HomeMy WebLinkAboutAGENDA REPORT 1999 0317 CC REG ITEM 11IrrEM 11=
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CITY OF MOORPARK�
AGENDA REPORT
TO: Honorable City Council
FROM: Nancy Burns, Senior Management Analyst
DATE: it March 1999 (CC Meeting of 17 March 199 )
SUBJECT: Consider Releasing First Time Home Buyer
Participant (Robert and Laurie Gaston) from
Agreement Concerning Resale Conditions
On August 15, 1990, Council authorized the Mayor to execute
documents for the City's First Time Home Buyer Program in the
Griffin Homes development. This program provided thirty thousand
dollars ($30,000) to each participant, in the form of a second
mortgage. This second mortgage bore no interest for the first five
(5) years and required no payments during that time. At the end of
the five (5) year period, the loans became fully amortizing for ten
(10 ) year terms at the interest rate of 5.71 %. Five homes were
purchased by Low /Moderate Income buyers under this program. Three
of the second mortgages have been paid off in resale transactions;
the City has been receiving payments on the remaining two
outstanding mortgages.
First Time Home Buyer Program participants Robert and Laurie
Gaston, 15303 Stanley Court, are in escrow to refinance their first
and second mortgages and request release from the Agreement which
provides for shared appreciation at time of resale. The Gastons
have agreed to pay the City the shared appreciation stipulated in
the Agreement, as though this was a sale transaction, if they can
be released from further liability under the Agreement. That
amount is twenty -five hundred dollars ($2,500). The Agreement
specifies that for years six to fifteen of the agreement, the
amount due at sale is equal to ten percent (10 %) of the difference
between the sales price and the original purchase price of two
hundred ten thousand dollars ($210,000), less the City's share of
0 00-116
Gaston Release from Agreement
Page 2 of 2
Meeting of 17 March 1999
any commission due on the sale. Since this is a refinance, there
is no commission involved in this transaction. The current
appraised value is two hundred thirty -five thousand dollars
($235,000). A copy of the Agreement has been provided to the
Council under separate cover.
Recommendation
Upon collection of twenty -five hundred dollars ($2,500), release
First Time Home Buyer Program participants Robert and Laurie Gaston
from Agreement concerning shared appreciation based on resale price
and authorize Mayor to execute Release agreement.
Attachments: Release
C: \M \NLB \AGNDARPT\
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When recorded return to:
Robert Gaston
Laurie Gaston
15303 Stanley Ct.
Moorpark, CA 93021
RELEASE
Whereas the City of Moorpark entered into an agreement dated
October 11, 1990 with Robert and Laurie Gaston, which agreement
was recorded in the office of the Ventura County Recorder on
October 12, 1990 as Document No. 90- 153871, and
Whereas, said agreement contains, among other things, certain
provisions relating to the sale of the home and
"shared appreciation" and
Whereas the City of Moorpark and Robert and Laurie Gaston
have determined that, in consideration of the sum of $2,500.00,
payment of which is to be made concurrently with the recordation
of this release, said agreement and each and every provision
contained therein shall be immediately terminated and of no
futher force and effect;
NOW THEREFORE, the City of Moorpark, in consideration of the
sum of $2,500.00, hereby releases Robert Gaston and Laurie Gaston,
their successors and assigns and the real property described in
Exhibit A attached hereto and made a part hereof from each and
every provision contained in that certain "Agreement" dated
October 11, 1990 and recorded in the Office of the Ventura County
Recorder on October 12, 1990 as Document No. 90- 153871. Said
"Agreement" is hereby terminated in its entirety and shall
have no futher force or effect.
Dated: March 10, 1999
CITY OF MOORPARK
By:
00 SS
EXHIBIT "A"
Lot 134 of Tract 3963 -1, in the City of Moorpark, County of Ventura,
State of California, as per map recorded in Book 107, page(s) 90 to 103
inclusive of Maps, in the office of the County Recorder of said County.
EXCEPT all of the coal, lignite, coal oil, petroleum, naptha, asphalt,
maltha, brea, natural gas, and all kindred or similar minerals or
mineral substances and other rights as reserved by Simi Land and Water
Company in deed recorded November 16, 1889 in Book 29, page 314 of
Deeds.
By instrument recorded October 13, 1972 in Book 4475, page 900 and
recorded October 7, 1986 as Document No. 86- 138992, both of Official
Records, all rights to enter upon the surface of said and to use of the
subsurface of said land above a depth of 100 feet below the surface
thereof were relinquished.
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