KAUR, NAMNEET - PROMISSORY NOTE TEN YEAR DEFERRED

trust and new resale restriction agreement, in forms acceptable to the City and only in an amount necessary to allow the Residence to be affordable to the Eligible Purchaser. 4. Definitions. The terms set forth in this section shall have the following meanings in this Note. a) "Eligible Purchaser" shall mean a purchaser whose income, adjusted for household size, does not exceed the income level of the original purchaser based on the income levels established for Alameda County and published by the California Department of Housing and Community Development. (b) "Eligible Transfer" shall mean a transfer to an Eligible Purchaser. (c) "Median Income" shall mean the yearly median income adjusted for family size for a household in County of Alameda as published by the California Department of Housing and Community Development. (d) "Residence" shall mean the housing unit and land which secure the Deed of Trust executed in connection with this Note. (e) "Transfer" shall mean any sale, assignment or transfer, voluntary or involuntary, of any interest in the Residence, including, but not limited to, a fee simple interest, a joint tenancy interest, a life estate, a leasehold interest for more than two (2) months during any twelve (12) month period without the written consent of the City, or an interest evidenced by a land contract by which possession of the Residence is transferred and Borrower retains title, except transfers by gift, devise or inheritance to an existing spouse, surviving joint tenant, or a spouse as part of a dissolution proceeding, or in connection with marriage shall not be a transfer for purposes of this Note. 5. Attorney Fees and Costs. Borrower agrees that if any amounts duc under this Note are not paid when due, to pay in addition to principal and interest, all costs and expenses of collection and reasonable attorney fees paid or incurred in connection with the collection or enforcement of this Note, whether or not suit is filed. 6. Joint and Several Obligations. This Note is the joint and several obligation of all makers, sureties, guarantors and endorsers, and shall he binding upon them and their successors and assigns. 7. No Deficiency Judgment. This Note constitutes a portion of the unpaid balance of the purchase price of the Rcsidence. Borrower shall have no personal liability for any deficiency on this Note and the only remedy available to the City or any holder in due course shall be foreclosure pursuant to law as provided in the Decd of Trust securing this Note or applicable equitable relief. 8. City Assignment. The City may assign this Note to any person and upon notice to Borrower by the City; all payments shall be made to the assignee. 9. Restrictions on Foreclosure Proceeds. If a creditor acquires title to the Residence through a deed in lieu of foreclosure, a trustee's deed upon sale, or otherwise, the Borrower shall not be entitled to the proceeds of sale to the extent that such proceeds, when added to the amount DPA 2008 -10 • -2-