70D-4-301. Effect of mortgage modification.
(1) For a mortgage modification described in Subsection (2): the mortgage continues to secure the obligation as modified; the priority of the mortgage is not affected by the modification; the mortgage retains the mortgage's priority regardless of whether a record of the mortgage modification is recorded; and the modification is not a novation.
(2) Subsection (1) applies to one or more of the following: an extension of the maturity date of an obligation; a decrease in the interest rate of an obligation; if there is any change as specified in Subsectionthrough (iv) that does not result in an increase in the interest rate as calculated on the date the modification becomes effective: (2)(c)(i) a change to a different recognized index if the previous index is no longer available; a change in the differential between the index and the interest rate; a change from a floating or adjustable rate to a fixed rate; and a change from a fixed rate to a floating or adjustable rate based on a recognized index; a capitalization of unpaid interest or other unpaid obligation; a forgiveness, forbearance, or other reduction of principal, accrued interest, or other monetary obligation; a modification of a requirement for maintaining an escrow or reserve account for payment of an obligation, including taxes, insurance premiums, or another obligation; a modification of a requirement for acquiring or maintaining insurance; a modification of an existing condition to advance funds; a modification of a financial covenant; and a modification of the payment amount or schedule resulting from another modification described in this Subsection. (2)
(3) The effect of a mortgage modification not described in Subsection (2) is governed by other law.