FIXED RATE MORTGAGE LOAN DISCLOSURE
IMPORTANT LOAN INFORMATION ON FIXED RATE MORTGAGE LOAN
PLEASE READ CAREFULLY
If you wish to apply for a Fixed Rate Mortgage Loan (“Loan”) with CS Mortgage Ltd. (the “lender”), you should read the information below.
There may be other types of financing available from the Lender. Information disclosures describing other available mortgage loans will be
provided to you upon request. This disclosure is for informational purposes only and does not constitute a commitment on the part of the
Lender to provide any financing. The Lender reserves the right to make changes at any time with regard to any matter covered in this
If you obtain a loan, the loan note, security instrument and any other related documents (collectively the “Loan Documents”) will control the
terms of the Loan; therefore, you should become familiar with and understand the provisions of the Loan Documents. Upon execution of
the Loan Documents, both the Lender and you will become bound by the terms of the Loan Documents.
1. ASSUMPTION OF YOUR LOAN (“DUE ON SALE”)
The Loan Documents include a “due-on-sale” provision. This means that if you sell or transfer any interest in the property which
has been mortgaged to secure the Loan (“Property”) (or if the title to the Property is held by a land trust, sell or transfer the beneficial interest
in the trust) without the Lender’s written consent, it may, subject to certain limitations set forth below that are applicable to VA Insured or
Guaranteed Loans and FHA Insured Loans, demand immediate repayment of all sums due in connection with the Loan. If the indebtedness
is not repaid upon demand, the Lender may foreclose and sell the property.
If your loan is a conventional Loan and if the Lender chooses to permit your Loan to be assumed, the purchaser must meet the
Lender’s credit standards and the Lender will have the right to change the Loan terms, including the interest rate, upon assumption.