Promissory Note (Fixed Rate, Full Recourse) (Residential Property Loan) (Lender-friendly) (California)

The Promissory Note (Fixed Rate, Full Recourse) (Residential Property Loan) (Lender-friendly) (California) is a legal template that outlines the terms and conditions of a loan agreement specific to residential property transactions within the state of California.

This template is specifically designed to favor the interests of the lender, providing them with added protection and ensuring full recourse in case of default by the borrower. It establishes a fixed interest rate, which means that the interest rate remains constant for the duration of the loan.

The note requires the borrower to make regular payments towards the principal loan amount and interest, as agreed upon in the loan agreement. It also specifies the consequences of late payments or default by the borrower, including penalties, additional interest, or potential foreclosure proceedings.

As it relates to residential property loans, this template addresses various applicable legal requirements specific to California, ensuring compliance with relevant state laws and regulations. It also includes provisions regarding the use and occupation of the residential property, potential prepayment penalties, and conditions for loan acceleration.

By utilizing this lender-friendly legal template, both parties involved can establish a clear understanding of their rights and obligations during the loan term, minimizing the potential for disputes and providing a legally sound foundation for the residential property loan transaction in California.