Deed of Trust (Mortgage Alternative) - North Dakota

NORTH DAKOTA MORTGAGE

(Mortgage Instrument Served at the Preserved Deed-of-Trust URL)

State of North Dakota

WHEN RECORDED RETURN TO:
[NAME]
[ADDRESS]
[CITY, STATE ZIP]

Date: [__/__/____]
Document Number: _________________ (Recorder's Use)
Property Address: [PROPERTY ADDRESS, CITY, ND ZIP]
Parcel ID: [PARCEL ID]

IMPORTANT NOTICE — PRIVATE MORTGAGES ARE FORECLOSED BY ACTION

This instrument creates a mortgage lien under N.D.C.C. chapter 35-03. It does not appoint a private foreclosure trustee. Under N.D.C.C. § 35-22-01, foreclosure by advertisement is limited to a mortgage held by the State or one of its agencies, departments, or instrumentalities; every other real-property mortgage must be foreclosed by action. The owner-occupied homestead deficiency protection in § 32-19-03 applies only when its property, unit, acreage, occupancy, and homestead elements are met.

MORTGAGE

THIS MORTGAGE is made on [__/__/____] by and between:

MORTGAGOR (Borrower):
[MORTGAGOR NAME(S)]
[ADDRESS]
[CITY, STATE ZIP]

MORTGAGEE (Lender):
[MORTGAGEE NAME]
[ADDRESS]
[CITY, STATE ZIP]

Mortgagee post-office address required for recording by N.D.C.C. § 35-03-04: [________________________________]

RECITALS AND GRANT

WHEREAS, Mortgagor is indebted to Mortgagee in the principal sum of [PRINCIPAL AMOUNT] DOLLARS ($[AMOUNT]), as evidenced by a promissory note dated [__/__/____] (the "Note"), with a final maturity date of [__/__/____];

FOR VALUE RECEIVED, Mortgagor mortgages to Mortgagee, without a change in possession, Mortgagor's transferable interest in the following real property situated in [COUNTY] County, North Dakota (the "Mortgaged Property"), as security for the Secured Obligations defined below:

SEE EXHIBIT A ATTACHED HERETO AND INCORPORATED HEREIN BY REFERENCE

Property Address: [PROPERTY ADDRESS], [CITY], North Dakota [ZIP CODE]

TOGETHER WITH the buildings, improvements, fixtures, easements, rights, and appurtenances that are part of the real property and are identified in [EXHIBIT / SCHEDULE]. Personal property is not included unless it is specifically described and separately subjected to an effective security interest under applicable law.

ARTICLE I - OBLIGATIONS SECURED

This Mortgage secures to Mortgagee:
(a) The repayment of the debt evidenced by the Note, with interest, and all renewals, extensions, and modifications;
(b) The payment of sums advanced under this Mortgage to protect the Mortgaged Property or lien, but only as authorized by the loan documents and applicable law; and
(c) The performance of Mortgagor's covenants in this Mortgage and the Note.

ARTICLE II - COVENANTS OF MORTGAGOR

Mortgagor covenants and agrees as follows:

2.1 Payment. Mortgagor shall pay when due the principal and interest on the debt evidenced by the Note and all other sums validly secured hereby.

2.2 Insurance. Mortgagor shall maintain the insurance described in [INSURANCE SCHEDULE], subject to applicable law and any controlling loan program requirements, with Mortgagee identified in the capacity stated there.

2.3 Taxes and Assessments. Mortgagor shall pay before delinquency all taxes, assessments, and charges against the Mortgaged Property, except amounts contested through a permitted procedure without impairing Mortgagee's lien.

2.4 Maintenance. Mortgagor shall maintain the Mortgaged Property in good condition and repair and shall not commit or permit waste.

2.5 Title and Priority. Mortgagor states the title interest being mortgaged, existing liens, permitted encumbrances, and intended priority in [TITLE AND LIEN SCHEDULE]. This Mortgage does not itself guarantee first priority.

2.6 Compliance. Mortgagor shall comply with the identified requirements in [PROPERTY COMPLIANCE SCHEDULE] to the extent applicable to Mortgagor and the Mortgaged Property.

ARTICLE III - DEFAULT AND FORECLOSURE

3.1 Events of Default. The following shall constitute Events of Default:
(a) Failure to make any payment when due under the Note or this Mortgage;
(b) A material breach of a covenant in this Mortgage that remains uncured after every notice and cure period required by the Note, this Mortgage, a controlling loan program, or applicable law; and
(c) Another event expressly defined in the Note or a rider as a default, but only to the extent enforceable under applicable law.

PRE-FORECLOSURE REQUIREMENTS

3.2 Statutory Notice and Cure Gate. At least 30 days and not more than 90 days before commencing a foreclosure action or proceeding, the foreclosing party must serve the record title owner with the written notice required by N.D.C.C. §§ 32-19-20 through -27, subject to the statute's deceased-owner, abandoned-property, attempted-service, personal-representative, actual-receipt, and proof provisions. Section 32-19-21 requires the notice to state the real-estate description, mortgage date and amount, separately itemized cure amount and qualifying advances, and the 30-day foreclosure warning.

3.3 Statutory Cure. If the record title owner or appointed personal representative cures the mortgage default within 30 days after service of the notice, N.D.C.C. § 32-19-28 requires reinstatement. Do not shorten, waive, or replace any longer or additional notice, loss-mitigation, servicing, bankruptcy, military, loan-program, or other protection that applies to the particular loan.

JUDICIAL FORECLOSURE (N.D.C.C. Chapter 32-19)

3.4 Judicial Foreclosure Only for a Private Mortgage. N.D.C.C. § 32-19-01 requires a district-court action to foreclose this private mortgage. Section 35-22-01 does not authorize Mortgagee to conduct a private trustee sale or foreclosure by advertisement. Any power-of-sale wording is limited by that prohibition and creates no self-help sale route.

3.5 Complaint, Judgment, and Sale Gate. Under §§ 32-19-04 and -06, the complaint and judgment must address the mortgage, applicable redemption period, any permitted deficiency request, the amount due, costs, sale, and possession. Section 32-19-08 sends a judgment sale to the sheriff, deputy, or court-appointed person in the county and to the execution-sale notice procedure; § 28-23-04 generally requires three successive weekly publications, with the last at least 10 days before sale. Confirm every case-specific order and later amendment before enforcement.

REDEMPTION PERIOD

3.6 Redemption Classification. N.D.C.C. § 32-19-18 provides:
(a) a general redemption period of 60 days after the foreclosure sale, subject to the abandoned-property and agricultural rules;
(b) for agricultural land, 365 days after filing of the summons and complaint or the first publication of the notice by advertisement, with a final redemption date no earlier than 60 days after the sheriff's sale; and
(c) possible elimination or alteration of the period only through authority such as the abandoned-property procedure in § 32-19-19. Record the selected classification and calculation in [REDEMPTION SCHEDULE].

DEFICIENCY JUDGMENT RESTRICTIONS

3.7 Deficiency Classification. Under N.D.C.C. § 32-19-03, no deficiency judgment may be obtained in a foreclosure of residential property with four or fewer units, on up to 40 contiguous acres, containing a residence occupied by the owner as a homestead. Agricultural land over 40 acres, commercial property, and other cases have different fair-market-value, pleading, appraisal, timing, and enforcement rules under §§ 32-19-03, -06.1, and -06.2. This Mortgage does not predetermine deficiency eligibility.

ARTICLE IV - RELEASE

4.1 Satisfaction. When the recorded Mortgage is paid in full or otherwise satisfied and discharged, Mortgagee shall execute a properly acknowledged certificate of discharge containing the information required by N.D.C.C. § 35-03-16.

4.2 Recording. Mortgagee shall present the signed certificate of discharge for recording in the property county within 30 days after it is signed, as required by § 35-03-16.

ARTICLE V - RECORDING REQUIREMENTS

5.1 Recording. This Mortgage may be recorded with the County Recorder of [COUNTY] County, North Dakota after the title professional confirms the correct county, legal description, execution, acknowledgment, original-signature, indexing, and intake requirements. N.D.C.C. §§ 35-03-02, 35-03-04, and 47-19-03.

5.2 Format and Fees. Before submission, confirm the current N.D.C.C. § 11-18-05 rules, including an adequate legal description, at least 10-point Calibri text for a nongovernment form, a three-inch recorder space across the first page, one-inch margin space, page count, referenced instruments, and the current fee.

5.3 Homestead Execution Gate. If the Mortgaged Property is the homestead of a married person, both spouses must execute and acknowledge the Mortgage under N.D.C.C. § 47-18-05. If the mortgage is a non-purchase-money mortgage on a homestead of 40 acres or more, insert the exact conspicuous notice and obtain the separate dated signature required by § 47-18-05.1. Do not use the notice without confirming acreage, homestead, and purchase-money status.

ARTICLE VI - MISCELLANEOUS PROVISIONS

6.1 Governing Law. This Mortgage shall be governed by North Dakota law, subject to controlling federal law and any mandatory law selected by the transaction, property, parties, or loan program.

6.2 Successors and Assigns. This Mortgage binds and benefits the parties and their permitted successors and assigns, subject to applicable law and the Note.

6.3 Severability. If any provision is held invalid, all other provisions remain in full force.

6.4 Notices. Contract notices shall be in writing and delivered as stated in [NOTICE SCHEDULE]. A contract notice does not replace a statutory, rule-based, loan-program, or court-ordered notice.

6.5 Integrated Loan Documents. The Note, this Mortgage, and the identified riders and schedules comprise the written loan documents. No integration term waives a nonwaivable protection or controls a person who is not a party.

ARTICLE VII - RIDERS AND ADDENDA

The following riders are attached only if applicable, completed, and reviewed:

☐ Adjustable Rate Rider
☐ Condominium Rider
☐ Planned Unit Development Rider
☐ Second Home Rider
☐ 1-4 Family Rider
☐ Agricultural Property Rider
☐ Other: [SPECIFY]

SIGNATURE PAGE

IN WITNESS WHEREOF, Mortgagor has executed this Mortgage as of the date stated above.

MORTGAGOR(S):

_______________________________
[MORTGAGOR NAME]
Date: _________________________

_______________________________
[SECOND MORTGAGOR / HOMESTEAD SPOUSE, IF APPLICABLE]
Date: _________________________

CONDITIONAL HOMESTEAD-WAIVER NOTICE AND SEPARATE SIGNATURE

I understand that homestead property is in many cases protected from the claims of creditors and exempt from judicial sale and that, by signing this contract, I voluntarily give up my right to this protection for this property with respect to claims based upon this contract.

Separate signature: _______________________________ Date: [__/__/____]

Separate signature: _______________________________ Date: [__/__/____]

ACKNOWLEDGMENT

STATE OF NORTH DAKOTA
COUNTY OF [COUNTY]

This record was acknowledged before me on [__/__/____] by [MORTGAGOR NAME(S)].

_______________________________
Notary Public
My Commission Expires: ___________

[NOTARIAL OFFICER STAMP]

EXHIBIT A

LEGAL DESCRIPTION

The land referred to herein is situated in [COUNTY] County, State of North Dakota, and is described as follows:

[INSERT COMPLETE LEGAL DESCRIPTION]

Parcel ID: [NUMBER]

Loan document prepared by:
[PREPARER NAME]
[ADDRESS]
[PHONE]
[EMAIL]