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HomeMy WebLinkAbout875260'8885101 WYFI~- 0322-1 ~ WHEN RECORDED MAIL TO: £': c'. ~ IV[!'D , WELLS FARGO HOME MORTGAGE 3601 MINNESOTA DRIVE 8 7 CLERK BLOOMINGTON, MN 55435 LOAN NUMBER: ' BRANCH: RN-M~ ~ ~OKL_~PR PAGE FI~A state or W~,o~ng MORTGAGE THIS MORTGAGE ("Security Instrument") is given on AUGI~ST 10, 200i The Mortgagor is vm~n~ v.. ItUOHES ~ L0UZSI~ I~. -I,I~0mes, l~Sl~'~ ~ ("Borrower"). This Security Instrumem is given to WELLS FARGO HOM~E MORTGAGE, INC. which is organized and existing under the laws of TV.X STATE OF CALIFOI~IIA , and whose address ~ x,.o. BOX S137, D~S MoIhrgs, IA 503065137 ("Lender"). Borrower owes Lender the prkncip;d su~n of ONE KUNDR~D TWENTY SEVEN THOUSAND SEVEN HUNDRED FOURTEEN AND 00/100 Dollars (U,S. $~****~**'127,7i4.00 ). This debt is evidenced by Borrower's note dated the s~me date as,this Security h, strument ("Note"), which provides for monthly payments, with the full debt, if not paid earlier, due ~d payable on s~.v~rgvmv..R o 1, 2031. · This Security Instrument secures to Lender: (a).the repayment of the debt evidenced by the Note, w~ interest, and all renewals, extensions ~nd modifications of the Note; (b) the payment of all otl~er sunu, with interest, advanced under paragraph '7 to protect the security of this Security Instrument; .a,d (e) the pe~forreance 627 ~orrower's covenants and agreements trader this Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to the Lender with power of sale, the following described property located in County, Wyoming: LE(~AL DESCRIPTIObf ATTACHED HERETO AND MADE A PART HEREOF. PROVISIONS PERTAINING TO RELEASES ARE CO1TrAINED IN TH]~ REI{ABILITATION LOAN RIDER W~ICH IS ATTACHED TO THIS DEED OF TRUST Ah~D MAD~ A PART h~EREOF. THIS IS A PURCHASE MO~T~¥ SECURITY INSTRU%I~ITI. TAX STATEMElqTS SHOULD BE SEI, V~.' TO: WELLS FARGO ROME MORT(]AGIO, INC., P.O. BOX 5137, DES MOINES, IA · 503065137 which has file address of 2fi7 HAPpY"VALLEY LANE, AFTON [$~,eet, City], Wyoming 83110 [zlpcociel ("Property Address"); TOGETHER WITH MI ~e ~provements now or he~ea~er erected on file property., ~d all ensements, appurten~ces ~d fixtures now or h~ea~er a pan of ~e p~peny. All repl~men[s ~d additions slx~l flso be covered by fids S~fity Instrument. All of ~e foregoing is refe~ed to in this S~urhy Inst~e~ as ~e "~peny." BORROWER COVENANTS ~at Bo~ower is law~ly se~ed of ~e estate hereby conveyed ~d h~ ~e right to mortgage, gr~t ~d convey ~e Property ~d ~at ~e ~openy is ~encumber~, except tbr ~oumbr~ces of record. Bo~ower w~ts ~d will defend generflly ~e title to ~e Property against ~1 clams ~d dem~ds, subject to ~y ~c~br~ces of re~ord. THIS SECURITY INSTRUMENT ~mbines unifo~ coven~ts ~ nation~ use ~d non-uniform coven~ts wi~ li~ted variations by jurisdiction to constitute a unifo~ security inst~ment covering reft property. Bonower ~d Lender c°v~t ~d agree as follows: UNIFORM COVENANTS. 1. Pa~t o~ ~incipal, Inter~t and Late Ch~ge. Bonower ~tfll pay when due the principal of, ~d interest on, the debt ~id~cc~ by ~e ~ote ~d late ch~ges due under ~e Note. 2. MontMy Payment of Tax~, In~ce and ~her Clmrg~., Borrower shall: include.in each monthly payment, toge~er wi~ ~e pfincipfl ~d ~terest ~ set for~ in ~e Note ~d ~y hte ch~ges, a sum for (a) ~es ~d special ~sessments levied or to be levied sg~nst the Property, (b) leasehold payments or ground r~t5 on ~e ~openy, ~d' (c) pre.urns for insur~ce required under paagraph 4. In' ~y ye~ in which Ore ~ndcr must pay a mortgage insur~ce pre.urn to ,~e Secrem~ of Housing ~d Ur~ Development ("Secretwi"), or in ~y year in which such pre~um would have b~n requir~ if Lender still held ~he S~ty Inst~ent, each mon~ly payment shall dso include eider: (i) a sum for ~e ~ual mo~gage insur~ce pr~ to bo p~d by Lender to the Secret~, or ¢i) a mon~ly chmge instead of a ~ngage insur~ce prc~ if this S~urity inst~eat iS held by ~e Seeret~, in a reasonable ~ount to be dete~n~ by ~e Secreta~. Excel for tile mon~ly ch~ge by ~e ~ecret~, fl~ese ite~ ~o cfll~ "Escrow Ite~" ~d ~e sums p~d ~der may, at ~y t~e, ~lle~ ~d hold ~oums for Escrow Ite~ in ~ aggregate ~unt not to exceed the ~imum ~Ount ~at may be required for Bo~ow~'s escrow ~count und~ ~e Reft Estate Settle~nt Prozedures Act of 1974, ~2 U.S.C. Sect[on 2601 e~ seq. ~d implem~ting regulations, ~ CFR P~ 3500, ~ ~ey ~y be ~cnded from time to time ("RESPA"), except ~at ~e cushion or rescue 'pestled by RESPA for unanticipated disbu~ements or disbursements before the Bonower's payments ~e ~v~lable in the accost ~y not be b~ed on ~ounts due ~r ~e mortgage insur~ce premium. If thc amounts held by Lender for Escrow Items exceed the amounts permitted to be head by RESPA, Lender shall account to Borrower for the excess funds as required by RESPA. If the amotmts of funds held by Lender at any time are not sufficient id pay the Escrow Items when due, Lender may notify thc Borrower and require Borrower to make up the shortage as pertained by RESPA. The Escrow Funds are pledged as additional security for all sums secured by this Security Instrument. If' "' Borrower tenders to 'Lender the full payment of all such sums, Borrower's account shall be credited with the balance reraaining for all installment items (a), (b), and (c) and any mortgage insurance premium installment that Lender has not become obligated to pay to the Secretary, and Lender shall promptly re,nd any excess funds to Borrower. Immediately prior to a foreclosure sale of the Property or its acquisition by Lender, Borrower's account shall be oredited with ~my balance remaining for all installments for hems (a), ('o), and (c). 3. Application or Payments. All payments under paragraphs I and 2 shall be applied by Lender as follows: Firs_...~t, to the mortgage insurance premium to be paid by Lender to the Secretary or to the monthly chaz'ge by the Secretary instead of the monthly mortgage insurance pre~um; .Secon. d., to any taxes, special assessments, leasehold payments or ground rents, and fire, flood and other hazard insurance premiums, as required; t'" Third. to interest due under the Note; Fourt__.__.~h, to amortization of the principal of the Note; and Fi.._~, to late charges due under the Note. 4. Fire, Flood and Other Hazard Insurance. Borrower shall insure all improvements on the Property, whether now in existence or subsequently erected, against any hazards, casualties, and contingencies, including fire, for which Lender requires it~urance. This insurance shall he maintained in the amounts and for the periods that Lender requires. Borrower shall also insure all improvements on the Property, ,4,'berber now in exiskence or subsequently erected, against loss by floods to the extent required by the Secretary. All insurance shall be carried with cc~mpmrdes approved by Lender. The insurance policies and any renewals shall be he~d' by Lender and shall include loss payable clauses in favor of, and in a form acceptable to, Lender. In the event of loss, Borrower shall give Lender inunediate notice b); mail. Lender may make proof of loss if not made promptly by Borrower. Each insurance company concerned is hereby authorized and directed to make payment for such loss directly to Lender, instead of to Borrower and to Lender jointly. All or any pan of the insurance proceeds may be applied by Lender, at its option, either (a) to the reduction of the indebtedness under the Note and this Security Instrument, first to any delinquent remounts applied in the order in paragraph 3, and then to prepayment of principal, or (b) to the restoration or' repair of the damaged Property. Any application of the proceeds to the principal shall not extend or postpone the due date of the monthly payments which are referred to in parags'aph 2, or change the amount of such payments. Any excess insurance proceeds ove. r an amount required to pay all outstanding indebtedness under the Note and this Security Instrument shall be paid to the entity legally entitled fl~ereto. In the event of foreclosure of this Security Instrument or other transfer, of title to the Property that extinguishes the indebtedness, all right, title and interest of Borrower in and to insurance policies in force shall peas to the purchaser. 5. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application; Leaseholds. Borrower sliall occupy, establish, and use the Property as Borrower's principal residence within sixty days after the execution of this Security Instrument (or within sixty days of a later sale or transfer of the Pro.t, eny) and. shall continue to occupy the Property as Borrower's principal resi~nce fur at least one year after the date of occup~cy, unless Lender determines that requirement will cause undue hardship for Borrower, or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall notify Lender of any extenuating circumstances. Borrower sh',dl not commit waste or destroy, da~mage or substantially change the Property or allow the Property to deteriorate, reasonable wear and tear excepted. Lender may inspect the Property if the Property is vacant or abandoned or the loan is in default. Lender may t&e reasonable action to pro!ecl and preserve such vacant or 629 abandoned Property. Borrower shall also be in default if Borrower, d~ing the loan application process, gave materially false or inaccurate information or statements to Lender (or failed to provide Lender with any material information) in connection with the loan evidenced by the Note, including, but not linfited to, representations concerning Bonower's' occupancy of the Property as a principal residence. If this Security Instrument is on a leasehold, Borrower shall comply with file provisions of the lease. If Borrower acquires fee title to the Progeny, th(' leasehold and fee title shall not be merged, unless Lender agrees to the merger in writing.. 6. Condemnation. The proceeds of any award or claim for damages, direct or c~nsequential, in connection with any. condenmation or other taking of any part of the Property, or for conveyance ia place of condenmadon, are hereby assigned and shall be paid to Lender to the extent of the full amount, of the indebtedness that remains unpaid under th~ Note and thi~ Security Instnnnent. Lender shall apply such proceeds to the reduction of the indebtedness under the Note and this Security Instrument, first to any delinquent amounts applied in the order provided in paragraph 3, and then to prepayment of principal. Any application of the proceeds tx~ the principal shall not extend or postpone the due date.of tho mo~athly payments, which are referred to in paragraph 2, or change the amount of such payments. Any exces~ proceeds over an amount required to pay alt outstanding indebtedness under the Note and this Security Insmunent shall be paid to the'entity legally entitled thereto. 7. Charges to Borrower and Protection of Lender's Rights in the Properly. Borrower shall pay all governmental or municipal charges, fines.and impositions that are not included in paragraph 2. Borrower shall pay these obligations on time directly to ~e entity which is owed the payment. I5' failure to Pay would adversely affect Lender's interest in the Progerty, upon Lender's request Borrower shall promptly furnish to Lender receipts evidencing these payments. If Borrower fails to make these payments or the payments required by par. agraph. 2, or fails, to perform any other covenants and agreements contained in this Security Instrument, or there is.a legal proceeding ~at may significantly 'affect Lender's rights in the Property (such as a proceeding ia bankruptcy,, for condemnation or to enforce laws or regulations), then Lender maY do and pay whatever is necessary to pro~'ci the value of the Progeny and Lender's rights in the Property, including payment of taxes, hazard insurance and o~er items mentioned in paragraph 2. Any amounts disbursed by Lender under this paragraph shill become an additional debt of Borrower and be secured by this Security Insmmxent. These amounts shall bear interest from the date of dbbursement, at the Note rate, and at the option of Lender, shall be immediately due and payable. Borrower shall promptly dis~arge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien; 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 pan of the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shill satisfy the lien or take one or more of the actions set forth above within 10 days Of the giving of notice.. 8. Fees. Lender may collect fees and charges authorized by the Secretary. 9. Grounds for Acceleration of Del~t. (a) Default. Lender may, except as limited by regulations issued by the Secretary, in the case of payment defaults, require immediate payment ia full of all sums secured by this Security Instrument if: (i) Borrower defaults by failing to pay in full any mon&ly payment required by this Security Instrument prior to or on the due date of the next monthly payment, or (ii) Borrower defaults by failing, for a period of thirty days,-to perform any other obligations contained '~ in this Security Instrument. ~) Sale Without Credit Approval. Lender shall, if permitted by applicable law (including Section 341(d) of the Gum-St. Germain Depository Institutions Act of 1982, 12 U.S.C. 1701j-3(d)) and with the prior approval of the Secretary, require immediate payment in full of all sums secured by thin Security Instrument if: (i) All or pan of the Property,: or a beneficial interest in a trust owning all or pan of the Property, is sold or other~vise transferred (othe~ than by devise or descent), and (ii) The Property is not occupied by the purchaser or grantee as his or her principal residence, or thc purchaser or grantee does so occupy the Property but his or her credit has not been approved in accordance with the requirements of the Secretary. (c) No Waiver. I1:' circumstances occur that would permit Lender to require mediate payment in full, but Lender does not require such payments, Lender does not waive its fights with respect to subsequent events. (d) Regulations o1' HUD Secretary. In many circumstances regulations issued by the Secretary will limit Lender's fights, in the case of payment defaults, to require immediate payment in full and foreclose if not paid. This Security Instrument does not authorize ac,eleration or foreclosure if no: permitted by regulations of the Secretary. (e) Mortgage'Not Invared. Borrower agrees that if this Security Instrument and the Note are not determined to be eligible for insurance under the National Housing Act within 60 days from the date hereof, Lender my, at its option, require immediate payment ~ full of all sums secured by this Security Instrument. A wrmen statement of any authorized agent of the Secretary dated subsequent m 60 days from the date hereof, declining Io insure this Security Instrument and the Note, shall be deemed conclusive proof of such ineligibility. Notwithstanding the foregoing, this option may not be exercised by Lender when unavailability of insmance is solely due to Lender's failure to remit a mortgage insurance premium to the Secretary. I0. Reinstatement, Borrower has a fight to be reinstated if Lender has required immediate payment in full because of Borrower's failure to pay an amount due under the Note or this Security Instrument. This right applies even after foreclosure proceedings are instituted. To reinstate the Security instmmi~nt, Borrower shall tender in lump sm all amounts required to bring Borrower's account eurrem including, to the extent they are obligations of Borrower under this Security Instrument, foreclosure costs and reasonable~nd customary attorneys' fees and expenses properly associated with the foreclosure proceeding. Upon reinstatement~y Borrower, this Secarity Instrument and the obligations that it secures shall remain in effect as if Lender had~ not required inm~ediate payment in fall. However, Lender is not required to permit reinstatement if: (i) Lender has accepted reinstatement after the conmaencemcnt of foreclosure proceedings within two years immediately preceding the commencement of a carrent foreclosure proceeding, (ii)reinslatement will preclude foreclosure on different grounds in the future, or (iii) reinstatement wilt adversely affect the priority of the lien created by this Security Instrument. I1. Borrower Not Released; Forbearance By Lender Not a Waive?. Extension of the time of payment or modification of amortization of the sums secured by this Se~ufity In~trmnent granted by Lender to any successor in interest of Borrower shall not operate to release the liability of the original Borrower or Borrower's successor in interest., Lender ~hal[not be required to commence proceedings against any successor in interest or refuse m extend time for payment or otherwise modify anmrdzation of fl~e rams secured by thi~ Security Instrument by reason of ~ny demand made by the original Borrower or Borrower's successo~ in interest. Any forbearance by Lender in e~ercisiag any right or remedy shall not be a waiver of or preclude the exercise of any right or remedy. 12. Successors and A~igns Bound; Joint and Several Liability; Co-Signers. The covenants and agreements of this Security Instrument shill bind and benefit the successor~ and assigns of Lender and Borrower, subject to the provisions of paragraph 9(b). Borrower's covenants and agreements shall be joint and several. Any Bonower who co-signs this Security Instrument but does not execute the Note: (a) is ~-signing this Security Instrument only to mortgage, grant and convey that Borroweffs interest in the Property under the terms of this Security Instrumcm; is not personally obligated to pay the sums secured by this Security Instrument; and (e) agrees that Lender and ~y other Borrower may agree to extend, modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without that Borrower's consent. 631 13. Notices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it or by mailing it by t~rst class mai! unless applicable law requires uae of another method. The notice shall be directed to the Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given by first class mall to Lender's address stated herein or any address Lender designates by notice to Borrower. Any notice provided furin this Security Instrument shall be deemed to have been given to Borrower or Lender when given as provided in this paragraph,' .,.. 14. Governing Law; Severability. This Security Instrument shall be governed by Federal law and tile law of the jurisdiction in which the Property is lo~ated. 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 Instxument or the Note which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the Note are declared to be severable. 15. Borrower's Copy. Borrower shall be given one conformed c~py of the Note and of this Security Instrument. 16. Hazardous Substances,. Borrower shall not cause or permit the presence, use, disposal, storage, or release of any Hazardous Substances on Or in.,.the 'Property. Borrower shall not do, nor allow anyone else to do. rmything affecting the Property that is in violation of any Environmental Law. 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. Borrower shall promptly give Lender written notice of any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the ;Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge. If Borrower learns, or is notified by any governmental or regulatory authority, that any removal or other remediation of any Hazardous Substances affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance ~vith Environmental Law. As used in this paragraph 16, "HaZardous Substances" 'are those substances defined as.toxic or hazardous substances by Environmental Law and the following' substances: gas~jl~e, kerosene, other flammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials. As used in this paragraph 16, "Environmental Law" means federal laws and laws of the jurisdiction where the Property is located that relate to health, safety or environmental protection. NON-UNIFORM COVENANTS. Borrowe'r and Lender further covenant and agree a~ follows: 17. Assignment of Rents. Borrower unconditionally a~signs and transfers to Lender all the rents and revenues of the Property. Borrower authorizes'Lender or Lender's agents to colleot the rents and revenues and hereby di~ecls each tenant of the Property to pay the renls to Lender or Lerlder's agents..However, prior' to Lender's notice to Borrower of Borrower.'s breach of any covenant or agreement in the Security Instrument, Borrower shall collect and receive all rents and revenues of the Property as trustee for the benefit of Lender agd Borrower. This assignment of rents constitutes an absolute assignment and not an assignment for additional security only. If Lender gives notice of breach to Borrower: (a) all rents received by Borrower shall be held by Borrower as trustee for ben,fit of Lender only, to be applied to the sums secured by the Security Instrument; Co) Lender slxall be entitled to collect and receive all of tho rents of the Property; and (c) each tenant of the Property shall pay all rents due and unpaid to Lender or Lender's agent on Lender's written demand to the tenant. Borrower has not executed any prior assignment of the rents and has not and will not perform any act that would prevent Lender from exercising its rights under this paragraph 17. Lender shall not be required to enter upon, take control of or maintain the Property before or after giving notice of breach to Borrower. However, Lender or a judicially appointed receiv~:r may do so at any time there is e breach. Any appiication of rents shall not cure or waive any default or invalidate any other right or remedy of Lender. This assignmesR of rents of the Property shall terminate when the debt secured by the Security Instrument is paid in full. lg. Foreclosure Procedure. I1' Lender requires immediate payment in full under paragraph 9, Lender may invoke the pow'er of sale and any other remedies permitted by applicable law. Lender shall be entitled to collect all eXpenses incurred in pta-suing the remedies provided in this paragraph 18, including, but not limited to, reasonable attorneys' fe~s and costs of title evidence. If Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to person in possession of the Property, ii' difl'erent, in accordance with applicable law. Lender shall give notice of the sale to Borrower in the manner provided in paragraph 13. Lender shall publish the notice of sale, and the Property shall be sold in the manner prescribed by applicable law. Lender or its designee may purchase the Pi'ope_my at an), sale. The proceeds of the sale shall be applied in the foliovAug order: (a) to all expenses of the sale, including, but not limited to, reasonable attorneys' fees; (b) to all Bums secured by this Security Instrument; and (c) any excess to the person or persons legally entitled to it. If the Lender's interest in this Security Instrument is held by the Secretary and the Secretary requires immediate payment in full under Paragraph 9, the Secretary may invoke the nonjudicial power of sale provided In the Single Family Mortgage Foreclosure Act of I994 ("Act") (12 ti.S.C. 3751 et seq.) by requesting a foreclosure commissioner designated under the Act to comm~mce foreclosure and to sell tile Property as provided in the Act. Nothing in th~ preceding sentence shall deprive the Secretary of any rights otherwise available to a Lender under this Paragraph 18 or applicable law. 19. Release. Upon payment of all sums secured by this Security Instrument, L~nder shall release this Security Instrument without charge to Borrower. Borrower shall pay any recordation costs. 20. Waivers. Borrower waives all rights of home~tead exemption in ,th.e. Propeqy and relinquishes all rights of curtesy and dower in the Property. 21. Pdders ~o this Security Instrument. If one or more riders are executed by Borrower and recorded together with this Security Instrument, the covenants of each such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Security Instrument as if the rider(s) were a part of this Security In tSr~Unent. [Check applicable box(es)]. t_._J Condominium Rider ' ['--] Growing Equity Rider ]~ Other [sneeify] [-~ Planned Unit Development Rider ~ Graduated Payment Rider BY SIGNING BELOW, Borrower accepts and agrees to the terms confined in ~is Security lns~ent ~d in ~y ~der(s) ex<uteri by Borrower ~d r<ord~ wi~ it. Witnesses: -Bo~ow~ (Seal)' (Sea}) -Borrower -Oorrower . (Seal) (Seal) -Borrower (Seal) , (Seal) '~JoJTOW~F r ',, -Borrower STATE OF WWOM/NG, I~II~coIx~ ~ ' Co~y ~: ~e forego~g instant w~ ac~owledged before me ~ AUGUST 10TR, 2001 (date) by ~ ~. ~GHES ~ LO~SE ~. ~G~S (person acknowledging) { My Commiss~onr. Expiresg'l~-~ 63 .1 0~7 ~(} EXHIBIT A Legal Description for Verne E. Hughes and Louise R. Hughes The West 103 feet of Lot 5 of Happy Valley Estates, Lincoln County, Wyoming as described on the official plat thereof. RI,~IR-B493 REHABILITATION LOAN'RIDER ffFHA Case N°. [5~1'0837981 702 THIS REHABILITATION L,OAN RIDER is made this iOTa day of AUGrJS~r 2001 , and is incorporated ,into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed ("Security Insu'ument") of the same date given by the undersigned ("l~orrower") to secure Borrower's Note ("Note") to ~Zt, LS I~a.~e~o HOt,~ MOa'ra~,a~, z~tc. ("Leneler") of the same date a~d covering the Progeny described in the Security Instrument and located at: 267 HAPPY VALLEY LKN]~, AFTOI?, WY 83110 [Property Address] alit ADDITIONAL COVENANTS. In addition to the coven s' and agreemcmts in the Secufi[y Instrument, Borrower and Lender further covenant and agree as follows: A. Loan proceeds are to be advanced for the premises in accordance with the Rehabilitation Loan Agreement dated ~ ' f O - 153 I , betwc-en Borrower and Lender. This agreement is incorporated by reference and made a part of this Security Instrument. No advances shall be made unless approved by the Secretary of Housing and Urban Development or a Direct Endorsement Underwriter. B. If the rehabilitation is not properly completed, performed with reason'able 'diligence, or is discontinued at any time except for strikes or lockouts, the Lender is vested with full authority to take the necessary steps to protect the rehabilitation improvements and property from harm, continue existing' contracts or enter into necesiary contracts to complete the rehabilhation. All FHA Muhistate Rehabilitation Loan Rider - 10/95 I~, ~588U (9705, ~,/~ .Z~ ..~/~_ VMF MORTGAGg FORMS . {8001fi21-7291 sum~ expended for such protection, exclusive of the advances of the principal indebtedness, shall be added to the principal indebtedness, and secured by the Security Instrument and be due and payable .on demand with interest as set out in the Note. C. If Borrower fails to per'form any obligation under the lo.an, including the commencement, progress and completion Provisions of the Rehabilitation Loan Agreement, and such failure continues for a period of 30 days, the lo~ shall, at the option of Lender, be in default. D. The Property covered by this Security.Instrument shall include all of Borrower's interest in funds held by Le[Mer ia escrow trader the Rehabilitation Loan Agreement. BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this Rehabilitation Loan Rider. (Sea) ' . . (s~a) -Borrower ~E1R.~ ~,. ]~O'GmzS -Borrower (sea) ~,_~_~::r_~,, ..... . (Sea) ,}'..,,,~- ../ ($¢ai) ~ (Sea) -Borrower -PtOn'Ower (Se~l) (Seal) (~588U (9705} Page 2 o~' 2