HomeMy WebLinkAbout919492
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Prepared By:
AMY GRIPPITH
MOUNTAIN STATES MORTGAGE
CENTERS INC.
1333 EAST 9400 SOUTH
SÁNDY, UT 84093
(801) 576-1000
Return To:
MOUNTAIN STATES MORTGAGE
CENTERS INC.
1333 EAST 9400 SOUTH
SANDY, UT 84 M 3
(801) 576-1000
ATTN:AMY GRIPPITH
DEFINITIONS
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000796
RECEIVED 6/2012006 at 2:53 PM
RECEIVING # 919492
BOOK: 623 PAGE: 796
JEANNE WAGNER
LINCOLN COUNTY CLERK, KEMMERER, WY
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[Space Above This Line For Recording Data]
MORTGAGE
STARR
Loan #: 06060008
P~:12-3718-30-4-00-018.00
NITN:I00300600010102665
Words used in multiple sections of this document are defined below and other words are defmed in Sections
3, 11, 13, 1'8, 20 and 21. Certain rules regarding the usage of words used in this document are also provided
in Section 16.
(A) "Security Instrument" means this document, which is dated JUNE 14, 2006, together with all
Riders to this document.
(B) "Borrower" is CHARLET STARR, AN UNMARRIED WOMAN.. Borrower is the mortgagor under this
Security Instnunent.
(C) IlMERS" is Mortgage Electronic Registration Systems, Inc, MERS is 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 MOUNTAIN STATES MORTGAGE CENTERS INC.. Lender is a CORPORATION
organized and existing under the laws of UTAH. Lender's address is 1333 EAST 9400 SOUTH,
SANDY, UT 84093.
(E) "Note" means the promissory note signed by Borrower and dated JT.JNE 14, 2006. The Note states
that Borrower owes Lender THREE HUNDRED THREE THOUSAND THREE HUNDRED AND 00/100
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Page Ipf 13
Form 3051 1/01
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09'19492
06060008
Dollars (D.S, $303,300.00) plus interest. Borrower has promised to pay this debt in regular Periodic
Payments and to pay the debt in full not later than JULY 1, 2036.
(F) "Property" means the property that is described below under the heading "Transfer of Rights in the
Property. "
(G) "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 Instrument, plus interest.
(II) "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]:
IX! Adjustable Rate Rider
o Balloon Rider
o 1-4 Family Rider
o Condominium Rider
o Plamed Unit Development Rider
o Other(s) [specify]
o Second Home Rider
o Biweekly Payment Rider
(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 final,
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 similar organization.
(K) "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 terminal, telephonic instrwnent,
computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debit or credit an
account. Such term includes, but is not limited to, point-of-sale transfers, automated teller machine
transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers.
(L) "Escrow Items" means those items that are described in Section 3.
(l\1) "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 destruction of, the Property; (ii) condemnation or other taking of all or any part of the Property;
(iii) corweyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the value and/or
condition of the Property.
(N) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the
Loan.
(0) "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.
(P) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. § 2601 et seq.) and its
implementing regulation, Regulation X (24 C.F.R. Part 3500), as they 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.
1RANSFER OF RIGHTS IN THE PROPERTY
This Security Instrument secures to Lender: (i) the repayment of the Loan, and all renewals, extensions and
modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under this
Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and corwey to
MERS (solely as nominee for Lender and Lender's successors and assigns) and to the successors and assigns
of MERS, with power of sale, the following described property located in the COUNTY (Type of Recording
Jurisdiction) of LINCOLN (Name of Recording Jurisdiction):
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
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C00798
0919492
06060008
PLEASE REFER TO ATTACHED LEGAL DESCRIPTION
which currently has the address of 363 RIVERVIEW DRIVE, ALPINE, Wyoming 83128 ("Property
Address"):
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
Instnunent as the "Property." Borrower understands and agrees that MERS holds only legal title to the
interests granted by Borrower in this Security Instnunent, but, if necess!l1)' 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 right to foreclose and sell the Property; and to take any
action required of Lender including, but not limited to, releasing and canceling this Security Instnunent.
BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has
the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for
encumbrances of record, Borrower warrants and will defend generally the title to the Property against all
claims and demands, subject to any encumbrances of record.
THIS SECURITY INSTRUMENT combines unifonn covenants for national use and non-unifonn
covenants with limited variations by jurisdiction to constitute a unifonn 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 fimds for Escrow Items
pursuant to Section 3. Payments due under the Noteand this Security Instnunent shall be made in U.S.
currency. However, if any check or other instnunent received by Lender as payment under the Note or this
Security Instnunent is returned to Lender unpaid, Lender may require that any or all subsequent payments
due under the Note and this Security Instnunent 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 ClUTent. 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 fimds, 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 fimds
or return them to Borrower. If not applied earlier, such fimds will be applied to the outstanding principal
balance under the Note immèdiately prior to foreclosure. No offset or claim which Borrower might have now
or in the future against Lender shall relieve Borrower from making payments due under the Note and this
Security Instnunent or perfonning the covenants and agreements secured by this Security Instnunent.
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 Payment in the order in which it became due. Any remaining amounts shall be
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
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Form 3051 1/01
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appHed fIrst to late charges, second to any other amowlts due nnder this Security Instnunent, 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 amonnt to pay any late charge due, the payment may be applied to the delinquent payment and the
late charge. If more than one Periodic Payment is outstanding, Lender 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, Volnntary prepayments shall be
applied fIrst to any prepayment charges and then as described in the Note.
Any application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due nnder
the Note shall not extend or postpone the due date, or change the amonnt, of the Periodic Payments.
3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due
nnder the Note, nntil the Note is paid in full, a sum (the "Fnnds") to provide for payment of amonnts due for:
(a) taxes and assessments and other items which can attain priority over this Security Instnunent as a Hen or
encumbrance on the Property; (b) leasehold payments or gronnd rents on the Property, if any; (c) premiums
for any and all insurance required by Lender nnder Section 5; and (d) Mortgage Insurance premiums, if any,
or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in
accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any
time during the term of the Loan, Lender may require that Community Association 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 amonnts to be paid under this Section. Borrower
shall pay Lender the Funds for Escrow Items unless Lender waives Borrower's obligation to pay the Fnnds
for any or all Escrow Items. Lender may waive Borrower's obligation to pay to Lender Fnnds for any or all
Escrow Items at any time. Any such waiver may oIÙY be in writing. In the event of such waiver, Borrower
shall pay directly, when and where payable, the amOlmts due for any Escrow Items for which payment of
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 obHgation to make such payments and
to provide receipts shall for all purposes be deemed to be a covenant and agreement contained in this Security
Instrwnent, 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 amonnt due for an Escrow Item,
Lender may exercise its rights nnder Section 9 and pay such amonnt and Borrower shall then be obligated
nnder Section 9 to repay to Lender any such amonnt. Lender may revoke the waiver as to any Qr 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 Fnnds, and in such amounts, that are then required nnder this Section 3.
Lender may, at any time, collect and hold Fnnds in an amonnt (a) sufficient to permit Lender to
apply the Fnnds at the time specified nnder RESPA, and (b) not to exceed the maximum amonnt a lender can
require nnder RESPA Lender shall estimate the amount of Fnnds 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 Fnnds to pay the Escrow Items no later than the time
specifIed nnder RESPA Lender shall not charge Borrower for holding and applying the Funds, annually
analyzing the escrow acconnt, 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 Fnnds, Lender shall not be required to pay Borrower any
interest or earnings on the Fnnds. Borrower and Lender can agree in writing, however, that interest shall be
paid on the Fnnds. Lender shall give to Borrower, without charge, an annual acconnting of the Funds as
required by RESPA
If there is a surplus of Fnnds held in escrow, as defIned under RESPA, Lender shall acconnt to
Borrower for the excess funds in accordance with RESPA If there is a shortage of Fnnds held in escrow, as
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Form 3051 1/01
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0319492
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defmed 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 than 12
montlùy payments, If there is a deficiency of Funds held in escrow, as defmed under RESPA, 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 montlùy payments.
Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refimd
to Borrower any Funds held by Lender.
4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fmes, 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 perfo1ll1ing such agreement; (b) contests the lien in good faith by, or
defends against enforcement of the lien in, legal proce~dings which in Lender's opinion operate to prevent
the enforcement of the lien while those proceedings are pending, but only until such proceedings are
concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the
lien to this Security Instrument. If Lender dete1ll1ines 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 seIVice used by Lender in connection with this Loan.
5. Property Insurance: Borrower shall keep the improvements now existing or hereafter erected on
the Property insured against loss by fire, hazards included within the te1ll1 "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 tenn 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 dete1ll1ination, certification
and tracking setVices; or (b) a one-time charge for flood zone detennination and certification seIVices and
subsequent charges each time remappings or similar changes occur which reasonably might affect such
detennination 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 dete1ll1ination
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 additiona110ss 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 fonn of insurance coverage, not otherwise required by Lender, for
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFOR~fINSTRUMENT
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Form 30511/01
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.damage 10, or .destruction of, :the Property, such policy .shall :include .a standard mortgage clause .and .shall
:name Lender .as mortgagee Bnd/or.as an .additional loss payee.
1n :the went of loss, Borrower shall give prompt .notice to :the fusurance carrier .and Lender. Lender
:may.make proof of loss if .not made promptly by Borrower. Unless Lender and Borrower otherwise B.gfee .in
writing, .any .insurance proceeds, whether or .not the underlying .insurance mIS required by Lender, .shall be
.applied to restoration or repair of the Property, if the restoration or repair is economically feasible and
Lender's æcurity is .not lessened. During such repair and restoration period, Lender .shallllave :the :right to
110ld suchmllf1lDCe proceeds until Lender bas bad an opportunity to inspect such Property to ensure :the work
.bas been completed to Lender's $atisfaction, provided that such inspection.shall be undertaken promptly,
Lender :may disburse proceeds for the repairs and restoration .in 11 single payment or in 11 .series of progress
payments 1IS the work is .completed. Unless.an .agreement is JJU1de .in miting or Applicable Law requires
:interest to be paid on suchfusurance proceeds, Lender sha11.not be required to pay Borrower lillY interest or
:earnings on such proceeds. Fees for public lldjusters, or other third parties, retained by Borrower .shall.not be
paid out of the insnTRn~e proceeds and .shall be the sole obligation of Borrower. 1£ :the restoœtion or repair is
JJ.ot £conomi~Rlly feasible or Lender'.s .security would be lessened, the murance proceeds.shall be .8.IJplWd to
the .sums .secured by íhis Security 1nstrument, whether or .not then due, with the =ess, if lillY, paid to
Borrower. Suchfusurance }JToceeds shall be .applied.in the order provided for .in .section2.
1£ Borrower Jlbandons the Property, Lender :may .file, negotiate and .settle .any .avBilable .insurance
claim.and related :matters. 1£ Borrower does .not respond within 30 days to 1I.notice £rom Lender that the
.insurance carrier lias offered to settle .a claim, then Lender :may .negotiate and settle the claim, The 3D-day
period will begin when the .notice is given. 1n either event, or if Lender lICquires the Property under Section
.22 or otherwise, Borrower .hereby lISsignS to Lender (a) Borrower's :rights to.any .insurance proceeds .in lill
.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 1lI1Y refund of uneamedpremiums paid by Borrower) under .all
-1n!:llTRnr-.e policies covering the Property, msofar lIS such:rights .are .8.IJplicJlble to the coverage of:the Property.
Lender :may use the .insurance proceeds either to repair or restore the .Property or to pay .amounts unpBid
under the Note ortbis.security1nstrument, vJrether or.not then due.
6. Occupancy. Borrower shall occupy, establish, and use the Property .as Borrower's ]Jrinc.ipal
residence "within 60 days .after the execution of this Security 1nstrumcnt .and .shall .continue to· occupy the
Property .as Borrower'.s prin~ipR I residence for lit least one ye.ar .after the date of occupancy, unless Lender
otherwise Bgfees .in writing, wbich .consent .shall .not be unreasonably withbe1d, or :unless extennRting
circumstances exist which.are beyandBorrower's control.
7. .PnseJV.ation, .Maintenance .and .Protection of the .Property; InspectioJ15. Borrower .shall.n.ot
llestroy, damage or mpair the Property, 1Ùlow the Property 10 .deteriorate or commit WlISte on the Property.
Whether or.not:Borrower is residing.in the Property, :Borrower sba11 maintRin :the Property in order to prevent
the Property from lIeteriornting or .decreasing.in V1ÙUe due to its condition, Unless it is lletennined pursuant to
.section 3 1bat repair orrestoœtion is .not economically feasible, Borrower .shall promptly repair the Property
if .damaged to liVoid :further lIeteriorlliion or damage, ]f insurance or condemnation proceeds .are pBid .in
.connection with .damage to, or the tak:inß of, the Property, Borrower .shall be responsible for repairing or
restoring the Property only if Lender lias released proceeds for such purposes. Lender:may disburse proceeds
for the repairs .and restoration in li single payment or in 11 series of progress :p1Iym.ents lIS the work is
.completed.]f the 1n!:llTlIn"'.e or cnni!..mnRtion proceeds .are .not $llffi~if'T1t to replÚr or restore the Property,
Borrower is.notrelievßd of Borrower's obligation for:the completion of.such repair orrestoœtion.
Lender or its .agent :may .make rellSonable entries upon .and .inspections of :the Property. ]f it .has
reasonable .caJ.Ise,Lender :may .inspect the .interior of the improvements on the Property. Lender .shall give
Borrower.notice lit the :time of or prior to such.an.interior .inspection specifying such reasonable cause.
8. :Borrower's Loan Application. Borrower .shall be.in.default if, during :the Loan 1Ipplication
}JTocess, Borrower or liIlY persons or entities .acting .at :the direction of Borrower or with Borrower's
lmowledge or consentgavemRtf'TiRllyfalse,:misleading, orinaccurnte.infonn.ation or.statements to Lender (or
.:failed ío provide Lender -with -mRtP.T1R I .infonn.ation) in '.connection with the Loan. Material representations
include, but liTe .not limited to, representations cOIICçnllng Borrower's occupancy of the Property .as
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06060008
Borrower's principal residence.
9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument.
If (a) Borrower fails to perform the covenants and agreements contained in this Security Instnunent, (b) there
is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this
Security Instnunent (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for
enforcement of a lien which may attain priority over this Security Instnunent 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
Instnunent, 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 Instnunent; (b) appearing in court; and (c) paying reasonable attorneys' fees to
protect its interest in the Property and/or rights under this Security Instnunent, 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 take 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 taking any or all actions authorized
illlder this Section 9.
Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower
secured by this Security Instnunent. These amounts shall bear interest at the Note rate from the date of
disbursement and shall be payable, with such interest, upon notice fi-om Lender to Borrower requesting
payment
If this Security Instnunent is on a leasehold, Borrower shall comply with all the provisions of the
lease. Borrower shall not surrender the 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
groillld 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 premiwns 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 premiwns for Mortgage Insurance, Borrower shall pay the premiwns 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 amoilllt 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 premiwns 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 premiwns
for Mortgage Insurance, Borrower shall pay the premiwns required to maintain Mortgage Insurance in effect,
or to provide a non-refundable loss reserve, illltil Lender's requirement for Mortgage Insurance ends in
accordance with any writt~n 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.
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Page? of 13
Form 3051 1/01
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Mortgage insurers evah.¡ate 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 telTIlS 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
fimds that the mortgage insurer may have available (which may include fimds 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) amOlUlts 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 takes a share of the insurer's risk in exchange for a share of the premiums paid to
the insurer, the arrangement is often telTIled "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
(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
Seètion 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. .
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Pageª.of 13
Form 3051 1101
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091.9432
000804
06060008
If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the
Opposing Party (as defmed 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 beglffi that, in
Lender's judgment, could result in forfeiture of the Property or other material impainnent 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 impainnent of
Lender's interest in the Property or rights lffider this Security Instrument. The proceeds of any award or claim
for damages that are attributable to the impainnent 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.
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 corwey the co-signer's interest in the Property lffider thetenns 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 tenns 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 lffider 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 perfonned in connection with
Borrower's default, for the purpose of protecting Lender's interest in the Property and rights lffider 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
pennitted limits, then: (a) any such loan charge shall be reduced by the amount necessary to reduce the
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
~ 360.20 Page 9-of 13
Form 30511/01
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charge to the pennitted limit; and (b) any sums already collected from Borrower which exceeded pennitted
limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed
Wlder the Note or by making a direct payment to Borrower. If a refund reduces principal. the reduction will
be treated as a partial prepayment without any prepayment charge (whether or not a prepayment charge is
provided for under the Note). Borrower's acceptance of any such refund made by direct paymentto 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 Wltil actually received by Lender, If any notice required by
this Security Instrument is also required Wlder Applicable Law, the Applicable Law requirement will satisfy
the corresponding requirement Wlder this Security Instrument.
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 Instnunent 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 wruch 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 pennitted 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
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Page 10 of 13
Form 3051 1/01
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Security Instnunent; (b) such other period as Applicable Law might specify for the tenninàtion 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 ooder this Security Instnunent 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 ooder 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 Tnstnunent,
and Borrower's obligation to pay the sums secured by this Security Instnunent, shall continue oochanged.
Lender may require that Borrower pay such reinstatement sums and expenses 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, instnunentality or entity; or (d) Electronic Foods Transfer. Upon reinstatement by Borrower, this
Security Instnunent 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 ooder 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 Instnunent) 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 perfonns other mortgage loan servicing
obligations ooder 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 change of the Loan Servicer,
Borrower will be given written notice of the change which will state the name and address of the new Loan
Servicer, the address to which payments should be made and any other infonnation RESPA requires in
connection with a notice of transfer of servicing. If the Note is sold Ilnd 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, ootil 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 defmed as toxic or hazardous substances, pollutants, or wastes by Erwironmental Law and the
following substances: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides and
herbicides, volatile solvents, materials containing asbestos or fonnaldehyde, and radioactive materials; (b)
"Erwironmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate
to health, safety or environmental protection; (c) "Erwironmental Cleanup" includes åny response action,
remedial action, or removal action, as defmed in Erwironmental Law; and (d) an "Environmental Condition"
means a condition that can cause, contribute to, or otherwise trigger an Erwironmental Cleanup.
Borrower shall not cause or pennit the presence, use, disposal, storage, or release of any Hazardous
Substances, or threaten to reiease 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) wlúch, 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
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Page Jl of 13
Form 3051 1/01
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Substances that are generally recognized to be appropriate to nonnal 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 or regulatory 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.
NON~UNIFORM COVENANTS. Borrower and Lender fw1her covenant and agree as follows:
22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration
following 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 specity:
(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 designee may purchase the Property at any sale. The proceeds of the sale shall be applied
in the following order: (a) to all expenses of the sale,including, but not limited to, reasonable attorneys'
fees; (b) to 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 seIVices 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.
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
@ 360.20 Page !} of 13
Form 3051 1/01
/.
0919492
0008£18
06060008
BY SIGNING BELOW, Borrower accepts and agrees to the tenns and covenants contained in this
Instnunent and in y . . r executed by Borrower and recorded with it.
- ()-ù(o
- BORROWER - CHARLET STARR - DATE -
(Space Below This Line fo{ Acknowledgment)
State of \).J ~a 'tîì W\\ð
County of -r C+ÖY\
The foregoin~
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instnunent
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was
acknowledged
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Witness my hand and official seal.
Nor~~~CVM~
My Commission Expires:
Courtney B Campbell Nota", Public
County of _State of
Teton Wyoming
M Commission Exp res, Nov, 13.2006
WYOMING - Single Family - Fannie MaelFreddie Mac UNIFORM INSTRUMENT
S 360.20 Page 13 of 13
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Doc ID#:
ADJUSTABLE RATE RIDER
(MTA- Twelve Month Average Index - Payment Caps)
STARR
Loan #: 06060008
PUN: 12-3718-30-4-00-018.00
NŒN:100300600010102665
THIS ADnJSTABLE RATE RIDER is made this 14TH day of JUNE, 2006, and is incorporated
into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, ör Security Deed (the
"Sewnity Instrument") of the same date given by the undersigned ("Borrower") to secure Borrower's
A<!iustable Rate Note (the "Note") to MOUNTAIN STATES MORTGAGE CENTERS INC. ("Lender") of
the same date and covering the property described in the Security Instrument and located at:
363 RIVERVIEW DRIVE, ALPINE, WY 83128
[Property Address]
THE NOTE CONTAINS PROVISIONS THAT WILL CHANGE THE INTEREST
RATE AND THE MONTHLY PAYMENT. THERE MAY BE A LIMIT ON THE
AMOUNT THAT THE MONTHLY PAYMENT CAN INCREASE OR DECREASE.
THE PRINCIPAL AMOUNT TO REPAY COULD BE GREATER THAN THE
AMOUNT ORIGINALLY BORROWED, BUT NOT MORE THAN THE
MAXIMUM LIMIT STATED IN THE NOTE.
ADDITIONAL COVENANTS: In addition to the covenants and agreements made in the Security
Instrument, Borrower and Lender further covenant and agrees as follows:
A. INTEREST RATE AND MONTHLY PAYMENT CHANGES
The Note provides for changes in the interest rate and the monthly payments, as follows:
2. INTEREST
(A) Interest Rate
PayOption MfA ARM Rider
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Page lof5
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0919492
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06060008
Interest will be charged on unpaid Principal until the full amount of Principal has been paid. I will
pay interest at a yearly rate of 3 . 12 5 %. The interest rate I will pay may change.
The interest rate required by this Section 2 is the rate I will pay both before and after any default
described in Section 7(B) of the Note.
(B) Interest Rate Change Dates
The interest rate I will pay may change on the 1ST day of AUGUST, 2006, and on that day every
month thereafter. Each date on which my interest rate could change is called an "Interest Rate Change Date."
The new rate of interest will become effective on each Interest Rate Change Date. The interest rate may
change monthly, but the monthly payment is recalculated in accordance with Section 3.
(C) Index
Beginning with the fIrst Interest Rate Change Date, my adjustable interest rate will be based on an
Index. The "Index" is the "Twelve-Month Average" of the annual yields on actively traded United States
Treasury Securities adjusted to a constant maturity of one year as published by the Federal Reserve Board in
the Federal Reserve Statistical Release entitled" Selected Interest Rates (H. 15)" (the "Monthly Yields"). The
Twelve Month Average is detennined by adding together the Monthly Yields for the most recently available
twelve months and dividing by 12. The most recent Index figure available as of the date 15 days before each
Interest Rate Change Date 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 infonnation. The Note Holder will give me notice of this choice.
(D) Calculation of Interest Rate Changes
Before each Interest Rate Change Date, the Note Holder will calculate my new interest rate by
adding FOUR AND FORTY-FIVE HUNDREDTHS percentage point(s) 4.450% ("Margin") to the Current
Index. The Note Holder will then roood the result of this addition to the nearest one-eighth of one percentage
point (0.125%). TIris roooded amooot will be my new interest rate ootil the next Interest Rate Change Date.
My interest will never be greater than 9. 950%. Beginning with the frrst Interest Rate Change Date, my
interest rate will never be lower than the Margin.
3. PAYMENTS
(A) Time and Place of Payments
I will make a payment every month.
I will make my monthly payments on the 1ST day of each month beginning on AUGUST 1,
2006. I will make these payments every month ootil I have paid all the Principal and Interest and any other
charges described below that I may owe under this Note, Each monthly payment will be applied as of its
scheduled due date and will be applied to interest before PrincipaL If, on JULY 1, 2036, I still owe
amounts under this Note, I will pay those aµlounts in full on that date, which is called the "Maturity Date."
Iwillmakemymonthlypaymentsat1333 EAST 9400 SOUTH, SANDY, UT 84093 or at a
different place if required by the Note Holder.
(B) Amount of My Initial Monthly Payments
Each of my initial monthly payments until the first Payment Change Date will be in the amooot of
u.s. $1,299.26 unless adjusted ooder Section 3(F).
(C) Payment Change Dates
My monthly payment may change as required by Section 3(D) below beginning on the 1ST day of
AUGUST, 2007, and on that day every 12th month thereafter. Each of these dates is called a "Payment
Change Date." My monthly payment also will change at any time Section 3(F) or 3(G) below requires me to
pay a different monthly payment. The "Minimum Payment" is the minimum amooot Note Holder will accept
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for my monthly payment which is detennined at the last Payment Change Date or as provided in Section 3(F)
or 3(G) below. If the Minimum Payment is not sufficient to cover the amount of the interest due then negative
amortization will occur.
I will pay the amount oÎ my new Minimum Payment each month beginning on each Payment
Change Date or as provided in Section 3(F) or 3(G) below.
(D) Calculation of Monthly Payment Changes
At least 30 days before each Payment Change Date, the Note Holder will calculate the amount of the
monthly payment that would be sufficient to repay the unpaid Principal that I am expected to owe at the
Payment Change Date in full on the maturity date in substantially equal payments at the interest rate effective
during the month preceding the Payment Change Date. The result of this calculation is called the "Full
Payment." Unless Section 3(F) or 3(G) apply, the amount of my new monthly payment effective on a
Payment Change Date, will not increase by more than 7.5% of my prior monthly payment This 7.5%
limitation is called the "Payment Cap." This Payment Cap applies only to the Principal and Interest payment
and does not apply to any escrow payments Lender may require under the Security Instrument. The Note
Holder will apply the Payment Cap by taking the amount of my Minimum Payment due the month preceding
the Payment Change Date and multiplying it by the number 1.075, The result of this calculation is called the
"Limited Payment." Unless Section 3(F) or 3(G) below requires me to pay a different amount, my new
Minimum Payment will be the lesser of the Limited Payment and the Full Payment. I also have the option to
pay the Full Payment for my montWy payment.
(E) Additions to My Unpaid Principal
Since my monthly payment amount changes less frequently than the interest rate, and since the
monthly payment is subject to the payment limitations described in Section 3(D), my Minimum Payment
could be less than or greater than the amount of the interest portion of the monthly payment that would be
sufficient to repay the unpaid Principal I owe at the montWy payment date in full on the Maturity Date in
substantially equal payments, For each month that my monthly payment is less than the interest portion, the
Note Holder will subtract the amount of my monthly payment from the amount of the interest portion and
will add the difference to my unpaid Principal, and interest will accrue on the amount of this difference at the
interest rate required by Section 2. For each month that the monthly payment is greater than the interest
portion, the Note Holder will apply the payment as provided in Section 3(A).
(F) Limit on My Unpaid Principal; Increased Monthly Payment
My unpaid Principal can never exceed the Maximum Limit equal to ONE HUNDRED FIFTEEN
percent (115.000%) of the Principal amount I originally borrowed. My unpaid Principal could exceed that
Maximum Limit due to Minimum Payments and interest rate increases. In that event, on the date that my
paying my monthly payment would cause me to exceed that limit, I will instead pay a new monthly payment.
This means that my monthly payment may change more frequently than annually and such payment changes
will not be limited by the 7.5% Payment Cap. The new Minimum Payment will be in an amount that would
be sufficient to repay my then unpaid Principal in full on the Maturity Date in substantially equal payments at
the current interest rate.
(G) Required Full Payment
On the FIFTH Payment Change Date and on each succeeding fIfth Payment Change Date thereafter,
I will begin paying the Full Payment as my Minimum Payment until my montWy payment changes again. I
also will begin paying the Full Payment as my Minimum Payment on the [mal Payment Change Date.
(H) Payment Options
After the fIrst Interest Rate Change Date, Lender may provide me with up to three (3) additional
payment options that are greater than the Minimum Payment, which are called "Payment Options." I may be
given the following Payment Options:
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(i) Interest Only Payment: the amount that would pay the interest portion of the monthly
payment at the current interest rate, The Principal balance will not be decreased by this Payment
Option and it is only available if the interest portion exceeds the Minimum Payment
(ii) Fully Amortized Payment: the amount necessary to pay the loan off (Principal and
Interest) at the Maturity Date in substantially equal payments.
(iii) 15 Year Amortized Payment: the amount necessary to pay the loan off (Principal and
Interest) within a fifteen (15) year tenn from the first payment due date in substantially equal
payments. This monthly payment amount is calculated on the assumption that the current rate
will remain in effect for the remaining tenn.
These Payment Options are only applicable if they are greater than the Minimum Payment.
B. TRANSFER OF THE PROPERTY OR A BENEFICIAL INTEREST IN BORROWER
Section 18 of the Security Instrument entitled "Transfer of the Property or a Beneficial Interest in
Borrower" is amended to read as follows:
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. Lender also
shall not exercise this option if: (a) Borrower causes to be submitted to Lender infonnation
required by Lender to evaluate the intended transferee as if a new loan were being made to
the transferee; and (b) Lender reasonably detennines 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 pennitted by Applicable Law, Lender may charge a reasonable fee as
a condition to Lender's consent to the loan assumption. Lender may also require the
transferee to sign an assumption agreement 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.
If Lender exercises the option to require immediate payment in full, 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
pennitted by this Security Instrument without further notice or demand on Borrower.
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BY SIGNING BELO\\!, Borrower accepts and agrees to the tenns and covenants contained in this
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BORROWER - CHARLET STARR - DATE
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Exhibit A
File 6010615401 Description
The land referred to in this document is situated in the State of Wyoming, County of Lincoln, and is
described as follows:
Lot 43 of River View Meadows Addition to the Town of Alpine, Lincoln County, Wyoming as
described on the official plat filed on July 2,1993 as instrument No. 767416 of the records of
the Lincoln County Clerk.
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