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HomeMy WebLinkAbout904628CHASE M~NHATTAN MORTGAGE CORPORATION 1500 NORTH 19TH STREET MONROE, LA 71201 ATTENTION: FINAL CERTIFICATION DEPT - 3 SOUTH -,'-0689 PreparedBy: KATHLEEN BRENNAN Requested by and Return to: Recording Deparm~nt First American Lenders Advm~taffe 1801 Lakepointe Drivm, Suite 11I Lewisville, TX 75057 (469) 322L2500 RECEIVED 11/16/2oo4 at 12:57 PM RECEIVING # 904628 BOOK: 572 PAGE: 689 JEANNE WAGNER LINCOLN COUNTY CLERK, KEMMERER, WY [Space Above This Line For Recordi ug I)ata] · MORTGAGE 1124363182 DEFINITIONS Words used in multiple sections of this document are defined hclmv and other words are defined in Sections 3, 11, 13, 18, 20 and 21. Certain roles regarding the tlSagc of xvords used in this document are also provided in Section 16. (A) "SecurityInstrument" means this document, which is dated together with all Riders to this document. (B) "Borrower"is JAMES W CHUMLEY, MARRIED SHARON K CHUMLEY, MARRIED November 3, 2004 , Borrower is the mortgagor under this Security Instrument. (C) "Lender"is CHASE MANHATTAN MORTGAGE CORPORATION Lender is a CORPORATION organized and existing under the laws of THE STATE OF New Jersey WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT (~®-6(W~ (0002) ~ Page I of 15 Initials: VMP MORTGAGE FORMS - (8~ ~' Form 3051 1101 0630 Lender's ad&ess is 343 Thornall Street· Edison· NJ 08837 Lender is the mortgagee under this Security Instrument. (D) "Note"means the promissory note signed by Borrower'and ttalcd Noveraber 3 · 2 0 0 4 The Note states that Borrower owes Lender One Hundred Nine Thousand· Eight Hundred and 00/100 Dollars (U.S. $ 1 0 9,8 0 0.0 0 ) plus interest. Borrower has prom iscd to pay this debt in regular Periodic Payments and to pay the debt in full not later than December 1, 2 0 2 9 0g) "Property"means the property that is described below under thc heading "Transfer of Rights in the Property." (F) "Loan" means the debt evidenced by the Note, plus interest any prepayment charges and late charges due under the Note, and all sums due under this Security Instrunlcnl. plus interest. (G) "Riders"means all Riders to this Security Instrument that arc executed by Borrower. The following Riders are to be executed by Borrower [check box as applicable I: Adjustable Rate Rider ~ Condominium Rider _~ Second Home Rider Balloon Rider [--] Planned Unit Development Rider I_~ 1-4 Family Rider [---] VA Rider ~] Biweekly Payment Rider [ _~ Other(s) [specifyl fi-I) "Applicable Law" means all controlling applicable feden,I, ~tate and local statutes, regulations, ordinances and administrative rules and orders (that have the effect of law) as well as all applicable final, non-appealable judicial opinions. (I) "Community Assoeiation Dues, Fees, and Assessments" me;ms all dues, fees, assessments and other charges that are imposed on Borrower or the Property by a co,,dominium association, homeowners association or similar organization. (J) "Electronic Funds Transfer" means any transfer of funds, edger than a transaction originated by check, draft, or similar paper instrument, which is initiated th,-m,gl] an electronic terminal, telephonic instrument, computer, or magnetic tape so as to order, instruct, o,- aufl~orize a financial institution to debit or credit an account. Such term includes, but is not limited to. plaint-of-sale transfers, automated teller machine transactions, transfers initiated by telephone, wire mmsfc,-s, and automated clearinghouse transfers. (K) "Escrowltems" means those items that are described in Section 3. (L) "Miscellaneous Proceeds" means any compensation, settle,nom, award of damages, or proceeds paid by any third party (other than insurance proceeds paid under thc cm'cragcs described in Section 5) for: (i) damage to, or destruction of, the Property; (ii) condemnation ~l' other taking of all or any part ~f the Property; (iii) conveyance in lieu of condemnation; or (iv) tnisrclu'Cscmations of, or omissions as to, the value and/or condition of the Property. (]VI) "Mortgage Insurance" means insurance protecting Lender ~t~ai,,st the nonpayment of, or default on, the Loan. {N) "PeriodicPayment" means the regularly scheduled amount duc fin' (0 principal and interest under the Note, plus (ii) any amounts under Section 3 of this Security Instrtm,cnt. (O) "RESPA" means the Real Estate Settlement Procedures Act ~ 2 I J.S.C. Section 2601 et seq.) and its implementing regulation, Regulation X (24 C.F.R. Part 3500), ~ they might be amended from time to time, or any additional or successor legislation or regulation that governs the same subject matter. As used in this Security Instrument, "RESPA" refers to all requirements and ,'cslrict ions that are imposed in regard to a "federally related mortgage loan" even if the Loan does no~ qualify ,ns a "federally related mortgage loan" under RESPA. (P) "Successor in Interest of Borrower" means any party that has taken title to the Property, whether or not that party has assumed Borrower's obligations under the Note ;md/o,' this Security Instrument. TRANSFER OF RIGHTS IN THE PROPERTY This Security Instrument secures to Lender: (i) the repayment of thc I.oan, and all renewals, extensions and modifications of the Note; and (ii) the performance of Borrowc,"s covenants and agreements under this Security Instrument and the Note. For this purpose, Borrower doc~ hereby mortgage, grant and convey to Lender and Lender's successors and assigns, with power of sale, thc following described property located in the COUNTY of LINCOLN : [Type of Recording Jurisdiction] [Name of Recording Jurisdiction] See Attached Legal Description Parcel ID Number: ("Property Address"): 34180520102900 10 MIDDLE BRANCH CIRCLE THAYNE which currently has the address of [Slxeet] [City] , \Vyonfing 83127 [Zip Code] TOGETHER WITH all the improvements now or herc~,licr erected on the property, and all easements, appurtenances, and fixtures now or hereafter a part {~f thc property. All replacements and additions shall also be covered by this Security Instrument. All ,~f thc foregoing is referred to in this Security Instrument as the "Property." BORROWER COVENANTS that Borrower is lawfully seiscd of the estate hereby conveyed and has the right to mortgage, grant and convey the Property and that thc P,'opcrty is unencumbered, except for encumbrances of record. Borrower warrants and will defend gcnc,'ally thc title to the Property against all claims and demands, subject to any encumbrances of record. THIS SECURITY INSTRUMENT combines uniform covcnanlh fi)r national use and non-uniform covenants with limited variations by jurisdiction to constitute a mlilk~rm security instrument covering real property. UNIFORM COVENANTS. Borrower and Lender covenant ami agree as follows: 1. Payment of Principal, Interest, Escrow Items, Prep:,ytnent Charges, and Late Charges. Borrower shall pay when due the principal of, and interest on, the debt evidenced by the Note and any prepayment charges and late charges due under the Note. Borrowc,' shall also pay funds for Escrow Items pursuant to Section 3. Payments due under the Note and this Sccm'ity Instrument shall be made in U.S. currency. However, if any check or other instrument received by I.cmtcr as ~gy_tlc. ent under the Note or this 090 ,628 0692 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 made in o.c t~r more of the following forms, as selected by Lender: (a) cash; (b) money order; (c) certified check, bank check, treasurer's check or cashier's check, provided any such check is drawn upon an instilmion whose .deposits are insured by a federal agency, instrumentality, or entity; or (d) Electronic Funds Tr;msfcr. Payments are deemed received by Lender when received m fl~c location designated in the Note or at such oth er location as may be designated by Lender in accordance with Illc notice provisions in Section 15. Lender may return any payment or partial payment if the paymcm or partial payments are insufficient to bring the Loan current. Lender may accept any payment or partial payrncnt insufficient to bring the Loan current, without waiver of any rights hereunder or prejudice to i~s rights to refuse such payment or partial payments in the future, but Lender is not obligated to apply such payments at the time such payments are accepted. If each Periodic Payment is applied as of its scheduled duc 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 within a reasonable period of time, Lender shall either apply such funds or return them to Borrower. If not applied earlier, such fimds will be applied to the outstanding principal balance under the Note immediately prior to foreclosm'c. No offset or claim which Borrower might have now or in the future against Lender shall relieve Borrower fi'om making payments due under the Note and this Security Instrument or performing the covenants and agreements secured by this Security Instrument. 2. Application of Payments or Proceeds. Except as othcr\xise described in this Section 2, all payments accepted and applied by Lender shall be applied in thc l'~dlowing order of priority: (a) interest due under the Note; (b) principal due under the Note; (c) amount~ duc under Section 3. Such payments shall be applied to each Periodic Payment in the order in which it became due. Any remaining amounts shall be applied first to late charges, second to any other amoums duc under this Security Instrument, and then to reduce the principal balance 0fthe Note. If Lender receives a payment fi.om Borrower for a delinqucm Periodic Payment which includes a sufficient amount to pay any late charge due, the payment may bc applied to the delinquent payment and the late charge. If more than one Periodic Payment is outstanding, l.cndcr may apply any payment received fi'om Borrower to the repayment of the Periodic Payments if, and ,~ tl~c cxtent that, each payment can be · paid in full. To the extent that any excess exists after the paymcm is applied to the full payment of one or more Periodic Payments, such excess may be applied to any late charges due. Voluntary prepayments shall be applied first to any prepayment charges and then as described in die Note. Any application of payments, insurance proceeds, or Misccll:mcot,s Proceeds to principal due under the Note shall not extend or postpone the due date, or change the amount, of the Periodic Payments. 3. Funds for Escrow Items. Borrower shall pay to Lender t,n d~c day Periodic Payments are due under the Note, until the Note is paid in full, a sum (the "Funds") m provide for payment of amounts due for: (a) taxes and assessments and other items which can attain priority over this Security Instrument as a lien or encumbrance on the Property; (b) leasehold payments or ground rents on the Property, if any; (c) Premiums for any and all insurance required by Lender under Sctqion 5; and (d) Mortgage Insurance premiums, if any, or any sums payable by Borrower to Lender in lieu of the payment of Mortgage Insurance premiums in accordance with the provisions of Seclion 10. These items are called "Escrow Items." At origination or at any time during the term of the Loan, l.cnder may require that Community Association Dues, Fees, and Assessments, if any, be escrowed by Borrower, and such dues, fees and assessments shall be an Escrow Item. Borrower shall promptly flmfi,ql to Lender all notices of amounts to be paid under this Section. Borrower shall pay Lender the Funds fi,r Escrow Items unless Lender waives Borrower's obligation to pay the Funds for any or all Escrow Ilcms. Lender may waive Borrower's obligation to pay to Lender Funds for any or all Escrow Items at any time. Any such waiver may only be in writing. In the event of such waiver, Borrower shall pay dirccily, when and where payable, the amounts Initial~ (~-6(WY) (00051 Page 4 of 15 Form 3051 1/01 0904K2S ,0693 due for any Escrow Items for which payment of Funds has been waix cd by Lender and, if Lender requires, shall 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 rccc pis shall for all purposes be deemed to be a covenant and agreement contained in this Security Instrumcm. ;~s thc phrase "covenant and agreement" is used in Section 9. If Borrower is obligated to pay Escrow llclns directly, pursuant to a waiver, and Borrower fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and Borrower shall then be obligated under Ncction 9 to repay to Lender any such amount. Lender may revoke the waiver as to any or all Escrox~ Items at any time by a notice given in accordance with Section 15 and, upon such revocation, Borrower shall pay to Lender all Funds, and in such amounts, that are then required under this Section 3. Lender may, at any time, collect and hold Funds in an amoum (a) sufficient to permit Lender to apply the Funds at the time specified under RESPA, and (b) not to cxccct] thc maximum amount a lender can require under RESPA. Lender shall estimate the amount of Fuml~ due on the basis of current data and reasonable estimates of expenditures of future Escrow Items or t)~hzrwlse in accordance with Applicable Law. The Funds shall be held in an institution whose deposllS are ~nsured by a federal agency, instrumentality, or entity (including Lender, if Lender is an instil ut it)~ whose deposits are so insured) or in any Federal Home Loan Bank. Lender shall apply the Funds to pa3 II~c 12scrow Items no later than the time specified under RESPA. Lender shall not charge Borrower for h~,lding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unicos l.cnder pays Borrower interest on the Funds and Applicable Law permits Lender to make such a charge, t Jnlcss an agreement is made in writing or Applicable Law requires interest to be paid on the Funds, Lender .qmll not be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can ~grcc m writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower, with,mi charge, an annual accounting of the Funds as required by RESPA. If there is a surplus of Funds held in escrow, as defined trader RESPA, Lender shall account to Borrower for the excess funds in accordance with RESPA. If ti]crc is }~ sho~Xage 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 shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrmx. ~ts defined under RESPA, Lender shall notify Borrower as required by RESPA, and Borrower shall pay ~ l,cndcr the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 2 monthly payments. Upon payment in full of all sums secured by this Security ln~lrumcnt, Lender shall promptly refund to Borrower any Funds held by Lender. 4. Charges; Liens. Borrower shall pay all taxes, assessmcms, charges, fines, and impositions attributable to the Property which can attain priority over this Secm-ity Instrument, leasehold payments or ground rents on the Property, if any, and Community Association l)tlcs. Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower shall pay tl~cn ill the manner provided in Section 3. Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower is performing such agrccmcm; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings arc pointing, but only until such proceedings are concluded; or (c) secures fi.om the holder of the lien an agrccmcm satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this Security Instrument, Lender ma', give Bon'ower a notice identifying the t~-60/~/Y) (0oo51 Paso5 of 15 / 5.(~_.~_ Form 3051 1/01 0904f;28 -,-.. 06 lien. Within 10 days 0fthe date on which that notice is given, Borr(~wcr shall satisfy the lien or take one or more of the actions set forth above in this Section 4. Lender may require Borrower to pay a one-time charge [i,' ~J rea] estate tax verification and/or reporting service used by Lender in connection with this' Loan. 5. Property Insurance. Borrower shall keep the improvelnCms now existing or hereafter erected on the Property insured against loss by fire, hazards included widfin Ibc Icrln "extended coverage," and any other hazards including, but not limited to, earthquakes and floods, fi~r which Lender requires insurance. This insurance shall be maintained in the amounts (including dcdut'lible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan. The insurance carrier providing the insurance shall bc eh,sen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not bc exercised unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: I.a) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-fi,~c chnrge for flood zone determination and certification services and subsequent charges each time rcmal,lfings or similar changes occur which reasonably might affect such determination or certification. Bo,'rowcr shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting from an objection by Borrower. If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage. Therefore, such coverage ~hull cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or thc ct,,cms of the Property, against any risk, hazard or liability and might provide greater or lesser coverage fl~:m 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 Instrument These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, wifl~ such interest, upon notice from Lender to Borrower requesting payment. All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender shall have thc right to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to I crater all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee. In the event of loss, Borrower shall give prompt notice to thc insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless l.cnder 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, if the restoratkm or repair is economically feasible and Lender's security is not lessened. During such repair and restor:,lkm period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that ~uch inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and restur,~ion in a single payment or in a series of progress payments as the work is completed. Unless an agrecmcnl ~s made 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 adjt,slcrs, or other third parties, retained by Borrower shall not be paid out of the insurance proceeds and shall hc 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 lnslrumcnt, whether or not then due, with ri tta (~I~-6(WY) (0005) Page 6 of 15 /' ~ Form 3051 1101 the excess, if any, paid to Borrower. Such insurance proceeds shall hc z~pplied in the order provided for in Section 2. If Borrower abandons the Property, Lender may file, negol~:~tc and settle any available insurance claim and related matters. If Borrower does not respond within 3{/ days to a notice fi.om Lender that the insurance carrier has offered to settle a claim, then Lender may ,}cg,~tiatc and settle the claim. The 30-day period will begin when the notice is given. In either event, or il' I.c~nder acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender {:~ Borrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid under thc Note or this Security Instrument, and (b) any other of Borrower's fights (other than the right to any retired of unearned premiums paid by Borrower) under all insurance policies covering the Property, ins~litr as such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds c ilhcr lo repair or restore the Property or to pay amounts unpaid under the Note or this Security Instmmem, x~ hcthcr or noi then due. 6. Occupancy. Borrower shall occupy, establish, and nsc Ifc Property as Borrower's principal residence within 60 days after the execution of this Security Inslrmncm and shall continue to occupy the Property as Borrower's principal residence for at least one year aflcr tile date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreastmzd,ly withheld, or unless extenuating circumstances exist which are beyond Borrower's control. 7. Preservation, Maintenance and Protection of the Prol}e,'~y; Inspections. Borrower shall not destroy, damage or impair the Property, allow the Property i,~ deteriorate or commit waste on the Property. Whether or not Borrower is residing in the Property, Bom~wcr shall maintain the Property in order to prevent the Property fi.om deteriorating or decreasing in v;~luc due to its condition. Unless it is determined pursuant to Section 5 that repair or restoration is nm economically feasible, Borrower shall promptly repair the Property if damaged to avoid further dclcrit~ration or damage. If insurance or condemnation proceeds are paid in connection with damage to, m' thc taking of, the Property, Borrower shall be responsible for repaMng or restoring the Property only ii' l..cnder has released proceeds for such purposes. Lender may disburse proceeds for the repairs and restorttl i{m in a single payment or in a series of progress payments as the work is completed. If the insurance or c~md cmnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of Bom~wcr's obligation for the completion of such repair or restoration. Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause, Lender may inspect the interior of the improvcmcms on the Property. Lender shall give Borrower notice at the time of or prior to such an interior inspectitm spcc i lying such reasonable cause. 8. Borrower's Loan Application. Borrower shall be in dcfi~ It 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 inaccuraic infi)rlnation or statements to Lender (or failed to provide Lender with material information) in connection with the Loan. Material representations include, but are not limited to, representations concerning Borrower's occupancy of the Property as Borrower's principal residence. 9. Protection of Lender's Interest in the Property and Righls Under this Security Instrument. If (a) Borrower fails to perform the covenants and agreements contain cd itl l l~i s Security Instrument, (b) there is a legal proceeding that might significantly affect Lender's intcrcsl m the Property and/or rights under this Security Instrument (such as a proceeding in bankruptcy, probldc, fi)r condemnation or forfeiture, for enforcement of a lien which may attain priority over this Security Insh'ument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then [_cnttcr may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Pr(~pcrly m~d rights under this Security Instrument, including protecting and/or assessing the value of thc lh't)pcrty, and securing and/or repairing the Property. Lender's actions can include, but are not limited tn: (;t} paying any sums secured by a lien which has priority over this Security Instrument; (b) appearing m court; and (c) paying reasonable (~-6(WY) (0005) PAS.? of 15 /' 5{~_....~. Form 3051 1/01 attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Propcny 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, eliminate building or other code violations or dangcr~ms conditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Icndcr does not have to do so and is not under any duty or obligation to do so. It is agreed that Lender incms no liability for not taking any or all actions authorized under this Section 9. Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this Security Instrument. These amounts shall bear i,nercs~ at the Note rate fi.om the 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 the lease. If Borrower acquires fee title to the Property, the leasehold :md il~c fee title shall not merge unless Lender agrees to the merger in writing. 10. Mortgage Insurance. If Lender required Mortgage Insm':mcc as a condition of making the Loan, Borrower shall pay the premiums required to maintain the Mortgage In~m'ance in effect. If, for any reason, the Mortgage Insurance coverage required by Lender ceases to bc ax ~filablc fi'om the mortgage insurer that previously provided such insurance and Borrower was required lo make separately designated payments toward the premiums 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 Insurancc previously in effect, from an alternate mortgage insurer selected by Lender. If substantially equiwdcm Mortgage Insurance coverage is not available, Borrower shall continue to pay to Lender the amoum of Ifc separately designated payments that were due when the insurance coverage ceased to be in effect Lcmlcr will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortgage [~l~tH'ancc. Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan is ultimatcl3 paid in full, and Lender shall not be required to pay Borrower any interest or earnings on such loss rcscrx c. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and fi,' thc period that Lender requires) provided by an insurer selected by Lender again becomes availahlc, is obtained, and Lender requires separately designated payments toward the premiums for Mortgage h lsurance. If Lender required Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance, Bon'owcr .qmll pay the premiums required to maintain Mortgage Insurance in effect, or to provide a non-rcfimdable loss reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any writ ten agreement between Borrower and Lender providing for such termination or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate pr{~vidcd in the Note. Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance. Mortgage insurers evaluate their total risk on all such insunmcc in fin'ce fi.om time to time, and may enter into agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and conditions that are satisfactory to the mortgage in~urcr and the other party (or parties) to these agreements. These agr&ements may require the mortgage insm'cr it) make payments using any source of funds that the mortgage insurer may have available (which may include fimds obtained fi.om Mortgage Insurance premiums). As a result of these agreements, Lender, any purchaser of linc Nt~tc, another insurer, any reinsurer, any other entity, or any affiliate of any of the foregoing, may rcccix c (directly or indirectly) amounts that derive fi'om (or might be characterized as) a portion of Borrowcr'~ p~y~nents for Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's risk, ~r reducing losses. If such agreement provides that an affiliate of Lender takes a share of the insurer's risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "cap!irc reinsurance." Further: (a) Any such agreements will not affect the amounts Ih:il II~rrower has agreed to pay for Mortgage Insurance, or any other terms of the Loan. Such agrt'cments will not increase the amount Borrower will owe for Mortgage Insurance, and they will not emille Borrower to any refund. (~)~-6(WY) (0005) Page 8 of 15 Form 3051 1101 0697 (b) Any such agreements will not affect the rights Borr,~ el' has - if any - with respect to the Mortgage Insurance under the Homeowners Protection Act i~f 1998 or any other law. These rights may include the right to receive certain disclosures, to ~'CllUC. st and obtain cancellation of the Mortgage Insurance, to have the Mortgage Insurance termin:llvd '.mtomatical!y, and/or to receive a refund of any Mortgage Insurance premiums that were unea~'m~d at the time of such cancellation or termination. 11. Assignment of Miscellaneous Proceeds; Forfeiture. -~,ll Miscellaneous Proceeds are hereby assigned to and shall be paid to Lender. If the Property is damaged, such Miscellaneous Proceeds sh:~ll b~ applied to restoration or repair of the Property, if the restoration or repair is economically feasible :mci Lender's security is not lessened. During such repair and restoration period, Lender shall have thc ~'i~l~l to hold such Miscellaneous Proceeds until Lender has had an opportunity to inspect such Property ~l~ c~ttrc the work has been completed to Lender's satisfaction, provided that such inspection shall be undcr~:,l<c~ promptly. Lender may pay for the repairs and restoration in a single disbursement or in a seric~ ol' p~'ogress payments as the work is completed. Unless an agreement is made in writing or Applicable I~ztw requires interest to be paid on such Miscellaneous Proceeds, Lender shall not be required to pay 13~,'~ow~· any interest or earnings on such Miscellaneous Proceeds. If the restoration or repair is not econon~ku~lly fc~sible or Lender's security would be lessened, the Miscellaneous Proceeds shall be applied to thc .~,n~ ~ct~rcd by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Nt~ch Miscellaneous Proceeds shall be applied in the order provided for in Section 2. In the event of a total taking, destruction, or loss in v~th~c ot~ the Property, the Miscellaneous Proceeds shall be applied to the sums secured by this Security |l~H'tm~cnt, whether or not then due, with the excess, if any, paid to Borrower. In the event of a partial taking, destruction, or loss in vahtc ~l' Iht ?ropcrty in which the fair market value of the Property immediately before the partial taking, dc~lt't~clion, or loss in value is equal to or greater than the amount of the sums secured by this Security l~l,'t~,~nt immediately before the partial taking, destruction, or loss in value, unless Borrower and Lcncl~r ~th~'wise agree in writing, the sums secured by this Security Instrument shall be reduced by thc ~tm~,t~t of the Miscellaneous Proceeds multiplied by the following ~action: (a) the total amount of linc ~t~ns secured immediately before the partial taking, destruction, or loss in value divided by (b) thc fitir market value of thc Property immediately before the partial taking, destruction, or loss in value. ,.~,~3 b~h~nce shall be paid to Borrower. In the event of a partial taking, destruction, or loss in vah~c ,~1' th~ Property in which the fair market value of the Property immediately before the partial taking, de.~tr~,~'ti~n, or loss in value is less than the amount of the sums secured immediately before the partial taki,~,~ flcstmction, or loss in value, unless Borrower and Lender otherwise agree in writing, the Miscellancot,~ l~'rocccds shall be applied to the sums secured by this Security Instrument whether or not the sums are tl~c,~ If thc Property is abandoned by Borrower, or if, after ~ol~cc by Lender to Borrower that thc Opposing Party (as defined in the next sentence) offers to make ~ :~w:~,~d to settle a claim for damages, Borrower fails to respond to Lender within 30 days after the da~c ~hc ~olicc ~s given, Lender is authorized to collect and apply the Miscellaneous Proceeds either to reston~1~o~ o~' repair of the Property or to the sums secured by this Security Instrument, whether or not then dttc. "( )l~l~osing Party" means the third party that owes Borrower Miscellaneous Proceeds or the party against xvh~n I3on'ower has a right of action in regard to Miscellaneous Proceeds. Borrower shall be in default if any action or proceeding, wide'tHcs' c'ivi! or criminal, is begun that, in Lender's judgment, could result in forfeiture of the Property ~t- ~thc~' m~ttcrial impairment of Lender's interest in the Property or rights under this Security Instrument. l~cu'l-OW~l' can cure such a default and, if acceleration has occurred, reinstate as provided in Section 19, by c~m~i~g the action or proceeding to be dismissed with a ruling that, in Lender's judgment, precludes £orlbitt~r~ of the Property or other material impairment of Lender's interest in the Property or rights under thi~ Ncct~fity Instrument. The proceeds of any award or claim for damages that are attributable to the impa ir~,c,~I ot' Len~ er's interest in the Property are hereby assigned and shall be paid to Lender. All Miscellaneous Proceeds that are not applied to restor~,~ or l'¢pair of the Property shall be applied in the order provided for in Section 2. 0698 12. Borrower Not Released; Forbearance By Lender Not :i Waiver. Extension of the time for payment or modification of amortization of the sums secured by lhi~ ,~ccurity Instrument granted by Lender to Borrower or any Successor in Interest of Borrower shall not opcr',~Ic ~o release the liability of Borrower or any Successors in Interest of Borrower. Lender shall not be required to commence proceedings against any Successor in Interest of Borrower or to refuse to extend fu~c for payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made by the original Borrower or any Successors in Interest of Borrower. Any forbearance hy Lender in exercising any right or remedy including, without limitation, Lender's acceptance of p,'~ymcnts from third persons, entities or Successors in Interest of Borrower or in amounts less than the anmum 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 obligations and liability shall be joint and ~cvcral. However, any Borrower who co-signs this Security Instrument but does not execute the Nolo la "co-signer"): (a) is co-signing this Security [nstrumen! only to mortgage, grant and convey the co-siGner's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated lu pay the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower can agree to extend, modify, forbear or make any accommodations with regard to the terms of this Secttrib' lnstrumen! or the Note without the co-signer's consent. Subject to the provisions of Section 18, any Successor in Inl:rcst of Borrower who assumes Borrower's obligations under this Security Instrument in writing, :md is approved by Lender, shall obtain all of Borrower's rights and benefits under this Security Instrument. Borrower shall not be released from Borrower's obligations and liability under this Security Instrumcm tmlcss Lender agrees to such release in writing. The covenants and agreements of this Security Instrumom shall bind (except as provided in Section 20) and benefit the successors and assigns of Lender. 14. Loan Charges. Lender may charge Borrower fees for ~crviccs performed in connection with Borrower's default, for the purpose of protecting Lender's in(eros! in ~1~¢ Property 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 N~ctn'it¥ Instrument to charge a specific fee to Borrower shall not be construed as a prohibition on the chargi:~g of such fee. Lender may not charge fees that are expressly prohibited by this Security Instrument or by Apl~licable Law. If the Loan is subject to a law which sets maximum loan chargc.~, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in co;meet(on with the Loan exceed the permitted limits, then: (a) any such loan charge shall be reduced hy file amount necessary to reduce the charge to the permitted limit; and (b) any sums already collected l'mm Borrower which exceeded permitted limits will be refunded to Borrower. Lender may choose to make (his refund by reducing the principal owed under the Note or by making a direct payment to Borrmx ct. If a refund reduces principal, the reduction will be treated as a partial prepayment without any prcp~yment charge (whether or not a prepayment charge is provided for under the Note). Borrower's acccpt',mc¢ of any such refund made by direct payment to Borrower will constitute a waiver of any righl of ~cl iun Borrower might have arising out of such overcharge. 15. Notices. All notices given by Borrower or Lender in c~m~cdon with this Security Instrument must be in writing. Any notice to Borrower in connection with thi~ Nocurity Instrument shall be deemed to have been given to Borrower when mailed by first class mail or ~xhcn actually delivered to Borrower's notice address if sent by other means. Notice to any one Borrower ~hall constitute notice to all Borrowers unless Applicable Law expressly requires otherwise. The notice address shall be the Property Address unless Borrower has designated a substitute notice address by no, icc m Lender. Borrower shall promptly notify Lender of Borrower's change of address. If Lender specific~ ~ procedure for reporting Borrower's change of address, then Borrower shall only report a change of ad&'c.~s through that specified procedure. There may be only one designated notice address under this ~ccurity Instrument at any one time. Any notice to Lender shall be given by delivering it or by mailing il h) first class mail to Lender's address stated herein unless Lender has designated another address IB notice to Borrower. Any notice in connection with this Security Instrument shall not be deemed to hax c bccn given to Lender until actually received by Lender. If any notice required by this Security Inslrumcm is also required under Applicable Law, the Applicable Law requirement will satisfy the corresponding requirement under this Security Instrument. IIlitla . (~'60/VY) (0o05) Pag. 1o of 15 // ~ Form 3051 1101 16. Governing Law; Severability; Rules of Construclim~. This Security Instrument shall be governed by federal law and the law of the jurisdiction in which thc Property is located. All rights and obligations contained in this Security Instrument are subjec! m m~y requirements and limitations of Applicable Law. Applicable Law might explicitly or implicitly al hm 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 Instrumc~t 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 Security Instrument: (a) words of the m~tsculinc geuder shall mean and include corresponding neuter words or words of the feminine gender; (h) words in the singular shall mean and include the plural and vice versa; and (c) the word "may" gives ~01c discretion without any obligation to take any action. 17. Borrower's Copy. Borrower shall be given one copy ofd ~c Note and of this Security Instrument. 18. Transfer of the Property or a Beneficial Interest in Ih.'rower. As used in this Section 18, "Interest in the Property" means any legal or beneficial interest iu thc ?roperty, including, but not limited to, those beneficial interests transferred in a bond for deed, conh':let i'~>r deed, installment sales contract or escrow agreement, the intent of which is the transfer of title by B,,rrowcr at a future date to a purchaser. If all or any part of the Property or any Interest in the Properly is sold or transferred (or if Borrower is not a natural person and a beneficial interest in Borrower is sum or transferred) without Lender's prior written consent, Lender may require immediate payment in fi~ll uf all sums secured by this Security Instrument. However, this option shall not be exercised by lxmdcr if such exercise is prohibited by Applicable Law. If Lender exercises this option, Lender shall give Borrower uodcc of acceleration. The notice shall provide a period of not less than 30 days fi.om the date the notice is g~wn in accordance with Section 15 within which Borrower must pay all sums secured by this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Lender may inv,,ke any remedies permitted by this Security Instrument without further notice or demand on Borrower. 19. Borrower's Right to Reinstate After Acceleratio,. If Borrower meets certain conditions, Borrower shall have the right to have enforcement of this Security Instrument discontinued at any time prior to the earliest of: (a) five days before sale of the Property pur~uallt to any power of sale contained in this Security Instrument; (b) such other period as Applicable Law might specify for the termination of Borrower's right to reinstate; or (c) entry of a judgment enfurcing this Security Instrument. Those conditions are that Borrower: (a) pays Lender all sums which d~cn 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 enforcing this Secmib' Instrument, including, but not limited to, reasonable attorneys' fees, property inspection and valuation I'ccs, and other fees incurred for the purpose of protecting Lender's interest in the .Property and rights trader this Security Instrument; and (d) takes such action as Lender may reasonably require to assure th:~t [,cnder's interest in the Property and rights under this Security Instrument, and Borrower's obligation tu pay the sums secured by this Security Instrument, shall continue unchanged. Lender may require that Bu~ mwcr pay such reinstatement sums and expenses in one or more of the following forms, as selected by Icndcr: (a) cash; (b) money order; (c) . certified check, bank check, treasurer's check or cashier's cheek, lm,vidcd 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 lu~h'umcnt and obligations secured hereby shall remain fully effective as if no acceleration had occurred. Ih~wc¥cr, this right to reinstate shall not apply in the case of acceleration under Section 18. 20. Sale of Note; Change of Loan Servicer; Notice of Gric~ ante. The Note or a partial interest in the Note (together with this Security Instrument) can be sold one or more times without prior notice to Borrower. A sale might result in a change in the entity (knmx u ~s the "Loan Servicer") that collects Periodic Payments due under the Note and this Security Instrument and performs other mortgage loan servicing obligations under the Note, this Security Instrument, amt Applicable Law. There also might be one or more changes of the Loan Servicer unrelated to a sale of linc N,,tc. If there is a change of the Loan Servicer, Borrower will be given written notice of the change which will state the name and address of the new Loan Servicer, the address to which payments should be m~dc and any other information RESPA ~'(~0/~ (000§} Pafall of 16 ~ C.~- Form 3051 1/01 requires in connection with a notice of transfer of servicing. If lhc N{~t ~ is sold and thereafter the Loan is serviced by a Loan Servicer other than the purchaser of the Nolo. thc mm~gage loan servicing obligations to Borrower will remain with the Loan Servicer or be transferred to a successor Loan Servicer and are not assumed by the Note purchaser unless otherwise provided by thc N{,lc purchaser. Neither Borrower nor Lender may commence, join, or be joined ~o any judicial action (as either an individual litigant or the member of a class) that arises fxom lhc t~tl~ar party's actions pursuant to this Security Instrument or that alleges that the other party has breached any provision of, or any duty owed by reason of, this Security Instrument, until such Borrower or Lender has notified the other party (with such notice given in compliance with the requirements of Section 15) t~f such alleged breach and afforded the other party hereto a reasonable period after the giving of such nmice to take corrective action. If Applicable Law provides a time period which must elapse befi~rc certain action can be taken, that time period will be deemed to be reasonable for purposes of this par~tgraph. The notice of acceleration and opportunity to cure given to Borrower pursuant to Section 22 ami lhc notice of acceleration given to Borrower pursuant to Section 18 shall be deemed to satisfy thc ~o~icc and opportunity to take corrective action provisions of this Section 20. 21. Hazardous Substances. As used in this Section 21: (a) "Hazardous Substances" are those substances defined as toxic or hazardous substances, pollutants, m 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 fro'real dchyde, and radioactive materials; (b) "Environmental Law" means federal laws and laws of the juri sd icl ion where the Property is located that relate to health, safety or environmental protection; (c) "Envirmm~cntal Cleanup" includes any response action, remedial action, or removal action, as defined in Enviromncntal Law; and (d) an "Environmental Condition" means a condition that can cause, contribute to, ~r otherwise trigger an Environmental 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 lhc Property. Borrower shall not do, nor allow anyone else to do, anything affecting the Property (a) ~l~:tt is m violation of any Environmental Law, (b) which creates an Environmental Condition, or (c) which, duc to the presence, use, or release of a Hazardous Substance, creates a condition that adversely affects thc 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 appr~q~riatc to normal residential uses and to maintenance of the Property (including, but not limited to, hazard~ m, substances in consumer products). Borrower shall promptly give Lender written notice of (a) any investigation, claim, demand, lawsuit or other action by any governmental or regulatory agency or prix :~c pm-ty involving the Property and any Hazardous Substance or Environmental Law of which Bomm'cr has actual knowledge, (b) any Environmental 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 which adversely affects the value of the Prt, ~crty. If Borrower learns, or is notified by any governmental or regulatory authority, or any private parly, lhat any removal or other remediation of any Hazardous Substance affecting the Property is necessary, Bt~mm'cr shall promptly take all necessary remedial actions in accordance with Environmental Law. Nothing herein shall create any obligation on Lender for an Environmental Cleanup. {~)~-6(WY) (0005) Page ~2 of ~5 ~ Form 3051 1/01 O 04g S - 0701 NON-UNIFORM COVENANTS. Borrower and Lender further covenant and agree as follows: 22. Acceleration; Remedies. Lender shall give notice to Bm'r.x~ er prior to acceleration following Borrower's breach of any covenant or agreement in this Scct,rily Instrument (but not prior to acceleration under Section 18 unless Applicable Law provides olhcrwise). The notice shall specify: (a) the default; Co) the action required to cure the default; (c) a d;Hc, m~t 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 resul! in acceleration 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 bring a comq action to assert the non-existence of a default or any other defense of BorroWer to acceleration ami s:dc. If the default is not cured on or before the date specified in the notice, Lender at its option may ,'equire immediate payment in full of all sums secured by this Security Instrument without further demand and may invoke the power of sale and any other remedies permitted by Applicable Law. l.c,nlcr shall be entitled to collect all expenses incurred in pursuing the remedies provided in this Seclion 22, including, but not limited to, reasonable attorneys' fees and costs of title evidence. If Lender invokes the power of sale, Lender shall give notice of intent to foreclose to Borrower and to the person in possession of the Property, if different, ia accordance with Applicable Law. Lender shall give notice of the sale to Borrower in the manner provided in Section 15. Lender shall publish the notlee of sale, and the Property shall be sold in Ihe re:tuner 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; Co) to all sums secured by this Secm'il.~ Instrument; and (c) any excess to the person or persons legally entitled to it. 23. Release. Upon payment of all sums secured by this Secm'i~v lnsmnnent, Lender shall release this Security Instrument. Borrower shall pay any recordation costs. [ crater ~nay charge Borrower a fee for releasing this Security Instrument, but only if the fee is paid to a third party for services rendered and the charging of the fee is permitted under Applicable Law. 24. Waivers. Borrower releases and waives all rights trader and by virtue of the homestead exemption laws of Wyoming. 2 BY SIGNING BELOW, Borrower accepts and agrees to thc terms and covenants contained in this Security Instrument and in any Rider executed by Borrower and recorded with it. Witnesses: (Seal) -Borrower (Seal) -Borrower (Seal) -Borrower SHARON K -Borrower (Seal) (Seal) -Borrower -Borrower ~(~6(WY) (0005) Page 14 of 15 Form 3051 1/01 STATE OF · . 0703 County ss: The foregoing instrument was acknowledged before me this tlovembe r 3, 2 0 0 4 by JAiqES W CHUMLEY, MARRIED SHARON K CHUMLEY, MARRIED My Commission Expires: YVONNE J. PHELPS Notary P,~bllc - Arizona Plma County Expires 09/30/06 Public ~-6(WY) Page 15 of 15 1/01 0~04¢;;88 0704 Legal Description STAR VALLEY RANCH PLAT SEVENTEEN (IV) LOT Sl×'l'¥ EIGHT (6g) AS PLATTED AND ~COPmED r~ T~E O~FIC~L m~¢oP, os oF LmCOkS COt ~STY, WYOMr~O.