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HOMEcOM1NGS lqNANCIAL NE'I¥,'ORK, INC
ONE MERIDIAN CROSSING, STE 100
MINNEAPOLIS, MN 5542~
87799
Prepared By: HomeComings Financial Network
14850 Quorum Drive, Suite 450
Dallas, TX 75254
[Space Above This Line For Recording Data]
MORTGAGE
MIN 10006260413'3375511
DEFINITIONS
Words used in multiple sections of this document are defined below and other words are defined in
Sections 3, 11, 13, 18, 20 and 21. Certaiu rules regarding the usage of words used in this document are
also provided in Section 16~
(A) "Security Instrument" meansthis document, which is dated DECEMBER 7TH, 2 0 0 1
Iogether with all Riders to this docmnent. '
(B) "Borrower" is
ROaER a. COLES AND DI~A K. COLES HUSBAND ~D WIFE
Borrower is the mortgagor under this Security Instrument. '
(C) "MERS" is Mortgage Electronic Registration Systems, Inc. MERS is a separate corporation that is
acting solely as a nominee for Lender and Lender's successors ami assigns. MERS is the mortgagee
under this Secm'ity Instrument. }'vIERS is organized and existing under the laws of Delaware, and has an
address and telephone ~mmber of P.O. Box 2026, Flint, MI 48501-2026, tel. (888) 679-MERS.
WYOMING-Sh~gle Family-Fannie Mae/Freddie Mac UNIFORM IN~TRUMENTWITH MERS Form 3051 1/01
NiFWY7770(ll/00) / 041-333755-1
(~®-6A{WY) (ooost.o~ ,4 ! "':
/'
VMP MORTGAGE FORMS - IBOO)521-72~1
(1)) "Lender" is HOMECOMINGS FINANCIAL NETWORK INC.
Lender is a CORPORATION {-}~.".~} ~'~[;.'i i<t~-
organized and existing under the laws of DELAWARE
Lender's address is 14850 QUORUM DRIVE, SUITE 450
DALLAS, TX 75254
(E) "Nole' means the promissory note [igned by Borrower and dated DECEMBER 7TH, 2001
The Note states that Borrower owes Lender EIGHTY FIVE THOUS~D ~D NO/100
Dollars
(U.S. $ 85,000.00 ) phis interest. Borrower has promised to pay this debt in regular Periodic
Payments and ~o pay the debt in ftlll not later thmg~UARY 1ST, 2017
(F) "Properly" means the property that is described below undmr the hoading 'Trnnsfer of Rights in the
Property."
(G) "Loan" means the debt evidenced by the Note, phis interest, any prepaymentchar~es and ]ate charges
due under d~e Note, and all sums due under this Security Instrument, phis interest.
(H) "Riders" means all Riders to this Security Instrument that are executed by Borrower. The following
Riders are to be executed by Borrower [check box as applicable]:
~ Adjustable Rate Rider ~ Condominium Rider ~ Second Home Rider
~ Balloon Rider ~ Planned Unit Development Ride~ 1-4 Family Rider
~ VA Rider ~ Biweekly Payment Rider ~ Other(s) [sppcify]
(I) "Al~plicable 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 I)ues, 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 througl~ an electronic terminal, telephonic
instrument, computer, or magnetic tape so as to order, instruct, or auihorize a financial institution to debit
or credit an account. Such term includes, but is not limited to, point-of-sale transfers, atttomatedteller
machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse
transfers.
(L) "Escrow Ilems" means those itmns-that are describedin Section 3.
(M) "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) conveyance in lien of condemnation; or (iv) :nisrepresentationsof, 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.
(O) "Periodic Pay~nent" 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.
(I~),"RESPA'' means the Real EstateSettlementProceduresAct (12 U.S.C. Section 2601 et seq.) and its
implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended from time to
time, or any additional or successor legislation or regulation that governs the same snbject matter. As used
in this Security Instrument, "RESPA" refers to all requirementsand restrictions that are imposed in regard
to a 'federall) related mortgage loan" even if the Loan does not qualify as a "federally related mortgage
loan" under RESPA.
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(~-6AIWY) Iooo51.o~ v~ao{~s Form 3051 1/01
3 3
(Q) Successor m Interest of Borrower" means any party that has taken title to the Property, whether or
not: that party has assmned Borrower's obligations nnder the Note and/or this Security
TILANSFER OF RIGHTS IN THE PROPERTY
This Security Instrumentsecures to Lender: (i) the repaymentof the Loan, and all renewals, extensions and
modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under
this eeunty Instrumentand the Note. For this purpose, Borrower does hereby mortgage, grant and convey
S '
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 of LINCOLN
[Type of Recording Jurisdictkm} [Name of Recording Jurisdiction]
NORTH 1/20[~' LOT 1., VIEWMONT SUBDIVISION, LINCOLN COUNTY, WYOMING,
ACCORDING TO THAT P
I,Aq. FILED JULY 2, 1980 AS INSTRUMENT NO. 542005 IN
THE OPFICE OF THE LINCOLN COUNTY CLERK.
Parcel liD Number: 311819 3 010 0 3 0 0 which currently has the address of
1720 HIGHWAY 241
AFTON ~ ' ISm;et}
("Property Address"): [Cityl , Wyoming 8 3110 [zip Code]
TOGETHER WITH all the improvements now or hereafter erected on the property, and all
easements, appnrtenances, 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 Instrumentas the "Property." Borrower understandsand agrees that MERS holds only legal tide
to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or
custom, MERS (as nominee for Lender and Lender's successors and assigns) has the right: to exercise any
or all of those interests, including, but not limited to, the 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
Instnm~ent.
BORROWERCOVENANTS tl~at Borrower is lawfnlly 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
encumbrancesof record. Borrower warrants and will defend generally the title to the Property against all
claims and demands, subject to any encmnbrances 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.
MF\VY7770 (Il/00) / 041-3337554 ~6' -~
t~-6A{WYI Initi~ls~''~
(O005).O'f Page 3 of 15
, .~,// Form 3051 1/01
UNIFORMCOVENANTS. Borrower and Lender covenant and agree as follows:
1. Payment et' Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges.
Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any
prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items
pursuant to Section 3. Payments due under the Note and this Security lnstrumentshall be made in U.S.
currency.~However, if any check or other instrumentreceived by Lender as payment under the Note or this
Security lnstrumentis returned to Lender unpaid, Lender may require that any or all subsequentpayments
due under the Note and this Security Instrument be made in one or more of the following forms, as
selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or
cashier's check, provided any such check is drawn upon an 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 accordancewith the notice provisions in Section 15.
Lender may return any payment or partial payment if the payment or partial payments are insufficient to
bring the Loan current. Lender may accept an), payment or partial payment insufficient to bring the Loan
current, without waiver of any rights hereunderor prejudice to its rights to refuse such ~ayment 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 nuapplied hinds. Lender may hold such unapplied fnnds until Borrower makes payment to bring
tile Loan current. If Borrower does not dr) so within a reasonableperiod of time Lendershall either apply
such fuflds or return them to Borrower. It' not applied earlier, such funds will be applied to the outstanding
principal balance under the Note immediately prior to foreclosure. No offset or claim which Borrower
might has,e now or in the future against Lender shall relieve Borrower from making payments due under
the Note and this Secnrity ]nstrmnentor performing the covenants and agreementsse'curedby this Security
h~strument.
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 priorily: (;0 interest
due under the Note; (b) principal due under the Note; (c) amounts due under Section 3. Such payments
shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts
shall be applied first to late charges, second to any other amounts due under this Security Instrument, and
then to reduce the principal balance of the Note.
If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a
sufficient amount to pa), any late charge due, the payment may be applied to the delinquent payment and
:he ]ate charge If more than one Periodic Payment is outstanding, Lender may apply any payment received
fi'om 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 paymentis applied to the full payment of one or
more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepaymentsshall
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 amount, of the Periodic Payments.
3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due
under the Note, until the Note is paid in full, a sum (the"Funds") to provide for payment of amounts due
for: (a) taxes and assessments and other items which can attain p'riority over this Security Instrumentas a
lien or encumbranceon the Property; (b) leasehold payments or ground rents on the Property, if any; (c)
premiums for any and all insurance required by Lender under Section 5; and (d) Mortgage lnsnrance
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 ti~ne during the term of tile Loan, Lender may require that Community
Ass~aciation Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and
assessments shall be an Escr6w Item. Borrower shall promptly furnish to Lender all notices of amonnts to
be paid under this Section. Borrower shall pay Lender the Fnnds for Escrow Items unless Lender waives
Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's
obligation to pay to Lender Funds for alt), or all Escrow Items at any time. Any such waiver may only be
in writing. Ill the event of such waiver, Borrower shall pay directly, when and where payable, the amounts
MFWY777(~ (11/00) / 041-333755-1 Initiat$:~
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 obligation to make such payments and to provide receipts shall for all purposes be deemed to
be a covenant and agreementcontainedin this Security Instrument, as the phrase"covenant and agreement"
is used in Secti~n 9. If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and
Borrower fails to pay the amount clue for an Escrow Item, Lender may exercise its rights under Sectiou 9
and pay such amount and Borrower shall then be obligated nnder Section 9 to repay to Lender any such
amount. Lender may revoke the waiver as to any or ail Escrow Items at any time by a notice given in
accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in
such amounts, that are then required under this Section 3.
Lendermay, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender to apply
the Funds at the time specified under RESPA, and (b) not to exceed the maximum amount a lender can
require under RESPA. Lender shall estimate the am'onnt of Funds due on the basis of current data and
reasonable estimates of expenditures d'f future Escrow Items or otherwise in accordafi'ce 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 HomeLoan Bank. Lender shall apply the Funds to pay the Escrow Items no later than the time
specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually
analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the
Funds and Applicable Law permits Lender to make such a charge. Unless an agreementis marie in writing
or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower
any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest
shall be paid on the Fnnds. Lender shall give to Borrower, without charge, an annual accounting of the
Funds as required by RESPA.
If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to
Borrower for the excess funds in accordancewith RESPA. If there is a shortage of Funds held in escrow,
as defined under RESPA, Lender shall notify Borrower as requiredby 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
monthly payments. If thereis a deficiency of Funds held in escrow, as defined tinder 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 wi/l~ RESPA, but in no more than 12 monthly payments.
Upon payment in fidl of all sums secured by this Security Instrument, Lender shall promptly refund
to Borrower any Funds held by Lender.
4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions
attributable to the Property which can attain priority over this Security Instrument, leasehold payments or
ground rents on the Property, if any, and CommunityAssociation Dues, Fees, and Assessments, if ~ny..To
the extent that these'items are Escrow Items, Borrower shall pay them in ihe manner provided in~ ectmn 3.
Borrower shall promptly discharge any lien which has priority over this ecur~ty Instrumentunless
Borrower: (a) agrees in writing to the payment of the obligation securedby the lien in a manneracceptable
to Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith
by, or defends against enforccmentof the lien in, legal proceedings which in Lender's opinion operate to
prevent the enforcementof the lien while those proceedings are pending, but only until such proceedings
are concluded; or (c) secures from the holder of the lien an agreementsatisfactory to Lender subordinating
the lign to this Security Instrmnent. If Lender determinesthat any part of the Property is subject to a lien
which can attain priority over dlis Security Instrument, Lender may give Borrower a notice identifying ll~e
MFWY7770 (11/00)/041-333755-1 ~iii~,' ;i
(~D'6A(wY) P,~e S ~ ~S Form 3051 1/01
(0005),01 lni~[~ .
lien. Within 1.0 days of the date on which that notice is given, Borrower shall satisl~, the lien or take one 0r
more of the actions set forth above in this Section 4.
Lender may require Borrower to pay a one-time charge for a real estate tax verification and/or
reporting service used by Lender in connection wit!~ 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 term "extended coverage," and any
other hazards including, but not limited to, earthquakesand fioods, for which Lender requires insurance.
This insurance shall be mainlainedin the amounts (including deductible levels) and for the periods that
Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of
the Loan..The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's
right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may
require iBorrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone
determination, certification and tracking services; or (b) a one-time charge for flood zone determination
and certification services and subsequent charges each time remappings or similar cl~'anges occur which
reasonably might affect such determination or certification. Borrower shall also be responsible for the
payment of any fees imposed by the Fede'ral Emergency ManagementAgency in conaection with the
review of any flood zone determination resulting from an objection by Borrower.
If Borrower fails to maintain any of the coverages described above, Lender ;nay 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 hear interest
at the Note rate from the date of disbursementand shall be payable, with such interest, upon notice t~om
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 Lende~ as
mortgagee and/oras an additional loss payee. Lender shall have the right to hold the policies and renewal
certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and
renewal notices. If Borrower obtains any form of insurance coverage, not otherwise requirdd by Lender,
for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and
shall name Lender as mortgagee and/~r as an additional loss payee.
In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender
may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree
iu writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall
be applied to restoration or repair of the Property, if the restoration or repair is econmnically feasible and
Lender's security is not lessened. During such repair and restoraiionperiod, Lender shall have the right to
hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the
work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken
promptly. Lender may disburse proceeds for il~e repairs and restoration in a single payment or in 'a series
of progress payments as ihe work is completed. Unless an agreementis made in writing or Applicahle Law
reqlfires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any
interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by
Borrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If
the restorationor repair is not economically feasible or Lender's security would be lessened, the insurance
proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with
MFWY7770 (11/00) / 041-333755-! }r~i~i,:~: ....
f00051.01 '
(~-6A(WY) P~.sof15 Form 3051 1/01
the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in
Section 2.
If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance
claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that the
insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day
period will begin when the notice is given. In either event, or if Lender acquires the Property under
Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance
proceeds in an amount not to exceed the amounts unpaid under the Note or this Security Instrument, and
(b) any other of Borrower's rights (other than the right to any refund of uneakned premiums paid by
Borrower) tinder all insurance policies ~zovering the Property, insofar as such rights are applicable to the
coverage of the Property. Lender may use the insurance proceeds either to repair or restore the Property or
to pay amounts unpaid 'under the Note or this Security Instrument, whether or not then due.
6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal
residenc¢ within 60 days afl:er the execution of this Security Instrument and shall con'finue to occupy the
Property as Borrower's principal residence for at least one year after the date of occupaacy, unless Lender
otherwise agrees in writing, wlfich consent shall not be unreasonably withheld, or unless extenuating
circumstances exist which are beyond Borroxver's control.
7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not
destroy, damage or impair the Property, allow the Property to deteriorate or commit waste on the
Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in
order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is
determined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall
promptly repair the Property if damaged to avoid further deterioration or damage. If insurance or
condemnationproceeds are paid in qonnection with damage to, or the taking of, the Property, Borrower
shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such
purposes. Lender may disburse proceeds for the repairs and restorationin a single payment or in a series of
progress payments as the work is completed. If the insurance or condemnationproceeds are not sufficient
to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of
such repair or restoration.
Lender or its agent may make reasonable entries upon and inspections of the Property. If it has
reasonablecanse, Lender may inspect the interior of the improvements on the Property. Leuder shall give
Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause.
8; Bm'tower's Loan Application. Borrower shall be in default if, during the Loan application
process, Borrower or any persons or. entities acting at the direction of Borrower or with Borrower's
knowledge or consent gave materially false, ~nisleading, or inaccurateinformation or statementsto Lender
(or failed to provide Lender with material information) in connection with the Loan. Material
representationsinclude, but fire not limited to, representations concerning Borrower's occupancy of the
Property as Borrower's principal residence.
9. Protection of Lender's Interest in the Property and Rig!~ts Under this Security Instrument. If
(a) Borrower fails to perform the covenants and agreementscontainedin this Security Instrmnent, (b) there
is a legal proceeding that might significantly affect Lender's interest in the Property and/orrights under
this Security Instrument(such as a proceedingin bankruptcy, probate, for condemnati0nor forfeiture, for
enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or
regulations), or (c) Borrower has abandoncdthe Property, then Lender may do and pay for whatever is
reasqnable or appropriate to protect Lender's interest in the Property and rights under this Security
Instrument, including protecting and/orassessing the value of the Property, and securing and/orrepairing
the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien
which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable
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attorneys' fees to protect its interest in the Property and/orrights under this Security Instrument, 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, eli~ninate building or other code violations or dangerous conditions, and have utilities turned
~m 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 under this Section 9.
Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower
secured by this Security Insmunent. These amounts shall bear interest at: the Note rate from the date of
disbnrse!l!ent and shall be payable, with such interest, upon notice frmn Lender to Borrower requesting
payment.
If this Security Instrumentis on a leasehold, Borrower shall comply with all the provisions of the
lease. If Borrower acquires fee title to the Property, the leasehold and the fee title shall not merge nnless
Ldnder agrees to the merger in writing.
Ill. Mortgage Insurance. If Lender required Mortgage Insurance as a condition 0!' making the Loan,
Borrower shall pay the premiumsrcquired to maintain the Mortgage Insurancein 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 desiguated payments
toward the premiums for Mortgage Insurance, Borrower shall pay the preminms 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 ni)t
· available, Borrower shall continue to pay to Lender the amount of the separately designatedpayments that
were due when the insurance coverage ceased to be in effect. Lender will accept~ use' and retain these
payments as a non-reflmdableloss reserve in lieu of Mortgage Insurance. Such loss reserw~ 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 Insuran~:e coverage(in the amount and for the period that Lender requires)
provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires
separatelydesignated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage
Insurance as a condition of making the Loaa and Borrower was required to make separately designated
payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to
maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's
requirement for Mortgage Insurance ends in accordancewith any written agreementbetween Borrower and
Lender providing for sach terminationor until terminationis requiredby Applicable Law Nothing in this
Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note.
Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it
may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage
Insurance.
Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may
enterinto agreementswith other parties that share or modify their risk, or redncelosses. These agreements
are on terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to ·
these agreements. These agreementsmay require the mortgage insurer to make payments using any source
of funds that the mortgage insurer may have available (which may include funds obtained from Mortgage
Insurance pre'miums).
As a result of these agreements, Lender, any purchaser of the Note, another insnrer, any reinsurer,
any other entity, or any affiliate of any 'of the foregoing, may receive (directly or indirectly) amounts that
derive from (or might be characterizedas) 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 termed "captive reinsurance. Further:
(a) Any such agreements will not affect the amounts that Borrower has agreed to pay fiw
Mortgage Insurance, or any other terms of the Loan, Such agreements will not increase the anmunt
Borrower will owe t'or Mortgage Insurance, and they will not entitle Borrower to any rebind.
MFWY7770 (11/00) / 041-333755-'1 ~n~t~a~~'
(~6A(WY), (ooo5),ol v~aof~ Form 3051 1/01
341
(b) Any such agreements will nut affect the rights Burrower has - if any - with respect to the
Mortgage Insurance nnder the Hnmeowners Protection Act nf 1998 m' any other law. These rights
may include the right to receive certain disclosures, to request and obtain cancellation of the
Mortgage fnsnrance, to have the Mortgage Insurance terminated automatically, and/or to receive a
refund of any Mortgage Iusurauce premiums that were unearned at the thne of such eancellathm nr
termination.
11. Assigmnent 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.
Duriug such repair and restorationperiod, Lender shall have the right to l~old 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 undertakenpromptly. Lender may pa), for the
repairs and restoration in a single disbursement or in a series of progress payments as the work is
completed. Uuless an agreemeutis madein writing or Applicable Law requires interes~to be paid on st~ch
Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or~ earnings ou such
Miscellaneous Proceeds. If the restorationor repair is not economically feasible or Lender's security would
be lessened, the Miscellaneous Proceeds shall be applied to the sums secnredby this ecunty Instrument,
S '
whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be
applied in the order provided for in Section 2.
In the event of a total taking, destruction, or loss in value 'of the Property, the Miscellaneous
Proceeds shall be applied to the sums secured t~y 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 Propertyin 'which the fair market
wdue 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, nnless 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 th~ sums secured i~nmediately 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 p~irtial taking, destruction, or loss in value of the Property in which the fair market
value of the Property hnmediately 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 Instrmnent whether or not the sums are then due.
If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the
Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for damages,
Borrower fails to respond to Lender within 30 days after the date the notice is given, Lenderis authorized
to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the
sums securedby this Security Instrument, whether or not then due. "Opposing Part)," 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 it' any action or proceeding, whether civil or criminal, is begnn that, in
Lender's judgtnent, could result in forfeiture of the Property or other material impairment of Lender's
interest in the Property or rights unde'r this Security Instrument. Borrower can cure such a default and, if
accelerationhas occurred, reinstate as provided in Section 19, by causing the action or proceeding to be
dismissed with a rifling that, in Lender's judgment, precludes forfeiture of the Property or other material
imI~airment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of
any award or claim for damages that are attributableto the impairmentof Lender's interest in the Property
are h~reby 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.
MFW¥7770 (11/00) / 041-333755-1 /~
1ooo5).Ol P.9.9of~s ~ Form 3051 1/01
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16. Governing Law; Severabi!ity; Rules of Construction. This Security Instrument shall be
governed by federal law and the law 0f the jurisdiction in which the Property is located. All rights and
obligations contained in this Security Instrument are subiect to any requirements and limitations of
Applicable Law. Applicable Law might explicitly or impliciily allow the parties to agree by contract or it
might be silent, but such silence shall not be construed as a prohibition against agreementby 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 Instrumentor the Note which can be
given effect without the conflicting provision.
As used in this Security Instrument: (a) words of the masculine gender shall mean and include
corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and
include the plural and vice versa; and (c) the word "may" gives sole discreiion 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 Benelicial Interest in Borrnwer. As used in this Section 118,
"Interest in the Property" means any legal or beneficial interest in the Property, including, but not limited
to, those beneficial interests transferredin a bond for deed conlract for deed installmdnt 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 Interestin the Property is sold or transferred (or if Btm(rower
is not a natural'person and a beneficial interest in Borrower is sold or transferred)without Lender s prior
written consentl Lender may require immediate payment in fifll of all sums secured by this Security
Instrmnent. However, this option shall not be exercised by Lender if such exercise is prohibited by
Applicable Law.
Ii' 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 (late 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, l_,cnder may invoke any remedies permitted by this
Security Instrument without further notice or demand on Borrower.
19. Borrower's Right to Reinstate After Acceleratim~. If Borrower ~neets certain conditions,
Borrower shall have the right to have enforcement of this Security instrument disconlinued at auy time
prior to the earliest of: (a) five days before sale of the Property pursuant to any power of sale contained in
this Security Instrmnent; (b) such other period as Applicable Law might specify for the termination of
Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those
conditions are that: Borrower: (a) pays Lender all' sums which then would be due under this Security
Instrmnentand the Note as if no accelerationhad occurred; (b) cures any default of any other covenants or
agreements; (c) pays all expenses incurred in enforcing this Security Instrument, including, but not limited
to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the
purpose of protecting Lender's interest: in the Property and rights under this Security Instn~ment; and (d)
takes such action as Lender rnay reasonably require to assure that Lender's interest in the Property and
rights under this Security Instrument, and Borrower's obligation to pay the sums secured by this Security
Instrument, shall continueunchanged. Lendermay require that Borrowerpay such reinstatementsums and
expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c)
certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon
an institution whose deposits are insured by a federal agency, instrnmentality or entity; or (d) Electronic
Funds Transfer. Upon reinstatementby Borrower, this Security Instrumentand obligations secured hereby
shall remain fully effective as if no acceleration had occurred. However, this right to reinstate shall m)t
apply in the case of acceleration under Section 18.
20. Sale of Note; Change el' Loan Servicer; Notice of Grievance. The Note or a partial interest in
the Note (together with this Security Instrument)can be sold one or more times without prior notice to
Borrower. A sale might result in a change in the entity (known as the "Loan Servicer") that collects
Perlt~dic Payments due under the Note and this Security Instrument and performs other mortgage loan
servicing obligations tinder the Note, this Security Instrument, and Applicable Law. There also might be
one or more changes of the Loan Servi~cer unrelatedto a sale of the Note. If there is a change of the Loan
Servicer, Borrowerwill 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 information RESPA
MFWY7770 (11/00) / 041-333755-1 /gt,'5~i~,t2/
tooosLo] ~.~,,~of~5 Form 3051 1/01
requiresin connection with a notice of transfer of servicing. If the Note is sold and thereafterthe 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 transferredto a successor Loan Servicer and are not
assumed by the Note purchaser unless otherwise provided by the Note Imrchaser.
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 Instrumentor that alleges that the other party has breachedany provision of, or any duty owed by
reasou of, this Security Instrument, until such Borrower or Lender has notified the other party (with such
notice given in compliance with the requirementsof Section 15) of such alleged breach and afforded the
other party hereto a reasonable period after the giving of such notice to take corrective action. If
Applicable Law provides a time period which must elapse before certain action can be taken, that time
period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and
opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to
Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective
action provisions of this Section 20.
21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those
substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the
following snbstauces: gasoline, kerosene, other flammable or toxic petroleum products, toxic pesticides
and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials;
(b) "Environmental Law" means federallaws and laws of the jurisdiction where the ldroperty is located that
relate to health, safety or environmentalprotection; (c) "Enviromnental Cleanup" includes any response
action, remedial action, or removal action, as defined iii Environmental Law; and (d) an "Environmental
Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental
Cleannp.
Borrower shall not cause or permit t'he presence, use, disposal, storage, or release of any Hazardous
Substances, or threatento release any HazardousSubstances, on or in the Property. Borrmver 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 EnvironmentalCondition, or (c) which, due to the presence, use, or release of a
HazardousSubstance, creates a condition that adversely affects the value of the l'roperty. The preceding
two sentences shall not apply to the presence, use, or storage on the Property of small quantities of
Hazardous Substances that a~e generally recognized to be appropriate to normal residential uses and to
maintenance of the Property (including, but not limited to, hazardous substances in consumer products).
Borrower shall prmnptly 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 Bor'rower has actual knowledge, (b) any
EnvironmentalCondition, 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
HazardousSubstance 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 ~ny HazardousSnbstanceaffecting the Property is necessary, Borrower shall promptly take all necessary
remedial actions in accordance with EnviromnentalLaw. Nothing herein shall create any obligation on
Lender for an Environmental Cleanup.
MFWY7770 (11/00) / 041-333755-1
(~-6A(WY)
NON-UNIFORMCOVENANTS. Borrower and Lender further 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 agree~nent in this Security lnstrmnent (but not prior to
acceleration under Section 18 nnless Applicable Law provides otherwise). The notice shall specit~: (a)
the dethult; (b) the action required to cure the default; (c) a date, not less than 30 days fi'om 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 or' the Property. The notice shall fitrther inform Borrower of the
right to reinstate atier acceleration and the right to bring a court action to assert the non-existence of
a dethult or any other defense of Borrower to acceleration and sale. It' the delhnlt is not cured on or
before the date specitied in the notice, Lender at its option may require immediate payment in full of
all sums secured by this Security Instrmnent without fl~rther demand and may invoke the power of
sale and any other remedies permitted by Applicable Law. Lender shall be entlitled to collect all
expenses incurred in pursuing the remedies provided in this Section 22, iucluding, b'ut not limited to,
reasonable attorneys' fees and costs of title evidence.
It' Lender invokes the power of'sale, Lender shall give notice of intent to forecluse to Borrower
and to the person in possession of the Property, if ditl'erent, 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, anti 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, lint not limited to,
reasonable attorneys' fees; (b) to all sums secured hy this Security Instrument; and (c) any excess to
tile person or persons legally entitled to it.
23. Release. U'ponpayment of all sums securedby this Security Instrument, Lender shall release this
Security Instrnment. Borrower shall p~iy 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 renderedand the
charging of the fee is permitted under Applicable Law.
24. Waivers. Borrower releases and waives all rights under and by virtue of the homestead
exempt:ion taws of Wyoming.
MFWY7770 (ll/00) / 041,-333755-i :,~-~
6A(WY) looosLo~ ~.~o~S Form 3051 1/01
BY SIGNING BELOW, Borroxver accepts and agrees to the terms and covenants contained in this
Security Instrument and in any Rider executed by Borrower and recorded with il.
Witnesses:
,.,::.,.' :-.' .... _ ~, a )
R O,~'R/~. COLES -Borrower
DIANA K. COLES " -Borrower
(Seal) ~ (Seal)
-Borrower -Borrower
(Seal) (Seal)
-Borrower -Borrower
(Seal) (S al)
-Borrower -Borrower
MFWY7770(11/00) / 041 333755-1
{~}~6A(WY) looo5t.o~ Page',aof~5 Form 3051 1/01
STATE OF WYOMING, Lincoln County ss:
The foregoing instrument was acknowledged before me this E, th day of Decerr~ber2001
by
ROGER J, COLES AND DIANA K. COLES, HUSBAND AND WIFE
My Commission Expires: ~ -/$~-0.5
}} County of ~.'~ State of JJ
[~on Expires September 18, 2003 .j~
MFWY7770 (11/00) / 041-333755d m~.~ ..........
(~.e-6A(WY) Iooom.o'~ P.9. is o* is ~--'~/' Form 3061 1/01
04015455
RELEASE' OF MORT6AOE
THIS CERTIFIES ti]at a certain Real Estate
Mortgage executed
by Roger J. Coles and Diana K. Coles, husband and wi.fe
to Ernest T. Coles and Bettie Coles, husband and wife
dated June 3, 1993 and recorded in the office of the County
Recorder'of Lincoln ~ County, state of Wyoming
on June 7, '1993 filing no. 765947 in book 330
of P.R. at page 109 thereof, and for the sum of $ 54,000.00
N~ of ]_et 1, Viewmont Subdivision, Lincoln County, Wyoming, according to
that plat filed July 2, 1980 as Instrument No. 5./+2005 in the Office of the
LincOln County Clerk.
has been fully sa:tisfied by the payment of the debt ~ecured thereby, an.d. is hereby cancelled and .discharged.
WITNESS my hand this [~ r~
day of ~t~v ~ A.D. 19
Signed i11 the presence of
Bet. tie Coles
STAT~ OF ~
County of ~o~ ~ss' RECORDING DATA
/~ Entry No. , Fee $
Onthe_ dayof a.~an~
A.D. 19 9.7 personally appeared before me ~CO~ED ~ _ INDEXED ~
Ernest T. Coles and Bettie Coles PLATTED ~ ABSTRACTED~
COMPARED ~ DELIVERED
the signer S of the within instrument, who duly
acknowledged to me that they executed the same.
CommBs'ion ex'ires:' .XT/-~/-fY Notary Public :.
Residing in ~[~ ~~
LAND TITLE COMPANY