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Home My WebLink About914852 . '·crl·¡;.,...·;·".' ''''''.';. ,·..'·...-'.1..·.. ,;-..'....~....; '..,....................... .. .,...".t·j-.;~.:I·.\· ..c',~·;:·".1400:·~ ·"¡".,~I" \. c' . . . _ '. . .'....¡ " :r.'.'I·..'.·:',....:~·· '.....-,¡" ".".", -'-.,.. ,I' CßÒ Return To: PHHLC - POST CLOSING MAIL ROOM C00497 1555 W. WALNUT HILL LN. #200 MC 6712 IRVING, TX 75038 Prepared By: PIRST HORIZON HOMB LOAN CORPORATION 3505 BAST OVERLAND DRIVE MBRIDIAN, ID 83642 (Space Above This Line For Recording Data) MORTGAGE 0056192651 RECEIVED 12/29/2005 at 4:33 PM RECEIVING # 914852 ~ BOOK: 608 PAGE: 497 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY DEFINITIONS Words used in mulûple secûons of this document are dermed below and other words are defined in Secûons " 5 3, 11, 13, 18,20 and 21. Certain rules regarding the usage of words used in this document are also provided o in Secûon 16. /"bÚ/ (A) "Security Instrument" means this document, which is dated December 19th, 2005 together with all Riders to this document. (B) "Borrower" is MICHAEL CODMAN & COLLBEN CODMAN , Husband & Wife ,'" ) '"' -J.¿ Borrower is the mortgagor under this Security Instrument. (C) "Lender" is PIRST HORIZON HOMB LOAN CORPORATION Lender is a CORPORATION organized and exisûng under the laws of THB STATB OP KANSAS WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT . -6(WY) (0005) Page ~ of 15 Inltlall:~' VMP MORTGAGE FORMS" (800)521-7281 Form 3051 1/01 11111111111111111111111111111111111 'ì'·'I_··"·' i¡,..".ì... ¡',II'.'j ï::;:;:;~~. ~;kill~ . ¡<¡ ,~, ,"~p.",:"'O Nf;\¡';'i -~t~,;~ :±;~~~l~1~;¿;~;~ 'I'''-?,~i''~ ;/.·I'···~'.I'~Ir. ; ;¡*r~~;<:I'~:~ , ··,··.........'·_.·r... r..,,: .:_,_;>;_::;:O':":";~'~<"... ' :.. -';'-':':..', .... .' . .....,,~::;.'<,:·c'~;.:,:, ..........~.al!..... ,.-.>.~~.':".,.._~!:;,:.':.:~..!,...:!.l-,o.;,.;,...-...,._" "{". . "·'Tt'~!.".;· ',"~"- . -,." .' ,.'-."1.~...,.....,._ 09'!L4852 C00498 Lender's address is 4000 Horizon Way, Irving, Texas 75063 Lender is the mortgagee under this Security InsbUment. (D) "Note" means the promissory note signed by Borrower and dated December 19th, 2005 The Note states that Borrower owes Lender PlVE HUNDRED SIXTY THOUSAND &. 00/100 Dollars (U.S. $ 560,000.00 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later than January 1s t , 2037 (E) "Property" means the property that is described below under the heading "Transfer of Rights in the Property." (F) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security InsbUment, plus interest. (G) "Riders" means all Riders to this Security InsbUment that are executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: [i] Adjustable Rate Rider o Balloon Rider o VA Rider o Condominium Rider o Planned Unit Development Rider o Biweeldy Payment Rider o Second Home Rider o 1-4 Family Rider [i Other(s) [specify] CONSTRUCTION LOAN RIDER (H) "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 fmal, non-appealable judicial opinions. (I) "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 similar organization. (J) "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrument, which is initiated through an electronic tenninal, telephonic instrument, computer, or magnetic tape so as to order, insbUct, or authorize a financial institution to debit or credit an account. Such term includes, but is not limited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (K) "Escrow Items" means those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or desbUction of, the Property; (ii) condemnation or other taking of all or any part of the Property; (ill) conveyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the value and/or condition of the Property. (M) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment" means the regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. (0) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. 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 InsbUment, "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 RESP A. 0056192651 _ -6(WY) 100051 ~ Inlllall~ Pag820f 15 Form 3051 1/01 · .., ':".¥:rl:."..·.,..:.·"":;!";;·.,,, .,. ,_..' .. .. ... '''''~''.I ~.~.:\. . '.... .' .'1.< . ...' ,. ....... ,,". ,. I "",'.1'~'."''''' . .:".::'-.....,,0:....-..:1"...-:...... -=,:·'·~'fl....__...¡~'&:', '~'."'.' ..,.:'t..,-,.. ".",' " .,...~.';¡'"..:.......:".I.,.;~, ". ······I.~..,..._.,·.·. üSì1L~852 C00499 (P) "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 to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ü) the performance of Borrower's covenants and agreements under this Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, the following described property located in the County of Lincoln [Type of Recording Iurisdictionl [Name of Recording Iurisdiction] LOT 8 IN SHADOW DANCER ESTATES SUBDIVISION, LINCOLN COUNTY, WYOMING AS DESCRIBED ON THE OPPICIAL PLAT THEREOP. Parcel ID Number: County: NNA PALCON DRIVE ETNA ("Property Address"): 3619040046600 City: N/A which currently has the address of [Street] [City] ,Wyoming 83118 (Zip Code] TOGETHER WITH all the improvements now or hereafter erected on the propeny, 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 COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mongage, grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances of record. TIllS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by jurisdiction to constitute a uniform security instrument covering real property . UNIFORM COVENANTS, Borrower and Lender 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 charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note and this Security Instrument shall be made in V,S. currency, However, if any check or other instrument received by Lender as payment under the Note or this 0056192651 .. -6(WY) (0005) ~ Pag" 3 of 15 Inlllall~C Form 3051 1/01 :~:;;~.: ~i~~~j~~ili;fŒ .'.'.-.,r··'··>t-,,·..····;·....·;··,··,.···.,···:-··¡;,J...ó;... . .['\,ü~ ~,Ø52 u.::J.....JM.O (0('500 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 in one or more of the following fonns, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds 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 return any payment or partial payment if the payment or partial payments are 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 future, but Lender is not obligated to apply such payments at the time such payments 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 return them to Borrower. If not applied earlier, such funds will be applied to the outs landing principal balance under the Note immediately prior to foreclosure. No offset or claim which BorrQwer might have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instrument or performing the covenants and agreements secured by this Security Instrument. 2. Application or 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 Payment 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. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outslanding, 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 [ust to any prepayment charges and then as described in the 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 ror Escrow Items. Borrower shall pay 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 which can attain priority over this Security Instrument 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 Sèction 10. These items are called "Escrow Items," At origination or at any time during the term of the Loan, Lender may require that Community Association 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 all Escrow Items at any time, Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts due for any Escrow Items for which payment of 0056192651 .. .6(WY) (0005) œ> Page 40115 'n,tla,,:~L- Form 3051 1/01 / " .' ',·······..·.·......,·.·.·.·,·,·,·.·,·...·,-v:.......,.·....._ ~.,'-......."'.~'.,'~.,.,.."\", :'y"..... .:-........ . .<.\\.',; -E _,", :,____..-"''''''II.....~.. "",.,. '.' '··.·,·.·.1..........._.·,.. .-h·~.r·_~oa:oI........~"..··r', ~.,,~~..;...,.......~."'¥........... .. ...->.,.,.,-'..:,¡'O.:.~~;i.:_.'...4'.'...... . ". .... :' -L, ~"J I' 85~ U.....:1'..:...'..: ~ C00501 Funds has been 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 shall 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 Items 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 amounts, that are then required under this Section 3. Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply the Funds at the time specified under RESPA, and (b) not to exceed the maximum amount a lender can require under RESPA. Lender shall estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality, . or entity (including Lender, if Lender is an institution whose deposits are so insured) 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 writing 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 surplus of Funds held in escrow, as dermed under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESP A. If there is a shortage of Funds held in escrow, as dermed 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 RESP A, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as dermed under RESP A, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower is perfonning such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in,legal proceedings which in Lender's opinion operate to prevent the enforcemen~ of the lien while those proceedings are pending, but only until such proceedings are concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender detennines 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 0056192651 _ -6(WY) (0005) ~ Page 5 0115 'n,tlal.:A'~' - Form 3051 1/01 f:i::~:m:::::::t:::~~ ~~"'~i'"'I"~~~ :m;¡:¡!¡~¡f!illm¡ '....-...,..".,...,.:.,.:....-,',., ......,.............-.-., -1.' ···,·.·.;.;·~~,,~'~.'·,·k·,' '''',._.~.c·..,,'....,.··,. _"',. .. '''''-1,;'.''.', ","'P.;,;:, .....-...,......,.,. uS!l~852 :Of5°2 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. S. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges each time remappings or similar changes occur which reasonably might affect such determination or certification, Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone 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 in effect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the 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 the policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and 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 promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed, Unless an agreement is made in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest 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 proceeds shall be applied to 0056192651 G -6(WY) (00051 ~ Page 6 01 15 Inlllall:4/t (! Form 3051 1/01 / , ............,..'.. ,.... ..:....:.;.-...., .....:. "J(J..r..'-.~'-' .' "r·:,'·.·. .,.... .."""".',..,..-.','.. .. ·--··'....,_':··..,·,···.·,·,·,·;·ò,' r',t.:',;{I t~ 852 dJ''''~ 200503 the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the Property, Lender may me, negotiate and settle any available insurance 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 will 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 Property. Lender may use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security 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 of 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 circumstances 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 detennined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property if damaged, to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes, Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. If the insurance or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration. Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8. Borrower's Loan AppUcation. Borrower shall be in default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inaccurate infonnation or statements to Lender (or failed to provide Lender with material infonnation) in connection with the Loan. Material representations include, but are not limited to, representations concerning Borrower'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. If (a) Borrower fails to perfonn the covenants and agreements contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, 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 include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable 0056192651 C-6(WY) (0005) ~ Paga 7 0115 ,n,tla,a0e Form 3051 1/01 II .~i~\:.:~.::~~:-j:::, ~!:~!!:t:t:!:!::!N;S : -.:~; ~ ;:~~::~fit~:::~ , .,;:;~~~::~~:;:::j, ...... '. ,.' .,.','" ,·.·.·,"".·I!6·.,.·!.'I··.·ti!l~·I.:!I'.¡:oa:.IfI,;,:.~~.~~,'C~¡.!lwm_"='J:i.:";,;.:,.{,.;::;.·"",~,;¡;'·,ù!J,.~·;;,-,'-:S<'I;~~,"'_·'.' . '. '."_~" -·'~-.!·',·'.i,;'.'I~....u.e.oi'.',·l '~" . ··~·,'·;¡"¡'':Q'''~.:IIi''-~~j¡!·i'j-~;:-H~Þ~·''·_'·;;:''·'·'-:~·;'":' ,".'" .' ..~_"', ';;';". ~·.t¡'t':q;::;.:.t."('.',,,,..,,,_,..,, :'".' '-;- .-,': -,';~,"·.1':' OSf..4852 C00504 attorneys' fees to protect its interest in the Property and/or rights under this Security InslrUment, including its secured position in a bankruptcy proceeding, Securing the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities turned on or off, Although Lender may lake action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not laking any or all actions authorized under this Section 9. Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan, Borrower shall pay 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 insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance 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 Lender the amount of the separately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-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 full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve, Lender can no longer require loss reserve payments if Mortgage Insurance coverage (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 required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may enter into agreements with other parties that share or modify their 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, or reducing losses. If such agreement provides that an affiliate of Lender lakes 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 Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund. 0056192651 G -6(WY) (00051 ~ Initlala: ~.ße Page80f 15 Form 3051 1/01 ··..·,·.·;.Ao;4;.;......·....·.." . :¡'~', ..""'. ·~,·-.:~.-'·y-~'·..,·>"!..W; .-., .,1:" :': I.:' .,_~...,...~('""',.~,.... . ;..,...........;........... ,..;;J·"'...ar""-~DI:."'ft- ·."'!>·;'#~...'('!>.,;~;,rC.,'(..~· ';'-'; ;. ""~', "-V"~~P:~'>P" .' ',' ..... . '..'1", . ."..ób.~.:I~.:. 0S~L.::852' n n fì 5 U't 5 \.' .) t' (b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance premiums that were unearned at the time of such cancellation or termination. 11. 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 Proceeds until Lender has 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 pay for 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, if 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 partial 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 Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before the partial taking" destruction, or loss in 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 Lender to Borrower that the Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to 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 Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be 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 impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, 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 that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 0056192651 .. -6(WY) (0005) ¡ø¡ Page g 0115 Inlllal~C Form 3051 1/01 f:'W¡"'~""""'~ 'dli~'i' ,I"~:~:~;I ~::t~::JI::::~::~ O;::::~:~~þ.:::::::~ :';':':':~!\'ii~:'i41 ·'-·.·.·¿.......'Io~I.~.I.~. ·;·.~.;I~Ç.~.~I-",' ':" "'! ',:-', ... .,.: ,~\. ....., . '.J.-."<.·".;(-'.I:t·>!,' ,'.·'·..,I.;·¡......~...~·.!.·, ·l~,'-'4'¡w~r~~·~~+nlil:·:;:;,..:I'-...;.··).;".".;. ,11'"'' , . ·,·.:,..·.·,....:..0:......;" ···;¡;õ:',r..·...;....,'...... OS;~ç852 (. (\05(1 6 I., U ... 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 or to refuse to extend time for 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 any right or remedy including, without limitation, Lender's acceptance of payments from third persons, entities or Successors in Interest of Borrower or in amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that Borrower's obligations and liability shall be joint and several. However, any Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Security Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument unless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services performed in connection with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not limited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. If the Loan is subject to a law which sets maximum loan charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the Loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted 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 principal owed under the Note or by making a direct payment to Borrower, Ifa refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge (whether or not a prepayment charge is provided for under the Note). Borrower's acceptance of any such refund made by direct payment to Borrower will constitute a waiver of any right of action Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to have been given to Borrower when mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to anyone Borrower shall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. There may be only one designated notice address under this Security Instrument at anyone time. Any notice to Lender shall be given by delivering it or by mailing it by first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by this Security Instrument is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrument. 0056192651 G -6(WY) (0005) Iþ Inlllal':~ Page 100115 Form 3051 1/01 ·~;.c';"__'lI;...;,,,o,"""'.··.~·i'··,",.·;··!~I··.¡óI,' ':·I·~~. ,.,....,..,:./.. ".-"!'.:".'. .._ . ,'. ..~.:y ;,.,....;..,~~rl:>l~'· .·ò..:.....:c;".;.......... .", ,.~ '.~~!ic;i~.,.. .~·..·....,.·il"'if.i.1...'t.";.·J<',:"':~:·'1:..~'·! Co ...:.,~,:..: ~"f(,.....;.........¡t ';.~.':.'!.',.: ,.., .;,..,., '. ~.~ . .,........."_ .' üS~~852 C00507 16. Governing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract. In the event that any provision or clause of this Security Instrument or the Note conflicts with Applicable Law, such conflict shall not affect other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. As used in this Security Instrument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in 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, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require immediate payment 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 Lender exercises this option, Lender shall give Borrower notice of acceleration, The notice shall provide a period of not less than 30 days from the date the notice is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower, 19. 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 earliest of: (a) five days before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law might specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred 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 the Property and rights under this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Instrument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of the foIlowing forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result in a change in the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a chànge of the Loan Servicer, Borrower will be given written notice of the change which wiIl state the name and address of the new Loan Servicer, the address to which payments should be made and any other information RESPA requires in connection with a 0056192651 .. -6(WY) (0005) ~ Inlllal':~(! Page 11 ot 15 Form 3051 1/01 ,:.:oi.~:.~,~¡¡i:;;, ~f,::::.~i :mw~ 11':f,¡f¡!¡¡¡¡~I"~'" ·.-~~ft!~Ji~;,il:',,, " -tt~~I~t;~" ¡,~It:_Z :::~:!¡ t~:~... ~ .·~·I . r",·~",.it.:....a'"~:''':'''''''''''·..;.1"",,,,.,,·,·~:,''4::1".:I,~...~''''~;',.-' ...... . <.,.,...., '.L.'.'-"'. ,.,............~;,..-._ , ·I··.I~,........_....._· ~...:i-)Ò':-:':'.,l...tf;.....'~"f,',.',.,II!t.,"'~a...~~..L'~; '.:/.·~"·~_...,·_;;-..· ,.,;,-'...' ., ,.~' i',·,,·- ., .,....;..~r.f.'~!<'...., .~~,;;.'" .-::.;..~.;'~,.~. ",' ;,~". .,~......_. . n .', "', ¡.':~ 8' 52 O'J':"'~ C005C8 notice of transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neither Borrower nor Lender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach 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 which 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 acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as dermed in Environmental Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to release any Hazardous Substances, on or in the Property, Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of 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). Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Environmental Condition, including but not limited to, any 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 which adversely affects the value of the Property. If Borrower learns, or is notified by any governmental orregulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance affecting the 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. 0056192651 . -6(WY) (0005) C» InlllallW(l (! Page 12 gj 15 Form 3051 1/01 : ". ··'.....ÄJ1I:.:·;·;¡;·:·':,.';,·"·~·;,··,,,.~·; ".:,A't··,,:¡··C¡··,-·' '~~:;:~.".,'!-':""'-:;~""""" . .. ..·:-,··,-,:',,;¡·C'".-r.:t....Ji<:t;.!/'r.;. ·'·Io·~~·~II¡:;~·¡.r."I!¡r;>i'!...,-}!:,· ~;--,~";r¡" . . .;.... ,.,.,',....,...¡',~~...;.;' :....', 1,'-";, .......,.,. .;..... '!¡;.('~~,":j ~S":) U'--"'......'-J;:O ,..., CO(509 NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration followin¡; Borrower's 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 given to Borrower, by which the default must be cured¡ and (d) that failure to cure the default on or before the date specified in the notice may result in acceleration of the sums secured by this Security Instrument 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 other defense of Borrower to acceleration and sale. If the default is not cured on or before the date specified in the notice, Lender at its option may require immediate payment in full of all sums secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, including, but not limited to, reasonable attorneys' fees and costs of title evidence. If Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possession of the Property, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided in Section 15. Lender shall publish the notice of sale, and the Property shall be sold in the manner prescribed by Applicable Law. Lender or its designe~ may purchase the Property at any sale. The proceeds of the sale shall be applied in the following order: (a) to all expenses of the sale, including, but not limited to, reasonable attorneys' feesj (b) to all sums secured by this Security Instrument; and (c) any excess to the person or persons legally entitled to it. 23. Release. Upon payment of all sums secured by this Security Instrument, Lender shall release this Security Instrument. 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 party for services rendered and the charging of the fee is pennitted under Applicable Law. 24. Waivers. Borrower releases and waives all rights under and by virtue of the homestead exemption laws of Wyoming. 0056192651 G -6(WY) (0005) (D InitiallY (I (! Page 13 0115 Form 3051 1/01 i,:i:::jì'::~::,':::;::; ~&i¡:'á1t; :(~~;¡~~~~mmf:~ .' .t",·.·¿,.~¡!t~ì'!~I'~'~:¡~':!·;!¡·'·; (,' ..-.....;.:: ;:"; '.,,;:¡,;~¡:': ".. ':':-:;::-t::r'; :.;.. ';'!";!:), ":1~;~~~;" ,', '·.···'",·:·..'¡tJ~~·.·.·ò·.·.', ',: .;<.:. :,~î¡'''';I·~...w.:'i-' "~;""':: '~·~ii:i";.~"q'IPi':"~'::'Y !:. .. ". . .:: ::~~!'".i:! :11!j.,~i~I~':¡';;'¡;;~;V;'-¡.' "'¡; .~, ..;:.. /:':¡ :";!j~;~¡".-.. '.¡~ .,i.:[, "fi ^', 85~ "iJ~c-:.~ fl;,,¡ C00510 BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorded with it. Witnesses: ---"" (Seal) -Borrower ~/~~ COLLJ!;BN crMAN (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower 0056192651 G-6(WY) (0005) ~ Page 140115 Form 3051 1/01 ·' ...'·.I.......·.·.·..·.'"Ii·...·,',·.·I·jfò!¥·.·¡·,J.~~.·~~\,-þy....·a.., ..;~~:.:'-~."~;"..'~" ···'....·~,..:·;~:,·~·¡.='Ci){...- '_ _._._ : ,',.1.':' ...'.' -,·,·,'.·.·...........¿.....t·,·, . . ·;";;";·;f;"',"'lNf'"'W;1,f'.·:i";:1á;;lt.rm'1U·~·.·Jj,::.., .¡~F',. .. ·''.;':I'f.''I·.ti,.;.~t;..,:",.~,:~·. ,··,r",,', -;..~,.. ··:·r:·:-:~:\·¡:.;.-;J:.:' ':. \dS~~85Z . ~ STATEOF~ ,..¡..:n,\,;VL.ft C00511 P~UD'YSS: The foregoing instrument was acknowledged before me this by MICHAEL CODMAN & COLLBEN CODMAN My Commission Expires: " 1il J~~t~~'p~~:~K JÆ~j:!!, ' ,,0. fJ U ))¡ill Commonwealth of MassachlJ.1ttI 0 My CoImìssion &,Was Ncwllnttel ~41 .. 0056192651 .. -6(WY) (0005) <11 Inillal.. ~' Page 15 of 15 Form 3051 1/01 ~:¡:i:¡;~?!:!::::;::~ i I ., 1" ~:~ '~.¡.II~I~I:;':~ì! .~:~.~::\ ~ !ti;~ '~~I''t ~i_I~..,I¡ ':~~ ~!:;~~:~~~;šjtf,tÆ1 ;;·i;~.·'i5't¡'J" i'""." :!:":¡~':'¡;" ):::::~::~'lli~:~:;~ .......,..:-.."...,.,.,<,..,..,.,.,.,:-............. ,.'.............-..,..... . --¡.._~.,.:....-:.........-....'.,.'~"'-"."....-,.e;"... .,,,' .........,...... , ;' -r: ..,i 1'1 Ç) S ":) VO":'I.....,~a ~ C00512 ADJUSTABLE RATE RIDER 0056192651 (LIB OR Six-Month Index (As Published In The Wall Street Journal) - Rate Caps) THIS ADJUSTABLE RATE RIDER is made this 19th day of December, 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 ("Borrower") to secure Borrower's Adjustable Rate Note (the "Note") to FIRST HORIZON HOMB LOAN CORPORATION ("Lender") of the same date and covering the property described in the Security Instrument and located at: NNA FALCON DRIVE BTNA, WY 83118 [Property Address] THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE BORROWER MUST PAY. ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: A.INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an initial interest rate of 7.750 %. The Note provides for changes in the interest rate and the monthly payments, as follows: 4. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The interest rate I will pay may change on the first day of January, 2012 , and on that day every 6th month thereafter. Each date on which my interest rate could change is called a "Change Date." (B) The Index Beginning with the first Change Date, my interest rate will be based on an Index. The "Index" is the average of interbank offered rates for six month U.S. dollar-denominated deposits in the London market ("LIB OR") , as published in The Wall Street Journal. The most recent Index figure· available as of the first business day of the month immediately preceding the month in which the Change Date occurs is called the "Current Index." If the Index is no longer available, the Note Holder will choose a new index that is based upon comparable information. The Note Holder will give me notice of this choice. (C) Calculation of Changes Before each Change Date, the Note Holder will calculate my new interest rate by adding TWO AND ONE-QUARTER percentage points ( 2.250 %) to the Current Index. The Note Holder will then round the result of MUL TISTATE ADJUSTABLE RATE RIDER - LlBOR SIX-MONTH INDEX (AS PUBLISHED IN THE WALL STREET JOURNAL) - Single Family - Fannie Mae Uniform Instrument ~-838R (0402) Form 3138 1/01/1 Page 1 of 3 Initials:.l-1' l:- ~8~6)~201r~~~~~ Solutions, Inc. 11111111111111111111111111111111111 .......;0.0;."."...,;-..'.... . ,.....,,'.,..'.\......,...'-... ';~~'.~......~,... , "".:~"'''·I'.''''.'·' ".'."'~':'W-U;.-:-".'" .¡....;. ¡ . ..,.........,......,.,.-.,"'...,. ;) Z' -"".0;',' ~5":) . {.Jo...Y '-4'L.:O .~ COC513 this addition to the nearest one-eighth of one percentage point (0.125%). Subject to the limits stated in Section 4( D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then determine the amount of the monthly payment that would be sufficient to repay the unpaid principal that I am expected to owe at the Change Date in full on the Maturity Date at my new interest rate in substantially equal payments. The result of this calculation will be the new amount of my monthly payment. (D) LImits on Interest Rate Changes The interest rate I am required to pay at the first Change Date will not be greater than 13.750 % or less than 2.250 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than TWO & 00/100 percentage points ( 2.00 %) from the rate of interest I have been paying for the preceding 6 months. My interest rate will never be greater than 13.750 %. (E) Effective Date of Changes My new interest rate will become effective on each Change Date, Iwill pay the amount of my new monthly payment beginning on the first monthly payment date after the Change Date until the amount of my monthly payment changes again. (F) Notice of Changes ¡he Note Holder will deliver or mail to me a notice of any changes in my interest rate and the amount of my monthly payment before the effective date of any change. The notice will include information required by law to be given to me and also the title and telephone number of a person who will answer any question I may have regarding the notice. B. TRANSFER OF THE PROPERTY OR A BENEFICIAL INTEREST IN BORROWER Uniform Covenant 16 of the Security Instrument is amended to read as follows: Transfer of the Property or a Beneficial Interest In Borrower. As used in this Section 16, "Interest In 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, the intent of which is the transfer of title by Borrower at a future âate to a purchaser. If all or any part of the Property or any Interest in the property is sold or transferred (or if Borrower is not a natural person and a beneficia interest in Borrower is sold or transferred) without Lender's prior written consent, Lender 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. Lender also shall not exercise this option if: (a) Borrower causes to be submitted to Lender information required by L:ender to evaluate the intended transferee as if a new loan were being made to the transferee; and (b) Lender reasonably determines that Lender's security will not be impaired by the loan assumption and that the risk of a breach of any covenant or agreement in this Security Instrument is acceptable to Lender. To the extent permitted by Applicable Law, Lender may charge a reasonable fee as a condition to Lender's consent to the loan assumrtion. lender also may require the transferee to sign an assumption agreemen that is acceptable to Lender and that obligates the transferee to keep all the promises and agreements made in the Note and in this Security Instrument. Borrower will continue to be obligated under the Note and this Security Instrument unless Lender releases Borrower in writing. 0056192651 G\-838R (0402) Page 2 of 3 Initialsh '(!.{! -- Form 3138 1/01 ,'hl,' ;l~i:¡} !¡~ j,' ,., 'I' Ie,' ¡fj'.-' ~.¡ '¡tili'.f ~f~~Ifm;m~:~m1~,;~:~ )::~~If~ .' - '; ~':f·':.!I!'~'~.:'< ,····...,.·...........·.·,·,·.·····.·,··':·;-¡;·I:.a¡....P.>¡..."';.·::.~~·;:,.;.....,':i.·.::';·. ,......;;_ ..:.',...,-"'..... '."'. ··.·.·.1.·.·.·...·....·.·.·, i--·'..,··.....~"..;,.Ii·'~_·':·...·f.."·.:':\.~,;.'. .', .,.. . . . ;., ,'.', I·. .,...._.:.... " ~ .. ~,,,'IIí 852 \¿J0...2~'L: Cor514 If Lender exercises the option to require immediate Payment in full, Lender shall give Borrower notice of acceleration. The notice shal provide a period of not less than 30 days from the date the notice is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may Invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Adjustal¡le Rate Rider. ¿j ,/i" (~ Lt.' / ~ (Seal) '#Iu/l_1 ~hr~seal) ~Iêh CODMAN -Borrower OLLEEN co -Borrower ( Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower ( Seal) -Borrower (Seal) -Borrower 0056192651 ~-838R (0402) Page 3 of 3 Form 3138 1/01 · ."-. . '..,.,.....0I¡:0;......¡;.:t.-'r.\;!1t.". ·:·~·"".r¡::"LI."~~)G>:~~.~~'~~""·o~:.v.1-'"::1!:,......:....~.'"....¡·r...·,( 'j.",;, '";~,....'t.~."' ".;--, :. .;..-....:~:..:...:..I,.,' .~i ' .. ,.1, ·~.:'''~\AI.......J'"~..:!u"."¡':.·$.I).~.!¡¡l¡·.~...~'_·l!'h,..i:f..·,,...: ,_. ~ .·,·.~;.',·:·.t<~I.....-'f...,..,;:::"'!·,,·, .......,..."..-. .,'''t,'.·' ;I;'·'f.'.~."-'; ".i,," ^~ 852 \'3 .::. ~ '>.:: C00515 INTEREST ONLY ADDENDUM TO ADJUSTABLE RATE RIDER TillS ADDENDUM is made this 19th day of December, 2005, and is incorporated into and intended to form a part of the Adjustable Rate Rider (the "Rider") dated the same date as this Addendum executed by the undersigned and payable to FIRST HORIZON HOMB LOAN CORPORATION (the "Lender"). TillS ADDENDUM supercedes Section 4(C) of the Rider. None of the other provisions of the Rider are changed by this Addendum. 4. INTEREST RATE AND MONTIß.,Y PAYMENT CHANGES (C) Calculation of Changes Before each Change Date, the Note Holder will calculate my new interest rate by adding TWO AND ONE-QUARTER percentage points ( 2.250 %) to the Current Index. The Note Holder will then round the result of this addition to the nearest one-eighth of one percentage point (0.125%). Subject to the limits stated in Section 4(0), this rounded amount will be my new interest rate until the next Change Date. During this Interest Only Period, the Note Holder will then determine the amount of the montWy payment that would be sufficient to repay accrued interest. This will be the amount of my montWy payment until the earlier of the next Change Date or the end of the Interest Only Period unless I make a voluntary prepayment of principal during such period. If I make a voluntary prepayment of principal during the Interest Only Period, my payment amount for subsequent payments will be reduced to the amount necessary to pay interest on the lower principal balance, At the end of the Interest Only Period and on each Change Date thereafter, the Note Holder will determine the amount of the montWy payment that would be sufficient to repay in full the unpaid principal that I am expected to owe at the end of the Interest Only Period or Change Date. as applicable. in equal monthly payments over the remaining term of the Note. The result of this calculation will be the new amount of my montWy payment. After the end of the Interest Only Period, my payment amount will not be reduced due to voluntary prepayments. BY SIGNING BE Jv MICHAEL CODMAN W, Borrower accepts and agrees to the terms and covenants contained in this Addendum. .,..... Date ~~¡~ {;'o?7-ðJ /t/zlþs Date Date Date Date Date Date Pn~~r~à 9ðní; Àddendwn to ARM Rider Page 1 of 1 FH6D03U 9/04 ~;*::::~*:::::* l:·~,:!~~ ,ó'l-;~'~ i:i;::¡:l:~~*~:;:::::~ ·;:,:j:~~,~~t~ø~~ """"',':. ",~>:.,...¡·,::¡r,if<¡ ...µ.':.:.'-. . . 'j -.·.·.·.·...·.·.!.!.:or·;.:;· . 't~-..:::¡.:.-·"-:t.~·;·'\"-,'·. .:'~ '.: /',".' ';:.i' j.,;.'··W..'::r. ~'." .... '....,.; ., ',.'..-' _ "-. ", '-¡'," ~C"!;'ii'~f ¡to'.';¡"··· ...,,':,..,..:-."'.' :',' .·'..~/,,;¡::· .::.,0.;; ';,'1; e·!"\(ì516 \~ ',.I ...1 , .. -' "', U5~ \~::1~~'Ò At, TO BE RECORDED WITH THE SECURITY INSTRUMENT LENDER: FIRST HORIZON HOME LOAN CORPORATION 0056192651 BORROWER: MICHAEL CODMAN &: COLLEEN CODMAN PROPERTY: NNA FALCON DRIVE ETNA, Wyoming 83118 RESIDENTIAL CONSTRUCTION LOAN RIDER INCLUDING SECURITY AGREEMENT TO THE DEED OF TRUSTIMORTGAGE TillS RESIDENTIAL CONSTRUCTION LOAN RIDER shall be deemed to amend and supplement the Deed of Trust/Mortgage (the "Security Instrument"), of the same date given by the undersigned (the "Borrower") to secure Borrower's Note ("Note") and Addendum to Note to Lender of the same date and covering the property ("Property") described in the Security Instrument. All terms defined in the Note and elsewhere in the Security Instrument shall have the same meaning in this Rider. AMENDED AND ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: 1. Residential Construction Loan Agreement. Borrower agrees to comply with the covenants and conditions of the Residential Construction Loan Agreement (" Loan Agreement") between Borrower and Lender, which is incorporated herein by this reference and made a part of this Security Instrument. The Loan Agreement provides for the construction of certain Improvements (" Improvements ") on the Property. All advances made by Lender pursuant to the Loan Agreement shall be an indebtedness of Borrower secured by this Security Instrument as amended and such advances may be obligatory under the terms of the Loan Agreement. The Security Instrument secures the payment of all sums and the performance of all covenants required by the Lender in the Loan Agreement. Upon the failure of Borrower to keep and perform all the covenants, conditions and agreements of the Loan Agreement, the principal sum and all interest and other charges provided for in the loan documents and secured hereby shall. at the option of the Lender, become due and payable. 2. Construction Loan Deed of Trust/Mortgage. This Security Instrument is a "construction mortgage" securing an obligation incurred for the construction of the Improvement on the Property including the acquisition cost of the Property, if any. and any notes issued in extension, renewal. or substitution thereof. Borrower affirms, acknowledges and warrants that prior to the recordation of this RCLA Rider to Security Instrument Page 1 of 5 8/2003 FH6D16X '. ., " f~"""';"...o;.'i';·'·".,,, . ",' '-,' "",',' . ,). '."'..~'; 1': ",.~ .;1, . ~' i;'- '~.:'.. .:~'~ ~.,~'.;_:...~-..~~" . . ~. ;",:,. .",- ...~,.¡...;....t;...~'........;. '. .. ;';¡';"-.':-'. 'Pi:.t:'¡\~'-';:':..;..' ~..:.;...¡,,~. Ii..·..'··:1 :;'.' ~.:.'I)¡, ';. ~.; .. .'. . , . ..j '~i~, ',',' .!."::';':'-:': 1 ·;·.·i·'·.·.¡~..,; 1 ~.~> 1:1,852 U 0...;./ ~ '--l: ,.. f'\ C' 5 11 7' '.' \); .1 Security Instrument, as amended, in the Real Propeny Records of the county or counties where the Property is located, no Improvements contemplated by the Loan Agreement have been constructed, no work has been performed, and no materials have been ordered or delivered. 3. Future Advances. This Security Instrument shall secure in addition to the sum evidenced by the Note all funds hereafter advanced by Lender to or for the benefit of Borrower, as contained in the Contract and/or due under the Loan Agreement and all indebtedness or obligations presently or hereafter owed by Borrower to Lender, however arising, whether by note, contract, ton, guaranty, operation of law or otherwise; whether or not the advances or events creating such debts or obligations are presently foreseen; and regardless of the class of debts or other obligations, be they secured or unsecured or arising from commercial, credit card or consumer transactions; or for any other purpose. All future advances shall be made within the time limit authorized by the laws of the State of Wyoming 4. Disbursements to Protect Security. All sums disbursed by Lender prior to completion of the Improvements to protect the security of this Security Instrument, up to the principal amount of the Note and any future advances, shall be treated as disbursements pursuant to the Loan Agreement. All such sums shall bear interest from the date of disbursement at the rate stated in the Note and the Addendum to the Note, unless the collection from Borrower of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate which may be collected from Borrower under applicable law and shall be payable upon notice from Lender to Borrower requesting payment therefore. 5. Assignment of Rights or Claims. From time to time as Lender deems necessary to protect Lender's interest, Borrower shall, upon request of Lender, execute, acknowledge before a notary, and deliver to Lender, assignments of any and all rights or claims which relate to the construction on the Property. 6. Breach by Borrower. In case of breach by Borrower of the covenants and conditions of the Loan Agreement, Lender, at Lender's option, with or without entry upon the Property, (a) may invoke any of the rights or remedies provided in the Loan Agreement, or (b) may accelerate the sums secured by this Security Instrument and invoke any of those remedies provided for in this Security Instrument, or (c) may do both although failure to exercise any of its rights and remedies at anyone time does not constitute a waiver or modification of any conditions, rights or remedies in the future. 7. Amortization and Loan Agreement. After the commencement of amortization of the Note, the terms of the Loan Agreement shall be deemed to have been satisfied. There shall be no claim or defense arising out of or in connection with the Loan Agreement against the obligations of the Note and this Security Instrument. 8. Property. The property covered by this Security Instrument includes the property described or referred to in this Security Instrument, together with the following, all of which are referred to as the "Property". The portion of the Property described below which constitutes real property is sometimes referred to as the "Real Property". The ponion of the Property which constitutes personal property is sometimes referred to as the "Personal Property", listed as follows: Any and all buildings, Improvements (provided in the Loan Agreement or otherwise), and tenements now or hereafter erected on the Property; any and all heretofore and hereafter vacated alleys 0056192651 RCLA Rider to Security Instrument Page 2 of 5 812003 FH6DI6Y ~f:;;;~~:¡!f.:i:~fi~ ""'¡·;·;!ÒiP.t!I¡li'¡ -; ~::::¡a~:~~f~;:¡¡;; ~"'·'·''''''''~'''''1.'''''!\#~.''~''.O~~~~.¡,''I:IS4i.·.";l'W'j¡~~~~JI!..''''..oI'i!:::'''_::',,~~';;·'': _:i1:.lH:.4."Ulil1L~·,i:;:-"·":' ".":~'.,_~Jf.,:K ='.~1L'':'¡~.''~~'.','~'_-''~ ;¿~';:-=':··.;.~L-::("~~&'ð__~':'!;~~:-"~"*t'IIi'i":N:-~ ',~',-;; '.(:¡:'~'·;t,,"¡'''¡~':II('¡'':'-2if-!,.·,t...~,,,·,,,~,~ "";'.; '''1!'~.~.~, "~t-'. ò:'. .. ,,",' ,..j '£)52 \,;j:'::: ~~O C00518 and streets abutting the Property, easements, rights, appurtenances, rents (subject however to any assignment of rents to Lender), leases, royalties, mineral, oil and gas rights and profits, water, water rights and water stock appurtenant to the Property (to the extent they are included in Borrower's fee simple title); any and all fixtures, machinery, equipment, building materials, appliances, and goods of every nature whatsoever now or hereafter located in, or on, or used, or intended to be used in connection with the Property and all replacements and accessions of them, including, but not limited to, the following items, which are hereby recognized by the parties to this instrument as fixtures: appliances for the purpose of supplying or distributing heating, cooling, electricity, gas, water, air and light; security and access control apparatus; plumbing and plumbing fixtures; refrigerating, cooking and laundry equipment; carpet, floor coverings and interior and exterior window treatments; furniture and cabinets; interior and exterior sprinkler plant and lawn maintenance equipment; fire prevention and extinguishing apparatus and equipment, water tanks, swimming pool, compressor, vacuum cleaning system, disposal, dishwasher, range, and oven, any shrubbery and landscaping; any and all plans and specifications for development of or construction of Improvements upon the Property; any and all contracts and subcontracts relating to the Property; any and all accounts, contract rights, instruments, documents, general intangibles, and chattel paper arising from or by virtue of any transactions related to the Property; any and all permits, licenses, franchises, certifications, and other rights and privileges obtained in connection with the Property; any and all products and proceeds arising from or by virtue of the sale, lease, or other disposition of any of the Property; any and all proceeds parable or to be payable under each policy of insurance relating to the Property; any and all proceeds arising from the taking of all or part of the Property for any public or quasi-public use under any law, or by right of eminent domain, or by private or other purchase in lieu thereof; all building permits, certificates of occupancy, certificates of compliance, any right to use utilities of any kind including water, sewage, drainage and any other utility rights, however arising whether private or public, present or future, including any reservation, permit, letter, certificate, license, order, contract or otherwise and any other permit, letter, certificate, license, order, contract or other document or approval received from or issued by any governmental entity, quasi -governmental entity common carrier, or public utility in any way relating to any part of the Property or the Improvements, fixtures and equipment thereon; all other interests of every kind and character which Borrower now has or at any time hereafter acquires in and to the Property, including all other items of property and rights described elsewhere in this Security Instrument. 9. Security Instrument. This Security Instrument shall be a security agreement granting Lender a first and prior security interest in all of Borrower's right, title and interest in, to and under the Personal Property, under and within the meaning of applicable statues of this state, located on or acquired for installation on or used in the operation of the real property, including, but not limited to, all construction materials, goods, equipment and fixtùres, and all accessions, additions and replacements thereof. As well as a mortgage granting a lien upon and against the Real Property. In the event of any foreclosure sale all of the Real and Personal Property may, at the option of Lender, be sold as a whole or in any part. It shall not be necessary to have present at the place of such sale the Personal Property or any part thereof. Lender shall have all the rights, remedies and recourses with respect to the Personal Property afforded to a "Secured Party· by the applicable statutes of this state in addition to and not in limitation of the other rights and recourse afforded Lender under this Security Instrument. Borrower shall, upon demand, pay to Lender the amount of any and all expenses, including the fees and disbursements of Lender's legal counsel and of any experts and agents which Lender may incur in connection with: (i) the making and/or administration of this Security Instrument; (ìi) the custody, preservation, use or operation of, or the sale of, collection from, or other realization upon any property, real and/or personal, described in this Security Instrument, (iiì) the exercise or enforcement of any of 0056192651 RCLA Rider 10 Security Instrument Page 3 of S 8/2003 FH6D16Z · . .', -I' .~. ~.~.:.~ .:. ,.-,:. ~':':'I'I' .,. -. ,""'. :'.'; .. (,.,. .."¡ 8' 52 UJ~~ r· (\ n r:.. ~ '.' VUV.L 9 the rights of Lender under this Security Instrument; or (iv) the failure by Borrower to perform or observe any of the provisions or covenants in this Security Instrument. 10. Completion. Lender shall not be responsible for the completion of the Improvements, and shall not in any way be considered a guarantor or surety of performance by Borrower. In the event the Improvements are not completed according to the Plans and Specifications approved by Lender. and it is determined for whatever reaSOn the Lender does not have a lien arising by or through Borrower, then Lender shall have a valid lien for its loan amount. less the amount reasonably necessary to complete the Improvements, or in such event Lender, at its option, shall have the right to complete the Improvements, and the lien shall be valid for the loan amount. Paragraph 6 of the Security Instrument. The first sentence of paragraph 6 of the Security Instrument is hereby modified to read as follows: Borrower shall occupy, establish and use the Property as Borrower's principal residence within sixty (60) days from the execution of the Modification Agreement and shall continue to occupy the Property as Borrower's principal residence for at least one (1) year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. All other provisions in Paragraph 6 of the Security Instrument remain unchanged, 11. Invalid Provisions. If any provision of this Security Instrument is declared invalid, illegal, or unenforceable by a court of competent jurisdiction, then such invalid. illegal or unenforceable provision shall be severed from this Security Instrument and the remainder enforced as if such invalid, illegal or unenforceable provision is not a part of this Security Instrument. 12, Address. The name and address of the Borrower/Debtor during construction of the Improvements is: MICHABL CODMAN ~ COLLEEN CODMAN 4 BBRTINO STRBET ONSBT, Massachusetts 02558 The name and address of the Lender/Secured Party is: FIRST HORIZON HOME LOAN CORPORATION 3505 BAST OVERLAND ROAD MERIDIAN, ID 83642 13. Other Provisions. The following notice is required by law: IMPORTANf NOTICE: YOU ARE HEREBY NOTIFIED THAT ANY PERSON PERFORMING LABOR ON YOUR PROPERTY OR FURNlSJUNG MATERIALS FOR TIlE CONSTRUCTION, REPAIR, OR IMPROVEMENT OF YOUR PROPERTY WILL BE ENTITLED TO A LIEN AGAINST YOUR PROPERTY IF HE IS NOT PAID IN FULL, EVEN TIIOUGH YOU MAY HAVE PAID TIlE FULL CONTRACT PRICE TO YOUR CONTRACTOR. TIllS COULD RESULT IN YOUR PAYING FOR LABOR AND MATERIALS TWICE. TIllS LIEN CAN BE ENFORCED BY THE SALE OF YOUR PROPERTY. TO AVOID TIllS RESULT, YOU MAY DEMAND FROM YOUR CONTRACTOR LIEN WAIVERS FROM ALL PERSONS PERFORMING LABOR OR FURNlSlßNG MATERIALS FOR THE WORK ON YOUR PROPERTY. YOU MAY WITHHOLD PAYMENT TO TIlE CONTRACTOR IN TIlE AMOUNT OF ANY UNPAID CLAIMS FOR LABOR 0056192651 RCLA Rider 10 Security Instrumenl Page 4 of S 8/2003 FH6D t7 A t1:f:i:::bi:m:::!i::: !~~~Ù~; ;<:::::::~:t:~~i:~ : ~: : ::;;!:~~:j~::~~ ""-' .'!.' '..-" ..:' -..-' -·.·;:.·:·,.tI.':U"ØlJdlalaMllWl~!*!i:H'¡~~llù~:-J1i·.:œÄ¡;'-L:.::;'!cl~¡J~J':l:c:.ti'i.~&.M1r·!'lf!,:·,"",:!jl;;iUWi\fi:,·:4h~~~Iiaj'"¡;';¡ ¡~¡~~~.-';I·':~;;'·ffiiDii:~~JM-itil~;!.1ôtUMaJ{f"Ii&¡UJI:f;~·.:-·":....'::o:;r<!~~.....~~oifWr:rt,~ ,·_,~'t'~:'r_'....'"":~.~~'" '-. <C.~, l''.852 ':3 J ...... 'î;; r·'....05r~o '."),' t.,' FOR MATERIALS. YOU ALSO HAVE TIlE RIGIff TO DEMAND FROM YOUR CONTRACTOR A COMPLETE LlSI' OF ALL LABORERS AND MATERIAL SUPPLIERS UNDER YOUR CONTRACT, AND TIlE RIGIff TO DETERMINE FROM TIlEM IF TIlEY HAVE BEEN PAID FOR LABOR PERFORMED AND MATERIALS FURNISHED. By signing below. Borrower accepts and agrees to the terms and covenants contained in this Residential Construction Loan Rider. Borrower MICHAEL CODMAN t~ ç1 (Ý~~~ Borrower COLLEEN jODMAN, , ' Borrower Borrower --.......-...--.............. "'_'.'''._...____.___'''__'__._'''.'.____'__.'_''''''~I::~<?~1~~~_~,~~,~~.,_"':t.!~I::~~~."._.".,._.,._.,'_"__.____',__ ...,.,...." ,.", '" '. _.'...,..,'..,."..',,'._,,_ Please attach the Appropriate County/State Specific Notary Acknowledgment 0056192651 RCLA Rider 10 Security Instrument Page 5 of 5 812003 FH6D178 ,...... . " '.- . ,-. . ·"·_-,··...,,.....·......·~·..a:.t.:'~,,·~··..·7·..·-"·<:-'-·;,,·...·-..:.:,!~~,,·,þ···_·,.;;:'., :":"":"."_' . :,..;..,........,.,' :". , ....~......~..:.. . . ';..~; -\~'" ......~,'-"!".- ,;..:...;:._..'_./k<0:.......- ,:,:'¡.~.I ';')00 ., ~_,.. _.- ,__,:, '. ;,~:....;...;.., '..'¡',:n""L·' . L.O.:... -n '",..." . ".:.:....:.:.."...,..,,:.. . ùS~~85Z State of rnC5f)1 \" ,). '" ~ss. County of I I The foregoing nstrument was ac nqwled ed for said County J1¡Jtate'jj)l, .J . this a1tJL day of ßJIYJ) 2 05. Witness my hand and official seal. r. "\ ¢! JUUEAQUIAK dUJ¡J () ~lJjj)} J Notary Public , J" ,;~:n:~;:~~~ of Massachusetts ',' Notary Public '-^PKes November 14, 2008 My Commission Expires: } IjJ ~ :J1Jog- ~¡:::::::::~¡~:!:::: Þ~~'~M~~