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Major Mortgage
6101 Yellowstone Rd
Cheyenne, WY 82009
888-589-9500
Prepared By:
6101 Yellowstone Rd
Cheyenne, WY 82009
888-589-9500
LL17
LL17
RECEIVED ~ 1/24/2004 at 2:52 PM
RECEIVING # 904806
BOOK: 573 PAGE: 408
JEANNE WAGNER
LINCOLN COUNT'/CLERK KEMMERER VVY
ISpace Above This Line For Rec.rdi.: l)ala
MORTGAGI'
0001609101
100049200000063716
DEFINITIONS
Words used in multiple sections of this document are defined I,clox~ and other words are defined in
Sections 3, 11, 13, 18, 20 and 21. Certain rules regarding thc .~,~.c of words used in this document are
also provided in Section 16.
(A) "Security Instrument"means this document, which is dated :. ~mr)er 19th, 2004
together with all Riders to this document.
(B) "Borrower"is Gene A Eppler and Peggy Epple ~ ~::ban~ and Wife
Borrower is the mortgagor under this Security Instrument.
(C) "MERS" is Mortgage Electronic Registration Systems, l.c rxlKRS is a separate corporation that is
acting solely as a nominee for Lender and Lender's success,~r., ,md assigns. MERS is the mortgagee
under this Security Instrument. MERS is organized and exist~.~_, trader the laws of Delaware, and has an
address and telephone number of P.O. Box 2026, Flint, MI 485{~1-2u26, tel. (888) 679-MERS.
WYOMING-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT WITH MERS
(~®-6A(WY) (ooo~).o~ als.~.~ ~
Page 1 of 15 Initi .
VMP MORTGAGE FORMS - (800)521-7291
Form 3051 1/01
0 4 5 '9
(D) "Lender" is Maj or Mortgage
Lender is a Wyoming Corporation
organized and existing under the laws of The Stat'e of
Lender's address is 6101 Yellowstone Rd LL17, Ch
WY 82009
(E) "Note" means the promissory note signed by Borrower and d:~lcd November 19th, 2004
The Note states that Borrower owes Lender One Hundred "?our Thousand and
no/100. Dollars
(U. S. $ 134,000.00 ) plus interest. Borrower has I"' "fi,cd to pay this debt in regular Periodic
Payments and to pay the debt in full not later than Decembe , 2034
(F) "Property" means the property that is described below tllldct lltC heading "Transfer of Rights in the
Property."
(G) "Loan" means the debt evidenced by the Note, plus intere.,I, a~,,. prepayment charges and late charges
due under the Note, and all sums due under this Security Instrt, uc,d. plus interest.
0t) "Riders" means all Riders to this Security Instrument th;it :~, c executed by Borrower. The following
Riders are to be executed by Borrower [check box as applicable
[-~ Adjustable Rate Rider [--] Condominium Rider . '-. Second Home Rider
~ Balloon Rider [---] Planned Unit Development P, idct i -] 1-4 Family Rider
~ VA Rider ~] Biweekly Payment Rider -] Other(s) [specify]
(1) "Applicable Law" means all controlling applicable fedc,,tl ~tatc and local statutes, regulations,
ordinances and administrative rules and orders (that have the c,~,.~'l {~1' lax~) as well as all applicable final,
non-appealable judicial opinions.
(J) "Community Association Dues, Fees, and Assessments" ~,~c:ms all dues, fees, assessments and other
charges that are imposed on Borrower or the Property b) :t c,mdominium association, homeowners
association or similar organization.
(K) "Electronic Funds Transfer" means any transfer of futM.,. ~,thcr than a transaction originated by
check, draft, or similar paper instrument, which is initiated lt,,m?h an electronic terminal, telephonic
instrument, computer, or magnetic tape so as to order, instrucu ~,t ztuthorize a financial institution to debit
or credit an account. Such term includes, but is not limited t,,~ i,,,int-of-sale transfers, automated teller
machine transactions, transfers initiated by telephone, wire t~:ms~brs, and automated clearinghouse
transfers.
(L) "Escrow Items" means those items that are described in S~cti, ~t 3.
(M) "Miscellaneous Proceeds" means any compensation, setttc~,~ctn. ~lward of damages, or proceeds paid
by any third party (other than insurance proceeds paid under tl~,' ~',,~ crages described in Section 5) for: (i)
damage to, or destruction of, the Property; (ii) condemnation, ,~, ~,th~r taking of all or any part of the
Property; (iii) conveyance in lieu of condenmation; or (iv) mi~,~.l~, cscntations of, or omissions as to, the
value and/or condition of the Property.
(N) "Mortgage Insurance" means insurance protecting Lendc~ ,~..,:finst the nonpayment of, or default on,
the Loan.
(O) "Periodic Payment" means the regularly scheduled amom~I ~l~c liar (i) principal and interest under the
Note, plus (ii) any amounts under Section 3 of this Security Ins~ t t i tic iH.
(P) "RESPA" means the Real Estate Settlement Procedures A~'~ 112 [.I.S.C. Section 2601 et seq.) and its
implementing regulation, Regulation X (24 C.F.R. Part 350(}~ .,, thc> might be amended from time to
time, or any additional or successor legislation or regulation th,tt ~.~}% cms the same subject matter. As used
in this Security Instrument, "RESPA" refers to all requiremem, ,~,,1 ~cstrictions that are imposed in regard
to a "federally related mortgage loan" even if the Loan does ,,,t ,it~:~lil~ as a "federally related mortgage
loan" under RESPA.
(~-6 A(W Y)(ooo5).o~
Page 2 of 15
Form 3051 1101
(Q) "Successor in Interest of Borrower" means any party ttmt I~:~,; mkcn title to the Property, whether or
not that party has assumed Borrower's obligations under the l'q,,t,~ mid ~.)1' this Security Instrument.
TRANSFER OF RIGHTS IN THE PROPERTY .-
This Security Instrument secures to Lender: (i) the repayment ~,1' iIic l.<)an, and all renewals, extensions and
modifications of the Note; and (ii) the performance of l:L,~,.xxc s covenants and agreements under
this Security Instrument and the Note. For this purpose, Borroxx,..~ ,h,cs hereby mortgage, grant and convey
to MERS (solely as nominee for Lender and Lender's succ,'..',,>~s and assigns) and to the successors
and assigns of MERS, with power of sate, thc l(,ll,~xving described property located
in the County Clerk of i~,oln County Clerk :
[Type of Recording Jurisdiction] Ira:mit ~1' Recording Jurisdiction]
Lot 2 of Coyote Hills Subdivision, Lincoln ~ '.,,', ¢lyoming as described
on the official plat thereof filed August ~, , -~] as Instrument No.
975323 of the records of the Lincoln Count~. . ~ ~:.
Parcel ID Number:
("Property Address"):
Bedford
154 Cougar Lane
which currently has the address of
[Street]
\Vyoming 83112 [Zip Code]
TOGETHER WITH all the improvements now or hc~c:mcr erected on the property, and all
easements, appurtenances, and fixtures now or hereafter a p;t~ ,~1' ibc property. All replacements and
additions shall also be covered by this Security Instrument. Alt ~1' tile lbregoing is referred to in this
Security Instrument as the "Property." Borrower understands :~,,I :l,~,rccs that MERS holds only legal title
to the interests granted by Borrower in this Security Instrumc-~,l, l,uL il' necessary to comply with law or
custom, MERS (as nominee for Lender and Lender's successor., :,~,t assigns) has the right: to exercise any
or all of those interests, including, but not limited to, the ri~h~ I,~ Ibrcclose and sell the Property; and to
take any action required of Lender including, but not limited t,>. releasing and canceling this Security
Instrument.
BORROWER COVENANTS that Borrower is lawfully sci~,.,l ,~F tile estate hereby conveyed and has
the right to mortgage, grant and convey the Property and th:d lite Property is unencumbered, except for
encumbrances of record. Borrower warrants and wilt defend Ltct~,'r:tlly the title to the Property against all
claims and demands, subject to any encumbrances of record.
THIS SECURITY INSTRUMENT combines uniform c~,xc~m,ts [Ur national use and non-uniform
covenants with limited variations by jurisdiction to constitute, ul~ilbrm security instrument covering real
property.
(~-6 A(WY)(ooo~).o~
Page 3 o! 15
~ "-" Form 3051 1/01
UNIFORM COVENANTS. Borrower and Lender covena~i ~td :lgree as follows:
1. Payment of Principal, Interest, Escrow Items, Prcp;~)n!cnl Charges, and Late Charges.
Borrower shall pay when due the principal of, and interest tm ~t~,, dcbl evidenced by the Note and any
prepayment charges and late charges due under the Note. Bom,,,.,,.~' ~1~11 also pay funds for Escrow Items
pursuant to Section 3. Payments due under the Note and this 5,~.~ tH'i~\ Instrument shall be made in U.S.
currency. However, if any check or other instrument received b,, I ,'~der as payment under the Note or this
Security Instrument is returned to Lender unpaid, Lender ma3' ~C, ltfilc that any or all subsequent payments
due under the Note and this Security Instrument be made i. ,,~tc ~r more of the following forms, as
selected by Lender: (a) cash; (b) money order; (c) certified ~t~c~[.,. bank check, treasurer's check or
cashier's check, provided any such check is drawn upon an i~-.l~lt~i,)n whose deposits are insured by a
federal agency, instrumentality, or entity; or (d) Electronic Fund, I t m~M~el'.
Payments are deemed received by Lender when received :t~ ~1~,. h)cation designated in the Note or at
such other location as may be designated by Lender in accordam'~, u ich the notice provisions in Section 15.
Lender may return any payment or partial payment if the pas~,'~t ,~r partial payments are insufficient to
bring the Loan current. Lender may accept any payment or pm ti:ti i~<~ ment insufficient to bring the Loan
current, without waiver of any rights hereunder or prejudice t,, il:, ~i~hts to refuse such payment or partial
payments in the future, but Lender is not obligated to apply su~ I~ I',~ mcnls at the time such payments are
accepted. If each Periodic Payment is applied as of its sche,hlh.d due date, then Lender need not pay
interest on unapplied funds. Lender may hold such unapplied ft~,l, tmtil Borrower makes payment to bring
the Loan current. If Borrower does not do so within a reasonal~h, i>c~ i~d of time, Lender shall either apply
such funds or return them to Borrower. If not applied earlier, ~t~ t~ Imtds will be applied to the outstanding
principal balance under the Note immediately prior to forech,,t~c No offset or claim which Borrower
might have now or in the future against Lender shall relieve l l,,~t,,u cr from making payments due under
the Note and this Security Instrument or performing the coven:, ~t., ~ttlcl ~lgreements secured by this Security
Instrument.
2. Application of Payments or Proceeds. Except as ,,lt~c~\xise described in this Section 2, all
payments accepted and applied by Lender shall be applied in tl~. l~,lh~x~ing order of priority: (a) interest
due under the Note; (b) principal due under the Note; (c) alalt,mtt,~ due under Section 3. Such payments
shall be applied to each Periodic Payment in the order in whi,'l~ it became due. Any remaining amounts
shall be applied first to late charges, second to any other a~nom~l, dt~c under this Security Instrument, and
then to reduce the principal balance of the Note.
If Lender receives a payment frmn Borrower for a deliml~ctlt l'eriodic Payment which includes a
sufficient amount to pay any late charge due, the payment ma\ I~, ~l~plied to the delinquent payment and
the late charge. If more than one Periodic Payment is outstanding?. I ctldcr may apply any payment received
from Borrower to the repayment of the Periodic Payments if, m~,f t,~ the extent that, each payment can be
paid in full. To the extent that any excess exists after the paymc,~t i:, z~pptied to the full payment of one or
more Periodic Payments, such excess may be applied to any linc ~tm~ ~cs due. Voluntary prepayments shall
be applied first to any prepayment charges and then as described i~t Ibc Note.
Any application of payments, insurance proceeds, or M iscclt:t~c~ms Proceeds to principal due under
the Note shall not extend or postpone the due date, or change lite :tl~tc)tmt, of the Periodic Payments.
3. Funds for Escrow Items. Borrower shall pay to Lemlc~ ,,~ the clay Periodic Payments are due
under the Note, until the Note is paid in full, a sum (the "Fund~.' } lc~ provide for payment of amounts due
for: (a) taxes and assessments and other items which can attain I' i,, i~y over this Security Instrument as a
lien or encumbrance on the Property; (b) leasehold payments t~ ;.,~,tmd rents on the Property, if any; (c)
premiums for any and all insurance required by Lender undc~ ~cction 5; and (d) Mortgage Insurance
premiums, if any, or any sums payable by Borrower to Lc}~[t~:~ in lieu of the payment of Mortgage
Insurance premiums in accordance with the provisions of Sccti~,~ II). rl'hese items are called "Escrow
Items." At origination or at any time during the term of the t ~,:tll. I e~der may require that Con~nunity
Association Dues, Fees, and Assessments, if any, be escroxxcd I,~ Borrower, and such dues, fees and
assessments shall be an Escrow Item. Borrower shall promptly tm ,~i~h to Lender all notices of amounts to
be paid under this Section. Borrower shall pay Lender the Ftmd,; li3r l~iscrow Items unless Lender waives
Borrower's obligation to pay the Funds for any or all Escrt,u Itclns. Lender may waive Borrower's
obligation to pay to Lender Funds for any or all Escrow Items :~t ~.t\ ~ime. Any such waiver may only be
in writing. In the event of such waiver, Borrower shall pay dirccllx, xx hen and where payable, the amounts
I~-6 A(W Y)(ooos) o~
Page 4 o~ 1 5
Form 3051 1101
due for any Escrow Items for which payment of Funds has bee~/xx~ti~ cd by Lender and, if Lender requires,
shall furnish to Lender receipts evidencing such payment withi~ ~,ttclt time period as Lender may require.
Borrower's obligation to make such payments and to PrOvide rc,'~4pt~ ~hztll for all purposes be deemed to
be a covenant and agreement contained in this Security Instrumc~t. :~ thc phrase "covenant and agreement"
is used in Section 9. If Borrower is obligated to pay Escrox~ I~.~t. directly, pursuant to a waiver, and
Borrower fails to pay the amount due for an Escrow Item, Le~&'~ ~lax' exercise its rights under Section 9
and pay such amount and Borrower shall then be obligated u~d~.m 5;cctic)t~ 9 to repay to Lender any such
amount. Lender may revoke the waiver as to any or all Escr,)',,. It~'~ at any time by a notice given in
accordance with Section 15 and, upon such revocation, Borrc,x~.~-,' :.h:Ell pay to Lender all Funds, and in
such mnounts, that are then required under this Section 3.
Lender may, at any time, collect and hold Funds in an am,,~t Ia} st~l'ficient to permit Lender to apply
the Funds at the time specified under RESPA, and (b) not to ~-,,~,.~,1 tile maximum amount a lender can
require under RESPA. Lender shall estimate the mnount of I-'t~,l:, clt~c on the basis of current data and
reasonable estimates of expenditures of future Escrow ltems t)~ ~4h~rwise in accordance with Applicable
Law.
The Funds shall be held in an institution whose dcl~,~.its ~lrc insured by a federal agency,
instrumentality, or entity (including Lender, if Lender is an inst i t~tli~,~ x~hc)se deposits are so insured) or in
any Federal Home Loan Bank. Lender shall apply the Funds to I':~:, tl~c l!~crow Items no later than the time
specified under RESPA. Lender shall not charge Borrower for tx,,Icli~t~ and applying the Funds, annually
analyzing the escrow account, or verifying the Escrow Items, u~ll~-;~ l.c~der pays Borrower interest on the
Funds and Applicable Law permits Lender to make such a charv c I ~lcss an agreement is made in writing
or Applicable Law requires interest to be paid on the Funds, Lc~l,,~' shall not be required to pay Borrower
any interest or earnings on the Funds. Borrower and Lender ca~ ~,rcc in writing, however, that interest
shall be paid on the Funds. Lender shall give to Borrower, xxill,,t~t charge, an annual accounting of the
Funds as required by RESPA.
If there is a surplus of Funds held in escrow, as definc~l ~lcr I~,ESPA, Lender shall account to
Borrower for the excess funds in accordance with RESPA. If 11~.~ c i~ ~1 shortage of Funds held in escrow,
as defined under RESPA, Lender shall notify Borrower as reqt~i~,.,I h3 Kt:fi;l A, and Borrower shall pay to
Lender the amount necessary to make up the shortage in accord:~,,~~ with RESPA, but in no more than 12
monthly payments. If there is a deficiency of Funds held in escr,,x~..,~ defined under RESPA, Lender shall
notify Borrower as required by RESPA, and Borrower shall pa.~ t~, l.c~dcr the amount necessary to make
up the deficiency in accordance with RESPA, but in no more th:~ I.~ ~t~lthly payments.
Upon payment in full of all sums secured by this Securit3 1~14rtEllqc~ll, Lender shall promptly refund
to Borrower any Funds held by Lender.
4. Charges; Liens. Borrower shall pay all taxes, asscs~,~ts, charges, fines, and impositions
attributable to the Property which can attain priority over this ~cc'tsrit3 Instrument, leasehold payments or
ground rents on the Property, if any, and Conununity Associatit)~ l)~cs, l:ces, and Assessments, if any. To
the extent that these items are Escrow Items, Borrower shall pa3 t t~.~ i~ tile manner provided in Section 3.
Borrower shall promptly discharge any lien which has pt i,,~ itx ~)v~r this Security Instrument unless
Borrower: (a) agrees in writing to the payment of the obligatio~ -.~.ct~rcd t)y the lien in a manner acceptable
to Lender, but only so long as Borrower is performing such agrc~'~t~t; (b) contests the lien in good faith
by, or defends against enforcement of the lien in, legal procecdit~?~ x~}rich in Lender's opinion operate to
prevent the enforcement of the lien while those proceedings arc i,~.~ti~l~, but only until such proceedings
are concluded; or (c) secures from the holder of the lien an agrc~.~,,c~t satisihctory to Lender subordinating
the lien to this Security Instrument. If Lender determines that a~,, t,a~t t~t' the Property is subject to a lien
which can attain priority over this Security Instrument, Lender ~.~). ~?ivc Borrower a notiCe identifying the
(~1~-6 A (W Y)(0005).0~
Page 5 o~ 15
Form 30ill 1101
lien. Within 10 days of the date on which that notice is given, 1~,~,~ ~,~x~cr 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 char? 1,~' a real estate tax verification and/or
reporting service used by Lender in connection with this Loan.
5. Property Insurance. Borrower shall keep the improvc~,.~t~ now existing or hereafter erected on
the Property insured against loss by fire, hazards included xvillti,J Ibc tcrrn "extended coverage," and any
other hazards including, but not limited to, earthquakes and Il ..... 1,,. I~)r which Lender requires insurance.
This insurance shall be maintained in the mnounts (including &%Jctiblc levels) and for the periods that
Lender requires. What Lender requires pursuant to the precedi~:~ ,;cmcnces can change during the term of
the Loan. The insurance carrier providing the insurance shall b~' ctl,}scn by Borrower subject to Lender's
right to disapprove Borrower's choice, which right shall n,)l I~c exercised unreasonably. Lender may
require Borrower to pay, in connection with this Loan, eitlJC~: (.,t) a one-time charge for flood zone
determination, certification and tracking services; or (b) a onc--li~JJc charge for flood zone determination
and certification services and subsequent charges each time rc~si~tppings or silnilar changes occur which
reasonably might affect such determination or certification, ll,,~,,wcr shall also be responsible for the
payment of any fees imposed by the Federal Emergency N'lz~:t.:~cmcnt Agency in connection with the
review of any flood zone determination resulting from an object i, ,~ h.v B~)rrower.
If Borrower fails to maintain any of the coverages desc~il~,.,I ',d)ove, Lender may obtain insurance
coverage, at Lender's option and Borrower's expense. Lendc~ i~ trader no obligation to purchase any
particular type or mnount of coverage. Therefore, such cover~:.,: ;,lt~,ll cover Lender, but might or might
not protect Borrower, Borrower's equity in the Property, or thc ,,,~tcx~t~ of tl~e Property, against any risk,
hazard or liability and might provide greater or lesser coverae~. ~lt:H~ was previously in effect. Borrower
acknowledges that the cost of the insurance coverage so obtai~,.d n~i~ht significantly exceed the cost of
insurance that Borrower could have obtained. Any amounts di~l,t~J ~cd by l.ender under this Section 5 shall
become additional debt of Borrower secured by this Security h l~,ll t ti i lent. These amounts shall bear interest
at the Note rate from the date of disbursement and shall be p,'~.~,~t,l~,_ with such interest, upon notice from
Lender to Borrower requesting payment.
All insurance policies required by Lender and renewals ~,t ..,,q~ policies shall be subject to Lender's
right to disapprove such policies, shall include a standard m,,~t.~,,:~.c clause, and shall name Lender as
mortgagee and/or as an additional loss payee. Lender shall hax u ~l~c ~ight to hold the policies and renewal
certificates. If Lender requires, Borrower shall promptly give I,, I ,,~dcr :ill receipts of paid premiums and
renewal notices. If Borrower obtains any form of insurance c,,,, ~.~J~c. not otherwise required by Lender,
for damage to, or destruction of, the Property, such policy sh:~tt i~Mudc a standard mortgage clause and
shall name Lender as mortgagee and/or as an additional loss pa3
In the event of loss, Borrower shall give prompt notice t,, ~ttc insurance carrier and Lender. Lender
may make proof of loss if not made promptly by Borrower. U~i,..., l.cnder and Borrower otherwise agree
in writing, any insurance proceeds, whether or not the underlyi~ i~t~rance was required by Lender, shall
be applied to restoration or repair of the Property, if the restorali,,~ ~,r repair is economically feasible and
Lender's security is not lessened. During such repair and restor:~t i~,~ period, Lender shall have the right to
hold such insurance proceeds until Lender has had an opporttJt~t3 t,, inspect such Property to ensure the
work has been completed to Lender's satisfaction, provided tl~,t ~uch inspection shall be undertaken
promptly. Lender may disburse proceeds for the repairs and rc~.t,,r :~ti,~ in a single payment or in a series
of progress payments as the work is completed. Unless an agrec~.~t i~ made in writing or Applicable Law
requires interest to be paid on such insurance proceeds, Lender ~,1~.~11 m)t be required to pay Borrower any
interest or earnings on such proceeds. Fees for public adju,.t~'~. ~,r other third parties, retained by
Borrower shall not be paid out of the insurance proceeds and ~h,~ll hc the sole obligation of Borrower. If
the restoration or repair is not economically feasible or Lender', ..... 'cm'ity would be lessened, the insurance
proceeds shall be applied to the sums secured by this Securib I~t,tt tmxcnt, whether or not then due, with
~--6A(WY) (000s).0~ Page6 o, Is ~ Form 3051 1/01
the excess, if any, paid to Borrower. Such insurance proceeds .q~:tll bc applied in the order provided for in
Section 2.
If Borrower abandons the Property, Lender may .file, nc?,}ti:tlc and settle any available insurance
claim and related matters. If Borrower does not respond witbi~ ~t} dztys to a notice from Lender that the
insurance carrier has offered to settle a claim, then Lender m<x ~c:~,,,ti~tte and settle the claim. The 30-day
period will begin when the notice is given. In either event. ,,~ il' I.cnder acquires the Property under
Section 22 or otherwise, Borrower hereby assigns to Lendc~ (',~) llorrower's rights to any insurance
proceeds in an amount not to exceed the mnounts unpaid undc~ tl~c ~o1¢ or this Security Instrument, and
(b) any other of Borrower's rights (other than the right to :,~x rcftmd of unearned premiums paid by
Borrower) under all insurance policies covering the Property. i~-,,f:t~ :ts such rights are applicable to the
coverage of the Property. Lender may use the insurance proccc&, ~'it her to repair or restore the Property or
to pay amounts unpaid under the Note or this Security Instrumc~,l. xs Ix~qlxcr or not then due.
6. Occupancy. Borrower shall occupy, establish, and t~-.,, thc Property as Borrower's principal
residence within 60 days after the execution of this Security l~,t~ mncm and shall continue to occupy the
Property as Borrower's principal residence for at least one year :~l~cr thc date of occupancy, unless Lender
otherwise agrees in writing, which consent shall not be um'~.:~,,~v,d)ly withheld, or unless extenuating
circumstances exist which are beyond Borrower's control.
7. Preservation, Maintenance and Protection of the I'r.i}crty; Inspections. Borrower shall not
destroy, dan~age or impair the Property, allow the Properb l,, deteriorate or commit waste on the
Property. Whether or not Borrower is residing in the Properb. l~,~'rt~wcr shall maintain the Property in
order to prevent the Property from deteriorating or decreasin:, i~ x:~lttc due to its condition. Unless it is
determined pursuant to Section 5 that repair or restoration is ~,,t cct~nomically feasible, Borrower shall
promptly repair the Property if damaged to avoid further ,Ictc~ic~rzttion or damage. If insurance or
condemnation proceeds are paid in connection with damage t~, ,}t ~hc taking of, the Property, Borrower
shall be responsible for repairing or restoring the Property on[', il I cndcr has released proceeds for such
purposes. Lender may disburse proceeds for the repairs and rc,t~,~ ~tt i,,~ i~ a single payment or in a series of
progress payments as the work is completed. If the insurance ,,~ ~,,~tdcmnation proceeds are not sufficient
to repair or restore the Property, Borrower is not relieved of l~,~,~,,,x~cr's obligation for the completion of
such repair or restoration.
Lender or its agent may make reasonable entries upon :~,1 it~spcctions of the Property. If it has
reasonable cause, Lender may inspect the interior of the impr~,~ c~cms on the Property. Lender shall give
Borrower notice at the time of or prior to such an interior inspccti,,,~ ~t)ccifying such reasonable cause.
8. Borrower's Loan Application. Borrower shall be h~ (tcl':mlt it; during the Loan application
process, Borrower or any persons or entities acting at the di~'~,cli,m of Borrower or with Borrower's
knowledge or consent gave materially false, misleading, or in~t~m :itc inl~)rmation or statements to Lender
(or failed to provide Lender with material information) it~ co~mcclion with the Loan. Material
representations include, but are not limited to, representations, o,~ccrning Borrower's occupancy of the
Property as Borrower's principal residence.
9. Protection of Lender's Interest in the Property ami Riglils IJnder this Security Instrument. If
(a) Borrower fails to perform the covenants and agreements cc,~t.,i~,:d in this Security Instrument, (b) there
is a legal proceeding that might significantly affect Lender's i~,t,.~cst in the Property and/or rights under
this Security Instrument (such as a proceeding in bankruptcy, t)t,,I,~ltc, for condemnation or forfeiture, for
enforcement of a lien which may attain priority over this 5,-cm i~v Instrument or to enforce laws or
regulations), or (c) Borrower has abandoned the Property, lhc~t I ct~dcr may do and pay for whatever is
reasonable or appropriate to protect Lender's interest in lhc 1'~%30rly and rights under this Security
Instrument, including protecting and/or assessing the value of linc l'~,~perly, and securing and/or repairing
the Property. Lender's actions can include, but are not limited t,,: (~ paying any sums secured by a lien
which has priority over this Security Instrument; (b) appc;~it~? in court; and (c) paying reasonable
(~-6 A(WY)(ooo~).o~
Page 7 of 15
Form 3051 1/01
attorneys' fees to protect its interest in the Property and/or riet~l- mtdcr this Security Instrument, including
its secured position in a bankruptcy proceeding. Securing thc l'~,,I,crtx includes, but is not litnited to,
entering the Property to make repairs, change locks, replace t,~ t,~,:~tl up doors and windows, drain water
fi.om pipes, eliminate building or other code violations 'or da~,~,c~ .... conditions, and have utilities turned
on or off. Although Lender may take action under this Section ', . cn,tcr does not have to do so and is not
under any duty or obligation to do so. It is agreed that Lender ~ itl.,, no liability for not taking any or all
actions authorized under this Section 9.
Any amounts disbursed by Lender under this Section 9 ,,1~,~1 bcconae additional debt of Borrower
secured by this Security Instrument. These amounts shall bea~ t~dcl'cst at the Note rate from the date of
disbursement and shall be payable, with such interest, upon i t,,li~.¢ l'rom Lender to Borrower requesting
payment.
If this Security Instrument is on a leasehold, Borrower v,t,,tll comply with all the provisions of the
lease. If Borrower acquires fee title to the Property, the leaseh~,ht ',md tile fee title shall not merge unless
Lender agrees to the merger in writing.
10. Mortgage Insurance. If Lender required Mortgage hi-,tH:ii,cc as a condition of making the Loan,
Borrower shall pay the premiums required to maintain the Mort?~!,c insurance in effect. If, for any reason,
the Mortgage Insurance coverage required by Lender ceases to I,~. ~tvztil:tble from the mortgage insurer that
previously provided such insurance and Borrower was required t,, ~mtkc separately designated payments
toward the premiums for Mortgage Insurance, Borrower sit,ill p'd.,, tile premiums required to obtain
coverage substantially equivalent to the Mortgage Insurance l,cx it,ii,fy in effect, at a cost substantially
equivalent to the cost to Borrower of the Mortgage Insura~.,* previously in effect, from an alternate
mortgage insurer selected by Lender. If substantially equix~h.~t fXlortgage Insurance coverage is not
available, Borrower shall continue to pay to Lender the amount ,,~ ~l~c separately designated payments that
were due when the insurance coverage ceased to be in effec~ I ,.~dcr will accept, use and retain these
payments as a non-refundable loss reserve in lieu of Mort~!:ll,c Insurance. Such loss reserve shall be
non-refundable, notwithstanding the fact that the Loan is ultin~t~.lx p:xid itl full, and Lender shall not be
required to pay Borrower any interest or earnings on such los, ~c.,cr~ c. l~ender can no longer require loss
reserve payments if Mortgage Insurance coverage (in the amt,u~t ,,id l;~)r the period that Lender requires)
provided by an insurer selected by Lender again becomes ax.iii:able, is obtained, and Lender requires
separately designated payments toward the premiums for Mortg:t?c [llsui ance. If Lender required Mortgage
Insurance as a condition of making the Loan and Borrower u~,, ~cquircd to make separately designated
payments toward the premiums for Mortgage Insurance, Bo~r,,,.~,,~- ~hall pay the premiums required to
maintain Mortgage Insurance in effect, or to provide a n,,~ ~cFtmd:sble loss reserve, until Lender's
requirement for Mortgage Insurance ends in accordance with m~,. ,,xt itlcn agreement between Borrower and
Lender providing for such termination or until termination is r~',lt. ~cd by Applicable Law. Nothing in this
Section 10 affects Borrower's obligation to pay interest at the r:m.- I'"x idcd in the Note.
Mortgage Insurance reimburses Lender (or any entity tltm I,ttlchnscs the Note) for certain losses it
may incur if Borrower does not repay the Loan as agreed, l;,,~t,~xxcr is not a party to the Mortgage
Insurance.
Mortgage insurers evaluate their total risk on all such in~m ~tt~cc iii Ibrce from time to time, and may
enter into agreements with other parties that share or modify th,.~ ~i~lq: or reduce losses. These agreements
are on terms and conditions that are satisfactory to the mortga? ~t,urcr and the other party (or parties) to
these agreements. These agreements may require the mortgage ~,,~m cr to make payments using any source
of funds that the mortgage insurer may have available (which ~t.~,. i~lcltsd~ funds obtained from Mortgage
Insurance pre~niums).
As a result of these agreements, Lender, any purchaser ,,I ll,c Note, another insurer, any reinsurer,
any other entity, or any affiliate of any of the foregoing, ma3 tc~.cix c (directly or indirectly) amounts that
derive from (or might be characterized as) a portion of Borrt, xx,.~' ~ t)~yments for Mortgage Insurance, in
exchange for sharing or modifying the mortgage insurer's ti,~l.. ,,r reducing losses. If such agreement
provides that an affiliate of Lender takes a share of the insm,.t ~ risk in exchange for a share of the
premiums paid to the insurer, the arrangement is often termed "~ 'l't ix c reinsurance." Further:
(a) Any such agreements will not affect the amounts ih:l! Borrower has agreed to pay for
Mortgage Insurance, or any other terms of the Loan. Such ~q~.r,'t'ments will not increase the amount
Borrower will owe for Mortgage Insurance, and they will n,I tmlillc Borrower to any refund.
(~-6A(WY) (ooo5).o~ Page 8 of ~5 Form 3051 1101
(b) Any such agreements will not affect the rights lh,','mscr b.as - if any - with respect to the
Mortgage Insurance under the Homeowners Protection Acl ~1' It)08 or any other law. These rights
may include the right to receive certain disclosures, to r,.qt~t'st and obtain cancellation of the
Mortgage Insurance, to have the Mortgage Insurance termin:~lvd automatically, and/or to receive a
refund of any Mortgage Insurance premiums that were unt':~rucd ;Il the time of such cancellation or
termination.
11. Assignment of Miscellaneous Proceeds; Forfeiture, .\Il Miscellaneous Proceeds are hereby
assigned to and shall be paid to Lender.
If the Property is damaged, such Miscellaneous Proceed~ ..l~:tll bc applied to restoration or repair of
the Property, if the restoration or repair is economically t~e:t~iblc ;md bender's security is not lessened.
During such repair and restoration period, Lender shall have thc ~i?~t to hold such Miscellaneous Proceeds
until Lender has had an opportunity to inspect such Property ~,, ~m'c the work has been completed to
Lender's satisfaction, provided that such inspection shall be mM,.~t:fl~cln promptly. Lender may pay for the
repairs and restoration in a single disbursement or in a sc~'i~:~ ,,I' progress payments as the work is
completed. Unless an agreement is made in writing or Appliczd~l~. I aw requires interest to be paid on such
Miscellaneous Proceeds, Lender shall not be required to pay l~,~,~wcr any interest or earnings on such
Miscellaneous Proceeds. If the restoration or repair is not ecom*~fi~;:tll) t'easible or Lender's security would
be lessened, the Miscellaneous Proceeds shall be applied to thc ,m~s secured by this Security Instrument,
whether or not then due, with the excess, if any, paid to Borr,~xs~t. huch Miscellaneous Proceeds shall be
applied in the order provided for in Section 2.
In the event of a total taking, destruction, or loss in x:t[[ic ot' the Property, the Miscellaneous
Proceeds shall be applied to the sums secured by this Securilx IIl,,tt'uulcnt, whether or not then due, with
the excess, if any, paid to Borrower.
In the event ora partial taking, destruction, or loss in x'alt~~ ~i' thc I~roperty in which the fair market
value of the Property irmnediately before the partial taking, clc?.trttction, or loss in value is equal to or
greater than the mnount of the sums secured by this Securib Iil-,ttmncnt immediately before the partial
taking, destruction, or loss in value, unless Borrower and l.c~,lcr o~herwise agree in writing, the su~s
secured by this Security Instrument shall be reduced by th~-:tt~l~mnt Of the Miscellaneous Proceeds
multiplied by the following fraction: (a) the total mnount or' ll~c sums secured immediately before the
partial taking, destruction, or loss in value divided by (b~ tl~c fair market value of the Property
immediately before the partial taking, destruction, or loss in val~lc ~\ny balance shall be paid to Borrower.
In the event of a partial taking, destruction, or loss in va[tlc, d' lilt l~roperty in which the fair market
value of the Property immediately before the partial taking, d~.:,~ ts~:tion, or loss in value is less than the
amount of the sums secured immediately before the partial tz~[~i~tF, destruction, or loss in value, unless
Borrower and Lender otherwise agree in writing, the Miscelhmc,,t~, l'roceeds shall be applied to the sums
secured by this Security Instrument whether or not the sums arc tt~'~ duc.
If the Property is abandoned by Borrower, or if, afic~ ~,tice by Lender to Borrower that the
Opposing Party (as defined in the next sentence) offers to make. ~t~ award to settle a claim for damages,
Borrower fails to respond to Lender within 30 days after the &itc lite notice is given, Lender is authorized
to collect and apply the Miscellaneous Proceeds either to resu,~':tlhm or repair of the Property or to the
sums secured by this Security Instrument, whether or not then d~c ~'( )pposing Party" means the third party
that owes Borrower Miscellaneous Proceeds or the party agai~<l xx h<m~ Borrower has a right of action in
regard to Miscellaneous Proceeds.
Borrower shall be in default if any action or proceeding. ~,.l~,:thcr civil or criminal, is begun that, in
Lender's judgment, could result in forfeiture of the Property ~,t ,,lhcr material impairment of Lender's
interest in the Property or rights under this Security lnstrumcmt l;~u'rowcr can cure such a default and, if
acceleration has occurred, reinstate as provided in Section 1!~, I,x o',rasing the action or proceeding to be
dismissed with a ruling that, in Lender's judgment, precludes t,,~ IL. iturc of the Property or other material
impairment of Lender's interest in the Property or rights under thi~ Security Instrument. The proceeds of
any award or claim for damages that are attributable to the imp:tit~l~c~! oi' Lender's interest in the Property
are hereby assigned and shall be paid to Lender:
All Miscellaneous Proceeds that are not applied to rest,,~:tth,n or repair of the Property shall be
applied in the order provided for in Section 2.
I1~'6 A (W Y)(0005).01
Page g of 15
Form 3051 1/01
12. Borrower Not Released; Forbearance By Lender ~,i a Waiver. Extension of the time for
payment or modification of amortization of the sums secured bl ~l~i. ~ccurity Instrument granted by Lender
to Borrower or any Successor in Interest of Borrower shall not ,,l~c~ :~;c t~ release the liability of Borrower
or any Successors in Interest of Borrower. Lender shall not bc required to commence proceedings against
any Successor in Interest of Borrower or to refuse to extend ~i~c fi~r payment or otherwise modify
amortization of the sums secured by this Security Instrument b.~ ~,.~.., ~ ~f any demand made by the original
Borrower or any Successors in Interest of Borrower. Any forbc:u :u~cc by Lender in exercising any right or
remedy including, without limitation, Lender's acceptance ol l~:~:~mcms from third persons, entities or
Successors in Interest of Borrower or in amounts less than the zu~,,n~ ;hen due, shall not be a waiver of or
preclude the exercise of any right or remedy.
13. Joint and Several Liability; Co-signers; Successors ~,ml Assigns Bound. Borrower covenants
and agrees that Borrower's obligations and liability shall be joint ~md ~cvcral. However, any Borrower who
co-signs this Security Instrument but does not execute the l'q~,~, /:t "co-signer"): (a) is co-signing this
Security Instrument only to mortgage, grant and convey the c~,-~i~,~cr'.~ interest in the Property under the
terms of this Security Instrument; (b) is not personally obligated t,, lxty the sums secured by this Security
Instrument; and (c) agrees that Lender and any other Borro~xct ~:u~ a~rce to extend, modify, forbear or
make any accommodations with regard to the terms of this ~c,'~ i~ I~trument or the Note without the
co-signer' s consent.
Subject to the provisions of Section 18, any Succes,,~ i~ Imcrest 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 Instrtu~c~t. Borrower shall not be released from
Borrower's obligations and liability under this Security Instrumc~t mtle~s Lender agrees to such release in
writing. The covenants and agreements of this Security Inst~u~cnt shall bind (except as provided in
Section 20) and benefit the successors and assigns of Lender.
14. Loan Charges. Lender may charge Borrower fees ~,~ ~;crvice~ performed in connection with
Borrower's default, for the purpose of protecting Lender's ink'~,'q in the Property and rights under this
Security Instrument, including, but not limited to, attorneys' fc~.;,, property inspection and valuation fees.
In regard to any other fees, the absence of express authority in II~i~ :';ccurity Instrument to charge a specific
fee to Borrower shall not be construed as a prohibition on the ch'.tt !~ in~ of such fee. Lender may not charge
fees that are expressly prohibited by this Security Instrument or h,..\pplicable Law.
If the Loan is subject to a law which sets maximum loan ch:u :,c~. and that law is finally interpreted so
that the interest or other loan charges collected or to be collected i~t connection with the Loan exceed the
permitted limits, then: (a) any such loan charge shall be reduc,.d hv the amount necessary to reduce the
charge to the permitted limit; and (b) any sums already collected t~,,m llorrower which exceeded permitted
limits will be refunded to Borrower. Lender may choose to n~:tl,~ this refund by reducing the principal
owed under the Note or by making a direct payment to Bo~t,,xxcr. If a refund reduces principal, the
reduction will be treated as a partial prepayment without m~x i,rcpayment charge (whether or not a
prepayment charge is provided for under the Note). Borrower'-. :~ceplance of any such refund made by
direct payment to Borrower will constitute a waiver of any right, ~l uction Borrower might have arising out
of such overcharge.
15. Notices. All notices given by Borrower or Lender i~ ~,~nncction with this Security Instrument
must be in writing. Any notice to Borrower in connection with tl,i~ >;ccurity Instrument shall be deemed to
have been given to Borrower when mailed by first class mail ,~ x~hcn actually delivered to Borrower's
notice address if sent by other means. Notice to any one Borrux~c~ ~hzt[l constitute notice to all Borrowers
unless Applicable Law expressly requires otherwise. The notk'c mldrcss shall be the Property Address
unless Borrower has designated a substitute notice address by ~,,tic'c to Lender. Borrower shall promptly
notify Lender of Borrower's change of address. If Lender spccitic~ a procedure for reporting Borrower's
change of address, then Borrower shall only report a change ol :tddrcss through that specified procedure.
There may be only one designated notice address under this ~c~'u~il3 Instrument at any one time. Any
notice to Lender shall be given by delivering it or by mailing, i~ hv tit-st class mail to Lender's address
stated herein unless Lender has designated another address I,x ~,~tic'e to Borrower. Any notice in
connection with this Security Instrument shall not be deemed t,, I~:txc been given to Lender until actually
received by Lender. If any notice required by this Security In,ti tnttcnt is also required under Applicable
Law, the Applicable Law requirement will satisfy the corrc~q,,,~ding requirement under this Security
Instrument ~,
(~-6A(WY) (000s)0~ Page 10 of 15 Form 3051 1101
16. Governing Law; Severability; Rules of Construc~i,,.. This Security Instrument shall be
governed by federal law and the law of the jurisdiction in x¥1fi,'l~ thc Property is located. All rights and
obligations contained in this Security Instrument are subject tt~ ~ll~, requirements and limitations of
Applicable Law. Applicable Law might explicitly or implicitly it ll,,xx tile parties to agree by contract or it
might be silent, but such silence shall not be construed as a pr,>l~il,i~i~)n against agreement by contract. In
the event that any provision or clause of this Security Instrumct,t ,~r thc Note conflicts with Applicable
Law, such conflict shall not affect other provisions of this Seculitx Instrument or the Note which can be
given effect without the conflicting provision.
As used in this Security Instrument: (a) words of the ~:,~,'t~li~c gender shall mean and include
corresponding neuter words or words of the feminine gender; {I,} xxorcls in the singular shall mean and
include the plural and vice versa; and (c) the word "may" givc~ ~,,,lc discretion without any obligation to
take any action.
17. Borrower's Copy. Borrower shall be given one copy t~l' tt~. Nt)tc and of this Security Instrument.
18. Transfer of the Property or a Beneficial Interest in lb,'trover. As used in this Section 18,
"Interest in the Property" means any legal or beneficial interest i~, tl~c Property, including, but not limited
to, those beneficial interests transferred in a bond for deed, com~:t,'t Ik~r deed, installment sales contract or
escrow agreement, the intent of which is the transfer of title by ll~,~t~,wcr at a future date to a purchaser.
If all or any part of the Property or any Interest in the Pr~l',,'~ t? is sold or transferred (or if Borrower
is not a natural person and a beneficial interest in Borrower is s,,I,l ~- transferred) without Lender's prior
written consent, Lender may require immediate payment in I'~11 ~1' all sums secured by this Security
Instrument. However, this option shall not be exercised by I ~dcr if such exercise is prohibited by
Applicable Law.
If Lender exercises this option, Lender shall give Borroxx~.r t~*ticc of acceleration. The notice shall
provide a period of not less than 30 days from the date the notic.,: t, .~iven in accordance with Section 15
within which Borrower must pay all sums secured by this Sccu~ iix Instrument. If Borrower fails to pay
these sums prior to the expiration of this period, Lender max i~xc,kc any remedies permitted by this
Security Instrument without further notice or demand on Borroxx
19. Borrower's Right to Reinstate After Acceleration. It Borrower meets certain conditions,
Borrower shall have the right to have enforcement of this Scctit ii\ Instrument discontinued at any time
prior to the earliest of: (a) five days before sale of the Property [~tst ~tlz~tlt Io any power of sale contained in
this Security Instrument; (b) such other period as Applicable I:t~x might specify for the termination of
Borrower's right to reinstate; or (c) entry of a judgment c~ll)~'c'i~ this Security Instrument. Those
conditions are that Borrower: (a) pays Lender all sums whiclt t[~cti would be due under this Security
Instrument and the Note as if no acceleration had occurred; (b) c~., ',my delhult of any other covenants or
agreements; (c) pays all expenses incurred in enforcing this Sectlt i~x Ii~strulnent, including, but not limited
to, reasonable attorneys' fees, property inspection and valuati~,~ Ices, and other fees incurred for the
purpose of protecting Lender's interest in the Property and righi.: ~mdcr this Security Instrument; and (d)
takes such action as Lender may reasonably require to assure llt~tt I.cnder's interest in the Property and
rights under this Security Instrument, and Borrower's obligatit~ I,, p:~y the stuns secured by this Security
Instrument, shall continue unchanged. Lender may require that l~,,t t,~wcr pay such reinstatement sums and
expenses in one or more of the following forms, as selected b~ l.c~dcr: (a) cash; (b) money order; (c)
certified check, bank check, treasurer's check or cashier's check, i~,)x'idcd any such check is drawn upon
an institution whose deposits are insured by a federal agency, i~:.t~tm~cntality or entity; or (d) Electronic
Funds Transfer. Upon reinstatement by Borrower, this Security I~,l~'tm~cnt and obligations secured hereby
shall remain fully effective as if no acceleration had occurred. I I,,xxcvcr, 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 Grit'~:,ncc. The Note or a partial interest in
the Note (together with this Security Instrument) can be sold t,~c ,~t more times without prior notice to
Borrower. A sale might result in a change in the entity (knox~,~ :~,; ~he "Loan Servicer") that collects
Periodic Payments due under the Note and this Security ]nslrtHttcld and performs other mortgage loan
servicing obligations under the Note, this Security Instrument, :t~d ..\ppticable Law. There also might be
one or more changes of the Loan Servicer unrelated to a sale o1' thc ~otc. If there is a change of the Loan
Servicer, Borrower will be given written notice of the change x~l~i~l~ will state the name and address of the
new Loan Servicer, the address to which payments should be ll~,tclc zmd any other information RESPA
(~-6 A(W Y)(ooos) o~
Pagell of 15
Form 3051 1101
requires in connection with a notice of transfer of servicing. 1I' I I~c :'q~,tc is sold and thereafter the Loan is
serviced by a Loan Servicer other than the purchaser of the N~,tc- ti to mortgage loan servicing obligations
to Borrower will remain with the Loan Servicer or be transferred ~,, :t successor Loan Servicer and are not
assumed by the Note purchaser unless otherwise provided by thc !'!,,It purchaser, '
Neither Borrower nor Lender may cormnence, join, or bc [,~illcd to any judicial action (as either an
individual litigant or the member of a class) that arises from ~t~. ,~thcr party's actions pursuant to this
Security Instrument or that alleges that the other party has breacl~.~l :tn~ provision of, or any duty owed by
reason of, this Security Instrument, until such Borrower or Lcnd~.~ [~zt~ nolified the other party (with such
notice given in compliance with the requirements of Section 15i ~,I' stroh alleged breach and afforded the
other party hereto a reasonable period after the giving of ~tt~l~ m~tice to take corrective action. If
Applicable Law provides a time period which must elapse bcli,~c c'crtain action can be taken, that time
period will be deemed to be reasonable for purposes of this I):,,?~zqfl~. The notice of acceleration and
opportunity to cure given to Borrower pursuant to Section 2~: :t~,t Ibc notice of acceleration given to
Borrower pursuant to Section 18 shall be deemed to satisfy thc ~,,~ic'c and opportunity to take corrective
action provisions of this Section 20.
21. Hazardous Substances. As used in this Section 21 I,} "llazardous Substances" are those
substances defined as toxic or ha?ardous substances, po}lutanls. ,,~ x,,:~stcs by Environmental Law and the
following substances: gasoline, kerosene, other flammable or ~,,',i~' petroleum products, toxic pesticides
and herbicides, volatile solvents, materials containing asbestos o~ I~,rm:fldehyde, and radioactive materials;
(b) "Environmental Law" means federal laws and laws of the juri,.di~:titm where the Property is located that
relate to health, safety or environmental protection; (c) "Envir,,~cntal Cleanup" includes any response
action, remedial action, or removal action, as defined in Envir~,~tcntal Law; and (d) an "Environmental
Condition" means a condition that can cause, contribute to. ~,t ,,thcrwise trigger an Environmental
Cleanup.
Borrower shall not cause or permit the presence, use, disp,,.,~l, s~orage, or release of any Hazardous
Substances, or threaten to release any Hazardous Substances, on ,,r in the Property. Borrower shall not do,
nor allow anyone else to do, anything affecting the Property (al titbit i_~ in violation of any Environmental
Law, (b) which creates an Environmental Condition, or (c) whiclt, dttc to the presence, use, or release of a
Ha?-rdous Substance, creates a condition that adversely affect~ i I to xalu¢ of the Property. The preceding
two sentences shall not apply to the presence, use, or storage ~,~ ~l~c Property of small quantities of
Hazardous Substances that are generally recognized to be app~,l,~i:ltc to normal residential uses and to
maintenance of the Property (including, but not limited to, hazar&}t~ substances in consumer products).
Borrower shall promptly give Lender written notice of (a) :rtl\ invesligation, claim, demand, lawsuit
or other action by any governmental or regulatory agency or pti,, ,~c l,z~rty involving the Property and any
Ha?-rdous Substance or Environmental Law of which B,,r~,,x~cr has actual knowledge, (b) any
Environmental Condition, including but not limited to, any spilli~;~, leaking, discharge, release or threat of
release of any Hazardous Substance, and (c) any condition cm~:,~.d I)~ the presence, use or release of a
Ha:,ardous Substance which adversely affects the value of the Ih,,i,crty. If Borrower learns, or is notified
by any governmental or regulatory authority, or any private pa~t~. ~l~,tt any removal or other remediation
of any Hazardous Substance affecting the Property is necessary. 1;, ,~ ~)xxcr shall promptly take all necessary
remedial actions in accordance with Environmental Law. Nothi~t~, herein shall create any obligation on
Lender for an Environmental Cleanup.
(~-6 A(WY)(ooos).o~
Page 12 of 15
Form 3051 1101
04 0
NON-UNIFORM COVENANTS. Borrower and Lender l'urli~, c't,~cnant and agree as follows:
22. Acceleration; Remedies. Lender shall give notice to lh~rr,.cr prior to acceleration following
Borrower's breach of any covenant or agreement 'in' this S,'¢,rily Instrument (but not prior to
acceleration under Section 18 unless Applicable Law provides .Iht'r~ise). The notice shall specify: (a)
the default; (b) the action required to cure the default; (c) a d:,n., ,mt less than 30 days from the date
the notice is given to Borrower, by which the default must bc t'uvcd; and (d) that failure to cure the
default on or before the date specified in the notice may resul~ m :,ccclcration of the sums secured by
this Security Instrument and sale of the Property. The notice shMl further inform Borrower of the
right to reinstate after acceleration and the right to bring a courl action to assert the non-existence of
a default or any other defense of Borrower to acceleration a,,I salt.. If the default is not cured on or
before the date specified in the notice, Lender at its option ma? require immediate payment in full of
all sums secured by this Security Instrument without further dcm;llltl and may invoke the power of
sale and any other remedies permitted by Applicable La~. I t. mlcr shall be entitled to collect all
expenses incurred in pursuing the remedies provided in this Nvt. liol! 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 differem, in accordance with Applicable Law.
Lender shall give notice of the sale to Borrower in the mam~t.r provided in Section 15. Lender shall
publish the notice of sale, and the Property shall be sold in ibc manner prescribed by Applicable
Law. Lender or its designee may purchase the Property at an~ s;tlt.. The proceeds of the sale shall be
applied in the following order: (a) to all expenses of ti,t. salt,, including, but not limited to,
reasonable attorneys' fees; (b) to all sums secured by this Sccurit Instrument; and (c) any excess to
the person or persons legally entitled to it.
23. Release. Upon payment of all sums secured by this Scct~ it' Instrument, Lender shall release this
Security Instrument. Borrower shall pay any recordation costs. I c,~dcr may charge Borrower a fee for
releasing this Security Instrument, but only if the fee is paid to zt i I,i~d party for services rendered and the
charging of the fee is permitted under Applicable Law.
24. Waivers. Borrower releases and waives all rights m~dcr m~d by virtue of the homestead
exemption laws of Wyoming.
(~J~-6 A(W Y)
Page 13 of 15
Form 3051 1/01
BY SIGN1NG BELOW, Borrower accepts and agrees to ~l,,, Icrms and covenants contained in this
Security Instrument and in any Rider executed by Borrower and rc~ ,~,lcd with it.
Witnesses:
~/(~' ' ' (:~~ .... (Seal)
Gene 1~_ ~ -555`/ -Borrower
"-~X-~o ¢',. . 13_ ~!'t. ~x~ (Seal)
Peggy ' ~ -Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(Seal)
-Borrower
(~6A(WY}
Page14 of 15
Form 3051 1101
STATE OF WYOMING,
The foregoing instrument was acknowledged before me this
by Gene A Eppler and Peggy Eppler
Lincoln
:, ~t~ber 19th,
County ss:
2004
My Commission Expires:
! UNC0m ~ .' .........
Notory Pubhc
/
/
,j
(~-6A(WY)
Page 15 of 1 5
Form 3051 1101
FIXED/ADJUSTABLE
(One-Year Treasury Index - Ra~c (
RIDER
0001609101
THIS FIXED/ADJUSTABLE RATE RIDER is made this day' of November 2 0 0 4
and is incorporated into and shall be deemed to amend and supl I,.~tcnt the Mortgage, Deed of Trust, or
Security Deed (the "Security Instrument") of the same date [2ix~,~, I-,x thc undersigned ("Borrower") to
secure Borrower's Fixed/Adjustable Rate Note (the "Note") to
Major Mortgage
("Lender") of the same date and covering the property described i t~c Security lnstrumen! and located at:
154 Cougar Lane, Bedford, .. 1~
[Property Address]
THE NOTE PROVIDES FOR A CHANGE IN BORROWER'S FIXED INTEREST
RATE TO AN ADJUSTABLE INTEREST RATE. THE NOTE UMITS THE
AMOUNT BORROWER'S ADJUSTABLE INTERES] RATE CAN CHANGE AT
ANY ONE TIME AND THE MAXIMUM RATE BORROWER MUST PAY.
ADDITIONAL COVENANTS. In addition to the covena.~l., a,~d agreements made in the Security
Instrument, Borrower and Lender further covenant and agree as fi~ll ,xxs'
A. ADJUSTABLE RATE AND MONTHLY PAYMENT CH A";{; I~h
The Note provides for an initial fixed interest rate of 4. '~ %. The Note also
provides for a change in the initial fixed rate to an adjustable inte~ ?,,1 ra~c, as follows:
4. ADJUSTABLE INTEREST RATE AND MONTHLY PAY~IIiN'I' CliANGES
(A) Change Dates
The initial fixed interest rate I will pay will change to an adits-labl0 interest rate on the first day of
January 2010 , and the adjustable itllt..~ cM rate I will pay may change on that
day every 12th month thereafter. The date on which my initial li,.cd i,ttcrcst rale changes to an adjustable
interest rate, and each date on which my adjustable interest rate c,,t,t,t chauge, is called a "Change Date."
MULTISTATE FIXED/ADJUSTABLE RATE RIDER - ONE-YEAR TREASURY INDEX- Single Family -
Fannie Mae Uniform Instrument
(~®-843R (0006).01 For~_,31~82 1/01 '-,,.
Page 1 of 4 Initials-~/~_./
VMP MORTGAGE FORMS - (800)521-7291
(B) The Index
Beginning with the first Change Date, my adjustable imc~. t ~:~. will be based on an Index. The
"Index" is the weekly average yield on United States Treasury s,~, ~ ~,., ~tdjusted to a constant maturity of
one year, as made available by the Federal Reserve Board. The ~ ~ ~ ', ~'~}t Index figure available as of the
date 45 days before each Change Date is called the "Current Indc:, '~
If the Index is no longer available, the Note Holder will ~1 .... : ~ new index that is based upon
comparable information. The Note Holder will give me notice t,l' ii ti~ ,.I ~, ,icc.
(C) Calculation of Changes
Before each Change Date, the Note Holder will cal~h,~. ~t~x new interest rate by adding
Two and three quarters percentage points
( 2. 750 %) to the Current Index. The No~c I I~ l~i,.l x% ill then round the result of this
addition to the nearest one-eighth of one percentage point (0. 127.. ~ ';t~bjcct to the limits stated in Section
4(D) below, this rounded mnount will be my new interest rate m~il ~1~. ~cxt Change Date.
The Note Holder will then determine the mnount of the nt~,~}~l, t,:~> mom that would be sufficient to
repay the unpaid principal that I am expected to owe at the Chan:.,. I l=tl,, ill full on the Maturity Date at my
new interest rate in substantially equal payments. The result o1' ~l,i ~ ~tl~ t~l:lli<m will be the new amount of
~ny monthly payment.
(D) Limits on Interest Rate Changes
The interest rate I am required to pay at the firs~ ~ 1~.~:~:.,~ l)~te will not be greater than
9. 750 % or less than 2. 750 ' ,, I hereafter, my adjustable interest
rate will never be increased or decreased on any single Change I),t, t,,. ~m~re than two percentage points
from the rate of interest I have been paying for the preceding I~ ~ ,~rt~. ~ly interest rate will never be
greater than 9. ? 50 %. (E) Effective Date of Changes
My new interest rate will become effective on each Chan,~,c 1 ~: I will pay the amount of my new
monthly payment beginning on the first monthly payment date :tll..i it~,* t'h:mge Date until the amount of
my monthly payment changes again. (F) Notice of Changes
The Note Holder will deliver or mail to me a notice ofanx , t~:~.,,.~ i~ my initial fixed interest rate to
an adjustable interest rate and of any changes in my adjustable i~,~ ~ (.i i~ttc belk)re the effective date of any
change. The notice will include the amount of my monthly pay~.~! .t;,, i~,fi~rmation required by law to be
given to me and also the title and telephone number of a perso~ x,, I~. ~. ill '~mswer any question I may have
regarding the notice.
B. TRANSFER OF THE PROPERTY OR A BENEFICIAL lSx ~ i ~tl '-,'1 IN BORROWER
1. Until Borrower's initial fixed interest rate changes to :tt~ ~t, ti[I,t:~[)]c interest rate under the terms
stated in Section A above, Uniform Covenant 18 of the Securitx I~ t~ [t~,-~l >hall read as follows:
(~$43R (0006),01 Page 2 of 4 Form :t182 1/01
Transfer of the Property or a Beneficial Interest i, Bm'trover. As used in this Section
18, "Interest in the Property" means any legal or beneficial i,,tcr~-st in the Property, including,
but not limited to, those beneficial interests transferred i~ :~ b,~mt i'c,r deed, contract for deed,
installment sales contract or escrow agreement, the intent ,,I xxhich 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 linc Ih,,pcrty is sold or transferred (or if
Borrower is not a natural person and a beneficial intercs~ i~ l~rrower is sold or transferred)
without Lender's prior written consent, Lender may requi~, immediate payment in full of all
sums secured by this Security Instrument. However, this opt i t~lt ~h.~dl not be exercised by Lender
if such exercise is prohibited by Applicable Law.
If Lender exercises this option, Lender shall give ll,~,~x~cr notice of acceleration. The
notice shall provide a period of not less than 30 days li,,~ illc date the notice is given in
accordance with Section 15 within which Borrower must p:~, :tll sums secured by this Security
Instrument. If Borrower fails to pay these sums prior to l}~, ~'Xlfiration of this period, Lender
may invoke any remedies permitted by this Security I~..t~tlmcld without further notice or
demand on Borrower.
2. When Borrower's initial fixed interest rate changes to :,~ :tdjustable interest rate under the terms
stated in Section A above, Uniform Covenant t8 of the Securit~ I~-.l~umcm described in Section B1 above
shall then cease to be in effect, and the provisions of Uniform C~,x ctl:tt~t 18 of the Security Instrument shall
be amended to read as follows:
Transfer of the Property or a Beneficial Interest i,~ lb,-trover. As used in this Section
18, "Interest in the Property" means any legal or benefici..fl ~mcrcst in the Property, including,
but not limited to, those beneficial interests transferred i~ ~ I~,,~tl tbr deed, contract for deed,
installment sales contract or escrow agreement, the intent ,,1' 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 lhc I'i,~l)crty is sold or transferred (or if
Borrower is not a natural person and a beneficial interest ~t }l,~rrt~wer is sold or transferred)
without Lender's prior written consent, Lender may requi~, i~mnedime payment in full of all
sums secured by this Security Instrument. However, this t)pti,~l~ ~hall not be exercised by Lender
if such exercise is prohibited by Applicable Law. Lender ~tl-.,~ q~zdl not exercise this option if:
(a) Borrower causes to be submitted to Lender informatio~ ~c~luircd by Lender to evaluate the
intended transferee as if a new loan were being made t,, Ibc transferee; and (b) Lender
reasonably determines that Lender's security will not be il~j,:tilcd by the loan assumption and
that the risk ora breach of any covenant or agreement in thi. 5;cctH ity Instrument is acceptable to
Lender.
To the extent permitted by Applicable Law, Lendc~ ~;:~x' charge a reasonable fee as a
condition to Lender's consent to the loan assumption. Lend,.~ :tl'~ ml.~y require the transferee to
sign an assumption agreement that is acceptable to Lender zttt~l that obligates the transferee to
keep all the promises and agreements made in the N~, :~d in this Security Instrument.
Borrower will continue to be obligated under the Note ,t~d dfis Security Instrument unless
Lender releases Borrower in writing.
If Lender exercises the option to require immediate i,:t,.lltcnl in full, Lender shall give
Borrower notice of acceleration. The notice shall provide a i,~.~ i,,d ol' not less than 30 days from
the date the notice is given in accordance with Section 15 x,.ill~ill which Borrower must pay all
(~<~843 R (0006).01
Page 3 of 4
Form 3'182 '1/0'1
sums secured by this Security Instrument. If Borrower ~:.~ t~, pay these sums prior to the
expiration of this period, Lender may invoke any remedies i,c~ ~mtcd by this Security Instrument
without further notice or demand on Borrower,
BY SIGNING BELOW, Borrower accepts and agrees to tl~ Icrms and covenants contained in this
Fixed/Adjustable Rate Rider.
(Seal) '"""534'- (Seal)
-Borrower P~' qcj ~: [ '~ £ -Borrower
(Seal) (Seal)
-Borrower -Borrower
(Seal) (Seal)
-Borrower -gorrowel
(Seal) (Seal)
-Borrower -Borrower
(~11~843R (0006).01 Page 4 of 4 Form 3182 1101