HomeMy WebLinkAbout90006130654 (04)
Remm To:
FIRST INTERSTATE BAqK
P.O. BOX 40, CASPER, WY 90006 i
82602-0040
Prepared By:
JEFF COLLINS
BOOK
RECEIVED
LINCOLN COUNTY CLERK
JEANNE
[Space Above Tiffs Line For Recording Data]
MORTGAGE
DEFINITIONS
Words used in multiple sections of this document are defined below and other words are defined in
Sections 3, 11, 13, 18, 20 ;md 21. Certain roles regarding the usage of words used in this document are
also provided in Section 16.
(A) "Security Instrument" me:ms this document, which is dated
together with all Riders to tl~ is document.
(B) "Borrower" is WESLEY-M. OGLESBY ann MARY M. OGLESBY,
3une 9, 2004
HUSBAND AND WIFE
Borrower is the mortgagor u lder this Security Instrument.
(C) "Lender" is FIRST I~TERSTATE BANK
Lender is a A CORPORATI )N
organized and existing under th~ laws of
STATE OF
MONTANA
470GLESBY. W04 '
WYOMING-Single Family-Fanni~ Mae/Freddie Mac UNIFORM INSTRUMENT
(~®=6(WY) 10005} ~¢~:~[
Page 1 of 15 MW 05/00.01 Init,els:.
VMP MORTGAGE FORMS - (800152' -72,91
Form 3051 1/01
OSO00 ;1.
Lender's address is 842 W BROADWAY. JACKSON. WY 83001
Lender is the mortgagee undcJ, this Security Instrument.
(D) "Note" means the promL, mry note signed by Borrower and dated JLlrle 9, 2004
The Note states that Borrowe: owes Lender Two Hundred Fi fry 5ix Thousand and no/100
Dollars
(u.s. $ 256,000.00 ) plus interest. Borrower has pronfised to pay this debt in regular Periodic
Payments and to pay the debt in full not later than June l. 2034
(E) "Property" means the p 'operty that is described below under the heading "Transfer of Rights in the
Property."
(F) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges
due under the Note, and all s:]~ns due under this Security Instrument, plus interest.
(G) "Riders" means all Rid¢ rs to this Security Instrument that are executed by Borrower. The following
Riders are to be executed by 'Sorrower [check box as applicable]:
[~r] Adjustable Rate Rider ~ Condominium Rider [---] Second Home Rider
[~ Balloon Rider 1~ Planned Unit Development Rider ['~ l-4 Family Rider
[-~ VA Rider ~'-~ Biweekly Payment Rider [--"] Other(s) [specify]
0t) "Applicable Law" me~r~s all controlling applicable federal, state and local statutes, regulations,
ordinances and administrativ,~ rules and orders (that have the effect of law) as well as all applicable final,
non-appealable judicial opinions.
(I) "Community Association Dues, Fees, and Assessments" means all dues, fees, assessments and other
charges that are tmposed on Borrower or the Property by a condominium association, homeowners
association or similar organization.
(J) "Electronic Funds Trm~sfer" means any transfer of funds, other than a transaction originated by
check, draft, or similar papec instrument, which is initiated through an electronic terminal, telephonic
instrument, computer, or mai~netic tape so as to order, instruct, or authorize a financial institution to debit
or credit an account Such t~.cm includes, but is not limited [o, point-of-sale transfers, automated teller
machine transactions, transfers initiated by telephone, wire transfers, and automated clearinghouse
transfers.
(K) "Escrow Items" means t!~,)se items that are described in Section 3.
(L) "Miscellaneous Proceed,;" means any compensation, settlement, award of damages, or proceeds paid
by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i)
damage to, or destruction o_;, the Property; (ii) condenmatiou or other taking of all or any part of the
Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or omissions as to, the
value and/or condition of the Property.
(M) "Mortgage Insurance" means insurance protecting Lender against the nonpaymem of, or default on,
the Loan
(N) "Periodic Payment" me:rs the regularly scheduled amoum due for (i) principal and ~nterest under the
Note, plus (ii) any amounts u n :ler Section 3 of this Security Instrument.
(O) "RESPA" means the ReA Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its
implementing regulation, Re;']lation X (24 C.F.R. Part 3500), as they n-fight be amended from time to
time, or any additional or successor legislation or regulation that governs the same subject matter. As used
in this Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed in regard
to a "federally related mortg..~ge loan" even if the Loan does not qualify as a "federally related mortgage
loan" under RESPA.
470GLESBY. W04
Initiala:
(~-6(WY) 1ooo5) Page 2 oJ lS Form 3051 1101
456
(P) "Successor in Interest cf Borrower" means any party that has taken title to the Property, whether or
not that party has assumed Bo~rower's obligations under the Note and/or this Security Instrument.
TRANSFER OF RIGHTS IN FHE PROPERTY
This Security Instrument secures to. Lender: (i) the repaymem of the Loan, and all renewals, extensions and
modifications of the Note; ~nd (ii) the performance of Borrower's covenants and agreements under this
Security Instrument and the ',/iote. 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 C0O/?I-Y of TETON :
[Type of Recording Jurisdiction] [Name of Recording Jurisdiction]
LOT 23. OF SOUTHBROC~K RANCHES SUBDIVISION. LINCOLN COUNTY. WYOMING.
ACCORDING TO THAT PLAT RECORDED IN THE OFFICE OF THE LINCOLN COUNTY
CLERK ON SEPTEMBER S. 1990 AS PLAT NOS. 335-1 AND 335-2.
This is a 1st Real .Estate Mortgage recording concurrently with a 2nd
Real Estate Mortgage dated 6/9/2004 in favor of First Interstate Bank
in the original amount of $48,000.00.
ParcellD Number:34191010001900
134 LUPINE DRIVE.
THAYNE
("Property Address"):
which currently has the address of
[Street]
[Cityl , Wyonzing 83127 [Zip Codel
TOGETHER 'WITH a:l the improvements now or hereafter erected on the property, and all
easements, appurtenances, a'~c' fixtures now or hereafter a part of the property. All replacements and
additions shall also be cove;ced by this Security Instrument. All of the foregoing is referred to in this
Security Instrument as the "F:c, perty."
BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has
the right to mortgage, grant and convey the Property and that the Property is unencumbered, except for
encumbrances of record. Borrower warrants and will defend generally the title to the Property against all
claims and demands, subject :o any encumbrances of record.
THIS SECURITY INSFRUMENT combines uniform covenants for national use and non-uniforln
covenants with limited variai:icns by jurisdiction Io constitute a unitbrm security instrument covering real
property.
UNIFORM COVENAb TS. Borrower and Lender covenant and agree as follows:
1. Payment of Princi)~:l, Interest, Escrow Items, Prepayment Charges, and Late Charges.
Borrower shall pay when dt/e the principal of, and interest on, the debt evidenced by the Note and any
prepayment charges and late charges due under the Note. Borrower shall also pay funds for Escrow Items
pursuant to Section 3. Payme~4s due under the Note and this Security Instrument shall be made in U.S.
currency. However, if any cl:eck or other instrument received by Lender as payment under the Note or this
470GLESBY.W04 .
(~I~-6(Wy) 100051 Page 3 of 15 "' Form 3051 1/01,
O9OOO ;1. '- 4 5 7
Security Instrument is return~.d to Lender unpaid, Lender may reqmre that any or all subsequent payments
due under the Note and thfs 'Security Instrument be made in one or more of the following tbrms, as
selected by Lender: (a) casa:: (b) money order; (c) certified check, bank check, treasurer's check or
cashier's check, provided ar yt such check is drawn upon an institution whose deposits are insured by a
federal agency, instrumental; :y, or entity; or (d) Electronic Funds Transfer.
Payments are deemed t :ce;red by Lender when received at the location designated in the Note or at
such other location as may b., 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 Lende!r may accept any payment or partial payment insufficient to bring the Loan
current, without waiver of a~ty 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 l'a)ment is applied as of its scheduled due date, then Lender need not pay
interest on unapplied funds ender 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 balance under the Note immediately prior to foreclosure. No offset or claim which Borrower
might have now or ~n the fi: ~.ure against Lender shall relieve Borrower from making payments due under
the Note and this Security In;trument or perforn-fing 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 applibt~ by Lender shall be applied in the tbllowing order of priority: (a) interest
due under the Note; (b) prit~clPal due under the Note; (c) amounts due under Section 3. Such payments
shall be applied to each Per!odic Payment in the order in which it became due. Any remaining amounts
shall be applied first to late ~:harges, second to any other amounts due under this Security Instrument, and
then to reduce the principal I:'alance 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, each payment can be
paid in full. To the extent that any excess exists after the payment is applied to the full payment of one or
more Periodic Payments, suc.h excess may be applied to any late charges due. Voluntary prepayments shall
be applied first to any prepayment charges and then as described in the Note.
Any application of payrnents, insurance proceeds, or Miscellaneous Proceeds to principal due under
the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments.
3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due
under the Note, until the No e.is paid in full, a sum (the "Funds") to provide for payment of amounts due
for: (a) taxes and assessments ~d other items which can attain priority over this Security Instrument as a
lien or encumbrance on the )roperty; (b) leasehold payments or ground rents on the Property, if any; (c)
premiums for any and all i:isurance required by Lender under Section 5; and (d) Mortgage Insurance
premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage
Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow
Items." At origination or at a~y time during the term of the Loan, Lender may require that Community
Association Dues, Fees, an~ Assessments, if any, be escrowed by Borrower, and such dues, fees and
assessments shall be an Escr(,w Item. Borrower shall promptly furnish to Lender all notices of amounts to
be paid under this Section. l~;orrower shall pay Lender the Funds for Escrow hems unless Lender waives
Borrower's obligation to pay the Funds for any or all Escrow Items. Lender may waive Borrower's
obligation to pay to Lender Funds for any or all Escrow Items at any time. Any such waiver may only be
in writing. In the event of su,'.h waiver, Borrower shall pay directly, when and where payable, the amounts
470GLESBY. W04
Initials:/ ~./~
(~6(WY) (0005) Page,~ oi ~5 Form 3051 1/01
due for any Escrow Items f Jr'which payment of Funds has been waived by Lender and, if Lender requires,
shall furnish to Lender rec~:igts evidencing such payment within such time period as Lender may require.
Borrower's obligation to rrak;e such payments and to provide receipts shall for all purposes be deemed to
be a covenant and agreemeLt contained in this Security Instrument, as the phrase "covenant and agreement"
is used in Section 9. If Borrpwer is obligated to pay Escrow Items directly, pursuant to a waiver, and
Borrower fails to pay the a:ncmnt due for an Escrow Item, Lender may exercise its rights under Section 9
and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any 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 Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in
such amounts, that are then required under this Section 3.
Lender may, at any ti~e~ collect and hold Funds in an amount (a) sufficient to permit Lender to apply
the Funds at the time spec-,fit::d under RESPA, and (b) not to exceed the maximum antount a lender can
require under RESPA. Let der shall estimate the amount of Funds due on the basis of current data and
reasonable estimates of exl.,er,,ditures of future Escrow Items or otherwise in accordance with Applicable
Law.
The Funds shall 'be held in an institution whose deposits are insured by a federal agency,
instrumentality, or entity (including Lender, if Lender is an institution whose deposits are so insured) or in
any Federal Home Loan Baak. Lender shall apply the Funds to pay the Escrow Items no later than the time
specified under RESPA.' Lander shall not charge Borrower tbr holding and applying the Funds, annually.
analyzing the escrow accou ~t, or verifying the Escrow Items, unless Lender pays Borrower interest on the
Funds and Applicable Law,permits Lender to make such a charge. Unless an agreement is made in writing
or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower
any interest or earnings on~ th,e Funds. Borrower and Lender can agree in writing, however, that interest
shall be paid on the Funds. Lender shall give to Borrower, without charge, an 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 futtds in accordance with RESPA. If there is a shortage of Funds held in escrow,
as defined under RESPA, f'ender shall notify Borrower as required by RESPA, and Borrower shall pay to
Lender the amount necessary to make up the shortage in accordance with RESPA, but in no more than 12
monthly payments. If there,is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall
notify Borrower as requirer, by RESPA, and Borrower shall pay to Lender the amount necessary to make
up the deficiency in accordance with RESPA, but in no more than 12 monthly payments.
Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund
to Borrower any Funds hel~' by Lender.
4. Charges; Liens. iLtorrower shall pay all taxes, assessments, charges, fines, and impositions
attributable to the Property which can attain priority over this Security Instrument, leasehold payments or
ground rents on the Propert.)', if any, and Community Association Dues, Feesl and Assessments, if any. To
the extent that these items a'e Escrow Items, Borrower shall pay them in the manner provided in Section 3.
Borrower shall promF, ly discharge 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, but only so lon~ as Borrower is perfornting such agreement; (b) contests the lien in good faith
by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to
prevent the enforcement of'the lien while those proceedings are pending, but only until such proceedings
are concluded; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating
the lien to this Security Ins:'rument. If Lender detem-dnes that any part of the Property is subject to a lien
which can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the
470GLESBY i W04
(~'6(WYI (ooo5~
Inilials: , .
Page 5 of 15
Form 3051 1/01
0 000 ;:1.
459
lien. Within 10 days of the cate on which that notice is given, Borrower shall satisfy the lien or take one or
more of the actions set forth"above in this Section 4.
Lender may require [ o?rower to pay a one4ime charge for a real estate tax verification and/or
reporting service used by Lender in connection with this Loan
5. Property Insuranc('. Borrower shall keep the improvements now existing or hereafter erected on
the Property insured against loss by fire, hazards included within the term "extended coverage," and any
other hazards including, bu! not limited to, earthquakes and floods, for which Lender requires insurance.
This insurance shall be maintained in the amounts (including deductible levels) and for the periods that
Lender requires. What Lencer requires pursuant to the preceding sentences can change during the term of
the Loan. The insurance cmri~r providing the insurance shall be chosen by Borrower subject to Lender's
right to disapprove Borrov eps choice, which right shall not be exercised unreasonably. Lender may
require Borrower to pay, ia connection with this Loan, either: (a) a one-time charge for flood zone
determination, certification .md tracking services; or (b) a one-time charge for flood zone determination
and certification services ard subsequent charges each time remappings or similar changes occur which
reasonably might affect such deternfination or certification. Borrower shall also be responsible for the
payment of any fees imposleC~ by the Federal Emergency Management Agency in connection with the
review of any flood zone detCrafination resulting from an objection by Borrower.
If Borrower fails to n aintain any of the coverages described above, Lender may obtain insurance
coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purcbase any
particular type or amount o!' coverage. Therefore, such coverage shall cover Lender, but might or.might
not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk,
hazard or liability and migl:t provide greater or lesser coverage than was previously in effect. Borrower
acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of
insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall
become additional debt of B.3rrower secured by this Security Instrument. These amounts shall bear interest
at the Note rate from the d~te of disbursement and shall be payable, with such interest, upon notice from
Lender to Borrower requesti.~g payment.
All insurance policies required by Lender and renewals of such policies shall be subject to Lender's
right to disapprove such p(licies, shall include a standard mortgage clause, and shall name Lender as
mortgagee and/or as an additic, nal loss payee. Lender shall have the right to hold the policies and renewal
certificates. If Lender requi~esl Borrower shall promptly give to Lender all receipts of paid premiums and
renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender,
for damage to, or destructien of, the Property, such policy shall include a standard mortgage clause and
shall name Lender as m0rtg~gee and/or as an additional loss payee.
In the event of loss, B )rrower shall give prompt notice to the insurance carrier and Lender. Lender
may make proof of loss if n)t 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
be applied to restoration or "epair of the Property, if the restoration or repair is econon-Lically feasible and
Lender's security is not lesskned. During such repair and restoration period, Lender shall have the right to
hold such insurance procee6s until Lender has had an opportunity to inspect such Property to ensure the
work has been completed 'i!o Lender;s satisfaction, provided that such inspection shall be undertaken
promptly. Lender may disbt rse proceeds for the repairs and restoration in a single payment or in a series
of progress payments as the x, ork is completed. Unless an agreement is made in writing or Applicable Law
requires interest to be paid ~ n such insurance proceeds, Lender shall not be required to pay Borrower any
interest or earnings on such proceeds. Fees for public adjnsters, or other third parties, retained by
Borrower shall not be paid 5ul 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
proceeds shall be applied to th? sums secured by this Security Instrument, whether or not then due, with
470GLESBY, W04 ~'
Initials:
~-6{WY) (goos} Page ~ of ~5 "' Form 3051 1/01
O O00L;1
the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in
Section 2.
If Borrower abandons tl~e Property, Lender may file, negouate and settle any available insurance
claim and related matters. ',f 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 th,~, r, otice is given. In either event, or if Lender acquires the Property under
Sectiou 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance
proceeds in an amount not to ?xceed the amounts unpaid under the Note or this Security Instrument, and
(b) any other of Borrower.'s rights (other than the right to any refund of unearned premimns paid by
Borrower) under all insurance policies covering the Property, insofar as such rights are applicable to the
coverage of the Property. L'~nder may use the insurance proceeds either to repair or restore the Property or
to pay amounts unpaid under the Note or this Security Instrument, whether or not.then due.
6. Occupancy. Borrcwer shall occupy, establish, and use the Property as Borrower's principal
residence within 60 days aiter the execution of this Security Instrmnent and shall continue to occupy the
Property as Borrower's prircipal residence for at least one year after the date of occupancy, unless Lender
otherwise agrees in writing, ~vhich consent shall not be unreasonably withheld, or unless extenuating
circumstances exist which a 'e beyond Borrower's control.
7. Preservation, Maiatcnance and Protection o1' the Property; Inspections. Borrower shall not
destroy, damage or impai: the Property, allow the Property to deteriorate or commit waste on the
Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in
order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is
deternfined pursuant to Section 5 that repair or restoration is not economically 'feasible, Borrower shall
promptly repair the Prop?ty if dmnaged 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 Lender has released proceeds for such
purposes. Lender may disbt'rst! proceeds for the repairs and restoration in a single payment or in a series of
progress payments as the w~rk is completed. If the insurance or condemnation proceeds are not sufficient
to repair or restore the Pro2er~y, Borrower is not relieved of Borrower's obligation for the completion of
such repair or restoration.
Lender or its agent may: make reasonable entries upon and inspections of the Property. If it has
reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give
Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause.
8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application
process, Borrower or any ~persous or entities acting at the direction of Borrower or with Borrower's
knowledge or consent gave materially false, misleading, or inaccurate information or statements to Lender
(or failed to provide Le'~der with material intbrmation) in connection with the Loan. Material
representations include, bui' m"e not limited to, representations concerning Borrower's occupancy of the
Property as Borrower's prinzipal residence.
9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If
(a) Borrower fails to perfon'n the covenants and agreements contained in this Security Instrument, (b) there
is a legal proceeding that nfight significantly affect Lender's interest in the Property and/or rights under
this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for
enforcement of a lien whi,;h may attain priority over this Security Instrument or to enforce laws or
regulations), or (c) Borrow;~r has abandoned the Property, then Lender may do and pay for whatever is
reasonable or appropriate .o protect Lender's interest in the Property and rights under this Security
Instrument, including protectirig 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 ti,is Security Instrument; (b) appearing in court; and (c) paying reasonable
470GLESBY.W04
(~-6(WY) 1o0o5) ' , Page 7 of 15 Form 3051 1/01
attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including
tis secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to,
entering the Property to ma;ce repairs, change locks, replace or board up doors and windows, drain water
from pipes, eliminate building or other code violations or dangerous conditions, and have utilities 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 obligatiott to., do so. It is agreed that Lender incurs uo liability for not taking any or all
actions authorized under thL, Section 9. '
Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower
secured by this Security ImtrUment. These amounts shall bear interest at the Note rate from the date of
disbursement and shall be I:ayable, with such interest, upon notice from Lender to Borrower requesting
payment.
If this Security Instrm ~ent is on a leasehold, Borrower shall comply with all the provisions of the
lease If Borrower acquires fee title to the Property, the leasehold and the tee title shall not merge unless
Lender agrees to the merger 'in writing.
10. Mortgage Insuran'ee. If Lender required Mortgage Insurance as a condition of making the Loan,
Borrower shall pay the prerr~iutns required to maintain the Mortgage Insurance in effect. If, for any reason,
the Mortgage Insurance cow:rage required by Lender ceases to be available from the mortgage insurer that
previously provided such it~su~:ance and Borrower was required to make separately designated payments
toward the premiums for iVlortgage Insurance, Borrower shall pay the premiums required to obtain
coverage substantially equivalent to the Mortgage Insurance previously in effect, at a cost substantially
equivalent to the cost to Eon'ower of the Mortgage Insurance previously in effect, from an alternate
mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not
available, Borrower shall conti~;me to pay to Lender the amount of the separately designated payments that
were due when the insuran~:e coverage ceased to be in effect. Lender will accept, use and retain these
payments as a non-refundable, loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be
non-refundable, notwithstanling the fact that the Loan is ultimately paid in full, and Lender shall not be
required to pay Borrower ar.y interest or earnings on such loss reserve. Lender can no longer require loss
reserve payments if Mortgage ~nsurance coverage (in the amount and for the period that Lender requires)
provided by an insurer selected by Lender again becomes available, is obtained, and Lender requires
separately designated payme ars toward the premiums for Mortgage Insurance. If Lender required Mortgage
Insurance as a condition of m~ing the Loan and Borrower was required to make separately designated
payments toward, the premi.~ms for Mortgage Insurance, Borrower shall pay the premiums required to
maintain Mortgage h~suranze in effect, or to provide a non-refundable loss reserve, until Lender's
requirement for Mortgage Irsurance ends in accordance 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'~ obligation to pay interest at the rate provided in the Note.
Mortgage Insurance re mburses Lender (or any eutity that purchases the Note) for certain losses it
may recur if Borrower doeg not repay the Loan as agreed. Borrower is not a party to the Mortgage
Insurance.
Mortgage insurers eval ~ate their total risk on all such insurance in force from time to time, and may
enter into agreements with ocher parties that share or modify their risk, or reduce losses. These agreements
are on terms and conditions fha: are satisfactory to the mortgage insurer and the other party (or parties) to
these agreements. These agr.~ements may require the mortgage insurer to make payments using any source
of funds that the mortgage iasurer 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 lbregoing, may receive (directly or indirectly) amounts that
derive from (or might be cl-ara'cterized as) a portion of Borrower's payments Ibr Mortgage Insurance, tn
exchange ]:'or sharing or iht difying the mortgage insurer's risk, or reducing losses. If such agreement
provides that an affiliate o; Lender takes a share of the insurer's risk in exchange tbr a share of the
premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further:
(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for
Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amount
Borrower will owe for Mortgage Insurance, and they will not entitle Borrower to any refund.
470GLESBY. W04
6{WY) 1o005} Page a of 15 - Form 3051 1/01
462
(h) Any such agreements will not affect the rights Borrower has - if any - with respect to the
Mortgage Insurance nude? the Homeowners Protection Act of 1998 or any other law. These rights
may include the right tO receive certain disclosures, to request and obtain cancellation of the
Mortgage Insurance, to htvd the Mortgage Insurance terminated automatically, and/or to receive a
refund of any Mortgage Iasurance premimns that were unearned at the time of such cancellation or
termination.
11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby
assigned to and shall he pabt to Lender:
If the Property is darcaged, such Miscellaneous Proceeds shall he applied to restoration or repair of
the Property, if the restoration or repair is economically feasible and Lender's security is not lessened.
During such repair and restoration period, Lender shall have the right to hold such Miscellaneous Proceeds
until Lender has had an o~portunity to inspec~ such Property to ensure the work has been completed to
Lender's satisfaction, provided that such inspection shall he undertaken promptly. Lender may pay for the
repairs and restoration in a single disbursement or in a series of progress payments as the work is
completed. Unless an agree;.nent is made in writing or Applicable Law requires interest to be paid on such
Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such
Miscellaneous Proceeds. If ;he restoration or repair is not economically feasible or Lender's security would
he lessened, the Miscellaneous Proceeds Shall be applied to the sums secured by this Security Instrument,
whether or not then Sue, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be
applied in the order provides for in Section 2.
In the event of a total :;akin~, destruction, or loss in value of the Proper~y, the Miscellaneous
Proceeds shall be applied to the sums secured Dy this Security Instrument, whether or not then due, with
the excess, if any, paid to Borrower.
In the event of a partial t~king, destruction, or loss in value of the Property in which the fair market
value of the Property iunn,~diately before the partial taking, destruction, or loss in value is equal to or
greater than the amount of the sums secured by this Security Instrument inm~ediately before the partial
taking, destruction, or loss in value, unless Borrower and £ender otherwise agree in writing, the sums
secured by this Security !nst:ument shall he reduced by the amount of the Miscellaneous Proceeds
multiplied by the followin;; kaction: (a) the total amount of the sums secured immediately before the
partial taking, destruction, o~' loss in value divided by (h) the fair market value of the Property
immediately before the part;al ;aking, destruction, or loss in value. Any balance shall De paid to Borrower.
In the event of a partial taking, destruction, or loss in value of the Property in which the fair market
value of the Property innn~diately before the partial taking, destruction, or loss in value is less than the
amount of the sums secureJ i~nmediately before the partial taking, destruction, or loss in value, unless
Borrower and Lender other :dsc agree in writing, the Miscellaneous Proceeds shall he applied to the sums
secured by this Security Ins~rmaent whether or not the sums are then due.
If the Property is abmdoned by Borrower, or if, after notice by Lender to: Borrower that the
Opposing Party (as defined, in the next sentence) offers to make mi award to settle a claim for damages,
Borrower fails to respond tt, Lender within 30 days after the date the notice is given, Lender is authorized
to collect and apply the M scellaneous Proceeds either to restoration or repair of the Property or to the
sums secured by this Securi' y Instrument, whether or not then due. "Opposing Party" means the third party
that owes Borrower MiscelJaneous Proceeds or the party against whom Borrower has a right of action in
regard to Miscellaneous Prc':eeds.
Borrower shall be in default if any action or proceeding, whether civil or criminal, is begun that, in
Lender's judgment, could resclt in forfeiture of the Property or other material impairment of Lender's
interest in the Property or tights under this Security Instrument. Borrower can cure such a default and, if
acceleration has occurred, reinstate as provided in Section 19, by causing the action 'or proceeding to be
dismissed with a ruling tha', in Lender's judgment, precludes forfeiture of the Property or other material
impairment of Lender's inu rest in the Property or rights under this Security Instrument. The proceeds of
any award or claim for damages that are attributable to the impairment of Lender's interest in the Property
'are hereby assigned and shaT l be paid to Lender.
All Miscellaneous Pre ceeds that are not applied to restoration or repair of the Property shall be
applied in the order provide 1 for in Section 2.
470GLESBY, g/04
~-6{wv) iooo~
Initials: ~_~0
Page 9 of 15 Form 3051 1/01
O O00 L 463
12. Borrower Not Ri.leased; Forbearance By Lender Not a Waiver. Extension of the time for
paymen[ or modification of unortization of the sums secured by this Security Instrument granted by Lender
to Borrower or any Success:,r in Interest of Borrower shall not operate to release the liability of Borrower
or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against
any Successor in Interest (,f Borrower or to refuse to extend time for payment or otherwise modify
mnortization of the sums secured by this Security Instrument by reason of any demand made by the original
Borrower or any Successors ih Interest of Borrower. Any forbearance by Lender in exerci sing any right or
remedy including, without l:imitation, Lender's acceptance of payments from third persons, entities or
Successors in Interest of Bo~:rawer or in amounts less than the amount then due, shall not be a waiver of or
preclude the exercise of any right or remedy.
13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants
and agrees that Borrower's c ~ligations and liability shall be joint and several. However, any Borrower who
co-signs this Security Instr4ment but does not execute the Note (a "co-signer'): ia) is co-signing this
Security Instrument only to mortgage, grant and convey the co-signer's interest in the Property under the
terms of this Security Instrt~ment; (b) is not personally obligated to pay the sums secured by this Security
Instruxnent; and (c) agrees hat Lender and any other Borrower can agree to extend, modify, forbear or
make any accommodations vith regard to the terms of this Security Instru~nent or the Note without the
co-signer's consent.
Subject to the provis ons of Section 18, any Successor in Interest of Borrower who assumes
Borrower's obligations und~ r this Security Instrument in writing, and is approved by Lender, shall obtain
all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from
Borrower's obligations and iabili'ty under this Security Instrument unless Lender agrees to such release in
Writing. The covenants and agreements of this Security Instrument shall bind (except as provided in
Section 20) and benefit the successors and assigns of Lender.
14. Loan Charges. k~nder may charge Borrower fees for services performed in connection with
Borrower's default, for the purpose of protecting Lender's interest in the Property and rights under this
Security Instrument, includi ~,g, but not limited to, attorneys' fees, property inspection and valuation fees.
In regard to any other fees, "be 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. Lender may not charge
fees that are expressly prohib~[ed by this Security Instrument or by Applicable Law.
If the Loan is subject to a law which sets maximum loan charges, and that law is finally interpreted so
that the interest or other lo ,an~ charges collected or to be collected in connection with the Loan exceed the
permitted limits, then: ia) ~ny such loan charge shall be reduced by the amount necessary to reduce the
charge to the permitted linfih and (b) any sums already collected from Borrower which exceeded permitted
limits will be refunded to Bc:rrower. Lender may choose to make this refund by reducing the principal
owed under the Note or b;~ making a direct payment to Borrower. If a refund reduces principal, the
reduction will be treated as a partial prepayment without any prepayment charge (whether or not a
prepayment charge is prgvided for under the Note). Borrower's acceptance of any such refund made by
direct payment to Borrower ?ill constitute a waiver of any right of action Borrower might have arising out
of such overcharge.
15. Notices. All notici~s given by Borrower or Lender in connection with this Security Instrument
must be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed to
have been given to BorroW,:r. when mailed by first class mail or when actually delivered to Borrower's
notice address if sent by other means. Notice to any one Borrower shall constitute notice to all Borrowers
unless Applicable Law exp::e:bsly requires otherwise. The notice address shall be the Property Address
unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly
notify Lender of BorroWerL'-. 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 deikgnated notice address under this Security Instrument at any one time. Any
notice to Lender shall be gv!en by delivering it or by mailing it by first class mail to Lender's address
stated herein unless Lender has designated another address by notice to Borrower. Any notice in
connection with this Securit/:Instrument shall not be deemed to have been given to Lender until actually
received by Lender. If any a0tice required by this Security Instrument is also required under Applicable
Law, the Applicable Law ;dquirement will satisfy the corresponding requirement under this Security
Instrument.
470(~LESBY. W04
(~-6(WY) (0005) ., Page ~o Of ~5 Form 3051 1/01
16. Governing Law Severability; Rules of Construction. This Security Instrument shall be
governed by federal law and the law of the jurisdiction in which the Property is located. All rights and
obligations contained in tai.s Security Instrument are subject to any requirements and limitations of
Applicable Law. Applicabl,.~ Law might explicitly or implicitly allow the parties to agree by contract or it
might be silent, but such s:lence shall not be construed as a prohibition against agreement by contract. In
the event that any provisicmor clause of this Security Instrument or the Note conflicts with Applicable
Law, such conflict shall nc t ,affect other provisions of this Security Instrument or the Note which can be
given effect without the cot Ilicting provision.
As used in this Security Instrument: (a) words of the masculine gender shall mean and include
corresponding neuter word;'.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
take any action.
17. Borrower's Copy. Borrower shall be given one copy of the Note and of this SeCurity Instrument.
18. Transfer of the ?roperty 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, bul not limited
to, those beneficial interest; transferred in a bond for deed, contract for deed, installment sales contract or
escrow agreement, the inter t of which is the transfer of title by Borrower at a future date to a purchaser.
If all or any part of th.e Property or any Interest in the Property is sold or transferred (or if Borrower
ts not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior
written consent, Lender n'ay require immediate payment in full of all sums secured by this Security
Instrument. However, this oPtion shall not be exercised by Lender if such exercise is prohibited by
Applicable Law.
If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall
provide a period of not les:; than 30 days from the date the notice is given in accordance with Section 15
within which Borrower mt. st pay all sums secured by this Security Instrument. If Borrower fails to pay
these sums prior to the e> piration of this period, Lender may invoke any remedies permitted by this
Security Instrument without farther notice or demand on Borrower.
19. Borrower's RighF to Reinstate After Acceleration. If Borrower meets certain conditions,
Borrower shall have the ri,>ht to have enforcement of this Security Instrument discontinued at any time
prior to the earliest of: (a) iSve days before sale of the Property pursuant to any power of sale contained in
this Security Instrument; (')) such other period as Applicable Law might specify for the termination of
Borrower's right to reinstate; or (c) entry of a judgment enforcing this Security Instrument. Those
conditions are that Borrouer: (a) pays Lender all sums which then would be due under this Security
Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or
agreements; (c) pays all exkeuses incurred in enforcing this Security Instrmnent, including, but not limited
to, reasonable attorneys' f)es, property inspection and valuation fees, and other fees incurred for the
purpose of protecting Lend~r.'s interest in the Property 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 h~strument, 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 cbeck, provided any such check is drawn upon
an institution whose deposits.are insured by a federal agency, instrumentality or entity; or (d) Electronic
Funds Transfer. Upon reinstatement by Borrower, this Security Instrument and obligations secured hereby
shall remain fulty effective as if no acceleration had occurred. However, this right to reinstate shall not
apply in the case Of accelerati6n under Section 18.
20. Sale of Note; Ch~mge of Loan Servicer; Notice of Grievance. The Note or a partial interest in
the Note (together with this Security Instrument) can be sold one or more times without prior notice to
Borrower. A sale might rdst~lt in a change in the entity (known as the "Loan Servicer") that collects
Periodic Payments due unde/: the Note and this Security Instrument and performs other mortgage loan
servicing obligations under :tl~e Note, this Security Instrument, and Applicable Law. There also might be
one or more changes of the Loan Servicer unrelated to a sale of the Note. If there isa change of the Loan
Servicer, Borrower will be gi'ven written notice of the change which will state the name and address of the
new Loan Servicer, the ad:lr~ess to which payments should be made and any other information RESPA
470GLESBY. W04
Initials:
(~-6(WY} 1ooo5} Page ~ gl ~5 Form 3051 1/01
o 0o0¢;1 4 6 5
470GLESBY,WO4
~-6(WY) <ooo~
requires in connection with ~ notice of transfer of servicing. If the Note is sold and thereafter the Loan is
serviced by a Loan Servic~r:o;her than the purchaser of the Note, the mortgage loan servicing obligations
to Borrower will remain witi the Loan Servicer or be transferred to a successor Loan Servicer and are not
assumed by the Note purchase~ unless otherwise provided by the Note purchaser.
Neither Borrower nor ~ender may connnence, join, or be joined to any judicial action (as either an
individual litigant or the member of a class) that arises from the other party's actions pursuant to this
Security Instrument or that 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 frith the requirements of Section 15) of such alleged breach and afforded the
other party hereto a reasonable period after the giving of such notice to take corrective action. If
Applicable Law provides a' tirne period which must elapse before certain action can be taken, that time
period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and
opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to
Borrower pursuant to Sectic'n 18 shall be deemed to satisfy the notice and opportunity to take corrective
action provisions of this Section 20.
21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those
substances defined as toxic or hazardous substances, pollutants, or wastes by Enviromnental Law and the
following substances: gasol;ine, kerosene, other flairnnable or toxic petroleum products, toxic pesticides
and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials;
(b) "Environmental Law" mq'ans federal laws and laws of the jurisdiction where the Property is located that
relate to health, safety or e ~vironmental protection; (c) "Environmental Cleanup" includes any response
action, remedial action, or ~emoval action, as defined in Environmental Law; and (d) an "Environmental
Condition" means a condition that can cause, contribute to, or otherwise trigger an Environmental
Cleanup.
Borrower shall not cau:ie or permit the presence, use, disposal, storage, or release of any Hazardous
Substances, or threaten to re ea;se any Hazardous Substances, on or in the Property. Borrower shall not do,
nor allow anyone else to do. a:i~ything affecting the Property (a) that is in violation of any Environmental
Law, (b) which creates an E ~vironmental 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 ap[',ly 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 promptiy give Lender written notice of (a) any investigation, claim, demand, lawsuit
or other action by any goveinmental or regulatory agency or private party involving the Property and any
Hazardous Substance or I.,nvironmental Law of which Borrower has actual knowledge, (b) any
Environmental Condition, ~n:ludlng but not lim/ted to, any spilling, leaking, discharge, release or threat of
release of any Hazardous S.]bstance, and (c) any condition caused by the presence, use or release of a
HazardoUs Substance which adversely affects the value of the Property. If Borrower learns, or is notified
by any governmental or reg!datory authority, or any private party, that any removal or other remediation
of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary
remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on
Lender for an Environmenta!..,'Cl'eanup.
Page 12 of 15
Initials: ~/'g~]~
Form 3051 1101
09000 1
-466
NON-UNIFORM COVENANTS. BorroWer and Lender further covenant and agree as follows:
22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following
Borrower's breach of any covenant or agreement in this Security Instrument (but not prior to
acceleration under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (a)
the default; (b) the action required to cure the default; (c) a date, not less than 30 days from the date
the notice is given to B0rxower, by which the default must be cured; and (d) that failure to cure the
default on or before the d itc specified in the notice may result in acceleration of the sums secured by
this Security Instrument :md sale of the Property. The notice shall further inform Borrower of the
right to reinstate after accele;-ation and the right to bring a court action to assert the non-existence of
a default or any other defense of Borrower to acceleration and sale. If the default is not cured on or
before the date specified in the notice, Lender at its option may require immediate payment in full of
all sums secured by this Security Instrument without further demand and may invoke the power of
sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all
expenses incurred in purmdng the remedies provided in this Section 22, including, but not limited to,
reasonable attorneys' fees and costs of title eviflence.
If Lender invokes tha power of sale, Lender shall give notice of intent to foreclose to Borrower
and to the person in pos.,:ession of the Property, if different, in accordance with Applicable Law.
Lender shall give notice oq 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 prescribed by Applicable
Law. Lender or its design ~e may purchase the Property at any sale. The proceeds of the sale shall be
applied in the following order: (a) to all expenses of the sale, including, but not limited to,
reasonable attorneys' fees (1~) to all sums secured by this Security Instrument; and (c) any excess to
the person or persons legally entitled to it.
23. Release. Upon pai.~ment of all sums secured by this Security Instrument, Lender shall release this
Security Instrument. Borro~ver shall pay any recordation costs. Lender may charge Borrower a fee for
releasing this Security Instr.~ment, but only if the fee is paid to a third party for services rendered and the
charging of the fee is permit, ted under Applicable Law.
24. Waivers. Borrower' releases and waives all rights under and by virtue of the homestead
exemption laws of Wyoming.
470GLESBY. W04
(~-6(WY) Iooo5)
Page~3of~5 Form 3051 1/01
BY SIGNING BELOW, Borrower accepts and agrees to the terms and covenants contained in this
Security Instrument and in a:ty Rider executed by Borrower and recorded with it.
Witnesses:
~ ~'~z4~ (Seal)
WESLEY/iq. OG L/E S'B,)( -Borrower
!
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
~Borrower
(Seal)
-Borrower
(Seal)
-Borrower
470GLESBY. W04
II~6(WY) 100051
Page 14 of 15
Form 3051
1/01
O )o00fil
STATE OF WYOMING,
The foregoi.ng instrument was acknowledged before me this
byWESLEY M. OGLESBY ana MARY M. OGLESBY
June 9.
County ss:
2004
My Commission Expires:
County o! ~ State cf ~
Lincoln ~ W¥omirg ~
Notary Public
470GLESBY. W04
Page 15 of 15
Form 30.51
1/Ol
ADJUSTABLE RATE RIDER
(1 Year Treasury Index - Rate Caps)
THIS ADJUSTABLE RA.TE RIDER is made this 9th day of June. 2004
and ~s incorporated into and shall be deemed to amend and supplement the Mortgagel
Deed of Trust, or Security Deed (the "Security Instrument") of the same date given by the undersigned (the
"Borrower") to secure Borrower's Adjustable Rate Note (the "Note") to
FIRST INTERSTATE BANK. A CORPORATION
(the "Lender") of the same ti~,.te and covering the property described in the Security Instrument and
located at:
134 LUPINE DRIVE.THAYNE.WY 83127
[Property Address]
THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE
INTEREST RATE ~ND THE MONTHLY PAYMENT. THE NOTE LIMITS THE
AMOUNT THE BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE
TIME AND THE M/~XIMUM RATE THE BORROWER MUST PAY.
ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security
Instrument, Borrower and Lender further covenant and agree as follows:
A. INTEREST RATE AND I~'IONTHLY PAYMENT CHANGES
The Note provides for an initial interest rate of /1. 7500
changes in the interest rate and t~e monthly payments as follows:
%. The Note provides for
4. INTEREST RATE AND I~.'~ONTHLY PAYMENT CHANGES
(A) Change Dates
The interest rate I will pay may change on.the first day of dune 2007
and on that day every 12th month thereafter. Each date on which my interest rate could change is called a
"Change Date."
MULTISTATE ADJUSTABLE RATIL RIDER - ARM 5-2 -Single Family- Fannie Mae/Freddie Mac
UNIFORM INSTRUMENT
Fannie Mae 4-215-21B-2 ARM
(~)822R (0008) Form 3Tll 1/01
470
01) The Index
Beginning with the first Change Date, my interest rate will be based on an Index. The "Index" is the
weekly average yield on United States Treasury securities adjusted to a constant maturity of one year, as
made available by the Federal R,eserve Board. The most recent Index figure available as of the date 45 days
before each Change Date is cailed the "Current Index."
If the Index is no longer available, the Note Holder will choose a new index which is based upon
comparable information. The Note Holder will give me notice of this choice.
(C) Calculation of Chan. ges
Before each Chmtge Date, the Note Holder will calculate my new interest rate by adding
Two and Five / Eight~',s percentage points
( 2. 6250 % } to the Current Index. The Note Holder will then round the result of this
addition to the nearest one-cig ~th of one percentage point (0.125%). Subject to the limits stated in Section
4(D) below, this rounded amount will be my new interest rate until the next Change Date.
The Note Holder will thf.n determine the amount of the monthly payment that would be sufficient to
repay the unpaid principal that 1 am expected to owe at the Change Date in full on the maturity date at my
new interest rate in substantially equal payments. The result of this calculation will be the new amount of
my monthly payment
(D) Limits on Interest Rate Changes
The interest rate I am required to pay at the first Change Date will not be greater than
6. 7500 % C~r less than 2. 7500 %. Thereafter, my interest rate will
never be increased or decreas,~d on any single Change Date by more than two percentage points (2.0%)
from the rate of interest I have been paying for the preceding 12 months My interest rate will never be
greater than ].0.75D ) %.
(E) Effective Date of Ch anges
My new interest rate wil become effective on each Change Date. I will pay the amount of my new
monthly payment beginning on,he first monthly payment date after the Change Date until the amount of
my monthly payment changes again.
(~822R (0008) Page 2 of 4
Initials: ~v~,~ O
· ' Form 3111 1/01
0 000{;1.
471
(F) Notice of Changes
The Note Holder will deliver or mail to me a notice of any changes in my interest rate and the amount
of my monthly payment befo 'e the effective date of any change. The notice will include information
required by law to be given to ,ne and also the title and telephone number of a person who will answer any
question I may have regarding (he notice.
B. TRANSFER OF THE .PROPERTY OR A BENEFICIAL INTEREST IN BORROWER
Section 18 of the Security Ihstr~ment is amended to read as follows:
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 to, those 0eneficial interests transferred in a bond for deed, contract for deed,
installment sales contract or escrow agreement, the intent of which is the transfer of title by
Borrower at a future date ':o a purchaser.
If all or any part of :"he Property or any Interest in the Property is sold or transferred (or if
Borrower is not a natura, 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 Security Instrument. However, this option shall not be exercised by Lender
if such exercise is prohibited by Applicable Law. Lender also shall not exercise this option if:
(a) Borrower causes to bc submitted to Lender information required by Lender to evaluate the
intended transferee as if a new loan were being made to the transferee; and (b) Lender
reasonably determines that 'Lender's security will not be impaired by the loan assumption and
that the risk of a breach of' any covenant or agreement in this Security Instrument is acceptable to
Lender.
To the extent perm*tted by Applicable Law, Lender may charge a reasonable fee as a
condition to Lender's con ~ent to the loan assumption. Lender may also require the transferee to
sign an assumption agreenent that is acceptable to Lender and that obligates the transferee to
keep all the promises mid agreements made in the Note and in this Security Instrument.
Borrower will continue to be obligated under the Note and this Security Instrument unless
Lender releases Borrower in writing.
If Lender exercises !he option to require immediate payment in full, Lender shall give
Borrower notice of accele-:ation. The notice shall provide a period of not less than 30 days from
the date the notice is givea in accordance with Section 15 within which Borrower must pay all
sums secured by this Ser urity Instrument. If Borrower fails to pay these sums prior to the
expiration of this period, Eeader may invoke any remedies permitted by this Security Instrument
without further notice or demand on Borrower.
(~}~822R (00081
Initials:
Page 3 of 4 Form 3111 1/01
osooot)z 4 7 2
t
BY SIGNING BELOW
Adjustable Rate Rider.
· OGLE~SBY/
Borrower accepts and agrees to the terms and covenants contained in this
(Seal) (Seal)
-Borrower MAR~Y M~/~dL~S~'~J' {,J -Borrower
(Seal) (Seal)
-Borrower -Borrower
(Seal) (Seal)
-Borrower :Borrower
(Seal) (Seal)
-Borrower -Borrower
(~822R (0008) Page 4 of 4 Form 3111 1/01