Loading...
HomeMy WebLinkAbout900595#30752(02) After Recording Return To: COUNTRYWIDE HOME LOANi, INC. MS SV-79 DOCUMENT PROCESSING P.O.Box 10423 Van Nuys, CA 91410-0423 PreparedBy: DAWN SLETTEN RECEIVED LII'.ICO!..!'1 *"~"~'T"," CLERI< [Space Above This Line For Recording Data] 0005480589706004 [Doc ID it] MORTGAGE MIN 1000157-0003718731-3 DEFINITIONS Words used in multiple section,, of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain ules regarding the usage of words used in this document are also provided in Section 16. (A) "Security Instrument" ~ sans this document, which is dated with all Riders to this documen:. (B) "Borrower" is CODY J SCHMIDT, A SIEGLE MAN JUNE 28, 2004 , logether Borrower is the mortgagor nnder th[ s Secnrity Instrument. (C) "MERS" is Mortgage Elec;ronic Registration Systems, Inc. MERS is a se parate corporation that is acting solely as a no~ninee for Leude, and Lender's successors and assigns. MERS is the mortgagee under lhis Security Instrument. MERS i.; organized and existing under the laws of Delaware, and has an address mid telephone number of P O. Box ?026, Flint, MI 48501-2026, tel. (888) 679-MERS. (D) "Lender" is COUNTRYWIDE HOME LOANB, INC. Lender is a CORPORATION organized and existing under [he laws of NEW YORK Lender's address is 4500 Park Granada, Calabasas, CA 91302-1613 ~2) "Nole" means the promissory note signed by Borrower and dated JUNE 28, 2004 . The Note states that Borrower owes Lender ONE HUNDRED NINE THOUSAND. arid 00/100 Dollars (U.S.'$ 109,000.00 ) phis interest. Borrower has promised to pay this debt in regular Periodic Payments and to pay t}e debt in £nl] not later than JULY 01, 2 034 (F) "Property" means the pr~,per[y that is described below under tile heading "Trmisfer of Rights in the Property." WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT WITH MERS Page 1 of 11 Initials: (~-6A(WY) (0005) CHL (08/00)(d) VMP MORTGAGE FORMS - (800)521-7291 Form 3051 1/01 CONV/VA ' 2399 I DOC ID it: 0005480589706004 (G) "Loan" means the debt evidenced by the Note, plus interest, any prepayment charges and late charges due under the Note, and all sums due under this Security Instmnmnt, pitts interest. (H) "Riders" means all Ridr. rs to this Security Instrument that are executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable]: ~] Adjustable Rate Rider [--] Condominium Rider [--~ Second Home Rider [~] Balloon Rider ~ Planned Unit Development Rider ~ 1-4 Family Rider [--] VA Rider [--] Biweekly Payment Rider ~] Other(s) [specify] (1) "Applicable Law" means 'all controlling applicable federal, state and local statutes, regulations, ordinances mul administrative rules and orders (that have the effect of law) as well as all applicable fiual, non-appealable judicial opinions. (J) "Community Associatim~ Dues, Fees, and Assessments" means all dues, fees, assessmeuts aud other charges that are imposed on Borrower or the Property by a coudo~ninium association, homeowners association or similar organization. (K) "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instruraent, which is iuitiated through an electronic termtnal, telephonic instrument, computer, or magnetic tape so as to order, instruct, or authorize a financial institution to debil or credit apt account. Such term include,':, bu: ~s not limited to, poiut-of-sale transfers, automated teller machine trausactions, transfers initiated by telephone, wire transfers, and automa ted clearinghouse transfers. (L) "Escrow Items" means those items that are described in Section 3. (M) "Miscellaneous Proceeds" means any compensation, settlemeut, award of damages, or proceeds paid by any third party (other than msuranc, proceeds paid under the coverages described in Sectiou 5) for: (i) damage to, or destruction of, the Property; (ii) condemnation or other taking of all or any part of the Property; (iii) conveyance in lieu of coude:nnation; or (iv) mtsrepresentations of, or omissions as to, the value and/or condition of the Property. (N) "Mortgage Insurance" n,'eans insurance protecUng Lender against the nonpayment of, or default on, the Loan. (O) "Periodic Payment" means the regularly scheduled amoum due for (i) principal and interest nnder the Note, phis (ii) any amounts uuder Section 3 of this Security Instrument. (P) "IEESPA" means the Re,il Estate Settletnent Procedures Act (12 U.S.C. Section 2601 et seq.) and its i~nplementing regulation, Regulatiou X (24 C.F.R. Part 3500), tis they mighl be amended from time to time, or any additioual or successor k gislaiion or regulation that governs the same subject matter. As used in Ihis Security Instrument, "RESPA" refers to all requirements and restrictions that are imposed m regard to a "federally related mortgage lean" even if the Loan does not qualify as a "federally related mortgage loan" under RESPA. (Q) "Successor in Interest o1' Borrower" means any party that has taken title to the Property, whether or not that party has assumed Borrower's qbligations under the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secu,:es to Lender: (i) the repayment of the Loan, and all renewals, extensious and modifications of the Note; attd (ii) the performance of Borrower's covenants and agreemeuts under this Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to MERS (solely as nominee for Lender and Lender's successors and assigus) and to the successors and assigns of MERS, with power of sale, :he following described property localed in the COUNTY of ~ LINCOLN : [TyI~ of Recording Judsdiclionl [Name of Recording Jurisdiction] Lot 18 in Star Valle~ Ranch Plat 21 as platted and re~orded in the official records of Lincoln County, Ny0ming. Parcel ID Number: 3418064010.5000 406 BUTTE DR, THAYNE lStreeffCity] Wyoming 8 312 ? ("Property Address"): [Zip Codel which currently has the address of II~)®-6A(WY) (o0o5} CHL (08/00) Page 2 of 11 Form 3051 1/01 DOC rD ~: 0005480589706004 TOGETHER WITH all tt~e improvements now or hereafter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of the properly. All rephtcements and additions shall also be covered by this Security In?trument. All of the foregoing is ret'erred to ill this Security Instalment as the "Property." Borrower understands and agrees that MERS holds only legal title to the interests granted by Borrower in this Security Instrument, but, if necessary to comply with law or custom, MERS (as nominee for Lender and Lender's successors and assigns) has the right: to exercise auy or att of those interesls, including, but not limited to, the right to foreclose and sell the Property; and to take any action required of Lender including, but not limited to, releasing and canceling this Security Instrument. BORROWER COVENANTS that Borrower is lawfully seised of the eslate hereby conveyed and has the right to mortgage, gmat and convey lhe Property anti that the Property is unencumbered, except for encumbrances of record. Borrower warrants and will defeud generally the title to tile Property against all claims and demands, subject to 'any encumbrances of record. TI[IS SECURITY INST ~_UMENT combines uniform covenants for national use and non-uniform covenanLs with limimd variati :,ns by jurisdiction lo constitute a uniform security iuslrumeut covering real property. UNIFORM COVEN~MNT3. Borrower arid Lender covenant and agree as follows: 1. Payment of Principal, lnmrest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the princi,~al 6I', and interest on, the debt evidenced by tile Note and any prepayment charges and late charges due :'nde;? the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due und.:r die Note and this Security Instrument shall be made in U.S. currency. However, if any check or oth¢.r instrument received by Lender as payment under the Note or this Secnrity instmineut is returned to Lender ui]paid, Lender may require that any or all subsequent payments due under tile Note and this Security Inst:nment be made in one or more of tile following forms, as selected by Lender: (a) cash; (b) money order;' (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds ~'rans,fer. Payments are deemed rec~ ived~by Lender when received at the location designated in the Note or at such other location as may be design areal'by Lender in accordance with the notice provisions in Section 15. Lender may return any payment or pa'~tial payment if the payment or partial payments are insufl'icient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring the Loan current, without wmver of any rights hc~:eunder or prejudice to its rights to refuse such payment or partial payments iu the future, but Lender is not ob!igated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied a:.; of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender may hold such unapplied funds until Borrower makes payment to bring the Loan current. If Borrower does not do so with!a a reasonable period of time, Lender shall either apply such funds or return them to Borrower If not applied eariier, such funds will be applied to the outstanding principal balance under the Note immediately prior to f)reclosure. No offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower from making payments due under the Note anti this Security Instrument or performing the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in this Section 2, all payments accepted and applied by Lender shall be applied in the following order of priority: (a) interest due under the Note; (b) principal due under [he Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Payment in the order in which it became due. Any remaioing amounts shall be applied firsl to late charges, second lo any other mnounts due under this Security Instrument, and ihen to reduce the principal balance of the Note. If Lender recetves 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 Pmodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment o~' ,he Periodic Payments if, and to the extent that, each payment cat) be paid in full. To the extent that any ex.:ess ~.xists 'after tile payment is applied to the full payment of one or more Periodic Payments, such exce.<:s 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 payments, 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 lteias. Borrower shall pay to Lender on tile day Periodic Paymenks are due under the Note, until the Note is pai~ in hill, a sum (the "Funds") to provide for payment of amounts due fi)r: (a) taxes and assessmeuts and otk;~r itc_ns which can attain priority over this Security Instrument as a lien or encumbrance on the Property; kb) leasehold payments or ground rents on the Property, if any; (c) premmms for any and all insurance required by'Lender under Section 5; and (d) Mortgage Insurance premimns~ if any, or any sums payable by Borrov:¢r to Lender in lien of the payment of Mortgage Iusurance premmms m accordance with the provisions of Section 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan. Lender may require that Community Association Dues, Fees, and Assessments, if any, be escrow"~d by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly fumis t to Lender all notices of amounts to be paid under this Section Borrower shall pay Lender [he Funds for Escrow items unless Lender wmves Borrower's obligation to pay the Funds for any or all Escrow Items. Lender m ty wmve Borrower's obligation to pay to Lender Funds for any or all Escrow (~)®-6A(WY) (o005) GIlL (08/00) Page 3 of 11 Form 3051 1/01 DOC ID #: 0005480589706004 Items atany time. Any such waiver may only be in writing. In tile event of such waiver, Borrower shall pay directly, when and where payable, the amounts due for any Escrow Itelns for which payment of Funds has been waived by Leuder and, if Lender requires, sh,'dl furnish to Lender receipts evidencing such payment within such time period as Lender may require. Borrower's obligation to make such payments and to provide receipts shall for all purposes be deemed to be a covenant and agreemeut conhained in this Security Instrument, as the phrase "covenar~t and agreement" is used in Section 9. If Borrower is obligated to pay Escrow Items directly, pursuant to 'a waiver, and Borrower fails to pay tile amount due for all Escrow Item, Lender may exercise its right3.under Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to L~nder~ any such mnount. Lender may revoke 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 Leuder all Funds, and in sucli amounts, that are then required under this Section 3. Lender may, at any time, collei:t and hold Funds in an amount (a) ~ufficient tO pernfit Lender to aPply tire Funds at the time specified under RESPA, mid (b) not to exceed the ,naximum amount a lender can require under RESPA. Lender shall estimate the amount of Fuuds due on the basis of current data and reasonable estimates of expenditures of ftilure Escrow Iteins 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, il" Lend:er is an institution whose deposits are so insured) or in m~y Federal Home Loan Bauk. Lender shall apply th<~. Funds to pay the Escrow Items no later than the time specified under RESPA. Lender shall not Ohm'ge Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Esclbw Items, unless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless an agreelneut is made in writing or Applicable Law requires interest to be paid on :he Funds, Lender shall not be required to pay Borrower any interest or earnings on file Funds. Borrower mid Lender call agree in writing, however, that interest shail be paid on the Funds. Lender shall give to Borrower, withgut charge, an annual accounting of tile Funds as required by RESPA. If there is a surplus of Ft.'nds Iteld in escrow, as defined under RESPA, Lender shall account to Borrower for the excess funds ill accordance! with RESPA. If there is a shortage of Funds held in escrow, as defined uuder RESPA, Lender shall notify Borrower as required by RESPA, mid Borrower shall pay to Lender the amount necessm'y to make up thelshortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency bf Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 nionthly payments. Upon payment in l'ull of all sums secured by this Security Instrulnent, 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 the Property, if any, and Corer,muir, Association Dues, Fees, and Assessments, if any To the extent that these items are Escrow Itelns, Borrower shall pay them in the manner provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees m writing to the payment of tile obligation secured by the lien in a inanner acceptable to Lender, but only so long as Bon'ower is performing such agreelnent; (b) contests the lieu in good faith by, or defends agaiust enforcement of the lien in, legal proceedings which ill 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 holdei' of die lien an agreement satisfactory It) Leuder subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is st,bject to a lien which can altain priority over this Security lnsl~umer~t, Lender may give Borrower a notice identifying the lien. Within 10 clays of the date on which that notice is given, Borrower shall satisfy the lien or take due or more of the actions set forth above i.u this Section 4. Lender may require B omlwer itt) pay a one-time charge for a real estate.tax verification and/or reporting service used by Lender in cormectio~l with this Loan. 5. Property Insurance, Bo,'rower shall keep the improvemeuls now existiug or hereafter erected on the Property insured against loss 'by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited,to, earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained, ill tl::e mnounts (including deductible levels) and for tile periods that Lender requires. What Lender require>i pur~:uant to the preceding sentences can change during the term of the Loan. The insurance cfm'let providing tl~e insurance shall be chosen by Borrower. subject to Leuder's right to disapprove Borrower's choice, which right shall not be exercised unreasonably: Lender may require Borrower to pay, in connection with thi'.:: Loan, either: (a) a one-time charge for llood zone determination, certilication and tracking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges each tim~: remappings or similar chauges occur which reasouably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Managenent P~gency in connection with tile review of any flood zone detemlination resulting from an objection by Borrdwer. If Borrower fails to m0mtaili any of the coverages described above, Lender may obtain iusurance coverage, at Lender's option a~d Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage, therefore, such coverage shall cover Lender, but might or might not protect Borrower, BorroWer's equity in tile Property, or tile contents of tile Property, against any risk, hazard ® ' lnilials: -6A(WY) (0o05) CHL (:08/00) Page 4 of 11 Form 3051 1/01 "" , DOC :].D #; 0005480589706004 or liability mud might provide g::eatt:.r 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.;'.~ny' amounts disbursed by Lender under-this Section 5 shall become additional debt of Bo~ower secured by lt.~ s Security Instrument. These amoums shall be~ interest at the Note rate from the date of disbursement and':ghal~ be payable, with such interest, upon notice from Lender to Borrower requesting payment. All insur~ce policies required by ~nder ~d renewfls of such policies shall be subject to Lender's right to disapprove such policies, s!~all include a stand~d mortgage Clause, mud shall name Lender ~s mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewfl certificates. If ~nder requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form o~7 insurance coverage, not otherwise required by Lender, for damage to, or des~uction of, the Property, such policy shall include a stand~d mortgage clause and shall name Lender as mortgagee anWor ~s an additiol.fl l~ss payee. In the event of loss, Borrower shall give prompt notice to the insurance c~ier and Lender. Lender may make proof of loss if not made p~omplly by Bo~ower. Unless Lender and Borrower otherwise agree in writing, any insur~ce proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repot of the Property, if the restoration or repair is ecouomically feasible and Lender's security is not lessened. During such repair m~d restoranon period, ~nder shill have the right to hold such insurance proceeds until Leud6r has had an opportunity to respect such Property to ensure the work has beeu completed to Lender's satisfac.tion, provided that such inspection shill be undertaken promptly. ~nder may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such insur~ce procee,ls, Lender shall not be required to pay Bo~ower any interest or e~mngs on such proceeds. Fees for public adju~.;ters, or other third p~ties, retmned by Borrower shall not be p~d out of the insurmme proceeds ~d sA,all be the sole obligation of Borrower. If the restoration or repair is not economic~ly feasible or Lend~ r's securiw would be lessened, tl~e insurance proceeds shall be applied to the sums secured by this Security F~s~ument, whether or not then due, with the excess, if any, paid to Boffower. Such insurance proceeds shall t-~ applied in the order provided for in Section 2. If Borrower abandons the Property, ~nder may file, negodale and settle any available insurance claim and related matters, if Borrower docs nol respond within 30 days to a notice from Lender tha~ the insurance c~rier, has offered to settle a c~m, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either evem, or if Lender acqurres the Proper~y under Section 22 or olherwise, Borrower hereby as'4gns to Lender (a) Borrower's rights ~o any insurance probeeds in an amount not to exceed the amounts unp~.id uf~der the Note or this Security Instnnnent, ~d C~) any other of Borrower's rights (other than the righi to any refund of une~ned premiums paid by Bo~ower) under ri insurance policies covering the Propeay, insofar ;~..s such rights ~e applicable to the coverage of the Property. Lender may use the insur~ce proceeds either to reparr or restore the Property or to pay amounts unp~d under the Note or this Security Instrument, whether'or not lhen due. 6. Occupancy. Bo~ower ;hall occupy, establish, and use the Property as Borrower's principal residence wiJfin 60 days ffter the execu ion of this Security Instrument and shall continue to occupy the Property ~s Borrower's principal residence for at least one ye~ after the date of occupancy, unless Lender otherwise agrees in writing, which consee~ shall not be unreasonably withheld, or unless extenuating circumstances exist which ~e beyond Borrower's control. 7, Preservation, Maintenance and Protection o~' the Property; Inspections. Borrower shall not des~oy, damage or m~pair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Bomower is res3ding'in the Property, Boffower shall maintain the Property in order lo prevent the Property from deteriorating or decreasing in v~ue due to ils condition. Unless it is determined pursuant to Section 5 that repair or restora6on is not economically feasible, Bon'ower shall promptly repair the Property if damaged to avoid fi~rther deterioration or dmnage. If insurance or condemnation proceeds ~e paid m connection with damage to, or the taking oL the Property, Borrower sh~l be responsible for repairing or restoring the Property only if ~nder has released proceeds for such purposes. ~nder may disburse proceeds for the repairs ~d restoration, m a single payment or in a series of progress payments as the work is completed. If the insur~ce or. condemnation proceeds ~e nol sufficient to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repot or restoration. Lender or its agent may m~e reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of ~e improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an imenoc ms pection specifying such reasonable cause. 8. Borrower's Loan Application. Borrower sh~l be iu default if, during the Loan application process~ Borrower or any persons or e reties acting at the direction of Borrower or with Borrower's knowledge or consent gave malerially false, misleading, or iuaccurate information or statements ~o Lender (or failed 1o provide Lender with material i~iformalion) m connection with the Lo~m Malarial representations include~ but are not limited to, representauons cencennng Borrower's occupaucy of the Property as Borrower's principal residence. (~®-6A(WY) (0005) CH L (OS/C J) Page 5 of 11 Initials: Form 3051 1/01 o OO5 5 9 DOC ID #: 0005'180589706004 9, Protection of Lender'.; Interest in fl~e Property and Rights Under th~ Security Instrument. If (a) Borrower fails to perform the covenants ~d agreemenm contained in this Security Instrument, (b) there is a legal proceeding tlmt might ~igniff~cantly affect Lender's interest in the Property an~or rights nude: lhis Securi~ Inst~ment (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which, may attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has hD~Moned the Property, then Lender may do and pay for whatever is reasonable or appropriate L0 pr 5tect ~nder's interest in the Property and rights under tiffs Security Insn'ument, including protecting antffor assessing the value of the Property, and securing and/or repairing the Property. Lender's actions can include, but ~e not limited to: (a) paying any sums secured by a lien which has priority over this Security Ins~ument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest in the Property ~d/or rights under dfis Securi~ Instrument, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited Lo, entering the Property to make repaim, change locks, replace 3r bo~d 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 Lemler may take action under this Section 9, ~nder does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incurs no liability for not t~ing any or all actions authorized under this Section 9. Any mnounts disbursed by Lender nnder this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice Rom ~nder LO Borrower requesting payment. If this Security Instrumeiit is on a leasehold, Borrower shall comply with all the provisions of the lease. If Borrower acquires fee title to ~e Property, the leasehold and the fee title shall not merge nnless Lender agrees to the merger in writing: 10. Mortgage Insurance. If Lender required Mortgage Insurance ~s a condition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage Insunmce m effect. If, for any reason, the Mortgage insurm~ce coverage required by Lender ceases to be available from tile mortgage insurer that previously provided such insurance ~d Borrower was required Lo make separately designated paymenB towed the premmms for Morlgage.insurmlce, Borrower sh~l pay the premiums required to obtain coverage substantially equivalent to the-dortgage Insurm)ce previously in effect, at a cost substantially equivalent to the cost [o Borrower of ~e Mortg ~ge Insurance previously in effect, fi'om an allemate inortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage ~s not available, Borrower shall continue to pay to Lender the amount ol the sep~ately designated payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and mt~n these payments as a non-refundable k)ss reserve in lieu of Mortgage Insurance. Stch loss reserve shall be non-refundable, notwithstanding the fact that the ~an is ultimately p~d in full, and ':~ender shall not be required to pay Borrower m~y interest or e~uings on such loss rescue. Lender can no l.)nger require loss reserve payments if Mortgage Insurance coverage (in the amonnt anti for the period that Lender requires) provided by an insurer selec~d by ~nder again becomes available, is obtained, and Len~ler re.quires separately designated payments toward the premiums fi)r Mortgage Insur~ce. If ~nder required Mortgage Insurance as a condition of making the Loan and Bon'ower was required to make sep~ately d.esignated payments toward the premiums for Moagage Insurance. Borrower ~mll pay the premiums required to maintain Mortgage Insurance in eft~ct, or to provide a non-mfimdable loss reserve, until ~nder's requirenent for Mortgage Insurance ends m accordance with m~y written agreement between Borrower and Lende~ providing for such temfination or until termination is required by Applicable Law. Nothing in this Section 1,.) affects Bon'ower's obligation to pay interest at the rate provided in the Note. Mortgage h~surance reimburses Lender (or m~y entity dmt purchases the Note) for certain losses it may incur if Borrower does not rep~,y the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance m force from Lime to Lime, and may enter into agreements with other pm'ties fhat share or modify their dsk, or reduce losses. These agreements ~e on te~s ~d conditions that ~e satisfactory to the mortgage insurer and the other p~ty (or parties) to these agreements. These agreements may'req uire the mortgage insurer to make payments using ~y soume of fimds that the mortgage insurer may have available (which may include fuuds obtained from Mortgage Insurance preininms). As a result of these agreements, Lender, any purchaser of the Note, ~mother insurer, any reinsurer, any other entity, or any ~filiate of any of the foregoing, may receive (directly or indirectly) mnounts thai derive from (or might be characterized as) a po:non of Borrower's payments for Mortgage Insurance, in exchange for shying or modi~ing the mortgage insurer's risk, or reducing losses. If such agreement provides that an affiliate of Lender rakes a sht~e of the insurer's risk in exchm~ge for a share of the premiums paid to the insurer, the ~rangement is often termed "captive reinsur~ce." Further: (a) Any such agreements ~llnot afl'eot the amoun~ thai Borrower has agreed to pay for Mortgage Insurance, or any other terms of fl~e Loan. Such agree~nents will not increase the amount Borrower will owe for Mortgage Insurance, and they wffi not entitle Borrower to any rel~nd. (~®-6A(WY) (0005) CHL (08/00) Page 6 of 11 initials: ~'"~.,,~ Form 3051 1/01 DOC ID #: 0005480589706004 (b) Any such agreemen!s wlill not affect the rights Borrower has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may include the right to receive certain disclosures, to request aud obtain cancellation of the Mortgage InSurance, to have the Mortgage insurance terminated automatically, and/or to receive a relhnd of any Mortgage Insurance premitm'~s that were unearned at the time of such cancellation Or termination. 11. Assigmnent of Mis~..ellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds shall be applied to restoration or repair of the Property, if the restoration Or repair s economically feasible and Lender's security is uot lessened. During such repair and restoratiou period, Lender shall have the right to hold such Miscellaneous Proceeds.until Lender has had an opportunity to inspbct :~iuch Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection Shall be undertaken promptly Lender may pay for the repairs and restoration in a single disbursemeut or in a ,'..:ties of progress payments as the work is completed. Unless an agreemeut is made iu writing or Applicable Law requires interest to be paid on such Miscellmmous Proceeds, Louder shall not be required to pay Borrowc:- any interest or earnings on such Miscellaneous Proceeds. If the restoratiou or repair is not economically feasible 9r Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Iustrument, whether or not then due,' with the excess, if any, paid to Borrower. Such Miscellhneous Proceeds shall be applied in the order provided for in Section 2. In the eveut of a total tal~ing, destruction, or loss in value of the PropertY, the Miscellaneous Proceeds shall be applied to the sums secured by .this Security Iustrument, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial razzing, :destruction, or loss in value of the Property in which the fair market value. of the Property immediately b~ fore the partial takiug, destruction, or loss in value is equal to or greater than the amount of the sums secureo by tiffs Security Iustrmnent immediately before the partial taking, destruction, or loss iu value, uuless Borrower and Lender otherwise agree in writing, the sums secured by this Security Iustmment shall be reduced by the amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the partial taking, destructiou, or loss in value divided by Co) the fair market ,'alue of the Property immediately before the partial taking, destruction or loss in value. Any balance si:roll be 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 immediately before the partial taking, destruction, or loss in value is less than the amount of the sums secured immediately befo:e the partial taking, destrt,ctiou, or loss in value, unless Borrower and Lender otherwise agree in wrifiug, the Miscellaneous Proceeds shall be applied to the:stuns secured by this Security Instrument whether or not the sums are then due. If the Property is abandoned bl/Borrower, or if, after notice by Lender to Borrower that the Opposing Party (as defined in the next sentence:) offers to make an award to settle a claim for damages, Borrower fails 1o respond to Louder within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either I.o restoration or repair o'f the Property or to the sums secured by this Security Inslrnment, whether or noel./hen due. "Opposing Party"' means the third party that owes Borrower Miscellaneous Proceeds or the ~arty against whom Borrower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in def;~'u, lt if any action or proceeding, whether civil or criminal, is begun that, in Lender's judgment, could resul,. ,in f~rfeiture of the Property or other material impairment of Lender's interest in the Property or rights under ,;his Security Instrument. Borrower eau cure such a default and, it' acceleration has occurred, reinstate as provi',/ed in Section 19, by causing the actiou or proceediug to be dismissed with a ruling that, in Lender's judgment, pre:ludes forfeiture of the Property or other material impairment of Lender's interest in the Property or rights under this Security Instrument. The proceeds of any award or claim for damages that are attributable t~.~i the impairment of Lender's iuterest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Procee.:}s that are not applied to restoration or repair of the Property shall be applied in the order provided for in Sectio-~ 2. 12. Borrower Not Rele,'~sed; Forbearance By Lender No! a Waiver. Extension of the time for payment or modification of amortization of the sums secured by this Security Instrument granted by Lender to. Borrower or auy Successor in I ~teres'..' of Borrower shall not operate to release the liability of Borrower or any Successors in Interest of Bonower. Lender shall uot be required to commence proceedings against any SuccesSor iu Interest of Borrow ~r or :o refuse to extend ti~ne for payment or otherwise modify amortization of the sums secured by this Secur ty Instrumeut by reason of any demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearauce by Lender in exercising any right or remedy iucluding, without limitation, Lender's acceptance of paymeuts from third persons, entities or Successors in Interest of Borrower or in amounts less th?u 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 obligallons and liability shall be joint and several. However, any Borrower who co:signs this Security instrume~ilt but does not execute the Note (a "co-signer"): (a) is co-siguing this Security (~®-§A(WY) (0005) CHL (08/00) Page 7 of 11 Form 3051 1/01 DOC ID #: 0005480589706004 Instrument only to mortgage, grant and convey the co-signer's inlerest in tile Property nnder the terms of this Security Instrument; (b) is not personally obligated to pay the surus secured by this Security lnstrumeut; and (c) agrees that Lender and any :other Borrower can agree to extend, modify, forbear or make any accommodations with regard to tii~e terms of this Security Instrument or the Note without the co-signer's consent. ·. Subject to the provisions :of Section 18, any Successor in Interest of Borrower who assumes Borrower's obligations under this Security inst~?mnent in writing, and is approved by Lender, shall obtain all of Borrower's rights and benefits under this ~.ecnri. ty Instrument. Borrower shall not be released from Borrower's obligations and liability under this Securit? Instrument nnless 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. Le~'der may charge Borrower fees for services performed in connection with Borrower's default, for the p.irpose of proteciing Lender's interest in the Prop}try and rights under this Security Instrument, including, but not limited to, attorneys' fees, property inspection and valuation fees. In regard to any other fees, the absence of express authority in this Security Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the charging of such fee. Lender may .not charge fees that are expressly prohibited by thi~i SecUrity Instrument or by Applicable Law. If the Loan is subject to :l law which sets maximum loan charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in connection with the Loml exceed the permitted limits, then: (a) any :iuch !oan charge shall be reduced by the amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which exceeded permitted limits will be re'funded to Borrower. Lender niay choose to make this refund by reducing tile principal owed under the Note or by making a direct pa}. merit to Borrower. If a refund reduces principal, the reduction will be treated as a partial prepayment without }ny prepayment charge (whether or not a prepayment charge is provided for under the Note). Borrower's )cceptance of any such refund made by direct payment to Borrower will constitute a waiver of any right of a{;tion Borrower might have arising ()ut of such overcharge. 15. Notices. All notices ~,iven by BorroWer or Lender in connection with this Security Instrulnent nmst be in writing. Any notice to Borrower in connection with this Security Instrument shall be deemed lo have been given to Borrower whet: mailed by first class mail or when actually delivered to Borrower's notice address if sent by other means. Netice to any one Borrower shall constitute notice to all Borrowers unless Applicable Law expressly require:~; otherwise. Tile notice address shall be the Property Address unless Borrower has designated a substitute notice address by notice to Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specifies a procedure for reporting Borrower's change of address, then Borrower shall only r~eport a change of address through that specified procedure. There may be only one designated notice address under this Security Instrmnent at any one time. Any notice to Lender shall be given by delivering it orby 'mailiag it by first class mail to Lender's address stated herein unless Lender has designated another address by notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to have been g~ven to Lender until actually received by Lender. If any notice required by this Security Instrument is alsq req~hired under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement unde~r this Security Instrument. 16. Governing Law; Severability; Rules ol' Construction. This Security Instrument shall be governed ibY federal law and the law o~' the ,jurisdiction in which the Property is located. All rights and obligations contained in this Security Ins;mmc.'nt are subject to any requirements ~md limitations of Applicable Law. Applicable Law might explicilly or::implicit!y allow the parties to agree by contract or it might be silent, but such silence shall not be con~:tmed as a prohibition against agreement by coutract, in the event that any provision or clause of this Security instrument or the Note conflicts with Applicable Law, such conflict shall not affect Other provisions of this Security Instrument or the Note which can be given effect without the conflicting provision. As' used in this Securit./ Instrument: (a) words of the masculine gender shall mean and include corresponding neuter words or words of the feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretiou 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. Transrer of the Pri!,Pert~y 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 beneficial interests transf.~rred in a bond for deed, contract for decd, installment sales contract or escrow agreement, the intent of which ':.s the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Pr,)perty or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial ifiterest in Bon'ower is sold or transferred) without Lender's prior written consent, Lender may require immediate payment in full of all sums secured by this Security hmtmment. However, this option shall not oe exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises, this 3piton, Lender shall give Borrower notice of acceleration. The notice shall provide a period of not less than 30 days from the date file nolice is given in accordance with Section 15 within which Borrower must Fay ali sums secured by this Security Instrument. If Borrower fails to pay these stuns prior to the expiration of this period, 'Lender may invoke any remedies pernfitted by this Security Instrument without further notice or demand on Borrower. (~®-6A(WY) (00051 GHL (08/001 Page 8 of 11 Form 3051 1/01 DOC ID #: 0005480589706004 19. Borrower's Right to )lein;state After Acceleration. If Borrower meets certain conditions, Borrower shall have the right to have m'_forcement of this Security Insn'mnent discoittinued at any time prior to the earliest of.' (a) five days before sale-of the Property pursuant to any power of sale contained in this Security Instrument; CO) such other period as' Applicable Law might specify k)r the termination of Borrower's right to reinstate; or (c) entry of a judgment enforcing this Seem'try Instrument. Those conditions are that Borrower: (a) pays Lender 'all sums which thm would be due under this Security Instrument and the Note as if no acceleration had occurred; Co) ?ures;any default of any other covenants or agreements; (c) pays all expenses incurred ill enforcing this Security Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation fees, and other fees incurred for the purpose of protecting Lender's interest in the Property and rights unde~ this' Security Instruruent; and (d) takes such action as Lender may reasonably require to assure that Lender's inlercst iu the Property and rights trader this Security Instrument, and Borrower's obligation to pay tha sums secured by this Security Instrument, shall continne unchanged. Leuder may require that Borrower pay such reinstatement sums and expenses in one or more of the following feints, as selected by Lender: (a) cash;.co) r!mney order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an institution whose deposits are insured by a federal agency, instrumentality or entity; or (d) Electronic Funds Transfer. Upon reinstatement by Borrower, this Security Instrument mid obligatious secured hereby shall remain fully effective as if no acceleration had occurred. However, this right to reinstate 5:hall not apply iu the case of acceleration under Section 18. 20. Sale of Note; Change'. of Loan Servicer; Notice of Grievance. The Note or a partial interest in the Note (together with this Secnrit"/Instrument) can be sold one or more times without prior notice to Borrower. A sale might result ill a change in the entity (known as the "Loan Servicer") that collects Periodic Payments due under the Note and this Sec,~rityAnstrulnent and performs other mortgage loan servicing obligations under the Note, this Security Instrumc~t, arid Applicable Law. There also nfighl be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of the Loan Servicer, Borrower will be given writteu nouce of the change w::ich will state the name and address of the new Loau Servicer, the address to which payments should be inane and any other information RESPA requires in connection with a notice of transfer of servicing. It' tile Note is sold and thereafter the Loan is serviced by a Loan Servicer other than tile purchaser of the Note, the mort3';age loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successo.:' Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by the Note purchaser Neither Borrower nor Lender ;:nay commence, loin. or be joined to any judicial actiou (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this 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 s'~ch Borrower or Lender has notified die other party (with such notice giveu in compliance with the requirements of Section 15) of such alleged breach and afforded the other party hereto a reasonable period after the giviqg of such notice to take corrective action. If Applicable Law provides a time period which must elapse fieforc certain action can be taken, that time period will be deemed to be reasonable for purposes of this paragraph. =he notice of acceleration and opportunny to cure given to Borrower pursuant to Section 22 and the notice 07 acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy the notice mid opportuni'y to take corrective action prowsions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, otherfiammable or toxic petroleum products, toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Environmeutal Law" means feJeral ;aws and laws of the jurisdiction where the Property is located that relate to health, s',ffety or environmental protection; (c) "Environmental Cleanup" includes any response action, remedial action, or removal act}on, as defined in Environmental Law; and (d) an "Environmental Condition" means a condition that can causb., contribute to, or otherwise trigger an Environmental Cleanup. Borrower shall not cause or pt..trait the presence, use, disposal, storage, or relettse of any Hazardous Substances, or threaten to release iany Hazardous Substances, on or in the Property. Borrower shall not do, nor allow anyone else to do, anything afflicting the Property (a) that is in violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, due to the preseuce, use, or release of a Hazardous Substance, creates a condition .hat adversely affects the value of the Property. The preceding two sentences shall not apply to the presence~ use, or storage on the Property of small quantities of Hazardous Substances that are generally recognized to be appropriate to normal residential uses and to maintenance of the Property (iucluding, but not limited to, hazardous substances m consumer products). Borrower shall promptly ~ive Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private party involving the Property and any Hazardous Substance or Environmental Law of which Borrower has actual knowledge, (b) ~my Environmental Condition, including but not Ii:hired to, any spilling, leaking, discharge, release or threat of release of any Hazardous Substance, and (c) thy condition caused by the presence, nsc or release of a Hazardous Substance which adversely affects the val m of the Property. If Borrower learns, or is notified by any governmental or regulatory authority, or any pti/ate party, that any removal or other remediation of any ltazardous Substance affecting the Property is necess".,ry, BOrrower shall promptly take all uecessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender/'or an Environmental Cleanup. (~®-§A(WY) (ooo5) CHL (08/07) Page 9 of 1 ~ Initials:~5 Form 3051 1/01 DOC ID 0:0005,180589'706004 NON-UNIFORM COVENANTS. Borrower and Lender fiirther covenant mid agree as follows: · 22. Acceleration; Remer'ies. I,ender shall give notice to Borrower prior to acceleration following Borrower's breach of any ~:ovenant or agreement in this Security lnstrmnent (but not prior to acceleration under Section If; unless Applicable Law provides otherwise). The notice shall specify: (a) the defatfll; (b) the action req,dred to cure the delhtflt; (c) a date, not less than 30 days from the date the notice is given to Borrower, E'y which the defaull must be cured; and (d) that failure to cure the default on or before the date specil]ed in the notice may result in acceleration of the stuns secured by this Security Instrument and sale of the Property. The notice shall I:urther inform Borrower of the right to reinstate after acceleration and the right to bring a court action to assert the non-existence o1' 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, Lend(:r at its option may require immediate payment in full of all sums secured by this Security Instr~m~ent without further demand and may invoke fl~e power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing fl~e remedies provided in this Section 22, including, bul not li~nited to, reasonable attorneys' fees and costs of title evidence. I~ Lender invokes the power of sale, Lender shall give notice of intent ti} foreclose to Borrower and to the person in possession of the Property, if different, in accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided in Section 15. Lender shall publish the notice of sale, a nd the Pruperty 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 order: (a) to all expenses of the sale, including, but not limited to, reasonable attorneys' fees; (b) to all sums secured by this Security lnstrmnent; and (c) any excess to the person or persons legally entitled to it. 23. Release. Upon payment of all sums secured by this Security Instrument, Lender shall release this Security Instrument. Borrowe,: shall pay ~y recordation costs. Lender may charge Borrower a fee for releasiug this Security Instrummt, bat only if the fee is paid to a third party for services rendered and the charging of the fee is permitted tinder Applicable Law. 24. Waivers. Borrower r, deases and waives all rights under and by virtue of the homeslead exemption laws of Wyoming. BY SIGNING BELOW. Borrower accepts and agrees to the terms and covenants contained if] this Securily Instrument and in any ~[ider executed by Borrower and recorded with it. Witnesses: CODY J. SCHMIDT (Seal) -Borrower (Seal) (Seal) -Borrower (Seal) -Borrower (~}®~{iA(WY) (0005) CHL (08/0!,)) Page 10 of 11 I~orm 3051 1/01 "~.- 304 STATE OF WYOMING, The foregoing instrument was acknowledged before me this by Cody 3-. Schmidc. DOC ID ~: 0005480589706004 TETON County ss: 28th day of June, 2004 My Commission Expires: 9-15707 Notary Public (~)®-6A(WY) (0005) CHL (08/00) Page 11 of 11 Form 3051 1/01