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HomeMy WebLinkAbout895013Re£ord and Return To: Outcken Loans inc. 20555 Victor Par~way Livonia. HI 48152 MORTGAGE WORDS USED OFTEN IN THIS DOCUMENT: (A) Security Instrument. This document, which is dated will be called the "Security Instrument." (B) Borrower. Charles A. Grim, a married man, . RfCEIVED LINCOLN COUNty 0L£RK JP'nt'JN~% 4691040843p October 2], 2003 <? residing al 3436 I-Iw.y 238 , Auburn. WY 83111 somelimes will be called "Borrower" and sometimes simply "1" or "me." (C) Lender. 0uicken Loans [nc. will be called "Lender." Lender is a corporalion Ihal exists under the taws of Ihe Slate of Michigan. Lender's address is 20555 V~ cloy Parkway. L] voni a. MI 48152 (D) Note. The Home Equity Line Agreemenl, Disclosure Slalemenl and Nole signed by Borrower and dated October 2]., 2003 will be called the "Nole." The Note provides for loan advances to be made by Ihe Lender to the Borrower from time Io lime, and for a period roi lo exceed 10 years (Ihe "Draw Period"), during which loan advances may be repaid and. reborrowed up to an amount roi Io exceed the sum of US $ 40,000.00 . The Note also provides Ihal afler Ihe Draw Period terminates, the then outstanding balance must be repaid wilhin 20 years. (E} Property. The Property Ihal is described below in Ihe section tilled "Description of the Properly," will be called Ihe "Property." (F) Sums Secured. The amounts described below in Ihe seclion tilled "Borrower's Transfer ID Lender of Righls in the Property" somelimes will be called the "Sums Secured." BORROWER'S TRANSFER TO LENDER OF RIGHTS IN THE PROPERTY: I mortgage, warrant, granl and convey Ihe Properly, wilh power o! sale, to Lender subjecl Io Ihe terms of Ibis Securily Instrumenl. This means that, by signing Ihis Security Instrumenl, I am giving the Lender Ihose rights Ihal are stated in Ihis Securily Inslrumenl and also Ihose righls Ihal the law gives Io · Lenders who hold morlgages on real properly. I am giving Lender these rights to protect Lender from possible losses Ihat mighl resutl if I fail to: (A) Pay all the amounts thai I owe Lender as slaled in Ihe Nole; (B) Pay, with interesl, any amounls thai Lender spends under Paragraph 6 of Ihis Securily Instrument Io protect the value of the ProPerty and Lender's righls in the Property; or (C) Keep all of my other promises and agreements under this Security Instrument. DESCRIPTION OF THE PROPERTY: I give Lender righls in the Property described in (A) lhrough (I) below: (A) The Property which is localed at 3436 Hwy 238. Auburn, NY 83111 This Property is in Li ncol n Courtly. II has the following legal descriplion: SEE EXHIBIT "A" ATTACHED HERETO AND HABE A PAR'[ HEREOF. SUB3ECT TO COVENANTS OF RECORD. (B) All buildings and other improvemenls thai are located on Ihe Properly described in Subparagraph (A) of this Paragraph; HELOC Modgage - Wyoming 240759024 20020?. 00 Page 1 of 7 2002tO? hewy-l.pcl I III,IIIIII,IIIIIII I I$I I]I I[I ILII I[ll ljllll,lll,lllllllllll ~691040843D (C) All easements, rights and appurtenances atlached to the Property that I have as owner of the Property described in Subparagraph (A) ol Ihis Paragraph; (D) All rents or royaIlies lrom the Property described in Subparagraph (A) or Ihis Paragraph; (E) All mineral, oil and gas rights and profits, water rights and slock that are part 0[ the Property described in Subparagraph (A) of Ibis Paragraph; (F) All righls that I have in the land which lies in lhe streets or roads in fronl ol, or nexl to, the Properly described in Subparagraph (A) ol Ibis Paragraph; (O) All lixtures that are now or in Ihe luture will be on the Property described in Subparagraphs (A) and (B) of this Paragraph; (H) All ol the rights and Property described in Subparagraphs (,B) through (G) of this Paragraph Ihat I acquire in the luture; and (I) All replacements ol or additions to the Property described in Subparagraphs (B) Ihrough (H) of this Paragraph. BORROWER'S RIGHT TO MORTGAGE THE PROPERTY AND BORROWER'S OBLIGATION TO DEFEND OWNERSHIP OF THE PROPERTY: I promise that: (A) I lawfully own the Property; (B) I have the right to mortgage, grant and convey the Properly Io Lender; and (C) there are no oulstanding claims or cJharges against the Property, except for those which are of public record. I give a general warranty o[ title to Lender. This means that I will be fully responsible [or any losses which Lender sul[ers because someone other than mysetl has some of the rights in Ihe Property which I promise that I have. I promise that I will delend my ownership of the Properly against any claims ol such rights. PLAIN LANGUAGE SECURITY INSTRUMENT: This Security Instrument conlains unilorm promises and agreements Ihat are used in real property securily instruments all over the country. It also contains non-unilorm promises and agreemenls Ihal vary, Io a limiled extent, in dill'erenl parts ol the counlry. My promises and agreements are staled in "plain language." UNIFORM COVENANTS I promise and I agree with Lender as lollows: 1. BORROWER'S PROMISE TO PAY: I will pay to Lender on time principal and interest due under the Note and ail late charges and olher charges due under the Note. 2. APPLICATION OF BORROWER'S PAYMENTS: Unless the law requires otherwise, Lender will apply each or my payments under Ihe Note and under Paragraph 1 above in Ihe following order and for the following purposes: First, to finance charges under the Note; next, to all other lees and charges due; and last, to principal. 3. BORROWER'S OBLIGATION TO PAY CHARGES, ASSESSMENTS AND CLAIMS: I will pay all laxes, assessments, and any other charges and fines that may be imposed on the Property and that may be superior to this Security Instrument. I will also make paymenls due under my lease it I am a tenant on the Property and I will pay ground rents (if any) due on the Property. Any claims, demand or charge that is made against the Properly because an obligation has nol been fullilled is known as a "lien." I will promptly pay or salisly all liens against the Property ihat may be superior to this Security Instrument. However, Ibis Security Instrument does not require me to satisfy a superior lien il: (A) I agree, in writing, to pay the obligation which gave rise Io the superior lien and Lender approves the way in which I agree to pay thai obligation, but only so long as I continue paying the obligation in accordance with my written agreement; (B) in good laith, I argue or de[end against the superior lien in a lawsuit so that, during the lawsuit, the superior lien may not be enlorced and no part of the Property musl be given up, but only during the lawsuit; or (C) I secure from the holder of that other lien an agreement, approved in wriling by Lender, that the lien of this Security Instrument is superior to the lien held by Ihat person. II Lender determines thai any pad ol Ihe Properly is subject lo a superior lien that is not permissible under one of these three exceptions, Lender may give Borrower a notice idenlifying Ihe superior lien. Borrower shall pay or satisfy the superior lien or take one or more ot the actions set forth above within 10 days ol Ihe giving ol notice. 4. BORROWER'S OBLIGATION TO MAINTAIN HAZARD INSURANCE: I will oblain hazard insurance to cover all buildings and other improvemenls that now are or in the lulure will be located on the Property. The insurance must cover loss or damage caused by fire, hazards normally covered by HELOC Mortgage - Wyoming Page 2 of 7 2002/07 hewy-2.pcl 83 1 4691040843p "extended coverage" hazard insurance policies and other hazards I'or which Lender requires coverage. The insurance must be in the amounts and for the periods ot time required by Lender. I may choose the insurance company, but my choice is subjecl to Lender's approval. Lender may not retuse to 'approve my choice unless the refusal is reasonable. All of the insurance policies and renewals of those policies must include what is known as a "standard mortgage clause" lo protect Lender. The form ot all policies and renewals musl be acceptable to Lender. Lender will have the righl to hold the policies and renewals. Ii' Lender requires, I will promptly give Lender all receipls ot paid premium and renewal notices that I receive. It Ihere is a loss or damage to the Property, I will promptly notify the insurance company and Lender. If I do nol promptly prove to Ihe insurance company Ihal the loss or damage occurred, Ihen Ihe Lender may do so. The amounl paid by Ihe insurance company is called ihe "proceeds." The proceeds will be used to repair or Io restore the damaged Properly unless: (A) it is not economically feasible to.make the repairs or restoration; (B) the use of the proceeds [or that purpose would lessen the protection given to Lender by this Security Instrument; or (C) Lender and I have agreed in writing not to use the proceeds for that purpose. If the repair or restoration is not economically feasible or if it would lessen Lender's protection under this Security Inslrument, then the proceeds will be used lo reduce the amount that I owe Io Lender under the Nole and under Ihis Security Instrument. It any of the proceeds remain after the amount Ihal I owe to Lender has been paid in full, the remaining proceeds will be paid to me. If I abandon the Property, or if I do not answer, within 30 days, a notice trom Lender staling Ihal the insurance dompany has offered lo setlle a claim, Lender may collect Ihe proceeds. Lender may use the proceeds lo repair or restore the Property or to pay the Sums Secured. The 30-day period will begin when Ihe notice is given. It any proceeds are used to reduce the amount of principal which I owe to Lender under the Note, thai use will not delay the due date or change Ihb amount Of any of my monlhly paymenls under fire Note and under Paragraphs 1 and 2 above. However, Lender and I may agree in writing Io Ihose delays or changes. It Lender acquires the Property under Paragraph 18 below, all ot my righls in Ihe insurance policies will belong Io Lender. Also, all of my righls in any proceeds which are paid because of damage thai occurred betore the Property is acquired by Lender or sold will belong Io Lender. However, Lender's rights in those proceeds will nol be greater than Ihe Sums Secured immediately before Ihe Property is acquired by Lender or sold. 5. BORROWER'S OBLIGATION TO MAINTAIN THE PROPERTY AND TO FULFILL ANY LEASE OBLIGATIONS: I will keep the Property in good repair. I will not destroy, damage or subslantially change Ihe Properly, and I will nol allow Ihe Properly Io deteriorale. If I do not own but am a tenant on the Property, I will fulfill my obligations under my lease. I also agree that, if I acquire the tee lille Io the Property, my lease interest and the fee lille will not merge unless Lender agrees to the merger in writing. 6. LENDER'S RIGHT TO PROTECT ITS RIGHTS IN THE PROPERTY; MORTGAGE INSURANCE: It (A) I do not keep my promises and agreements made in this Security Instrument; or (B) someone, including me, begins a legal proceeding that may signiticanlly attect Lender's rights in the Property (such as a legal proceeding in bankruptcy, in probate, tot condemnation or to enforce laws or regulalions), Lender may do and pay for whatever is necessary to protecl the value of the Property and Lender's rights in the Property. Lender's aclions may include appearing in coud, paying reasonable atlorneys' tees and entering on the Properly to make repairs. Lender may, bul is not required lo, give me notice before Lender takes any of Ihese aclions. Although Lender may take action under this Paragraph 6, Lender does nol have lo do so. I will pay to Lender any amounts, with interest, which Lender spends under this Paragraph 6. I will pay those amounts to Lender when Lender sends me a notice requesting lhat I do so. I will also pay interest on those amounts at the No~e rate. Interest on each amount will begin on the date Ihat the amounl is spent by Lender However, Lender and I may agree in writing Io lerms of payment that are different from those in this Paragraph. This Security Instrumenl will protect Lender in case I do not keep this promise to pay Ihose amounts with interest. If Lender required mortgage insurance as a condition of making Ihe loan Ihat I promise to pay under the Note, I will pay the premiums for Ihat mortgage insurance. I will pay the premiums until the requirement for mortgage insurance ends according to my writlen agreement with Lender or according to applicable law. In addition to the above, Lender shall have a right (but not an obligation) to make payments on any prior mortgage and demand that such sums be paid to il immediately with interest at the Note rate. 7. LENDER'S RIGHT TO INSPECT THE PROPERTY: Lender, and Others authorized by Lender, may enter on and inspect the Property. They must do so in a reasonable manner and at reasonable times. HELOC Mortgage - Wyoming Page 3 of 7 2002~07 hewy-3pcl 832 ~69~040843p 833 Before or at Ihe time an inspeclion is made, Lender must give me notice staling a reasonable purpose for Ihe inspection. 8. AGREEMENTS ABOUT CONDEMNATION OF THE PROPERTY: A taking of property by any governmental aulhority by eminenl domain is known as "condemnation." I give to Lender my right: (A) Io proceeds of all awards or claims tot damages resulting from condemnation or olher governmenlal laking of Ihe Property; and (B) to proceeds from a sale of Ihe Property thal is made to avoid condemnation. All ol those proceeds will be paid to Lender. If all of Ihe Property is laken, Ihe proceeds will be used to reduce the Sums Secured. I! any of Ihe proceeds remain after the amounl Ihat I owe Io Lender has been paid in full, the remaining proceeds will be paid to me. Unless Lender and I agree otherwise in writing, if only a part of the Property is taken, the amount Ihal I owe Io Lender will be reduced only by the amounl of proceeds multiplied by the following fraction: (A) the total amounl of the Sums Secured immediately before the taking, divided by (B) lhe fair markel value of Ihe Property immedialely before the laking The remainder of the proceeds will be paid to me. If I abandon Ihe Property, or ii' I do not answer, wilhin 30 days, a nolice from Lender stating that a governmental aulhority has offered to make a paymenl or to settle a claim for damages, Lender has the aulhority to collecl Ihe proceeds. Lender may Ihen use the proceeds to repair or restore the Property or Io reduce Ihe Sums Secured. The 30-day period will begin when the notice is given. If any proceeds are not used to reduce the amounl of principal which I owe to Lender under Ihe Note, Ihat use will not delay the due date or change the amount of any monthly paymenls under/he Note and under Paragraph 1 above. However, Lender and I may agree in wriling to Ihose delays or changes. 9. CONTINUATION OF BORROWER'S OBLIGATIONS AND OF LENDER'S RIGHTS: (A) Borrower's Obligalions - Lender may allow a person who takes over my rights and obligations to delay or Io change the amounl of the monthly payments of principal and ialerest due under Ihe Nole or under Ihis Security Inslrument. Even if Lender does this, however, thai person and I will both still be fully obligated under the Note and under this Security Instrumenl. Lender may allow those delays or changes for a person who takes over my rights and obligalions, even if Lender is requesled nol to do so. Lender will not be required Io bring a lawsuil againsl such a person for not fulfilling obligations under Ihe Note or under this Securily Inslrumenl, even if Lender is requested 1o do so. (B) Lender's Rights - Even if Lender does not exercise or enforce any right of Lender under Ihis Securily Instrumenl or under Ihe law, Lender will still have all of those rights and may exercise and enforce them in the future. Even if Lender obtains insurance, pays taxes, or pays other claims, charges or liens against the Property, Lender will have Ihe right under Paragraph 18 below to demand Ihat I make immediate payment in full of the amount that I owe to Lender under the Note and under this Security instrument. 10. OBLIGATIONS OF BORROWER AND OF PERSONS TAKING OVER BORROWER'S RIGHTS OR OBLIGATIONS: Any person who takes over my rights or obligations under Ibis Security Instrument will have all of my rights and will be obligated to keep a~l of my promises and agreements made in this Security Instrument. Similarly, any person who lakes over Lender's rights or obliga[ions under Ibis Security Instrumen[ will have all of Lender's righls and wilt be obligated to keep all of Lender's agreemenls made in Ibis Security Instrument. If more lhan one person signs this Securily Instrumenl as Borrower, each of us is fully obligaled lo keep all of Borrower's promises and obligations contained in this Securi[y Instrument. Lender may enforce Lender's righls under this Securily Inslrumenl against each of us individually or against all of us together. This means lhat any one of us may be required to pay all of the Sums Secured. However, if one of us does not sign the Note: (A) thai person is signing this Security Inslrument; (B) ~hat person is nol personally ob!igaled to pay lhe Sums Secured; and (C) Ihat person agrees Ihat Lender may agree wilh Ihe other Borrowers to delay enforcing any ot Lender's rights or Io modify or make any accommodations with regard to the lerms o! Ihis Security Instrument or the Note without that person's consent· 11. LOAN CHARGES: If the loan secured by this Securily Inslrument is subject Io a law which sels maximum loan charges, and lhat law is tinally inlerpreted so Ihal the inleresl or olher loan charges collected or Io be collected in connection with Ihe loan exceed permitted limils: (A) any such loan charges shall be reduced by Ihe amount necessary to reduce the charge Io Ihe permilted limit; and (B) any sums already collected from Borrower which exceeded permitted limits will be retunded to Borrower. Lender may choose to make this refund by reducing the principal owed under Ihe Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a parlial prepayment wilhoul any prepayment charge under the Note. HELOC Modgage - Wyoming Page 4 4691040843p 12. LEGISLATION AFFECTING LENDER'S RIGHTS: If a change in applicable law would make any provision of Ihe Note or this Security Instrument unenforceable, Lender may require imrnediale payment in full of all Sums Secured by this Security Instrument. 13. NOTICES REQUIRED UNDER THIS SECURITY INSTRUMENT: Any notice that must be given to me under this Security Instrument will be given by delivering it or by mailing il by first class mail unless applicable law requires use ot another method. The notice will be addressed Io me al the address staled in the section above tilled "Description ot the Property." A notice will be given ~o me at a differenl address if I give Lender a notice of my different address. Any notice that musl be given Io Lender under this Security Instrument will be given by mailing il to Lender's address slated in Paragraph (C) of the section above titled "Words Used oflen in this Document," A nolice will be mailed to Lender at a differenl address if Lender gives me a notice of the differenl address. A nolice required by ~his Security instrument is given when it is mailed or when il is delivered according to Ihe requiremenls of this Paragraph 13 or of applicable law. 14. LAW THAT GOVERNS THIS SECURITY INSTRUMENT: This Securily Instrument is governed by federal law and the law Ihal applies in the place where Ihe Property is located, If any lerm ot this Securily Inslrument or of the Note conflicls wi~h Ihe law, all other lerms ot this Security Instrument and of the Note will slill remain in effect if they can be given effect wilhoul Ihe contlictin9 lerm 'this means that any lerms of Ihis Security Inslrument and ot the Nole which conflict wilh Ihe law can be separated from the remaining terms and Ihe remaining terms will still be enforced. 15. BORROWER'S COPY: I will be given one conformed copy of Ihe Nole and of Ibis Securily Instrument. 16. AGREEMENTS ABOUT LENDER'S RIGHTS IF THE PROPERTY IS SOLD OR TRANSFERRED: Lender may require immediate paymenl in full of all Sums Secured by this Security Inslrument if all or any part of the Property, or if any right in the Property, is sold or transferred wilhout Lender's prior written permission. Lender also may require immediale payment in full if a beneficial interest in Borrower is sold or transferred and Borrower is nol a natural person. However, Lender shall not require immediate payment in full if this is prohibited by tederal law on the date of Ihis Security Inslrumenl. 17. BORROWER'S RIGHT TO HAVE LENDER'S ENFORCEMENT OF THIS SECURITY INSTRUMENT DISCONTINUED: Even if Lender has required immediate payment in lull, I may have the righl to have enforcement of this Security Instrument discontinued. I will have this righl at any time before sale of Ihe Properly under any power of sale granted by this Security Inslrument or al any lime before a judgment has been entered enforcing this Security Inslrumenl if I meet the following condilions: fA) I pay to Lender the full amount Ihat would have been due under this Security Instrument and the Note if Lender had not required immediate payment in full; (B) I correct my failure Io keep any of my other promises or agreements made in this Security Instrument; (C) I pay all of Lender's reasonable expenses in enforcing this Security Instrument including, for example, reasonable atlomeys' tees; and (D) I do whatever Lender reasonably requires to assure that Lender's righls in the Property, Lender's rights under this Securily Instrument, and my obligalions under the Note and under this Security Instrumenl conlinue unchanged. If I fulfil! all four of these conditions, Ihen the Nole and Ihis Securily Inslrument will remain in I'ull effect as if immediale payment in lull had never been required. However, I will not have the righl to have Lender's enforcement of Ihis Securily Inslrumenl discontinued it Lender has required immediale paymenl in full under Paragraphs 12 or 16 above. NON -UNIFORM COVENANTS I also promise and agree with Lender as follows: 18. LENDER'S RIGHTS IF BORROWER FAILS TO KEEP PROMISES AND AGREEMENTS: Lender shall give notice to me prior to acceleration following my breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under Paragraphs 12 or 16 unless applicable law provides otherwise). The notice shall specify: fA) the default; {B) the action required to cure the default; (C) a date, not less than 30 days from the date the notice is given to me, .by which the default must be cured; and iD) that failure to cure the default on or before the date specified in the notice may result in acceleration of the Sums Secured by this Security Instrument and sale of the Property. The notice shall further inform me of the right to have Lender's enforcement of this Security Instrument discontinued after acceleration and the right to bring a court action to assert the non-existence of a default or any other defense I may have to acceleration and sale. If the default is not cured on or before the date specified in the HELOC Mortgage - Wyoming Page 5 of 7 ' 2002/07 hewy-5.pcl 834 4691040843p notice may result in acceleration of the Sums Secured by this. Security Instrument and sale of the Property. Tile notice shall further inform me of the right to have Lender's enforcement of this Security Instrument discontinued after acceleration and the right to bring a court action to assert the non-existence of a default or any other del'ense I may have to acceleration and sale. If the default is not cured on or before the date specified in the notice, Lender, at its option, may require immediate payment in full of all Sums Secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by applicable law. Lender shall be entitled to collect alt 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 me and to the person in possession of the Property, if different, in accordance with applicable law. Lender shall give nolice of the sale to me 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, 19. LENDER'S OBLIGATION TO DISCHARGE THIS SECURITY INSTRUMENT: Upon payment of all Sums Secured by Ihis Security Inslrument, Lender shall release Ihis Security Instrumenl. I shall pay any recordalion costs. Lender may charge me a tee for releasing Ihis Security Instrument, bul only if the fee is paid to a Ihird party for services rendered and the charging oi' the lee is permilled under applicable law. 20. WAIVERS: I release and waive all rights under and by virlue ot the homestead exemplion laws of Wyoming. 835 Request for Notice of Default and Foreclosure Under Superior Mortgages and Deeds of Trust I and Lender requesl the holder of any morlgage, deed of trusl or olher encumbrance wilh a lien which has priority over Ibis Security Inslrumenl to give Notice Io Lender, al Lender's address sel i'orlh on page one of, this Security Inslrument, of any default under Ihe superior encumbrance and o1' any sale or olher foreclosure aclion. BY SIGNING BELOW, I accepl and agree Io the promises and agreements contained in pages 1 through 7 o1' this Security Instrumenl and in any rider(s) signed b.~ m..~ and recorded witl~ Charles A. Grim 10/21/2003 ~orrower HELOC Morlgage - Wyoming Page 6 of 7 2002/07 hewy-6.pcl 469]040843p STATE OF WYOMING COUNTY OF L~n¢oin ss: On Ihe 2]st day oi October , in Ihe year 2003 , before me, Ihe undersigned, a notary public in and for said slate, personally appeared Charles A. Grin1, a .larried man, personally known lo me or proved to me on the basis o( satisfactory evidence, to be the individual(si whose name(s) is/are subscribed to wilhin instrumenl and acknowledged Io me Ihal he/she/Ihey executed same in his/hedtheir capacity(les), and Ihat by his/her/Iheir signalure(s) on tile instrumenl, Ihe individual or the person upon behalf ol which Ihe individual(s) acled, executed the agreement. My C~,rrm'lission Expires: (~-~T"0 ~'~ otal~ubli¢ (~.'~ i rico'In ~Counly, ~Vyoming HELOC Mortgage - Wyoming Page ? of Z 2002101 hewy-7.pcl EXHIBIT A 837 Lot 3 of the Ivan Tippetts Subdivision, Lincoln County, Wyoming as described on Plat No. 857454 filed March 19, 1999 in the records of Lincoln County Clerk.