THIS PLANNED UNIT DEVELOPMENT RIDER is made this ______________ day of _______________________,

______, and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust, or Security Deed

(the “Security Instrument”) of the same date, given by the undersigned (the “Borrower”) to secure Borrower’s Note to

_______________________________________________________________________________ (the “Lender”) of the same

date and covering the Property described in the Security Instrument and located at:

__________________________________________________________________________________________________

[Property Address

The Property includes, but is not limited to, a parcel of land improved with a dwelling, together with other such parcels and certain

common areas and facilities, as described in ______________________________________________________________

_______________________________________________________________________________________________

________________________________________________________________________________________________

(the “Declaration”). The Property is a part of a planned unit development known as _________________________________

________________________________________________________________________________________________

[Name of Planned Unit Development]

(the “PUD”). The Property also includes Borrower’s interest in the homeowners association or equivalent entity owning or

managing the common areas and facilities of the PUD (the “Owners Association”) and the uses, benefits and proceeds of

Borrower’s interest.

Lender further covenant and agree as follows:

Documents. The “Constituent Documents” are the (i) Declaration; (ii) articles of incorporation, trust instrument or any

equivalent document which creates the Owners Association; and (iii) any by-laws or other rules or regulations of the

Owners Association. Borrower shall promptly pay, when due, all dues and assessments imposed pursuant to the

Constituent Documents.

carrier, a “master” or “blanket” policy insuring the Property which is satisfactory to Lender and which provides insurance

coverage in the amounts (including deductible levels), for the periods, and against loss by fire, hazards included within

the term “extended coverage,” and any other hazards, including, but not limited to, earthquakes and floods, for which

Lender requires insurance, then: (i) Lender waives the provision in Section 3 for the Periodic Payment to Lender of the

yearly premium installments for property insurance on the Property; and (ii) Borrower’s obligation under Section 5 to

maintain property insurance coverage on the Property is deemed satisfied to the extent that the required coverage is

provided by the Owners Association policy.

What Lender requires as a condition of this waiver can change during the term of the loan.

Borrower shall give Lender prompt notice of any lapse in required property insurance coverage provided by

the master or blanket policy.

In the event of a distribution of property insurance proceeds in lieu of restoration or repair following a loss to

the Property, or to common areas and facilities of the PUD, any proceeds payable to Borrower are hereby assigned and

shall be paid to Lender. Lender shall apply the proceeds to the sums secured by the Security Instrument, whether or not

then due, with the excess, if any, paid to Borrower.

Owners Association maintains a public liability insurance policy acceptable in form, amount, and extent of coverage to

Lender.

Borrower in connection with any condemnation or other taking of all or any part of the Property or the common areas

and facilities of the PUD, or for any conveyance in lieu of condemnation, are hereby assigned and shall be paid to

Lender. Such proceeds shall be applied by Lender to the sums secured by the Security Instrument as provided in Section

11.

                  E. Lender’s Prior Consent. Borrower shall not, except after notice to Lender and with Lender’s prior written

consent, either partition or subdivide the Property or consent to: (i) the abandonment or termination of the PUD, except

for abandonment or termination required by law in the case of substantial destruction by fire or other casualty or in the

case of a taking by condemnation or eminent domain; (ii) any amendment to any provision of the “Constituent

Documents” if the provision is for the express benefit of Lender; (iii) termination of professional management and

assumption of self-management of the Owners Association; or (iv) any action which would have the effect of rendering

the public liability insurance coverage maintained by the Owners Association unacceptable to Lender.

                   F. Remedies. If Borrower does not pay PUD dues and assessments when due, then Lender may pay them.

Any amounts disbursed by Lender under this paragraph F shall become additional debt of Borrower secured by the

Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear interest

from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower

requesting payment.

BY SIGNING BELOW, Borrower accepts and agrees to the terms and provisions contained in this PUD Rider.

_____________________________________________________(Seal)

-Borrower

_____________________________________________________(Seal)

-Borrower