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HomeMy WebLinkAbout910602 :00314 Preparedbyand WhenRecordedReturnTo: ROXIE 'JENKINS FIRST NATIONAL BA/XlK-WEST 31~ S WASHINGTON/PO BOX 1620 AFTON, WY 83110 RECEIVED 8/4/2005 at 4:22 PM RECEIVING # 910602 BOOK: 593 PAGE: 314 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY ........................................ [Space Above This Line For Recording Data] ........................................ LOAM NO. 128260551&1 lVlORTGAGE DEFINITIONS Words used in multiple sections of this document are defined below and other words are defined in Sectioos 3, 11, 13, 18, 20 and 2t. Certain rules regarding the usage of words used in this document are also l)rovided in Section 16. (A) "Security Instrument" ~neans this document, which is dated AUGUST 1, 2005 together with all Riders to this docmnent. (B) "Borrower" is ALAM J WHITMAN AMD KRISTI K WHITMAN, husband & wife Borrower is the mo~'tgagor under this Security Instrument. (C) "Lender" is FIRST NATIONAL BANK - WEST (AFTON BRANCH) Lender is a NATIONAL BANKING ASSOCIATION under tbelawsof THE UNITED STATES OF AMERICA . Lender's address is 31t SO. WASItlNOTON/ P.O. BOX 1620 AFTON, WY 83110 f..ender is the nlortgagee tinder this Security hlstrurnent. organized and existing (D) "Note" means the prmmssory note signed by Borrower and dated AUGUST 1, 2005 The Note states that Borrower owes Lender ONE HUNDRED THIRTY-FOUR THOUSAND FIVE HUNDRED AND 00/100 Dollars (U.S. $ 13~, 500.00 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later than SEPTEMBER 1, 2 035 (E) ,'Property" means the property that is described below under the heading "Transfer of Rights in the Property." (F) "Loan" means the debt evidenced by the Note, plus inte,'est, tiny prepayment charges and late charges due under the Note, and all sums due under this Security Instrument, pitts interest. (G) "Riders" means all riders to this Security Instrument that are executed by Borrower. The following riders are to be executed by Borrower [check box as applicable]: Adjustable Rate Rider [~ Condominium Rider [~ 1-4 Family Rider [~] Second Home Rider [~ Balloon Rider [~ Other(s)[specify] TAX P, ID£R P hmned U nit Development Ri tier Biweekly Payment Rider WYOiVlING - Single Family - Fannie Mae/Freddie lVlac UNII,'OIIM INSTRUMENT Page 1 of 12 Form 3051 (01/01) INITYAL 09IOGO (H) "Applicable Law" zneans all controlling applicable fi:deral, state and local statutes, regulations, ordinances and administralive rules and orders (that have the etl'ect of law) as well as all applicable final, non-appealable judicial opinions. (1) "Commnnity Association Dues, Fees and Assessments" means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominium association, homeowners association or similar organization. (J) "Electrnnic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, which is initiated through an electronic terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or credit an account. Such term includes, but is not limited to, point:of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (K) "Escrow Items" mean those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) tbr: (i) damage to, or destruction of, the Property; (ii) condemnation or other taking of all or any part of' the Property; (iii) conveyance itt lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the value and/or condition of the Property. (M) "Nlortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment" means the regularly scheduled amount due for (i) principal and interest trader the Note, plus (ii) any amounts under Section 3 of' this Security Instrument. (O) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. {}2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they nfight be amended l'rom time to time, or any additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (P) "Snccessor in Interest of Borrower" means any party that has taken title to the Property, whether or not that party has assumed Borrower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower' s covenants and agreements tinder this Security ]nstrurnent and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender' s successors and assigns, with power of' sale, the following described property located in the TOWN OF AFTON ['FypeofRecordingJurisdiction] of LINCOLN COUNTY : [Name of Recording Jurisdiciion] A parcel of land in Section 13, T31N Rll9W of the 6th P.M., Lincoln Connty, Wyoming being more particularly described as follows: BEGINNING at the Northeast corner of the NE1/4NEI/4 of said Section 13 and rnnning thence South 10 rods, along the East boundary line of said Section 13; thence West 12 rods; thence North 10 rods, more or less, to the Norlh boundary line of said Section; thence East 12 rods, more or leas, along said North boundary line to the POINT OF BEGINNING. WYOMING - Single Family - Fannie Mae/Freddie Mac UNIFORM INSTROMENT Page 2 of 12 Fotqn 3051 (01/01) which currently has the address of 2332 DRY CREEK CR 146, AF'I'ON Wyoming 83110 ("Property Address"): [Zip Code] ICily] TOGETtlER WITH all the improvements now or hereafter erected on tile property, and all easements, appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions sbalt also be covered by this Security Instrument. All of the foregoing is referred to in this Security lnstrumenl as the "Property." BORROWER COVENANTS that Borrower is la,,vfl~lly seised of the estate hereby conveyed and has the right to mortgage,' grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and denmnds, subject to any encumbrances ofrecor& THIS SEC[JRITY INSTRUMENT combines uniform covenants for national use and nomunifbrm covenants with limited variations by .iurisdiction to eonstitnte a nniform security instrument covering real property. UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, lnlerest, Escrow Items, Prepayment Charges, and l,nte Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by tile Note and any prepayment charges and late charges due und:er the Note. Borrower shall also pay funds for Escrow Items pnrsuant to Section 3. Payments due under the Note and this Security instrument shall be made m U.S. currency, ltowever, if any check or other instrument received by Lender as payment under the Note or this Security Instrument is returned to Lender unpaid, Lender may require that any or all subsequent payments due under Ihe Note and this Security lnstrmnent be made m one or more of tile following forms, as selected by Lender: (a) cash; 0)) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any snch check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds ~lYanstEr. Payments are deemed received by Lender when received at the location designated in thc Note or at such other location as may bc dcsibmated by Lender in accordance with thc notice provisions in Section 15. Lender may return any payment(s) or partial payment(s) if the payment(s) or partial payments are insufficient to bring the Loan current. Lender may accept any payment(s) or partial payment(s) insufficient to bring tile Loan current, withoot waiver of any rights hereunder or prejudice to its rights to refuse such payment(s) or partial payments in the future, but Lender is not obligated to apply such payments at thc time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplicd hinds. Lender may hold such unapplied funds until Borrower rnakcs payment(s) to bring the Loan currcnL If Borrower docs not do so witbin a reasonable period of time, Lender shall either apply such flmds or return tbcm to [k~rrowcr. If not applied earlier, snch fnnds will be applied to thc outstanding principal balance under thc Note immediately prior to [breclosure. No offset or claim which Borrower might have now or in the flmn'e against Lender shall relieve Borrower fi'om making payments due under the Note and this Security lnstrunmnt or performing tbe covenants and agreements secured by this Secnrity Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, alt payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest dne under the Note; (b) principal due nnder the Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Payment irt dm order in which it became due. Any remaining amounts shall be applied first to late charges, second to any other amounts due under this Security Instrument, and then to reduce the principal balance of the Note. If Lender receives a payment fi'om Borrower for a delinquent Periodic Payment wbich includes a sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender [nay apply any payment received fi-om Borrower to the repayment oftl~e Periodic Payments if, and to the extent that, each payment can be paid m fidl. To the extent that WYOMING - Single Family -l~'amde Mae/Freddie Mac [JNIFOiIIVl INS'I'RtJMENT Page 3 of 12 Form 3051 (01/01) :"00317 any excess exists after the payment is applied to the frill payment of one or more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in the Note. Ally application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due t~nder the Note, Until the Note is paid in fidl, a sum (the "Funds") to provide for payment of amounts due tbr: (a) taxes and assessments and other items which can attain priority over this Security lnstrmnent as a lien or encumbrance on the Property; Co) leasehold payments or grotmd rents on the Property, if any; (c) premiums for any and all insurance required by Lender t,nder Section 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan, Lender may require that Community Association [)ties, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this Section. Borrower shall pay Lender the Funds for Escrow ltems unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's obligation to pay to Lender FLmds fl)r any or all Escrow Items at any time. Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts due fi)r any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall fi~mish to Lender receipts evidencing such payment within such time period as Lender may require. Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement contained m this Security Instrument, as the phrase "covenant and agreement" is used m Section 9. If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amotmt due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender rely such amount. Lender may revoke the waiver as to any or all Escrow items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required tinder lhis Section 3. Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply the Funds at the time specified under RESPA, and (b) not to exceed the maximum amount a lender can require tinder RESPA. Lender shall estimate tile amount of Funds due on the basis of current data m~d reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality, or entity (including Lender, if Lender is all institution whose deposits are so insured) or in any Federal 1-1ome Loan Bank. Lender shall apply the Funds to pay the Escrow Items no latex- than the time specified tinder RESPA. Lender shall not charge Borrower for holding and applying tile Funds, annually analyzing tile escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on ~he Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing or Applic.able Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined tinder RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than twelve monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make tip the deficiency in accordance with RESPA, but in no more than twelve monthly payments. Upon payment m full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the WYOMING - Single Family - Fannie tVlae/Freddie Mac UNIFORM INSTRUMENI' Page 4 of 12 Form 3051 (01/01) "00318 Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly discharge any lien which bas priority over this Security lnstrurnent unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith by, or defends against enfbrcement of tile lien in, legal proceedings which itl Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded; or (c) secures fi'om the bolder of the lien an agreement satist'actory to Lender subordinating the lien to ttiis Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender may require Borrower to pay a one-time charge for a real estate tax verification and/or reporting service used by Lender m connection with this Loan. 5. Properly Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, fbr which Lender requires insurance. This insurance shall be maintained in the amounts (including deductible levels) and fei' the periods that Lender reqt, ires. What Lender requires pursuant to the preceding sentences can change during the term Of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-time charge for flood zone defermination and certification services and subsequent charges each time remappings or similar clianges occur which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone deterrnination resulting from an objection by Borrower. If Borrower Fails to nmintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender is under no obligation to pm'chase any particular type or amounl of coverage. Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was previously m efFect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall hear interest at the Note 'rate from the date of disbursement and shall be payable, with such interest, upon notice fi'om Lender to Borrower requesting payment. All insurance policies required by Lender and renewals of such policies shall be subject to Lender' s right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have the right to bold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If' Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall include a'standard mortgage clause and sball name Lender as mortgagee and/or as an additional loss payee. tn the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proot' of loss if not reade promptly by l_3arrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender' s security is not lessened. During such repair and restoration period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender' s satisPaction, provided that such ins~pection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable [,aw requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any imerest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be WYOMING - Singl.e Family - Fam~ie Mae/Freddie Mac UNIFORM INSTRUMENT Page 5 el' 12 Ft)mq 3051 (01/01) the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied m the order provided for in Section 2. If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related matters. If Borrower does not respond within 30 days to a notice ti'om Lender that the insurance carrier bas offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either event, or if Lender acquires the Property Lmder Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower' s rights to any insurance proceeds m an amount not to exceed the amounts unpaid under the Note or this Security h~strurnent, and (b) any other of Borrower' s rights (other than the right to any refnnd of unearned premiums paid by Borrower) under alt insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security h~strt, ment, whether or not then due. 6. Occupancy. Borrower shall occupy, establish, and use tile Property as Borrower's principal residence within sixty days after the execution of this Security Instrument and shall continue to occtipy the Property as Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonat/ly withheld, or unless extenuating circunutancc~ exist which are beyond Borrower' s control. 7. Preservation, Maiutenance and Protection of the Property; lnspectious. Borrower shall not destroy, damage or impair the Property, allow the Property to deteriorate or conmfit waste on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property m order to prevent the Property fi'om deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of} the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. If the insurance or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Borrower's obligati.on for the completion of such repair or restoration. Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower' s knowledge or consent gave materially false, misleading, or inaccurate infbrmation or statements to Lender (or failed to provide Lender with material information) in connection with the Loan. Material representations include, but are not limited to, representations concerning Bon'ower' s occupancy of tile Property as Borrower' s principal residence. 9. Protection of l,ender's Interest in the Property and Rights Under this Security lnstrumemt. If (a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights tinder this Security Instrument (such as a proceeding in bankruptcy, probate, roi' condenmation or forfcitm'e, for enibrcement of a lien which may attain priority over this Secm'ity Instrument or to enforce laws or regulations), or (c) Borrower bas abandoned the Property, then Lender may do and pay fbr whatever is reasonable or appropriate to protect Lender's interest in the Property and rights tinder this Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable attorney' s fees to protect its interest in the Property and/or rights under this Security Instrmnent, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board tip doors and windows, drain water fi'om pipes, eliminate building or other code violations or dangerous conditions, and }lave utilities turned on or off. Although Lender may take action under this Section 9, Lender does not have to do so and is not WYOMING - Single Family - Fannie Mae/Freddie Mac UNIFORM INSTRUM£NT Page 6 of 12 Form 3051 (01/01) 0210( 0. ,.00320 under any duty or obligation to do so. It is agreed that [.euder incurs no liability for not taking any or all actions authorized under tbis Section 9. Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amotmts shall bear interest at the Note rate fi'om the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage insurance as a condition of making the Loan, Borrower shall pay tile premim'ns required to maintain the Mortgage Insurance in effect. If~ for any reason, the Mortgage Insurance coverage reqmred by Lender ceases to be available fi-om the mortgage insurer that previously provided such insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums reqt,ired to obtain coverage substantially equivalent to tim Mortgage Insurance previously m effect, at a cost substantially equivalent to the cost to Borrower o1' the iVlortgage Insurance previously in effect, from an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage lr~surance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-reflmdable loss reserve in lieu of Mortgage [ns{~rance. Such loss reserve shall be non-refimdable, notwithstanding the t'act tbat the Loan is ultimately paid m thll, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (ill the amount and for the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires separately designated payments toward the premiums fol' Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the premiums Mortgage insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until the Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such termination or until tern'fination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided m the Note. Mortgage lnsm'ance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party tothe Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance m force fi-om time to time, and may enter into agreements with other parties that share or modiIy their risk, or reduce losses. These agreements are on terms and co'nditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements may require the mortgage insurer to make payments using any source of ftmds that the mortgage insurer may bare available (which may include funds obtained fi'om Mortgage Insurance premiums). As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any otber entity, or any affiliate of ally of tile fbregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of' Borrower' s payments for Mortgage Insurance, in exchange for sbai'ing or modifying the mortgage insurer' s risk, or reducing losses. 11:' such agreement provides tbat an affiliate of Lender takes a share of the insurer's risk in exchange for a share of tile premiums paid to the insurer, tile arrangement is often termed "captive reinsurance." Further: (a) Any such agreemeuts will not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refnnd. (b) Auy such agreements will not affect the rights Borrower has - it' any - with respect to the Mortgage Insurance nnder the ltomeowners Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request and obtain cancellation o[the Mortgage Insurance, to have the Mortgage Insurance terminated at, tomatically, and/or to receive :~ refund of any Mortgage lusurance premitm~s that were unearned at the time of such c:meellation or termination. 1 1. Assignment of Miscellaneous Proceeds; Forfeiture. Ail Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. WYOMING - Single Family - Famde Mae/Freddie Mac UNIFORM INSTRUMENT Page 7 of 12 Form 3051 (01/01) 0032 - ]f the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoration or repair is economically i~easible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had ~n opportunity to inspect such Property to ensure the work has been completed to Lender's satisfhction, provided lhat such inspection shall be undertaken promptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of'progress payrnents as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security lnstrtunent, whether or not then due, with the excess, if any, paid to [k'~rrower. Such Miscellaneous Proceeds shall be applied in the order provided l"or in Section 2. In the event of a total taking, destruction, or loss in value or' the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial taking, destruction, or loss m value of the Property in which the fair nrarket value of the Property immediately before the partial taking, destruction, or loss in wdue is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fi'action: (a) the total amount of the sums secured irrunediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or toss in value of the Property in which the fair market value of' the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before the partial taking, destruction, or loss in wdue, unless Etorrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security [nstrunmnt whether or not the sums are then due. If the Property is abandoned by Borrower, or if, afler notice by Lender to Borrower that the Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to respood to Lender wi[bin 30 days after the date the notice is given, Lender is at,thorized to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower Shall be m default if any action or proceeding, whether civil or criminal, is begun that, in Lender' s judgment, could result in forfeiture of tile Property or other material impairment of Lender's interest in the Property or rights under [bis Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, itl Lender' s judgment, precludes lbrfeiture of the Property or other material impairment of Lender' s interest m the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that are attributable to the impairment of Lender' s interest in the Property are hereby assigned and shall be paid to l_ender. All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension oflhetime for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to Borrower or any Successor in interest of Borrower shall not operate to release the liability of Borrower or any Successors in Interest of t~rrower. Lender shall not be required to con'unence proceedings against m~y Successor in Interest of Borrower or to refuse to extend time for paymenl or otherwise modify amortization of the stuns secured by this Security Instrument by reason of any demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearance by Lender in exercising any right or remedy including, without limitation, Lender's acceptance of payments ti-om third persons, entities or Successors in ]Interest of Borrower or itl amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy. 13. ,loin[ and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenm~ts and WYOMING - Single Family - Fam~ie Mae/Freddie Mac IJNIFORM INSTRUMENT Page 8 of' 12 Form 3051 (01/01) 00322 agrees that Borrower' s obligations and liability shall be joint and several. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Security lnstrnment only to mortgage, grant and convey the co-signer's interest in the Property tinder the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without the co-signer's consent. Snbject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations tinder this Security Instrument m writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released fi'om Borrower's obligations and liability tinder this Secm'ity Instrument unless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit thc successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services performed in connection with Borrower's default, fbr the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not limited to, attorneys fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the chm'ging of such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. If the Loan is subject to a law which sets ]ruaximum loan charges, and that taw is finally interpreted so that the interesl or other loan charges collected or to be collected in connection with the Loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce tile charge to the permitted limit; and (b) any sums already collected fi-om Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed tinder the Note or by making a direct payment to l:k~rrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge (whether or not a prepayment charge is provided for under the Note). Borrower' s acceptance of any such refund made by direct payment to Borrower will constitute a waiver of any rigbt of action Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security lnstrmnent shall be deemed to have been given to Borrower when mailed by first class mail or when actually delivered to Borrower' s notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by ma/ling it by first class mail to Lender's address stated hereto unless Lender has designated another address by notice to l~rrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to I.ender until actually received by Lender, If' any notice required by this Security Instrument is also required under Applicable [.aw, the Applicable Law requirement will satist'y the corresponding requirement under this Security Instrmne,lt. 16. Goveruing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and tile law of the jurisdiction in which tile Property is located. All rights and obligations contained in this Security instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract, in the event that any provision or clause of' this Security Instrument or trie Note conflicts with Applicable Law, such conflict shall not affect other provisions of this Secm'ity Instrument or the Note which can be given effect without the conflicting provision. As used in this Security fl~strument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. WYOMING - Single Family -Fannie Mae/Freddie Mac UNIFORM 1NSTRUMENT Page 9 of 12 Form 3051 (01/01) 18. Transfer of the Property or a Beneficial [nterestin Borrower. As used intbis Section 18, "Interest m the Property" means any legal or beneficial interes£ in the Property, mchlding, but not limited to, those beneficial interests transferred in a bond roi' deed, contract for deed, installment sales contract or escrow agreement, tile intent of which ls the transfer of title by 15k~rrower at a future date to a purchaser. If all or any part of tile Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender' s prior written consent, Lender may require immediate payment m full of all sums secured by this Security hlstrument, ltowever, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days fi'om the date the notice is given in accordance With Section 15 within which Borrower must pay all sums secured by this Security Instrument. if Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security instrument without fro'thee notice or demand on Borrower. :19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have tile right to have enlbrcement of this Security Instrument discontinued at any time prior to the earliest off (a) five days before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b) st~ch other period as Applicable [.aw might specify for the termination of Borrower' s right to ~jeinstate; or (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender alt sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred m enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and o~her fees recurred for the pt~rpose of protecting Lender's interest in the Property and rights under this Security lnstrmnent; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Instrument, and Bon'ower's obligation to pay the sums secured by this Security [nstrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transti~r. Upon reinstatement by Borrower, this Security [nstrnment and obligations secured hereby shall remain hilly effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. The Note or a partial interest m the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result in a change il/ the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security instrmnent and performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also might be one or more changes of the f, oan Servicer unrelated to a sale of tile Note. If there is a change of the Loan Servicer, Bon'ower will be given written notice of the change which will state the name and address of the new Loan Servicer, tile address to which payments should be made and any other infbrmation RESPA requires in connection with a notice ot' transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer(s) and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neither Borrower nor Louder may commence, join, or be joined to any judicial action (as either an individual litigant or tile member of a class) that arises fi'om the other party' s actions pursuant to this Security Instrument or that alleges that tile other party has breached any provision ol} or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach m~d afforded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a time period which must elapse before certain action can be taken, that time period will be deemed to be reasonable for pm-poses of this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and WYOMING - Single Family - Fanatic Mae/l~Yeddie Mac UNIFORM INSTI/UMENT Page 10 of 12 Form 3051 (01/01) 0032 4 opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestus or formaldehyde, and radioactive materials; (b) "Environmental I~aw' means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environmental [.aw; and (d) ars "Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, ose, disposal, storage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is m violation of any Enviromnental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Sobstance, creates a condition that adversely affects the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of ttazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous substances m consumer products). Borrower shall pro,nptly give Lender written notice of (a) any investigation, claim, demand} lawsuit or other action by any governmm~tal or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (B) any Environmental Condition, including but not limited to, any spillingi leaking, discharge, release or threat of release of any Hazardous Substaoce, and (c) any condition caused by the presence, use or release of a Hazardous Substance which adversely affects the value of the Property. If Bon'ower learns, or is notified by any governmeutal or regulatory authority, or any private party, that any removal or other remediation of any H~ardous Substance afl'ecting the Property is necessary, Borrower shall promptly take all necessary remedial actions irs accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. NON-UN WORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrower's breacb of any covenant or agreement in this Security Instrumeut (but not prior to acceleration nnder Section 18 tmless Applicable Law provides otherwise). The notice shall specify: (a) the default; (b) tile action required to cure the default; (c) a date, not less than 30 days from tile date the notice is given to Borrower, by which the default must be cured; and (d) that failure to cure the default on or before the date specified in the notice may result in acceleration of the sums secured by this Seem'try Instrument aud sale of the Property. The notice shall further inform Borrower of the right to reinstate after acceleration ami tile right to bring a court action to assert the non-existence of a defanlt or any other defense of Borrower to acceleration and sale. If the default is not cured on or before the date specified in the notice, Lender at its option may require immediate payment in full of all sums secm'ed by this Security instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses iucurred in pursuing the remedies provided in this Section 22, including, but not limited to, reasonable attorneys' fees and costs of title evideuce. If Lender invokes tile power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possession of the Prope~ty, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided iu Section 15. Lender shall publish tbe notice of sale, and the Property shall be sold in the manner prescribed by applicable law. Lender or its designee may purchase the Property at any sale. The proceeds of the sale shall be applied in the following order: (a) to all expenses of the sale, including, but not limited to, reasonable attorneys' fees; (b) to allsnmssecnred by this Security lnsn'ument; and (c) any excess to the person or persons legally entitled to it. 23. Release. U'pon payment of all sums secured by this Security Instrument, Lender shall release this Secm'ity Instrument. Borrower shall pay ally recordation costs. Lender may charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a third party for services rendered and the charging of the fee is WYOMING - Single Family - Fannie Mae/Freddie Mac UNIFORIVl INSTRIJMENT Page 11 of 12 Form 3051 (01/01) 00325 permitted under Applicable Law 2,1. Waivers. Borrower releases and wmves all rights under and by virtue of thc homestead exemption laws of Wyoming. BY SIGNING BELOW, 'Borrower accepts and agrees to the terms and covenants comamed in lhis Security Instrumenl and in any rider(s) executed by ~rrower and recorded with n. AL~ J - Social Security Number KRISTI K WHITMAN Social Security Number Social Security Number (Seal) - Borrower (Seal) - Borrower Social Security Number ............................... d ...... -[Space Below This Line For Acknowledgment] ...................................... STATE OF WYOMING ) ) SS: COUNTY OF LINCOLN ) The foregoing instrument was acknowledged before me, a Notary Public, on AUGLI. fiW,_.LL,,_ 2 0 0 5 Date by: ALAN J WHITMAN AND KRIfiTI K WHITMAN, husband & wife Person(s) Acknowledging In WITNESS WItEREOF, I have hereunto set my hand and official seal. tv y Com.,issio, 9 - 0 7 WYOMING - Single Family ~ Fan.ie Mae/Freddie Mac UNIFORM INSTRUMENT Page 12 of/2 3051 (01/01) . 02 MORTGAGE ADDENDUM The following ts an Addendum to the lVlortgage. The addendum shall be incorporated into, and recorded with, the Mortgage. TAD{ EXEMPT FINANCING RIDER This Tax-Exempt Financing Rifler m incorporated into and shall be deemed to amend the terms of the Mortgage to which it is attached. In addition to the covenants and agreements made in the Security instrumene, Borrower and Lender further covenant and agree as follows: Lender, or such of its successors or assigns as may, by separate instrtLment, assume responsibility for assuring compliance by ene Borrower with the prommons of this Tax Exempt Financing Rider, may require immediate payment in full of alt sums secured by this Security Instrument if: a) All of pare of the Property sold or otherwise transferred (other than by devise, descent or operation of law) by Borrower to a-purchaser or other transferee: Who cannot reasonably be expected to occupy the property as a principal resident wnhin a reasonable time after the sale or transfer, all as provided in Section 143(c) and (i) (2) of the Internal Revenue Code; or ii) Who has had a present ownership interest in a principal residence during any parr of the three year period ending on the date of the sale or transfer, all as provided in Section 143(d) and (i) (2) of the Internal Revenue Code; or At an acquismon cost xvhich is greater than 90 percent of the average area purchase price {greater than 110 percent for targeted area residences}, all as provided in Section 143(e) and {i} {2) of the Internal Revenue Code; or Whose family income exceeds applicable income limits as provided in Section 143(f) and (i) (2) of the Internal Revenue Code. bj Borrower fails to occupy the property described in the Security Instrument without prior written consent of the lender or its successors or assigns desci:ibed ae the beginning of this Tax Exempe Financing Rider, or c) Borrower omits or misrepresents a fac[ that is material w~th respect to the provisions of Section 143 of the Internal Revenue Code in an application for the loan secured by this Security Instrument. Referermes are to the Internal Revenue Code as amended, in effect on the date of execution of the Security Instrument and are deemed to include the implementing regulations, BY SIGNING BELOW, Borrower accepts and agrees to tbe eerms and provmions in this Tax-Ex~~_g_~!_c_le_~_-. Borrower ~,'[,AN JWWHITMAN MPP 9_ 10-B (Revised .... 12/95~ttr~.~ ~ ~ q .~) Borrower KRIS'ri K WI:IITIdAN