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HomeMy WebLinkAbout899891:;5. :.;:': 5':.:: .- ...... · '.:..' ', .. Return To: 899891 Prepared By: Kris Schneiter Rr:. ,',ciVE D LINOOLN COUNTY CLERK .[Space Above Tiffs Lhie For Recording Data] MORTGAGE MIN 1000492-0001598339-5 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 this document are also provided in Section 16. (A) "Security Instrument" mea~s this document, which is dated May 28. 2004 together with all Riders to this document. (B) "Borrower" is Mi chae] R Straw and Reba Straw, Husband and Wi~e Borrower is the mortgagor under this Security Instrument. (C) "MERS" is Mortgage Electronic Registration Systems, Inc. MERS is a separate corporation that is acting solely as a nominee for Lender and Lender's successors and assigns. MERS is the mortgagee under this Security Instrument. MERS is organized and existing 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. STRAW. M. AF 1598339 WYOMING-Single Family-Fannie Vial/Freddie Mac UNIFORM INSTRUMENT WITH MERS II~®-6A(WY) {ooo5).o~ Pa0e, of 15 MW 05,00.01 Initials; --~. ~..~ VMP MORTGAGE FORMS - 1800}521-1291 0 Form 3051 1/01 (D) "Lender" is Major Mortgage Lender is a A Wyoming Coh'poPati on organized and existing under the l~.ws of Lender's addressis 6101 Yellowstone Road LL17. Wyoming Cheyenne. WY 82009 (E) "Note" means the promissory ~lote signed by Borrower and dated May 28. 2004 The Note states that Borrower ~gwe"s Lender Seventy Eight Thousand and no/100 Dollars (U.S. $ 78. 000.00 ) plus interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay the debt ih full not later than July 1. 2024 (F) "Property" means the property that is described below under.tl~e heading "Transfer of Rights in the Property." (G) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due tinder the Note, and all sums due under this Security Instrument, plus in'terest. (H) "Riders" means all Riders to this Security Instrument that are executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: [-'-] Adjustable Rate Rider ~-~ Condominium Rider ~ Second Home Rider ~-] Balloon Rider [--~ Planned Unit Development Rider ~] 1-4 Family Rider ~1 VA Rider F-'] BiWeekly Payment Rider ~ Other(s) [specifyl (I) "Applicable Law" means all controlling applicable federal, state and local statutes, regulations, ordinances and administrative ,i'ules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opiniiJris. (J) "Community Association 'Due~, Fees, and Assessments" means all dues, feas, assessments and other charges that are imposed on, Borrower or the Property by a condominium association, homeowners association or similar organization. (K) "Electronic Funds Tran~ifer" means any transfer of funds, other than a transaction originated by check, draft, or similar' paper instrument, which is initiated through an electronic terminal, telephonic instrument, computer, or mag~etic tape so as to order, instruct, or authorize a financial institution to debit or credit an account. Such term includes, but is not limited to, point-of-sale transfers, automated teller machine trm~sactions, transfers initiated by telephone, wire transfers, and automated clearinghouse transfers. (L) "Escrow Items" means thcse it,:ms that are described in Section 3. (M) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than .insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or destruction of,: the Property; (ii) conde~rmation or other taking of all or any part of the Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or onfissions as to, the value and/or condition of the l:roperty. (N) "Mortgage Insurance" means'insurance protecting Lender against the nonpayment of, or default the Loan. (O) "Periodic Payment" means the regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any mnounts under Section 3 of this Security Instrument. (P) "RESPA" means the RealEstate 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 might be amended from time to time, or any additional or successox legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and 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. STRAW. M. AF 1598339 0 (~)~-6A(WY} 1oo05).o~ Page 2 of 15 Form 3051 1/01 (Q) "Successor in Interest of'Borrower" means any party that has taken title to the Property, whether or not that party has assumed Bo~'rower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures tO Lende?: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; ~nd (ii) the performance of Borrower's covenants and agreements under this Security Instrument and tl'e Note. For this purpose, Borrower does hereby mortgage, grant and convey to MERS (solely as no~mnee for Lender and Lender's successors and assigns) and to the successors and assigns of MERS, with power of sale, the following described property located in the County of Li ncol n : [Type of Recordiag Iurisdiction] [Name of Recording Iurisdiction] Lot 12 of Block 4 of the Fairview Townsite 3rd Filing, Lincoln County. Wyoming as described on the official Plat No, 221-C filed July 7. 2003 as Instrument No. 891363 of the records of the Lincoln County Clerk Parcel ID Number: 12-3119-10-2-06-036.00 44 Fairview South Co. Rd. 143 Fai rvl ew ("Property Address"): which currently has the address of [Street] [City] , Wyoming 83119 [Zip Code] TOGETHER WITH all thc 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 "Property." Borrower understands and agrees that MERS holds only legal title to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or custom, MERS (as notninee fc~r 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 F, end~.r including, but not linfited to, releasing and canceling this Security Instrument. 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 the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claims and demands, subject tc.. an)' 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 instrument covering real property. STRAW. M. AF (~-6AIWY) ~ooo~t.ol 1598339 ,.,.,.,?¢~ ~ 0 Page3of 15 Form 3051 1101 UNIFOR~ COVENANTS. ~orrower and Lender covenant ~.cl agree as follows: 1. Payment of PrinciFial, iInterest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments :lue under the Note and this Security Instrument shall be made in U S currency. However, if any check 0r other ~nstrument received by Lender as payment under the Note or this Security Instrument is returned 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) cashl; (b,) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided.an~ such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, o? entity; or (d) Electronic Funds Transfer. Payments are deemed rei;eived by Lender when received at the location designated in the Note or at such other location as may be designated by Lender in accordance with 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 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 payments at the time such payments are accepted. If each Periodic p~ym~nt is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. L.:nder may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrowerldoes not do so within a reasonable period of time, Lender shall either apply such funds or return them to [;orr0wer. 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 this Security Instrument or perfornfing the covenants and agreements secured by this Security Instrument. 2. Application of Pay~nenls or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the lbllowing order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) amounts due under Section 3. Such payments shall be applied to each Pericd~c 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 balanc~ of the Note. If Lender receives a payment from Borrowe{ for a delinquent Periodic Payment which includes a sufficient amount to pay any late :barge due, the payment may be applied to the delinquent payment and the late charge. If more than one Feriodic Payment is 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 that an3' excess exists alter 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 prepayment charges and then as described in the Note. Any application of payrrents, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shall not extend or postpc':ne the due date, or change the an~ount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due Under the Note, until the Note: is [,aid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) taxes and assessments'and other items which can attain priority over this Security Instrument as a lien or encumbrance on the P:::ope:ty; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurm~ce required by Lender under Section 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan, Lender may require that Community Association Dues, Fees, and Ass.~ssments, 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. Borrower 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 Fands 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 STRAW. M. AF i~-6A(WY) Iooo5).o~ 1598339 0 Page 4 o1' 15 Form 3051 1/01 ",'-.'715 due for any Escrow Items for 'Ivhich payment of Funds has been waived by Lender and, if Lender requires, shall furnish to Lender receipts e,~,idencing such payment within such time period as Lender may require. Borrower's obligation to make suzh payments and to provide receipts shall for all purposes be deemed to be a covenant and agreement cantained in this Security Instrument, as the phrase "covenant and agreement" is used in Section 9. If Borrowe: is obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount.due fo'r an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrow'er shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrow Items at any time by a notice given in accordance with Section 15 m~d, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then requir,:d under this Section 3. Lender may, at any time, collect and hold Funds in an an~ount (a) sufficient to permit Lender to apply the Funds at the time specified u~der 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 and reasonable estimates of expenJitures of future Escrow Items or otherwise in accordance with Applicable Law. The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentality, or entity (inclading Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. Le:~der shall apply the Funds to pay the Escrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on the Funds and Applicable Law pe~'mits Lender to make such a charge. Unless an agreement is made in writing or Applicable Law requires in:erei;t to be paid on the Funds, Lender shall not be required to pay Borrower any interest or earnings on th~ Funds. Borrower and Lender can agree in writing, however, that interest shall be paid on the Funds. Lend.er shall give to Borrower, without charge, an annual accounting of the Funds as required by RESPA.'. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess fundsI in :-~ccordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, LeK:let 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 de.ficiency 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 make up the deficiency in accordanc,.: with RESPA, but in no more than 12 monthly payments. Upon payment in full of all ~ums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens. Bo:':rou!er shall pay all taxes, assessments, charges, fines, and impositious attributable to the Property whichican attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if va,.y, and Conm~unity Association Dues, Fees', 'and Assessments, if any. To the extent that these items are !Esc[ow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly dis:harge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing tothe payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long a~ Borrower is performing Such agreement; (b) contests the lien in good faith by, or defends against enforcemer:.t of the lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the STRAW. M. AF (~)~-6AIWY) (ooo~.o~ 1598339 0 Paoe5~5 Form 3051 1101 lien. Within 10 days of the dat,¢ or which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth al~'ove 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 Insurance. ,Borrower shall keep the improvements now existing or hereafter erem ed on the Property insured against 16ss ~by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maint:~ined in the amounts (including deductible levels) and for the periods that Lender requires. What Lender:reqaires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrk':r Foviding the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower to pay, ~n corraection with this Loan, either: (a) a one-time charge for flood zone determination, certification and tr~cking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges each time remappings or similar changes occur which reasonably nfight affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed'by the Federal Emergency Management Agency in com~ection with the review of any flood zone determination resulting from an objection by Borrower. If Borrower fails to maintain any of the coverages described above, Lender 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 hav;~ 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 Borrower requesting payment. All insurance policies require!d by Lender and renewals of such policies shall be subject to Lender's right to disapprove such poliq:ies,I shall include 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, Boi'rower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower c!btaiins any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, l~he Property, such policy shall include a standard mortgage clause and shall name Lender as mortgage,!.~ 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 agree in writing, any insurance proceeds,i whether or not the underlying insurance Was required by Lender, shall be applied to restoration or re~air 9f the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. ~uring such repair and restoration period, Lender shall have the right to hold such insurance proceeds imtil. Lender has had an opportunity to inspect such Property tO ensure the work has been completed to ~Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disbursq proceeds for the repairs and restoration in a single payment or in a series of progress payments as the wcrk i.~ completed Unless an agreement is made in writing or Applicable Law requires interest to be paid on ~Ucl~ insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such ~.prot:eeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid oui. of !he insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not :economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to tlm sums secured by this Security Instrument, whether or not then due, with STRAW. M. AF (~-6AIWY) Iooo~}m 1598339 0 Page6of 15 Form 3051 1101 the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the I?roperty, Lender may file, negotiate and settle any available insurance claim and related matters. If Bor?ower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to s~ttle a claim, then Lender may negotiate and settle the claim The 30-day period will begin when the notice ~s given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exc'eed 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 po!icies 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 an~ounts unpaid under t!~e 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 Instrument and shall continue to occupy the Property as Borrower's principal 'esidence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which 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; Inspections. Borrower shall not destroy, damage or impatr the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not BorroWer is residing in the Property, Borrower shall maintain the Property ~n order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Sectic'n 5 that repair or restoration is not economically feasible, Borrower shall promptly-repair the ProPerty if~ damaged to avoid further deterioration or damage. If insurance or condenmation proceeds are p~:.id in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repair, ing or restoring the Property only if Lender has released proceeds for such purposes. Lender may disburs(~ proceeds for the repairs and restoration in a single payment or in a series of progress payments as the wor!: is'gompleted. If the insurance or condenmation proceeds are not sufficient to repair or restore the Propmty, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration. Lender or its agent ma3, make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may insgect 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, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false, misleading, or inaccorate information or statements to Lender (or failed to provide Lendi~r with material information) in connection with the Loan. Material representations include, but a!re rot limited to, representations concerning Borrower's occupancy of the Property as Borrower's principal iesidence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (a) Borrower fails to perform ~he covenants and agreements contained in this Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's interest 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 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 protectiog and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's action., cm'~ include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable STRAW. M.AF 1598339 0 (~-6A(WY) 1ooo5).o~ Page 7 of 15 ' -- Form 3051 1/01 attorneys' fees to protect its i:nt0~rest in the Property and/or rights under this Security Instrument, including its secured position in a bafikruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property to mak'.: repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate buildir~g or other code violations or dangerous conditions, and have utilities turned on or off. Although Lender ri:~a~~, take action under this Section 9, Lender does not have to do so and is not under any duty or obligation.todo so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this Section 9. Any amounts disbursed~ b~, Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These mnounts shall bear interest at the Note rate from the date of disbursement and shall be p{':yable with such interest, upon notice from Lender to Borrower requesting payment. ' If this Security Instrument" is 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 i.a writing. 10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan, Borrower shall pay the preniisarrs required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance cove:age required by Lender ceases to be available from the mortgage insurer 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 equiwdent 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 the amount of the separately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non-refundable, notwithstandinl:i the fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and for the period that Lender requires) provided by an insurer sele~izted 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 ~naJdng the Loan and Borrower was require~l to make separately designated payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insuranc'e ~n effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Ingurance ends in accordance with any written agreement between Borrower aud Lender providing for such termination, or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's olsligation to pay interest at the rate provided in the Note. Mortgage Insurance reimb~.~rses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evalu~ate their total risk on all such insurance in force from time to time, and may enter 'into agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions that: are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agre)mmts may require the mortgage insurer to make payments using any source of funds that the moitgage irisurer may have available (which may include funds obtained from Mortgage Insurance premiums). " As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affili'ate of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be cht~racterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or mo::lif].dng the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of'Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund. STRAW. M. AF 1598339 0 (~-6A{WY) 1ooo51.o~ : Pao. ~ of ~5 Form 3051 1/01 (b) Any such agreemegtslwill not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under ith~5 Homeowners Protection Act of 1998 or any other law. These rights may include the right to ?eceive certain disclosures, to request and obtain cancellation of the Mortgage InSurance, to have the Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insur!mce premiums that were unearned at the time of such cancellation or termination. ~ 11. Assignment of Mii?cellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid Ilo Lender. If the Property is dama~edi; such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoratibn '.or repair is economically feasible and Lender's security is not lessened. During such repair and restor:~tti6n period, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had an opp6rtunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provide'd that such inspection shall be undertaken promptly. Lender may pay for the repairs and restoration in a single disbursement or in a series of progress payments as the work is completed. Unless an agreememis 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 earnings on such Miscellaneous Proceeds. If th~~. restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with tl~e excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the eveut of a total taking, destruction, or loss in 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 Borrower. . . In the event of a partial taking, destruction, or loss in value of the Property. in which the fair market value of the Property irmnediat!:;ly before the partial taking, destruction, or loss in value is equal to or greater than the amount of the sums secured by this Security Instrument immediately before the partial talcing, destruction, or loss i;~ 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 followin, g fralztion: (a) the total amount of the sums secured immediately before the partial taking, destruction, or loss in value divided by (b) the fair market value of the Property inunediately before the partial" taking, destruction, or loss' in value. Any balance shall be paid to Borrower. In the event of a partial itaking, destruction, or loss in vah,e of the Property in which the fair market value of the Property inmaedSately before the partial taking, destruction, or loss in value is less than the amount of the sums secured !immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwfse agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the PropertY is aban'doned by Borrower, or. if, after notice by Lender to Borrower that the Opposing Party (as defined in the next sentence) offers to make an award to settle a claim for damages, Borrower fails to respond to Lender Within 30 days after the date the notice is given, Lender is authorized to collect and apply the MisclelL~eous Proceeds either to restoration or repair of the Property or to the sums secured by this Security Instrument, whether or not then due. "Opposing Party" means the third party that owes Borrower Miscellaneo:as Proceeds or the party against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in defau!:t.if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could re,';uk in forfeiture of the Property or other material impairment of Lender's interest in the Property or rightsl under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reiust'~te 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 material impairment of Lender's inter6st in the Property or rights under this Security Instrument. The proceeds of any award or claim for damalg:es that are attributable to the impairment of Lender's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceed; that are not applied to restoration or repair of the Property shall be applied in the order provided igor in Section 2. STRAW. M. AF (~)~-6A(WY) Iooo~il.o~ 1598339 0 Page Sol 15 Form 3051 1/01 12. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of mncrtization of the sums secured by this Security Instrument granted by Lender to Borrower or any Successo:.' 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 an~ortization of the sums sec~ed by this Security Instrument by reason of any demand made by the original Borrower or any Successors i'n Imerest of Borrower. Any forbearance by Lender in exercising any right or remedy including, without limitation, Lender's acceptance of payments from third persons, entities or Successors in Interest of BorrloWer or in amounts less than the amount then due, shall not be a waiver of or preclude the exercise of any r:ight or'remedy. 13. Joint and Several Lii~bility; 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-signing this Security Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the terms of this Security Instrun~ent; (b) is not personally obligated to pay the sums secured by this Security Instrument; and (c) agrees fi:mt' Lender and any other Borrower can agree to extend, modify, forbear or make any accommodations Witlt regard to the terms of this Security Instrument 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 Instrument. Borrower shall not be released from Borrower's obligations and Ii'ability under this Security Instrument unless 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. Lend,~.r 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 limited to, attorneys' fees, property inspection and valuation fees.' In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be (~onstrued as a prohibition on the charging of such fee. Lender may not charge fees that are expressly prohibiJed by this Security Instrument or by Applicable Law. - If the Loan is subject to a law which sets maximum loan charges, and that law is finally interpreted so that the interest or other loa~' charges collected or to be collected in connection with the Loan exceed the permitted limits, then: (a) any :;uch 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 which exceeded permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed under the Note or by.!'making a direct payment to Borrower. If a refund reduces principal, the reduction will be treated asI a partial prepayment without any prepayment charge (whether or not a prepayment charge is provided for under 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 connection with this Security Instrument must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to have been given to Borrowe?.when mailed by first class mail or when actually delivered to Borrower's notice address if sent by othe:r.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 ch:rage of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borr.')w2r shall only report a change of address through that specified procedure. There 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 noti'.ce required by this Security Instrument is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrument. STRAW. M. AF (~-6AIWY) ~ooo~).m 1598339 ,nid~Is':~ 0 Page 10 o¢ ~5 Form 3051 1101 16. Governing Law; Segerability; Rules of Construction. This Security Instrument shall be governed by federal law and th~ law of the jurisdiction in which the Property is located. All rights and obligations contained in this Security Instrument are subject to any reqmrements and limitations of Applicable Law Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silenct; shall not be construed as a prohibition against agreement by 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 Instrument or the Note which can be given effect without the conflictihg provision. As used in this Security .Instrument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice vt, fsi; and (c) the word "may" gives sole discretion without any obligation to take any action. 17. Borrower's Copy. [sorrower shall 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 18, "Interest in the Property" me~s any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests t[ansferred in a bond for deed, contract for deed, instalhnent 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 Interest in the' Property is sold or transferred (or if Borrower is not a natural person and a Veneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require imn~ediate payment in full of all sums secured by this Security Instrument. However, this o'ption shall not be exercised by Leuder 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 t!.~an 30 days from the date the notice is given in accordance with Section 15 within which Borrower must!p~y all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiTation of this period, Lender may invoke any remedies pernfitted by this Security Instrument without ft'~rtl!er notice or demand on Borrower. 19. Borrower's Right 'to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the righ. to have enforcement of this Security Instrument discontinued at any time prior to the earliest of: (a) fiv~ c'ays before sale of the Property pursuant to any power of sale contained in this Security Instrument; (b).su2h other period as Applicable Law might specify for the termination of Borrower's right to reinstate':; ~r (c) entry of a judgment enlbrcing this Security Instrument. Those conditions are that Borrower. (a) pays Lender all sums which then would be due .under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all experses incurred in enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation tees, and other fees incurred for the purpose of protecting Lender's interest in the Property 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'zhanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of lhe' following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, trersurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits ar6 insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstaement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as it' no acceleration had occurred. However, this right'to reiustate shall not apply in the case of acceleration '!ander Section 18. 20. Sale of Note; Change .'of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result lin a change in the entity (known as the "Loan Servicer") that collects Periodic Payments due unde~ the Note and this Security Instrument 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 L¢an Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be giver' written notice of the change which will state the name mid address of the new Loan Servicer, the address to which payments should be made and any other information RESPA STRAW, M. AF ~-6AIWY) Iooos}.o~ ~ 1598339 0 Page 1 I of 15 Form :3051 1/01 requires in connection with ~: notice of transfer of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer 9ther than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain witl-.~ the 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 I.ender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security Instrument or that arlegqs that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach and afforded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a time period which must elapse before certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, zerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmental Law" meres federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or rt'imoval action, as defined in Environmental Law; and (d) an "Environmental 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 threaten to release any Hazardous Substances, 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) which creates an Environmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a dondition that adversely affects the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage on the Property of small quantities of Hazardous Substances that a::e generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not linfited 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 Eiavironmental 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 Substance, and (c) m~y condition caused by the presence, use or release of a Hazardous Substance which ~:dversely affects the value of the Property. If Borrower learns, or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance ~ffecdng the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordan:e with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Clei~nup. STRAW. M. AF (~}~-6A(WY) (ooo5~,o~ 1598339 0 ~n,t,al~: ~ ~ Page 12 al 15 Form 3051 1/01 NON-UNIFORM COVENANTS. Borrower and Lender h~rther covenaa~t and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following 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 specify: (a) the default; (b) the action required to cure the default; (c) a date, not less than 30 days from the date the notice is given to Borrower, by which the default must be cured; and (d) that failure to cure the default on or before the date specified in the notice nmy result in acceleration of the sums secured by this Security Instrument and role of the Property. The notice shall further inform Borrower of the right to reinstate after acceleration and the right to bring a court action to assert the non-existence of a default 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 full of all sums secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, including, but not linfited to, reasonable attorneys' fees and costs of title evidence. If Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possession of the Property, if different, in accordance with Applicable Law. Lender shall give notice ol the sale to Borrower in the manner provided in Section 15. Lender shall publish the notice of sale, and the Property shall be sold in tile manner prescribed by Applicable Law. Lender or its designee ~ay purchase the Property at any sale. The proceeds of the sale shall be applied in the following order: (a) to all expenses of tile sale, including, but not limited to, reasonable attorneys' fees; (b) to all sums secured by this Security Instrument; and (e) any excess to the person or persons legally entitled to it. 23. Release. Upon paymem of all sums secured by 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 rendered and the charging of the fee is permitted ander Applicable Law. ~ 24. Waivers. Borrower :eleases and waives all rights under and by virtue of the homestead exemption laws of Wyoming. STRAW. M. AF 1598339 (~6AIWY) {O0OS}.m P~ge ~ 3 of ~ § 0 Form 3051 1101 BY SIGNING BELOW, Borrower accepts and agrees to /he terms and covenants contained in this Security Instrument and in any' Rider executed by Borrower and recorded with it. Witnesses: Mq-cha[1 t~ Straw -Borrower Reba'*~ ra~ - - (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower STRAW. M. AF (~6A(WYI Iooo5).Ol 1598339 Page 14 ot 15 Form 3051 0 1/01 STATE OF WYOMING, The foregoing instmme:~t was acknowledged before me this byMichael R Straw and Reba Straw 28th day of May, 2004 My Commission Expires: c:~.].~//~ ~J'& County of I~,~ Sta :eot (( Notary Pubhc STRAW, M. AF (~-6A(WY} (ooo5}.o~ 1598339 Page 15 of 1 § Form 3051 0 1/01