HomeMy WebLinkAbout947815RECEIVED 6/17/2009 at 2:49 PM
RECEIVING # 947815
BOOK: 725 PAGE: 612
When Recorded Mail To:, JEANNE WAGNER
FTFTH THIRD-M®RT-G A42)r-CO,MPpANy LINCOLN COUNTY CLERK, KEMMERER, WY
505-0 l~W..G~9b,EI,-DRtIVE;-M'`IJ.. 9Q,D 2X
CINCILIWATI, @I+IO^45.263
4US Recordings, Inc.
Loan Number XXXXX0225 2925 Country Drive Ste 201
< Paul, MN 55117
"~6
ace ove This Line For Recording Data]
00V`612
FHA Case No.
MORTGAGE 591-1093920-703-203B
THIS MORTGAGE ("Security Instrument") is given on MAY 7, 2009. The mortgagor is TONY L.
MERRITT and AMBER R. MERRITT, HUSBAND AND WIFE ("Borrower"). This Security Instrument is
given to NATIONS LENDING CORP., which is organized and existing under the laws of OHIO, and whose
address is 7029 PEARL ROAD, #A, MIDDLEBURG HEIGHTS, OHIO 44130 ("Lender"). Borrower owes
Lender the principal sum of TWO HUNDRED SEVENTY-FIVE THOUSAND SEVEN HUNDRED
NINETY-THREE AND 00/100ths Dollars (U.S.$275,793.00). This debt is evidenced by Borrower's note dated
the same date as this Security Instrument ("Note"), which provides for monthly payments, with the full debt, if
not paid earlier, due and payable on JUNE 1, 2039. This Security Instrument secures to Lender: (a) the
repayment of the debt evidenced by the Note, with interest, and all renewals, extensions and modifications of
the Note; (b) the payment of all other sums, with interest, advanced under paragraph 7 to protect the security of
this Security Instrument; and (c) the performance of Borrower's covenants and agreements under this Security
Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant, convey and warrant to
Lender, with power of sale, the following described property located in LINCOLN County, Wyoming:
SEE EXHIBIT "A" ATTACHED HERETO AND INCORPORATED HEREIN FOR ALL PURPOSES
GMD 0216 (496) Page 1 of 8
Borrower Initials
FfIA Wyoming Mortgage
00V*"' 613
which currently has the address of 144 EASY ACRES LOOP
[Street]
AFTON , Wyoming 83110 ("Property Address"):
[City] [Zip Code]
TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements,
appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions shall also be
covered by this Security Instrument. All of the foregoing is referred to in this Security Instrument as the
"Property. "
BORROWER 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 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 and Late Charge. Borrower shall pay when due the principal of, and
interest on, the debt evidenced by the Note and late charges due under the Note.
2. Monthly Payment of Taxes, Insurance, and Other Charges. Borrower shall include in each monthly
payment, together with the principal and interest as set forth in the Note and any late charges, a sum for (a)
taxes and special assessments levied or to be levied against the Property, (b) leasehold payments or ground rents
on the Property, and (c) premiums for insurance required under Paragraph 4. In any year in which the Lender
must pay a mortgage insurance premium to the Secretary of Housing and Urban Development ("Secretary"), or
in any year in which such premium would have been required if Lender still held the Security Instrument, each
monthly payment shall also include either: (i) a sum for the annual mortgage insurance premium to be paid by
Lender to the Secretary, or (ii) a monthly charge instead of a mortgage insurance premium if this Security
Instrument is held by the Secretary, in a reasonable amount to be determined by the Secretary. Except for the
monthly charge by the Secretary, these items are called "Escrow Items" and the sums paid to Lender are called
"Escrow Funds."
Lender may, at any time, collect and hold amounts for Escrow Items in an aggregate amount not to exceed
the maximum amount that may be required for Borrower's escrow account under the Real Estate Settlement
Procedures Act of 1974, 12 U.S.C. § 2601 et seq. and implementing regulations, 24 CFR Part 3500, as they
may be amended from time to time ("RESPA"), except that the cushion or reserve permitted by RESPA for
unanticipated disbursements or disbursements before the Borrower's payments are available in the account may
not be based on amounts due for the mortgage insurance premium.
If the amounts held by Lender for Escrow Items exceed the amounts permitted to be held by RESPA, Lender
shall account to Borrower for the excess funds as required by RESPA. If the amounts of funds held by Lender
at any time are not sufficient to pay the Escrow Items when due, Lender may notify the Borrower and require
Borrower to make up the shortage as permitted by RESPA.
Borrower Initials
GMD 0216 (496) Page 2 of 8 FHA Wyoming Mortgage
VGVG14
The Escrow Funds are pledged as additional security for all sums secured by this Security Instrument-If
Borrower tenders to Lender the full payment of all such sums, Borrower's account shall be credited with the
balance remaining for all installment items (a), (b), and (c) and any mortgage insurance premium installment
that Lender has not become obligated to pay to the Secretary, and Lender shall promptly refund any excess
funds to Borrower. Immediately prior to a foreclosure sale of the Property or its acquisition by Lender,
Borrower's account shall be credited with any balance remaining for all installments for items (a), (b), and (c).
3. Application of Payments. All payments under Paragraphs I and 2 shall be applied by Lender as follows:
First, to the mortgage insurance premium to be paid by Lender to the Secretary or to the monthly charge by
the Secretary instead of the monthly mortgage insurance premium;
Second, to any taxes, special assessments, leasehold payments or ground rents, and fire, flood and other
hazard insurance premiums, as required;
Third, to interest due under the Note;
Fourth, to amortization of the principal of the Note; and
Fifth , to late charges due under the Note.
4. Fire, Flood and Other Hazard Insurance. Borrower shall insure all improvements on the Property,
whether now in existence or subsequently erected, against any hazards, casualties, and contingencies, including
fire, for which Lender requires insurance. This insurance shall be maintained in the amounts and for the periods
that Lender requires. Borrower shall also insure all improvements on the Property, whether now in existence or
subsequently erected, against loss by floods to the extent required by the Secretary. All insurance shall be
carried with companies approved by Lender. The insurance policies and any renewals shall be held by Lender
and shall include loss payable clauses in favor of, and in a form acceptable to, Lender.
In the event of loss, Borrower shall give Lender immediate notice by mail. Lender may make proof of loss if
not made promptly by Borrower. Each insurance company concerned is hereby authorized and directed to make
payment for such loss directly to Lender, instead of to Borrower and to Lender jointly. All or any part of the
insurance proceeds may be applied by Lender, at its option, either (a) to the reduction of the indebtedness under
the Note and this Security Instrument, first to any delinquent amounts applied in the order in Paragraph 3, and
then to prepayment of principal, or (b) to the restoration or repair of the damaged Property. Any application of
the proceeds to the principal shall not extend or postpone the due date of the monthly payments which are
referred to in Paragraph 2, or change the amount of such payments. Any excess insurance proceeds over an
amount required to pay all outstanding indebtedness under the Note and this Security Instrument shall be paid to
the entity legally entitled thereto.
In the event of foreclosure of this Security Instrument or other transfer of title to the Property that
extinguishes the indebtedness, all right, title and interest of Borrower in and to insurance policies in force shall
pass to the purchaser.
5. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application;
Leaseholds. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within
sixty days after the execution of this Security Instrument (or within sixty days of a later sale or transfer of the
Property) and shall continue to occupy the Property as Borrower's principal residence for at least one year after
the date of occupancy, unless Lender determines that requirement will cause undue hardship for Borrower, or,
unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall notify Lender of
any extenuating circumstances. Borrower shall not commit waste or destroy, damage or substantially change the
Property or allow the Property to deteriorate, reasonable wear and tear excepted. Lender may inspect the
Property if the Property is vacant or abandoned or the loan is in default. Lender may take reasonable action to
protect and preserve such vacant or abandoned Property. Borrower shall also be in default if Borrower, during
the loan application process, gave materially false or inaccurate information or statements to Lender (or failed
to provide Lender with any material information) in connection with the loan evidenced by the Note, including,
but not limited to, representations concerning Borrower's occupancy of the Property as a principal residence. If
this Security Instrument is on a leasehold, Borrower shall comply with the provisions of the lease. If Borrower
acquires fee title to the Property, the leasehold and fee title shall not be merged unless Lender agrees to the
merger in writing.
Borrower Initials
GMD 0216 (496) Page 3 of 8 FHA Wyoming Mortgage
6. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection
with any condemnation or other taking of any part of the Property, or for conveyance in place of condemnation,
are hereby assigned and shall be paid to Lender to the extent of the full amount of the indebtedness that remains
unpaid under the Note and this Security Instrument. Lender shall apply such proceeds to the reduction of the
indebtedness under the Note and this Security Instrument, first to any delinquent amounts applied in the order
provided in Paragraph 3, and then to prepayment of principal. Any application of the proceeds to the principal
shall not extend or postpone the due date of the monthly payments, which are referred to in Paragraph 2, or
change the amount of such payments. Any excess proceeds over an amount required to pay all outstanding
indebtedness under the Note and this Security Instrument shall be paid to the entity legally entitled thereto.
7. Charges to Borrower and Protection of Lender's Rights in the Property. Borrower shall pay all
governmental or municipal charges, fines and impositions that are not included in Paragraph 2. Borrower shall
pay these obligations on time directly to the entity which is owed the payment. If failure to pay would adversely
affect Lender's interest in the Property, upon Lender's request Borrower shall promptly furnish to Lender
receipts evidencing these payments.
If Borrower fails to make these payments or the payments required by Paragraph 2, or fails to perform any
other covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may
significantly affect Lender's rights in the Property (such as a proceeding in bankruptcy, for condemnation or to
enforce laws or regulations), then Lender may do and pay whatever is necessary to protect the value of the
Property and Lender's rights in the Property, including payment of taxes, hazard insurance and other items
mentioned in Paragraph 2.
Any amounts disbursed by Lender under this Paragraph shall become an additional debt of Borrower and be
secured by this Security Instrument. These amounts shall bear interest from the date of disbursement at the Note
rate, and at the option of Lender shall be immediately due and payable.
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; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings
which in the Lender's opinion operate to prevent the enforcement of the lien; or (c) secures from the holder of
the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender
determines that any part of the Property is subject to a lien which may attain priority over this Security
Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one
or more of the actions set forth above within 10 days of the giving of notice.
8. Fees. Lender may collect fees and charges authorized by the Secretary.
9. Grounds for Acceleration of Debt.
(a) Default. Lender may, except as limited by regulations issued by the Secretary in the case of payment
defaults, require immediate payment in full of all sums secured by this Security Instrument if:
(i) Borrower defaults by failing to pay in full any monthly payment required by this Security
Instrument prior to or on the due date of the next monthly payment, or
(ii) Borrower defaults by failing, for a period of thirty days, to perform any other obligations
contained in this Security Instrument.
(b) Sale Without Credit Approval. Lender shall, if permitted by applicable law (including section
341(d) of the Garn-St Germain Depository Institutions Act of 1982, 12 U.S.C. 1701j-3(d)) and with
the prior approval of the Secretary, require immediate payment in full of all sums secured by this
Security Instrument if,
(i) All or part of the Property, or a beneficial interest in a trust owning all or part of the Property,
is sold or otherwise transferred (other than by devise or descent), and
(ii) The Property is not occupied by the purchaser or grantee as his or her principal residence, or
the purchaser or grantee does so occupy the Property, but his or her credit has not been approved in
accordance with the requirements of the Secretary.
(c) No Waiver. If circumstances occur that would permit Lender to require immediate payment in full,
but Lender does not require such payments, Lender does not waive its rights with espect to subsequent
events.
Borrower Initials
GMD 0216 (496) Page 4 of 8 FHA Wyoming Mortgage
C. 0I6g6
(d) Regulations of HUD Secretary. In many circumstances regulations issued by the Secretary will limit
Lender's rights, in the case of payment defaults, to require immediate payment in full and foreclose if
not paid. This Security Instrument does not authorize acceleration or foreclosure if not permitted by
regulations of the Secretary.
(e) Mortgage Not Insured. Borrower agrees that if this Security Instrument and the Note are not
determined to be eligible for insurance under the National Housing Act within 60 days from the date
hereof, Lender may, at its option, require immediate payment in full of all sums secured by this
Security Instrument. A written statement of any authorized agent of the Secretary dated subsequent to
60 days from the date hereof, declining to insure this Security Instrument and the Note, shall be
deemed conclusive proof of such ineligibility. Notwithstanding the foregoing, this option may not be
exercised by Lender when the unavailability of insurance is solely due to Lender's failure to remit a
mortgage insurance premium to the Secretary.
10. Reinstatement. Borrower has a right to be reinstated if Lender has required immediate payment in full
because of Borrower's failure to pay an amount due under the Note or this Security Instrument. This right
applies even after foreclosure proceedings are instituted. To reinstate the Security Instrument, Borrower shall
tender in a lump sum all amounts required to bring Borrower's account current including, to the extent they are
obligations of Borrower under this Security Instrument, foreclosure costs and reasonable and customary
attorney's fees and expenses properly associated with the foreclosure proceeding. Upon reinstatement by
Borrower, this Security Instrument and the obligations that it secures shall remain in effect as if Lender had not
required immediate payment in full. However, Lender is not required to permit reinstatement if. (i) Lender has
accepted reinstatement after the commencement of foreclosure proceedings within two years immediately
preceding the commencement of a current foreclosure proceeding, (ii) reinstatement will preclude foreclosure
on different grounds in the future, or (iii) reinstatement will adversely affect the priority of the lien created by
this Security Instrument.
11. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time of payment or
modification of amortization of the sums secured by this Security Instrument granted by Lender to any
successor in interest of Borrower shall not operate to release the liability of the original Borrower or Borrower's
successor in interest. Lender shall not be required to commence proceedings against any successor in interest or
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 Borrower's successors in interest. Any
forbearance by Lender in exercising any right or remedy shall not be a waiver of or preclude the exercise of any
right or remedy.
12. Successors and Assigns Bound; Joint and Several Liability; Co-signers. The covenants and agreements of
this Security Instrument shall bind and benefit the successors and assigns of Lender and Borrower, subject to
the provisions of Paragraph 9(b). Borrower's covenants and agreements shall be joint and several. Any
Borrower who co-signs this Security Instrument but does not execute the Note: (a) is co-signing this Security
Instrument only to mortgage, grant and convey that Borrower'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 may agree to extend, modify, forbear or make any accommodations
with regard to the terms of this Security Instrument or the Note without that Borrower's consent.
13. Notices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it
or by mailing it by first class mail unless applicable law requires use of another method. The notice shall be
directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to
Lender shall be given by first class mail to Lender's address stated herein or any address Lender designates by
notice to Borrower. Any notice provided for in this Security Instrument shall be deemed to have been given to
Borrower or Lender when given as provided in this paragraph.
14. Governing Law; Severability. This Security Instrument shall be governed by Federal law and the law of
the jurisdiction in which the Property is located. 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. To this end the
provisions of this Security Instrument and the Note are declared to be severable.
Borrower Initials i~-
GMD 0216 (496) Page 5 of 8 FRA Wyoming Mortgage
600617
15. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security
Instrument.
16. Hazardous Substances. Borrower shall not cause or permit the presence, use, disposal, storage, or
release of any Hazardous Substances on or in the Property. Borrower shall not do, nor allow anyone else to do,
anything affecting the Property that is in violation of any Environmental Law. 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.
Borrower shall promptly give Lender written notice of 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. If Borrower learns, or is notified by
any governmental or regulatory authority, that any removal or other remediation of any Hazardous Substances
affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance
with Environmental Law.
As used in this paragraph 16, "Hazardous Substances" are those substances defined as toxic or hazardous
substances 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. As used in this paragraph 16, "Environmental Law" means federal
laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental
protection.
NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows:
17. Assignment of Rents. Borrower unconditionally assigns and transfers to Lender all the rents and revenues
of the Property. Borrower authorizes Lender or Lender's agents to collect the rents and revenues and hereby
directs each tenant of the Property to pay the rents to Lender or Lender's agents. However, prior to Lender's
notice to Borrower of Borrower's breach of any covenant or agreement in the Security Instrument, Borrower
shall collect and receive all rents and revenues of the Property as trustee for the benefit of Lender and
Borrower. This assignment of rents constitutes an absolute assignment and not an assignment for additional
security only.
If Lender gives notice of breach to Borrower: (a) all rents received by Borrower shall be held by Borrower as
trustee for benefit of Lender only, to be applied to the sums secured by the Security Instrument; (b) Lender
shall be entitled to collect and receive all of the rents of the Property; and (c) each tenant of the Property shall
pay all rents due and unpaid to Lender or Lender's agent on Lender's written demand to the tenant.
Borrower has not executed any prior assignment of the rents and has not and will not perform any act that
would prevent Lender from exercising its rights under this Paragraph 17.
Lender shall not be required to enter upon, take control of or maintain the Property before or after giving
notice of breach to Borrower. However, Lender or a judicially appointed receiver may do so at any time there is
a breach. Any application of rents shall not cure or waive any default or invalidate any other right or remedy of
Lender. This assignment of rents of the Property shall terminate when the debt secured by the Security
Instrument is paid in full.
18. Foreclosure Procedure. If Lender requires immediate payment in full under Paragraph 9, Lender may
foreclose this Security Instrument either by advertisement and sale of the Property as provided by statute (the
power of sale provided for by statute being hereby expressly granted to Lender by Borrower) or by an action in
equity, and may invoke any other remedies permitted by applicable law. Lender shall be entitled to collect all
expenses incurred in pursuing the remedies provided in this paragraph 18, including, but not limited to,
reasonable attorney's 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
its intent to foreclose to Borrower in the manner provided in paragraph 13. 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 attorney's fees; (b) to all sums secured by this
Security Instrument; and (c) any excess to the person or persons legally entitled to it.
Borrower Initials
GMD 0216 (496) Page 6 of 8 "FHAAWWyoming Mortgage
C-GV IS
If the Lender's interest in this Security Instrument is held by the Secretary and the Secretary requires
immediate payment in full under Paragraph 9, the Secretary may invoke the nonjudicial power of sale provided
in the Single Family Mortgage Foreclosure Act of 1994 ("Act") (12 U.S.C. 3751 et sec.) by requesting a
foreclosure commissioner designated under the Act to commence foreclosure and to sell the Property as
provided in the Act. Nothing in the preceding sentence shall deprive the Secretary of any rights otherwise
available to a Lender under this Paragraph 18 or applicable law.
19. Release. Upon payment of all sums secured by this Security Instrument, Lender shall release this
Security Instrument to Borrower. 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 permitted under applicable law.
20. Waivers. Borrower hereby releases and waives all rights in the Property under and by virtue of the
homestead exemption laws of the State of Wyoming and hereby relinquishes all rights of curtesy and dower in
the Property.
21. Riders to this Security Instrument. If one or more riders are executed by Borrower and recorded
together with this Security Instrument, the covenants and agreements of each such rider shall be incorporated
into and shall amend and supplement the covenants and agreements of this Security Instrument as if the rider(s)
were a part of this Security Instrument.
[Check applicable box(es)]
❑ Condominium Rider ❑ Growing Equity Rider ❑ Adjustable Rate Rider
❑ Planned Unit Development Rider ❑ Graduated Payment Rider
BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security
Instrument and in any rider(s) executed by Borrower and recorded with it.
Witnesses:
(Seal)
Borrower ONY L.
Borrower- AMBER R. MERRIT
GMD 0216 (496) Page 7 of 8 FHA Wyoming Mortgage
~~►1519►
THE STATE OF WYOMING
COUNTY OF LINCOLN
This instrument was acknowledged before me on ( /
MERRITT and AMBER R. MERRITT , HUSBAND AND
(Seal, if any)
r)
My commission expires:
TERESA K. ANDERSON - NOTARY PUBLIC
County of State of
Lincoln Wyoming
My Commission Expires September 22, 2011
7
2W?by TONY L.
(Signature of notarial officer)
Title (and RaDff
GMD 0216 (496) Page 8 of 8 FHA Wyoming Mortgage
EXHIBIT A
LEGAL DESCRIPTION r.:G V-'- G20
FNTA File Number: WY-10044
LOT 1 PF EASY ACRES SUBDIVISION, PHASE 1, LINCOLN COUNTY, WYOMING AS DESCRIBED
ON THE OFFICIAL PLAT THEREOF
Be the same more or less but subject to all legal highways.
Parcel Number: 32192310052700
Property also known as: 144 Easy Acres Loop, Afton, WY 83110.
Note: This title paper does not insure the acreage or quantity of land specified in the above described legal
description.
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