I belong to a listserv that covers real estate issues. There are some pretty lively discussions, but many of the topics are technical and dry. This morning there was some fun waiting in my “inbox” and I wanted to share it with you.
The writer said he found the following mortgage clauses in a PBI coursebook. I’m willing to be bet if we read our Bank of America or Regions Bank mortgages all the way to the end, we might find similar language:
“35. Death. Upon the death of any individual Borrower, the lien of this Instrument will extend to, and include, any cemetery plot, crypt, or other place of final interment of such deceased Borrower, together with any and all rents, issues, incomes and profits arising therefrom, and any and all renewals, replacements, accessions, improvements, and substitutions thereof and therefor, and a prior perfected security interest in and to any and all effects, articles of personal adornment, gold fillings and caps, and other things of value severed or capable of severance without material injury or desecration to the corpse of the deceased Borrower. The foregoing lien and security interest may be enforced and realized upon by any lawful procedure and will continue until the first to occur of the following: (i) full payment of the Indebtedness, or (ii) Lender is furnished with substitute collateral of equal or better class, quality, usefulness and value of the deceased Borrower.
36. End of the World. Upon the occurrence of the end of the world before full and final payment of the Indebtedness, at Lender’s option, the unpaid principal balance of the Indebtedness and all accrued and unpaid interest, fees, and prepayment or yield maintenance charges thereon shall become immediately due and payable in full, and the obligation to repay the same, with or without demand my be enforced by Lender by any available procedure. For such remedial purposes, Lender will be deemed aligned with the forces of light, and Borrower with the forces of darkness, regardless of the parties’ actual ultimate destinations, unless and until Lender elects otherwise in writing. Notwithstanding anything contained herein to the contrary, Borrower shall have a period not to exceed seven (7) days in which to effectuate a cure; provided however, that Borrower shall perform no servile work on either the first (1st) or seventh (7th) day of such period, as Borrower shall in good faith elect.”
Maybe you blog readers interested in Seller Financing issues might want to add these clauses to your mortgages 🙂 No, don’t take me seriously!!