What is an "agreement rider"?

Question

I can't attach or hotlink the document from the recorder's website but I can send it to anyone willing to help. I found a foreclosure in progress that I'd like to pursue but I'm not sure what I'm reading to be honest. Anyone willing to help, PM me your email address and I'll send it over!

Dave Toelkes · Answer

Justin, 
                    
                    You have a one page addendum to a mortgage.  The addendum is titled "Agreement Rider".  This addendum refers to the Future Advance Clause of the mortgage agreement and the parties signing the Rider specifically agree that any future advances made will not be covered by the mortgage instrument.
                    
                    A Future Advance Clause is most often found in a construction loan where the mortgagors draw against the maximum loan amount to make progress payments to their builder.  
                    
                    In most cases (check your state law on future advances), the future advance clause is only valid up to the dollar limit recorded on the mortgage. In other words, if your mortgage is filed for $200,000 and you're advancing $225,000, the additional $25,000 would not be covered by your mortgage.
                    
                    Since this mortgage was filed and recorded in 2004, I am guessing that the home construction has been completed for some time and that the builder has received all compensation due under his construction contract.  At this late date, I seriously doubt that the defaulting homeowners are making any advances to their builder for any construction that might not have been completed at the time the loan was settled.
                    
                    In the event, the homeowners did make any payments to the builder after the loan was settled, they did so out of their pocket and can not have their costs reimbursed by the lender and can not have the amount added to their loan balance.
                    
                    Does this answer your question?

Justin H. · Answer

Weird, I double checked and the section "Block all messages from noncolleagues" is unchecked so I'm not sure why it says that. Anyway, I approved your request, PM me your email. I appreciate your willingness to help.

Dave Toelkes · Answer

Justin,

I can't PM you because you are not one of my "colleagues".  Invite me to be your colleague, and I will be happy to look at whatever it is you want to send me.

No guarantee that I will be able to help, but I am willing to try.

Justin H. · Answer

Thanks Steve, that's correct. It uses cookies to store your session. Linking to the page doesn't work. Anyone willing to receive a pdf?

Joshua Dorkin · Answer

Why can't you link to this doc?

Steve Babiak · Answer

Josh,

In the counties I work in my area, there is online search - but they use cookies, so there is no way to do a link directly to anything there that I find.  My wife used to always send me links from her searches, until I told her they don't work.

So that is one possibility.  The other is I had to "join" the county website with user name and password; it doesn't work without those.

I could probably come up with others, and you being a web expert, you're probably now able to think up some too on your own.