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HomeMy WebLinkAbout899770RetumTo: WELLS FARGO HOME MORTGAGE 3601 MINNESOTA DR. SUITE 200 BLOOMINGTON, MN 55435 899770 RECF_IVED LINCOLN COUNTY CLERK Prepared By: WELLS FARGO B3d~IK~ N,A. --[Space Above Tlds Lh)e For Recordh)g Data] MORTGAGE 1919 DOUGLAS,, 681010000 .NE 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. Certain rules regarding the usage of words used in tiffs document are also provided in Section 16. (A) "Security Instrument" means this document, 'which is dated m~Y 27, 2 004 together with all Riders to this document. (B) "Borrower" is DORAN FLUCKIGER AND TA/~I FLUCKIGER, HUSBAND AND WIFE Borrower is the lnortgagor under this Security Instrmnent. (C) "Lender" is WELLS. FARGO BANK, N.A. Lender is a NATIONAL ASSOCIATION orgmtiZed and existing under the laws of THE UNITED STATES ~0039739404 WYOMING-Single Family-Fannie Nlae/Freddie Mac UNIFORM INSTRUMENT (~®-6(WY) tooo~, Page 1 ot 16 Initi~l~: VMP MORTGAGE FORMS - {800J521-7291 Form 3051 1/O1 Lender's address is P.O. BOX 10304, DES MOINES, IA 503060304 Lender is the mortgagee under this Security Instrument. (D) "Note" means the pronfisscry note signed by Borrower and datedMAY 2"1, 2 004 The Note states that Borrower owes Lender ONE HUNDRI~.D THIRTY SEVEN THOUSAND AND 0 0 / 10 0 Dollars (U.S. $ * *** 137,0 00.0 0 r ) plus interest. Borrower bas promised to pay this debt in regular Periodic Payments and to pay the debt in full not later dian JUNE 01, 2 03 4 0g) "Property ' means the property that is described below under the heading "Transfer of Rights in the Property." (F) "Loa," means die debt evideuced by the Note, plus interest, any prepayment charges and late charges due under die Note, and all sums due under this Security Instrument, plus interest. (G) "Riders" means all Riders to fids Security Instrument that are executed by Borrower. The lbllowing Riders are to be executed by Borrower [check box as applicable]: [~ Adjustable Rate Rider [] Condominium Rider [---] Second Home Rider [-~ Balloon Rider ~ Plamled Unit Developmem Rider ~ 1-4 Family Rider ~-] VA Rider [-'] Biweekly Payment Rider [~ Other(s) [specify] (H) "Applicable Law" means all comrolling applicable federal, state and local statutes, regulations, ordinances and adnfinistrative .,-ules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions. O) "Community Association Dues, Fees, and Assessments" means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominium assocmtion, homeowners association or sinfilar organization. (J) "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper insn-ument, which is initiated through an electronic terufinal, telephonic instrument, computer, or nmgnetic 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 transt%rs, autonmted teller machine transactions, transfers initiated by telephone, wire transfers, and autonmted clearinghouse transfers. (K) "Escrow Items" means those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, setdement, award of danmges, 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, die Property; (ii) condemnation or other taking of all or any part of the Property; (iii) conveyance in lieu of condenmation; or (iv) ~nisrepresentations of, or omissions as to, the value and/or condition of die Property. (ND "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment" means the regularly scheduled amount due lbr (i) pri~uzipal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrument. (O) "RESPA" means the Real:Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they nfight be amended frown time to time, or any additional or successor legislation or regulation that governs the same subject nmtter. As used in this Security Instrument, "R~SPA" refers to all requirements and restrictions that are imposed in regard to a "federally related mortgal e loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. II~-6{WY) Iooos} ] Pa~ 2 o~ ~s Form 3051 1/01 (P) "Successor in Interest of'Borrower" means any party that has taken title to the Property, whether or not that party has assumed Bm"rbwer's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN ~rHE PROPERTY This Security InStrument secmes to Lender: (i) the repayment of file Loau, and all renewals, extensions and modifications of the Note; ar'd (ii) the perfommnce of Borrower's covenants and agreements under fills Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, the following described property located in the COUNTY ~ . Of LINCOLN : [Type of Recording Jurisdiction] [Name of Recording lurisdiction] LOT 6 OF THE BEDFORD' TOWNSITE 3RD FILING TO THE TOWN OF BEDFORD, LINCOLN COUNTY, WYOMING AS DESCRIBED ON THE OFFICIAL PLAT FILED FEBRUARY 13, 2003 AS INSTRUMENT NO. 887774 OF THE RECORDS OF THE LINCOLN COUNTY CLERK THIS IS A PURCHASE MONEY SECURITY INSTRUMENT. TAX STATEMENTS SHOULD BE SENT TO: WELLS FARGO HOME MORTGAGE, 10304, DES MOINES, IS, 503060304 P.O. BOX Parcel ID Nmnber: 241 FIRST WEST CTY RD 196 BEDFORD ("Property Address"): which currently has file address of [Streetl [City] , Wyonfing 8 3112 [Zip Codel TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of the property. All replacements and additions shall also be covered by this Security Instrument. All of the foregoing is referred to in this Security Instrument as the "Pr3perty.!' BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that file Property is unencmnbered, except for encmnbrances of record. Borrower warrants and. will defend generally file title to file Property against all claims and demands, subject to any encumbrances of record. THIS SECURITY INS'IRUMENT co~nbines mfifonn covemmts for national use and non-mfiform covenants with limited variations by jurisdiction to constitute a mfifonn security instrument covering real property. UNIFORM COVENANTS. 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 interest on, the debt evidenced by the Note and any prepayment charges and late charges due uuder the Note. Borrower shall also pay funds lbr Escrow Items pursuant to Section 3~ Paymems due under the Note and this Security Instrument shall be made in U.S. currency. However, if any check or other instrument received 'by Lender as payment under the Note or this Initials: ~ F (~-6(WY) 1ooo~1 Pag~ 3 of ~ Form 3051 1/01 Security Instrument is retumecl to Lender unpaid, Lender may require that any or all subsequent payments 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 restitution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Fuuds Transfer. Payments are deemed received by Leuder when received at rile location designated in the Note or at such other location as may be designated by Lender iu accordance with the notice provisious in Section 15. Lender may return any paymeat or partial payment if the payment or partial payments are insufficient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring the Loan current, without waiver of any 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 paylnents at the time such payments are accepted. If each Periodic Payment is applied as of its schethded due date, then Lender need uot pay interest on unapplied funds. Lender may hold such unapplied fullds until Borrower makes payment to briug the Loan current. If Borrower does not do so within a reasonable period of dine, Lender shall either apply such funds or return them to Borrower. If 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 have now or in the future against Lender shall relieve Borrower from making payments due under the Note and tiffs Security Instrument or perfornfing the covenants and agreements secured by this Security Instrument. 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 tbllowiug order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) au~ounts due under Sectiou 3. Such payments shall be applied lo each Periodic Payment in the order in which it became due. Any remai~fing amounts shall be applied first to late charges, second to any other amounts due under this Security Instrmnent, and then to reduce the principal balhnce 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 flue, the paylnent may be applied to file delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender tnay apply any paymem received froln 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 payment is applied to the full payment of one or more Periodic Payments, such 'excess may be applied to any late charges due. Voluntary prepayments shall be applied first to any prepaym,ent 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 exteud or postpone the due date, or change file amount, of the Periodic Payxnents. 3. Funds for Escrow .Itdms. Borrower shall pay to Lender on rile 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 pr, onty over this Secm'ity Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on file Property, if any; (c) prenfimns for any and all ins'~arance required by Lender under Section 5; and (d) Mortgage Insurance premimns, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premimns in accordance with the provisions of Sectiou 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan, Lender lnay require that Conunmfity Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to 'be paid under this Section. Bo!:rower shall pay Lender the Funds 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 Fuads for any or all Escrow Items at auy time. Any such waiver may ouly be in writing. In the event of such waiver, Borrower shall pay directly, when and where payable, file amounts Initials: Paa. 4ot~ ~ Form 3051 1/01 due for any Escrow Items for'. Which payment of Funds has been waived by Lender and, if Lender requires, shall funlish to Lender receif)ts evidencing such payment within such time period as Lender may require. Borrower's obligation to maI:e such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement contained in this Security Instrument, as the phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount due /bt 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 such amount. Lender may revoke'/he waiver as to any or all Escrow Items at any time by a notice given in accordance with Section 15 aud, 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. Lend:r shall estimate the amount of Funds due on the basis of current data and reasonable estimates of expeaditures of future Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be 1. eld in an institution whose deposits are insured by a federal agency, instrmnentality, or entity (including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Ban[:. 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, ammally analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to nmke such a charge. Un[ess an agreement is made in writing or Applicable Law requires ihterest to be paid on the Funds, Lender shall ]lot be required to pay Borrower any interest or earnings on t/~e 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 a~mua.1 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 accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Le~'tder shall notify Borrower as required by 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 there is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to nmke up the deficiency in accordani:e with RESPA, but in no more than 12 monthly payments. Upon payment in full o'~ 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 gromld rents on the Property, if any, and Cowanunity Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the ~nam~er provided in Section 3. Borrower shall promptl3, discharge any lien which has priority over this Security Instruxnent unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a maturer acceptable to Lender, but only so long as Borrower is perfornfing such agreement; (b) contestg the lien in good faith by, or defends against enforcement of file lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien wlfile those proceedings are pending, but only until such proceedings are concluded; or (c) secures from file holder of the lien ail agreement satisfactory to Lender subordiuating file lien to this Security Instr,:nnent. If Lender determines that ally part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender nu~y give Borrower a notice identifying file 7 (~-6(WY) Iooo~1 ~a~ ~ o~ ~ ~ Form 3051 1/01 lien. Within 10 days of the date on wlfich that notice is given, Borroxver shall satisfy 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 colmection with 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 file term "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained in the amounts (including deductible levels) and tbr the periods that Lender requires. What Lender irequires pursuant to file preceding sentences can change during the term of file Loan. The insurance carrie~ providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, wlfich right shall not be exercised unreasonably. Lender may require Borrower to pay, .in ~onnection 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 deternfination 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 Mauagement Agency in cmmection with the review of any flood zone deternfination resulting from au objection by Borrower. If Borrower fails to maintain any of the coverages described above, Lender ~nay obtain insurance coverage, at Lender's option ;tnd Borrower's expense. Lender is under no obligation to purchase any particular type or amount of cciverage. Therefore, such coverage shall cover Lender, but might or nfight not protect Borrower, Borrowei"s equity in file Property, or the contents of the Property, against any risk, hazard or liability and might p!:ovide greater or lesser coverage than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed file cost of insurance that Borrower could liave ob'rained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Bon-c~wer secured by this Security Instnmlent. These aniounts shall bear interest at the Note rate from file date Cf ~disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting l~ayment. All insurance policies reqtiired by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall inchide a standard mortgage clause, and shall name Lender as mortgagee and/or as 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 olstains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction o,f, 'the Property, such policy shall include a standard mortgage clause and shall name Lender as mortgagee land/or as an additional loss payee. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender ~nay make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying iusurance was required by Lender, shall be applied to restoration or repair of the Property, if file restoration or repair is econonfically feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to hold such insurance proceeds ufitil Lender has had an opportmfity to inspect such Property to ensure the work has been completed to I2ender's satisfactiou, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restoration iu a single payment or in a series of progress payments as the work is completed. Unless an agreelneut is ~nade in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest .or earnings on such p~oceeds. 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 restoration or repair is not ecbno~nically feasible or Lender's security would be lessened, the insurance )roceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with (WY) 10006) Page 6 of ~S 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 f:te Property, Lender may file, negotiate and settle any availab.le insurance claim and related matters. If 'Borrower does not respond within 30 days to a notice from Lender that file insurance carrier has offered to settle a claim, then Lender may negotiate and settle file claim. The 30-day period will begin when the ~aotice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Leuder (ap Borrower's rights to any insurance proceeds in an amount not to exceed file amounts unpaid nnder the Note or this Security Instrument, and (bp any other of Barrower's rights (other than the right lo any refund of unearned prenfiums 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 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 residence within 60 days after the execution of this Security Iustrunmlt and shall continue to occupy the Property as Borrower's principal residence for at least one year alter the date of occupancy, unless Lender otherwise agrees in writing, which consent shall nnt be unreasonably withheld, or mfless extenuating circmnstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or impair 'he Property, allow file Property to deteriorate or couunit 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 detemfined pursuant to Section 5 that repair or restoration is not econonfically feasible, Borrower shall prompdy repair the Property if damaged to avoid further deterioration or damage. If insurance or condennmtion proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible tbr repai'ring or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the woik is completed. If the insurance or condenmation proceeds 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 ma:/ make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender ~na3 inspect file interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspectiou specifying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in det:ault if, during file 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, nfisleading, or i~mccurate infommtion or statements to Lender (or failed to provide Lender with material information) in comlection with the Loan. Material representations include, but are not linfited to, representations concenfing Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (ap Borrower fails to perform the covenants and agreements contained ill tiffs Security Instrument, (bp there is a legal proceeding that might significantly affect Lender's iuterest in the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender nmy do and pay tbr whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's action's can include, but are nnt limited to: (ap paying any sums secured by a lien which has priority over this Security Instrument; (bp appearing in court; and (c) paying reasonable {~-6[WY) (ooos} Page 7 o~ 1~ ..~__----.--.--.--.-~ Form 3051 1/01 attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, iucluding its secured position in a bank~'uptcy proceeding. Securing file Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board tip doors and windows, drain water from pipes, elinfinate building or other code violations or dangerous conditions, and have utilities turned on or off. Although Lender ma:~, take action under this Section 9, Lender does not have to do so and is not under any duty or obligation ta do so. It is agreed that Lender incui's no liability for not taking any or all actions authorized under this Sdction 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 file date of disbursement and shall be payable, with such interest, upon notice t¥om Lender to Borrower requesting payment. If this Security Instrmnen't is on a leasehold, Borrower shall comply with all the provisiolm of the lease. If Borrower acquires fee title to the Property, the leasehold and file fee title shall not lnerge unless Lender agrees to file merger in i. vriting. 10. Mortgage Insurance. If Lender required Mortgage hism'ance as a coudition of nmking the Loan, Borrower shall pay the premiun:,s required to maintain the Mortgage Iusurance in effect. If, for ally reason, the Mortgage Insurance coverage required by Lender ceases to be available from the ~nortgage insurer that previously provided such insurance and Bm'rower was required to nmke separately designated payments toward file prenfimns for Mortgage Insurance, Borrower shall pay the premimns 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, Borrower shall continue to pay to Lender file amount of file separately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use aud retain these payments as a non-refundable !loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-refundable, notwithstanding .the fact that tile Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any ifiterest or eanfings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage I~surance coverage (in the amount and for file period that Lender requires) provided by an insurer selecte~ 'by Lender agaiu becomes available, is obtained, and Lender requires separately designated payments Coward the premimns 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 prenfiums! for Mortgage Insurance, Borrower shall pay file prenfimns required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage ~ Insurance ends iu accordance with any written agreement between Borrower and Lender providing for such tennihation or until temfination is required by Applicable Law. Nothing in this Section 10 affects Borrower's ob!ligation to pay interest at the rate provided in the Note. Mortgage Insurance reimbhrses Lender (or any entity that purchases tile Note) for certain losses it may incur if Borrower does nc, t repay the Loan as agreed. Borrower is ]lot a party to the Mortgage Insurance. . : Mortgage insurers evaluate' their total risk on all such insurance in force from time to time, and nmy enter into agreements with other parties that share or modify their risk, or reduce losses. These agreemeuts are on terms and conditions thaC.are satisfactory to the mortgage insurer and the' other party (or Parties) to these agreements. These agreements may require file mortgage insurer to make payments using any source of funds that the mortgage insurer nmy have available (which nmy include funds obtained from Mortgage Insurance prentiums). : As a result of these agreem'ents, Lender, any purchaser of file Note, another insurer, auy reinsurer, any other entity, or any affiliaie ~f any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be charac;:erized 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 ibr a share of the prenfiums 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 for Mortgage Insurance, or any other terms of the Loan. Such agree~nents will not increase the amount Borrower will owe for Mortgag? Insurance, and they will not eutitle BorroWer to any refund. (~-6{WY) Page 8 of 16 Inilial~:~ Form 3051 1/01 (b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request and obtaiu cancellation of the Mortgage Insurance, to hav~ the Mortgage Insurance terminated automatically, and/or to receive a refund of ally Mortgage InsiJrance premiums that were uuearned at the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid t~ Lender. If the Property is danmged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoraticn or repair is econonfically feasible and Lender's security is not lessened. During such repair and restor~.tion period, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had an opportulfity 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 pay tbr file repairs and restoration in a .single disbursement or in a series of progress payments as the work is co~npleted. Unless an agreeme.nt is 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 or eanfings on such Miscellaneous Proceeds. If the restoration or repair is not ecouomically feasible or Lender's security would be lessened, [he Miscellaneous Proceeds shall be applied to the stuns secured by this Security Instrument, whether or not then due, wiff the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event ot: a total taking, destruction, or loss ill value of the Property, the 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 Bor ~ower. In the event of a partial :aking, destruction, or loss iix value of the Property in wlfich the fair nmrket value of the Property immed(ately before the partial taking, destruction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrmnent ilmnediately before the partial taking, destruction, or loss iix value, unless 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 2'raction: (a) the total a~nount of the sums secured irmnediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property iunnediately before the partial taking,~ destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial !aking, destruction, or loss in value of the Property ill which the fair nmrket value of the Property irmnedi'ately before the partial taking, destruction, or loss in value is less than the amount of the sums secured ilnmediately before the partial takiug, destruction, or loss iu value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by fids 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 the Opposing Party (as defined kt the next sentence) offers to make an award to settle a clailn for danmges, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not theu due. "Opposing Party" means file fllird 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 civil or crimilml, is begun that, in Lender's judgment, could result in forfeiture of the Property or other umterial impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action or proceeding to be dismissed with a ruling that, in Lender's judgment, precludes forfeiture of the Property or other nmterial impairment of Lender's interest in the Property or rights uuder this Security Iustrument. The proceeds of any award or claim for damages that are attributable to the impairment of Lender's interest in the Property are 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 :5or in Section 2. (~)~-6(WY) Iooos) Page 9 o~ ~s ~ Form 3051 1/01 ,.'-..302 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrun~ent granted by Lender to Borrower or any Successor in Interest of Borrower shall not operate to release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Borrower or to refuse to extend time for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any denmnd made by the original Borrower or any Successors in,Interest of Borrower. Any furbearance by Lender in exercising any right or remedy including, without limi~tation, Lender's acceptance of payments from third persons, entities or Successors in Interest of Borrower or in amounts less than the amount theu due, shall not be a waiver of or preclude the exercise of any rig.hi 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 Borrower who co-signs this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-sighting this Security Instrument only to mc, r~gage, grant and convey the co-signer's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay the sums secured by tiffs Security Instrument; and (c) agrees tha,i Leuder and any other Borrower can agree to extend, modify, forbear or make any acconunodations with regard to the terms of this Security Iustrument or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security Instrument in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrmneut. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument unless Lender agrees to such release in writing. The covenants and agreements of tiffs Security Instnm~ent shall biud (except as provided in Section 20) and benefit the suc(i'essors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for services perforn~ed in co~mection with Borrower's default, for the purpose of protecting Lender's interest in the Property aud rights under this Security Instrument, includingi but not linfited to, attorneys' tees, property inspection and valuation fees. In regard to any other fees, thei absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be coastrued as a prohibition on the charging of such fee. Lender umy not charge fees that are expressly prohibit6d by tiffs Security Instrument or by Applicable Law. If the Loan is subject to alaw which sets maximum loan charges, and that law is finally interpreted so that the interest or other loan ~harges collected or to be collected in connection with the Loan exceed the permitted linfits, then: (a) any~ such loan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower wlfich exceeded permitted linfits will be refunded to Bo~;rower. Lender may choose to make tiffs refund by reducing the principal owed uuder the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prepayment charge (whether or not a prepayment charge is provided for m~der the Note). Borrower's acceptance of any such refund made by direct payment to Borrower will constitute a waiver of any right of action Borrower might have arising out of such overcharge. 15.. Notices. All notices 'given by Borrower or Lender in co~mection with this Security fustrument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to 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 address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrolver shall only report a change of adth'ess through that specified procedure. There may be only one desig~Uated notice address under this Security Instrument at any one time. Any notice to Lender shall be giveh by delivering it or by mailing it by first class mail to Lender's address stated herein mfless Lender has designated another address by notice to Borrower. Auy notice in comxection with this Security Instrument shall nnt be deemed to have been given to Lender until actually received by Lender. If any notice required by tiffs Security Instrument is also required under Applicable Law, the Applicable Law re~ uirement will satisfy the correspondiug requirement under this Security Instrument. (~-6(WY) (0006) Page lo o~ ~ Form 3051 1/01 16. Gnverning Law; .Severability; Rules of Construction. This Security Instrument shall be governed by federal law and ~e law of ~e jurisdiction in which die Property is located. All rights and obligatio]~ contained in flfi~ Security h~trument are subject [o any requirements and limitations of Applicable Law. Applicable Law nfight explicitly or implicitly allow d~e parties [o agree by contract or i[ nfigh~ be silenh bu~ such sil¢~nce shall not be co~med as a prohibition agai]~ agreement by coulracL In · e ev~n~ fl~a~ any provision or claUse of dfis Security Instrument or file Note conflicts wid~ Applicable Law, such conflic~ shall no~ ~affect off, er pmvisioz~ of dfis Security h~mment or ~e No~¢ which can be given .effect wifl~out ~e convicting provision. As used in tiffs Securi::y Instrument: (a) words of tb~ nmsculine gender ~mll mean and include corresponding neuter words or words of fl~e feldene gender; (b) words in d~e singular shall mean and include ~e plural and vice v:~rsa; and (c) ~e word "nmy" gives sole discretion wid~ou~ any obligation m take any action. lf. Borrower's Copy. Bo~ower shall be given one copy of d~c Note and of tiffs Security Instrument. 18. Transfer of the Property or a Beneficial ln~erest in Borrower. As used in ~is Section 18, "Interest in ~e Property" ~nea~ any legal or beneficial interest in fl~e Property, including, but not li~ted to, those beneficial interests tra~ferred in a bond for deed, contract for deed, ixmtalllnent sales contract or escrow agreement, fl~e intent of which is ~e tra~fer of title by Borrower at a ~ture date to a purchaser. If all or any part of fl~e Property or any Interest in ~e Property is sold or transferred (or if Borrower is not a ~tural person and a beneficial interest in Borrower is sold or tra~t~rred) wifl~out Lender's prior written cogent, Lender nmy require inunediate payment iu ~ll of all sun~ secured by tiffs Security I~tmment. However, ~is option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises tiffs, option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less ~han 30 days from ~e date fl~e notice is given in accordance wifl~ Section 15 wiflfin which Borrower must pay all sums secured by tiffs Security Instrument. If Borrower fails to pay fl~ese sunm prior to fl~e expiration of ~is period, Lender nmy invoke any remedies pernfitted by tiffs Security Instrument wi~out Parfl~er notice or denmnd on Borrower. 19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security h~tmment discontinued at any time prior to ~e earliest of: (a) five days before sale of fl~e Property pursuant to any power of sale contained in tiffs Security I~tmment; (b) such ofl~er period as Applicable Law might speci~ for fl~e ternfi~mtion of Borrower's right to telerate; or (c) entry of a judgment enforcing tiffs Security Instrument. Those conditions are ~at Borrowe::: (a) pays Lender all sm~ which fl~en would be due under tiffs Security Instrument and fl~e Note as if no acceleration had occurred; (b) cures any dethult of any off,er cove~mnts or agreements; (c) Pays all expenses incurred in enforcing ~is Security Iustmment, including, but not linfited to, reasmmble attorneys' fees, property inspection and valuation fees, and. off,er fees incurred for fl~e pu~ose of protecting Lendeg.'s interest in fl~e Property and rights under tiffs Security h~trument; and (d) takes such action as Lender :~y reaso~mbly require to assure flint Lender's interest iu fl~e Property and rights under flfi~ Security Ins'tmment, and Borrower's obligation to pay fl~e SUl~ secured by tiffs Security Instrument, shall continue u~.~changed. Lender ~y require fl~at Borrower pay such reinstatement sums and expenses in one or more of'd~e tbllowing forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, ba~ check, ~reasurer's check or cashier's check, provided any such check is drawn upon an i~titution whose deposits are i~ured by a federal agency, instrumentality or entity; or (d) Electro~fic Funds Transfer. Upon rei~tvtement by Bo~ower, tiffs Security Instrument and obligatio~ secured hereby shall re~in ~lly effective as if no acceleration had occurred. However, tiffs right to rei~mtate shall not apply in ~e case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Grievance. The Note or a partial interest in fl~e Note (togefl~er wifl~ ~is Security Instrument) can be sold one or more times wi~out prior notice to Borrower. A sale ~ght res~fit in a change in fl~e entity (knowu as ~e "Loan Servicer") fl~at collects Periodic Payments due under ~e Note and tiffs Security Instrument and performs o~er mortgage loan servicing obligatio~ m~der fi~e Note, tiffs Security I~tmlnent, and Applicable Law. There also might be one or more changes of fl~e Loau Servicer 'unrelated to a sale of fl~e Note. If fl~ere is a change of ~e Loan Servicer, Borrower will be given written notice of fl~e change which will state ~e ~me and address of the new Loan Servicer, ~e address to which payments should be nmde and any off,er infornmtion ~SPA Initials: ~ ~6(WY) ~ooo~) P~ ~ of ~[ ~ Form 3051 1/01 requires in com~ection with ~. notice of transfer of servicing. If tile Note is sold and thereafter the Loan is serviced by a Loan Servicei' other than the purchaser of the Note, the inortgage loan servicing obligations to Borrower will remain witlll [he Loan Servicer or be transferred to 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 m~mber of a class) that arises front the other party's actions pursuant to this Security Instrument or that ai~leges that the other party has breached ally provision of, or any duty owed by reason of, this Security [nstrmnent, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirmnents of Section 15) of such alleged breach and afforded the other party hereto a reasom~ble 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 opportmfity to take corrective action provisions of this Section 20. 21. Hazardous Substauces. As used in fids Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Envirorm~ental Law and the following substances: gasoline, kerosene, other flannnable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, aud radioactive materials; (b) "Enviromnental Law" means federal laws and laws of file jurisdiction where the Property is located that relate to health, safety or enviromnental protection; (c) "Enviromucntal Cleanup" includes any response action, remedial action, or r~moval action, as defined in Enviromnental Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cau,Je or pernfit the presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to rel'ease any Hazardous Substances, on or in fl~e Property. Borrower shall not do, nor allow anyone else to do,~ anything affecting the Property (a) that is in violation of any Enviromnental Law, (b) which creates an l~nviromnental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage ou the Property of small quantities of Hazardous Substances flint ~,re 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, de~nand, lawsuit or other action by any govermnental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Environmental Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any Hazardous St~bstance, and (c) any condition caused by the presence, use or release of a 'Hazardous Substance which adversely affects the value of file Property. If Borrower learns, or is notified by any govenanental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance 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 Enviromnental Cleanup. (~)~-6(WY) (ooo61 Page 12 o~ ~s Form 3051 1/01 initials: ~=~'~ NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Reme~]ies. Lender shall give notice to Borrower prior to acceleration following Borrower's breach of any :oVenant or agreement in this Security Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (a) the default; (b) the action required to cure the default; (c) a {late, not less than 30 days from 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 inthe notice may result in acceleration of the sums secured by this Security Instrument and sale of the 'Property. The notice shall further, inform Borrower of the right to reinstate after acceleration and the right to bring a conrt action to assert the non-existence of a default or any other defense: of Borrower to acceleratiou and sale. If the default is not cured on or before the date specified in tine notice, Lender at its option may require immediate payment in full of all sunts secured by this secarity Instrument witlmut further denmnd and may invoke the power of sale and any other remedies permitted by .Applicable Law. Leuder shall be entitled to collect all expenses incurred in pnrsuing the remedies provided in this Section 22, including, but not limited to, .reasonable attorneys' fees an'd costs of title evidence. If Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in posses:don of the Property, if differeot, iu accordauce 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 the Property shall be sohl iii the manner prescribed by Applicable Law. Lender or its designee may purchase the Property at auy sale. The.proceeds of the sale shall be applied in the following order: (a) to all expenses of the sale, includiug, 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. 23. Release. Upon payment of all sums secured by tiffs Security Instru~nent, Lender shall release this Security Instrument. Borrower shall pay any recordation costs. Lender {nay charge Borrower a fee for releasing this Security Instrument, but only if fl~e fee is paid to a flfird party for services rendered and fl~e charging of fl!e fee is permitted under Applicable Law. 24. Waivers. Borrower. releases and waives all rights under and by virtue of fl~e homestead exemption laws of Wyoming. (2~-6(WY) (ooo~) I Page 13 of 15 Form 3051 1/01 3,,'36 BY SIGNING BELOg/, Borrower accepts and agrees to the terms and covenants contained in tiffs Security Instrument and in any Rider executed by Borrower and recorded wifl~ it. Witnesses: DORAN FLUCKIGE~~ (Seal) -Borrower TAMBI FLUCKIGER ~ -Borrower (Seal) -norrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (~6(WY) ~ooo6! Page 14 el~ 16 Form 3051 1/01 STATE OF WYOMING, LIMCOLN by The foregoing instrument ,vas ackmowledged before me this DORA~ FLUCKIGER ANE TAMBI FLUCKIGER County ss: My Commission Expires: (~-6G{WY} {0006! P~ge 16 of 1~ nitials. Form 3051 1/01