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HomeMy WebLinkAbout878556HOMECOMINGS FINANCIAL NETWORK, ONE MERIDIAN CROSSING, STE 100 MINNEAPOLIS, MN 55423 Loan Number: 041-349298-4 Prepared By: HomeComings Financial Network 1425 N. HcDowell Blvd. Suite Petaluma, CA 94954 [Space Above This Line For R~ording Data[ MORTGAGE MIN 100'0626,04134929845 DEFINITIONS Words used in multiple sections of this docmnent are defined below and other words are defined in Sections 3, tl, 13, 18, 20 and 2~. Certain rules regarding the usage of words used in this document are also provided in Section 16. (A) "Security lnstrmnent" meansthis docmnent, which is dated JANUARY 7TH, 2002 together with all Riders to this document. (B) "Borrower" is DALLAS JAY k~ARREN AND TAMMY ANN WARREN 'Borrower is the mortgagor hinder this Security hmtrumelm (C) "MERS" is Mortgage Electronic Registration Systems, Inc. bIERS is a separate corporation that is acting solely as a nominee for Lender and Lender's successors and assigns. MERS is the mm, tgagee under this Security Instrument. MERS is organized and exis[ing 'under the laws of Delaware, and has an address and telephone number of P.O. Box 2026, Flint, MI 48501-2026, tel. (888) 679-MERS. WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT WITH MERS Form 3051 1/01 MFWYJ770 {11/00) / 041~347~ . . 337 (1)) '~[~elldel'" is HOMECOMINGS PINANCIAI~ NETWORK, INC. Lender i8 a CORPORATION organized and existing under the laws of DELANARE Lender's address is p.o. BOX 80802a_ PETALUMA, CA 94975 (E) "Note" means the promissory note sigued by Borrower and dated J~UARY 7TH~ 2 0 02 The Note states that Borrower owes Lender EIGHTY FIVE THOUSAND ~D NO/100 Dollars (U.S. $ 8 5,0 0 0.0 0 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt in full not later tha~EBRUARY ZST, 2 0 ~ 7 (F) "Property" means the property that is described below under the heading "Transfer of Rights in the' Property." (G) "Loan" means the debt evidenced by the Note, plus interest, any prepaymentcharges and late charges due under the Note, and all stuns due under this Security Instrument, plus interest. (H) "Riders" means all Riders to this Securky lnstrmnentthat are executed by Borrower. The following Riders arc 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 Fami¢ Rider ~ VA Rider ~ Biweekly Payment Rider ~ Other(s) [specil~] (I) "Applicable Law" means all controlling applicable federal, state and local statutes, re.gulatious, ordinances and adnfinistrative rules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions. (J) "Community Association Dues, Fees, and Assessments" means all dues, fees, assessments and other charges that are imposed on iBorrower 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 instrmnent,..whiclr is initiated through an electronic terminal, telephonic instrument, computer, or xnagnetic tape so as to order, instruct, or authorize a financial institution to debit or credit: an account. Such term includes, but is not linfited to, point-of-sale transfers, automatedteller machine transactions, transfers initiated by teleph.one, wire transfers, and automated clearingho{~se transfers. (L) "Escrow Items" means those items that are describedin Section 3. (M) "Miscellaneous Proceeds" means any compensation, sdtlement, award of damages, or proceeds paid by any third party (other than iusurance 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 lieu of condemnation; or' (iv) misrepresentationsof, or omissions as to, the w~lue and/or condition of thc. property. (N) "Mortgage Insurance" means insura?e protecting Lender against the nonpayment of, or default on, the Loan. (O) "Periodic Payment" means the r~-gul~i,:ly sche[hded a~mnnt due for (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of this Securily lnstrmnent. (P),J'RESPA" means the Real Estate SettlementProceduresAct (12 U.S.(;. Section 2601[ et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 35tl0), as they might be amended from time to ti~ne, or any additional or successor legislation or regulafionthat governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirementsand restrictions that are imposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. .MFWY7770 (11/00) / 04N349298-4 338 (Q) "Successor in Interest of Borrower" means any party ti]at has taken title to the Property, whether or not that party has assmned Borrower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrumentsecures to Lender: (i) the repayment:of the Loan, and all renewals, extensions and modifications of the Note; and 0i) the Oerft~rm. ance of Borrower's covenants and agreements under this Security Instrumentand the Note. For this purpose, Borrower does hereby mortgage, grant and convey to MERS (solely as nominee for Lender hnd 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 Jm'isdictioa] [Name o t' Recording Jurisdictim~] Legal description attached hereto and made a part hereof Parcel ID Number: 12 - 3 1 1 8 - 3 2 - 0 3 - 0 0 - 0 7 0.0 0 which currently has the address of 8 1 PETERSON COURT , [Street] SMOOT [City] , Wyoming 8 3 12 6 [Zip Codel ("Property Address"): TOGETHERWITH ail the improvements now or hereafter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this Security Instrument. All of lhe foregoing is re[erred to in this. Security Instrmnent as the "Property." Borrower understands and agrees that MERS holds only legal title to the interests granted by Borrower in this Security Instrmnent, 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 Instrmnent. BORROWERCOVENANTS tha~ B~rrower is lawfully seised of the estate hereby conveyed 'and has the right to mortgage, grant and convey ~he Property and that the Property is unencumbered, except encumbrancesof record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances of record. ' THIS SECURiTY INSTRUMENT combines uniform covenants for national use and non-uniform covenants with limited variations by jurisdiction to constitute a uniform security instrmnent covering real property. MFWY7770 (11/00) / 041-349298-4 Inifil (~6A(WY) 1ooo5).o, ~3~,,s -""xl..J -~x Form 3051 1/01 UNIFORMCOVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and imm:est on, the debt evidenced by the Note and any prepaymentcharges 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 Instrmnentshall be made in U.S. currency. However, if any check or other instrumentreceived by Lender as payment under the Note or this Security Instrumentis returnedto Lender unpaid, Lendermay require that any or all subsequentpay~nents due under the Note and this Security Instrument be made in one or more of the following forms, as selected by Lender: Ca) cash; Cb) money order; Cc) 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 Cd) Electronic Funds Transfer. Payments are deemedreceived by Lender when received at the location designated in the Note or. at such other location as may be designatedby 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 any payment or partial pay~nent insufficient to bring the Loau current, without waiver of arty rights hereunder or prejudice to its rights to refuse such payment or partial payments in the future, but Lender is not obligated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonableperiod of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal bahmce under the Note immediately prior to foreclosure. No offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower from making payments due under the Note and this Security Instrumentor per?'orming the covenm~ts and agreementssecuredby this Security Instr'am ent. 2. Application of Pa)anents or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: Ca) interest due under the Note; Cb) principal due under the Note; Cc) amounts due under Section 3. Such paymeuts 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 pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Paymentis outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each payment can be paid in full. To the extent thai: any excess exists after the payment is applied to the full payment of one or more Periodic Payments, such excess may be applied to any late charges due. 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 under 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 clue 'under the Note, until the Note is paid in full, a sum (the"Funds") to provide for payment of amounts due for: Ca)taxes and assessments and other items which can. attain priority over this Security Instrulnentas a lien or encumt>ranceon the Property; Cb) leasehold payments or ground rents on the Property, if any; Cc) premiums for any and all insurance :required hy Lender under Section 5; and Cd) Mortgage Insurance premiums, if any, or any sums payable:' by Borrower to Lender in lieu of the payment: of Mortgage Insurance premi[m~s in accordance xdth ,:l[he provisions of Seclion 10. These items are called "Escrow Items." At origination or at ~iny time during the term of the Loan, Lender may require that Cmnmunity Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, .fees and assessmentsshall be an Escrow Item. Borrower shall promptly f~rnish to Lender all notices of amounts to be paid 'under this Section. Borrower shall pay Lender the Funds for Escrow Items nnless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's obligation to pa}, to Lender Funds for any or all Escrow Items at any time. Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, the amounts MFWY7770 (11/00) / 041-349298-4 Ir~ifi 1[~-6A(WY) (ooos}.01 Page 4 of ~5 (.._. -'"",!~. ~.:z ~ Form 3051 1/01 due for any Escrow Items for whi& payment of Funds has beenwaived by Lender and, if Lenderrequires, 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 deemedto be a covenant and agreementgontain, edin this Security Instrument, as the phrase"covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, pursuaut to a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any st, ch amount. Lender may revoke the waiver as to any or all Escrow Items at any lime by a notice given iu 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. Lender may, 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 amount of Funds due on the basis 'of current data ai~d reasonable estimates of expenditures of future Escrow Items or otherwise in accordaace 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 FederalHomeLoan Bank. Lender ~hall apply the Ftmds to pay the Escrow Items no later than thc time specified under RESPA. Lender shall not charge Borrower for holdi:ng 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 made in writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be requiredto pay Borrower any interest or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds as required 'by RESPA. If there is a surplus of Funds h.eld 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 accordancewith RESPA, but in no more than 12 monthly payments. If thereis a deficiency 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 th~ deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment i'n full 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 Community Association Dues, Fees, and Assessments, if any. To the extent that these itelns are Escrow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly discharge any lien_which has priority over this Security Instrumentunless Borrower: (a) agrees in writing to the payment of the obligation securedby the lien in a manner acceptable to Lender, but only so long as Borrower's performing such agreement; (b) contests the lien in good faith by, or defends against enforcmnentof the'lien in, legal proceedings which in Lender's opinion operate to prevent the enforcementof the lien while 4hose proceediugs are pending, but only until such proceedings are'concluded; or (c) secures from the holdeic of the lien an agreementsatisfactory to Lender subordinating the lien to this Security Instrument. If Lender determinesthat any part of the Property is subject to a lien which Can attainpriority over this Security Instrmnent, Lendermay give Borrower a notice identifying the MFWY7770 (11/00) / 041-349298-4 I~,itial, (~c,>-6A{WY) iooosl,c~ P~g, 5 of ~5 Form 3051 1/01 lien. Within 10 days of the date on which that notice is given, Borrower shall 8atisf5, the lien or take one or more'of the actions set forth above in this Section 4. Lender may require Borrower to pay a one-time charge for a real estate tax verification and/or reporting service used 'by Lender in connection with this Loan. 5. Property Insm'ance. Borrower shall keep the improvements now existing or hercafl er erected on the Property insured against loss by fire, hazards included within thc term "extended coverage," and any other hazards including, but nut limited to, earthquakesand floods, for which Lender requires insurance. This insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of tlhe 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 mas~ require Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone deternfination, certification and tracking services; or (b) a onektime Charge for flood"zone determination and certification services and subsequent charges each time remappings or similar changes occur which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone deternfination resulting from an olqection by Borrower. If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage. Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against: any risk, hazard or liability and might provide greater or lesser coverage than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender to Bo'rrower requesting payment. All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/eras 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 premimns and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise requiredby Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage chmse and shall name Lender as mortgagee and/or 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 ag/cc in writing, any insurance proceeds, whether or not the 'underlying insurance was requiredby Lender, shall be applied to restoration or repair of the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and rcstorationperiod, 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 complelcd to Lender's s'htisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proc~eds~for the repairs and restorationin a single payment or in a series of progress payments as the xv'brk is completed. 'Unless an agremnentis ~nade in writing or Applicable Law reqffires 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 olhcr third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be the sole obligatiou of Borrower. ff the rcstorationor 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) / 041-349298-4 (~6A(WY) {ooo5t,o~ ~,~ 6 of '~ ~ Form 3051 1101 the excess, if any, paid to Borrower. Such insurance proceeds shall be apl)lied in the order provided for ii1 Section 2. If Borrower abandons the Property, Lender ma}, 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 iusurance carrier has offered to settle a claim, then Lemter may negotiate and settle the claim. TiLe 30-day period will begin when the notice is given. In either event, or if Lender acquires the 'Property under Section 22 or otlherwise, 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 unearned premiums paid by Borrower) under all insurance policies-covering 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 thc Property or to pay amounts unpaid under the Note or this Secnrity Instrument, whether or not then due. 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days after the execution of this Security lnstnnnentand shall continue to occupy the Property as orrower s principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, whicli consent shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protection of the Property; luspections. Borrower shall not destroy, damage or impair tile Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is residing if~ the Property, Borrower shall maintain the Property in order to prevent the Property h'om 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 slmll promptly repair the Property it' damaged to avoid tin'thor deterioration or damage. If insurance or condemnationproceeds are paid in connection 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. Lendermay disburse proceedsfor the repairs and restorationin a single payment or in a series of progress payments as the work is completed. If the insurance o'r condemnationproceeds are not sufficient to repair or restore the Property, 'Borrower is not relieved of Borrower's obligation for the completion of suclx repair or restoration. Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable canse, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause. 8.. Borrower's Loan Application. Borrower shall be in default if, dnring 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,.misleading, or inaccurate information or statementsto Lender (or failed to provide Lender with material information) in connection with the Loan. Material representationsinclude, but are 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 Rights IJnder this Security Instru,nent. (a) 'Borrower fails to perform the covenants and agreementscontainedin this Secnrity Instrmnent, (b) there is a l_egal proceeding that might significantly affect Lender's interest in the Property and/orrights under this Security Instrnment (such as a proceeding in bankruptcy, probate, for condemnationor forfeiture, for enf'orcement of a lien which may attain\priority over this Secnrity Instrnment or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security 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 secnredby a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable MFWY7770 (11/00) / 041-349298-4 lniti i~-6A(WY) 10005).ol ?a~.Tof'~s ; Form 3051 1/01 attorneys' fees to protectits interest in the Property and/orrights under this Secm'ity Instrmnent, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limiled to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities tm'ned on or off. Although Lender may take action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is.agreed that Lenderincurs 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 Instrument. These amounts shall bear interest at the Note rate from the dale of disbursement and shall be payable, with such interest, upon notice from 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 unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition r~t' making the Loan, Borrower shall pay the premiums req~.fired to maintain the Mortgage Insurance in e fleet. If, for any reason, the Mortgage Insurance coverage requiredby Lender ceases to be available from the mortgage insm'er that previously provided such insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, 'Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in effect, from an alternate " mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, iBorrower shall continue to pay t:o 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-refundableloss reserve in lieu of Mortgage Insurance. Suc. h loss reserve shall be non-refnndable, 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 re:quire loss reserve payments if Mortgage Insurance 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 separately designated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the 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 requiremenffor Mortgage Insurance ends in accordanceMth any written agreementbetween Borrower and Lender providing for such terminationor until terminationis requiredby Applicable Law. Nothing in this Section 1.0 affects Borrower's obligation to pay interest at the rate provided in the Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses il: 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 enter into agreementswith other parties that share or modify their risk, or reducelosses. These agreements are on terms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements~nay 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 premimns). As a result of these agreements, Lefider, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliate of any of- the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premimns paid to the insurer, thc arrangen{ent is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amounts that Borrmver has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount l~ ~ fund. Borrower will owe for Mortgage Insurance, and they wi I not entitle Borrmver to any rj~ ~ 9/ ? ' IvlFWY7770 (11/00) / 041-34~298~4 ,~iti~:_,,__/~yAe. r~,~/.Lxv -,~ (~6h(WYJ(ooos),Ol Pag. Ool~ ~ Form 3051 1101 (b) Any such agree~nents will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homem~a~ers Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request and obtain cancellation of the Mortgage htsurancc, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insurance pre~niums that were unearned at tile time of such cancellation or termination. 11. Assigmnent of Miscellanem~s 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 the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restorationperiod, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertakenprmnptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of progress paymcms as the work is completed. Unless an agrcementis made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest o? earnings on such MiscellaneousProceeds. If the restorationor repair is not economically feasible or Lender's security would be lessened, tile Miscellaneous Proceeds shall be applied to the stuns securedby this Security Instrmnent, whether or not then due, with the excess, if an),, 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, thc Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial taking, destruction, or loss in value of thc Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss iu value is equal to or greater than the amount of' the sums secured by this Security Instrument immediately before the partial taking, destruction, or loss in value, unless Borrowcr 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 kaction: (a) the total mnount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property immediately before the partial taking, destnlction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in Mil& the fair market value of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums scoured immediately'before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in whting, the Miscellaneous Proceeds shall bc applied to thc sums secured by this Security Instrument whether or not the sums are then due. if the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that thc 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, Lender is authorized to collect and apply thc Miscellaneous Proceeds either to restoration or repair of the Property or to tile stuns securedby this Security Instrument, whether or not then due. "Opposing Party" means thc third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether cMl or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if accelerationhas occurred, reinstate as provided ia Section 19, by causing the action or proceeding to be dismissed with. a ruling that, in Lender's j~udgme~t, precludes iforfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that arc attributableto the impairmentof Lender's interest in the Property arc hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. MFWY7770 (11/00) / 041-349298~4 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of amortizationof the sums securedby this Security lnstrumentgranted by Lender to Borrower or any Successor~n Interest of Borrower shall not operateto release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against aW Successor in Interest of Borrower or to refl~se to e~end time for payment or otherwise modify amortizationof the sums securedby this Security Instrumentby reasonof any demandmadeby the original ;Borrower or any Successors in Interest of Borrower. Any forbearanceby Lender in exercising any right or remedy including, wiflmut limitation, Lender's acceptance of payments from third persons, entities or Successors in Interest of Borrower or in amountsless than the amount then due, shall not be a waiver of or preclude the exerdse of any right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that Borrower's obligations and liability shall be joint and several. However, any Borrowerwho co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Secm:ity Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the terms of this Secm'ity Instrument; (b) is not personally obligated to pay the sums secu3edby this Security Instrument; and (c) agrees that: Lender and any other Borrower can agree to extend, modify, forbear or make any accomnmdatiouswith regard to thc terms of this Security Instrument or the Note without thc co-signer's consent. Subject to the provisions of section 18, any Successor in Interest of Borrower who assumes Borrower's obligations undeffihis Security Instrumentin writing, and is approvedby Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from ~Borrower's obligations and liability under this Security instrumentunless Lender agrees to such release in writing. The covenants and agreements of this Security Instrument shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services performed in connection with Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this Security Instrument, including, but not linfited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security lnstrumentto charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lender may not Charge fees that are expressly prohibited by this Security Instrmnent or by Applicable Law. If the Loan is subject to a law which sets maximmn loan charges, and that law is finally interpretedso that the interest or other loan charges collected or to be collected in connection with the Loan exceed the permittedlimits, then: (a) any such loan chfirge shall be reduced by the amount necessary to reduce the charge to the permittedlimit; and (b) any sums already collected frown Borrower which exceeded permitted limits will be rehmded to Borrower. Lender may choose to make this refund by reducing the principal owed under thc Note or by making a direct payment to Borrower. If a rebind reduces principal, the reduction will be treated as a partial prepayment Mthout any prepayment charge (whether or not a prepayment &urge is provided for under the Note). Borrower's acceptance of any such refund made by direct payment to Borrowerwill constitute a waiver of any right of action Borrowermight have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security Instrumentshall be deemedto have been given to Borrower when mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of a¢dkess. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only report a change of address through that specified procedure. Thgre may be only one designated notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by mailing it by first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by this Security Instrnmentis also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding reqnirement under tiffs Security Instrument. MFWY7770(ll/00) / 041~349298~4 ~n~,~/~ ff ~6A(WY) (ooo5).o~ Pae. lo of ~5 (,~'~~ Form 3051 1/01 16. Governing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or ii; 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 Instrumcntor tt~e Note which can be given effect without the conflicting proxdsion. As used in this Security lnstrmnent: (a) words of the masculine gender Shall mean and include corresponding neuter words or words of the fenfinine gender; (b)words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. Borrowershall be given one copy of the Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used.in this Section 1.8, "Interest in the Property" means any legal or beneficial interestin the Property, including, but not li~nited to, those beneficial interests transferredin a bond for deed, contract for deed, installme'nt 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 Borrower is not a naturalperson and a beneficial interestin Borrower is sold or transferred)without'Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less thau 30 Clays from thc date the notice is given in accordancewith Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these stuns prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditious, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earliest of: (a) five days before sale of the Property pursuant to any power ot! sale contained in this Security instrument; (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 Secm'ity Instrumentand (:he Note as if no accelerationhad occurred; (b) cures any default: o1' 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 ProperB, and rights under this Security Instrument; and (d) takes such action as Lender'~nay 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 continue un&anged. Lender may require that Borrower pay su& reinstaten~enlsums 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, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatementby Borrower, this Security Instrumentand obligations secured hereby shall remain frilly effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 1.8. 20. Sale of Note; Change of Loan ~.Setwicer; Notice of Grievance. The Note or a partial interest in the Note (together xvith this Security_Instrument) can be sold one or more times without prior notice to Bm;rower. A sale might result in a chaffge in the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrmnent and performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower MI1 be given written notice of the change which Mil 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) / 041-349298-4 Ir, itiala (~}~-6A(WY) ~ooo51.o~, ~e ~ ~ ~ .?~.~ ~, ~. Form 3051 1/01 requires in connectionwith a notice of transfer of servicing. If the Note is sold and thereafterdm Loaa is serviced by a Loan Servicer other than the purchaser of the Note, the ~nortgageloan servicing obligations to Borrower will remainwith the Loan Serdcer or be transferredto a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser. Neither Borrower nor Lender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises tkom the other party's actions pursuant to this Security Instrumentor that alleges that thc other party has breadmd any provision of, or any duty owed by reason of, this Security Instrpment, until such Borrower or Lender has notified the other party (Mth such notice given in compliance with the requirementsof Section 15) of such alleged 'breach and afforded the other party hereto a reasonable period afl:er 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 pursuan~ to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satis~ 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 EnvironmentalLaw and the folloMng substances: gasoline, kerosene, other flam~nable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Enhronmental Law" means federallaws and laws of the jurisdiction where the Property is located that relate to health, safety or environ'mental protection; (c) "Environmental Cleanup" indudes any response action, remedial action, or r&noval action, as defined in EnvironmentalLaw; and (d) an "EnGronmental Condition." means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances, or threatento release any HazardousSubstances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) that is in violation of any Environmental Law, (b) whi& creates an EnvironmentalCondition, or (c) Milch, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affqcts the Value of the Property. The preceding two sentences shall not apply to the preffence, use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous substances in consumer products). Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any EnvironmentalCondition, including but not limited to, any spilling, leaking, discharge, releaseor threatof release of auy Hazardous Substance, and (c) any coudition caused by the presence, use or release of a HazardousSubstance which adversely aflkcts 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 remcdiation of ~ny HazardousSubstance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. MFWY7770 (11/00) / 041-349298-4 /nit NON-UNIFORMCOVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration fldlowing Borrower's breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides otherwise). The notice shall specily: (a) the default; (b) the action required to cure the default; (c) a date, not less than 3{I days fi'om thedate the notice is given to Borrower, by which the delhult must be cured; and (d) that fidlure to core the default on or befl~re the date specified in the notice may result in acceleralion of tike sums secured by this Secnrity Instrument and sale of the Property. The notice shall further inform Borrower of the right to reinstate alt:er acceleration and tlfe right to bring a court action to assertthe non-existence of a dethult or any other defense of Borrower to acceleration and sale. If the default is not cured on or before the date specified in the notice, Lender at its option may require immediate payment in dill of all sums secured by this Security Instrument withont further demand and may im, oke the power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, inclnding, bnt not limited to, reasonable attorneys' fees and costs of tide evidence. If Lender invokes tike power of sale, Lender shall give notice of intent to foreclose t~ Borrower and to the person in possession of the Property, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided in Section 15. Lender shall publish the notice of sale, and tike Property shall be sold in the manner prescribed by Applicable Law.:~ Lender or its designee lnay 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, inclnding, but not limited to, reasonahle attorneys' fees; (b) to all sums secured by tbis Security Instrument; ami (c) any excess to the person or persons legally entitled to it. 23. Release. Upon payment of all stuns secm'edby this Security Instrument, Lender shall release this Security Instrument. Borrower shall pay any recordation costs. Lender may charge Borrower a fee for releasing this Security Instrument, but 'only if the fee is paid to a third party for services renderedand the charging of the fee is permitted nnder Applicable Law. 24. Waivers. Borrower releases and waives all rights under and by virtue of the homestead exemption laws of Wyoming. MFWY7770 (11/00) / 041-349298-4 Initials: {~, ;l~.__~/ (~I~-6A(WY) (ooo5).o~ Pa~ la o~ ~5 x~) Form 3051 1/01 BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any Rider executed by Bon:ower and recorded with it. Witnesses: DALLAS Jk~YJ WARREN -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower MFWY7770 (ll/00) / 041-349298-4 (~'~-6A(WY) (00051.01 Page ~4 of is Form 3051 1/01 STATE OF WYOMING, L ±nc o in Cm,nty ss: The foregoing instrument was a,,kno,~il~agea t, efore me thi~ 7 ~ ~,~a/~"~Y' 2002 by / DALLAS JAY WARREN AND TAMMY ANN WARREN My Commission Expires: ?-//0M~ Notary Pub~ (~ ~ ' County of ., "c~ LEGAL DESCRIPTION A parcel of land located SMSW~ of Section 32, T3tN RllSW~ Lincoln County, Wyoming shown upon that certain Record of Survey of a portion of the property of Everett Baker, filed November 5, 1975 INstrument No. 472031 and par'~icularly described as follows: Beginning a~ a point in the northerly line of SMSW~ of said Section 32, said point being N 0046'28'' W, 1314.00 feet and. N @9o29, E, 392.45 feet from a rock found marking the southwesterly corner of said Section 32; thence running N 89°29' E along said northerly llne a distance of 154.89 feet; ,~ thence leaving said northerly line and running s 2°20, Er 6.~98 feet to a one inch iron pipe at a fence on the bank of a creek; thence continuin~ S 2020' E, 163.23 feet to a one inch iron pipe set in -the northerly line of a 60 foot roadway easement designated, as Petsrs0n Court; thence running S 86°01., W, alonq last said northerly ~ine a distance of 10.54 feeh to a one inch i'ron pipe marking it.~.point of tangency with a curve concave to the right having a radius of 70.00 feet; thence running along said curve and said northerly llne through a central angle of 9'19'40,,, an arc distance of 11.396 feet to a one inch iron pipe marking its point of tangency with a line; thence continuing along said. nQrtherly line o~ said easement, N 84039'20" W, a distance of 138.05 feet to a one inch iron pipe; thence leaving said northerly line and running N 0053,10,, W, 150.~21 feet to a one inch iron pipe at a fence and the southerly bank of a small creek; thence continuing N 0°53'10,, W, a distance of 7.01 feet to the point of begin~ing~ shown as Parcel C on the plat of.said lands. Said land being the same as conveyed in Warranty Deed recorded in Book llSPR on page 25 of records of LincOln County Clerk. 11/91