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This Mort gage
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State of Wyoming
LOAN NO. 802671
THIS MORTGAGE "Security Instrument is given on September 15, 2000
The Mortgagor is Gregory D. Naab and Dayna Naab, husband and wife
"Borrower This Security Instrument is given to
Shoshone First Bank, a state bank
FHA Wyoming Mortgage 4/96 Pape 1 of 8
ELF- 4R(WY) (9604)
868389
c
BOOK J' PR PAGE 1 1
[Space Above This Line For Recording Data]
MORTGAGE
1
RECF(VFD
CEO SP,
r
V1 I N G
FHA Case No.
591 0879863
which is
organized and existing under the laws of State of Wyoming and
whose address is 1401 Sheridan, P.O. Box 1330, Cody, WY 82414
"Lender Borrower owes Lender the principal sum of
One Hundred Twenty Four Thousand Twenty Five Dollars and Zero Cents
Dollars (U.S. 124, 025.00
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
October 1, 2030 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
ELECTRONIC LASER FORMS, INC. (800) 327-0545 Initials
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TL9Z08 'ON NVO1
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111111 111
OS•8389
LOAN NO. 802671
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. Section 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 is 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.
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 1 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.
FHA Case No. 591-0879863
ELF- 4R(WY) (9604)
Page 3 of 8 Initials
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08(i8:18
LOAN NO. 802671
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 respect to
subsequent events.
(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 attorneys' 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 Bor •wer or
FHA Case No. 591
ELF- 4R(WY) (9604)
165
Page 5 of 8 Initials
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8986L80 169 °N ese3 V
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OS4i8389 RP?
LOAN NO. 802671
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 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 paragraph
18, 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 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 attorneys' fees; (b) to all sums secured by this Security Instrument; and (c) any
excess to the person or persons legally entitled to it.
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 seq.) 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 without charge to Borrower. Borrower shall pay any recordation costs.
20. Waivers. Borrower waives all rights of homestead exemption in the Property and 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 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)].
FHA Case No. 591-0879863
ELF- 4R(WY) (9604)
Condominium Rider Growing Equity Rider fX Other [specify]
Planned Unit Development Rider Graduated Payment Rider
Pape 7 of 8
WCDA High Cost Rider
Tax Exempt n ncin Rider
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MPP -208
(i)
WYOMING COMMUNITY DEVELOPMENT
HIGH COST AREA SET -ASIDE RIDER
1 C
As long as this mortgage is held by Wyoming Community Development
Authority, Casper, Wyoming, the Mortgage Lender may declare all sums secured by this
mortgage to be immediately due and payable if:
(a) all or part of the property is sold or otherwise transferred (other than by
devise, descent or operation of law) by Borrower to a purchaser or other
transferee:
who cannot reasonably be expected to occupy the property as a
principal residence within a reasonable time after the sale or
transfer; or
(ii) who has had a present ownership interest in a principal residence
during any part of the three -year period ending on the date of the
sale or transfer; or
(iii) at an acquisition cost which is in excess of that established by the
Wyoming Community Development Authority under its applicable
regulations or program guidelines in effect on the date of the sale;
or
(iv) who has an income in excess of that established by the Wyoming
Community Development Authority under its applicable
regulations or program guidelines in effect on the date of the sale;
or;
(b) Borrower fails to occupy the property described in the mortgage without
Mortgage Lender's prior written consent; or
(c) Borrower omits or misrepresents a material fact in an application for this
mortgage.
NOTICE TO MORTGAGOR: This document substantially modifies the terms
of this Loan. Do not sign it unless you have read and understand it.
I hereby consent to the modifications of the terms of the Mortgage and Note
which are contained in the Rider.
Dated this day of 19
Sign..r; Signature
Printed
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