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HomeMy WebLinkAbout900360RetumTo: WELLS FARGO HOME MORTGAGE 3601 MINNESOTA DR. SUITE 200 BLOOMINGTON, MN 55435 RECEIVED t_II'ICOLN Onl.. "T',,,, C_R~' Prepared By: WELLS FARGO BANK, N.Ao Boor. 5 5 9eop/., '-...-5 6 12550 SE 93RD AVE, SUIT]~ ;':00, CLACKAMAS, OR 970150000 . Spice Above This Lhie For Recording MORTGAGE DEFINITIONS Words used in multiple sectious'of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21i. Certain rules regarding fl~e usage 9f words used in tiffs docmnent are also provided in Section 16. ' (A) "Security Instrument" means fl~is docmnent, which is dated JUNE l. aK, 2004 togefl~er wifl~ all Riders to tiffs docmuent. (B) "Borrower" is BRUCE S PLOT'[' AND BERNADINE L PLOTT, HUSBAND AND WIFE Borrower ~s fl~e mortgagor under tl'fis:Security h~strun~em. (C) "Lender" is ~ELLS FARGO ,BANK, N.A. Lender is a NATIONAL .ASSOCIATION organized, and existing under d~e la'w~ of THE UNITED ST.ATES 0027999481 WYOMING-Single Family-F,,,~e Mae/li:ro,:ldie Mac UNIFORM INSTRUMENT Form 3051 1/01 Lender's address is P.O. BOX 1.0304, DES MOINES, IA 503060304 Lender is the tnortgagee under fils Security Instmmem. (D) "Note" means the pronfissmy .rote sigued by Borrower and dated,JUNE 15, 2004 The Note states that Borrower owes Lender ONE HUNDRED TEN THOUSAND SEVEN HUNDRED THIRTY THREE AND 00./100 Dollars (U. S. $ * * * * :1.:1. 0, ? 33.00 ) plus interest. Borrower has promised to pay dfis debt in regular Periodic Payments and to pay the debt in fidl not later than JULY 01, 2034 (E) "Property" means the prol:erty that is described below under the heading "Transfer of Rights iix die Property." (lq') "Loan" means the debt evicenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security Instrument, plus interest. (G) "Riders" meaus all Riders to this Security Instrument dmt are executed by Borrower. The lbllowing Riders are to be executed by Bo::rower [check box as applicable]: F~ Adjustable Rate Rider ['--'] Condonfitfium Rider [~ Secoud Itome Rider ~ Balloon Rider [~1 Fla~med Unit Development Rider ~-~ 1-4 Family Rider ~--] VA Rider ~] l~iweekly Payment Rider ~ Other(s) [specifyl (If) "Applicable Law" means all controlling applicable federal, state and It}cai statutes, regulations, ordi~mnces and administrative rales and orders (flint have the effect of law) as well as all applicable final, non-appealable judicial opinion.,:. (1) "Commnnity Association Dues, Fees, and Assess~nents" lneans all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condomiuium association, homeowners association or siufilar organization (J) "Electronic Funds Transfer' means any transfer of fimds, other than a transaction originated by check, draft, or similar paper inm-ument, which is initiated through ail electromc terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a fi~mncial institution to debit or credit an account. Such term includes, but is not linfited to, point-of-sale transfers, automated teller nmchine transactions, transfers; itfitiated by telephone, wire transfers, and autonmted clearinghouse transfers. (K) "Escrow Items" means those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any flfird party (oilier than insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or destruction of, '_fie Property; (ii) condemnation or other taking of all or any part of the Property; (iii) conveyance in lieu of condemnation; or (iv) misrepresentations of, or onnssions as to, the value and/or condition of the Plop2rty (M) "Mortgage Insurance" means insurance protecting Lender against file nonpayment of, or default ou, file Loan. (N) "Periodic Payment" mean,, file regularly scheduled amount due for (i) principal and interest under the Note, plus (ii) any amounts under Sectiou 3 of fids Security hlstrumeot. (O) "RESPA" means the Real Estate Settlement Procedures Act (12 U.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), as they might be amended t¥om time to time, or any additio~ml or successor legislation or regulation fliat governs the same subject nmtter. As used in this Security Instrument, "RESPA" refers to all requirements and restrictions that are nnposed in regard to a "federally related mortgage loan" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. Initials: ~ (~c.e-6(WY} Iooos} Pagc2o1115 Form 3051 1/01 (P) "Successor in Interest of Borrower" means any party that has taken title to dm Property, whefl~er or not that party has assumed Borrower's obligations under file Note and/or this Secnrity Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures ~:o Lender: (i) fl~e repayment of the Loan. and all renewals, extensions and modificatmns of the Note; and (ii) the perfornmnce of Borrower's cove~mnts and agreements under tiffs Security Instrument and the Note. For tiffs purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, fl~e following described property located in fim COUNTY of LINCOLN : ]Type of Recording Jurisdiction] lName of Recording Jurisdiction] LOT 68A, OF ALPINE VIrLA~E SUBDIVISION NO. 1, PLAT 3 AMENDED, LINCLOLN COUNTY, WYOMING AS DESCRIBED ON THE PARCEL DIVISION FILED MARCH 20, 1996 AS INSTRUMENT # 817052 OF THE RECORDS OF THE LINCOLN COUNTY CLERK *SEE ADJUSTABLE RATE RIDER TAX STATEMENTS SHOULD EE SENT TO: 10304, DES MOINES, IA 503060304 WELLS FARGO HOME MORTGAGE, P.O. BOX Parcel ID Nun~er: 12-3718-1'8-4-02-0020 I 't.jS'CEL NORN RiVE ALPINE ("Property Address"): which currently has file address of ]Street] [City] , Wyoufing 83128 [Zip Code] TOGETHER WITH all rte ;improvements now or hereafter erected on fl~e property, and all easements, appurtenances, and fixtures now or hereafter a part of file property. All replacements and additions shall also be covered by tiffs Security lnstm~nt. All of tim foregoing is referred to in fids Security Instrument as the "Property." BO~OWER COVENANqS flint Borrower is law~lly seised of fl~e estate hereby conveyed and has fl~e right to mortgage, grant and. convey file Property and that the Property is 'unencumbered, except for encumbrances of record. Borrower~warrants aud will defend generally the title to the Property against all clai~ns and denmnds, subject to any,encmnbrances of record. THIS SECU~TY INSTRUMENT combines uniform covenants for mitiotml use and non-mfitbrm covmmnts wifl~ linfited variatiom b} jurisdiction to constitute a uldform security instrument covering real property. UNIFO~ COVENANTS. Borrower and Lender cove~mnt and agree as tbllows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Bo~ower shall pay when due fl~e principal of, and interest on, file debt evidenced by the Note and any prepayment charges and late chai:ges due under fl'~e Note. Borrower shall also pay ~nds for Escrow Items pursuant to Section 3. PaYments d~;~e under fl~e Note and tiffs Security lnsmm~ent si:mil be made in U.S. currency. However, if any check..or off, er iustmment received by Leader as paynm~er fl~e Note or tiffs ~6(WY) 1o0o~) eag~ 3 o~ ~ Form 3051 1/01 Security Instrmnent is returned to Lender unpaid, Lender may require flint any or all subsequent payments due nnder flxe Note and tiffs ;ecurity h~trmnent be made in one or more of fl~e following lbrms, as selected by Lender: (a) cash;"(b} money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any suoh check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality m:entity; or (d) Electronic Funds Transfer. Payments are deemed rec~:ivcd by Lender when received at fl~c location desig~mted in tim Note or at such oilier location as nmy be desi~gnated by Lender in accordance with the notice provisimu in Section 15. Lender nmy return any payment cr partial payment if fl~e payment or partial payments are insufficient to bring fl~e Loan current. Lende~ may accept any payment or partial payment insufficient to bring fl~e Loan current, without waiver of any rights hereunder or prejudice to its rights to reMse such payment or partial paymeuts in ~e ~mre, but Lender is not obligated to apply such payments at fl~e time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on mmpplied fimds. Lender ~y hold such unapplied hinds uutil Borrower nmkes payment to bring fl~e Loan current. If Borrower does not do so wiflfin a reasmmblc period of time, Lender shall either apply such Muds or return fl~em to.Borrower. If not applied earlier, such funds will be applied to ~e outstanding principal balance under fl~e 'N,)te]~iimnediately prior to tbreclosurc. No offset or claim which Borrower nfigbt have now or in the futu;-e against Lender shall relieve Borrower from nmking payments due under fl~e Note and tiffs Secm'ity lnsnUn~ent or perfornfing the cove~mnts aud agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as ofl~erwise described in tiffs Section 2, all payments accepted and applied by Lender shall be applied in the tbllowing order of priority: (a) interest due under the Note; (b) principal due under fl~e Note; (c) amomtls due under Section 3. Such payments shall be applied to each Periodic Payment in fl~e order in which it became due. Any renmining amounts shall be applied first to late ch;~rgcs, second to any oflmr amounts due under tiffs Security Instrmnent, and fl-~en to reduce fl~e principal bal.mce of fl~e Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amount to pay any late charge due, fl~e payment nmy be applied to fl~e delinquent payment and fl~e late charge, l'f more titan me Periodic Payment is outstandiug, Lender nmy apply any payment received from Borrower to fl~e repaymeit of the Periodic Payments if, and to fl~e extent flint, each payment can be paid in fi~ll. To fl~e extent flint any excess exists after fl~e payment is applied to file filll payment of one or ~nore Periodic Payments, such excess nuty be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment charges and fl~en as described iu fl~e Note. Any application of payxnents), insurance proceeds, or Miscellaneous Proceeds to principal due under fl~e Note shall not extend or po.;tp0ne fl~e due date, or change flit an~oun{, of die Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under the Note, until the Noteis paid in full, a sum (fl~e "Funds") to provide tbr payment of amorous due /bt: (a) 'taxes and assessments an0, ofl~6r items which can attain priority over tiffs Security h~strument as a lien or encmnbrance on fl~e Prope?rty; (b) leasehold payments or ground rents on fl~e Property, if any; (c) premiums for any and all insirance required by Lender under Section 5; and (d) Mortgage h~surance prenfi'unm, if any, or any smns,'payable by Borrower to Lender in lieu of fl~e payment of Mortgage hmurance prenfiums in accordance wiflx fl~e provisions of Section 10. These items are called "Escrow Items." At origi~mtion or at any ime during the term.of flxe Loan, Lender may require flint Comnunfity Association Dues, Fees, and &ssessments, if auy, be escrowed by Borrower, and such dues, fees aud assessments shall be an Escrox~ It.~m. Borrower shall promptly Mrnish to Lender all notices of amounts to be paid under tiffs Section. Borrower shall pay Lender ~e Funds Ibr Escrow items utfless Lender waives Borrower's obligation to 'pay fl~e Funds for any or all Escrow Items. Lender nmy waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time. Any such waiver nmy tuffy be in writing. In fl~e event of such waiver, Borrower shall pay directly, when and where payable, rite amounts ~fi(WY) Iooos) ,. Page 4 of lS Form 3051 1/01 ,52O due for any Escrow Items for which' payment of Funds has been waived by Lender and, if Lender reqmres, shall funfish to Lender receipts evidencing such payment within such time period as Lender nmy reqmre. Borrower's obligation to nmke sucl. payments and to provide receipts shall for all purposes be deemed to be a cove~mnt and agreement contailled in this Security Instrumeut, as die phrase "covenant and agreement is used in Section 9. If Borrowe] .s obligated to pay Escrow Items directly, pursuant to a waiver, and Borrower fails to pay the amount ::lne for an Escrow Item, Lender may exercise Its rights nnder Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke file ,v;dver as to any or all Escrow Items at any time by a notice given in accordauce wifl~ 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 time, col eot and hold Funds in an amount (a) sufficient to permit Lender to apply file Funds at file time specified uncer RESPA, and (b) not to exceed file maximum amount a lender can require under RESPA. Lender sh:dl estinulte fl~e amount of Funds due on file basis of current data and reasonable estimates of expenditu~.-e} of future Escrow Items or otherwise in accordance With Applicable Law. The Funds shall be 'held .n an institution whose deposits are insured by a federal agency, instrumentality, or entity (includir:g Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply file Funds to pay the Escrow Items no later than the time specified under RESPA. Lender sahll not charge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays Borrower interest on file Funds and Applicable Law pernfit; Lender to make such a charge. Unless an agreement is nr4de 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 file Frauds. Borrower and Lender can agree in writing, however, that interest shall be paid on file Funds. Lend:x shall give to Borrower, wiflmut charge, an mmual accounting of the Funds as required by RESPA. If fllere is a surplus of F'uff;l~ held iu escrow, as deftned nnder RESPA, Lender shall account to Borrower tbr fl~e excess funds in aC,cordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, Lender gl~all notify Borrower as required by RESPA, and Borrower shall pay to Lender file amount necessary to make up the shortage in accordance with R/ESPA, but in no more fl~an 12 monthly payments. If fl~ere is a deficiency of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up file deficiency in accordance with RESPA, but in no more than 12 monthly payments. Upon payment in full of all 3t~ms secured by this Security Instrument, Lender shall promptly retired to Borrower any Funds held by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the Property which.can attain priority over this Security Instrument, leasehold payments or ground rents on file Property, if ar.y;, and Comnmnity Association Dues, Fees, and Assessments, if any. To the extent that these items are Escro,v Items, Borrower shall pay them in the maturer provided in Section 3. Borrower shall promptly dis':liarge any lien which has priority over fids Security h]strument mfless Borrower: (a) agrees in writing to,die paynrent of the obligation secured by the lien in a maturer acceptable to Lender, but only so long as Boff. ower is perfbrming such agreement; (b) contests file lien iu good fifith by, or defends against enforcemerzt of the lien in, legal proceedings which in Lender's opinion operate to prevent flxe enforcelnent of the lienlwhile those proceedings are pending, but only until such proceedings are conchtded; or (c) secures from the holder of file lien an agreement satisfactory to Lender suborditmting the lien to this Security Instrument, If Lender determines that any part of the Property is subject to a lien which call attain priority over fids, Security Instrument, Lender nray give Borrower a notice identifying the (~;}~-6(WY) 1ooo5) i Pao~ 5of ~5 Form 3051 1/01 lien. Widlin 10 days of fl~e date on wlfich that notice is giveu, Borrower shall satisfy fl~e lieu or take one or more of flxe actions set for~ above in Otis Section 4. Lender nmy require Borrov'ter to pay a one-time charge for a real estate tax verification and/or reporting service used by Lende'7 in connection wifl~ dfis Loan. 5. Property Insurance. B)rmwer shall keep tim improvements now existing or hereafter erected on fl~e Property insured against logs by fire, hazards included within fl~e term "extended coverage," and any off,er hazards including, but no: lh~ted to, earfl~quakes and floods, tbr which Leu&r requires insurance. This insurance shall be maintained in fl~e amounts (including deductible levels) and ~br fl~e periods fl~at Lender requires. What Leuder ~eqtfires pursuant to the preceding sentences cau change during fl~e term of fl~e Loan. The iusurance carrie~ ~roviding fl~e insm'ance shall be choscu by Borrower subject to Leudcr's right to disapprove Borrowerh: choice, which right shall not be exercised unreasomtbly. Lender may require Borrower to pay, in caEnection with this Loan, either: (a) a oue-time charge lbr flood zone determination, certification and tracking services; or (b) a one-time charge tbr flood zone determination and certification services and subsequeut charges each time remappings or sinfilar changes occur which reasonably might affect such det:r~m~tion or certificatiou. Bom)wet shall also be respousiblc for tim payment of any tees imposed .b3' file Federal Emergency Management Agency' in comiection wifl~ fl~e review of any flood zone detern,ination resulting froin au objectiou by Borrower. If Borrower fails to nmin:ain any of fl~e coverages described above, Lender may obtain insurance coverage, at Lender's option znd Borrower's expense. Lender is under no obligatiou to purchase any particular type or amouut of coverage. Therefore, such coverage shall cover Lender, but nfight or might not protect Borrower, Borrower's equity in ~e Property, or fl~e contents of fl~e Property, against any risk, hazard or liability and might p:i'o/ide greater or lesser coverage than was previously in effect. Borrower acknowledges that fl~e cost of d~c insurance coverage so obtained might sig~fificantly exceed fl~e cost of insurance flmt'Borrower could l:ave obtained. Any alnounts disbursed by Lender under this Section 5 shall become additio~ml debt of Borrower secured by tiffs Security histrument. These amounts shall bear interest at fl~e Note rate fi'om fl~e date ef disbursement and shall be payable, wifl~ such interest, upon notice from Lender to Borrower requesting payment. All insurance policies requir. Sd by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall ~mme Lender as mortgagee and/or as an additi0xml loss payee. Lender shall have fl~c right to hold file policies and renewal certificates. If Lender requires, Borrower shall promptly give to Leudcr all receipts of paid prenfiums and renewal notices. If Borrower obtains any form of insurauce coverage, uot ofl~erwise required by Lender, for damage to, or destruction c'f,'~fl~e Property, such policy shall include a standard mortgage clause and shall mine Lender as mortgagee and/or as an additio~ml loss payee. In fl~e event of loss, Borrower shall give prompt notice to the insurance carrier aud Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proce~ds, whefl~er or not fl~e underlying insurance was required by Lender, shall be applied to restoration or repdr:of fl~e Property, if fl~e restoratiou or repair is econoufically tEasible and Lender's security is not lessened. During such repair aud restoratiou period, Lender shall have fl~e right to hokl such iusurance proceeds unt:l Lender has had an opportmfity to inspect such Property to ensure fl~e work has been completed to Leuder s satis/hction, provided that such inspection shall be undertakeu promptly. Lender nmy disburse p?oceeds for fl~e repairs and restoration in a single payment or in a series of progress payments as file work is completed. Ulfless an agreement is n~de in writiug or Applicable Law reqnires interest to be paid on s~eh insurance proceeds, Lender shall not be required t0 pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or oilier flfird parties, retained by Borrower shall not be paid out of the insurauce proceeds and shall be the sole obligation 0f Borrower. If die restoration or repair is not ecqnonfically feasible or Lender's security would be lessened, file insurance proceeds shall be applied to fl~c ~'mns secured by fltis Security htstrument, whether or not then due, wifl~ ~6(WY) 10005) P~. 6 of ~5 Form 3051 1/01 tbe excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for iu Section 2. If Borrower abandons file PmCerty, Lender may file, negotiate and settle any available insurance claim and related ~mtters. If Bom wer does not respond wiflfin 30 days to a notice ~om kender fl~at ~e insurance carrier has olI~red to set:le a claim, then Lender nmy negotiate and settle fl~e claim. The 30-day period will begin when fl~e notic;: is given. In either event, or if Eeuder acquires fl~e Property under Section 22 or ofl~erwise, Borrow:r hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not [o excexd the amounts unpaid under the Note or tiffs Secm'ity Instrnment, and (b) any off,er of Borrower's rights~(o~er fl~an the right to any re,nd of unearned prel~unm paid by Borrower) under all insurance poi/cites covering fl~e Property, insofi~r as such rights are applicable to the coverage of fl~e Property. Lender nmy use the insurance proceeds eifl~er to repair or restore fl~e Property or to pay amounts 'unpaid under ~e N~te or tiffs Security Instrun~ent, whefl~er or ~mt fl~en due. 6. Occupancy. Borrower shall occupy, establish, and use fl~e Property as Borrower's principal residence wiflfin 60 days after fl~e execution of tiffs Secnrity Instnnnent and shall conmme to occupy the Property as Bo~*ower's principal res, dence [Br at least one year after fl~e date of occupancy, unless Lender ofl~erwise agrees in writing, which consent shall not be unreasom~bly wiflfl~eld, or urdess extenuating circumstances ex, st which are beyon¢ Bo~ower's control. 7. Preservation, Maintenance and Protection o~ the Prol)erty; Inspections. Borrower shall not destroy, daumge or impmr fl~e ['roperty, allow fl~e Property to deteriorate or conmfit waste on the Property. Whefl~er or not Borrowt:r is residing in fl~e Property, Borrower shall nmintain fl~e Property in order to prevent fl~e Property from ]eteriorating or decreasing in value due to its condition. Unless it is deternfined pursuant to Section 5. ~fl~at repair or restoration is not econonfically t~asible, Borrower shall promptly repair rite Property if 'damaged to avoid ~rfl~er deterioration or danmge. If insurance or condennmtion proceeds are paid ir~ connection wifl~ danmge to. or the taking of, tim Property, Borrower shall be responsible fbr repairing or restoring ~e Property o~fly if Lender has released proceeds tbr such pn~oses. Lender nmy disburse proceeds for rte repairs.and restoration in a single payment or in a series of progress payments as fl'~e work is completed. If fl~e i~murance or condenamtion proceeds are not sufficient to repair or restore fl~e Property, Borrower is not relieved of Borrower's obligation for 'the completion of such repair or restoration. Lender or its agent nmy nm~e reaso~mble entries upon and inspections of fl~e Property If it has reasonable cause, Lender nmy insFect fl~e interior of rte improvements on fl~e Property. Lender shall give Borrower ~mtice at fl~e ti~ne of or prior to such an interior inspection specifying such reasomble cause 8. Borrower's Loan Applica:ion. Borrower shall be in dethult if, during fl~e Loan application process, Borrower or any person:; or entities acting at fl~e direction of Borrower or wifl~ Borrower's knowledge or consent gave nmtefih, ll~ false, nfisleading, or inaccurate intbrnmtion or statements to Lender (or failed to provide Lender. v,ifl~ ~terial infonmtion) in connection wifl~ fl~e Loan Material representations include, but are n~t linfited to, representations conceruing Borrower's occupancy of file Property as Borrower's principal r~sidence. 9. Protection ot Lender's Interest in the Property and Rights Under this Security Instrument. If (a) Bo~ower thils to perlhrm file c.:~ve~mnts and agreements contaiued in tiffs Security Instrument, (b) fltere is a legal proceeding flint might s~gnificantly affect Lender's interest in the Property and/or rights under tiffs Security Instrument (such as a proceeding in bankruptcy, probate, t~r condennmtion or fortEiture, for enforcement of a lien which nmy attain priority over tiffs Security Instrument or to enforce laws or regulatio~m), or (c) Borrower has at,andoned fl~e Property, fl~en Leuder may do and pay for whatever is reasom~ble or appropriate to pmleqt Lender's interest iu file Property and rights under tiffs Secuhty Instrument, including protecting ahd/or assessing file value of fl~e Property, and securing and/or repairing file Property. Lender's actions can ihclude, but are not linfited to: (a) paying any sunm secured by a }ien which has priority over this Security Instrument; (b) appearing in court; and (c) paying reasonable ~6(WY) 10006} Page 7 of lS Form 3051 1/01 attorneys' tees to protect its interest itl the Property and/or rights under fids Security Instrument, i'ucluding its secured position in a bankruptcy proceeding. Securing flxe Property includes, but is not linfited to, entering the Property [o make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building 3r other code violations or dangerous conditions, and have utilities turned on or off. Although Lender nm'~ lake action under this Section 9, Leuder does not have to do so and is not under any duty or obligation tO~ do so. It is agreed flint Lender recurs no liability for not taking any or all actions authorized under rids Se:don 9. Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instru:n~nt. These amounts shall bear interest at fl~e Note rate I¥om die date of disbursement and shall be pay~,ble, with such interest, upon notice from Lender to Borrower requesting payment. If this Security Instrumen~. s on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires tke thle to the Property, the leasehold and the tee title shall not merge mfless Lender agrees to file merger in q,~ iting. 10. Mortgage Insurance. 11 Lender required Mortgage Insurance as a condition of nutkiug the Loan, Bon'owcr shall pay the prenuums required to maintain the Mortgage Insurance in effect. If, for ally reason, the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage i~Lsurer that previously provided such insular.ce and Borrower was required to lnake separately desiglmted payments toward rite premimns lbr Mortgage Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent, to flxe Mortgage Insurance previously in effect, at a cost substautially equivalent to file cost to Borrawer of the Mortgage Insurance previously in effect, tYmn an altenmtc mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continu: to pay to Lender rite amomu of the separately designated payments thai were due when flxe insurance ,;overage ceased to be itt effect. Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortg~,ge Insurance. Such loss reserve shall be non-refundable, notwithstanding :lie tact that fl~e Loau is ultimately paid in full, and Lender shall not be required to pay Borrower any i'nt~,rest or eanfings on such loss reserve. Lender can nd.longer require loss reserve payments if Mortgage h~surance coverage (in die amount and tbr the period that Lender requires) provided by au iusorer selecte, d by Lender again becomes awtilable, is obtained, and Leuder requires separately designated payments toward the prenfimns for Mortgage Insurance. If Lender required lVlortgage Insurance as a condition of m~:king the Loan and Borrower was required to nrake separately designated payments toward the premiums tbr Mortgage Insurance, Borrower shall pay the prenfiums required to maintain Mortgage Insurance ~.ir. effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insmatyce ends in accordance with any written agreement between Borrower and Lender providing for such termination or until termi~mtion is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest tit the rate provided in the Note. Mortgage Insurance reimbu?es Lender (or any entity that purchases rite Note) lbr certain losses it may incur if Borrower does ~'.o~' repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluat'~ d~eir total risk on all such insurance in force fi'om time to time, and may enter into agreements with other parties dial share or modify their risk, or reduce losses. These agreements are on terms and couditions th:~t are satisfactory to the mortgage insurer aud the other party (or parties) to these agreements. These 'agreeme:tts nuty require rite mortgage insurer to make payments using any source of funds that the mortgage iust:rer may have available (which may include funds obtained titan Mortgage h~surance premiums). As a result of these agreements, Lender, any purchaser of the Note, another insurer, any reinsurer, any other entity, or any affiliat/: 6f any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be chart ctcrized as) a portion of Borrower's payments for Mortgage Insurance, in exchange tbr sharing or modi~ysng the mortgage insurer's risk, or reducing losses. If such agreement provides that att affiliate of Derider takes a share of the insurer's risk in exchange tbr a share of the prenfimus paid to the insurer, the'arrangentent is often termed "captive reinsurance." Further: (a) Any such agree~nenl:s.will not affect the a~nounts that Borrower has agreed to pay for Mortgage Insurance, or any t,tl.'~er terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgr g~) Insurance, anti they will not entitle Borrtg.~ to any refnnd. ' ,n,t,al~: ~, ,/__~*? (~-6(WY) (ooos) Page 8 o118 Form 3051 1/01 (b) Any such agreetnents wi'Il not affect the rights Borrower has - if any - with respect to tile Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right to receil, eI certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the; Mortgage Insurance terminated autmnatically, and/or to receive a refund of any Mortgage Insuram:e premiums 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 be paid to Lm~der. If the Property is damaged, s',uch Miscellaneous Proceeds shall be applied to restoration or repair of the Property, it' the restoration or repair is econormcally feasible and Lender's security is trot lessened. During such repair and restoration veriod, Lender shall have the right to hold such Miscellaneous Proceeds until Lender has had an opportuniiy to inspect such Property to ensure file work has been completed to Lender's satisfaction, provided tim) ~uch inspection shall be undertakeu prumptly. Lender nmy pay tbr the repairs and restoration in a single :disbursement or in a series of progress payments as the work is completed. U;fless an agreement is made in writing or Applicable Law requires interest'to be paid on such Miscellaneous Proceeds, Lender sha:l not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If file restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds Shall be applied to the sums secured by flits Security Instrument, whether or not fl~en due, with fl~e exaess, if any, paid to Borrower. Such Ivliscellaneous Proceeds shall be applied in the order provided for iii Section 2. In the event of a total taki;!~g~ destruction, or loss in value of the Property, the Miscellaueous Proceeds shall be applied to the sums secured by fids Security Instrumeut, whefller or not then due, with file excess, if any, paid to Borrowe< In file event of a partial taking, destruction, or loss in value of tl~e Property in which the fair market value of the Property immediately Lefore the partial taking, destructiou, or loss in value is equal to or greater than file amouut of the su!m} secured by fids Security [nstrumcut immediately before file partial taking, destruction, or loss in val~:~e~ unless Borrower and Lender ofl:~crwise agree in writing, fl~e sums secured by this Security Instrum,.'n! shall be reduced by the amount of fl~e Miscellaneous Proceeds nmltiplied by fl~e tbllowing fraction: (a) the total, amount of fl~e sums secured inunediately be/bre the partial taking, destruction, or loss itl value divided by (b) the fair market value of file Property inm~ediately betbre file partial taking, destructi0 a,. or loss in value. Any balance shall be paid to Borrower. In flxe event of a partial taking, idestruction, or loss in value of file Property in which the fair n~rket value of fl~e Property immediately b(:fore fl~e partial taking, destruction, or loss in value is less dian the amount of fl~e sums secured innncdi'ately betbre file partial taking, destruction, or loss in value, mdess Borrower and Lender otherwise agree in writing, the Miscellaneous Proceeds shall be applied to file sums secured by this Security h~stmment whefller or not file sums are then due. If file Property is abandoued by Borrower, or if, after notice by Lender to Borrower fltat the Opposing Party (as defined in file n~xt sentence) offers to nmkc au award to settle a claim for damages, Borrower fail~ to respond to Lender ',vifllin 30 days after the date file notice is given, Lender is authorized to collect and apply fl~e Miscellani~.ous Proceeds either to restoratiou or repair of file Property or to the stuns secured by fids Security Instnm,ent, whether or not dieu due. "Opposing Party" means file flfird party that owes Borrower Miscellaneous, P~:oceeds or file party against wholn Borrower has a right of action itt regard to Miscellaneous Proceeds. ~ Borrower shall be in default if any action or proceeding, whether civil or crimimtl, is begun riot, in Lender's judgment, could result in ~brfeiture of the Property or other material impairment of keuder's interest in file Property or rights under fids Security Instrument. Bom)wer can cure such a default dud, if acceleration has occurred, reinstate! a~s provided itt Section 19, by causing the actiou or proceeding to be dismissed wifl~ a ruling fl:tat, in Lent.,er's judgment, precludes forfeiture of file Property or drier nmterial intpairment of Lender's interest in fl~e Property or rights under this Security Instruntent. The proceeds of any award or claim for damages riot are attributable to the impairment of Lender's interest iu the Property are hereby assigned and shall be pa'al.to Lender. All Miscellaneous Proceeds qlat are not applied to restoration or repair of file Property shall be applied in the order provided for in. Section 2. (~;]~-6(WY) Iooos} i, Pag. 9 of 1 s Form 3051 1/01 12. Borrower Not Released; Forbearauce By Lender Not a Waiver. Extension of the tiine for payment or modification of atomization of fl~e sums secured by tiffs Security lnstrmnent granted by Lender to Borrower or any Successor :n interest of Borrower shall not operate to release fl~e liability of Borrower m any Successors in Iuterest o.f Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Bo.rrower or to reh~se to extend time tbr payment or ofl~erwise modit~ amortization of fl~e sums securt'~d by tiffs Security h~strumeut by reason of any den~nd made by fl~e origi~ml Borrower or any Successors in In:erest of Borrower. Any forbearauce by Lender in exercising any right or remedy includiug, without limitation, Lender's acce'ptauce of payments t~om flfird persons, entities or ~ccessors iii Iuterest of Borrower or in amounts less than the amount fl~eu due, shall not be a waiver of or preclude fl~e exercise of aoy right or remedy. 13. Joint and Several Liability; Co-signers; Successors and Assigns Bound. Borrower covenants and agrees that Borrower's obkga.tions and liability shall be joint and several. However, any Borrower who co-signs tiffs Security instrument but does not execute fl~e Note (a "co-signer"): (a) is co-sig~fing Security Instrument only to mort ~age, grant and convey fl~e co-s~gner's iuterest in the Property under fl~e terms of tiffs Security Instrument; (b) is not personally obligated to pay fl~e stuns secured by tiffs Security Instrument; and (c) agrees fl~at Lender and any o~er Borrower can agree to extend, modify, forbear or make any accommodations wi ]x 'regard to fl~e terms of tiffs Security lnst~ment or fl~e Note without fl~e co-s~gner s consent. Subject to the provisior~s of Section 18, any Successor in Iuterest of Borrower who assumes Borrower's obligatio~ under thi~ Security Inst~ment in writing, and is approved by Lender, shall obtain all of Borrower's rights and b.mcfit~ under this Security Instrument. Borrower sball not be released fi'om Borrower's obligations and liabil'ty under tiffs Security Instrument unless Lender agrees to such release in writing. The covemmts and ~.gr;~ements of tiffs Security [nstrumcut shall bind (except as provided in Section 20) and benefit flxe successors and assigns of Lender. 14. Loan Charges. LeMm nmy charge Borrower /~es for services performed in connection wifl~ Borrower's default, for ~e prq30se of protecting Leuder's interest in fl~e Property and rights under Security hmtmment, including.., but not liufited to, attorneys' fees, property inspection and valuation fees. In regard to any off, er t~es, flw absence of express auflmrity in tiffs Security h~trumeut to charge a specific fee to Borrower shall not be cc'ns~med as a prohibition ou fl~e charging of such fee. Leuder nmy not charge fees ~at are expressly prohibited by tiffs Security Instrument or by Applicable Law. If file Loan is subject to a'la'~ which sets nmximum loau charges, and fl~at law is finally inte~reted so flint the interest or off,er loan :l~;~rges collected or to be collected in connection with fl~e Loan exceed fl~e permitted linfits, then: (a) any. such loan charge shall be reduced by fl~e amount necessary to reduce fl~e charge to fl~e pernfitted limit; ~{nd~ (b) any sums already collected t?om Borrower which exceeded permitted limits will be refimded to Bo:'ro~er. Lender nmy choose'to make this reMnd by reducing the principal owed under flxe Note or by nmking a direct payment to Borrower. If a retired reduces priucipal, the reduction will be treated as a' ~)artial prepayment without any prepayment charge (whe~er or not a prepayment charge is provided lbr under fl~e Note). Borrower's acccptauce of any such refuud nmde 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 giTen by Borrower or Lender in conuection wifl't tiffs Security Instalment must be in writing. Any notice tc"Borrower in com~ection with this Security Instrument shall be deemed to have been given to Borrower'whcn nmiled by first class mail or when actually delivered to Borrower's notice address if sent by ofl'~er means. Notice to auy one Borrower shall constitute notice to all Borrowers~ mfless Applicable Law expressly requires ofl~erwise. The notice address shall be fl~e Property Address mfless Borrower has desigm~te:l ~ substitute notice address by notice to Leuder. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specities a procedure tbr reporting Borrower's change of address, fl~en Borrower shall only report a change of address fl~rough flint specified procedure. There nmy be only one desig~mted notice address under tiffs Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by nmiling it by first class nmil to Lender's address stated hereiu mfless Lender .has desig~mted anofl~er address by notice to Borrower. Any notice in connection wifl~ Otis Security instrument shall not be deemed to have been given to Lender nntil actually received by Lender. If any noticlc required by tiffs Security lustmment is also required under Applicable Law, flxe Applicable Law requi?ement will satis/~ flxe corresponding requirement under this Security Instrument. ~6(WY) 1ooo$1 Page ~0 of ~S Form 3051 1/01 (~)~-6(WY) 10006} ! Page ~l or 16 Form 3051 1/01 16. Governing Law; Severahility; Rules of Construction. This Secm'ity Instrument shall be governed by federal law and the l~,tw of d~e jm'isdiction in which the Property is located. All rights and obligations contained in this Secur2y 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 sha'l not be construed as a prolfibition against agreement by contract. In the event that any provision or clause of this Security Instrument or the Note conflicts with Applicable Law, such conflict shall not affece' o~her provisions of this Security hlstrument or file Note which can be given effect without the conflictiug p-ovision. As used in this Security In,',:tr~ment: (a) words of file masculine gender shall mean and include corresponding neuter words or wort s of file fenfiuine gender; (b) words itl 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 file Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in file Property, including, but not linfited to, those beneficial interests trausfi:rred in a bond tbr deed, contract Ibr deed, instalhneut sales contract or escrow agreement, file intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of file Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a benefic:al interest in Borrower is sold or transferred) without Lender's prior written consent, Lender ~nay reqfire i~mnediate payment in full of all stuns secured by this Security Instrument. However, flits option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. It' Lender exercises tiffs option, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 2;0 days t'rom fl~e date the notice is given itl accordance wifll Section 15 within which Borrower must pay alt sums secured by this Security Instmlnent. If Borrower fails to pay these sums prior to the expiratiml of this period, Lender may invoke any remedies permitted by this Security Instrmnent without further notice or denmnd on Borrower. 19. Borrower's Right to Reinstate After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to ~la,/e enforcement of. this Security lnsmnnent discontinued at any time prior to file earliest of: (a) five da~'s )efore sale of rile Property pursuant to ally power of sale contained in tiffs Security Instrument; (b) such o'ther period as Applicable Law nfight specify for the temfination of Borrower's right to reinstate; or (C) entry of a judgment enforcing this Security Instmnmtt. Those conditions are that Borrower: (a)' p:~ys Lender all sums which then would be due under tiffs Security Instrument and file Note as if no acce'leration had occurred; (b) cures auy default of any other covenants or agreemeuts; (c) pays all expenses i'hc'arred in enforcing tiffs Security lostrument, including, but not limited to, reasonable attorneys' fees, pr~p2rty inspection and valuation fees, attd other fees incurred Ibr the purpose of protecting Lender's interest in rile Property and rights uoder this Security Iustrumel~t; and (d) · takes such action as Lender nmy re~solmbly require to assure that Lender's interest itl rile Property and rights under this Secm'ity Instrument, and Borrower's obligation to pay the sums secured by this Security Instrument, shall contilme unchanged. Lender nmy require that Borrower pay such reinstatement sums and expenses in one or more of the following l'orms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treast.rer's check or cashier's check, provided any such check is drawu upon an institution whose deposits are ins.ired by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstateme.lt by Burrower, this Security Instrunteut and obligations secured hereby shall renmin fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration re'der Section 18. . 20. Sale of Note; Change o1' Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Secu;,-ity Instrument) cau be sold one or more times without prior notice to Borrower. A sale nfight result in, a change in the entity (known as fl~e "Loan Servicer") that collects Periodic Payments due under file Note and this Security Instnmlent attd performs other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also nfight be one or more changes of the Loan ~e~"vicer unrelated to a sale of rife Note. If there is a change of rite Loau Servicer, Borrower will be given x:¢ri.tten notice of file change which will state file mime and address of rile new Loan Servicer, file address to ;vhich payments should be nmde and any other intbrmation RESPA requires in connection with a ~otice of transfer of servicing. If file Note is sold and thereafter file Loan is serviced by a Loan Servicer otne~ than rite purchaser of file Note, file mortgage loan servicing obligations to Borrower will renmin with ~'le Loan Servicer or be transferred to a successor Loan Servicer and are not assumed by the Note purchaser mqless otherwise provided by file Note purchaser. Neither Borrower nor Lender nmy comrnence, join, or be joined ~o any judicial action (as either an individual litigant or the membe:: of a class) that arises from the other party's actions pursuant to this Security hzstrmnent or that alle.;es that file other party has breached any provision of, or any duty owed by reason of, this Security Instnunent, until such Borrower or Lender has notified the other party (with such notice given in compliance with 41e requirements of Section 15) of such alleged breach and aftbrded file other party hereto a reasormtle period after the giving of such notice to take corrective action. If Applicable Law provides a time 'period which must elapse belbre certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. The notice of acceleration and opportmfity to cure given to 13ocrower pursuant to Section 22 and file notice of acceleration given to Bon'ower pursuant to Section 18 shall be deemed to satisfy the notice and opportmfity 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 na::ardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other do,tunable or toxic petroleum products, toxic pesticides and herbicides, volatile solventl, ~.naterials contai~fing asbestos or fornmldebyde, and radioactive nmterials; (b) "Enviromnental Law" meal:'s federal laws and laws of the jurisdictiou where file Property is located that relate to health, safety or enviromnental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal action, as defined in Environ,neural Law; and (d) an "Enviromnental Condition" means a conditio~.t that can cause, contribute to, or otherwise trigger an Enviromnental Cleanup. Borrower shall not cause or ipermit the presence, use, disposal, storage, or release of any Hazardous Substances, or threaten to release .any Hazardous Substances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anyihing affecting the Property (a) that is in violation of any Enviromnental Law, (b) which creates an Enviromnental Condition, or (c) which, due to tlie presence, use, or release of a Hazardous Substance, creates it condition that adversely affects the value of the Property. The preceding two sentences shall not apply' tO file presence, use, or storage on the Property of snmll quantities of Hazardous Snbstances that are' gi:nerally recoglfized to be appropriate to nornml residential uses and to maintenance of the Property (ircluding, but not linfited to, hazardous substances in cmtsmner products). Borrower shall prompdy give Lender written notice of (a) any iuvestigation, claim, denm'nd, lawsuit or other action by any govennSler;tal or regulatory agency or private party involving file Property and any Hazardous Substance or Envin~lanental Law of which Borrower has actual knowledge, (b) any Enviromnental Condition, inch~ding but not linfited to, any spilling, leaking, discharge, release or threat of release of any Hazardous Sub.:tance, and (c) any condition caused by the presence, use or release of a Hazardous Substance which adversely affects the value of the Property. If Bon'ower learns, or is notified by any govermnental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance aB~cting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance. ~'iflt Enviromnental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleamlp. (~)~-O(WY) (0006) Form 3051 1/01 09003 0, 5 o NON-UNIFORM COVENANTS. Borrower aim Lender further covenant and agree as follows: 22. Acceleration; Remedi(:s. 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 tlnless Applicable Law provides olherwise). The notice shall specify: (a) the defaolt; (b) the action requlrtd to cure the default; (c) a date, not less tha,~ 30 days from ti~e date the notice is given to Borrowe~, by which the default must be cored; and (d) that failure to cure the default on or before the (late specified in the notice may result in acceleration of the sums secured by this Secnrity Instrument and sale of the Property. The notice shall further inform Borrower of the right to reinstate after acceleratien and the right to bring a court action to assert the non-existence of a default or any other defeuse of Borrower to acceleration and sale. If the default is not cored on or before the date specified in the notice, Lender at its option ma), require immediate payment iu full of all sums secured by this Secur.ty Instrument witboot further demand and may invoke the power of sale and any other re,nedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing th('. remedies provided io tbis Section 22, i,~cluding, but not limited to, reasonable attor,leys' fees and :o~';ts of title evidence. If Lender invokes the powe,~ of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possessic, n of the Property, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manuer 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 designee may purchase the Property at any sale. The proceeds of the sale shall be applied in the following ordL~r: (a) to a~l expenses of the sale, iucluding, but not limited to, reasonable attorneys' fees; (b) to all sums secured by this Security Instrument; and (c) any excess to the person or persons legally e~titled to it. 23. Release. Upon payme~i't e'f all sums secured by this Security Instrument, Lender shall release this Security Instrument. Borrower. ~¢hall pay any recordation costs. Lender nmy charge Borrower a tee for releasing this Security Instrmnel(.t, but only if die fee is paid to a third party tbr services rendered aud die charging of the fee is permitted trader Applicable Law. 24. Waivers. Borrower }eleases and waives all rights under and by virtue of the homestead exemption laws of Wyoming. (~e-6(Wy) Iooos) Page 13 of 16 Initials: Form 3051 1/Ol BY SIGNING BELOW, ]o~:rower accepts and agrees to Ore terms and covenants contained in tiffs Security Instrument and in any Rider executed by Borrower and recorded wiflz it. Witnesses: BRUCE S PLOTT -Borrower BERNADINE L PLOTT (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (~6(WY) Iooosl Page 14 ol 115 Form 3051 1/01 5;0 COLORADO The foregoing instrument was acknowledged before me fltis by BRUCE S PLOTT AND BE~NADINE L PLOTT La Plata County ss: 17th day of June, 2004 (~-6G(WY) (ooo15~ Page 15 of 115 Form 3051 1/01 !:'.. ':,.i:::':? :' ' O OOaGO '_-i FIXED/ADJUSTABLE RATE RIDER (O~e-Yea,' Treasury Index - Rate Caps) THiS FIXED/ADJUSTABLF. 1L~TE RIDER is nmde this ~TH day of J-LINE, 2004 and is incorporated into and sllall b~ deemed to amend and supplement rite Mortgage, Deed of Trust, or Security Deed (the "Security Ins,:rumeut") of the same date given by the undersigned ("Borrower") to secure Borrower's Fixed/Adjustable Rate Note (tim "Note") to WELLS FARGO BANK, N.A. ("Lender") of the stone date and coveting fl~e property described in the Security Instrument and located at: ~7"ELKHORN DRIVE, ALPINE, WY 83128 [Property Address] THE NOTE PROVIDE,C; cORA CHANGE IN BORROWER'S FIXED INTEREST RATE TO AN ADJUSTABLE INTEREST RATE. THE NOTE LIMITS THE AMOUNT BORROWER'S ADJUSTABLE INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE BORROWER MUST PAY. ADDITIONAL COVENANTS. In addition to the covmmnts and agreemeuts nmde iu the Security Instrmnentl Borrower and Lender further covemtnt and agree as Iblh)ws: A. ADJUSTABLE RATE AND MONTHLY PAYMENT CHANGES ql~e Note provides Ibr an in]ga} fixed interest rate of 4. 625 %. The Note also provides for a change in the i~fitial' fixed rate to an adjustable interest rate, as follows: 4. ADJUSTABLE INTEREST RATE AND MONTHLY PAYMENT CIIANGES (A) Change Dates The initial fixed interest rate I Will pay will change to an adjustable interest rate on fl~e first day of JULY, 2011 , and the adjustable interest ~-ate I will pay nmy change GU that day every 12th month thereafter. Hie date on which my i~fitial fixed interest rate changes to an adjustable interest rate, and each date on whizh my adjustable interest rate could change, is called a "Change Date." 0027999481 MULTISTATE FIXED/ADJUSTABLE RATE RIDER - ONE-YEAR TREASURY INDEX- Single Family - Fannie Mae Uniform Instrument Page 1 of 4 Initials: __ (B) Tile Index Begimfing with the first Change Date, my adjustable interest rate will be based on ail Index. The "Index" is file weekly average yield on U~fited States Treasury securities adjusted to a constant nmturity of one year, as made available by the Federal Reserve Board. The lnost recent Index figure available as of fl~e date 45 days before each Change. Date is called file "Current Index." If fl~e Index is no longer awdlable, the Note Holder will choose a new index that is based upon comparable intbrmation. The Note Holder will give me notice of this choice. (C) Calculation of Changes Before each Change Dat:~, fl're Note Holder will calculate lily new iuterest rate by adding TWO AND THREE-QUARTERS percentage points ( 2. 750 %) I0 tile Curt'ertl hldex. Tile Note Holder will tbeu round die result of fllis addition to the nearest one-eight'~ t,f one percentage point (0.125 %). Subject to file linfits stated in Section 4(D) below, this rounded amoun't will be my new interest rate until ti~e next Change Date. The Note Holder will then &ternfine the anmunt of fl~e monfllly paylnent flint would be sufficient to repay the unpaid principal that I am expected to owe at file Change Date in filll on the Maturity Date at my new interest rate ill substantially equal payments. The result of this calculation will be the new amount of my lnonthly payment. (D) Limits on Interest Ra~e Changes The interest rate I am '-ecuired to pay at the first Change Date will not be greater thau 9.625 %' oLle:;s than 2.750 %. Thereafter, my adjustable interest rate will never be increased or decreased on ally single Change Date by more thau two perceutage points' from file rate of iuterest I have be!~n paying tbr tile preceding 12 months. My interest rate will never be greater than 9.625 %. 0g) Effective Date of Changes My new interest rate will be~:ome effective on each Change Date. I will pay the amount of my new monthly pay~nent beginning on ,thc first monflfly payment date after fl'~e Change Date until fl~e amount of my monthly payment changes again. (F) Notice of Changes" ' The Note Holder will deliver or nmil to lnea notice of auy changes in lny ilfitial fixed interest rate to an adjustable interest rate and or: ally changes in lny adjustable interest rate betbre the effective date of any change. The notice will include ihe amount of my monthly payment, auy infornmtion ~-equired by law to be given to lne and also the title and telephone lmmber of a person who will answer any question 1 nmy have regarding fl~e notice. B. TRANSFER OF THE PROPERTY OR A BENEFICIAL INTER. EST IN BOIU{OWER 1. Until Borrower's initial fixed interest rate changes to an adjustable interest rate under file terms stated in Section A above, Ulfifo, rn' Covelmnt 18 of ti~e Secm'ity Insmnnent shall read as follows: (~843R (0006) Page 2 of 4 ' Form 3182 1/01 533 Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest ill the Property" means ally legal or beneficial interest in the Property, including, but not limited to, those benelicial interests transferred in a bond for deed, contract for deed, installment sales contract, o~ escrow agreement, rile intent of which is fl~e transfer of title by Borrower at a future date to :i 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 natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior writien conseut, .Lender may require immediate payment in full of all sums secured by this Securit), Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this optiou, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from file date file notice is given in accordance with Section t5 .within which Borrower must pay all stuns secured by this Security Instrument. If Borrower fidis to pay these sums prior to the expiration of this period, Lender may invoke any remedies pe:-nfitted by this Security Instrument wifllout further notice or demand on Borrower. 2. When Borrower's ilfilial fixed interest rate changes to an adjustable interest rate under flze terms stated in Section A above, Uniform CoVenant 18 of the Security lnstrunlent described in Sectiou B1 above shall then cease to be in effect, and file provisions of Uuilbrm Covenant 18 of file Security hlstrument shall be amended to read as follows: Transfer of the Prop4rty or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Prop~'rt3~" means any legal or beneficial interest in file Property, including, but not limited to, those beneficial interests transferred itl a bond lbr deed, contract roi- deed, installment sales contract o~ escrow agreement, the intent of which is file transfer of title by Borrower at a future date ,to 't purchaser. If all or any part of tl~e Property or any Interest iu the Property is sold or tran&ferred (or if Borrower is not a natural person and a beneficial interest iii Borrower is sold or transferred) without Lender's prior writ:mx col~Sent, Lender amy require innnediate payment in full of all snms secured by fids Secr'.rit'l Instrument. However, this option shall not be exercised by Lender if such exercise is prohibiteil by Applicable Law. Lender also shall not exercise this option if: .(a) Borrower causes to bc submitted to Lender infommtion required by Lender to evaluate file intended transferee as iF a new loan were being lmlde to fl~e transferee; and (b) Lender reasolmbly determines that Lender's security will not be impaired by file loan assumption and that the risk of a breach o I' any covenant or agreement in fids Security Insmm~ent is acceptable to Lender. To file extent permitted by Applicable Law, Lender may charge a reaso~mble tee as a c.onditiou to Lender's corsent to the loan assulnption. Lender also may require the transferee to sign an assumption agreement that is acceptable to Lender and fl~at obligates the transferee to keep all the pronfises and agreements nmde in rile Note and in this Secnrity Instrument. Borrower will continue 'to be obligated under the Note and this Security Instrument unless Lender releases Borrower in:.writing. If Lender exercises the option to require immediate payment in full, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from fl~e date file notice is given :.u accordance Mill Section 15 withiu which Borrower nmst pay all Initials: I~843R (0006) [ Page3 of 4 Form 3182 1/01 534 SHIllS secured by fllis Securi.y.. Instrument. If Borrower fails to pa3' fllese stuns prior to file expiration of fills period, Lender may invoke any remedies permitted by fids Security Instmnlent wiflmut furfller notice or deln,md.oil Borrower. BY SIGNING BELOW, Bor::ower accepts and agrees to fl:e terlns and covenants contairted in fids Fixed/Adjustable Rate Rider. --~v'~-'c ~<~ ~/~~ ~ (Seal)/~-/{~4('t~/~-.~-~ / ~,~~:57~ (Seal) BRUCE S PLOTT -Borrower BERNADINE L PLOTT -Borrower __ (Seal) -Borrower (Seal) -Borrowur (Seal) -Borrower (Seal) -Borrower (Seal) (Seal) -Borrower -Borrower (~6;843R (0006) Pago 4 of 4 Form 3182 1/01 SECOND HOME RIDER THIS SECOND HOME RII'~ER is made fids ~',~'TIt day of JUNE, 2004 and is incorporated into and :;hall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the ":Ce;rarity Instrument") of the same date given by the nndersigned (the "Borrower" whether there are one or more persons undersigned) to secure Borrower's Note to WELLS FARGO BANK,.N.A. (the "Lender") of fl~e same date and covering the Property described in the Security Instrmnent (the "Property"), which is located at: ~_ELKHORN DRIVE, ALPINE, WY 83128 7 ,i~,~)5_~.O i [Property Aadress] In addition to the covenant's ~nd agreements made in the Security h~stmment, Borrower and Lender fl~rther covenant and agree that Sections 6 and 8 of the Security Instrument are deleted and are replaced by the tbllowing: 6. Occupancy. Borrower sba;1 occupy, and shall only use, the Property as Bon'ower's second home. Borrower shall keep ~h!,' Property available for Borrower's exclusive use and enjoyment at all times, and shall not subject the Property to any timesharing or off, er shared ownership arrangement or to any rental pool or agreement that requires Borrower either to rent rite Property m: give a management finn or any other person any control over the occupancy or use of the Property. 8. Borrower's Loan Application. Borrower shall be iu default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or.con~.;ent gave nmterially false, nfislcading, or i~mccurate inlbrmation or statements to Lender (or faile~!l to provide Lender with material i,~tbrntation) in cmmection with the Loan. Material represe:~tztions include, but are not limited to, representations concerning BorrOwer's occupancy of th? Property as Borrower's second home. 0027999481 MULTISTATE SECOND HOME RIDEFI -Single Family - Fannie Mae/Freddie Mac UNIFORM INSTRUMENT .,.-FIa'm 3890 1/01 Page1 of 2 Initials:__~ (~365R (0011) VMP MORTGAGE FORMS - (800)521-7291 '. :' .::??,::i o oo tho 5 3 6 BY SIGNING BELOW, Borrower accepts and agrees [o the terms and provisions contmned in this Second Ho~ne Rider. BRUCE S PLOTT -Borrower BERNADINE L PLOTT -Borrower (Seal) (Seal) - Borrower - Borrower __ (Seal) (Seal) - Borrower - Borrower __ (Seal) (Seal) - Borrower - Borrower (~)~365R (0011 ) Page 2 of 2 Form 3890 1101