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HomeMy WebLinkAbout91203550835 2--O5;IO:O5 ;First NaTIone~ Bank (O4) 3076.543623 /00384 2 / 27 After Recording Return To: FIRST NATIONAL BANK - WE~T PO BOX 3110 ALZ=INE, WY 83128 ATTN~ PE/qNY JONES RECEIVED 9/20/2005 at 2:07 PM RECEIVING # 912035 BOOK: 598 PAGE: 384 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY DEFINITIONS [Space Above This Line For Recording Data] MORTGAGE LOAN ~: 104S55651 T~N: 10001570005728S924 Words used in multiple sections of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding the usage of words used in this document are also l~ovided in Section 16. (A) "Securitylnstrument" means this document, which is dated SE~TEIVIBER 16, 2005 together with all Riders to this docttment (B) "Borrower" is CAaL OARY $TROTH ~ HOLLY (~EOROl~ STROTH, HUI;BA.WD AND WIFE AS TENANTS ~Y THE ENTIRETIES Borrower is the mortgagor under this Security Instrument. (C) "MER$" is Mortgage Electromc Registration Systems, Inc. MERS ts a separate corporation that is acting solely as a nominee for Lender and Lender's successors and assigns. MERS is the mortgagee under this Security Instrument. MERS is organized and existing under the laws of Delaware, and has an address and telephone number of P.O. Box 2026, Flint, MI 48501-2026, tel. (888) 679-MERS. (D) "Lender" is FIRST NATIO~,?.,1LL BANK - WIZST Lender is a NATIONAL BA/~IN~ ASSOCIATION orgarfized and existing under the laws of U1F/TED STATES OF AMERICA . Lender's address is 100 GREYS RIVER ROAD ALPINE, WY 83128-0100 (E) "Note" means the pronfissory note signed by Borrower and dated SEPTEMBER 16, 2005 The Note states that Borrower owes Lender TWO HU/CDRED FORTY T'HOUSA/q'D AND 00/100 Dollars (U.S. $ 240,000.00 ) plus interest. Borrower has pronfised to pay this debt ill regular Periodic Payments and to pay the debt in flail not later than OCTOBER 1, 2035 (F) '~Property" means the property/ that is described below under the heading "T~ansfer of Rights in the Property." (G) "Loa," means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, arid all sums due under this Security lnslrument, plus in~erest. X%'¥O.~IlNG - Single Family - Fannie ,%laetFr,rddie Mac UNIF()RT~! 1NSTI~I:31KNT DOCI.IK%V%'I (/)ll.~C ] 0/'/ ~) F. rm 3051 1/01 ;First Nat lo,la I Bank ~ 3/ 27 ' 85 LO,S55651 (H) "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 [] Second Home Rider [] Balloon Rider [] Planned Unit Development Rider [] Biweekly Payment Rider [] 1-4 Family Rider [] Other(s) [specify] (I) "Applicable Law" means all controlling applicable federal, state and local statutes, regUlations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable f'mal, non-appealable judicial opinions. (J) "Community 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 sirrfilar organization. (K) "Electronic Funds Transfer" means any transfer of funds, other than a txansaction originated by check, draft, or similar paper instrument, which is initiated through an electronic terrrfinal, telephonic instrument, computer, or magnetic tape so as to order, instruct~ or authorize a financial imtitut/on to debit or credit an account. Such term includes, bu~ is not limited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire t~ansfers, and automated clearinghouse transfers. (L) "Escrow Itcrm' means those items that are described in Section 3. (tM) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under thc coverages described in Section 5) for: (i) damage to, or dcstntction of, thc Property; (ii) condemnation or other taking of all or any part of thc Property; (iii) conveyance in lieu of condemnation; or (iv) m/srepresentations of, or omissions as to, the value and/or condition of thc Propen'y. {NJ "Mortgage Insurance" means insurance protecting Lender against the nonpayrr~nt of, or default on, the Loan. (O) "Periodic Payment" means the regularly scheduled amount due tbr (i) principal and interest under thc Note, plus (ii) any amounts under Section 3 of this Security Instrument. (P) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. §2601 et scq,) and its implementing regulation, Regulation X (24 C.FR. Part 3500), as they might be amended from 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. (Q) "Successor 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 m Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of thc Note; and (ii) thc performance of Borrower's covenants and agreements under this Security Instrument and thc Note. For this pnrposc, Borrower does hereby mortgage, grant and convey to MERS (solely as nominee for Lender and Lender's successors and assignsi and to the successors and assigns of MERS, and Lender's successors and assigns, with power 0f sale, the following described property located in the COUNTY of LINCOLN : (Type of Recording Jurisdiction) (Name of Recording Jurisdiction) LOT FIFTY-THREE (53) IN STAR VALLlgY RANCI{ PLAT THIRTEEN (13) AS PLATTED AND RECORDED IN TltE OFFICIAL RECORDS OF LINCOLN COUNTY, WYOM~ING WYOMING - Single Family - Fa..ie 51:~e,'Freddie 31ac UN'IFOR~I I,h'STRUMENT gO~'~2. VTX ~6/38/20~4 ~ F'c, rm 3051 I/Ol 9-- 2--05;10:05 ;First National Banl~ ; 3078543~23 # 4/ 27 .00386 1045556S1 which currently has the address or' 2 4 4 HILLSIDE WAY [Street~ 't'I~ , Wyoming 83Z27 ( Property Address ). [City] [Zip Codel TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this Security Instrument. All of the foregoing is referred to in this Security Instrument as the "Property." Borrower understands and agrees that MER. S holds only legal title to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or custom, MERS (as nominee for Lender and Lender's successors and assigns) has the right: to exercise any or all of those interests, including, but not limited to, the fight to foreclose and sell the Property; and to take any action required of Lender including, but not limited to, releasing and canceling this Security Instrument. BORROWER. COVENANTS lhat Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, g~ant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower Warrants and xvill defend generally the title to the Property against all chinas and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited-variations by jurisdiction to constitute a umform security instrument covering real property. UNIFORM COVENANTS. Borrower and Lendez covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any prepayment ch~ges and late charges due under the Note, Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note a~d this Security Instrument shall be made in U.S. currency. However, 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 the Note and this Security Instrument be made ha 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 imtitution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Transfer. Payments are deemed received by Lender when received at the location designated in the Note or at such other location as may be designated by Lender in accordance with the notice provisions in Section 15. Lender may remm any payment or partial payment if the payment or partial payments a~e insufficient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to its rights to refuse such payment or partial payments in the furore, but Lender ia not obligated to apply such payments at the time such pa)a'nents are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or remm them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note immediately prior to foreclosure. No offset or claim which Borrower m/ght have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instmmem or perforrmng the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Paymem in the 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. ' Form 3051 1/01 5'--05; 10:0~ ;First Ban~ ; 3076~43623 # 5/ 27 "'00387 lO~ISSS$51 If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge duc, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each payment can be paid in full. To the extent that any excess exists after the payment is applied to the full 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 thc Note. Any 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 shat! pa), to Lender on the day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) taxes and assessments and other items wkich can attain priority over this Security Instillment as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurance required by Lender under 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 caIled "Escrow Items." At origination or at any time during 1he term of the Loan., Lender may require that Community Association Dues, 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 Items 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 Funds for any or ail 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 for any Escrow Items for which payment of Funds has bcen waived by Lender and, if Lender requires, shall furnish 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 shah for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as the phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Iterm directly, pursuant to a waiver, and Borrower fails to pay the amount 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 any 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 mounts, that are then required under this Section 3. Lender may, at any time, collect and hold Funds in an amount (al 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 rcquixc under RESPA.. Lender shall estimate the amoLtnt of Funds duc on the basis of current data and reasonable estimates of expenditures o ffi~ture Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be held in an lnshtu'.~on whose deposits are insured by a federal agency, instrumentality, or entity (including Lender, if Lender is an institution whose deposits are so imured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in wxiting or Applicable 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 su~lus 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 deemed under 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 dtan 12 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 lo Lender ~he amount neces'sary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in Ifil of all sums secured by this Security Instrument. Lender shall promptly refund to Borrower an), Funds held by Lender. 2--05;10:05 ;First ;3076543623 # t~/ 2:7 00388 1045556fil 4. Char§es; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can atuin priority over this Security Instrument, leasehold payments or §round rents on the Property, if any, and Community Association Dues. Fees, and Asscssraenr. s, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the mamaer provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in ~ting 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 enforcement of the lien m, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings arc concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this 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 in connection with this Loan. 5. Property Insurance. Borrower shall kccp the improvements now existing or hereafter erected on thc 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, for which Lender requires insurance. This imurancc shall be maintained in thc amounts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant ta 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 tar flood zone determination and certification services and subsequent charges each time rcmappings or similar changes occur which reasonably might affect such determination or certification. Borrower shall a/so bc responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting from an objection by Borrower. If Borrower fails to maintain 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 purchase any particular type or amount 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 BesTower 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 bear interest at thc Note rate from the date of disbursement and shall be payable, with such interest, upon notice from 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 hold thc policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. [f 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 shall name Lender as mortgagee and/or as an additional loss payee. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made prompdy by Borrower. Unless Lender and Borrower otherwise a~ee in writing, any insurance proceeds, sxhether or not [he 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 su.-'h repair and restoration period, Lender shall have the right to hold such insurance proceeds until Lender ha,~ had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may F~}rm 31151 1.;01 2--O5;10:O5 ;Firs1: Na~lona~ Bank 3078543623 # 7/ 27 ;;00389 1045S~6~1 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 Law requi~es interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any int~est 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 the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance procee~ shall be applied to the sram secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for ia Section 2. If Borrower abandons the Property, Lender may file, negotiate and settle any available/nsurance claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period Mil begin when the notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this .Security Instrument. and (b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Prop,%r, Lender may use the insurance proceeds either to repair or restore the Property or to pay amotmts unpaid under the Note or this Security Instrument, whether or not then due. 6, Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution el' this Security Instrument and shall continue to occupy 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 unreasonably withheld, or unless extenuating cireurmtances exist which are beyond Borrower's control. 7, Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from 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 repaix 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, thc 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 obligation tbr the completion of such repair or restoration. Lender or its- agem may make reasonable ~tries 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 m 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 information or statemenU to Lender (or failed to provide Lender with material mformafon) tn connection with the Loan. Material representations include, but are not limited to, representations concerning Borrow'er's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. [f (a) Borrower fails to perform the covenants and agreemems contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lende}'s interest in the Property and/or rights under this Security Instrument (such as a proceeding in banla-uptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property. and securing and/or repairing the Property. Lender's actions can inchlde, but are not limited to: (a) paying an~ sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is hot limited to. enterhlg the Property to make repairs, change locks, replace or board up doors and windows, &'sin water ~rom pipes, eliminate building or other code WYOMING - Single Family - Fannie 5'i:~e. Freddie ,Mac U~IFORM INSTRUMENT Furm 3051 IA)I r~ock.-Kv,%'6 2--05;10:O5 ;First National ; 307~43~2:3 :A~ 8/ 27 ' 00390 violations or dangerous conditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Lender does not have to do so and is ~ot under any duty or obligation to do so. It is agreed that Lender incurs no liability for not tak/ng any or all actions authorized under this Section 9. Any amounts disbursed by Lendex under this Section 9 shall become additional debt of ]3orrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, wi~ such interest, t 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. Borrower shall not surrender ~e leasehold estate and interests herein conveyed or terminate or cancel the ground lease. Borrower shall not, without the express written consent of Lender, alter or amend the ground lease. If Borrower acquires fee title to the Property, the leasehold and thc 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 the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that previously provided such insurmace and Borrower was requfi:ed to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the prerpJums required to obtain coverage substantially equivalent t° the Mortgage Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Instance previously in effect, from an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continue to pay to Le~der 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-refundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimately paid in flail, and Lender shall not be required to pay Borrower any interest or earnings on such toss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in 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 for 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 for Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for such termination or until termination is requi~ed by Applicable Law. Nothing in tiffs Section 10 affects ]Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or ajay 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 to the Mortgage Insurance. Mortgage insurers evaluate their total risk or~ all such insurance in force fi-om time to time, and may enter into agreements with other parties that share or modify theix risk, or reduce losses. These agreements are on terms and conditions 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 funds that the mortgage insurer may have available (which may include funds, obtained from Mortgage Insurance premiums). As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliate of any of the foregoing, 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 sharing or modifying the mortgage insurer's risk, et' reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amounts that Borro~,er has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe l'or Mortgage Insurance, and they will not entitle Borrower to any refund. (b) Any Such agreements will not affect the rights Borrower has - if any with respect to the Mortgage Insurance under the ~-Iomeowners Protecti.n Act of 199~; or any other la~v. These rights may include the right to receive certain disclosures, to request and obtain cancellation el' the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or ~o receive a refund of an), l~.$ortgage Insurance premiums ~hat were unearned at the time of such cancellation or termination. F.rm 31151 I/IH 9-- 2--05;10:05 ;First N~tlonsl Bank ; 3076543623 # 9/ 27 10a. SS56~;1 ll. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds 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 Miscellaneous Proceed~ until Lender has had an oppommity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may pay fpr the repairs and restoration in a single disbursement or in a series of progress payments 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 Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, it' any, paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the parqal taking, destruction, or loss in value 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 L~nder 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 immediately before the partial taking, destruction, or loss ia 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 loss in value of the Property in which the fair market value of the Property irnn~diately 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 value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the Property is abandoned by Borrower, or if, after notice by Lendex to Borrower that the Opposing Party (as dot-mod in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is given. Lender is authorized 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 Pan'y" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has aright of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property or other material impairer of Lender's interest in the Property or rights under this Security Instrument. Borrower can cm-e such a default and, if acceIeration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, in Lender's judgment, precludes forfeiture of the Property or other material impairment of Lender's interest in 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 Lender. All Miscellaneous Proceeds tha~ are not applied to restoration or repair of the Property shall be applied Ln the order provided for in Section 2. 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time 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 Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Borrower oc to refuse to ext,;nd time fo.r payment or otherwise modify amortization of the sums 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 ~ny right or remedy including, without limitation, Lender's acceptance of payments from third persons, entities or Successors in Interest of Borrower or in amotmt~ tess tlqan thc mr~,tmt ~hen due, shall ru3t be a ~va iver of,t ?r~.'clude the exercise of,my right or remedy. WYO.NilNG - $h~81c Family - Fannie .%iac/Freddie ~l=c ~ '.x; [FOR,n,l IN,STHt'ME,N'I Form 3051 t/01 10;05 ;First NstionsI Ban~ '10'!$$$ 651 13 Joint and Several Liability; Co-signers; Successors and Assigns Bound. [torrower covenants and agrees ~hat Borrower's obligations and liability shall be joint and several. However, any Borrower who co- signs tiffs Security Instrument but docs not execute the Note (a "co-signer"): (a) is co-signing this Security Instrument bnly to mortgage, grant and convey the co-signer's int¢rest in the Property under the terms of this Security In~ument; (b) is not personally obligated to pay thc sttms secured by this Security Instrument; and (c) agrees that L~nder and any other Borrower can agree to extemd, modify~ forbear or make any accommodations with rcgard!~to th~ terms of this Security Instrument or thc Note without the co-signer's consent. Subject to thc provisions of Section 18, any Successor in Interest of Bo w . .. Borrower'siobligations under tlfis Security Instrument in writing, and is aooroved b Le fro. er who assumes B , · . . ,., y rider, shall obtain all of orrower $ rights and benefits under thts Security lz, stmment Borrower shall not be released fxom Borrower's obligations land liability under thi.s, Security Instrument unless Lender agrees to such release in writing. The c. ovenants and agreements of fi'tis Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14~, Loan Charges. Lender may charge Borrower fees for services performed in connection with ~Bo.rrowe/'sld¢fault, for the purpose of protecting Lender's interest in the Prooertv and ri[,hta ,,~cl,r ,hi~ q ..... ~,., mstmment, tincluding, but not limited to, attorneys' fees, ~xoncrtv ~-j ..... ,~,,, mc auscnce o[express authority in th~s Security Instrument to charge a specific fee to Borrower shall not 1~ construed as a prohibition on the charging of such. fee. Lendez may not charge fees that a~e expressly prohibited by this Security Instrument or by Applicable Law. If the Loan is subject to a law which scm maximum loan chaxges, and that law is finally intc'rpreted so that the interest or other loan charges collected or to be collected in connection wilh the Loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amouat necessary to reduce the charge to the pcnmitted limit; and (b) any sums already collected from Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the pr/ncipal owed under the Note or y ,mak/ng a direct payment to Borrower. Ifa ~efimd reduces principal, thc reduction will be seated 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 right of action Borrower might have arising out of such overcharge 1~ · . _. 5. Notices. All notices given by Borrower or Lender in connection with this Secttr/ty Instrument must b~' '' ~ ' tn writing. Any nonce to Borrower in connection with this Security Inslrument 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 oth6r m~ans. Notice to any one Borrower shall con'rote notice to all Borrowers unless Applicable Law expressly r~quires otherwise. The notice address shall be the Property Address unless Borrower has designated a substimtclnotice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If,12nder specifies a procedure for reporting Borrower's change of ad&ess, then Borrower shall only report a change of address tkrough 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 mailing it I~y first class mail to Lender's address stated herein unless Lender has designated another address by notice to Bbrrower. Any, noti6e in connection with this Security Instrument shall not be deemed to have been given to L6nder until actually received by Lender. If any notice required by this Security Instrument is also required reader Applicable Law, the Applicable Law requirement will satisfy ~he correspondm~ requirement under this Security Instrument. 16[ Governing Law; Severability; Rules of Construction. This Security Immanent shall be governed l~y federal law and the law of the jurisdiction in which the Property is located. All rights and obligations lcontained in this Security instrument are subject to any requ/zements and limitations of Applicable Law. Applicable Law might explicitly or implicitly all°~ the parties to agree by contxact or it m/ght be silent, but such silence shall not be cormxued as a prohibition against agreement by contract. In the event that any provision olr clause of this Security Instrument or the Note conflicts with Applicable Law, such conflict shall not affect ~ther provisions of this Security Instrument or the Note which can be given effect without the onflmlmg prows~on. A~ used in this Security Instrument: (a) words of the masculine gender shall mean and include correspondm~ neuter words or words of ~he feminine gender; (b) words in the sin~utar shall mean and include the plural ~n~ vice versa; and (c) the word .... ' ma)' .gwes sole discretion withou~ any obligation to tak~ any action. wYOIVlING [K)CIjkWy,~ Family - Fannit, Mae'Freddie Mac [ 3,1F()RM Ih'STR[LME3'T Form 3051 I/UI ;First National Bank ;307~543~23 11/ 10't555SSl Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest inI the Property" means any legal or beneficial interest in the Property, including, but not limited to, those beneficial, . interests transferred in a bond for deed, contract for deed, installment sales contract or escrow agreement, lhe intent of which is the transfer of title by Borrower at a furore date to a purchaser. If ~tll or any part of thc Property or any Interest m the Property is sold o~ transferred (or if Borrower is not a naturil person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, L~nder may require immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If~oender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a p~ riod of not less than 30 days from the date the notice is given in accordance with Section 15 within whtch. Borrower~ . must, pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prtor, to the, exptratlon of this period, Lender may invoke any remedies permitted by this Security Instrument wzthout further notice or demand on Borrower. 1~,. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earliestlof(a) five days before sale of the Propexery pursuant to any power of sale contained in thi,s Security Instrument1 (b) such other period as Applicable Law might specify for the termination of Borrower s fight to reinstate; o~ (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lenddr all sums which th en would be due under this Security lmstrnment and the Note as if no acceleration had occurrM; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the purpose of protecting Lender's interest in thc Property and rights unde¥ this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's ifiterest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the sums secu/ed by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinsthtement suras and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b). money brder;~ (c). certified, check, bank check, treasurer's check or cashier's check, provided any such check ts drawn upon an msnmtion whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shail remain fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in th~ ease of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. Thc Note or a partial interest in the Note ~together with this Security Instrument) can be sold one or more times without prior notice to Borrower. ~ sale might result in a change in thc entity (known as the "Loan Servicer") that collects Periodic Payments m~e under the Note and this Security Instrument and pcrtbrms other mortgage loan servicing obtigation~ under the Note, this Security Instmmeng and Applicable Law. There also might be one or more changes or,the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be give,n, written notice of the change which will state the name and address of the new Loan Servicer, the address to l~hich payments should' be made and any other information RESPA requires in connection With a tn°tice of transfer, of servicing. If rhe Note is sold and thereafter .... the Loan is serviced by a Loan Servtcer' other. han the purchaser of the Note, the mortgage loan senqcmg obhgations to Borrower will remain with the Loan Servicer o}~ be. transferred to a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. N,either Borrower nor Lender may comurnence, join, or be joined to any judicial action (as either an individual ~itigant or the member of a class) thatarises from the other party's actions pursuant to this SecUrit Instrumentior that alleges that the other party has breached any provision of, or any duty owed by reason of, tiff; Security InsEment, until such Borrower or Lender has notified the other party (with such notice given i.n complianc~ v, ith the requirements of Section 15) of such alleged breach and 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 whi:h must elapse before certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleratiop and opportumty to cure given to Borrower purshant to Section 22 and the notice of acceleration given to ~orrower pursuant ro Section 18 shall be deemed to satisfy the notice tnd opportunity to take corrective aclion provisions of this Section 20. WYO~.II,",;¢ Single Family - Fannie ~.lae~Frt, ddie Mae [fN IFOR~,i ]~$TRt M[5"i F. rrn 3051 !I01 2'7 ;First National Bank ; 3076543623 # I 2/ 27 '00394 10~555651 21 Hazardous Substances. As used in this Section 21: (a) "Ha~ardou, gubstances" are those substances defined as toxic or lmzardous substances, pollutants, or Wastes by Envirormaental Law and the following ubstances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, lvolatile solvents, rnalerials containing, a~bestos or formaldehyde, and radioactive materials; (b) "Environm~mtal Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, ~afety or environmental protection; (c) "Env/~onmental Cleanup" includes any response action, [ . remedial a?tlon, or removal action, as defined in Enviroranental Law; and (d) an "Envirom'nental Condition" means a condition that can cause, contribute to, or other~vise bigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, storage, or release of'any Hazardous SubstancesI or threaten to release any Hazardous Substances, on or in the Properly. Borrower shall not do, nor allow anyofle else to do, anything affecting the Property (a) that is in violation of any Env/ronmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, lcreates 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 Hazardous 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 in consumer products). B6rrower shah promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other act/r~n by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Envirom'nental Law of which Borrower has actual knowledge, (b) any Envirommental. Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any Hazardous Substance, and (c) any condition caused by the presence, use or release of a Hazardous Substance wh/ch adw ~rsely affects the value of the Property. If Bon°wer learns, or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance affecting fl[e Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22~. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrowerls breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (a) the default; (b) the action required to cure the default; (c) a date, not less than 30 days from the date the notice is Iltven 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 Security Ihstrument and sale of the Property, The notice shall further inform Borrower of the right to reinstate after acceleration and the right to bring a court action to assert the non-existence of a default or any o~herldefeuse 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 secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies ~ern~tted by Applicable Law. Lender shall be entitled to collect all expenses incurred in purstdng the remedies provided in this Section 22, including, but not limited to, reasonable attorneys' fees and costs of title e'rldence. Ii Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the, person in possession o[ the Property, if different, in accordance with Applicable Law Lender shall give notice of the sale to Borrower in the manner nrovided in Sectmn . · ~ . f 15. Lender shall publish the not~ce of ~ale, 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 a lied m · ~ . p ' ' the following order. (a}Ito ali expenses of the sale, including, but not limited to, reasonable attorP~evs, fees; (b) to all sums secured by this Security Iustrument; and (e) any excess to the person or persons'legally entitled to 23. Release. Upon payment of all sums secured by this Security Instrument Lender shall re ea .... · . ' ' . · , I .se this ~ecunry t~sm~ment. Borrower shall pay any recordation costs· Lender may charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a third parry for services rendered and the char t o · ~: . g ne fthe fee ts perrmtted under Apphcable l.aw WYOM l)OC~JK wY' i i - Single ~'amily - Fannie [Moe~Freddie F~rm 31)51 !01 2--05; 10:O5~ ;Fi Nat Ional Bank ;3076543623 # 13/ 27 ':00395 10~SS5651 24 Waivers. Borrower releases and waives all rights under and by virtue of the homeatead exemption laws of Wyoming. S _B/~SIGNTNG BELOW, Borrower accepts and agrees to the terms and ecurity~n~m tmenJ~nd in any Rider executed by Borrower and recorded with it. covenants comained in this ./~-'- ' "'.y to t)~/9~ ,¢~~ ' li~ ]~ SEP z 6 2005 Si~gtc Fa[nily - Fannie ~,lu t 'Freddie I~lac I'N IFOH~i IN.$'r RU~IENT O~lo~.i~oo~ ~['a.?_' 12 r~' 13/ Form 3051 l/Ill 2--05;10:0~ ;First Nat onal Bank ; 307~543623 ~ 1 ~./ 27 35 lO4, S55651 [Space Below This Line For Acknowledgment] STATE O]~ WYOMIN~ COUNTY OF LIHCOLN The foregoing instrument was acknowledged before me by STROTH, ~SBAND A/gD WIFE this 16TH day of SEPTE~iBER, 2005 Witness mthand and offi¢ia! seal. My Comm~sion Expires: -~IEPTI~-'I~"B~[R 1.8, 2007 CARL OARY STROTH AND HOLLY GEORGE Single Family - Fail[ih' ~l;l~ Freddie Mpc ['NIFORbl INSTRUME.NT o~/u~/~ao,, fPage i3 qfl3] Ft~rm 3051 I/IH 2--0.5;10:08 ;First Na~lona ~enk ;3078543623 # '5/ 27 "00397 PLANNED UNIT DEVELOPMENT RIDER STROT~ LOAN #: 104555651 ~IN: 100015700057289924 THIS PLANNED UNqT DEVELOPMENT R/DER is rmde this 16TK day of S~TEM~ER 2005 and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") of the same date, given by the undersigned (the "Borrower") to secure Borrower's Note to FIRST NATIONAL BANK - WEST (the "Lender") of the same date and covering the Property described in the Security Instrument and located at: 244 HILLSIDE WAY, THAYNE, WY 83127 [Property Address] The Property includes, but is not linfited to, a parcel of land improved with a dwelling, together w/th other such parcels and certain common areas and facilities, as described in: THE COV~.NANTS, CONDITIONS ~ RESTRICTIONS FILED OF RECORD THAT AFFECT ~ PROPERTY. (the "Declaration"). Thc Property is a pan of a planned unit development known as: STAR VALLEY RANCH [Name of Planned Unit Development] (the "PUD"). The Property also includes Borrower's interest in the homeowners association or equivalent entity owning or managing the common areas and facilities of the PUD (the "Owners Association") and the uses, benefits and proceeds of Borrower's interest. PUD COVENANTS. In addition to the covenants and agreements made in the Security instrument, Borrower ant[ Lender further covenant and agree as follows: A. PUD Obligations. Borrower shall perform all of Borrower's obligations under the PUD,s Constituent Documents. The "Constituent Documems" are the (i) Declaration; (ii) articles of incorporation, t-rust instmruent or any equivalent document which creates the Owners Association; and (iii) any by-laws or other rules or regulations of tim Owners Association. Borrower shall promptly pay, when due, all dues and assessments iruposed pursuant to thc Constituent Documents. 51L'I.TISTATE PUl) RII)ER--Sil~gl¢ Fam[~5,.--Fa.nle 51ac/Fredtlie Mae [IXlFOR~I INSTRI.~MEXT F(~rm 3151} 1/01 2--05;10;05 ; 3078~43S23 ~ 18/ 97 10~5556~1 B. Property Insurance. So long as the O~vners Association maintains, with a generally accepted insurance carrier, a "master" or "blanket" policy insuring the Property which is satisfactory to Lender and which provides insurance coverage in the amounts (including deductible levels), for the periods, and against loss by fire, hazards included within the term "extended coverage," and any other hazards, including, but not limited to, earthquakes and floods, for which Lender requires insurance, then: (i) Lender waives the provision in Section 3 for the Periodic Payment to Lender of the yearly premium installments for property insurance on the Property; and (ii) Borrower's obligation under Section 5 to maintain property insurance coverage on the Property is deemed satisfied to the extent that the required coverage is provided by the Owners Association policy. What Lender requires as a condition of this waiver can change during the term of the loan. Borrower shall give Lender prompt notice of any lapse in required property insurance coverage provided by the master or blanket policy. In the event of a distribution of property insurance proceeds in lieu of restoration or repair following a loss to the Property, or to conmaon areas and facilities of the PUD, any proceeds payable to Borrower are hereby a~signed and shall be paid to Lender. Lender shall apply the proceeds to the sums secured by the Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. C. Publle Liability Insurance. Borrower shall take such actions as may be reasonable to insure that the Owners Association maintains a public liability insurance policy acceptable in form, amount, and extent of coverage to Lender. D. Condemnation. The proceed~ of any award or claim for damages, direct or consequential, payable to Borrower in connection with any condemnation or other taking of all or any part of the Property or the common areas and facilities of the PUD, or for any conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. Such proceeds s~ll be applied by Lender to the sums secured b~. the Security Instrument as provided in Section 11. E. Lender's Prior Consent. Borrower shall not, except after notice to Lender and with Lender's prior written consent, either partition or subdivide the Property or consent to: (i) the abandonment or termination of the PUD, except for abandonment or termination requixed by law in the case of substantial destruction by rice or other casualty or in the ease ora taking by condemnation or eminent domain; (ii) any amendment to any provision of the "Constituent Documents" if the provision is for the express benefit of Lender; (iii) termination of professional management and assumption of self, management of the Owners Association; or (iv) any action which would have the effect of rendering the public liability insurance coverage maintained by the Owners Association unacceptable to Lender. F. Remedies. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them. Any amounts disbursed by Lender under this Paragraph F shall become additional debt of Borrower secured by the Security Instrument. Unless Borrower and Lender agree to other term~ o[' payment, these amounts shall bear interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower requesting payment. ' :00398 Form 3150 l/IH 2--05;10:05 ;First National Bank. ; 307654.3623 # 17/ 27 00399 / '10,~ 55565.1,. BY S~. ,G?/~?~~ accepts and agrees to tb_e terms and covenants contained in this PUD Rider. VOl