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HomeMy WebLinkAbout910605AFTER RECORDING PLEASE RETURN TO: FHHLC - POST CLOSING MAIL ROOM 1555 W. WALNUT HILL LN. ~200 MC 6712 IRVING, Tx 75o 8IIMORTGAGE 0054262118 THIS MORTGAGE ismade this 29th dayof July 2005 HOLLEY MCKAY, A Married Woman, & BRIAN MCKAY, A Married Man, & JOHN DEMELLO, A Married Man BRENDA DEMELLO, Husband & Wife , between the Mortgagor: FIRST HORIZON HOME LOAN CORPORATION existing m]der die laws Of' THE STATE OF KANSAS (herein "Borrower"), and the Mortgagee, a corporauon organized and whose address ~s 4000 ttorizon Way, IRVING, TX 75063 (herein "Lender"), WHEREAS, Borrower ts indebted to Lender m the principal sum of U.S. $ 7 5,2 0 0.0 0 which indebtedness is evidenced by Borrower's note dated July 29 th, 2005 and extensions arm renewals thereof (herein Note"), providing for monthly installments of principal and interest, with the balance of indebtedness, if not sooner paid, due and payableon August: 1st, 2020 ; TO SECURE to Lender the repayment of the indebtedness evidenced by ~e Note, with interest thereon; die paynient of all other sums with interest thereon, advanced in accordance herewith to protect the security of this ivlortgage; and the performance of the covel~mts and agreements of Borrower herein contained, Ben-ewer does hereby ntortgage, grant and convey to Lender with power of sale. !he tbllowing described property located iii the County of Lincoln State of Wyomitig: Lot 703 of gakeview Estates 4th Addition to the Town of Alpine, part of Lot 604C of the Lakeview Estates Incorporated Tracts A-F, Lincoln County, Wyoming as described on Plat filed June 21, 2002 as Instrument No. 881985 of the records of the Lincoln County Clerk.. RECEIVED 8/4/2005 at 4:25 PM RECEIVING # 910605 BOOK: 593 PAGE: 347 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY which has fl~e address of 193 TRAIL DRIVE ALPINE [City]. Wyonling 83128 lZip Codcl (hcreiri "Property Address"); TOGETHER with all the improveinents now or hereafter erected on the property, and all easements, rights, aplmrteimnces and rents, all of which shall be deemed to be and remain a part et thc property covered by this Mortgage; find all of the foregoing, tos::dier with said property (or the leasehold estate if this Mortgage is on a leasehold) are hereinafter referred to tls thc "Property" Borrower covenants that Borrower ts lawfully seised of the estate hereby conveyed and has the right [o mortgage, grant and corwcy die Property, mid that the Property is unencmnbered, except fi)r encumbrances of record. Borrower covenants fl-tat Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to encumbrar~ces of record. UNIFORM COVENANTS. Borrower and Lender covemmt and agree as follows: 1. Payment or Principal trod Interest. Borrower shall promptly pay when duc the principal and interest indebtedness evidenced by the Note anti late charges as provided in the Note 2. Funds l'or Tzbxes and Insurance. Subject to applicable law or a written waiver by Lender, Borrower shall pay to Lender on die day nmnthly payments of principal and interest are payable under the Note, until the Note ts t)aid in full. a sum (hereitt "Funds") equal to one-twelfth of the yearly taxes and assessments (including condominium and planned urlil development assessments, if arty) which may attain priority over this Mortgage and ground rents on '.he Property, if any, plus one-twelfth of yearly pre,mum instalhnents for hazard insurance, plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lender nn Lhe basis of assessments and bills and reasonable estimates fllereof. Borrower shall not be obligated to make such payments el Funds to Lender to'die extent &at Borrower makes such payments to the holder of a prior mortgage or deed of trust if such holder is an institutional lender. WYOMING - SECOND MORTGAGE - 1/80 - FNMMFHLMC UNIFORM INSTRUMENT -76(WY) (o3o8) VMP Mollgage Solutions (800)521 7291 Form 3851 ....... 00348 It' Borrower pays Funds to Leuder, the Funds shall be held in an institutior~ the deposits or accounts of which are insured or guaranteed by a tkderal or state agency (including Lender if Lender is such an institution). Lender shall apply fl~e Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not charge tbr so holding and applying 0~e Funds, analyzing said account or verifking and compiling said assessments and bills, mdess Lender pays Borrower interest on the Pkmds and applicable law permits. Lender to make such a charge. Borrower and Lender may agree in writing at the time of execration of ti-tis Mortgage fi-mt interest on the Funds shall be paid to Borrower, and u~ess such agreement is made or applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on rite Funds. Lender shall give to Borrower, wifl~out charge, an annual accounting of ~e Punds showing credits and debits to the Punds and d~e propose tbr which each debit to fl~e Funds was made. The Funds are pledged as additiomd security fbr fl:e sums secured by tiffs Mortgage. If fl~e muount of the Funds held by Lender, toge~er wifl~ fl~e ~ture mon~ly installments of Funds payable prior to the due dates of taxes, assessments, i~murance premiums and ground rents, shall exceed O~e amount required to pay said taxes, assessments, insurance premiums and ground rents as 9~ey fall due, such excess shall be, at Borrower's option, eid~er promptly repaid to Borrower or credited to Borrower on monfldy installments of Funds. if fl~e mount of the F~nds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as fltey fall due, Borrower shall pay to Lender any anount necessary to make up fl~e deficiency in one or more payments as Lender may require. Upon payment in hdl of all sums secured by fi'tis Mortgage, Lender shall promptly refund to Borrower any Funds held by Lender. if under paragraph 17 hereof the Property is sold or rite Property is otherwise acquired by Lender, Lender shall apply, no later than immediately prior to fl~e sale of the Property or its acquisition by Lender, any Funds held by Lender ai the time of application as a credit against fl~e stuns secured by this Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on fl'~e Note, and fl:~en to ~e principal of the Note. 4. Prior Mortgages m~d Deeds et' Trust; Charges; Liens. Borrower shall pertbnn all of Borrower's obligations under any mor[gage, deed of mist or o~er security agreement with a lien which has priority over this Mortgage, including Borrower's covermnts to make payments when due. Borrower shall pay or cause to be paid all taxes, assessments and other charges, fines impositions attributable to the Property which may attain a priority over tiffs Mortgage, and leasehold payments or ground rents, if any. 5. H~aard Insurance. Borrower shall keep the improvements now existing or hereafter erected on d~e Property insured against loss by fire, hazards included within flxe tem~ "extended coverage," and such off, er hazards as Lender may require and in such amounts aud for such periods as Lender may require. The them-ante carrier providing tim insurance shall be chosen by Borrower subject to approval by Lender; provided, that such approval shall not be nnreasonably wiflO~eld. All insurance policies and renewals fl~ereof shall be in a form acceptable to Lender and shall include a standard mortgage clause in favor of and in a form acceptable to Lender. Lender shall have ~e right to hold the policies and renewals fl~ereof, subject to ~e terms of any mortgage, deed o( trust or other security agreement with a lien which has priority over this Mortgage. In fl~e event of loss, Borrower shall give prompt notice to fl~e insurance carrier and Lender. Lender. may make proof of loss if noi made prompfiy by Borrower. If the Property is abandoned by Borrower, or if Borrower t~ails to respond to Lender within 30 days fi-om the date notice mailed by Lender to Borrower flint the insurance carrier offers to settle a claim for insurance benefits, Lender is aud~orized to collect and apply fl~e insurance proceeds at Lender's option either to restoration or repair of fl~e Property or to thc sums secured by this Mortgage. 6. Preservalion and Maintenance et' Property; Let~eholds; Condominiums; Planned Unit Developments. Borrower shall ~eep the Property iu good repair and shall not conunit waste or permit iml~aim~ent or deterioration of fl~e Property and shall comply wifl~ the provisions of any lease if Offs Mortgage is on a leasehold. If fi'tis Mortgage is on a umt in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under tim declaration or covcrmnts creating or governing the condomimum or planned unit development, fl~e by-laws and regulations of the condominium or planned unit development, and constituent documents. 7. ~Protection of Lender's Security. If Borrower fails to pertBnn fl~e covenants and agreements contained in this Mortgage, or if any action or proceeding is co~mnenced which materially affects Lender's interest in fire Property, d~en Lender, at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums, including reasonable attorneys' tkes, and take such actiou as is necessary to protect Lender's interest. If Lemter required mortgage insurance as a conditiou of making the loan secured by fi-tis Mortgage, Borrower shall pay rite pl'enfiums required to maintain such insurance in effoct until such time as the requirement tbr such insurance tennimtes in accordance with Borrower's and Leuder's written agreement or applicable law. Any mnounts disbursed by Lender pursuant to this paragrapb 7, wifl~ interest thereon, at fl~e Note rate, shall become additional indebtedness of' Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment d~ereof. Nothing contained in fl~is paragraph 7 shall require Lender to incur any expense or take any action hereuuder. 8. Inspection. Lender may make or cause to be made reasomtble entries upon and inspections of fi~e Property, provided fl~at Lender shall give Borrower nodce prior to any such inspection specifyiug reasonable cause fl~eretbr related to Lender's interest in the Property. 9. Condemnation. The proceeds of any award or claim fi~r dmnages, direct or consequential, in connection with any condemnation or edger taking of the Property, or part d~ereof, or for conveyance in lieu of condemnation, are hereby assigued and shall be paid to Lender, subject to fl~e terms of any mortgage, deed of trust or o~er security agreement wuh a lien which has priority over this Mortgage. 10. Borrower Not Rele~ed; Fm:beartmce By Lender Not a Waiver~ Extension of the time for payment or modification of mnortization of' fl~e sums secured by. fids Mortgage granted by Lender to any successor in interest of Borrower shall not operale to release, in any manner, dte liability of the origimd Borrower and Borrower's successors in interest. Lender shall not be required to commence proceedings against such successor or re~se to extend time lbr payment or otherwise modify amortization of d~e sums secured by Offs Mortgage by reason of any demand made by ~e original Borrower and Borrower's successors in interest. Any forbearance by Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude fl~e exercise of any such right or remedy. 0054262118 (~-76(WY) (o3oa) Page Form 3851 11. Successors ,'md Assigns Bound; Joint and Several Liability; Co-signers. The covenants and agreements herein comained shall bind, and die rights hereunder shall inure to, the respeclive successors and assigns of Lender and Borrower, subject to the provisions of paragraph 16 hereof. All covenants and agreemenls of Borrower shall be joint and several. Any Borrower who co-signs this Mortgage, but does not execute the Note, (at is co-signing flits Mortgage ordy to roor£gage, grant and convey thai Borrower's interest in the Property to Lender under rile leans of this Mortgage, (bt is not personally liable on die Note or under this Mortgage, arid (ct agrees that Lender and any other Borrower hereunder may agree to extend, modify, forbear, or make any other accommodations with regard to tile terms of this Mortgage or the Note without flint Borrower's consent and without releasiug fimt Borrower or modifying this Mortgage as to that Borrower's interest in the Property. 12. Notice. Except tbr any notice required under applicable law to be given m another manner, (at any notice to Borrower provided tbr in fi~is lvlortgage shall be given by delivering it or by mailing such notice by certified rnail addressed to Borrower at the Property Address or at such other adctress as Borrower may desigmite by notice to Lender as provided herein, and 0-$ any notice to Lender shall be given by certified mail to Lender's address stated herein or to such other address as Lender may desiguate by notice to Borrower as provided herein. Any notice provided tbr in fids Mortgage shall be deemed to have been given to Borrower or Lender when given in the mariner designated herein. 13. Governing Law; Severability. The state and local taws applicable to fl~is Mortgage shall be the laws of file jurisdiction in which the Property is located. The foregoing sentence shall not limit the applicability of tkderal law to this Mortgage. In the event that any provision or clause of this Mortgage or the Note conflicts with applicable law, such conflict shall not affect other provisions of flits Mortgage or die Note which can be given effect without the conflicting provision, and to this end the provisions of this Mortgage and the Note are declared to be severable. As used herein, "costs," "expenses" and "attorneys' t'ces" include all sums to the extent not prohibited by applicable law or limited herein. 14. Borrower's Copy. Borrower shall be furnished a contimned copy of the Note and of dds Mortgage at the time of execution or after recordation hereof. 15. Rehabilitation Loan Agreement. Borrower shall t:ulfill all of Borrower's obligations under any home rehabilitation, improvement, repair, or other loan agreement which Borrower enters into with Lender. Lender, at Lender's option, may require Borrower to execute and deliver to Lender, in a tbrm acceptable to Lender, an assignment of any rights, claims or defenses which Borrower may have against parties who supply labor, materials or services iii cormection with improvements made to the Property. 16. Transfer o1' the Property or a Beneficial Interest in Borrower. If all or any part of the Property or auy interest in it is sold or transferred (or if a beneficial interest in Borrower is sold or transferred and Borrower is not a natural persor0 without Lender's prior written consent, Lender may, at its option, require immediate payment ia thall of all sums secured by this Mortgage. ih)wever, this option shall not be exercised by Lender if exercise is prohibited by federal hlw as of the date of this Mortgage. If Lender exercises fills option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of riot less than 30 days from the date the notice is delivered or mailed within which Borrower must pay alt sums secured by this Mortgage. If Borrower tails to pay these sums prior to rile expiration of this period, Lender may invoke any remedies permitted by this Mortgage withoclt tutti,er notice or demand oil Borrower. NON&JNiFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 17. Acceleration; Remedies. Except as provided in paragraph 16 hereot., upon Borrower's breach ot. any covenant or agreement of' Borrower iu this Mortgage, including tile covenants to pay when due any sums seem'ed by this Mortgage, Lender prior to acceleration shall give notice to Borrower as provided in paragraph 12 hereof specifying: (1) tile breach; (2) the action required to cure such breach; (3) a date, not less tfian 10 days from the date the notice is mailed to Borrower, by which such breach lntist be cra'ed; ahd (4) that failure to cure such breach on or berore the date specified in the notice may result in acceleration of the sums secured by this Mortgage. The notice shall further inl-'orrn Borrower of the right to reinstate after acceleration and the right to bring a court action to assert the nonexistence ol-' a default or any other defense of Borrower to acceleration and sale. If' the breach is not cured on or be[ore the date specified in the notice, Lender, at Lender's optiou, may declare till ot. the sums secured by this Mortgage to be immediately due and payable without t.urther demand and may invoke the power ot. sale and any other remedies permitted by applicable law. Lender shall be entitled to collect all reasonable costs trod expenses incurred in pursuing the remedies provided iu this paragraph 17, incloding, but not limited to, re,tsonable attorneys' fees. If Lender invokes the power ot. sale, Lender shall give notice of intent to t.oreclose to Borrower and to the person in possession or' the Properly, it' dirt.er.ertl, in accordance with applicable law. Lender shall mail a copy ot' a notice of the sale to Borrower in tile manne,' provided in paragraph 12 hereof. Lender shall publish the notice ot. sale and the Property shall be sold in the manner prescribed by applicable law. Lender or Lender's designee may purch;:kse the Property at any sale. The proceeds or tile sale stroll be applied in the t.ollowing order: (at to ~dl reasonable costs and expenses o1' the sale, including, hut not limited to, re~tsonable attorneys' fees and costs of title evidence; (bt to all sums secured by this Mortgage; and (ct the excess, it' any, to the person or persons legally entitled thereto. 18. Borrower's Rigi~t to Reinstate. Notwithstanding Lender's acceleration of the sums secured by this Mortgage due to Borrower's breach, Borrower shall have the right to have any proceedings begun by Lender to enforce this Mortgage discontinued at any time prior lo the earlier to occur of (it the fiffft day before sale of die Property pursuant to file power of sale contained in this Mortgage or (ii) entry of a judgment enforcing this Mortgage if: (at Borrower pays Lender all sums which would be filch due under fi'ds Mortgage and the Note had no acceleration occurred; (bt Borrower cures all breaches of any other covenants or agreements of Borrower contained in this Mortgage; (ct Borrower pays all reasonable expenses incurred by Lender in enforcing file coverumts and agreements of Borrower contained in this Mortgage, and in enforcing Lender's remedies as provided in paragraph 17 hereof, including, but riot limited to, reasonable attorneys' fees; and (d) Borrower takes such action as Lender may reasonahly require to assure that file lien of this Mortgage, Lender's interest in the Property and Borrower's obligation to pay the sums secured by fids Mortgage shall continue mmnpaired. Upon such payment and cure by Borrower. this Mortgage and rile obligations secured hereby shall remain in full three and effect as if no acceleration had occurred. 19. Assignment ot. Rents; Appointment at' Receiver; Lender in Possession. As additional security hereunder, Borrower hereby assigns to Lender the rents of the Property, provided that Borrower shall, prior to acceleration urider paragraph 17 hereof or abandonment of d~e Property, have the right to collect and retain such rents as they become due and payable. 0054262118 -76(WY) F~rm 385'1 0O350 Upon acceleration under paragraph 17 hereof or abandomnent of the Property, and at any time prior to the expiration of any period of redemption following judicial sale, Lender, in person, by agent or by judicially appoimed receiver, shall bc entitled to emer upon, take possession of and manage the Property and to collect the rents of the Property including those past due. All rents collected by Lender or the receiver shall be apl)lied first to t)ayment of the costs of maimgement of thc Property and collectiou of rents, including, but not limited to, receiver's fees, premiums on receiver's bonds and reasoimble attorneys' /'ecs, and then to the sums secured by this Mortgage. Lender and the receiver shall bc liable to account ordy for fl'rose rents actually received. 20. Release. Upon payment of all sums secured by this Mortgage, Lender shall release this /vlortgage without charge to Borrower. Borrower shall pay all costs of recordation, if any. 21. Waiver of Homestead. Borrower hereby waives all right of homestead exemption il'! the Property. REQUEST FOR NOTICE Ol? DEFAULT AN[) FORECLOSURE UNDER SUPERIOR MORTGAGES OR DEEDS OF ']['RUST Borrower aud Lender request the holder of any mortgage, deed of trust or other encumbrance with a lien which has priorily over ~l'lis Mortgage to give Notice ~o Lender, at Lender's address set forth on page one of this lVlongage, of any dethult under the superior encumbrance and of any sale or other tbreclosure acdon. IN WITNESS WItEREOF, Borrower has executed this Mortgage  (Seal) ~Borrower BRIAN MCKAY BRENDA DEMELLO (Seal) -Borrower (Seat) (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower [Sign Original ()nly] STATE OF WYOMING, LINCOLN The ibregomg instrument was acknowledged before me [bis by aOHN DEMELLO & BRZNDA DfMfLLO Cotn~£y ss: My Conm'dssion :xpires: 9 -J,~ ~ 0 '7 Notary lh.d)lic 0054262118 {~ -76(WY) (oaos) Form 3851 ..00351 State of California '~ County of L, ss. CALIFORNIA ALL-PURPOSE CERTIFICATE OF ACKNOWLEDGMENT Pdn[ed Name or No[aw Public ~~personatly known to me - or- ~ '- --~ted Name(s)o~Signer(s) .... [-~ proved to me on the basis of satisfactory evidence: ~ form(s) of identification ~ credible witness(es) to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(/es), and that by his/her/their signature(s) on the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. (Seal) WITNESS my hand and official seal. OPTIONAL INFORMATION A/though the int~)rmation in this sect/on is not required by/ow, it could prevenl frr2udulent zernoval ond reoHachrnen[ of this ~mknowledgment to an unduthoriZed document and may prove useful to l)erson~ relying on the aH~ched document. [Description of Attached [Document The preceding Certificate of Acknowledgment is attached to a document tided/for [t~e purpose of ~~__) '(",~'~~___~ ~ The signer(s) capacity or authority is/are as: C~ndividuat(s) [~ Attorney-in-Fact EJ Corporate officer(s) lille(s) Gualdian/Conservator Partner - Limited/General Trustee(s) Othe,: representing: Name(s) ofPelson(s) ol [ntity(ies) Signer is Repmserlting Additional Signe~(s) L-~J Signer(s)Thumbprint(s) Othe, c (g Copyrigh[ 2004 Notary Rot~*y, Inc 925 29th St, Des Momes, IA S0312 3612 Form ACK02 02/04 To re-older, call toll-flee 1-877-349-6S88 ol v/si[ us on the hi[emu[ a[ http://www therlo[a,y¢iop cam 0035 I~orrowcr Nil ille: BALLOON PAYMENT RIDER TO THE SECURITY INSTRUMENT HOLLEY MCKAY & BRIAN MCKAY JOHN DEMELLO & BRENDA DEMELLO Property Address: l~oan Number: 193 TRAIL DRIVE ALPINE, WY 83128 0054262118 THE TEl/MS OF THE LOAN CONTAIN PROVISIONS WHICft WILL REQUIRE A BALLOON PAYMENT AT MATURITY. THE AMORTIZATION OF PRINCIPAL AND INTEREST IS BASED ON A TtnlIRTY YEAR FACTOR AND WOULD AMORTIZE THE PRINCIPAL L,OAN ON A 30 YEAR SCHEDULE, BUT SINCE THE FULL BALANCE IS PAYABLE[N 180 MONTHS, ABALLOON PAYMENT OF$ 63,722.fl7 WILL BE REQUIRED ON August 1st 2020 The loan is payable in tH1 at the end of 15 years. You nmst repay the entire principal balance of the loan and the unpaid interest fi'mn due. The lender is under no obligation to refinance fl-m loan tit that time. You will, fl~crelbre, be reqtfired to nmke payment out of other assets you nmy own, or you will have to find a lender willing to lend you fl~e money at tim prevailing market rate, which may be considerably higl:ter or lower than rate on this loan. [t: you refinance this loan at maturity, yo'u may have to pay sortie or all closing costs normally associated wifl~ a new lOan, even it' yon obtain refinancing fi-om the same lender. l/We hereby acknowledge receipt of the above notice relating It the balloon payment provision of fids loan, which have alx7 been explained to me/us. ~"-----0 L L EY bl C KA'Y (~ (Seal) J -Borrower (Seal) -Borrower BRIAN MCKAY /~ -~':~rr vcr BRENDA DIgMELLO (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower t~,alioon ?ay,pen! Ride( - No £?RI{ 06(15 Page FII6D03X 0054262118 RIDER TO DEED OF TRUST/MORTGAGE/SECURITY DEED Date: 7/29/2005 The escrow of taxes and insurance required in Paragraph 2 of your DEED OF TRUST/lvlORTGAGE/SECURITY DEED to FIRST HORIZON HOME LOAN CORPORATION is hereby waived mid you arc notified that you arc nol required to deposit with FIRST HORIZON HOME LOAN CORPORATION any of tire amounts set forth in said paragraph, provided: (a) (h) Escrows for future taxes and insurance premimns are being collected and maintained by the holder or servicer of tile mortgage loan supermr 1o our lien; or If you pay your own [axes and insurance premiums, you l:ullill your obligation [o keel) taxes and insurance premiums current with respect to the property secured hereby. This wmver does not. i,r any way, release yon from your obligation to make escrow payments of taxes trod instn-anee to the bolder of any prior mortgage, nor does it relieve you of your obligation to keel) taxes and insurance premiums .current with respect to tile secured property. All payments will be applied firs( [o the accrued interest and next to the unpaid principal of your loan. The exact amount of your final payment, finance charge, and total of payments will be somewhat more or less than the mnounts shown if we do not receive each payment on the scheduled payment date. RECEIPT ACKNOWLEDGED: Aye. BRENDA DEMELLO 2nd Rider CB6D082 Revised 8/01 O lkO d05 1-4 FAMILY RIDER (Assignment of Rents) THIS 1-4 FAMILY RIDER is made this 29th day of July, 2005 and s incorporated into and shall De deemed to amend and supplemenl the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") of the same date given i~y the undersigned (the "Borrower") to secure Borrower's Note to FIRST HORIZON HOME LOAN CORPORATION (the nstrumenl "Lender") of lhe same date and covering the Property described in the Security and located al: 193 TRAIL DRIVE, ALPINE, Wyoming 83128 [Property Address] 1-4 FAMILY COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenan! and agree as follows: A. ADDITIONAL PROPERTY SUBJECT TO THE SECURITY INSTRUMENT. In addition to the Property. described in the Security Instrument, the following items now or hereafter attached to the Properly to the extenl they are fixtures are added to the Property descrption, and shall also constitute the Property covered by the Security Instrument building materials, appliances and goods of every nature wr~atsoever now or hereafter located in, on, or used or intended to be used in connection with the Property, including, but nol limited lo, those for the purposes of supplying or distributing heating, cooling, electricity, gas, water, air and light, fire prevention and extinguishing apparatus, security and access control apparatus, plumbing, bath tubs, water heaters, water closets, sinks, ranges, stoves, refrigerators, dishwashers, disposals, washers, dryers, awnings, storm windows, storm doors, screens, blinds, shades, curtains and curtain rods, attached mirrors, cabinels, paneling and attached floor coverings, all of which, including replacements and additions thereto, shall be deemed to be and remain a part of the Property covered by the Security Instrument. All of the foregoing together with the Property described in the Security Instrument (or the leasehold estate if the Security Instrument is on aleasehold) are referred to in this 1-4 Family Rider and the Security Instrument as the "Property." B.-USE OF PROPERTY; COMPLIANCE WITH LAW. Borrower shall not seek, agree to or make a change in the use of the Property or its zoning classification, unless Lender has agreed in writing to the change. Borrower shall comply with all laws, ordinances, regulations and requirements of any governmental body applicable to the Property. C. SUBORDINATE LIENS. Except as permitted by federal law, Borrower shall not allow any lien inferior lo the Security Instrument to be perfected against the Property without Lender's prior written permission. D. RENT LOSS INSURANCE, Borrower shall maintain insurance against rent loss in addition to the other hazards for which insurance is required by Section 5. 0054262118 MULTISTATE 1- 4 FAMILY RIDER - Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3170 1/01 ~,e-57 R (0411) Page1 cfa I n itia Is.:W~..~. VMP Mortgage Solutions, (800)521-7291 O LOG05 00355 E. "BORROWER'S RIGHT TO REINSTATE" DELETED. Section 19 is deleted. F. BORROWER'S OCCUPANCY. Unless Lender and Borrower otherwise agree in writing, Section 6 concerning Borrower's occupancy of the Property is deleted. G. ASSIGNMENT OF LEASES. Upon Lender's request after default, Borrower shall assign to Lender all leases of the Property and alt security deposits made in connection with leases of the Property. Upon the assignment, Lender shall have the right to modify, extend or terminate the existing leases and to execute new leases, in Lender's sole discretion. As used in this paragraph G, the word "lease" shall mean "sublease" if the Security Instrument is on a leasehold. H. ASSIGNMENT OF RENTS; APPOINTMENT OF RECEIVER; LENDER IN POSSESSION. Borrower absolutely and unconditionally assigns and transfers to Lender all the rents and revenues ("Rents") of the Property, regardless of to whom the Rents of the Property are payable. Borrower authorizes Lender or Lender's agents to collect the Rents, and agrees that each tenant of the Property shall pay the Rents to Lender or Lender's agents. However, Borrower shall receive the Rents until: (i) Lender has given Borrower notice of default pursuant to Section 22 of the Security Instrument, and (ii) Lender has given notice to the tenant(s) that the Rents are to be paid to Lender or Lender's agent. This assignment of Rents constitutes an absolute assignment and not an assignment for additional security only. If Lender gives notice of default to Borrower: (i) all Rents received by Borrower shall be held by Borrower as trustee for the benefit of Lender only, to be applied to the sums secured by the Security Instrument; (ii) Lender shall be entitled to collect and receive all of the Rents of the Property; (iii) Borrower agrees that each tenant of the Property shall pay all Rents due and unpaid to Lender or Lender's agents upon Lender's Written demand to the tenant; (iv) unless applicable law provides otherwise, all Rents collected by Lender or Lender's agents shall be applied first to the costs of taking control of and managing the Property and collecting the Rents, including, but not limited to, attorney's fees, receiver's fees, premiums on receiver's bonds, repair and maintenance costs, insurance premiums, taxes, assessments and other charges on the Property, and then to the sums secured by the Security Instrument; (v) Lender, Lender's agents or any judicially appointed receiver shall be liable to account for only those Rents actually received; and (vi) Lender shall be entitled to have a receiver appointed to take possession of and manage the Property and collect the Rents and profits derived from the Property without any showing as to the inadequacy of the Property as security. If the Rents of the Property are not sufficient to cover the costs of taking control of and managing the Property and of collecting the Rents any funds expended by Lender for such purposes shall become indebtedness of Borrower to Lender secured by the Security Instrument pursuant to Section 9. Borrower represents and warrants that Borrower has not executed any prier assignment of the Rents and has not performed, and will not perform, any act that would prevent Lender from exercising its rights under this paragraph. Lender, or Lender's agents or a judicially appointed receiver, shall not be required to enter upon, take control of or maintain the Property before or after giving notice of default to Borrower. However, Lender, or Lender's agents or a judicially appointed receiver, may do so at any time when a default occurs. Any application of Rents shall not cure or waive any default or invalidate any other right or remedy of Lender. This assignment of Rents of the Property shall terminate when all the sums secured by the Security Instrument are paid in 0054262118 ~;~-S7 R (0411) Page 2 of 3 I. CROSS-DEFAULT PROVISION. Borrower's default or breach under any note or agreement in which Lender has an interest shall be a breach under the Security Instrument and Lender may invoke any of the remedies permitted by the Security Instrument. BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this 1-4 Family Rider. BRIAN MCK_AY -Borrower (Seat) -Borrower BRENDA DEMELLO -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower 0054262118 {~,~-57 R (0411) Page 3 of 3 Form 3170 1/01