[WSBARP] Extension of Prom Note and Deed of Trust

[Joseph McIntosh]

I think it depends on the terms of your contract.  If the grantor agreed the deed of trust would secure extensions to the obligation that you are now contemplating, I think you should be fine.

If the agreement was to strictly secure a loan that matured next spring, I was strongly consider a new security instrument, with all the formalities, and accurately identifying the modified obligation.  You don't want to run afoul of the statute of frauds for deeds of trust, if it can be avoided.

From: wsbarp-bounces at lists.wsbarppt.com [mailto:wsbarp-bounces at lists.wsbarppt.com] On Behalf Of Timothy Lehr
Sent: Tuesday, December 14, 2021 9:39 AM
To: WSBA Real Property Listserv <wsbarp at lists.wsbarppt.com>
Subject: [WSBARP] Extension of Prom Note and Deed of Trust

All,

I have a client that would like to extend a promissory note he is the holder of, rather than collect the balloon payment (which is due next spring). It was a seller financed deal on real estate and the note is also secured by a deed of trust on the property. Assuming both parties agree to this extension, is there anything that needs to be filed to "extend" the deed of trust, does a new deed of trust need to be recorded, or does the original deed of trust continue to secure the extension of the note? This is my first time dealing with this, seemingly, straight-forward process.

Thank you,

Timothy C. Lehr
Attorney at Law

[cid:image001.jpg at 01D7F0CF.9BAD2070]

p:   360.855.0131
e:   timothy at stileslaw.com<mailto:timothy at stileslaw.com>
w:  www.stileslaw.com<http://www.stileslaw.com/>

NOTICE: The information contained in this email is proprietary and/or confidential and may be privileged. If you are not the intended recipient of this communication, you are hereby notified to : (i) delete the email and all copies; (ii) not disclose, distribute or use the email in any manner; (iii) notify the sender immediately. Thank you.

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20211214/4a4da753/attachment.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 5087 bytes
Desc: image001.jpg
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20211214/4a4da753/image001.jpg>