03/17/2023
I received a request from an individual wanted to make a lender connection. I did a search and discovered this loan agreement submitted to a court upon foreclosure of the loan. Wow, what part of this loan agreement would anyone want to consent to? I passed on the connection. As your Realtor, I'll read your lender's documents and I'll suggest you use reputable attornies to complete your real estate closings. Can you do this? Yes. Should you? I'd recommend against it:
Loan Funder provided financing to Alex for the purchase and renovation of property located at 3608 Kumulani Street, Honolulu, Hawaii 96822, designated as Tax Map Key No. (1) 2-9-064-049 (the "Property"). Complaint, ¶ 7. To that end, Loan Funder and Alex executed a Promissory Note dated August 16, 2017 in the amount of $917,681.00 with an annual interest rate of 10.99% or 45% per year in the case of default, and a maturity date of August 15, 2018 ("Promissory Note"). Id. at ¶ 9 and Exhibit "1". Hodge executed a Commercial Guaranty dated August 16, 2017, unconditionally guaranteeing payment of the Promissory Note ("Guaranty"). Id. at ¶ 10 and Exhibit "2". The Promissory Note is secured by Alex's interest in the Property pursuant to a Mortgage recorded in the Hawaii Bureau of Conveyances as Document No. A-64510304 ("Mortgage"). Id. at ¶11; see also Motion, Exhibit "3". Pursuant to the Mortgage, any failure by Alex to pay any installment payment of principal or interest under the Promissory Note within five days after it becomes due and payable constitutes an event of default. Motion, Exhibit "3", art. 2.01.
