOFtPNA RESIDENTIAL PURCNASE AGREEEIIAAENT'(RPA-CA PAGE 7 OF 8j 43930 Btucbcrry
DRAFT
a3g�a s.tuet�r�• r�n
Property Address:Pa3m Desert� Ca _92260_._ __.__.. ___....______,.___.___..___ __...___� �a#e:Februsry 17,� 2014
29.EXPIRATiON OF OFFER:This oHer shall be deemed revoked and the deposit shall txa relumed unless the offe�is Sigried by SeNer and a Copy of the
Signed oNer is personally received by Buyer,or by __.._._�.�.____.. ,who is
--_..___...._._.____...__.�__...._..._
authorized to receive it, by 5:00 PM on the third Day aiter tF�s o�H AM f�s��sign�e�d by Buyer (ar, if checked,`Q�;
Date �--___.________--.�_______ __._ _ _.__._.___.._._ Date _�..___---_.____._.
BUYER X BUYER ____.
,g_�iAlified buyer af Zor@r or rmc�,xate income
_ _____
{PNnt name) (Print name)
(Address)
30.ACCEPTANCE OF OPFER:Seller wartants thet Selier is the owner of the Property,w has the eutharity ro execule this Agreement.Seller accepts the
above otiet,aprees lo sell the PropaAy on the above terms and cor�idons,and agrees to the above conHrmallon ot agency rela�anships.Seller has
read and acknowledges receipt of a Copy of this A�eement,and auttarizes Broker!o Deliver a Slgned Copy to Buyer.
❑(If checked)SUBJECT TO A7TACl1ED COUNTER OFFER(C.A.R.Form CO)DATED:
Date Date
SELIER X SELLER K
�� I�sert Houaina Aathoritv
(PNnt rreme) (Print name)
�3-510 Fred Waring Drive, Pa1m Aesert. GA 92260
(Addreas)
< < ? CONFlRMATION OF ACCEPTANCE:A Gopy of Signed Acceptance was personalty received by Buyar or Buyers aulhorized
(Inidals) agent on(dale) at ❑AM ❑PM.A binding Agreemarrt is created rW�an
a Copy of Signed llacepta�e is personaNy recelved by Buper or Buyer's authorized egem whether or not conflrmed In
thls docurt�m.Completlon of this canflnnatlon k not legaily requfrod in order to create a biading Agreemant;k is solely
inbended to evfder�the data that Conflrmation of Acce tance has oaaurced.
REAI ESTATE BROKER3:
A. Reai Estate Brolcers are not p�Ues to the Agreemer�t between Buyer and 5eller.
B. Agency ralsUonships are confirtned as stated in paragraph 2.
C. 11 specilied in paragraph 3A.Agen1 who submitted ihe otter tor Buyer adcnowledges receipl 01 deposit.
D. COOPERATINO BROKER CObIPENSATION:Usting Broker agrees to pay Cooperating Broker(Selling Hrm)and Cooperating Broker agrees to
accept,oul of Listing Btoker's proceeds in escrow:{I)the amount speafied in the MLS,provided Coaperadng Braker is a Participant o!the MLS in
which ihe Properiy is offered for sale or a reaprocat MLS;or(11)�(if chedced)the amount specified in a separate written agraemeni(C.A.R.Form
CBC)between Listing Broker and Cooperating Broker.Declaratlon of Ucense and Tax(C.A.R.Porm OLT)may be used to document that tax repaning
will be required or that an exemptlon exists.
Real Esfate Broker(Seping Firm) C2�itnry 2I Osborne R�aZtr DRE Ua N 013122,�,5
By .Taha ost�orne DRE lic.#Q�eS27�5 Date
Address 11 orantdis Ct City Falm Diesert State CA Zip 92260
Telephone j760)567-2907 Fax f760/922-4387 E-ma[� iohri=�,h�rne@centurs�2i.acm
Real Estate&oker(tJsting Flrtn) Centuzv Z� Daborae Rea2tv DRE Llc.#01312235
By Joha Oaba.rne DRE Llc.#008527'75 Date
Address 02 g�qpidia Ct City Pa1m Diesert Siate Ca Zip 92260
Telephone j760)567-2407 Fax l760]922-4389 E-mail john.osboraeBcea teirv2i.ca�
ESCROW HOLDER ACKNOWLEOGIiAEN7:
Escrow Holder ecknowiedges receipt of a Copy of ihis Agreemeni,(If checked,Q a deposit in the amount o!$ ).
counter otter number ❑Selier's Statement of Infottnation and
,and agrees to act as Escxow Hoider subject to paragraph 24 of this Agreement,any
suppiemental escrow instructions and the terms of Escrow Holder's general provisions.
Escrow Holder is advised that the date of Confirmallon of Acceptance of the Agreement as betwesn Buyer and Seller is
Escrow Hoider Escrow!!
By Date
Address
Phone/Fax/E-mail
Escrow Hdder is licensed by the Califomia Department of CorporaGons, insurarrce,❑Real Estate. Ucense#
PRE3ENTATION Of OFFfR:( }Listing&oker presented thls oHer to Seller on (date).
Brdcer or Des tnitlale
REJECTION OF OFFEA:( )( )No cauMer offer is being made.This otter was reJected by Seller on (date).
SeNers Inivals
O 2013.CaNaNfl Assoeletlan ol REALTOR9�,Ir�.Udted States a{yAgM law�Tl�e t7 U.&Cada�Iwblds Cie uneutlwAxad disM6udon.d1aP�eY and rqiroduelbn W tlds imm,a eny ponbn tMroof.DY
Ph�PY medtlne a any othet maare.Btdudnp fecsltNlB ar CpnpWarlxed Ipmats
THIS�RM HAS BEEN APPHOVED 8Y TME CALtPORN1A ASSOCIA710N OF REALTOFlS6(C.AR.�.NO REPRESENTATION 13 MADE AS TO iHE LEtiAI VAUOfTY OR ACCURACY OF ANY
PRQVISION!N ANY SPEqFlC TRAMSACTfON.A REAL ESTATE BROKER IS THE PERSON al1ALIF�EO TO AOVISE ON REAI ESTATE tAANSACTIONS.IF YOU DESIRE LEGAI OR TA%ADVECE,
CON3ULT AN APPROPRIATE PROFESSIONAL
� PubC�shed end OI�rbWad by:
� REJLL ESTATE BUSINESS SERYICES,iNC. R��,�y� J �
� a�arydlheCALlFORNlAASSOCiATIONQFRfALTDRS�
' 525 Soutl1 Vi�l Ave�e,Los AngeMes,Ce�fomifl 90�U Broker a Desi9� Date �x�
REYISION DATE 4l13 �ALIFORMIA RESIDEM'iAL PURCHASE ACiREEA�NT(RPA-CA PAGE 8 OF 8) 43930 Blueberry
DRAFT
CALIFORNtA
` ASSOCIATION BUYER'S INSPECTION ADVISORY
� OF AEn LTO RS� (C.AR.Farm B!A-A,fla+rised 10/02)
Praperty Address: 4393o Blnetyerz�'. r.n�_palm r�esertl ca 92260 _� ("Property"�.
A. IMP�RTANCE OF PROPERTY iNVESTIGATIqN: The physical condition of the land ar►d improvements being purchased is not
guaranteed by either Seller or Brokers.For this�eason,you should conduct thorough investigations of the Property personatly and with
professionals who should provide written reports of their investigatior�s.A general physical inspecNon typicaily does not cover all aspects
of the Property nor items aftecting the PropeRy that are noi physically located on the Property. If ihe professionals recommend further
investlgations,including a recommendadon by a pest control operator to inspect inaccessible areas of ihe Properly,you shouid contact
quaH(ied experts to concluct such additional investigstlons.
B.BUYER RIGHTS AND DUTIES:You have an affirmative dury to exercise reasonable care to protect yourself,including discovery of
the legal,practicai and technical implications of disclosed facts,and the invesC�gation and verification of information and facts that you
know or thai are within your diligent attention and observation.The purchase agreement gives you the right to investigate ihe Property.if
you exercise this right,and you shouid,you must do so in accorclance writh the terms of that agreement.This is the�st way!or you to
protect you�self. It is extremeiy important for you to read all written reports provided by professionals and to discuss the results o(
inspections wilh tha proEessional who conducted the inspection.You have tha right to request that SeNer make repairs,corrections or
take other action based upon items discovered in your irwestigations or disclosed by Seiler.if Seller is unwilling or unable to satisfy your
requests, or you do not want to purchase the Properiy in its disctosed and discavered condition, you have the right to cancef the
agreement if you act within specffic time periods. If you do not cancel the agreement in a timety and proper manner, you may be in
breach of contract.
C. 5ELLER RIGHTS AND DllTIES: Selter is required to discbse to you material facts known to himlher ihat affect the value or
desirability of the Properiy.However,Seller may not be aware of some Property defects or conditions.Seiler tbes not have an obligation
to inspect the Properry for your benefit nor is Seller obiigated to repair,correat or otherwise eure known defects that are disclosed to yau
or previously unknown def�ts that are discovered by you or yaur inspectors during escrow_The purchase agreement obligates Selier to
make the Property available io you for investigations.
D. BROKER t?BLIt3ATIQNS:Brokers do not have expertise in sil areas and therefare cannot advise you on many items,such as soil
stability,geologic or environmental conditions,hazardous or illegal controlled substances,sVuctural conditions of the foundation or other
improvements,a the condition of the roof,plumbing,heating,air canditioning,electrical,sewer,septic,waste disposal,or other system.
The only way to accurately determine the condition of the Property is through an inspection by an appropriate prafessionai sel�ted by
you.If Broker gives you reterrals to such profsssionals,Broker does not guarantee their performance.You may select any professlonal
of your choosing. In sales involving residentlal dweHings with no more than four units, Brokers have a duty to make a diligent visual
inspection of the accessible areas of the Property and to disciose the results of ihat inspection. However,as some Property defects or
cond(tfons may not be discoverable from a visuai fnspection, it is possible Brokers are not aware of them. if you have enterad into a
written agreement with a Broker,the specific terms of that agreement wilt determine the nature and extent of that Broker's dury to you.
YOU ARE STRONGLY ADVISED TO INVESTIGATE THE COND1710N AND SUITABILITY OF ALL ASPECTS OF THE PROPERTY.IF
YOU DO NOT DO SO,YOU ARE ACTING AGAINST THE ADVICE OF BROKERS.
E.YOU ARE ADVISED T�CONDUCT INVESI'IGATIONS OF THE ENTIRE PRQPERTY, INCLUDING, B11T NOT UIIINTED TO THE
FOLLOWING:
i.GENERAL C4NDITION OF THE PROPERTY, RS SYSTEMS AND COMPONENTS: Foundation, roof, plumbing, heating, air
conditioning, elecirical, mechanical, security, pool/spa, other structural and non-structural systems and componer�ts, fixtures,
built-in appliances,any personai property included in the sale,and energy efficiency of the Property.(Structurai englneers are best
suited to determine possible design or construction defects,and whether imprwements are structurally sour�d.j
2. SOUARE FOOTAGE,AGE,BOUNDARIES:Square footage,room dimensions,lot size,age of impravements and boundaries.Any
numerical statements regarding these items are APPROXIMATIONS ONLY and have not been verified by Selier and cannot be
verified by&okers.Fences,hedges,wakis,retaining walls and other natural or canstructed baRiers or markers do not necessarily
identify true Property boundaries. (Professionals such as appraisers, architects, surveyors and civil e�ineers are best suited to
determine square footage,dirnensions and houndaries of the Property.)
3. W�D DESTROYING PESTS:Presence of,or conditions tikely to lead to the presence of woai destroying pests and organisms
and other infestation or infection.Inspection reports covering lhese items can be separated into iwo sections:Sectian 1 identifies
areas where infestation or i�ecNon is evident.Section 2 identifies areas where there are conditions likely ta lead to infestation or
infecUon.A registered shuctural pest control company is best sutted to perform these inspeciions.
4. SOfL STABILITY:Existence of fill or compacted soii,expansive or contracting soil,susceptibiliry to slippage,settling or movement,
and the adequacy of drainage.(Geotechnical engineers are best suited!o determine such conditions,causes and remedies.j
The copyrig?�t {aws of tfie UMted States (1"dle 17 U.S. Code) forbid the
unautlionzed reproducUon of this form,or any portion thereof,by photocopy Buyer's IniGals(�_)( )
machine or any other means,InGuding facsimile or computerized formats. Seilsrs IniUals(g_)(�_) �
Copyright�1991-2004, CAIIFORNIA AS50CIATION OF REALTORS�,
IPIC.ALL RIGH7S RESERVED. Reviemred by Date �T�
BiA-A REVISED 10102{PAGE 1 OF 2)
BUYER'S INSPECTION AQVISORY BIA-A PAGE 1 OF 2
Agent: John Osborne PFwne:(780)821-2121 Fex:(760)922-4387 Prepared using zlpForrr�software
Broker.CENTURY 21 Os6ome Rea 47 O uidFa Ct Palm Desert,CA 92260
DRAFT
Properiy Address: as93a sinatxer�,� pazm tra�asc,_ca__sz26o Date:,retsrcuzv ia 20�
5. R+DQF:Present condition,age,leaks,and remaining usefui life.(Roofing contractors are best surted ta determine these conditions.)
6. POOUSPA:Cracks,teaks or operallonal problems.(Pooi contractors are best sutted to determine these conditions.}
7. WASTE DISPOSAL:Type, size, �equacy, capaaty and condition oi sewer and septic systems a�xi components,connection to
sewer,and applicable fees.
8. WATER AND UTILITES; WELL SYSTEMS AND COMPONENTS: Water and utility availability, use restrictions and costs. Water
quafity,adequacy,condition,and periormanae of welf systems and components.
9. ENVIRONMENTAL HAZARDS:Potential environmental hazards,inciuding,but not limited to,asbestos,lead-based paint and ather
lead contamination,rado�,methane,other gases,fuel oi1 or chemical srorage tanks,contaminated soil or water,hazardous waste,
waste disposal sites, eleciromagnetic fieids, nuclear sources, and other substances, materials, praducts, or canditions (including
mold (airbome, toxic or othervvise), fungus or similar contaminants). (For more intormation on these items, you may consuit an
appropriate professional or read the booklets"Environmental Hazards:A Guide tor Homeowners,Buyers,Landiords and Tenants,"
"Qroteci Your FamHy From Lead in Your Home"ar both.j
10.EAR711�UAKES AND FL.00DING: SusceptibNity of the Property to earthquake/seismlc hazards and propensity of ihe Property to
tlood.(A Geologist or Geofechnicai Engineer is best suited to provide information on thess conditions.)
1i.FIRE,HAZARD AND OTHER INSURANCE:The availability and cosi of necessary or desired insurance may vary.The location o(
the Propery in a seismic,flood or fire hazard zone,and other conditions,such as the age of the Property and ihe claims history of
the ProperEy and Buyer,may affect the availabiiiry and need for certain types of i�su�ance. Buyer should explore insurance optlons
early as this iniormation may affect oiher decisions,ir�ciuding the removal of loan anc!inspection contingencies.(M insurance agent
is best suited to provtde informatian on these cortditions.)
12.BUILDINti PERYIITS, ZONINCi AND t30YERNMENTAL RE{.1UIREMENTS: Permits, inspections, certiticates, zoning, other
�overnmental limitations, restrictions,and requirements affeciing ihe current or future use of the Property,ks devsloFxnent or size.
Such information is availabie from appropriate govemme�tal agencies and private 9nformation providers.8rokers are not qual�ied to
review or interpret any such informaUon.)
13.RENTAL PROPERTY RESTRICTIONS: Some cities and counUes impose restrictions that limit the amount of rent thet can be
charged,the maximum number of occupants;and the right of a landiord to ierminate a tenancy.Deadbolt or other lodcs and secur'�ty
systems for doors and wfndows,includtng window bars,should be examined to determine wheiher they satisfy legat requirements.
(Govemment agencies can prrnide inbrmation about these restrictions aruf oiher requirements.}
14.SECURITY AND SAFETY: State and locai Law rnay require ihe installation of barriers, access alarms, seif-laiching mechanisms
a�d/or other measures to decrease the risk W chiidren and other persons of existing swimming poois and hot tubs,as weil as varfous
fire safery and other measures conceming ather features of the Property.Compiiaru:e requlrements differ from ary to city and county
to county.Unless specifically agreed,the Property may not be in compliance with fhese requirements.(local government agencies
can provide infarmation about these restrictions and other requirements.)
15.NEICiFIBORHOOD, AREA, SUBDIYISION CONDlTION3; PERSONAL FACTOR3: Neighborhood or area conditions, irtcluding
schools,proximity and adequacy af faw enforcement,crime statistics,the proximity of registered felons or offenders,fire protection,
other govemment services, availabitity, adequacy and cost of any speed-wired, wireless iMemst conn�tions or other
telecommunications or other technology services and installations, proximity to commercial, industrial or agricultural activities,
existing and proposed transportation,construciion and development that rnay affect naise,vfew,or traffic,atrport no(se,noise or odor
from any source, wild and domestic animals, other nuisances, hazards,ar circumstances, protected species, wetland propeRies,
batanical diseases,historic ar otfier govemmentally protected sites or improvements,cemeteries,facilities and condition of common
areas of common interest subdivisions,and possible lack of compliance with any governing dacuments or Homeowners'Assocfation
requiretrtents,conditions and infiuerx:es of significance to certain cuftures and/or religions, and personal needs, requirements and
preferences of Buyer.
Buyer and Seiter acknowtedge and agree that Broker:(1) Does not decide what prfce Buyer shouid pay ar Salter should accept;(Iq Does not
guarantee the conditlon oi the Property;(111)Does rrot guarantee the performance,adequacy or completeness ot Inspecdons,seMces,products or
repalrs provlded or made by Seller or others;(iv)Does not have an obligaUon to conduct an inspectbn of comman areas or ereas oH the site of the
Property;(v)Shall not be responsi�le for identitying detects on the Property,in common areas,or offsite unless such deiects are visually�servable
by an inspectlon ot reasonabty accessible areas of the Property or are known to Broker,(vi)Shall not be responside tor inspecti�pubi�records or
permits conceming the tide or use oi Property;(vfi)Shall not be responsible for identifying the location of boundary lines or other itams affecNng title;
{vNi)Shall not be respon�ble for veritying square footage,representattons ot others or informadon contained in Uvestlgatfon repons,Muitiple Listlny
Service,advertisements,tlyers or other promationai material;(Ix)Shali not 6e responsible for provfding legal or tax advice regarding any aspect of a
uansacUon er�ered into by Buyer or Seller;and(x)Shall not be responsible for providing other advice or information that exceeds the knowledge,
education and experience required to peA�m real eslate licensed ac4ivity. Buyer and Seller agree to seek legal,lax, insurar�ce,title and other
destred assistance irom appropdate professionals.
By signing below, Buyer and Selier each ecknowledge that they have read,understand,accept and have received a Copy of
thts Advisory.Buyer is encouraged to read it carefulty.
X
Buyer Signature Date Buyer Signature Date
A qrzaZified buyer of 2arer or mod,errat� iucarae
� �
Seller Signature Date Selier Signature Date
Palra Desert Honsing Authority
THIS FORM HA$BfEN APPROVfD BY THE CALIFORNIA ASSOCIA71pN OF REALTORS�(C.A.R.).NO REPRESENTATION IS MADE AS TO THE LEGAL VALIDITY OR
ADEOUACY OF ANY PROVISION Mf ANY SPECiFlC TflANSACTI�i. A REAL ESTATE BFlOKER IS THE PERSaV OUALtPlEO TO ADVISE ON REAL ESTATE
TRANSACTlONS.1F YOU DESIRE LEGAL OR TAX AOVICE,�UL7 AN APPROPRIATE PROPESS�NAL.
Th�tarm Is avedffila for use by the enfre reat estate I�dustry.N is�rot fntended to ideMify Ihe user as a REALTOR�.REALTOf'��s a registered cdtective memberahip matk
w�tich may be used only by�rc�bers of tlie NATIONAL AS�CIATION OF REALTOR9�who s�scrWa to!!s Code of Ethks.
� P�6shed�d Dist�Red by: �
M RfAI ESTATE BUSINESS SEHWCES.ll�. Reviewed by Date ��
a au6si a(tM(�fbtne As.smabon af REALT�
� �� �S$OUrI �IYBIIUB.I.DdAIIQl�lB����� OIPORIYNIY
BIA-A REVISED 10/Q2(PAGE 2 OF 2� BUYER'S INSPECI'lON ADVISORY(BIA-A PAQE 2 OF 2) 43930 Ciluebeny
DRAFT
� { `� �� � � "� '� � ''� ADDENDUM
Srt�����. 8 ��"� t Y�;^�s (C.A.F1.Form ADM,Revtsed 4/12) NO. �
� t r t� �w.!': f� i�"f s"7 �� °, ,
The foliowing terms and conditions are hereby incorporated in and made a part of the: � Residential Purchase Agreement,
O Manufactured Home Purchase Agreement, ❑ Business Purchase Agreement, ❑Residential lease or Month-io-Month Rental
Agreement, ❑ Vacant Land Purchase Agreement, ❑ Residential Income Properry Purchase Agreement, ❑ Commercial Property
Purchase Agreement,p Other
dated Novembe.r 25 2013 _ ,on property known�S_ ______ 4393Q 82uebez�ry Lm _ .
___ _
Pu1m Deaert Ca 92260
in which A qus21f1ett buyer o! lorar , ar moderata inc4me lS►BteR@d 10 8S("8uyer/Tenant")
a� paim oasert Houstnq Avthori ty is referred to as("SeHer/l.andlord").
The sale of t2=is ,groc�rtv ia sub,�s�t �P a ���i�,bAA.r,�;�ey 9eLede�let� for Maz�eh 13. 2014._ __
T'h3�,,q s�ron@rt4 vi22 have a Raatrictivr Acrrwemant that B�.�yer must execute and xiZ1 b�
recorded syainst tha avbj,gct p�ezty in favar o�£ th� �'',�Im Deaert Houaina Authority
f"Hausing ,Author�,�y"1 vith restricLions inaladiay but not Zimited to affordability, primary
residenQ► �eg�siremsata. rssaZe Bzi�e restrictions and a Riaht of First Retusa2 to the
HouainQ Autboritv. amonc otL�@,r reatri�„�ion�
F'►_+e Gaty of Pa?� Dese,� a�4j_„�h�e Hoeasaq A�t�osit,y_�j.J,rovade do�m ,y�vme�t asai�ts++c� t�
ensurier mm affordsb2e hausiap� cost: such Ioan mav be sileat for aZ2 0,� ,part of r�w term af
tha lQsn. The amount of assistaace xi12 vary hut wiZl be in an amouat to easure aa
afford�le housiny oost s3�fiaed under Ca2ifornia's Xea1tL and Safa�i Codes and continveat
oa the primary Iaaa aacroaa]..
Buves certStt`v t1�at the s�ntementa coatained in th�a one�cti.onrxa,��s aad_�t,g,�o�:t� dncumeata
n�qvided bv�yar as part of a repuest for sasistance from the Citv_of Ps.Lm De�ert, Pa2m
D�aart�cnmiag AutLoritv, ar�true a,g�6 2�te, and have been used to determiae Buver as a
quaZifisd Bttyer for the r>urrose of t�urchasing this,p�,p�r�y.
As 3a22 r ' t" sad "ect t x a t a r ra i a will.
be_made. throuch escrox foz this c��:�ose. Huv�,r is rescs�msible fram tlie_datg, of escroM
c2osina f�_r�1 ,���,y teacB9 due snd wi12 rec�ive a Prcmerty Tax Bi13 direct from the
�j{�_s'Tol2eotor's Offiae_
�,�,y.er xaraes to tranai`ar aZ1. utilities iacludiag natural qas, wat�r, aad �lsetric
i.�sdiatel,y�,u�vn closc nf eacron_
Notices ,shall be addrea aar provided h r�i for t�ee �*s�ectiva aarties. .provided that if
sha ,r.hereaftar ba ,Qivan aa demanded in the notice.
Ssller:
�yier:
The foregoing terms and conditions are hereby agreed to,and the undersigned acknowledge receipt of a copy of this document.
Date Date
Buyer/Tena�t X Seller/Landlord �
A qualified buy�sr af 3ower PaZm Desert Housiag Authoritp
Buyer/Tenant Selter/Landlord �
or modexate ineame
The cop�rripM laws ot ihe United Stales(Title 17 U.S.Cale)forEid ihe unauthalted reproducdon of iMs form,or e�y poroon�►�ereo�,oy pno�oao�y madane w any o►ner meana,
induding fecsim8e or computerized formats.Copydghl�1988-20t2,CALIFORNIA ASSOCIATION OF REAITORS�,INC.ALL RIGHTS RESERVED.
THIS FORM HAS BEEN APPROVED BY THE CALIFORNIA ASSOCIATtON OF REAITORS�(C.A.R.).NO REPHESENTATION t5 MAOE AS TO THE LEGAL VAIIDITY�i
ADEQUACY OF ANY PROVISION IN AMY SPECIFIG TRANSACTION. A REAL ESTATE BROKER !S THE PFRSON OUAUFIED TO ADVISE ON REAL ESTATE
TRMISACTION5.IF YOU�ESIRE LEQAL OR TAX ADWCE,CQN3ULT AN APPROPFiIATE PROFESSIONAL
This form is avaNable for use by ihe enUre reai e�ate ir�stry.It is not intended to identily the user as a REALTOF�.REAITOFt�is a reg�st�ed eotedive mambashlp merk
whk:h mey ba used only by mert�bers of the NATIONAL ASS�tATION OF REALTORS�who s�scribe to Ns Code of EttdCs.
� PUMhhetl Bnd�s�IbFKed by.
y REAL ESrATE BUSINESS SER4ICES,INC.
a�ery d Ehe f�dbrme Assatiatlav+otf�ALTOAS�
` ,,525 Sou�YupN Avem�.l.oa An�es.Calfania 90�0 Revlewed by Date
ADM REYISED 4/42(PAGE t OF 1j cwK�usrc
ADDENDUM(ADM PAGE 1 OF 1) °M0p'�Y
Agenr John Osbome Phone:(760)921-2121 Fax:{780)922-4387 Weparad usi�g zfpForrt►�sofiwaro
Broker.CENTURY 21 Osbome Rea 41 pr uidla Ct Palm Dese CA 92T6U
DRAFT
RECORDING REQUESTED BY
AND WHEN RECORDED RETURN TO:
Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, California 92260
Attention: Housing Department
Exempt from recording fees pursuant to Gov. Code § 6103
UNIT REGULATORY AND LIEN AGREEMENT
THIS UNIT REGULATORY AND LIEN AGREEMENT (the "Restrictive
Agreement") is entered into this ccDa H day of «Month», «Year», by and between the PALM
DESERT HOUSING AUTHORITY, a public body, corporate and politic (the " Authority"), and
«Maker», a(n) «Vestinq» (individually or collectively, the "Owner").
RECITALS
A. The Owner is concurrently herewith acquiring that certain real property (the
"Unit") located in the City of Palm Desert, County of Riverside, State of California, legally
described in Exhibit "A" attached hereto and incorporated herein by reference, the address of
which is set forth in Section 1(b) of this Restrictive Agreement, and which the Owner shall
occupy as the Owner's principal residence.
B. For the purpose, among others, of effectuating the Redevelopment Plan for
Project Area No. 1, as amended, (the "Project Area"), as originally adopted by Ordinance No
275 on November 25, 1981 (incorporated herein in its entirety by this reference), and the City's
approved Housing Element, as adopted by Resolution No. 2011-34 on May 12, 2011
(incorporated herein in its entirety by this reference), the City of Palm Desert ("City") and
former Palm Desert Redevelopment Agency ("Agency") have provided assistance to the
development of the Desert Rose Project ("Desert Rose") for low and moderate income
housing.
C. With the Governor's enactment of ABX1 26 and AB 1484 redevelopment
agencies were effectively eliminated on February 1, 2012. The legislation prohibited agencies
from entering into any new agreements, contracts, debts, loans, etc. which included this
Program.
D. On February 9, 2012, the City adopted Resolution No. 2012-07 designating the
Palm Desert Housing Authority ("Housing Authority") as the successor housing entity for all
housing activities formerly completed by the Agency. On October 11, 2012, the Housing
Authority Board accepted the housing functions and assets transferred pursuant to Resolution
«File Path Name» 1
DRAFT
No. HA-47. The Authority as successor housing entity, will now administer the Desert Rose
assistance.
E. The Owner has represented to the Authority that the Owner and the Owner's
household qualifies as a Person or Family of Very Low, Low or Moderate Income as defined in
California Health and Safety Code Section 50093.
F. Concurrently herewith, the Owner is executing a promissory note in the amount,
if any, set farth in Section 1(c), representing a loan by the Authority to the Qwner to a5sist in
the Owner's acquisition of the Unit.
NOW, THEREFORE, the parties agree as foltows:
1. Fundamental Provisions. The following shall serve as the basic terms of
this Restrictive Agreement:
(a) Name of Owner: The name of the Owner is «Maker�.
(b) Address of the Unit: The address of the Unit is
«Propertv Address», Palm Desert, California.
(c) Amount of the Loan: The principal amount of the Loan is the sum
of «BUYERS A STD worded» Dollars ($«BUYERS A STD dollar»). The Loan is
evidenced by a promissory note (the "Note") and secured by a deed of trust (the "Deed of
Trust") executed by Owner concurrently with this Restrictive Agreement.
2. Definitions. For purposes of this Restrictive Agreement, the terms listed
below shall have the meanings thereinafter specified.
(a) AMI. As used herein and throughout this Restrictive Agreement,
"AMI" means the median family income of the Riverside-San Bernardino SMSA, as determined
and published annually by the United States Department of Housing and Urban Development
("HUD"), pursuant to California Health and Safety Code Section 50093, and the regulations
promulgated thereunder. The AMI shall be adjusted for family size in accordance with state
regulations adopted pursuant to California Health and Safety Code Section 50052.5 for the
number of persons in the family occupying the Unit.
(b) Affordable Housinq Cost. For the purposes hereof, the term
"Affordable Housing Cost" means a housing cost which is calculated pursuant to California
Health and Safety Code Section 50052.5, and for the purposes hereof, the term "housing cost"
shall have the meaning ascribed to such term in Title 25 of the California Code of Regulations
Section 6920, as such regulations may be amended from time to time, and the term "Gross
Income" shall have the meaning ascribed to such term in Title 25 of the California Code of
Regulations Section 6914, as such regulations may be amended from time to time.
(c) Person or Family of Very Low, Low, or Moderate Income, or Ver�
Low Income Household a Low-Income Household or a Moderate-Income Household means a
person, family or household meeting the income qualification limits set forth in California
«File Path Namew 2
DRAFT
Health and Safety Code Sections 50093, 50105, 50052.5, and 50053, and Title 25 of the
California Code of Regulations Section 6910, et seq., as the case or context may require, as
such statutes and regulations may be amended from time to time, and any successor statutes
thereto.
(d) Qualified Person Household means a person, family, or household
of Very Low, Low or Moderate Income defined under 2 (c) herein.
(e) Escraw Costs mean5 only those fees charged by an escrow agent
or title insurance company charged solely for the cost of closing an escrow and does not
include loan fees, refinancing fees, broker commissions, prepaid items, homeowners dues,
transfer fees, or other fees, commissions or costs.
(f) Unit means the real property described in attached Exhibit "A" and
may include vacant land, single-family dwellings and multi-family dwellings, and
interchangeably may be referenced as Property.
(g) Owner means both the party identified as "Owner" in the first
paragraph of this Dec►aration, and any successor in interest of such Owner with respect to the
Property.
3. Restriction on Transfer.
(a) The Owner shall not sell, voluntarily or involuntarily, in whole or in
part, convey, transfer, lease, sublease, assign, encumber, mortgage, or hypothecate the Unit,
or enter into agreements to sell, convey, transfer, lease, sublease, assign, encumber,
mortgage, refinance or hypothecate the Unit, except in compliance with the terms of this
Restrictive Agreement and with the prior written approval of the Authority's Executive Director
or his designee. Failure to obtain the prior written approval of the Authority's Executive
Director or his designee will be deemed a breach of this Restrictive Agreement.
(b) Any violation or breach of the provisions of Section 3(a) hereof is
prohibited and any such sale or other transfer of interest enumerated in Section 3(a) above, in
whole or in part, shall be null, void and unenforceable, and at the Authority or its designee's
option, result in the acquisition of the Unit by the Authority and/or an acceleration of the Note
requiring the Owner to immediately repay the Note in full if such transfer is made prior to the
expiration of the Term.
(c) In the event of the death of the Owner with no qualified surviving
joint tenants, the Authority or its designee will work with the heirs, probate court, or other
responsible party to either exercise its option to reacquire the Unit in accordance with Section
8 hereof or identify a Qualified Person to purchase the Unit.
4. Term of Aareement. This Restrictive Agreement shall become effective
on the date it is recorded in the Official Records of Riverside County, California, and shall
terminate 45 years after the date of recordation hereof (the "Term"). The Authority has
determined that 45 years is the longest period feasible for continuing the Term of this
Restrictive Agreement. The Owner's repayment of the Loan shall not terminate this Restrictive
Agreement.
ttFile Path Namen 3
DRAFT
5. Covenant to Maintain Affordabilitv.
(a) The Unit is being sold to Owner and the Loan is being given by the
Authority to the Owner to increase and improve the community's supply of low and moderate
income housing available at an Affordable Housing Cost in accordance with the affordable
housing requirements of the Community Redevelopment Law (California Health and Safety
Code, Section 33000, et seq). Subject to the provisions of Section 3 hereof, the Owner shall
sell, convey, assign, or transfer ownership or occupancy of the Unit only to Qualified Persons
who cannot obtain comparable housing at an Affordable Housing Cost on the open market as
provided in Health and Safety Code Section 50052.5, as amended. To this end, the Owner
agrees that during the Term the Unit shall, except as provided in Sections 6, 9.(c) and 11
hereof, remain available only at an Affordable Housing Cost and shall only be occupied by
Qualified Persons. In addition, if, without the Authority or its designee's consent, the Owner
fails to occupy the Unit as the Owner's sole principal residence for a period of 90 calendar
days, cumulatively, in any calendar year, then the Owner shall be in breach of this Restrictive
Agreement.
(b) Subject to the provisions of Section 12 hereof, if upon the expiration
of the entire Term the Owner previously has not either (i) sold, conveyed, transferred, or
assigned the Unit except to a Qualified Person, except where expressly permitted by Section 6
hereof, or (ii) leased or subleased the Unit in violation of the terms hereof, or (iii) refinanced,
hypothecated, encumbered, or mortgaged the Unit in violation of the terms hereof, or (iv) sold
the Unit at a price exceeding the maximum price permitted under Section 11 hereof, or (v)
otherwise breached the terms and provisions hereof, then the Authority shall forgive the Loan
in full.
6. Permitted Transfers and Mortaaaes.
(a) Convevances to Qualified Persons. Subject to the option rights of
the Authority herein, the Owner may convey the Unit to Qualified Persons on the condition that
(i) the Owner complies with the requirements of Sections 8 and 9 hereof, (ii) the purchaser
covenants to occupy the Unit as such party's sole principal residence, and (iii) the purchase
price does not exceed the maximum permitted resale price set forth in Section 11 hereof. Any
permitted transferee, shall acquire the Unit subject to the terms and conditions hereof or, at
Authority or its designee's option, a new Unit Regulatory and Lien agreement and shall
execute in recordable form any documents necessary to accommodate the transfer.
(b) Intra-Familv Convevances. The following transfers of title shall not
be breaches of this Restrictive Agreement: transfer by gift, devise, or inheritance to the
Owner's spouse; taking of title by surviving joint tenant that is the Owner's spouse; transfer of
title to a spouse as part of a divorce or dissolution proceeding; acquisition of title in conjunction
with marriage; transfers of title to an adult child when the child is approved by the Authority's
Executive Director or his designee as a Qualified Person at the time of transfer. A transfer to
children of the Owner who are not Qualified Persons shall give rise to the option in favor of the
Authority to acquire the Unit described in Section 8 hereof; provided, however, such option to
acquire shall be exercised by the Authority within 45 days after receipt by the Authority or its
designee of written notice of such transfer, and the purchase price shall be the amount set
forth in Section 8(e).
nFile Path Nameu 4
DRAFT
(c) First Trust Deed - Purchase. The Owner may encumber the Unit
with a first position deed of trust securing a purchase money loan on the condition that the first
position trust deed complies with the terms of this Restrictive Agreement.
(d) Refinancina of First Trust Deed. Subject to compliance with the
provisions of Section 10 hereof, the Owner may refinance a first deed of trust encumbering the
Unit provided that the Authority's Executive Director or his designee has previously reviewed
and approved the terms and conditions thereof including, but not limited to, the principal
amount of the proposed loan, the interest rate, the terms of repayment, the identity of the
maker of the proposed loan, any documentation pertaining to the subordination or enforcement
of the Authority's loan and related security documents, the costs and fees associated with the
making of the proposed loan, and the Owner shall have received the written approval of the
proposed loan by the Authority's Executive Director or his designee prior to the date of its
closing. Any refinancing of a first deed of trust which has not been previously approved by the
Authority's Executive Director or his designee as herein above described shall constitute a
default under this Agreement and shall, at the option of the Authority or its designee, result in
the acquisition of the unit by the Authority and/or in an acceleration of the Note requiring the
Owner to immediately repay the Note in full.
(e) Junior Trust Deeds. Subject to compliance with the provisions of
Section 10 hereof, the Owner may enter into a loan secured by a deed of trust or mortgage
junior and subordinate to the Deed of Trust provided that (i) the proceeds of each loan shall be
used solely to pay for repairs or the construction of improvements to the Unit, and (ii) the
Authority's Executive Director or his designee has previously reviewed and approved the terms
and conditions thereof, including, but not limited to, the principal amount of the proposed loan,
the interest rate, the terms of repayment, the identity of the maker of the proposed loan, the
costs and fees associated with the making of the proposed loan, and the nature and costs of
the proposed repairs or the construction of improvements, to be paid with the proceeds
thereof, and (iii) the Owner shall have received the written approval of the proposed loan by
Authority's Executive Director or his designee prior to the date of its closing, (iv) the proceeds
of the proposed loan shall not be used to pay for the construction of improvement of a luxury
nature such as, in or above ground pools or spas, or interior or exterior decorative items, or
other improvements where the reasonable useful life does not exceed 5 years. The failure of
the Owner to comply fully with the provisions of this Section 6(e) when entering into a loan
which is secured by a deed of trust or mortgage junior and subordinate to the Deed of Trust
shall constitute a default under this Restrictive Agreement and shall, at the option of the
Authority or its designee, result in the acquisition of the Unit by the Authority and/or in an
acceleration of the Note requiring the Owner to repay the Note in full. Notwithstanding the
foregoing, the Authority agrees that the Owner may encumber the Unit with a third, junior deed
of trust securing a loan from a funding source for this purpose.
7. Subordination to First Trust Deed Encumbrances.
(a) The Authority recognizes that Owner may be entering into a
purchase money loan to acquire the Unit and also recognizes that immediately prior to the
recordation hereof the Owner is or may be recording a deed of trust in connection with such
financing that shall be superior to this Restrictive Agreement and the Deed of Trust, and the
Authority agrees that, in such event, such deed of trust recorded prior hereto shall be superior
«File Path Namen 5
DRAFT
to this Restrictive Agreement and the Deed of Trust. A default of such deed of trust will also
be deemed a default of this Unit Regulatory and Lien Agreement and Deed of Trust in favor of
the Authority, if any. Therefore, in the event of the foreclosure of such deed of trust, or the
conveyance by deed in lieu of foreclosure of the Unit to a bank, savings and loan, or other
institutional lender that is the beneficiary of such deed of trust, the provisions hereof shall
terminate and be of no force or effect; provided, however, if the senior lien holder acquires title
to the Unit pursuant to a deed in lieu of foreclosure, then the terms hereof shall terminate only
if (i) the Authority has been given written notice of a default under the senior deed of trust and
(ii) the Authority shall not have cured the default under the s�nior deed of trust, or diligently
pursued the curing of the default, within 90 days after the date the notice is received by the
Authority or its designee.
(b) The Authority further agrees that, in the event of a refinancing of a
deed of trust that was superior to the lien of the Deed of Trust, and which such refinancing
complied in all respects to the requirements of Section 6(d) hereof, the Authority agrees to
execute a subordination agreement, in form and substance acceptable to the Authority or its
designee, subordinating this Restrictive Agreement and the Deed of Trust to any first deed of
trust, in favor of any bank, savings and loan association, or other institutional lender which
makes a loan to refinance the Loan for the purchase of the Unit and which secures the
obligations under such loan, subject to the following terms and conditions:
(i) The principal amount of the new loan does not exceed the
original principal amount of the loan being refinanced, plus reasonable loan fees and costs up
to a maximum of five percent (5%) of the original principal amount, unless Authority or its
designee has provided written authorization otherwise.
(ii) The terms and provisions of the loan secured by such deed
of trust, including interest rate, term, amortization, fees, acceleration clauses, late payment
charges, and prepayment charges, shall conform substantially to the provisions in the lender's
loan documents for comparable loans, unless deviations are given written approval in advance
of the subordination by the Authority's Executive Director or his designee.
(iii) The Owner shall deliver to the Authority or its designee true
and accurate copies of the loan agreement, proposed promissory note, deed of trust, and a
written statement from the Owner certifying that such documents are true and accurate copies
of the loan documents which the Owner intends to execute in connection with the loan; and
(iv) The Authority or its designee may condition any such
subordination upon its receipt of a title policy or endorsement from a reputable title company,
at the Owner's sole cost and expense, assuring that this Restrictive Agreement and the Deed
of Trust are not being subordinated to any liens or encumbrances other than those imposed by
the deed of trust or mortgage securing such new loan as the result of such subordination.
If the Authority, at the election by the Executive Director or his designee, has advanced
any sums to any senior lien holders such amounts shall immediately be due and payable by
the Owner to the Authority, together with interest accrued thereon at the maximum legal rate
permitted under California usury laws, upon the closing of any refinancing or sale.
8. Authoritv Option to Purchase.
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(a) Option. In order to maintain and insure that the Unit shall remain
affordable to and only occupied by Qualified Persons, the Authority is hereby granted an
option, throughout the Term hereof, to purchase the Unit if the Owner desires to transfer the
Unit, or to find another Qualified Person to purchase the Unit. The option shall be exercised in
writing by the Authority or its designee, if at all, within 45 days after the Authority's Executive
Director or his designee's receipt of the written notice (the "Notice of Proposed Sale") of the
Owner's desire to transfer the Unit (as more fully described in Section 9(a) hereof). During
such 45 day period Owner may also concurrently attempt to market the Unit to sell it to a
Quatified Person, as provided in Section 9 hereof. The Owner may enter into an agreement to
sell the Unit to a Qualified Person (previously approved by the Executive Director of the
Authority or his designee) at a price that does not exceed the maximum price set forth in
Section 11 hereof. In such event, the Authority shall not then exercise the option to purchase
the Unit or find another Qualified Person to purchase the Unit. If the Authority or its designee
exercises the option to purchase the Unit, then the Authority's Executive Director or his
designee shall promptly open escrow therefor and shall close escrow for the purchase of the
Unit prior to the date that is 60 days after the Authority opens escrow. Title to the Unit shall be
delivered to the Authority at the close of escrow free and clear of monetary liens and
encumbrances, and closing costs shall be allocated in the fashion as is customary for buyers
and sellers in Riverside County.
As part of the Authority's option and in accordance with Section 15 herein,
all items in the home which are affixed, including but not limited to ceiling fans, light fixtures,
and window coverings, are included in the sales price already established and must remain in
the unit. Any items that have been added to the home, the function of which will not affect the
home's use (such as decorative items) may be removed however, if such items leave marks,
holes, or impressions, etc. due to their removal, the location must be restored to the original
condition. The Owner will also be required to maintain, through close of escrow, any items
necessary to keep the home's appearance and mechanical function in tact including but not
limited to all front and back yard landscaping, connections to utilities (natural gas, water,
electric), and overall maintenance. In the event the home is not maintained or restored, any
cost associated to bring the home into the original condition may be adjusted as necessary
through escrow.
(b) Authoritv's Failure to Close Followinq Exercise of the Option to
Purchase the Unit. If the Authority or its designee exercises the option to purchase the Unit
but, due to the Authority's sole fault, the Authority does not close escrow within 60 days after
the date the Authority's Executive Director or his designee opens escrow, then the Owner shall
be entitled to sell the Unit to a person or family that is not a Qualified Person; provided,
however, (i) if the Unit is sold to a person or family that is not a Qualified Person, or (ii) if the
Unit is sold at a price that exceeds the maximum resale price set forth in Section 11 hereof,
then the Owner shall repay the Loan (including all accrued interest thereon) to the Authority as
provided in Section 9(c), below, plus an amount equal to 25% of the amount by which the net
sale proceeds received by the Owner ("net sale proceeds" being the gross sale proceeds
minus customary and reasonable costs of sale incurred by the Owner, including brokerage
commissions, and adjusted for reasonable pro-rations) exceeds the maximum resale price set
forth in Section 11 hereof.
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(c) Terms of Purchase. If the Authority or its designee exercises the
option to purchase the Unit, the purchase price to be paid by the Authority shall be paid all in
cash at the close of escrow. The Owner may require a deposit to open escrow in an amount
not to exceed three percent (3%) of the purchase price. Title to the Unit shall be delivered to
the Authority at the close of escrow free and clear of monetary liens and encumbrances.
Closing costs shall be allocated between the buyer and seller according to the customary
practices in Riverside County in effect at the time the option is exercised.
td) Conditians ta Close af Escrow. The escrow instructions may
provide for conditions or contingencies of the type and nature customarily included in
residential purchase escrows (including but not limited to inspection by the Authority and
elimination of pests, and preliminary title report approvals), provided that any such conditions
or contingencies (other than the status of title to the Unit at the time of conveyance and other
conditions which by their nature cannot be satisfied prior to closing) must be satisfied or
waived on or before the close of escrow. The proceeds of the sale shall be used to pay off all
monetary liens and encumbrances upon the close of escrow. Escrow shall close within 60
days after the opening of escrow.
(e) Purchase Price. The purchase price of the Unit to be paid by the
Authority pursuant to the Authority's exercise of the option shall be the lesser of:
(i} The actual purchase price paid by the Owner for the Unit
plus reasonable and customary escrow closing and title costs (described in Section 2(e)
hereof) actually incurred by the Owner in purchasing such Unit, times a fraction, the numerator
of which is the AMI for the year in which the sale takes place, and the denominator of which is
AMI in which the Owner purchased the Unit (and subtracting therefrom the amount of the
Loan, which the Authority shall assume from the Owner); or
(ii) the maximum resale price determined pursuant to Section
11(a) hereof, assuming that the Authority, as purchaser, is of the same income level as was
the Owner at the time the Owner purchased the Unit; or
(iii) the fair market value of the Unit, as determined by an
appraiser approved by the Authority or its designee.
9. Resale Price Controls and Procedures.
(a) If the Owner elects at any time to sell the Unit, then the Owner
shall, prior to signing a listing agreement or other authorization to sell with a real estate broker,
first provide to the Authority's Executive Director or his designee the Notice of Proposed Sale
setting forth the Owner's intention to sell the Unit. Such Notice of Proposed Sale shall contain
information about the Owner's original purchase price of the Unit and such other information as
the Authority shall require. Authority or its designee shall have sixty (60) days from the time
following the receipt by the Authority or its designee of the Notice of Proposed Sale to find a
new buyer for the Unit being sold, or forty-five (45) days to exercise the Authority or its
designee's option to purchase described in Section 8 hereof; provided, however, the Authority
or its designee may shorten such time period upon a showing of hardship by the Owner. The
Owner agrees to consider as purchasers those Qualified Persons identified on a list that may
be maintained by the Authority's Executive Director or his designee. Nothing contained herein
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shall be construed as imposing on the Authority any obligation to find a purchaser of the Unit if
the Owner has elected to sell the Unit.
(b) If the Owner resells the Unit to a Qualified Person at a price that
does not exceed the price set forth in Section 11 hereof, then the provisions hereof shall
continue to encumber the Unit, and the Authority or its designee, if necessary, shall
subordinate its interest in this Restrictive Agreement and the Deed of Trust as provided in
Section 7 hereof. Each successor in interest to Owner that is a Qualified Person shall acquire
the lJnit subject to the continuation of the restrictians on such property provided in this
Restrictive Agreement and the Deed of Trust; and if Authority purchases such property and
resells the Unit, such acquisition shall not operate to merge this Restrictive Agreement and the
Deed of Trust into Authority's fee interest.
(c) If, after expiration of the sixty (60) day period, Authority or its
designee has failed to procure an acceptable and qualified buyer and the Authority or its
designee has not exercised its option to purchase the Unit, then the Owner shall then be free
to seek a buyer for the Unit without any limitation on resale price or income level of the
purchaser; provided, however, (i) if the purchaser is not a Qualified Person, or (ii) if the resale
price exceeds the maximum resale price set forth in Section 11(a) hereof, then the Owner shall
repay the Loan (and all accrued interest thereon) to the Authority, plus an amount equal to
25% of the amount by which the net sale proceeds received by the Owner exceed the
maximum resale price set forth in Section 11(a) hereof.
(d) The escrow instructions may provide for conditions or
contingencies of the type and nature customarily included in residential purchase escrows
(including but not limited to financing contingencies, inspection rights, and preliminary title
report approvals), provided that any such conditions or contingencies (other than the status of
title to the Unit at the time of conveyance and other conditions which by their nature cannot be
satisfied prior to closing) must be satisfied or waived on or before the close of escrow. The
proceeds of the sale shall be used to pay off all monetary liens and encumbrances upon the
close of escrow. Escrow shall close within a reasonable time after opening thereof.
(e) The Owner shall notify any proposed purchaser in writing prior to
such person's execution of escrow instructions, deposit receipt, purchase and sale agreement
or similar agreement, whichever is earliest, that the title to the Unit will be restricted as
provided in this Restrictive Agreement.
(f) The Owner may require a deposit to open escrow in an amount not
to exceed three percent (3%) of the purchase price. Title to the Unit shall be delivered to the
purchaser at the close of escrow free and clear of monetary liens and encumbrances, except
as provided for in this Restrictive Agreement. Closing costs shall be allocated between the
buyer and seller according to the customary practices in Riverside County in effect at the time
the escrow is opened.
(g) For the purpose of confirming with the Authority that a proposed
purchaser is a Qualified Person that will be paying a purchase price that is in compliance with
the terms hereof, the Owner shall notify the Authority's Executive Director or his designee in
writing of any offer from a prospective purchaser which the Owner intends to accept, disclosing
the identity of such prospective purchaser and providing the Authority's Executive Director or
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his designee with such financial, credit, and other information on such prospective purchaser
as required by the Authority, including the following:
(i) Name and address of the purchaser.
(ii) Number of persons comprising the purchaser's household and
their names and ages.
(iii) Propased purchase price of the lJnit, and any other
consideration for the purchase of the Unit.
(iv) Amount of down payment.
(v) Terms of any loan that will be used by the purchaser to finance
the purchase of the Unit, including, but not limited to, principal, interest rate, term, and loan
fees.
(vi) Closing date.
(vii) Aggregate annual income of the purchaser's household.
(viii) Most recent federal and state income tax returns of the
purchaser and all other members of the purchaser's household for the preceding two (2)
calendar years, and verification of the proposed purchaser's salary or wages from the
purchaser's employer or from current pay stubs showing year to date as well as period payroll
for the preceding two (2) calendar years.
(ix) Copy of any proposed purchase and sale agreement, escrow
instructions, loan application, or other agreements between the Owner and the purchaser of
the Unit or relating to the sale of the Unit including closing documents or any other
documentation that the Authority's Executive Director or his designee deems appropriate to
implement this Restrictive Agreement.
(x) A written statement signed by the proposed purchaser that the
Unit will be occupied by the purchaser and used as his or her sole residence.
In lieu of providing the foregoing information, these requirements shall be deemed to have
been satisfied by delivery to the Authority of a written certification of the foregoing information
from the purchaser's lender who shall hold a first position trust deed encumbering the Unit,
which certification shall be furnished to Authority's Executive Director or his designee at least
20 days prior to the close of escrow for the Unit.
The Authority's Executive Director or his designee shall have 30 days from the date of
its receipt by the Authority to review the information (unless the Authority received the
certification from prospective purchaser's lender, in which case the Authority's Executive
Director or his designee shall have 15 days to review the information). If the Authority or its
designee fails to approve the purchaser within such period of time, then the purchaser shall be
deemed disapproved by the Authority. The Authority's Executive Director or his designee may
require the purchaser to submit other written documentation reasonably requested by the
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Authority to verify the information set forth herein and to determine that the Affordable Housing
Cost restrictions of this Restrictive Agreement shall be satisfied. If the Authority's Executive
Director or his designee receives all such prospective purchaser information requested by the
Authority, the Authority's Executive Director or his designee shall determine whether the
prospective purchaser is a Qualified Person, and shall thereafter immediately notify the Owner
in writing that the prospective sale is authorized and approved, or that th,e prospective
purchaser does not qualify to purchase the Unit as a Qualified Purchaser. The Authority
hereby designates the Executive Director of the Authority or his designee to make the
evaluations, reviews and determinations set forth in this Sectian 9(g). If the Authority notifies
the Owner that the sale is authorized and approved, the Owner shall proceed to complete the
sale of the Unit within 75 days of the date of such approval from the Authority.
As part of any sale and in accordance with Section 15 herein, all items in the
home which are affixed, including but not limited to ceiling fans, light fixtures, and window
coverings, are included in the sales price already established and must remain in the unit. Any
items that nave been added to the home, the function of which will not affect the home's use
(such as decorative items) may be removed however, if such items leave marks, holes, or
impressions, etc. due to their removal, the location must be restored to the original condition.
In the event the home is not maintained or restored, any cost associated to bring the home into
the original condition may be adjusted as necessary through escrow.
10. Notification Prior to Mortqaqe, Encumbrance or Hvpothecation. If Owner
desires to refinance any loan secured by a first trust deed encumbering the Unit, pursuant to
Section 6(d) hereof, or to borrow funds for a new loan to be secured by a junior trust deed
encumbering the Unit the proceeds of which are to be used to pay for repairs or the
construction of improvements to the Unit, pursuant to Section 6(e) hereof, prior written
approval of the Authority's Executive Director or his designee is required. Only loans
encumbering the Unit pursuant to Section 6 will be allowed. The Owner must request such
approval in writing at least 30 days prior to the recordation of a deed of trust or mortgage
securing any such refinancing or loan, the Owner shall submit to the Authority's Executive
Director or his designee in writing the following information:
(a) Name and address of lender.
(b) Terms of the loan, including, but not limited to, principal, interest rate,
term, and loan fees.
(c) Closing date of the loan.
(d) Copy of any proposed escrow instructions, loan application, or other
agreements between the Owner and the lender.
(e) Written documentation of compliance with the conditions for Authority
approval as set forth in Section 6(d)or Section 6(e) hereof, as applicable.
(f) Other written documentation reasonably requested by the Authority or
its designee.
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The Authority's Executive Director or his designee shall have 20 working days after its receipt
of all of such information to approve or disapprove the proposed refinancing or loan.
11. Restriction on Resale Price. Except as permitted by Sections 8 and 9(c)
hereof, the Owner shall not resell the Unit at a price higher than the lesser of the following:
(a) An Affordable Housing Cost (as defined in Section 2(b) hereof) for
the prospective purchaser, assuming (i) a reasonable down payment, and (ii) a 30 year fixed
rate mortgage at prevailing interest rates.
(b) The sum of:
(i) the selling Owner's original purchase price of the Unit times a
fraction, the numerator of which is the AMI for the year in which the sale takes place, and the
denominator of which is AMI in which the Owner purchased the Unit; plus
(ii) escrow costs, title insurance premiums paid, and other
customary closing costs and fees as described in Section 2(e) hereof; plus
(iii) if the Owner sells the Unit after a default under a mortgage or
deed of trust, but prior to a trustee's sale or foreclosure sale, all expenses actually incurred by
the holder of such mortgage or beneficiary under such deed of trust due to the Owner's default
including, but not limited to, trustee's fees, attorney's fees, costs of sale and debt service on
the debt secured by such mortgage or deed of trust will be paid from Owner's proceeds.
(c) the fair market value of the Unit, as determined by an appraiser
approved by the Authority or its designee.
12. Repavment of the Loan. Upon any resale of the Unit, the Loan shall be
due and payable, except as follows:
If the resale of the Unit is to another Qualified Person and, at the option of
the Authority's Executive Director or his designee, such purchaser either executes an
assumption agreement (and such other documents as the Authority's Executive Director or his
designee may require) evidencing the assumption of this Restrictive Agreement, the Note and
the Owner's obligations thereunder, or executes and delivers a new Unit Regulatory and Lien
Agreement, Note and Deed of Trust (subject only to such prior liens as the Authority's
Executive Director or his designee shall approve), then (i) all interest accrued from the date of
the Owner's acquisition of the Unit through the closing date of the resale to the new Qualified
Person shall be paid at close of escrow of such resale, (ii) interest shall then accrue from and
after the closing date of the resale (with such accrued interest again to be subject to payment
upon another resale to yet another Qualified Person), and (iii) the principal amount of the Loan
shall be due only to the extent that the purchase price paid by the purchaser exceeds the
amount that would have been the maximum resale price to another purchaser at the same
income level as was the Owner's at the time of the Owner's original acquisition of the Unit.
(Thus, if the seller and the purchaser are of the same income level, then none of the principal
would be due, but if the purchaser is of a higher income level, then it is possible that some of
the principal may be due because the maximum resale price calculated pursuant to Section
11(a) hereof, may be higher if the purchaser is of a higher income level than was the Owner at
aFile Path Namen 12
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the time of the Owner's acquisition of the Unit.) At the end of the Term hereof, if there have
been no resales to any person or family other than a Qualified Person, the principal balance
outstanding and any accrued interest shall be forgiven by the Authority subject to and in
accordance with the provisions of Section 5(b) hereof.
13. Annual Report. The Authority shall have the option of requiring that the
Owner provide, on an annual basis, such information as the Authority's Executive Director or
his designee deems necessary to implement this Restrictive Agreement.
14. Nondiscrimination Covenants. By the Owner's acceptance hereof, the
Owner agrees, for itself, its successors and assigns, to refrain from restricting the transfer of
the Unit on the basis of race, color, creed, religion, ancestry, sex, marital status, national origin
or age of any person. All such deeds entered into with respect to the Unit shall contain or be
subject to substantially the following nondiscrimination or nonsegregation clauses:
"The grantee herein covenants by and for himself or herself, his or her
heirs, executors, administrators, and assigns, and all persons claiming under or through them,
that there shall be no discrimination against or segregation of, any person or group of persons
on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the
sale, lease, sublease, transfer, use, occupancy, tenure, or enjoyment of the premises herein
conveyed, nor shall the grantee or any person claiming under or through him or her, establish
or permit any such practice or practices of discrimination or segregation with reference to the
selection, location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or
vendees in the premises herein conveyed. The foregoing covenants shall run with the land."
The foregoing shall be a covenant running with the land for the benefit of, and as a burden
upon the Unit, and shall remain in effect in perpetuity. Nothing contained herein shall be
construed as permitting the Owner to transfer the Unit without the Authority's Executive
Director or his designee's prior written consent.
15. Maintenance ot the Unit/Prohibition Aqainst Waste. The Owner shall,
throughout the Term hereof, keep and maintain the Unit and the improvements thereon in
good condition and repair. The Owner shall not commit waste upon the Unit. The Owner shall
not remove or demolish the improvements on the Unit. For example, removal of an interior
wall which results in less use (two versus three bedrooms). The Owner agrees to complete or
restore promptly and in good workmanlike manner any building or improvement which may be
damaged or destroyed thereon and to pay when due all claims for labor performed and
materials furnished therefore; to comply with all laws affecting the Unit and not to commit or
permit any act upon the Unit in violation of the law. If the Owner at any time fails to so keep
and maintain the Unit in good condition and repair, after 30 days notice from the Authority, the
Authority's Executive Director or his designee shall have a right to enter onto the Unit and
perform such deferred maintenance, and the Owner shall promptly reimburse the Authority for
all costs incurred by the Authority in performing such maintenance. The Authority shall have
no liability whatsoever for any acts or omissions of Owner or its contractors, or agents, or any
one of them, or any other person furnishing services, labor and/or material to Owner in
connection with the Unit. The Authority shall also use reasonable efforts to provide notice to
the Desert Rose Residents' Association prior to such entry.
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16. Default. If either party defaults with regard to any of the provisions of this
Restriction Agreement, the nondefaulting party shall serve written notice of such default upon
the defaulting party. If the default is not cured by the defaulting party within thirty (30) days
after service of the notice of default, or if the default is not commenced to be cured within thirty
(30) days after service of the notice of default and is not cured promptly within a reasonable
period of time after commencement, the defaulting party shall be liable to the other party for
damages caused by such detault.
17. Notices. All n�tices to be delivered ta the parties pursuant to the terms
hereof shall be in writing and shall be delivered in person or by U.S. Mail or other delivery
service to the addresses listed below.
Any of the following addresses may be changed by written notice. If notice is given it
shall be deemed effective upon 3 business days after deposit of same, postage prepaid, in the
U.S. Mail, or the date of actual receipt as evidenced by personal acknowledgment, return
receipt or other comparable means.
If to Owner: At the address for the Unit set forth in Section 1(b).
If to the Authority: Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, California 92260
Attn: Executive Director
18. Covenants to Run With the Land. Except as otherwise provided in this
Restrictive Agreement, the covenants established in this Restrictive Agreement shall be
binding on the Owner and any successor in interest of the Owner to the Unit, and shall be for
the benefit and in favor of the Authority, its successors and assigns, the City of Palm Desert,
and Alphonso Sanchez the real party in interest under that certain Stipulation for Entry of
Judgment, Riverside County Superior Court Case No. INDIO 51124, and the covenants shall
run with the land in favor of the Authority and shall be a burden upon the Unit and shall be for
the benefit of the parcels that comprise the Project Area owned by the City of Palm Desert, as
described in Instrument No. 23610, recorded on December 22, 1981 in the Official Records of
Riverside County. The covenants established in this Restrictive Agreement shall be
incorporated by reference in all deeds conveying all or any portion of the Unit. The Owner
(and each successor in interest, as the case may be) shall furnish a copy of this instrument to
any successors in interest. The Authority shall have the right, in the event of any breach by
the Owner of any covenant or agreement herein, to exercise all the rights and remedies, and to
maintain any actions at law or suits in equity or other proper proceedings to enforce the curing
of such breach of covenant or agreement. Notwithstanding the foregoing, however, the Owner
and the successors in interest to the Owner named herein shall be liable for performance
hereof only during their respective period of ownership of the Unit, provided that the
"transferee" Owner has in writing assumed and agreed to perform the "transferor" Owner's
obligations hereunder.
19. No Speculative Investment. The Owner acknowledges that the acquisition
of the Unit by the Owner pursuant to this Restrictive Agreement is not intended as a
speculative financial investment.
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20. Administration. The Authority may administer the terms hereof or may,
from time to time assign its rights hereunder or designate another entity, person, licensed real
estate broker or organization to administer the terms hereof.
21. Independent and Severable Provisions. If any provision of this instrument
is held by a court of competent jurisdiction to be unenforceable or invalid, such holding shall
not render unenforceable any other provision hereof, each provision hereof being expressly
severable and independently enforceable to the fullest extent permitted by law.
22. Further Assurances and Recordations. The Owner covenants that upon
request of the Authority, the Owner, or its heirs, successors or assigns, will execute,
acknowledge and deliver, or cause to be executed, acknowledged and delivered, such further
instruments and agreements and do such further acts as may be necessary, desirable or
proper to carry out more effectively the purpose of this instrument. At the expiration of the
Term, the Authority agrees to provide to the Owner an instrument in recordable form that has
the effect of confirming the termination of the affordable housing requirements of this
instrument.
Concurrent with the recordation of any deed of trust or mortgage which is senior or
subordinate to the Deed of Trust, the Owner, at its sole cost and expense, shall cause to be
recorded in the official records of the Office of the Riverside County Recorder a written request
for a special notice of default in favor of the Authority.
23. Caqtions and Section Headinas. Captions and section headings used
herein are for convenience only and shall not be used in construing this instrument.
24. No Waiver. No waiver by the Authority of its rights hereunder, or of any
breach by the Owner of any covenant, restriction, or condition herein contained, shall be
effective unless such waiver is in writing, signed by the Authority's Executive Director or his
designee and delivered to the Owner. Any waiver by the Authority of its power to terminate the
Owner's estate herein or of any covenant, restriction, or condition herein contained, or the
failure by the Authority to exercise any right or remedy with respect to any breach or breaches,
shall not constitute a waiver or relinquishment for the future of any rights regarding subsequent
sales, or of any such covenant or condition nor bar any right or remedy of the Authority in
respect of any subsequent breach.
25. Entire Aqreement. This instrument constitutes the entire agreement of the
parties hereto, and the provisions hereof may be modified or amended only by a written
instrument signed by the party to be charged.
26. Attornevs' Fees. In any action brought to declare the rights granted herein
or to enforce or to interpret any of the terms of this Restrictive Agreement, the prevailing party
shall be entitled to an award of reasonable attorney's fees in an amount determined by the
court.
27. Amendments. Only the Authority, its successors and assigns, and the
Owner and the successors and assigns of the Owner in and to all or any part of the fee title to
the Unit shall have the right to consent and agree to changes in, or to eliminate in whole or in
«File Path Namex �5
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part, any of the covenants, easements, or other restrictions contained in this Restrictive
Agreement.
28. Successors and Assigns. This Declaration shall be binding upon and
inure to the benefit of the Authority and the Owner, and their respective successors, owners
and assigns. The terms and provisions hereof shall run with the land and shall be a burden
upon the land, including the Unit and each Unit, and shall be binding upon the Owner's
successors in interest as purchasers of the Unit, for the benefit of the Authority.
(END OF REPORT)
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IN WITNESS WHEREOF, the parties hereto have executed this Restrictive Agreement
as of the day and year first above written.
"AUTHORITY" "OWNER"
PALM DESERT HOUSING AUTHORITY,
public body, corporate and politic «Buyer_1»
By: «Buyer_2»
«Chairman», Chairman
Attest: '
Rachelle D. Klassen, Secretary
aFile Path Namen 17
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State of California )
) SS.
County of Riverside )
On , 2013 before me, M. G. Sanchez, a Notary Public, personally
appeared «Chairman» and Rachelle D. Klassen, who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/herltheir signature(s) on the instrument the person(s),
or the entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
State of California )
) SS.
County of Riverside )
On , 2013 before me, , a Notary Public, personally
appeared , who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within instrument and
acknowledged to me that he/she/they executed the same in his/her/their authorized
capacity(ies), and that by his/her/their signature(s) on the instrument the person(s), or the
entity upon behalf of which the person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
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EXHIBIT A
LEGAL DESCRIPTION
That certain real property situated in the City of Palm Desert, County of Riverside, State of
California, described as follows:
LOT «Lot Number» OF TRACT MAP NO. 27546, IN THE CITY OF PALM
QESERT, COUNTY QF RIVERSIDE, STATE QF CALIFORNIA, AS PER MAP
RECORDED IN BOOK 249 OF MAPS, PAGES 63 THROUGH 68, INCLUSIVE,
RECORDS OF SAID COUNTY.
APN: «APN Number»
aFile Path Name» ExhibitA
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PROMISSORY NOTE
SECURED BY DEED OF TRUST
$ccBUYERS A STD dollar» Palm Desert, California
«Prep Date»
�OR VALU€ R€C€IV€D, the undersigned �Maker», ("Maker") hereby promises
to pay to the order of the PALM DESERT HOUSING AUTHORITY, a public body,
corporate and politic ("Holder"), at Palm Desert, California, without deduction or offset,
the sum of «BUYERS A STD worded» Dollars ($ccBUYERS A STD dollar») (the
"Loan"), together with simple interest at the rate of 3% per annum from the close of
escrow as evidenced by the recording date of the Deed of Trust securing this note. If
more than one person is signing this as Maker, then the obligations of the Maker shall
be joint and several.
This Note is secured by that certain Deed of Trust and Assignment of Rents of
even date herewith executed by Maker for the benefit of Holder (the "Deed of Trust"). In
addition, this Note is issued pursuant to and arises out of the terms and conditions of a
Unit Regulatoryand Lien Agreement dated «Prea DateH between «Maker.N and Holder
("Restrictive Agreement") and recorded concurrently with the Deed of Trust securing
this Note.
The principal amount of this Loan shall be due and payable on the forty-fifth
(45th) anniversary of the date on which the Deed of Trust is recorded in the official
records of the County Recorder of the County of Riverside (the "Maturity Date");
provided, however, if Maker has not breached the terms and conditions of either the
Restrictive Agreement, this Note or the Deed of Trust, then Holder agrees to forgive all
principal and interest, if any, on the Maturity Date as provided in the Restrictive
Agreement.
Maker may prepay, without penalty or premium, any amount of the interest, if
any, or principal under this Note prior to the due date hereof. Prepayments shall be
credited first against accrued interest, if any, and the balance shall be credited to
principal.
Should default be made by the undersigned in the performance of any of the
covenants or agreements of the Maker contained in the Restrictive Agreement, this
Note, or the Deed of Trust, and if such default is not cured within five (5) days from
Holder's notice to Maker of such default, then, at Holder's option, all sums owing
hereunder shall, at once, become due and payable. Thereafter, interest shall accrue at
the maximum legal rate permitted to be charged by non-exempt lenders under the usury
laws of the State of California.
This Note and the Deed of Trust by which it is secured shall be governed by and
construed in accordance with the laws of the State of California.
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All parties who are obligated to pay any portion of the indebtedness represented
by this Note, whether as principal, surety, guarantor or endorser, hereby waive
presentment for payment, demand, protest, notice of protest and notice of dishonor, and
all other notices to which they might otherwise be entitled, and further waive all
defenses based on release of security, extension of time or other indulgence given in
respect to payment of this Note, to whomsoever given, and further waive all defenses,
generally except the defense of actual payment of this Note according to its tenor.
The undersigned hereby covenants and agrees to pay all costs and expenses of
collection, whether by suit or otherwise, at any time or from time to time incurred,
including without limitation attorney's fees and all costs and expenses actually incurred
in connection with the protection or realization of the property secured by the Deed of
Trust.
If Maker shall sell, lease, sublease, assign, convey, transfer, encumber,
mortgage, hypothecate or alienate the real property (the "Property") encumbered by the
Deed of Trust, or any part thereof, or any interest therein, or shall be divested of their
title in any manner or way, whether voluntarily or involuntarily, the indebtedness
evidenced hereby, irrespective of the maturity date expressed herein, at the option of
the Holder, upon demand, shall immediately become due and payable, except as
permitted by Holder pursuant to the terms and conditions set forth in the Restrictive
Agreement. To this end, the Deed of Trust securing this Note provides as follows:
If the Trustor shall sell, lease, sublease transfer, assign, convey,
encumber, mortgage, hypothecate or alienate the real property described
herein, or any part thereof, or any interest therein, or shall be divested of
title or any interest therein in any manner or way, whether voluntarily or
involuntarily (except as permitted by Beneficiary pursuant to the terms and
conditions set forth in the Restrictive Agreement), or Trustor shall fail to
make any payments due under the note secured by this Deed of Trust, or
fail to perform any other obligation under said Restrictive Agreement of
even date herewith, this Deed of Trust or the Note, or any other deed of
trust encumbering the subject property, then Beneficiary shall have the
right, at its option, to declare any indebtedness or obligations secured
hereby, irrespective of the maturity date specified in any note evidencing
the same, immediately due and payable.
Notwithstanding the forgoing, if the resale of the Property is to another Qualified
Person (as defined in the Restrictive Agreement), and such purchaser assumes in
writing the obligations of the Restrictive Agreement, this Note, and the Deed of Trust,
then (i) all interest accrued from the date of the seller's acquisition of the Property
through the ctosing date of the resale to the new Qualified Person shall be paid at close
of escrow, (ii) interest shall then accrue from and after the closing date of the resale
(with such accrued interest again to be subject to payment upon another resale to yet
another Qualified Person), and (iii) the principal amount of the Loan shall be due only to
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the extent that the purchase price paid by the purchaser exceeds the amount that would
have been the maximum resale price to another purchaser at the same income level of
the seller (at the time of the seller's original acquisition of the Property). (Thus, if the
seller and the purchaser are of the same income level, then none of the principal would
be due, but if the purchaser is of a higher income level, then it is possible that some of
the principal may be due because the maximum resale price calculated pursuant to the
Restrictive Agreement may be higher if the purchaser is of a higher income level than
was the seller at the time of the seller's acquisition of the Rroperty). At the end of the
45-year term of the Restrictive Agreement, if there have been no resales to any persons
or families other than Qualified Persons, then the principal balance outstanding and any
accrued interest shall be forgiven by the Holder subject to and in accordance with the
provisions of the Restrictive Agreement.
Subject to the foregoing, the terms of this Note shall be binding upon and inure to
the benefit, as the case or context may require, of the respective heirs, successors in
interest and assigns of the undersigned and the Holder.
This note may be subject to Section 2966 of the California Civil Code, which
provides that the Holder of this Note shall give written notice to Maker, or its successor
in interest, of prescribed information at least 60 (sixty) and not more than 150 days
before any balloon payment is due.
Time is of the essence with respect to each and every provision hereof. If any
provision hereof is found to be invalid or unenforceable by a court of competent
jurisdiction, the invalidity thereof shall not affect the enforceability of the remaining
provisions of this Note.
«Buyer_1» Date «Buyer 2» Date
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RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO
Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, �alifornia 92��0
Attn: Housing Department.
SPACE ABOVE THIS LINE FOR RECORDER'S USE
No Recording Fee Required Pursuant to Gov. Code § 6103
LONG FORM DEED OF TRUST AND ASSIGNMENT OF RENTS
A. P. N. «APN Number»
This Deed of Trust, made this «Da � day of «Month», «Year», between «Maker»,
herein called Trustor, whose address is «Propertv Address», Palm Desert, California,
in favor of First American Title Insurance Company, as Trustee, for the benefit of the
PALM DESERT HOUSING AUTHORITY, a public body, corporate and politic, herein
called Beneficiary,
Witnesseth: That Trustor IRREVOCABLY GRANTS, TRANSFERS AND ASSIGNS TO
TRUSTEE IN TRUST, WITH POWER OF SALE, that certain real property and all
improvements located thereon (the "Property") in Riverside County, California,
described as:
LOT «Lot Number» OF TRACT MAP NO. 27546, IN THE CITY OF
PALM DESERT, COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS
PER MAP RECORDED IN BOOK 249 OF MAPS, PAGES 63 THROUGH
68, INCLUSIVE, RECORDS OF SAID COUNTY.
TOGETHER WITH the rents, issues and profits thereof, SUBJECT, HOWEVER, to the
right, power and authority hereinafter given to and conferred upon Beneficiary to collect
and supply such rents, issues and profits.
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For the Purpose of Securing:
(1) Performance of each agreement of Trustor herein contained. (2) Payment of the
indebtedness evidenced by one promissory note of even date herewith, and any
extension or renewal thereof, in the principal sum of «BUYERS A STD worded»
Dollars ($«BUYERS A STD dotlar») executed by Trustor in favor of Beneficiary or
order (the "Note"). (3) The rights of the Beneficiary and the obligations of the Trustor
set forth in that certain Unit Regulatory and Lien Agreement (the " Restrictive
Agreement ") from the original Trustor to Beneficiary dated «Prep Date» and recorded
concurrently herewith.
To Protect the Security of This Deed of Trust, Trustor Agrees:
(1) To keep said Property in good condition and repair; not to remove or
demolish any building thereon; to complete or restore promptly and in good
workmanlike manner any building which may be constructed, damaged or destroyed
thereon and to pay when due all claims for labor performed and materials furnished
therefore; to comply with all laws affecting said Property, or requiring any alterations or
improvements to be made thereon; not to commit or permit waste thereof; not to
cornmit, suffer or permit any act upon said Property in violation of law; and to do all
other acts which from the character or use of said Property may be reasonably
necessary, the specific enumerations herein not excluding the general.
(2) To provide or cause to provide, maintain and deliver to Beneficiary fire
insurance satisfactory to and with loss payable to Beneficiary and any superior trust
deed holder, as their interests may appear. The amount collected under any fire or
other insurance policy may be applied by Beneficiary upon any indebtedness secured
hereby and in such order as Beneficiary may determine, or at option of Beneficiary the
entire amount so collected or any part thereof may be released to Trustor. Such
application or release shall not cure or waive any default or notice of default hereunder
or invalidate any act done pursuant to such notice.
(3) To appear in and defend any action or proceeding purporting to affect the
security hereof or the rights or powers of Beneficiary or Trustee; and to pay all costs
and expenses, including cost of evidence of title and attorney's fees in a reasonable
sum, in any such action or proceeding in which Beneficiary or Trustee may appear, and
in any suit brought by Beneficiary to foreclose this Deed of Trust.
(4) To pay: at least ten days before delinquency all taxes and assessments
affecting said Property, including assessments on appurtenant water stock; when due,
all encumbrances, charges and �iens, with interest, on said Property or any part thereof;
all costs, fees and expenses of this Trust.
Should Trustor fail to make any payment or to do any act as herein provided,
then Beneficiary or Trustee, but without obligation so to do and without notice to or
demand upon Trustor and without releasing Trustor from any obligation hereof, may:
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make or do the same in such manner and to such extent as either may deem necessary
to protect the security hereof, Beneficiary or Trustee being authorized to enter upon said
Property for such purposes; appear in and defend any action or proceeding purporting
to affect the security hereof or the rights or powers of Beneficiary or Trustee; pay,
purchase, contest or compromise any incumbrance, charge or lien; and, in exercising
any such powers, pay necessary expenses, employ counsel and pay his reasonable
fees. All such payments, costs and expenses made or incurred by Beneficiary or
Trustee shall constitute obligations of Trustor secured by this Deed of Trust.
(5) To pay immediately and without demand all sums so expended by
Beneficiary or Trustee, with interest from date of expenditure at the amount allowed by
law in effect at the date hereof, and to pay for any statement provided for by law in
effect at the date hereof regarding the obligation secured hereby any amount demanded
by the Beneficiary not to exceed the maximum allowed by law at the time when said
statement is demanded.
(6) That any award of damages in connection with any condemnation for
public use of or injury to said Property or any part thereof is hereby assigned and shall
be paid to Beneficiary (and to any superior trust deed holder, as their interests may
appear) who may apply or release such moneys received by him in the same manner
and with the same effect as above provided for disposition of proceeds of fire or other
insurance.
(7) That by accepting payment of any sum secured hereby after its due date,
Beneficiary does not waive his right either to require prompt payment when due of all
other sums so secured or to declare default for failure so to pay.
(8) That at any time or from time to time, without liability therefore and without
notice, upon written request of Beneficiary and presentation of this Deed of Trust and
the Note for endorsement, and without affecting the personal liability of any person for
payment of the indebtedness secured hereby, Trustee may: reconvey any part of said
Property; consent to the making of any map or plat thereof; join in granting any
easement thereon; or join in any extension agreement or any agreement subordinating
the lien or charge hereof.
(9) That upon written request of Beneficiary stating that all sums secured
hereby have been paid, and upon surrender of this Deed of Trust and the Note to
Trustee for cancellation and retention and upon payment of its fees, Trustee shall
reconvey, without warranty, the Property then held hereunder. The recitals in such
reconveyance of any matters or facts shall be conclusive proof of the truthfulness
thereof. The grantee in such reconveyance may be described as "the person or persons
legally entitled thereto." Five years after issuance of such full reconveyance, Trustee
may destroy the Note and this Deed of Trust (unless directed in such request to retain
them).
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(10) That as additional security, subject to the rights of superior trust deed
holders, as their interests may appear, Trustor hereby gives to and confers upon
Beneficiary the right, power and authority, during the continuance of these Trusts, to
collect the rents, issues and profits of said Property, reserving unto Trustor the right,
prior to any default by Trustor in payment of any indebtedness secured hereby or in
performance of any agreement hereunder, to collect and retain such rents, issues and
profits as they become due and payable. Upon any such default, Beneficiary may at any
time without notice, either in person, by agent, or by a receiver to be appointed by a
court, and without regard to the adequacy of any security for the indebtedness hereby
secured, enter upon and take possession of said Property or any part thereof, in his
own name sue for or otherwise collect such rents, issues and profits, including those
past due and unpaid, and apply the same, less costs and expenses of operation and
collection, including reasonable attorney's fees, upon any indebtedness secured hereby,
and in such order as Beneficiary may determine. The entering upon and taking
possession of said Property, the collection of such rents, issues and profits and the
application thereof as aforesaid, shall not cure or waive any default or notice of default
hereunder or invalidate any act done pursuant to such notice.
(11) That upon default by Trustor in payment of any indebtedness secured
hereby, or in performance of any agreement hereunder, Beneficiary may declare all
sums secured hereby immediately due and payable by delivery to Trustee of written
declaration of default and demand for sale and of written notice of default and election
to cause to be sold said Property, which notice Trustee shall cause to be filed for
record. Beneficiary also shall deposit with Trustee this Deed of Trust, the Note and all
documents evidencing expenditures secured hereby.
After the lapse of such time as may then be required by law following the
recordation of said notice of default, and notice of sale having been given as then
required by law, Trustee, without demand on Trustor, shall sell said Property at the time
and place fixed by it in said notice of sale, either as a whole or in separate parcels, and
in such order as it may determine, at public auction to the highest bidder for cash in
lawful money of the United States, payable at time of sale. Trustee may postpone sale
of all or any portion of said Property by public announcement at such time and place of
sale, and from time to time thereafter may postpone such sale by public announcement
at the time fixed by the preceding postponement. Trustee shall deliver to such
purchaser its deed conveying the Property so sold, but without any covenant or
warranty, express or implied. The recitals in such deed of any matters or facts shall be
conclusive proof of the truthfulness thereof. Any person, including Trustor, Trustee, or
Beneficiary as hereinafter defined, may purchase at such sale.
After deducting all costs, fees and expenses of Trustee and of this Trust,
including cost of evidence of title in connection with sale, Trustee shall apply the
proceeds of sale to payment of: all sums expended under the terms hereof, not then
repaid, with accrued interest at the amount allowed by law in effect at the date hereof;
all other sums then secured hereby; and the remainder, if any, to the person or persons
legally entitled thereto.
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(12) Beneficiary, or any successor in ownership of any indebtedness secured
hereby, may from time to time, by instrument in writing, substitute a successor or
successors to any Trustee named herein or acting hereunder, which instrument,
executed by the Beneficiary and duly acknowledged and recorded in the office of the
recorder of the county or counties where said Property is situated, shall be conclusive
proof of proper substitution of such successor Trustee or Trustees, who shall, without
conveyance from the Trustee predecessor, succeed to all its title estate, rights, powers
and duties. Said instrument must contain the name of the original Trustor, Trustee and
Beneficiary hereunder, the book and page where this Deed of Trust is recorded and the
name and address of the new Trustee.
(13) That this Deed of Trust applies to, inures to the benefit of, and binds all
parties hereto, their heirs, legatees, devisees, administrators, executors, successors
and assigns. The term Beneficiary shall mean the owner and holder, including
pledgees, of the Note, whether or not named as Beneficiary herein. In this Deed of
Trust, whenever the context so requires, the masculine gender includes the feminine
and/or neuter, and the singular number includes the plural.
(14) That Trustee accepts this Trust when this Deed of Trust, duly executed
and acknowledged, is made a public record as provided by law. Trustee is not obligated
to notify any party hereto of pending sale under any Deed of Trust or of any action or
proceeding in which Trustor, Beneficiary or Trustee shall be a party unless brought by
Trustee.
(15) If the Trustor shall sell, lease, transfer, assign, convey, encumber,
mortgage, hypothecate or alienate the real Property described herein, or any part
thereof, or any interest therein, or shall be divested of title or any interest therein in any
manner or way, whether voluntarily or involuntarily (except as permitted by Beneficiary
pursuant to the terms and conditions set forth in the Restrictive Agreement), or if Trustor
shall fail to make any payments due under the Note, or fail to perform any other
obligation under said Restrictive Agreement, this Deed of Trust or the Note, or any other
deed of trust encumbering the subject Property, then Beneficiary shall have the right, at
its option, to declare any indebtedness or obligations secured hereby, irrespective of the
maturity date specified in any note evidencing the same, immediately due and payable.
Notwithstanding the foregoing, if the resale of the Property is to
another Qualified Person (as defined in the Restrictive Agreement), and such purchaser
assumes in writing the obligations of the Restrictive Agreement, the Note, and this Deed
of Trust, then (i) all interest accrued from the date of the seller's acquisition of the
Property through the closing date of the resale to the new Qualified Person shall be paid
at Close of Escrow, (ii) interest shall then accrue from and after the closing date of the
resale (with such accrued interest again to be subject to payment upon another resale
to yet another Qualified Person), and (iii) the principal amount of the Loan (as defined in
the Restrictive Agreement) shatl be due only to the extent that the purchase price paid
by the purchaser exceeds the amount that would have been the maximum resale price
«Fi�e Path Namen 5
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to another purchaser at the same income level of the seller (at the time of the seller's
original acquisition of the Property). (Thus, if the seller and the purchaser are of the
same income level, then none of the principal would be due, but if the purchaser is of a
higher income level, then it is possible that some of the principal may be due because
the maximum resale price calculated pursuant to the Restrictive Agreement may be
higher if the purchaser is of a higher income level than was the seller at the time of the
seller's acquisition of the Property.) At the end of the 45 year term of the Restrictive
Agreement hereof, if there have been no resales to any person or family other than a
Qualified Person, the principal balance outstanding and any accrued interest shall be
forgiven by the Beneficiary subject to and in accordance with the provisions of the
Restrictive Agreement.
(16) Notwithstanding anything provided herein to the contrary, the Beneficiary
agrees to look solely to the Trustor's interest in the Property encumbered hereby and
improvements thereon (or the proceeds thereof) for the satisfaction of any remedy of
the Beneficiary, and for the collection of a judgment (or other judicial process) requiring
the payment of money by the Trustor, except where such judgment results from a claim
of fraud; intentional misrepresentation; misapplication; misappropriation; or wrongful
retention of rental income; casualty insurance; condemnation proceeds; or other funds
attributable to the Property; the commission of any act of deliberate waste with respect
to the Property encumbered hereby; or the deposit of any hazardous or toxic materials
on the Property encumbered hereby; in which events there shall be no such limitation
on the Beneficiary's recourse against the Trustor.
(17) Any breach or default under the Restrictive Agreement or the Note shall
be deemed a breach of this Deed of Trust.
(18) Immediately prior to the recordation hereof the Trustor is or may be
recording a deed of trust that shall be superior to this Deed of Trust. In such event, such
Deed of Trust recorded prior hereto shall be superior to this Deed of Trust. Therefore, in
the event of the foreclosure of such Deed of Trust, or the conveyance by deed in lieu of
foreclosure of the Property to a bank, savings and Ioan, or other institutional lender that
is the beneficiary of such Deed of Trust superior to the lien hereof, the provisions hereof
shall terminate and be of no force or effect; provided however, if the senior lender
acquires title to the Property pursuant to a deed in lieu of foreclosure, then this Deed of
Trust shall terminate only if (i) Beneficiary has been given written notice of a default
under the senior lender's Deed of Trust, and (ii) the Beneficiary shall not have cured the
default under the senior lender's Deed of Trust, or diligently pursued the curing of the
default as described in the Restrictive Agreement.
The undersigned Trustor requests that a copy of any Notice of Default and of any
Notice of Sale hereunder be mailed to him at his address hereinbefore set forth.
«Buyer_1» Date «Buyer 2» Date
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State of California )
) SS.
County of Riverside )
On , 2013 before me, , a Notary Public,
p�rsonally app�ar�d , who proved t� me an th� basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the
instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
State of California )
) SS.
County of Riverside )
On , 2013 before me, , a Notary Public,
personally appeared , who proved to me on the basis of
satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that he/she/they executed the same in his/her/their
authorized capacity(ies), and that by his/her/their signature(s) on the instrument the
person(s), or the entity upon behalf of which the person(s) acted, executed the
instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that the
foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
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RECORDING REQUESTED BY
AND WHEN RECORDED MAIL TO
Palm Desert Housing Authority
73-510 Fred Waring Drive
Paim De$ert,CA 92260
ATTEN: Housing Department
SPACE ABOVE THIS LINE FOR RECORDER'S USE
Exempt from recording fees pursuant to Gov. Code§6103
A.P.N. ccAPN Number�
Request for Notice
In accordance with Section 2924b, Civil Code, request is hereby made that a copy of any Notice
of Default and a copy of any Notice of Sale under the Deed of Trust recorded concurrent
herewith in the official records of Riverside County, California, and describing land therein as:
LOT «Lot Number� OF TRACT MAP NO. 27546, IN THE CITY OF PALM DESERT,
COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN
BOOK 249 OF MAPS, PAGES 63 THROUGH 68, INCLUSIVE, RECORDS OF SAID
COUNTY.
Executed by as Trustors,
in which is named as Beneficiary
and as Trustee,
be mailed to: Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, CA 92260
«Buyer 1» Date
«Buyer 2» Date
State of California )
County of Riverside )SS.
On , 2013 before me, , a Notary Public, personally appeared-
, who proved to me on the basis of satisfactory evidence to be the person(s)
whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the person(s)acted, executed the instrument.
1 certify under PENALTY OF PERJURY under the laws of the State of California that the foregoing
paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
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BUYERS AFFIDAVIT
Date:
Applicant:
Co-Applicant:
Address:
Telephone: (home) (work)
Are you a First Time Hame Buyer: Q Yes o No
Is the Head of Household (Check all that apply): o Male ❑ Female o Over 55
Names and ages of aii intended occupants:
(If additional space is required,p/ease include a separate sheet with a//of fhe remaining household members)
Name Aae Sex Relationship to Aqplicant Ethnicitv"
M/F
Total number of person(s) in my/our house who will live in the applied-for home is
Household income: Gross Annual Income: $
*ETHNICITY: (Select ONLY one of three race/multi-race categories that best defines�h family members'ethnicity):
Single race category
W White 8 Black/African American A Asian
I American Indian/Alaskan Native P Native Hawaiian/Other Pacific Islander
Multi-race category
IW American Indian/Alaskan Native&White AW Asian&White
BW Black/African American/White IB American Indian/Alaskan Native&Black/African American
Single Hispanic/Multi-HISp1C11C C0111IJ111at1011 P8C@ Cat@gOP�I(Select from ONLYone-either Hispanic only or a combination Ehereo�
H Hispanic(only) HW Hispanic/White HB HispaniclBlack/African American
HA Hispanic/Asian HAW Hispanic/Asian&White HBW Hispanic/Black/African American&White
HIW Hispanic/American Indian/ HIB Hispanic/American IndianlAlaskan O Other(ONLY if none of the above racial
Alaskan Native&White Native&Black/African American categories identifies you.)
I certify that the statements above as well as those contained in my application and supporting documents provided by me as part of a
request for assistance from the Palm Desert Housing Authority,for the purpose of purchasing a home are true and complete to the best of
my knowledge and belief under penalty of perjury I understand the information will be verified. I understand that any false statements or
failure to make any required disclosures may cause me to be disqualified from initial or continuing e�igibi�ity for housing assistance.
cBuyer_1» Date «Buyer_2» Date
. . . - �
Date Received:�_J Reaeived by: LOT#
HUD income year�sed to qualfy: Maximum Acfual Ho�siny Cost(MaxAHC): Minfmum Actual Houaing Coat(M1nAHC):
%of AMI: Actuat Housing Cosf( AcHAHC): %Income to Actual Housing Cost(%Incm):
OVery Low �Low �Medium Entered by: Date:
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THE HOUSING FINANCIAL DISCRIMINATION ACT OF 1977
FAIR LENDING NOTICE
It is illegal to discriminate in the provision of or in the availability of financial assistance
because of the consideration of:
1) Trends, characteristics or conditions in the neighborhood or geographic area
surrounding a housing accommodation, unless the financial institution can
demonstrate in the particular case that such consideration is required to avoid an
unsafe and unsound business practice; or
2) Race, color, religion, sex, marital status, national origin or ancestry.
It is illegal to consider the racial, ethnic, religious or national origin composition of a
neighborhood or geographic area surrounding a housing accommodation or whether or
not such composition is undergoing change, or is expected to undergo change, in
appraising a housing accommodation or in determining whether or not, or under what
terms and conditions, to provide financial assistance.
These provisions govern financial assistance for the purpose of the purchase,
construction, rehabilitation or refinancing of one-to-four unit family residences occupied
by the owner and for the purpose of the home improvement of any one-to-four unit
family residence.
If you have questions about your rights, or in If you wish to file a complaint, contact the
management of this financial institution or:
Department of Real Estate at one of the following locations:
1515 Clay Street, Suite 702, Oakland, CA 94612-1402
320 W. 4th Street, Suite 350, Los Angeles, CA 90013-1105
or Secretary of Business, Transportation and Housing at following location:
980 9t" Street, Suite 2450, Sacramento, California 95814
� • � : � ' � • � • '
Applicant Signature Date Applicant Signature Date
(«Buyer 1») («Buyer_2»)
«File Path Name» 1
DRAFT
DEFINITION OF TRUTH-IN-LENDING TERMS
ANNUAL PERCENTAGE RATE
This is not the Note rate for which the borrower applied. The Annual Percentage Rate (APR) is the cost
of the loan in percentage terms taking into account various loan charges of which interest is only one
suah charge. 4ther charges, which are used in calculation of the Annual Percentage Rate, are Private
Mortgage Insurance or FHA Mortgage Insurance Premium (when applicable) and Prepaid Finance
Charges (loan discount, origination fees, prepaid interest and other credit costs). The APR is
calculated by spreading these charges over the life of the loan, which results in a rate higher than the
interest rate shown on your Mortgage/Deed of Trust Note. If interest was the only Finance Charge,
then the interest rate and the Annual Percentage Rate would be the same.
PREPAID FINANCES CHARGES
Prepaid Finance Charges are certain charges made in connection with the loan and which must be paid
upon the close of the loan. These charges are defined by the Federal Reserve Board in Regulation Z
and the charges must be paid by the borrower. Non-Inclusive examples of such charges are: Loan
origination fee, "Points" or Discount, Private Mortgage Insurance or FHA Mortgage Insurance, Tax
Service Fee. Some loan charges are specifically excluded from the Prepaid Finance Charges such as
appraisal fees and credit report fees.
Prepaid Finance Charges are totaled and then subtracted from the Loan Amount (the face amount of
the Deed of Trust/Mortgage Note). The net figure is the Amount Financed as explained below.
FINANCE CHARGE
The amount of interest, prepaid finance charge and certain insurance premiums (if any) which the
borrower will be expected to pay over the life of the loan.
AMOUNT FINANCED
The Amount Financed is the loan amount applied for less the prepaid finance charges. Prepaid finance
charges can be found on the Good Faith Estimate. For example if the borrower's note is for$100,000
and the Prepaid Finance Charges total $5,000, the Amount Financed would be $95,000. The Amount
Financed is the figure on which the Annual Percentage Rate is based.
TOTAL OF PAYMENTS
This figure represents the total of all payments made toward principal, interest and mortgage insurance
(if applicable) over the life of the loan.
PAYMENT SCHEDULE
The dollar figures in the Payment Schedule represent principal, interest, plus Private Mortgage
Insurance (if applicable) over the life of the loan. These figures will not reflect taxes and insurance
escrows or any temporary buydown payments contributed by the seller.
«File Path Namen �
TRUTH IN LENDING DISCLOSURE STATEMENT
Credi r Applicant(s)
«Buyer 1»
Palm esert Housing Authority «Buyer 2»
Maili Address Property Address
T3-51 Fred Waring Drive, Palm Desert, CA 92260 «Property_Address»
Loan umber Preparation Date
«Loa Number� �cPrep D�te»
ANN AL PERCENTAGE RATE FINANCE CHARGE Amount Financed Total of Payments
fhe cost f your credit as a yeaAy rate. The dollar amount the credit vrill cost you. The amount of credit provided[o you or on your The amount you will have paid after you have m de all
behalf. payments as scheduled.
E 3.0°/a E$ E$ccBUYERS_A STD dollar»* E$�BUYERS_A Total_Paym nts»
«BUYERS_A Finance Charge» *
*
PAY ENT SCHEDULE:
VUMB MONTHLY PAYMENTS ARE DUE 'AINOUN7 MONTHLY PAYMENTS ARE DUE
�F 'AMOUNT OF PAYMENTS BEGINNING NUMBER OF PAYMENTS OF BEGINNING
PAYME TS PAYMENTS
�* $ Only as noted in the loan
eBUYERS_A_Total_Payments»* documents
`No payments are due on this loan provided the borrower remains in compliance with the terms of the Note,Trust Deed,and Unit Regulatory Agreement
(together the"Loan Documents")under which this loan was obtained. In the event of a safe of the property, prior to the expiration of the term, the
principal and interest will be due in accordance with the terms of the Loan Documents.
DEMAND FEATURE: �This loan does not have a Demand Feature ❑ This loan has a Demand Feature
(TEMIZATION: You have a right at this time to an ITEMIZATION OF AMOUNT FINANCED
INVE❑ do � do not want an itemization.
REQUIRED DEPOSIT:
❑The annual percentage rate does not take into account your required deposit.
VARIABLE RATE FEATURE:
❑ This loan has a Variable Rate Feature. Variable Rate Disclosures have been provided to you earlier.
SECURITY: You are giving a security interest in:
ASSUMPTION: Someone buying this property
❑cannot assume the remaining balance due under original mortgage terms
� may assume,subject to lender's conditions,the remaining balance due under original mortgage terms.
FILING/RECORDING FEES: $
PROPERTYINSURANCE:
� Property/hazard insurance is a required condition of this loan. Borrower may purchase this insurance
company acceptable to the lender.
Hazard Insurance❑ is XQ is not available through the lender at an estimated cost of for a MONTH
or TERM.
LATE CHARGES: If your payment is more than_days Iate,you will be charged a late charge of_%of the overdue payment.
PREPAYMENT: if ou prepay this loan in full or in part,you
� May � will not have to pay a penalty.
� May will not be entitled to a refund of part of the finance charge.
See your contract documents for any additional informatlon regarding non-payment,default,required repayment In full before scheduled dates,and payment
refunds and penalties.
E means estimate.
IlWe hereby acknowledge reading and receiving a complete copy of this disclosure. IM/e understand there is no commitment for the creditor to make
this loan and there is no obligation for me/us to accept this loan upon delivery or signing of this disclosure.
aBuyer 1» Date «Buyer 2» Date
uFile Path Name» 2
CALIFORNIA
insurance Disclosure
Loan Number Date
«Loan Number» «Prep_Date»
Borrower
«Maken>
Property Address
«Property_Address»
California Civil Code Section 2955.5(a) states:
"No lender shall require a borrower, as a condition of receiving or
maintaining a loan secured by real property, to provide hazard insurance
coverage against risks to the improvements on that real property in an
amount exceeding the replacement value of the improvements on the
property.,,
Your acknowledgment below signifies that this written notice was provided to you
pursuant to the state statute.
«Buyer_1» Date
«Buyer_2» Date
aFile Path Name» 1
WALK-THROUGH INSPECTION
R€: «Property_Adciress»
Loan #: «Loan Number»
Case#:
GENTLEMEN:
I/WE HEREBY CERTIFY I/WE HAVE MADE A WALK THROUGH INSPECTION OF
THE ABOVE SUBJECT PROPERTY WITHIN 5 WORKING DAYS OF THE CLOSING
OF ESCROW.
«Buyer_1» Date
«Buyer_2» Date
uFile Path Name» �
DISCLOSURE NOTICES
Applicant(s) Property Address
«Buyer_1» cProperty_Address»
«Buyer 2»
AFFIDAVIT OF OCCUPANCY
The Applicant(s)hereby certify and acknowledge that,upon taking title to the real property descnbed above,their occupancy status will be as follows:
',,, �7 Primary Residence-Occupied by Applicant(s)within 30 days of closing.
V � Secondary Residence-To be occupied by Applicants(s)at least 15 days yeaHy,as second home(vacation,etc.),while maintaining principal residence
Z elsewhere. (Please check this box if you plan to establish it as your primary residence at a future date(i.e.,retirement).
Q � Investment property-Not owner occupied. Purchased as an investment to be held or rented.
? The Applicant(s)acknowledge it is a federal crime punishable by fine or imprisonment,or both,to knowingly make any false statements concerning this loan application as applicable
� under the provisions of TiGe 18,United Stated Code,Section 1014.
V
� Date Date
Date Date
FAIR CREDIT REPORTING ACT
� An invesdgadon wiil be made as to the credit standing of all individuais seekfng credit in this applicatlon. The nature and scope of any investigation will be furnished to you upon written
request made within a reasonable penod of tlme. In the event of denied credit due to an unfavoraNe consumer report,you will be advised of the idenury of the Consumer Reporting
� Agency making such report and of right to request within sixty(60)days the reason for ttie adverse action,pursuant to provisions of Section 615(b)of the Fair Credlt Reporting Act.You
LL have the nght under the Fair Credit Reporting Act to know the information contained in your credit file at the Consumer Reporting Agency if an adverse action is taken on your loan
appliption. Under Secdon 612 of the Fair Credit Reporting Act you have the right to obtain within 60 days of an adverse action a free copy of the report from the Consumer Reporting
Agency. You also have the nght to dispute the axuracy or completeness of any information in a consumer credit report fumished by the Consumer Credit Reporting Agency.
EQUAL CREDIT OPPORTUNITY ACT
The Equal Credit Opportunity Act prohitrits creditors from discnminating against credit applicants on a basis of race,color,religion,national wigin,sex,marital staWs,age(provided that
the applicant has the capacity ro enter ioto a binding conVact);because al�or part of the applicanPs inwme derives 6om any public assistance program;or because the app�icant has in
Q good faith exercised any nght under the Consumer Credit Protec6on Acl Income which you receive as alimony,chiid support or separate maintenance need not be disclosed to this
O creditor unless you choose to rely on such sources to qualify for the ioan,Income from these and other sources,induding part-6me or temporary emptoyment,will not be discounted by
this lender because of your sex or marital status. However,we will consider very carefully the stability and probable continuity of any income you disclose to us. The Federal Agency that
V administers compiiance with this law conceming this creditor is:
W
FHA LOANS ONLY
(n IF YOU PREPAY YOUR LOAN ON OTHER THAN THE REGULAR INSTALLMENT DATE,YOU MAY BE ASSESSED INTEREST CHARGES UNTIL THE END OF THAT MONTH.
aGOVERNMENT LOANS ONLY
O RIGHT TO FINANCIAL PRIVACY ACT OF 1978-This is notice to you as required by the Righl to Finanaal Pnvacy Act of 1978 that the Department of Housing and Urban Development
J of Department of Veterans Affairs has a right of access to financial records held by a financial institution in connection with the consideration of administration of assistance to you.
Finandal records involving your transaction will be available to the Department of Housing and Urban Development or Veterans Affairs without further noGce or authorization but will not
be disclosed or released to another Government Agency or Department without your consent except as required or permitted by law.
0 EMPLOYMENT CERTIFICATION
J An approval for a loan is based upon empioyment that,income and obligations as shown on the loan applicaUon. At closing,the applicant and co-applicanUspouse,if applicable,are
a required to execute a sworn statement affirming that they are currently workirg as previously reported,have not received notice of layoff nor have knowledge of pending layoff,and that
� outstanding obligations are substantially the same as reported on the applicatlon. Should a change occur in your employment or fnancial sWtus prior to loan closing,immediately notify
W your loan officer,as it will be necessary to obtain approval of any changes.
ANTI-COERCION STATEMENT
The insurance laws of this state provide that the lender may not require the applicant to take insurance through any particular insurance agent or company to protect the mortgaged
property. The applicant,subject to the rules adopted by the Insurance Commissioner,has the right to have the insurance placed with an insurance agent or company of his choice,
provided the company meets the requirements of the lender. The lender has the right to designate reasonable financial requlrements as to the company and lhe adequacy of the
H coverage.
Z
W I have read the foregoing statement,or the rules ot the Insurance Commissioner relative thereto,and understand my rights and privileges and those of the lender relative to the placing of
�i such insurance.
W
� I have selected the following agencies to write the insurance covering the property described above:
Q
H
N Insurance Company Name Agent
W
V
QAgenYs Address AgenYs Telephone Number
� FLOOD INSURANCE NOTIFICATION
� Federal regulations require us to inform you that the property used as secunty for this loan is located in an area identified by Federal Emergency Management Agency(FEMA)as having
Z special flood hazards and that in the event of damage to the property caused by flooding in a Federally-dedared disaster,Federal disaster relief assistance,if authorized,will be available
for the property. At the closing you will be asked to acknowledge your recelpt of U�is information. If you have any questions concerning this notice,kindly contact your loan offlcer.
IMPORTANT:Please notlfy your insurance agent that the"loss payable'dause for fhe mortgagee on both be hazard and flood insurance must read as follows,unless ofherwise advised.
Z INJe hereby certify that Ilwe have read the NoUces set forth above and fully understand all of the above. In addiGon to these Notices,Ilwe the applica�t(s)certify that I/we have received
O the"Buying Your Home•Settlement Costs and Helpful information"booklet and the"Consumer Handbook on Adjustable Rate Mortgages:(CHARM booklet). If applicable.
F
Q
(.� «Buyer_tn Date eBuyer_2n Date
LL
H
zDate Date
«Fiie Path Namen �
DRAFT
Recording Requested By, and
When Recorded, Mail To:
Palm Desert Housing Authority
73-510 Fred Waring Drive
Palm Desert, CA 92260
Attn: Director of Housing
Free RecorcJing Requested Pursuant To Government Gode S�tion 27383
---------------------------------------Space Above This�ine for Recorder's Use-----------------------------------------
APN(s): «APN Number»
NOTICE OF AFFORDABILITY RESTRICTIONS ON
TRANSFER OF PROPERTY
Important notice to owners, purchasers, lenders, brokers, escrow and title
companies, and other persons, regarding affordable housing restrictions on the real
property described in this Notice: Restrictions are concurrently being recorded
with respect to the property described below (referred to in this Notice as the
"Property") which restrict the price and terms at which the Property may be sold.
These restrictions may limit the sales price of the Property to an amount which
is less than the fair market value of the Property. These restrictions limit the
income of persons and households who are permitted to purchase the Property
pursuant to California Health and Safety Code Section 33334.3(f)(1).
This NOTICE OF AFFORDABILITY RESTRICTIONS ON TRANSFER OF
PROPERTY (the "Notice"), is executed this «Day» day of «Month», «Year», by
the Palm Desert Housing Authority ("Authority"), whose address is 73510 Fred
Waring Drive, Palm Desert, CA and «Maker» ("Owner") whose address is
«Property_Address», Palm Desert, CA, in connection with that certain Unit
Regulatory and Lien Agreement, ("Restrictive Agreement") between Owner and
the Authority.
RECITALS
A. Owner is the owner of that certain real property described in Exhibit
"A", more commonly known as «Property_Address», in the City of Palm
Desert, State of California bearing Assessor's Parcel Number(s)
«APN_Number» (the "Property").
aFile Path Nameu �
DRAFT
B. Owner and Authority have entered into the Restrictive Agreement
which is being recorded substantially concurrently herewith in the official
records of the County Recorder of Riverside County ("County Recorder").
C. Capitalized terms used herein but not defined shall have the
meanings set forth as described in the Restrictive Agreement.
TERMS OF NOTICE
1. Requirement for Recorded Notice. This Notice is being executed
and recorded pursuant to California Health and Safety Code Section
33334.3(f)(3)(B).
2. Restrictive Aqreement. This Notice is being recorded in the official
records of the County Recorder substantially concurrently with the recordation
of the Restrictive Agreement, which is incorporated herein by reference.
3. Recitation of Affordabilitv Restrictions. Subject to the terms and
conditions thereof, the Restrictive Agreement restricts the occupancy of the
Property to occupancy by «LowMod» Income Households at an Affordable
Housing Cost (as defined in the Restrictive Agreement) as the principal
residence of the Owner (and subsequent owners) for a term which is 45 years
from the recording of this document.
IN WITNESS WHEREOF, this Notice has been executed as of the day
and year first above written.
"AUTHORITY" "OWNER"
PALM DESERT HOUSING
AUTHORITY, public body, corporate «Buyer_1»
and politic
«Buyer_2»
By:
Jan C. Harnik,Chairman
«File Path Namea 2
DRAFT
State of California )
) ss.
County of Riverside )
On , 2013, before me, M. G. Sanchez, a Notary Public,
personaily appeared Jan C. Harnik, who proved to me on the basis of satisfactory
evidence to be the person(s) whose name(s) is/are subscribed to the within
instrument and acknowledged to me that helshe/they executed the same in
his/her/their authorized capacity(ies), and that by his/her/their signature(s) on the
instrument the person(s), or the entity upon behalf of which the person(s) acted,
executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that
the foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
State of California )
) ss.
County of Riverside )
On , 2013, before me, , a Notary
Public, personally appeared , who proved
to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are
subscribed to the within instrument and acknowledged to me that he/she/they
executed the same in his/her/their authorized capacity(ies), and that by his/her/their
signature(s) on the instrument the person(s), or the entity upon behalf of which the
person(s) acted, executed the instrument.
I certify under PENALTY OF PERJURY under the laws of the State of California that
the foregoing paragraph is true and correct.
WITNESS my hand and official seal. (Seal)
Signature
«Fil� Path Nameg 3
DRAFT
EXHIBIT "A"
That certain real Property situated in the City of Palm Desert, County of Riverside,
State of California, described as follows:
LOT «Lot Number» OF TRACT MAP NO. 27546, IN THE CITY OF PALM DESERT,
COUNTY OF RIVERSIDE, STATE OF CALIFORNIA, AS PER MAP RECORDED IN BOOK
249 OF MAPS, PAGES 63 THROUGH 68, INCLUSIVE, RECORDS OF SAID COUNTY.
APN: «APN Number»
aFile Path Name» ExhibitA