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HomeMy WebLinkAbout901284Remm To: WELLS FARGO HOME MORTGAGE 3601 MINNESOTA DR. SUITE 200 BLOOMINGTON, MN 55435 9012814 Prepared By: WELLS FARGO BANK, N.Ao g OOK~_r~q~ PAG}~ RECEIVED "~ ] LI,,~OOI_.N Cut. hiT",' CLERK 1919 DOUGLAS,, OMAHA, 681010000 NE [Space Above This Lhie For Recording Data] MORTGAGE DEFINITIONS Words used in multiple sections of this document are defined below and other words are defined in Sections 3, 11, 13, 18, 20 and 21 Certain rnles regarding the usage of words used in this docmnent arc also provided in Section 16. (A) "Security lnstrmnent" u]eans fids docmnent, which is dated JULY 2 0, togefller with all Riders to this document. (B) "Borrower" is SUSAN D ANDERSON, A MARRIED PERSON 2004 Borrower is the mortgagor under this Security h~strument. (C) "Leuder" is WELLS FARGO BANK, N.A. Lender is a NATIONAL ASSOCIATION organized and existing under the laws of THE UNITED STATES 0036625903 WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUIVIENT (~®-6(WY) (ooos) Page 1 of 15 Initial~,( . VMP MORTGAG£ FOBMS - (800}521-72D1 Forrn3051 1/01 Lender's address is P.o. BOX 10304, DES MOINES, IA 503060304 Lender is the mortgagee under this Security Instrument. (D) "Note" means the promissory note signed by Borrrwer and dated GU.BY 2 0, 2 0 0 4 The Note states that Borrower owes Lender ONe. HUNDRED SIXTY ONE THOUSAND AND 00/'100 Dollars (U. S. $ * * * * 161, 00 0.00 ) plus interest. Borrower has promised [o pay this debt in res ular Periodic Payments and to pay the debt in dill not later than AUGUST 01, 2 03 4 (E) "Property" means the property that is described below under thc heading "Transfer of Rights in fl~e Property." (F) "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 Instrument, plus interest (G) "Riders" means all Riders to this Security Instrument that are executed by Borrower. The tbllowing Riders are to be executed by Borrower [check box as applicable]: ~ Adjustable Rate Rider ~-~ Condonfinimn Rider ~ Second Home Rider ~ Balloon Rider ~' Plam~ed U~fit Development Rider ~ 1-4 Fanfily Rider ~'~ VA Rider ~- Biweekly Payment' Rider ~ Other(s) [specify] (H) "Applicable Law" means all controlling applicable federal, state and local statutes, regulatious, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opnfions. (1) "Community Association Dues, Fees, and Assessmeuts" ,neans all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a condonfinium association, homeowners association or similar organization. (J) "Electronic Funds Transfer" means any transfer of funds, other than a transaction originated by check, draft, or similar paper instrmnent, which is irritiated through all electronic ternfinal, telephonic instrument, computer, or nmgnetic tape so as to order, instruct, or authorize a financial institutio'a to debit or credit an account. Such term includes, but is not linfited to, point-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire trausfers, and automated cleariughouse transfers. (IQ "Escrow Items" means those items that are described ill Section 3. (L) "Miscellaneous Proceeds" means any compensation, settlement, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under the coverages described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemrmtion or other taking of all or any part of the Properiy; (iii) conveyance in lieu of condemnation; or (iv) misrepreseutations of, or omissions as to, the value and/or condition of the Property. ' ~1) "Mortgage Insurance" means insurance protecting Lender against the nonpayment of, or default on, the Loan. (N) "Perimlic Payment" means the regularly scheduled amount due tbr (i) principal and interest under the Note, plus (ii) any amounts under Section 3 of fids Security h~strument. (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 from time to time, or any additional or successor legislation or regulation that governs fl~c same subject nmttcr. As used in this Security Instrument, "RESPA" refers to all requirements aud restrictimm that are imposed iu regard to a "federally related mortgage loan" even if file Loan does not qualify as a "federally related mortgage loan" under RESPA. i~_ I nit i al ~(~'1'~ . 6(WY) lO00S) Pag. 2 o115 Form 3051 1/01 (P) "Successor in Interest of Borrower" means any party flint has taken title to the Property, whether or not that party has assumed Borrower's obligations unde~ the Note and/or this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrmnem secures to Lender: ti) the repayment of the Loan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrower's covenants and agreements under tiffs Security Instrument and the Note. For this purpose, Borrower does hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, the following described property located In the COUNTY of LINCOLN : ]Type of Recording Jurisdiction] [Name of Recording Jurisdiction] LOT 48 OF THE STAR VALLEY RANCH PLAT 16, LINCOLN COUNTY, WYOMING AS DESCRIBED ON THE OFFICIAL PLAT THEREOF. *SEE ADJUSTABLE RATE RIDER TAX STATEMENTS SHOULD BE SENT TO: 10304, DES MOINES, IA 503060304 WELLS FARGO HOME MORTGAGE, P.O. BOX Parcel ID Number: '12 -3518 -31-3 -01-007. 427 CEDAR CREEK DR THAYNE ("Property Address"): which currently has fl~e address of [Streetl [Git3'] , Wyoming 83127 [Zip Code] TOGETHER WITH all the improvements now or bereaf'ter erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part of fl~e property. All replacements and additions shall also be covered by this Security Instrument. All of the lbregoing is referred to in this Security Instrument as the "Property." BORROWER COVENANTS that Borrower is lawfully seised of tbe estate hereby conveyed and has the right to mortgage, grant and convey the Property and that the Pi'operty is unencmnbered, except for encumbrances of record. Borrower warrants and will defend generally the title to the Property against all claixns and denmnds, subject to any encmnbrances of record. THIS SECURITY INSTRUMENT combines uniform covenants for natio~ml use and non-tmifonn covenants with linfited variations by jurisdiction to constitute a uniform security instrmnent covering real property. UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prepayment Charges, and Late Charges. Borrower shall pay when due the principal of, and interest mt, thc debt evidenced by the Note and any prepayment charges and late charges due uuder the Note. Borrower shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note and this Security Instrun~ent shall be umde in U.S. currency. However, if any check or other instrument received by Leader as payment under tim Note or this Initi a~} r (~)~-6(WY) (ooos) P~g, 3 o~ ~ Form 3051 1/01 : .-:i ;; ;;:i.> ¥::'J Security Instrument is returned to Lender unpaid, Lender may require that any or all subsequent payments due under the Note and this Security Instrument be nmde in one or more of the following titans, 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, instmme:ntality, or entity; or (d) Electrmfic Funds Transfer. Payments are deemed received by Lender when received at the location desig~ted in the Note or at such other location as nmy be designated by Lender in accordance with the notice provisions in Section 15. Lender nmy return any payment or partial payment if the payment or partial payments are iusufficient to bring the Loan current. Lender may accept any payment or partial payment insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to its rights to refuse such payment or partial payments iu the future, but Lender is not obligated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled due date, then Lender need not pay interest on unapplied funds. Lender nmy hold such unapplied fimds undl Borrower makes paymcm to bring the Loan current, if Borrower does not do so wiflfin a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such funds will be applied to the outstanding principal balance under the Note immediately prior to foreclosure. No offset or claim which Borrower might have xmw or in the future against Lender shall relieve Borrower from nmking paytuents due under the Note and this Security Instrmnent or performing the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as otherwise described in fids Section 2, all payments accepted and applied by Lender shall be applied in the l"ollowing order of priority: (a) interest due under the Note; (b) principal due under fl~e Note; (c) amounts due under Section 3. Such payments shall be applied to each Periodic Payment in rite order in which it became due. Any renmimng amounts shall be applied first to late charges, second to any other amounts due under this Security fustrmnent, and titan to reduce the principal balance of the Note. If Lender receives a payment from Borrower for a delinquent Periodic Payment which includes a sufficient amotmt to pay any late charge due, the payment nmy be applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, Lender may apply any payment received from Borrower to the repayment of the Periodic Payments if, and to the extent that, each payntent can be paid in full. To the extent that any excess exists after the payment is applied to the full payment of one or nmre Periodic Payments, such excess may be applied to any late charges due. Vohintary 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 princxpal due under the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender on the day Periodic Payments are due under the Note, umil the Note is paid in full, a sum (the "Funds") to provide for payment of amomas due for: (a) taxes and assessments and other items Milch can attain priority over this Security Instrument as ,q lien or encumbrance on the Property; (b) leasehold paymems or ground rents on the Property, if any; (c) prennums for any and all insurance required by Lender under Section 5; and (d) Mortgage Insurance premiums, ff any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Section 10. These items are called "Escrow Itents." At origination or at any time during rite term of the Loan, Lender nmy require that CoImnunity Association Dues, Fees, and Assessments, ff any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly fimfish to Lender all notices of amounts to be paid urder this Section. Borrower shall pay Lender the Funds Ibr Escrow Items unless Lender waives Borrower's obligation to pay the 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 may only 'be in writing. In the event of such waiver, Bon'ower shall pay directly, when and where payable, thc amounts (~-6(WY) (ooo5) Page 4 of 15 Form 3051 1/01 due for any Escrow Items for which payment of Funds has been waived by Lender and, if Lender reqmres, shall furnish to Lender receipts evidencing such payment within such time period as Lender nay reqmre. Borrower's obligation to make such payments and to provide ~eceipts shall for all purposes be deemed to be a covenant and agreement contained in fids Security lnstrumeut, as the phrase "covenaut and agreement is used in Section 9. If Borrower is obligated to pay Escrow hems directly, pursuant to a waiver and Borrower fails to pay file amount due for an Escrow Item, Lender may exercise its rights trader Section 9 and pay such amount and Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender nay revoke the waver as to any or all Escrow Items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Fuuds, aud in such amounts, that are then required under tlfis Section 3. Lender may, at any time, collect and hold Funds in an amouot (a) sufficient to permit Lender to apply the Funds at the time specilied under RESPA, and (b) not to exceed the maxilnum amount a lender can require under RESPA Lender shall estimate file amount of Funds due on file basis of current data and reasonable estimates of expenditures of future Escrow items or otherwise in accordance with Applicable Law. TILe Funds shall be held in an institution whose deposits are insured by a federal agency, instrmnentality, or entity (including Lender, if Lender is an restitution whose deposits are so insured) or in any Federal Home Loan Bank Lender shall apply the Funds to pay tile Escrow Items no later thau the time specified under RESPA. Lender shall not charge Borrower for holding and applyiug the Funds, ammally analyzing the escrow account, or verifying fire Escrow Items. uuless Lender pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge. Unless an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can. agree iu writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for file excess funds in accordance with RESPA. If there is a shortage of'Fnnds 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 shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficieney 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 the deficiency in accordance with RESPA, but itl no more than 12 monthly payments. Upon payment in full of all sans secured by tiffs Security Instrument, Lender shall promptly rcfuud to Borrower any Fm~ds held by Lender. 4, Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and intpositions attributable to the Property which can attain priority over this Security Instnnnent, leasehold payments or ground rents on the Property, if any, and Connnmfity Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay them in the mamLer provided itl Section 3. Borrower shall promptly discharge any lien which has priority over fids Security Instrument mdess Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a nmxmer acceptable to Lender, but only so long as Borrower is perforating such agreement; (b) contests axe lien itt good t'aith by, or defends against entbrcement of the lien in, legal proceedings which in Lender's opinion operate to prevent tile enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded; or (c) secures from the holder of the lien an agreement satisthctory to Lender subordinating the lien to this Security Instrument. If Lender determines that arty part of the Property is subject to a lien wtfich can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the Initial~S~ (~-6(WY) 1ooo51 Page sot lS Form 30,51 1/01 ;,f: ,,: .... lien. Within 10 days of the date on wlfich that notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender my require Borrower to pay a one-time charge fi~r a real estate tax verification and/or reporting service used by Lender in co~mectton with this Loan. 5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards inchided within the term "extended coverage," and any other hazards inchiding, but not linfited to, earthquakes aud rioods, tbr which Lender requires nmurance. This insurance shall be maintained iu the amounts (including deductible levels) and for the periods that Lender requires. What Lender reqmres pursuant to the prece.ding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender nmy require Borrower to pay, in connection with this Loan, eifl~er: (a) a one-rune charge for flood zone determination, certification and tracking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges each time remapplngs or siufilar changes occur which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency Mamlgement Agency in co~mection with the review of any flood zone determi~mtion resulting from an objectiou by Borrower. If Borrower fails to maintain any of the coverages described above, Lender nmy obtain insurance coverage, at Lender's option and Borrower's expense. Leuder is under no obligation to purchase any particular type or an~tount of coverage. Theretbre, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in fire Property, or the cm~tents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by this Security Iustrument. Thcse amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with such interest, upon notice fi'om Lender to Borrower requesting paymem. All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall inchide a standard mortgage clause, and shall uame Lender as mortgagee and/or as an.additional loss payee. Lender shall have the right to hold the policies aud renewal certificates. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums renewal notices. If Borrower obtains any ~brm of insurance coverage, not otherwise required by Lm~der, lbr damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and shall ~mme Lender as mortgagee and/or as an additional loss payee. In rte event of loss, Borrower shall give prompt notice to file insurance carrier and Lender. Leuder may make proof of loss if not made promptly by Borrower. U'tfless Lender and Borrower otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, ff fire restoration or repair is econotnically feasible and Lender's security is not lessened. During such repair attd restoration period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportmfity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender inay disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the work is completed. Utfless an agreement is nmde in writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of fire insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with (~,.e-6(WY) Iooos) Page 6 o¢ lS Form 3051 1/01 the excess, if any, paid to Borrower. Such insurance proceeds shall be applied iii the order provided Ibr in Section 2. If Borrower abandons the Property, Lender nmy file, negotiate and settle any available iusurance claim and related n~mtters. If Borrower does not respond wiflfin 30 days to a notice from Lender that file insurance carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given. In either event, m- it' Lender acquires file Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amouut not to exceed the amounts nnpaid under the Note or fids Security 'lnstmnmnt, and (b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofi~r as such rights are applicable to the coverage of the Property. Lender rnay use the insurance proceeds either to repair or restore the Property or to pay amounts u0paid under the Note or this Security Instrument, whether or not thell due. 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence wiflfin 60 days after the execution of this Security Instmn~ent and shall continue to occupy the Property as Borrower's principal residence for at least one year after the date of occupancy, nnless Lender otherwise agrees in writing, which consent shall not be unreasonably wifld~eld, or mdess extenuating circumstances exist which are beyond Borrower's control. '7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or impair the Property, allow the Property to deteriorate or coumfit waste on file Property. Whether or not Borrower is residing in the Property, Burrower shall maintaiu the Property in order to prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is not econonfically feasible, Bonower shall promptly repair the Property if danmged to avoid fmther deterioration or danmge. If insurance or condenmation proceeds are paid in com~ection with danmge to, o~' Lhe taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes. Lender nmy disburse proceeds for the repairs and restoratlou in a single payment or in a series of progress payments as the work is completed If the insurance or condenmation proceeds are not suflicient to repair or restore the Property, Borrower is not relieved of Borrower's obligation for file complethm of such repair or restoration. Lender or its agent nmy make reasomable entries upou and inspections of the Property. If it has reaso~mble cause, Lender-may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspectmn specifying such reaso~mble canse. 8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process, Borrower or any persons or entities acting at the direction of Borrower or with Borrower's -knowledge or consent gave materially false, misleading, or inaccurate infommtion or statmnents to Lender (or failed to provide Lender with material ilfforlnation) in connectiou with the Loan. Material representations include, but are not limited to, representations contenting Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection o'f Lender's hlterest in the Property and Rights Under this Security Instrument. If (a) Borrower fails to perform the covmmnts and agreelnents contained in this Security Instrualent, (b) the~'c is a legal proceeding that might significantly affect Lender's interest in file Property and/or rights tinder this Security Instrument (such as a proceeding in bankruptcy, prt)bate, for condenmation or forfeiture, for enforcement of a lien which nmy attain priority over this Security Instrmneut or to end)roe laws or regulations), or (c) Borrower has abandoned the Property, then Lender nmy do and pay for whatever is reasmmble or appropriate to protect Lender's interest in thc Property and rights under this Secm-ity Iustrument, including protecting and/or assessing the value ot~ the Property, and securing and/or repairing file Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing iu court; and (c) paying reasonable I niti al.~-~ II~-6(WY) looos) P~ge 7 of 15 Form 3051 1/01 attorneys' fees to protect its interest in the Property and/or rights trader this Security Instrument, including as secured position in a bankruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board up doors and windows, drain water fi'om pipes, elinfinate building or other code violafio~m or dangerous conditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Lender does ~mt have to do so and is not under any duty or obligation to do so. It is agreed that Lender recurs no liability Ibr not taking any or all actions authorized mrder this Section 9. Any amounts disbttrsed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate fi'om file date of disbursement and shall be payable, with such interest, upon notice fi-om Lender to Borrower requesting payment. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of file lease. If Borrower acquires fee title to the Property, the leasehold aud fire lee title shall not merge unless Lender agrees to the merger in writing. 10. Mm'tgage h~surance. If Lender required Mortgage Insurance as a condition of nntking rile Loan, Borrower 'shall pay file premiums required to maintain the lvlortgage Insurance in effect. If, for any reason, fire Mortgage Insurance coverage required by Lender ceases to be available fi'om the mortgage insurer that previously provided such insurance and Borrower was required to make separately desig~mted payments toward the prenfimns for Mortgage insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in effect, t¥om an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continue to pay to Lender rite amotmt of the separately desig~mted payments that were due when the insurance coverage ceased to be in effect. Lender will accept, 'use and retain these payments as a non-refundable loss reserve in lieu of Mmtgagc Insurance. Such loss reserve shall be non-refundable, lmtwithstanding rile fact t/tat file Loan is uhilnatdy paid in full, and Lender shall not be required to pay Borrower any interest or eanfings on such loss reserve. Lender can no longer require loss reserve payments ?f Mortgage Insurance coverage (in file amount and for tile period rial Lender requires) provided by an insurer selected by Lender again becomes awfilablc, is obtained, and Lender requires separately designated payments toward file pren~mns tbr Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making file Loan and Bon'ower was required to nmke separately designated payments toward rite prenfiums for Mortgage Insurance, Bomlwcr shall pay the premiums required to maintain Mortgage Insurance iu effect, or to provide a non-refundable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance wiflt arty written agreement between Borrower and Lender providing for such lend,ration or until ternfination is required by Applicable Law. Noflfing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note. Mortgage Insurance ' reimburses Lender (or any entity that purchases fl~e Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to rile Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insurance in three from time to time, and may enter into agreements with other parties that share or modify flteir risk, or reduce losses. These agreements are on terms and conditions that are satisfi~ctory to the mortgage insui'er and the other party (or parries) to these agreements. These agreements may require file mortgage insurer to nmke payments using any source of funds that the mortgage insurer may have available (which may include fimds obtained fi-om Mortgage Insurance prenfiums). As a result of these agreements, Lender, any purchaser of rile Note, another insurer, arty reinsurer, any other entity, or any affiliate of any of fire lbregoing, may ~eccive (directly or indirecdy) amounts that derive from (or might be characterized as) a portion of Bomlwcr's payments Ibr Mortgage Insm'ance, in exchange for sharing or modifying rite mortgage insurer's risk, or reducing losses. If such agreement provides that an affihate of Lender takes a share of thc insurer's risk in exchange for a share of rite premiums paid to the insurer, the arrangement is often termed "captive reinsurance." Further: (a) Any such agreements will not affect the amouuts that Borrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agreements will not increase the amouot Borrower will owe for Mortgage Insurance, and they will not eotitle Borrower to any refund. Initial~ (~-6(WY) IooosI Page a o~ ~ 5 Form 3051 1/01 (b) Any such agreements will 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 receive certain disclosures, to request and obtain cancellatiou of the 'Mortgage Insurance, to have the Mortgage Insurance termiuated automatically, and/ur to receive a refund of any Mortgage Insurance premiums that were uuearned at the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds arc 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 resto~-ation or repair is economically feasible and Lender's security is not lessened. During such repair and restoration period, Lender shall have fl~e right to hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property to ensure file wox-k has been completed to Lender's satisfaction, provided fllat such inspection shall be undertaken promptly. Lender nhay pay fro- fl~e repairs and restoration in a single disbursement or in a series of progress payments as file work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay Borrower any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not economically feasible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to thc sums secured by this Security lnstrmnent, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss iu 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 taking, destruction, or loss in wdue of the Property in which the fair nmrket value of the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than fire amount of the stuns secured by this Security lnstrmnent inm~ediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writiug, file stuns secured by tiffs Security Instrument shall be reduced by fl~e amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amount of the sums secured innuediately before the partial taking, destruction, or loss in value divided by (b) thc fitir market value of Om Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid to Borrower. In the event of a partial taking, destruction, or loss in value of the Property in which the fair nmrket value of the Property inmxediately betbre the partial taking, destruction, or loss in value is less than file amount of the sums secured immediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellaueous Proceeds shall be applied to file sums secured by this Security Instrument whether or not the sums are flm~ due. If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that fl~e Opposing Party (as defined in the next sentence) offers to make an award to settle a claim Ibr da~nages, Borrower fails to respond to Lender within 30 days after the date the notice is given, Lender is authorized to collect and apply the Miscellaneous Proceeds either to restoratiou or repair of the Property or to file sums secured by this Security Instrument, whether or not flleu duc. "Opposing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against wh6m Borrower has a right of actiou in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, whefl~er civil or crinfimd, is begun fl~at, in Lender's judgment, could result in forfeiture of the Property or oilier material impairment of ILcnder's interest in the Property or rights under this Security Instrument. Borrower can cure such a default and, if acceleration has occurred, reinstate as provided in Section ]9, by causing the action or proceeding to be dis~nissed with a ruling that, in Lender's judgment, precludes forfeiture of the Property or oilier material impairment of Lender's interest in the Property or rights under tiffs Security Instrument. The proceeds of any award or claim for damages that are attributable to the impairu~ent of Lender's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restoratiou or repair of the Property shall be applied in the order provided tbr in Section 2. I~-6(WY) 100051 Page 9 of 15 Form 3051 1/01 12. Borrower Not Released; Forbearance By Lemler Not n Waiver, Extension of rte time for payment or modification of amortization of the stuns secured by this Security [nstrmncnt granted by Lender to Bo~ower or any Successor in Interest of Borrower shall not t)pcra[e to release ~e liability of Borrower or any Successors in Interest of Bo~ower. Lender shall not be required to conm~ence Proceedings agai~mt any Successor in Interest of Bo~ower or to re~se to extend time tbr payinent or otherwise modify amortization of ~e sut~ secured by ~is Security hmtrument by reason of auy denmnd nmde by tbe orighml Borrower or any Successors m Interest of Borrower. Any forbearance by Lender in exercising any right or remedy including, wi~out Ii,ration, Lender's acceptance of payments from flfird person, entities or Successors in Interest of Borrower or in amounts less ~an fl~e nmouut fl~en duc, shall not be a waiver of or preclude ~e exercise of any ~ight or remedy. 13. Joint and Several Liability; Co-signePs; Successors aud Assigns Bound. Borrower cove~mnts and agrees fllat Borrower's obligatiom and liability sl'mll be joint and several. However, any Borrowe~: who co-sig~m ~is Security Instrument but does not execute file Note (a "co-signer"): (a) is co-sighting tiffs Security Imtmment o~fly to mortgage, grant and convey fl~e co-signer's interest in the Property uuder fl~e ter~ of ~is Security hmtmment; (b) is not perso~mlly obligated to pay tim sunm secured by ~s Security Imtm~nent; and (c) agrees ~at Lender and any oilier Borrower can agree to extend, modi~, forbear or rake any accol~datiom wifll regard [o ~e ter~ of fltis Security Instrmnent or file Note wiflmut co-signer's consent. Subject to rite provisimm of Section 18, any Successor in Iuterest of Borrower who assmnes Borrower's obligatimm uuder ~is Security Imtrument in writing, aud is approved by Lender, shall obtain all of Bo~ower's rights and benefits under ~is Security Instrument. Borrower shall not be released Imm Bo~ower's obligatiom and liability 'under this Security hmtmmcnt unless Lender agrees to such release in writing. The covemnts and agreements of tiffs Security [nstrunicnt shall bind (except as provided in Section 20) and benefit ~e successors a~ assigm of Lender. 14. Loan Charges. Lender ~y charge Borrower fees lbr services perforated in comlection wifl't Bo~ower's dethult, tbr fl~e pu~ose of protecting Lender's iutcrcst iu tim Property and rights under ~is Security hmtrument, including, but not linfited to, attorneys' fees, property inspection and valuation t~cs. In regard to any o~er l~es, ~e absence of express au~ority in this Security hmtmment to charge a specific fee to Borrower shall not be comtrued as a proNbition on fl~e charging of such fee. Lender nmy not charge fees ~at are expressly prohibited by tiffs Security hmtmment or by Applicable Law. If ~e Loan is subject to a law which sets nmxinmm loan charges, and flint law is filmily interfered so · at fl~e interest or off,er loan charges collected or to be collected in co~mection wi~ fl~e Loan exceed fl~e perr~tted limits, ~en: (a) any such loan charge shall be reduced by file amount necessary to :reduce file charge to file pernfitted li~t; and (b) any sm~ ah-eady collected from Borrower which exceeded pcrnfitted li~ts will be re~uded to Borrower. Lender my choose to nmkc this refund by reducing ~e principal owed under ~e Note or by raking a direct payment to Borrower. ifa rchnd reduces principal, reduction will be treated as a partial prepayment wiflmut any prepayment charge (whe~er or not a prepayment charge is provided for under fl~e Note). Borrower's acceptance of any such ~cfimd nmde by direct payment to Borrower will comtitute a waiver of any right of action Borrower nfight haw arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in ctmnection wifll tiffs Security Instrument ~must be in writing: Any notice to Bo~ower in commction wifli this Security hmtmment shall be deemed to have been given to Borrower when nmiled by first class mail or when actually delivered to Borrower's notice address if sent by ofl~er means. Notice to any mm Borrower shall cmmtitute notice to all Borrowers uNess Applicable Law expressly requires ofllerwise. The notice address shall be fl'~e Property Address uNess Borrower has desig~mted a substitute notice address by notice to LendcL Borrower shall promptly noti~ Lender of Borrower's change of address. If Lender specifics a procedure for reporting Borrower's change of address, ~en Borrower ~all tuffy report a change of address through flint specified procedure. There my be tuffy one desigmted notice address under this Security Instrument at any one time. Any notice to Lender shall be given by delivering it or by nmiliug it by first class nmil to Lender's address stated herein uNess Ldnder has desig~mted anofl~er address by notice to Borrower. Any notice in co~ection wi~ ~is Security I~tmment shall not be deemed to have been given to Lender until actually received by Lender. If any notice required by tiffs Security ]nstrunient is also required under Applicable Law, fl~e Applicable Law requirement will satis~ file corresponding requirement nnder tiffs Security Imtmment.. Initial~ ~6{WY) IOOOS) ~0~ ~0 o~ ~s Form 30~1 1/01 1.6. Governing Law; Severability; Rules of Construction. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which the Property is located. All rights and obligations contained in tiffs Security Instrument are subject to auy requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly allow the parties to agree by contract or it might be silent, but such silence shall not be construed as a prohibition against agreement by contract. In the event that any provision or clause of this Security Instrunlent or the Note conflicts with Applicable Law, such conflict shall not affect other provisions of this Secmity lnstrmnent or the Note which can be given effect without the conflicting provision. As used in this Security Instrument: (a) words of file masculine gender shall mean and include corresponding neuter words or words of file feminine gender; (b) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives sole discretion without any obliganon to take any action. 17. Borrower's Copy. Borrower shall be given one copy or' the 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 iu the Property, including, but not liufited to, those beneficial interests transferred in a bond for deed, contract fbr deed, instalhnent sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property ~s sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consem, Lender nmy require irmnediate payment in fidl of all stuns secured by this Security Instrument. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower notice of acceleration. The ~mtice shall provide a period of not less than 30 days from the date the notice is given iu accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Bon'ower fails to pay these sums prior to the expiration of tiffs period, Lender nmy invoke any remedies pernfitted by this Security Instrument without further notice or demand on Borrower. 19. Borrower's Right to Reinstate After Acceleratiou If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Secmity Instrmnent discontinued at any time prior to the earliest of: (a) five days before sale of the Property pursuant to arty power of sale contained in this Security Instrmnent; (b)'such other period as Applicable Law nliglit specify for the termiuation of Borrower's right to reinstate; or (c) entry of a judgment enforcing this ~Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which theu would be due under this Security Instrument and the Note as if no acceleration had occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in entbrcing this Security hlstrument, including, but not limited to, reasonable attorneys' fees, property inspection and valu;~tion I~es, and other fees incurred tbr file purpose of protecting Lender's interest in the Property and rights under tiffs Security Instrument; and (d) takes such action as Lender may reasonably require to assure that Lender's interest in the Property and rigl~ts under this Security' Instrument, and Borrower's obligation [o pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Borrower pay such reinstatement stuns and expenses in one or more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or castfier's check, prox/ided 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 Instrunlent and obligations secured hereby shall remain fully effective as if no acceleration had occurred. However, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice or Grievance. The Note or a partial interest in the Note (together with this Security lnstrumen0 can be sold one ~r more times without prior notice to Borrower. A sale might result in a change in the entity (kuowu as the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instruntcnt and pertbrlns other mortgage loan servicing obligations under the Note, this Security Instrument, and Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of the Note. If there is a change of file Loan Servicer, Borrower will be given written notice of the change which will state the name and address of file new Loan Servicer, the address to which payments should be made and any oilier information RESPA Initial~ (~c.e-6(WY) tooos) Page ~'i of is Form 3051 1/01 requires in co~mection With a notice of transfer of servicing. If tile Note is sold and thereafter file Loan is serviced by a Loan Servicer other than the purchaser of the Note, the mortgage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer and arc not assumed by the Note purchaser mfless otherwise provided by the Note purchaser. Neither Borrower nor Lender may commence, join, or be joined to any judicial action (as either an individual litigant or the member of a class) that arises from the other party's actions pursuant to this Security Instrmnent or that alleges that the other party has breached any provision of, or any duty owed by reason of, tiffs Security Instrument, until such Borrower or Lender has notified the 'other party (with such notice given in compliance with the requirements of Section 15) of such alleged breach and aflbrded the other party hereto a reasonable period after the giving of such notice to take corrective action. If Applicable Law provides a rime period wlfich must elapse belbre certain action can be taken, that time period will be deemed to be reasonable for purposes of fids paragraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 and the notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy file notice and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 2]: (a) "Hazardous Substances" are those substances defined as toXic or hazardous substances, pollutants, or wastes by Environmental Law and the following substances: gasoline, kerosene, other flammable or toxic petroleum products, 'toxic pesticides and herbicides, volatile solvents, materials containing asbestos or formaldehyde, and radioactive materials; (b) "Enviromnental Law" means federal laws and laws of the jmisdiction where the Property is located that relate to health, safety or environmental protection; (c) "Enviroumental Cleanup" includes any ~'esponse action, remedial action, or removal action, as defined in Enviromnental Law; and (d) an "Enviromnental Condition" means a condition that can cause, contribute to, or otherwise trigger an Enviromneutal Cleanup. BOrrower shall not cause or permit 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 auyone else to do, anything affecting the Property (a) that is in violation of any Enviromnental Law, (b) which creates an EnVironmental Condition, or (c) which, due to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects the value of the Property. The preceding two sentences shall not apply to the presence, use, or storage on the Property of snudl quantities of Hazardous Substances that are generally recog~fized to be appropriate to nornml residential uses and to maintenance of the Property (including, but not linfited to, hazardous substances in consmner products). Borrower shall promptly give Lender written notice of (a) any iuvestigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or private p:arty involving the Property and any Hazardous Substance or Enviromnental Law Of which Borrower has actual~ knowledge, (b) any Enviromncntal Condition, including but not limited to, any spilling, leaking, discharge, release or threat of release of any Hazardous Substance, and (c) any condition caused by the presence, use or release of a Hazardous Substance wlfich adversely affects the value of file Propertyl If Borrower learns, or is notified by any governmental or regulatory authority, or any private party, that any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Borrower shall promptly take all necessary remedial actions in accordance with Environmental Law. Noflling herein shall create any obligatiou On Lender for an Enviromnental Cleanup. (~e-6(WY) (ooosl Pa~. ~2 of ~s '"' Form 3051 1/01 NON-UNIFORM COVENANTS. Borrower and Lender fllrfl~er covelmnt and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Borrower prior to acceleration following Borrower's breach of any covenant or agreement in this Security Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides otherwise). The notice shall specify: (a) the default; (b) the action required to cure the default; (c) a (late, not less than 30 days from the date the notice is given to Borrower, by which the default must be cured; and (d) that failure to cure the default on or before the date specified in the notice may resolt iu acceleratiou of the sums secured by this Security Instrument and sale of the Property. The notice shall further inform Borrower of the right to reinstate after acceleration and the right to briug a court action to assert the non-existence of a default or any other defense of Borrower to acceleration and sale. If the default is not cured ou or before the date specified in the notice, Lender at its optiou may require m~mediate payment iu full of all sums secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. Lender shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Section 22, including, but not limited to, reasonable attorneys' fees and costs of title evidence. If Lender invokes the power of sale, Lender shall give uotice of intent to foreclose to Borrower and to the person in possession of the Property, if differeut, iu 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, and the Property shall be sohl iu the mauner.prescribed by Applicable Law. Lender or its designee may purchase the Property at auy 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 Instrument; 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. Borrower shall pay any recordation costs. Lender n-my charge Borrower a fee for releasing tiffs Security Instrument, but oxfly ff fl~e fee is paid to a flfird party for services rendered and the charging of the fee is permitted under Applicable Law. 24. Waivers. Borrower releases and waives all rights under and by virtue of fl~e homestead exemption laws of Wyoming. (~)¥6(WY) (ooo[) Page 13 of 1~ Form 3051 1/01 094 Ig-Y~IiB~iNI3*BELOW, Borrower accepts aud agrees [o file terms aud covenams contained in this Security Instmmeut and in any Rider executed by Borrower and recorded wifl~ it. Witnesses: (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (~6(WY) {ooo~) P.g. 14 of 15 Form 3051 1/01 STATE OF WYOMING, LINCOLN County ss: The foregoing instrumem was acknowledged before hie this by SUS~N D ~DERSON by her attorney in fact Arden C. r My Commission Expires: ~~S JUNE 20_,~ _20_07. , Initia~ ( (~-6G(WY) (ooos) Page is of 15 Form 3051 1/01 ADJUSTABLE RATE RIDER ( 1 Year Treasury Index - Rate Caps) THIS AD] USTABLE RATE RIDER is made tlfis 20 TH day of JULY, 2004 and is incorporated into and shall be deemed to ameud and supplement the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") or' die same date given by the undersigned (the "Bon'ower") to secure Borrower's Adjustable Rate Note (the "Note") to WELLS FARGO BANK, N.A. (the "Lender") of the same date and covering the property described in the Security Instrument and located at: 427 CEDAR CREEK DR, THAYNE, ~ 83127 [Property Address} THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE BORROWER'S INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BORROWER MUST PAY. ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Secm'ity Instrument, Borrower and Lender further covenant and agree as Ibllows: A. INTEREST RATE AND MONTHLY PAYMENT CHANGES The Note provides for an i~fitial interest rate of 4.500 changes in the interest rate and the monthly payments as follows: %. The Note provides for 4. INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Dates The interest rate 1 will phy may change on the first day of AUgUST, 2007 and on. that day every 12 MONTHS thereafter. Each da£e on wlfich my interest rate could change is' called a "Change Date." 0036625903 MULTISTATE ADJUSTABLE RATE RIDER - ARM 5-2 -Single Family- Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Fannie Mae 4-2/5-216-2 ARM ~(~822R (0008) Form 3111 1/01 NMFL //3111 VMP MORTGAGE FORMS - (800) 521-7291 (B) The Index Beginning with the first Change Date, my interest rate will be based on an Index. The "Index" is the weekly average yield on United States Treasury securities adjusted to a coustam maturity of 1 year(s), as made available by the Federal Reserve Board. The most recent Index figure available as of tile date 45 days before each Change Date is called the "Current Index." If the Index is no longer available, the Note Holder will choose a new index which is based upon comparable information. The Note Holder will give me notice of this choice. (C) Calculation of Changes Before each Change Date, the Note Holder will calculate my new interest rate by adding TWO AND THREE-QUARTERS percentage points ( 2.750 %) to the Current Index. The Note Holder will then round the result of this addition to the nearest one-eighth of one percentage point (0.125 %). Snbject to the linfits stated in Section 4(D) below, this rounded amount will be my new interest rate until the next Change Date. The Note Holder will then deternfine the amount 'of the monthly payment that would be sufficient to repay the unpaid principal that I am expected to owe at the Change Date in full on the nmturity date at my new interest rate in substantially equal payments. The result of this calculation will be rite new amount of my montlfly payment. (D) Limits on Interest Rate Changes The interest rate i ant required to pay at rite first Change Date will not be greater than 6. 500 % or less than 2,750 %. Thereafter, my interest rate will never be increased or decreased on any single Change Date by more than TWO percentage points ( 2. 000 %) from rite rate of interest I have been paying lbr the preceding 12 months. My interest rate will never be greater thanl 0.500 %. (E) Effective Date of Changes My. new interest rate will become effective on each Change Date. I will pay file amount of my new monthly' payment beginning on file first monthly payment date after the Change Date until the amount of my monflfly payment Changes again. I1~822R (0008) Initials'~ Page 2 of 4 Form 3111 1/01 (F) Notice of Changes The Note Holder will deliver or mail to me a notice of any changes 111 my interest rate and the amount of my monthly payment before the effective date of any change. The lmtice will include intbrmation required by law to be given to me and also the title and telephone number of a person who will answer any question I may have regarding the notice. B. TRANSFER OF THE PROPERTY OR A BENEFICIAL INTEREST IN BORROWER Section 18 of file Security Instrument is amended to read as follows: Transfer of the Property or a Beneficial Interest in Borrower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest in the Property, including, but not limited to, those beneficial interests transferred in a bond for deed, contract tbr deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by Borrower at a future date to a purchaser. If all or any part of the Property or any Interest in the Property is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sold or transferred) without Lender's prior written consent, Lender may require inm~ediate payment in full of all sums secured by this Security Instrmnent. However, this option shall not be exercised by Lender if such exercise is prohibited by Applicable Law. Lender also shall not exercise this option if: (a) Borrower causes to be submitted to Lender information required by Lender to evaluate the intended transferee as if a new loan were being made to fl~e transferee; and (b) Lender reasonably determines that Lender's security will not be impaired by the loan assmnption and that the risk of a breach of any covenant or agreement in tiffs Security Instrument is acceptable to Lender. . To the extent pernfitted by Applicable Law, Lender n~ty cllarge a reaso~mble fee as a condition to Lender's consent to the loan assmnption. Lender nn~y also require file transferee to sign an assumption agreement that is acceptable to Lender and that obligates the transferee to keep all the promises and agreements made in the Note and in Otis Security instrument. Borrower will continue to be obligated under the Note and this Security Instnnnent unless Lender releases Borrower in writing. If Lender exercises the option to require innnediate payment in full, Lender fl~all give BOrrower notice of acceleration. The notice shall provide a period of not less than 30 days/-rom the date the notice is given in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fifils to pay these stuns prior to the expiration of this period, Lender may invoke any remedies permitted by this Security Instrument without further notice or demand on Borrower. (0008) Page 3 of 4 Form 3111 1/01 6.99 BY SIGNING BELOW, Borrower accepts and agrees to the ternm and covenants contained in tiffs Adjustable Rate Rider. (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seal) -Borrower -Borrower (Seal) (Seab -Borrower -Borrower (~822R (0008) Page 4 of 4 Form 3111 1/01 PLANNED UNIT DEVELOPMENT RIDER THIS PLANNED UNIT DEVELOPMENT RIDER is nmdc this 20TH day of dULY, 2004 , and ts incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed (the "Security Instrument") of the same date, given by the undersigned (the "Bm'rower") to secure Borrower's Note to WELLS FARGO BANK, N.A. (the "Lender") of the same date am:l covering the Property described in the Security Instrument and located at: 427 CEDAR CREEK DR, THAYNE, WY 83127 [Property Address] The Property includes, but is not limited to, a parcel of land improved with a dwelling, together with other such parcels and certain cormnon areas and facilities, as described in COVENANTS, CONDITIONS AND RESTRICTIONS (the '.'Declaration"). The Property is a part of a plamled unit development known as STAR VALLEY P~ANCH [Name of Planned U,fit Development] (the "PUD"). The Property also includes Borrower's interest in the homeowners association or equivalent entity owning or managing the conunon areas and facilities of the PUD (die "Owners Association") and the uses, benefits and proceeds of Borrower's interest. PUD COVENANTS. In addition to the covenants and agreements nmde in the Security Instrument, Borrower and Lender further covenant and agree as follows: A. PUD Obligations. Borrower shall perform all of Borrower's obligations nnder the PUD's Constituent Documents. The "Constituent Documents" arc the (i) Declaration; (ii) articles of incorporation, trust instrument or any equivalent document which creates rite Owners Association; and (iii) any by-laws or other rules or regulations of the Owners Associatnm Borrower shall promptly pay, when due, all dues and assessments imposed pursuant to the Constituent Docurnents. 0036625903 IVlULTISTATE PUD RIDER - Single Family - Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3150 1/01 Page ! of 3 initials.~-j-~ (~)~TR (0008) VMP MORTGAGE FORMS - (800)52~-7291 B. Property Insurance. So long as the Owners Association nmintains, with a generally accepted insurance carrier, a "master'! or "blanket" policy insuring the Property which is satisthctory to Lender and which provides insurance coverage in the amounts (including, deductible levels), for the periods, and against loss by fire, hazards included within the term "ext~nded coverage," and any other hazards. including, but not limited to, earthquakes and floods, for which Lender requires insurance, then: (i) Lender waives the provision in Section 3 for the Periodic Pa5 ment to Lender of the yearly prenfium installments for property insurance on the Property; and (ii) Borrower's obligation under Sectiou 5 to nmintain .property insurance coverage on the Property is deemed satisfied to the extent that the required coverage ~s provided by the Owners Association policy. What Lender requires as a condition of tiffs waiver can change during the term of the loan. Borrower shall give Lender prmnpt notice of any lapse iu required property insurance coverage provided by the master or blanket policy. In the event of a distribution of property insurance proceeds i,~ lieu of restoration or repair following a loss to the Property, or to conunon areas and facilities of the PUD. auy proceeds payable to Borrower are hereby assigned and shall be paid to Lender. Lender shall apply the proceeds to the sums secured 'by the Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. C. Public Liability Insurance. Borrower shall take such actions as may be reasonable to insure that the Owners Association maintains a public liability insurance policy acceptable in tbnn, amount, extent of coverage to Lender. D. Condemnation. The proceeds of any award or claim fin' danmges, direct or consequential, payable to Borrower in connection with any condemnation or other taking of all or any part of the Property or the cormnon areas and facilities of the PUD, or Ibr any conveyance in lieu of condcnmation, are hereby assigned, and shall be paid to Lender. Such proceeds shall be applied by Lender to the sums secured by the Security Instrument as provided in Section 11. E. Lender's Prior Consent. Borrower shall not, excep~ after notice to Lender and with Lender's prior written consent, either partition or subdivide the Property or consent to: (i) the abandonment or termination of the PUD, except for abandomnent or temfination required by law in the case of substantial destruction by fire or other casualty or in the case of a taking by condenmation or enfinem domain; (ii) any a~nendment to any provision of the "Constituent Documents" if the provision is for the express benefit of Lender; (iii) termination of professional management and assumption of self-management of the Owners Association; or (iv) auy action which would have the effect of rendering the public liability insurance coverage maintained by the Owners Association unacceptable to Lender. F. Remedies. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them. Any amounts disbursed by Lender under this paragraph F shall become additional debt of Borrower secured by the Security Instrument. U~fless Borrower and Lender agre~ to other terms of payment, these amounts shall bear interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower requesting payment. Imtlals~ (~ll~7R (0008) Page 2 of 3 Form 3150 1/01 BY SIGNING BELOW, Borrower accepts and agrees to fl~e terms and provisions contained in this PUD Rider. ~-~'~-~.~-- ? -//5/~ffff~- (Seal) SUSi~ D/&NDERSQN7 ~ -Borrower / (Seal) Borrower (Seal) -Borrower ~ {'Seal) -Borrower (Seal) -Borrower _ (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower (~)~TR (0008) Page 3 of 3 Form 3150 1/01