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HomeMy WebLinkAbout89999030391 (01) Return To: LOAN # 6634532177 FL9-700-01-01 JACKSONVILLE POST CLOSING BANK OF AMERICA 9000 SOUTHSlDE BLVD: BLDG 700, FILE RECEIPT DEPT. JACKSONVILLE, FL 32256 Prepared By: MARTIN KCSHIOL BANK OF AMERICA, N.A. 8300 NORMAN CENTER DRIVE #1000 BLOOMINGTON, MN 554371091 899990 RECEIVED [Space Above This I. ine For Recording Data] MORTGAGE LOAN # 6634532177 DEFINITIONS Words used in multiple sections of this document are dcfined 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 docnmen! are also provided in Section 16. (A) "Security Instrument" means this document, which is dated together with all Riders to th'is document. ~ ~ (B) "Borrower" is . [./~'///.-"DC" RICHARD W. SHUTES, a married man and Christian B. JUNE 04, 2004 Shutes,'a single:'man Borroweristhe morrgago~ underthisSecuritylnstrument. (C)"Lender"is BANK O~ AMERICA. N.A. Lender isa NATIONAL BANKING ASSOCIATION organized and existing tinder the laws of THE UNI TED STATES OF AMER I CA WYOMING - Single Family - FANNIE MAE/FREDDIE MAC UNIFORM INSTRUMENT Form 3051 1/01 CVWY 05/25104 1:56 PM 6634532177 Lender's address is 8300 NORMAN CENTER DR I VE # 10OO, BLOOM I NGTON, MN 554371091 Lender is the mortgagee under this Security Instrument. (D) "Note" means the prc:missory note signed by Borrowm' and dated JUNE 04, 2004 The Note states that Borrower owes Lender TWO HUNDRED FORTY E I GHI IHOUSANO AND 00 ! ] 00 Dollars (U.S. $ 248,000. CO ) plus interest. Borrower has promised to pay this debt ia regular Periodic Payments and to ~ay the debt in full not later than JULY 01, 2034 (E) "Property" means the ~roperty that is described below under thc heading "Transfer of Rights in the Property." (F) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges doe under the Not(;, and all sums due under this Security Instrument, plus interest. (G) "Riders" means all Riders to this Security Instrument that are executed by Borrower. The following Riders are to be ~xecuted by Borrower [check box as applicable]: Adjustable Rate Rider Balloon Rider VA Rider [--] Condominium Rider ~ Planned Unit Development Rider [~] Biweekly Payment Rider ~ Second Home Rider 1-4 Family Rider Other(s) [specify] (H) "Applicable Law" means all controlling applicable federal, state and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non-appeMable judicial opinions. (I) "Community Assovihtion Dues, Fees, and Assessments" means all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condominium association, homeowners aJsociation or similar organization. (J) "Electronic Funds Tiansfer" 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 magnetic 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 transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse-transfers. (K) "Escrow Items" meens those items that are described in Section 3. (L) "Miscellaneous Pro:eeds" means any compensation, settlement, award of damagesl or proceeds paid by any th,rd party (other than insurance proceeds paid under the coverages described in Section 5) roi': (i) damage to, or destruction of, the Property; (ii) condemnation or other taking of all or any pai-t of the Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or emissions as to, the value and/or condition of the Property. (M) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Periodic Payment"' means the regularly scheduled amount due for (i) principal and interest under the Note, pl:~s (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 regt:laqon, Regolation X (24 C.F.R. Pert 3500), as they might be amended from time to time, or an> additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RI~.SPA" 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. ~, 2 o~ ~ Form 3051 1/01 CVWY 05/25/04 1:56 PM 6634532177 (P) "Successor in Interes*' of Borrower" means any part), that has taken title to the Property, whether or not that party h{s assumed Borrower's obligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument szcures to Lender: (i) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under this 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] [Nam~ ~f Recording Jurisdiction] LOT 29, REES SUBDIVISION AS SHOWN BY THE OFF C IAL PLAT IHEREOF RECORDED SEPTEMBER 1, 1955 IN TFIE OFFICE OF THE RECORDER OF LINCOLN COUNTY, WYOMING, AND BE NG PAR-" OF THE NORTH HALF OF THE SOUTHEAST QUARTER (N~/2SE1/4) OF SECTICN 20, TOWNSHIP 37 NORTH, RANGE 118 WEST OF THE SIXTH PRINCIPAL MERIDIAN. ParcellD Number:37182o4o3o]8oo.9o3oo33 44 SPRUCE STREET ALPINE ("Property Address"): which currently has the address of [Street] [City] , Wyoming 83128 [Zip Cede] TOGETHER WITH ali the improvements now or hereafter erected on the property, and all easements, appurtenances, a'nd 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 ~s referred to in this Security Instrument as the "Property." BORROWER COVEN:ANTS 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 to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for national use and non-uniform covenants wit~ !imited variations by jurisdiction to constitute a uniform 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 under the Note. Borrower shall also pay Initial~: ~~ (~}®- 6(WY) (ooos) Pag' 3 o[ 15 3051 1/01 Ct/WY 0512510q 1:56 PM 6634532177 funds for Escrow Items pursuant to Section 3. Payments due tinder 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 unde~' the Note or this Security Instrument is returned to Lender unpaid, Lender may require that .ar~y 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) certifie(l check, bank check, treasurer's check or cashier's check, provided any such check is drawn u[on an institution whose deposits are insured by a federal agency, instrumentality, or entity: oi (d) Electronic Funds Transfer. Payments are deemezl received by Lender when received at the location designated in the Note or at such other lozation 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 insuffici'eat'to bring the Loan current, without watvcr 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 Payment is applied as of.its scheduled due date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal bala Ice 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 un,ler the Note and this Security Instrument or performing 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 following 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 Periodic Payment in the order in which it became due. Any remaining amounts :;hall be applied first to late charges, second to any other amounts due under this Security Instrument, and then to reduce the principal balance of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, eac'h 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 prepayment charges and then as descri'sed in the Note. Any application of payments, insurance proceeds, or Miscellaneous Proceeds to principal due under the Note shall not ,~xtend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") to provide for payment of amounts due for: (a) t~xes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) premiums for any and all insurance required by Lender tinder 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 ite~rs 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 Assessments, if any, be escrowed by Borrower, and such dues, fees and ass¢ssments shall be an Escrow Item. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this Section. Borrower shall pay Len:]er 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 (~)®-§(WY) (ooo51 Initials: ~*~ 4 o~ ~5 ~ P'6rm 3051 1/01 CVWY 05/25/04 1:,56 PM 6634532177 to pay to Lender Funds for' any or all Escrow Items at any time. Any such waiver may only be in writing. In the event of s't~;ti waiver, Borrower shall pay directly, when and where payable, the amounts due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender requires, shall f~ rnish to Lender receipts evidencing such payment within such time period as Lender may rec:uire. Borrower's obligation to make such payments and to provide receipts shall for all puff ~ses 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 ~tems directly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow ~tem, Lender may exercise its rights under Section 9 and pay such amount and Borrower sh~ll then be obligated under Section 9 to repay to Lender any such amount. Lender may revo':e the waiver as to any or all Escrow Items at any time by a notice given in accordance with Sgc~ion 15 and, upon such revocation, Borrower sh~ll pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lender may, at any lime, collect and hold Funds in an amonnt (a) sufficient to permit Lender to apply the Fun. s at the time specified under RESPA, and (b) not to exceed the maximum amount a lender can reqmre nnder RESPA. Lender shall estimate the amount of Funds due on the basis of currem, data and reasonable estimates of expenditures of furore Escrow ltems or otherwise in accordance "vith Applicable Law. The Funds shall be hdd in an institution whose deposits are insured by a federal agency, instrumentality, or entity ~including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply the Vunds to pay the Escrow Items no later than the t me specified under RESPA. Lender shall not charge Borrower for holding and applying the i'unds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays ~orrower interest ou the Funds and Applicable Law permits Lender to make such a charge. Unless on agreement is made in writing or Applicable Law requires interest to be paid on the Funds, L~:;nder shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and i.e,:der can agree in writing, however, that tnt~rest shall be paid on the l:~unds. Lender shall give ~:o Borrower, without charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If there is a shortage of Funds held in escrow, as defined un&' ~ESPA, Lender 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 ~'aan 12 monthly payments. If there is ~ deficiency of Funds held in escrow, as defined under 'RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lent:er the amount necessary to make up the deficiency in accordance with RESPA, but in no more th,::n 12 monthly payments. 'Upon payment in full fi'all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Fu.tds held by Lender. 4. Charges; Liens. Borrbwer shall pay all taxes, assessments, charges, fines, and impositions attributable to the Properw which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any, and Community Association Dues, Fees, and Assessments, if any. 'Fo the extent that these items are Escrow Items, Borrower shall pay them in the manner provided in Section 3. Borrower shall prom. l>Jy discharge any lien which has priority over this Security Instrument unless Borrower: (a) agreea in writing to the payment of the obligation secured by the lien in (~®-6(WY) (0005) CVWY 05/25/04 1:5~; PM 663~1532117 e,.. ~ o~ ~5 vorm 3051 1/01 ...... a manner acceptable to Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good |aith by, or defends against enfo,'cetnent 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 tmtiillduch proceedings are concluded; or {c) secures from the holder of the lien an agreement satisfactory to Lender st~bordinating thc lien to this Security Instrument If Lender determines that a.y part of the Property is subiect to a lien which can attain prinrity over this Security Instrument, L~ader may give Borrower a not,cc identifying the lien. Within 10 days of the date on which that n~tice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above! it: this Section 4. Lender may require:Bi~rrower to pay a one-time charge for a real estate tax vcrifica'tion and/or reporting service n~e~d by Lender in connection with this Loan 5. Property Insurance. Borrower shall keep the improvements now existing or he,'eafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained in the amonnts {including deductible levels) and for:t:~e periods that Lender requires. \Vhat Lender requires pursuant to the preceding sentences can change during the term of the l.oan. The iast~rance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not bc exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan either: (a) a one-time charg~ for flood zone determination, certification and tracking services; or (b) a one~time charge for ~lood zone determination and certification services and subsequent ch~.rges each time remappings or similar changes occur which reasonably migi~t affect such determination or certification. Borrower shall also be responsible Ior the payment of any fees impos.~.d by the Federal Emergency Ma,mgement Agency i,t connection with the revtew of any flood zoa~: determination resulting from an objection by Borrower. If Borrower fails to ~haintain any of the coverages described above. Lender may obtain insurance coverage, at Ler, tier's option and Borrower's expense. Lender is under no obligation to purchase any particular ty~e or amount of cuverage. Therefore, such coverage shall cover Lender, but might or might no't [:rotect Borrower, Borrower's erst. fy in the Property, or thc con~ents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was previously in efii'ect. Borrower acknowledges that the cost of the insurance coverage so obtained might significant.l:, exceed the corn of insurance that Borrower coold have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such inlercst, upon notice from Lender to Borrower requesting payment. All instirance policie~ .required by Lender and renewals of such.policies shall be sobject to Lender's right to disappr~'~e such policies, shall inch,de 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 ce;tit'icates. If Lender requires, Bo,'rower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise rtquired by Lender. for damage to, or destruction of. the Property. such policy shall include a stanslard mortgage clause and shall name Leader as mortgagee and/or as an additional loss payee. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof c f loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall b~. applied to restoration or repair of the Property, if the restoration or repair is economically fea:;ible and Lender's security is not lessened. During such repair and Initials: ~--~~ (~®-6(WY) looo~} _. ~,., ~ o~ ~ Form 3051 1/01 CVWY 05125104"i:.5E PM 663,'1532177 restoration period, Lender~ shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspe~:t such Property to ensure the work has been completed to I,ender's satisfaction, provided that. sbch inspection shall be undertaken promptly Lender may disburse proceeds for the repairs an] restoration in a single payment or in a series of progress payments as the work is completed Unless an agreement is made in writing or Applicable Law requires interest to be paid on sucl insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on sudh proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance prdceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, x'~it'h the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2. If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30~'day period will begin when the notice ~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 ooi to exceed the amounts unpaid under the Note or this Secc~nty Instrument, and (b) any other of Borrower's rights (other than the right to any refund of tnearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the insurance prozeeds either to repair or restore die Property or to pay amounts unpaid under the Note or this Sec"~rity Instrument, whether or not then due. 6. Occupancy. Bor.-ower 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 residence 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 impair the Property, allow the Property to deteriorate or commit waste on the Property. ~rhether or not Borrower is residing in the Property, Borrower shall maintain the Property tn Order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Let':der 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 work is completed. If .the insurance or condemnation 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 ri.ay make reasonabie entries upon and inspections of the Property. If it has reasonable cause, Leeder may inspect the intorior 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 Loa~ 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 (~®- 6(WY) tooos} ~ Page 7 ol~ CVWY 05/25/0,:1 1:.~6 ~M 6634532177 Initials: 3051 1/01 with Borrower's knowledge or consent gave materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender with material information) in connection with the Loan. iMaterial representations include, but are not limited to, representations concerning Borrower's occ']pancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (a) Borro. we~r fails to perform the 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 rigl'~ts 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 ~o enforce laws or regulations), or {c) Borrower has abandoned the Property, then Lender m.~y do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security !n:~trument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest ~in the Property and/or rights under this Security InstrumenL inch]ding its secured position in a b~nkruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property-to make repairs, Change locks, replace or board up doors and windows, drain water from pipes, eli:minute building or other code violations or dangerous conditions~ and have utilities turned on or 'off. Although Lender may take action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taking ~ny or all actions authorized under this Section 9. Any amounts disbursed by Lender under this Sectiou 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disburse~aent and shall be payable, with such interest, upon notice from Lender to Borrower requesting pa3~ment.. If this Security Instrulment is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower a~:quires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agree.~ to the merger in writing. 10. Mortgage Insur~ nce. If Lender required. Mortgage Insurance as a condition of making the Loan, Borrower shall pay, the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mor~:gage Insurance coverage required by Lender ceases to be available from the mortgage insurer that Previously provided such insurance and Borrower was required to make separately designated payme~its toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously in effect, at a ':o~i~t substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in 5ff'ect, from an alternate mortgage insurer selected by Lender. If substantially equivalent M~)r~gage 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 rese)'ve in lieu of Mortgage Insurance. Such loss reserve shall be non-refnndable, notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and for the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained, and Lender requ:res separately designated payments toward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the premiums for ~~~arm 305 Initials; (~®-6(WY)(ooos) ', P'.o "o~ ~ I 1/01 CVW¥ 05125104 1:56 PM 663q532177 OS h}hlO i,_o .Mortgage Insurance, Borrower shall pay the premiums required to maintain Mortgage Insurance ~n effect, or. to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordar~ce with any written agreement between Borrower and Lender providing for such termination or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers ewluate their total risk on all such insurance in force from time to time, and may enter into agreerr eats with' other parties that share or modify their risk, or reduce losses. These agreements are on ter,'ms and conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These agreements may require the mortgage insurer to make payments.u~ing any source of funds that the mortgage insurer 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 affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized as) a portion of Borrower's payments for Mortgage lfsurance, in exchange for sharing or modifying the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive rein:mrance." Further: Ia) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage Insur',mce, 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. (b) Any such agree~rnen~s 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 recetve certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance terminated automatically, and/or to receive a ref'und of any Mortgage Iusurance premiums that were unb. arned at the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shaq be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if t.~e restoration or repair is economically feasible and Lender's security ~s not lessened. During such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds untii 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. Len~ler 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 agreement is made in writing or Applicable Lavi 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 the restoration or repair it; not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shill be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a tota 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 part: al taking, destruction, or loss in value of the Property in which the fair market value of the Prope:i'ty immediately before the partial taking, destruction, or loss in value is equal to or greater than th.: amount of the sums secured by this Security Instrument immediately before the partial taking, .destruction, or loss in 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 Proceeda multiplied by the following fraction: (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 Propert~' immediately before the partial taking, destruction, or loss in value. Any balance shall be paid o Borrower. initials: ~-6(WY} ~ooo~ , ' ~,~. ~o~ ~s I 1/01 £VW¥ 05125104 1:[6 ~k.t 6634532177 12'4 In the event of a parlial taking, destruction, or loss in value of the Property in which the fair market value of the Property immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately before th, partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether or not the sums are then due. If the Property is abgndoned 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 ':o respond to Lender within 30 days after the date the notice is given, Lender is amhorized to :ollect and apply the Miscellaueous 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" m~a~as the third party that owes Borrower Miscellaneous Proceeds or the party against whom Borrcwer has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgmen, t, could result in forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by causing the action '~r.proceeding to be dismissed with a ruling that, in Le, nder's judgment, precludes forfeiture of tke Property or other material impairment of Lenders interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that are attributab}e to the impairment of Lender's interest in the Property are hereby assigned and shall be paid' to Lender. All Miscellaneous Pr 3ceeds that are not applied to restoration or repair of the Property shall be applied in the order provided for in Section 2. 12. Borrower Not .Released;. Forbearance By Lender Not a Waiver. Extension of the time for payment or rt~odification of amortization of the sums secured by this Security Instrument granted by hinder to Borrower or any Successor in Interest of Borrower shall not operate to release the liabdity 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 re!.~son of any demand made by the original Borrower or any Successors in Interest of Borrower. An.~r I'orbearance by Lender in exercising any right or remedy including, without limitation, Lende:'S acceptance of payments from third persons, entities or Successors in Interest of Borrower or i,la amounts less than the amount then due, shall not be a waiver of or preclude the exercise of ar y right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that 'Borrower's obligations and liability shall be joint and several. Itowever, any Borrower who co-siges this Security Instrument but does not execute the Note (a "co-signer"): (a) is co-signing this Se~':urity Instrument only to mortgage, 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 this Security Instrument; and (c) agrees that Lender and any other Borrower can agree 'to extend, modify, forbear or make any accommodations with 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 un'Jet this Security Instrument in writing, and is approved by Lender, shall obtain all of Borrower's r'ghts and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrument unless Lender agrees to such release in ~vriting. The covenants and agreements of this Security Instrument shall bind (except as provided ia ~qection 20) and benefit the successors and assigns of L~nder. 14. Loan Charges..~ehder may charge Borrower fe~s for services performed in connection with Borrower's default, f3r 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 regarfl to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lerder may not charge fees that are expressly prohibited by this Security Instrument or by Applicable Law. (~)®-6(WY) CVWY 05/25/0q 1:56 6634532177 Pag~ I0 of 15 Initials: Form 3051 1/01 [f the Loan is subjecxI to a law which sets maximum loan charges, and that law is finally interpreted so that the intbrest or other loan charges collected or to be collected in connection with the Loan exceed the l:.er'mitted limits, 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 which ex~eeded 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 ia refund reduces ~rincipal, the reduction will be treated as a partial prepayment without any prepayment charge [whether rjr 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 mus~ 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 r~otice to all Borrowers unless Applicable Law expressly reqmres otherwise The notice add'-ess 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 Borrower shall only report a change of address through that specified procedure. There may be only one de~':ignated notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering ~t or by mailing it by first class mail to Lender's address stated l~erein unless Lender has designated another address by notice to Borrower. Any notice in cor~nection with this Security Instrument shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by this Security Instrument i's also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrument. 16. Governing Law; Severability: Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations con-ained in this Security Instrument are subject to any requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by co,ntract. In the event that any provision or clause of this Security Instrument or the Note ?;onflicts with Applicable Law, such conflict shall not affect other 'provisions of this Securi}y Instrument or the Note which can be given effect without the conflicting provision. As used in this Security Instrument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obligation to t',ke any action. 17. Borrower's Copy. Borrower shall be given one copy of the Note and of this Security Instrument. !8. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in the Property, including, but not limited ~:o, those beneficial interests transferred in a bond for deed, contract for deed, installment sales con'~ract 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 beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Secu'ity Instrument. However, this option shall not be exercised by Lender if such exercise is prohibite4d by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not ,less than 30 days from the date the notice is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay thes.~ Sums prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. (~®- 6(WY) moos) " Initials: ~ ~ o~ ~5 3051 1/01 CVW¥ 05/25/04.3:5~ PM 6634532]77 19. Borrower's Right to Reinstate After Acc~eleration. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time )ri.or to the earliest of: (a) five days before sale of the Property pursuant to any power of sale con;ained in this Security Instrument; (b) such other period as Applicable Law might specify for the ttirmination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security In~";trument. Those conditions are that Borrower: (a) pays Lender all sums which then would be due u3der this Security Instrument and the Note as it' no acceleration had occurred; (b) cures any ~iddfault of any other covenants or agreements; (c) pays all expenses incurred in enforcing thislSecurity Instrument, including, but not limited to, reasonable attorneys' fees, property inspection ;;tnd valuation fees, and other fees incurred for tile purpose of protecting Lender's interest in the Prc~perty and rights under this Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rights under this Security Inst(ument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement sums and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured b3r a federal agency, instrumentality 0r entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby shall remain fully effective as if no acceleration had oc:urre& However, this right to reinstate shall not apply in the case of acceleration under Sectioc 18. 20. Sale of Note; C..hange of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Security Instrumeut) can be sold one or more times without prior notice to l~orrower. A sale might result in a change in tile entity (known as the "Loan Servicer") that colllects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. Ther:~ also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there i!~ a change of the Loan Servicer, Borrower will be given written notice of the change which will sta'e the name and address of the new Loan Servicer, the address to which payments should be made and any other information RESPA requires in connection with a notice of transfer.of servicing. If the Note is sold and thereafter the Loan is serviced by a Loan Servicer Other than the purchaser 'of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be 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 actiou (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Securit7 Instrument or that alleges 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 notic(: 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 '~f this paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuadt 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 :.s -!oxic or hazardous substances, pollutants, or wastes by Environmental LaW and the following substances: gasoline, kerosene, other flamma~c petroleum (~-6(WY) ~ooo~ P.~. ~2 of 15 ~rm 3051 1/01 CVtV¥ 05/25/0tl l:56.PM 6634532177 products, toxic pesticides ~in,d herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioacti'vg materials; (b) "Environmental Law'! means federal laws and laws of the jurisdictio,~ where t~i,e Property is,located that relate to health, safety or environmental protection; (c) Environm.~n,tal Cleanup includes any response action, remedial action, or removal action, as defined ia "~nvironmental Law; and (d) an "Environmental Condition" means a condition that can cause, c',~qtribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or permit the presence, nsc disposal, storage, or release of any Hazardous Substances, or t~reaten to release any Hazardous Substances, on or in the Property. Borrower shall not do. nor allow anyone else to do, anything at'fecting the Property (a) that is in violation of any Environme~ital Law, (b) which creates an Environmental 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 on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (including, but not limited to, hazardous substances in consumer products). Borrower shall promptly give Lender written notice or (a) any investigation, claim demand, lawsuit or other action by ~ny governmental or regulatory agency or private party involving the PrOperty and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) any Enviror..mental Condition, including but not limited to, any spilling, leaking, discharge, release or threat (,f ~:elease of any Hazardous Substance, and (c) any condition caused by the presence, use or releast of a Hazardous Substance which adversely affects the value of the Property. If Borrower learn& or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation o~ any Hazardous Substance affecting the Property is necessary, Borrrwer shall promptly take all necessary remedial acuons in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall g~ve notice to Borrower prior to acceleration following Bcr~ower's breach of any covenant or agreemenl in this Security Instrument (but not pr'.or 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 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 court action to assert the non-existence ,of a default or any other defense of Borro~ver 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 furffter demand and may invoke the power of sale and any other remedies permitted by 2~'_pplicable Law. Lender shall be enlitled to collect all expenses incurred in pursuing the )emedies provided in this Section 22, including, but not limited to, reasonable attorneys' 'ees and costs of title evidence. If Lender invokes thla power of sale, Lender shall g~ve notice of intent to foreclose to Borrower and to the ferson in possession of the Property, if different, in accordance with Applicable Law. Leader 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 sold in the manner prescS-ibed by Applicable Law. Lender or its designee may purchase the Property at any sale. The proceeds of the sale shall be applied in the following order: (~®- ~(WY) ~ CVWY 05/25/0q 1:56 .PM 6634532177 Initials: ~.~rm 3051 1/01 (a) to all expenses of th"~ sale, including, but not limited to, reasonable attorneys' fees; (b) to all sums secured 9y this Security Instrument: and (c) any excess to the person or persons legally entitled to it. 23. Release. Upon p!~yment 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 releasi~.g 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 under Applicable Law. 24. Waivers. Borrower' releases and waives all rights under and by virtue of the homestead exemption laws of Wyoming, BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorded with it. Witnesses: (Seal) -Borrower (Seal) -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Burrower t~®- 8(WY) ~ooo~} CVW¥ 05/25/0tl 1:56 PM 6634532177 Page 14 of 15 Form 3051 1/01 STATE OF ~ FLORIDA, by .3 3D0 County ss: The foregoing instrument was acknowledged before me this 4th day of June, 2004 Richard W. Shutes My Commission Expires: [,/)-o / O -] LORRAINE T. STOUT EXPIRES: June [0, 2~7 Notary Public STATE OF WYOMING, Teton County ss: The foregoing instrument was ackno{~ledged before this ~day of June, 2004, by Christiar B. Shutes. My commission expires: ~-~ Notar~lc~' ~~ t~)~-6(WY) (ooom CVW¥ 05/25/04 1:56 PM 6624532177 Page 15 of 15 Initials: Form 3051 1/01 LOAN # 6634532177 1-4 FAMILY RIDER (Assignment of Rents) TIIIS 1-4 FAMILY RIDER is made this 4IH day of JUNE, 2004 and is incorporated into aad shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed (t~e "Security instrument") of the same date given by the undersigned (the "Borrower") to secure Borrower's Note to BANK OF AMER I CA, N.A. (the "Lender") of the same date and covering the Property described in the Security Instrument and located at: 44 SPRUCE STREET, ALPINE, WY 83128 [Property Address] 1-4 FAMILY COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrcwer and Lender further covenant and agree as follows: A. ADDITIONAL PROPERTY SUBJECT TO TIlE SECURITY INSTRUMENT. In addition to the Property described in the Security Instrument, the following items now or hereafter attached to: tile Property to the extent they are fixtures are added to the Property description, and shall also constitute the Property covered by the Security Instrument: building materials, appliances and goods of every nature whatsoever now or hereafter located in, on, or used, or intended to be used in connection with the Property, including, but not limited to, those for the purposes of supplying or distributing heating, cooling, electricity, gas, water, air and light, fire prevention and extinguishing apparatus, security and access control apparatus, plumbing, bath tubs, water heaters, water! closets, sinks, ranges, stoves, refrigerators, dishwashers, disposals, washers, dryers, awnings, storm windows, storm doors, screens, blinds, shades, curtains and curtain rods, attached mirrors, cabinets, paneling and attached floor coverings, all of which, including replacements and additions thereto, shall be deemed to be and remain a part of the Property covered by the Security Instrument. All of the foregoing together with the Property described in the Security rnstrument (or tile leasehold estate if the Security Instrument is on a leasehold) are-referred to in this 1-4 Family Rider and the Security Instrument as the "Property." MULTISTATE 1-4 FAMILY FiIDER Page I of 4 BS57R (0008) VMP MORTGAGE I~ORMS - (8001521-7291 ME?F 05125104 1:56 PM 6634532177 B. USE OF PROPERTY; COMPLIANCE WITH LAW. Borrower shall not seek, agree to or make a change in ti, re use of the Property or its zoning classification, unless Lender has agreed in writing to the change. Borrower shall comply with all laws, ordinances, regulations and requirements of any governmental body applicable to the Property. C. SUBORDINATE LIENS. Except as permitted by federal law, Borrower shall not allow any lien inferior to the Security Instrument to be perfected against the Property without Lender's prior written permission. D. RENT LOSS INSURANCE. Borrower shall maintain insorance against rent loss in addition to the other hazards ?or which insurance is required by Section 5. E. "BORROWER'S RIGHT TO REINSTATE" DELETED. Section 19 is deleted. F. BORROWER'S OCCUPANCY. Unless Lender and Borrower otherwise agree in writing, Section 6 concerm~ g Borrower's occupancy of the Property is deleted. G. ASSIGNMENT OF LEASES. Upon Lender's request after default, Borrower shall .assign to Lender all leases of the Property and all security deposits made in connection with leases of the Property. Upon the ~ssignment, Lender shall have the right to modify, extend or terminate the existing leases and to execute new leases, in Lender's sole discretion. As used in this paragraph G, the word "lease" shall mean "sublease" if the Security Instrument is on a leasehold. H. ASSIGNMENT ,OF RENTS; APPOINTMENT OF RECEIVER; LENDER IN POSSESSION. Borrower absolutely and unconditionally assigns and transfers to Lender all the rents'and revenues ("Rentsy).of the Property, regardless of to whom the Rents of the Property are payable. Borrower authorizes Lender or Lender's agents to collect the Rents, and agrees that each tenant of the Property shall pay the Rents to Lender or Lender's agents. However, Borrower shall receive the Rents until (i) ~i,ender has given Borrower notice of default pursuant to Section 22 of the Security Instrument, an;fl (ii) Lender has given notice to the tenant(s) that .the Rents are to be paid to Lender or Lender'~g agent. This assignment of Rents constitutes an absolute assignment and not an assignment for ~dditional security only. If Lender gives notice of default to Borrower: (i).all Rents received by Borrower shall be held by Borrower as truste:~ for the benefit of Lender only, to be applied to the sums secured by the Security Instrument; (ii!) Lender shall be entitled to collect and receive all of the Rents of the BS57R (0008) Page 2 of 4 M57F 05125/04 1:56 PM 6634532177 132 Property; (iii) Borrower agrees that each tenant of the Property shall pay all Rents due and unpaid to Lender or Lender's agents upon Lender's written demand to the tenant; (iv) unless applicable law provides otherwise, all Rents collected by Lender or Lender's agents shall be applied first to the costs of taking control of and managing the Property and collecting the Rents, including, but not limited to, attorney's fees, receiver's fees, premiums on receiver's bonds, repair and maintenance costs, insurance premiums, taxes, assessments and other charges on the Property, and then to the sums secured b'f the Security Instrument; (v) Lender, Lender's agents or any judicially appointed receiver shall be liable to account for only those Rents actually received; and (vi) Lender shall be entitled m have a receiver appointed to take possession of and manage the Property and collect the Rents and profits derived from the Property without any showing as to the inadequacy of the Property as security. If the Rents of the Property are not sufficient to cover the costs of taking control of and managing the Property and of collecting the Rents any funds expended by Lender for such purposes shall become ind..~btedness of Borrower to Lender secured by the Security Instrument pursuant to Section 9. Borrower represents ar,d warrants that Borrower has not executed any prior assignment of the Rents and has not performed, and will not perform, any act that would prevent Lender from exercising its rights under tiffs paragraph. Lender, or Lender's agents or a judicially appointed receiver, shall not be required to enter upon, take control of or maintain the Property before or after giving notice of default to Borrower However, Lender, or Lender's agents or a judicially appointed receiver, may do so at any time when a default occurs. Any application of Rents shall not cure or waive any default or invalidate any other right or remedy of Lender. This assignment of Rents of the Property shall terminate when all the sum~ secured by the Security Instrument are paid in full. I. CROSS-DEFAULT PROVISION. Borrower's default or breach under any note or agreement in which Lender h:as an interest shall be a breach under the Security Instrument and Lender may invoke any of lhe remedies permitted by the Security Instrument. BS57R (0008) Page 3 of 4 i,,157F 05125/04 1:56 PM 6634532177 BY SIGNING BELOW. Borrower accepts and agrees to the terms and provisions contained in t.hi 1-4 Family. Christi~~. ~hutes ~/~ (Seal) (Seal) -Burrower (Seat) -Borrower (Seal) (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) BS57R (0008) Page 4 of 4 U57F 05/25/04 1:56 PM 66~4532177 ]RELEASE AND WAIVER Fo? good and valuableS: consideration, the receipt and sufficiency of which is acknowledged, I Eliza£,eth T. Shutes, do hereby forever release and waive all rights under and by virtue of the Homestead Exemption Laws of the State of Wyoming in regard 'to: ,Lot 29 ,Rces Subdivisiot?. ~s shown by the official plat thereof recorded September ] 955 in the Office of the t2ecorder of Lincoln Cotmty Wyoming, and beinglvart ofttze Nhalf of the South quark, er (NI/2N£]/4) of Section 20, T37N, Rl lSWof the ~ P.M. together with all improvements thereon. I realize that my husband, ~chard W. Shutes has applied to Bani< of America for a loan and acknowledge that ~he said Bank of America has relied upon this release and waiver in making the saii: loan. Dated:This -~ .";Z day of June, 2004. STATE OF COUNTY Elizabeth T. Shures was acknowledged before me this ;2004. WITNESS my lmnd and o:~]cial seal. My Commission Expires: Residing in: /5~f/ox~ ~-o'rary Public 01S-~ ~00/~00'd 881-i Xu~um°3 ~11!1 puel-~O~d ~V~l:80 day of I'O-I'O-I~fl r