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<br />      					ADJUSTABLE RAT� IZIDER     					-
<br />			THIS ADNSTABLB RATE 1tI�ffit�msde thls   �+enty 3econd   	d�y of
<br />       							and ia incorpocatod into and sb�al be damod to�meend
<br />  		August   	. 1997  	�     							M
<br />   		and �ipplement the Mott�age, Deod of Tnut or Securlty Deod ("Se�uitY Inss�ument ) of
<br />   		the e�me d�te�ven by tl�sc undersignod ("Borrower") to exure Homower's Note ("Naoe")
<br />   		w
<br />			Principal Reaidential Mortgage,  Inc.,  an Iowa  Corporation
<br />   		(tve "L�ender") of tt�e e�me dste ud covering tbe Pr+operiY describod ia the Secudty
<br />   		Inahument ud locat�d �t:
<br />							1709 N Tayior   		�
<br />-       						4xand Ie�l�nd��NE 698�  � �
<br />    			THE NOTE CONTAINS PROVISIONS ALLOWINCi FOR CHANGES IN
<br />    			THE INTEREST MTE AND THE MONTHLY  PAYMENT. THE NOTE
<br />    			CMHANO AT  ANYu4NE HTIME�AND RE  MAXIINUM RA'TE 'fHE
<br />    			dORROWER MUST PAY.
<br /> 			ADDITIONAY. COVENANTS. In addition w the covemwts anci agtbements m�ule in
<br />    		��ricy I�m�nt,gorrower u�d Lender fucther cove�und agroe�a followa:
<br />    		1NTRRgb"1~YtATE�,AND MONTALY PAYIMENT CA.AlNGES
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<br />     		"Index  � thc�r�xlcly average yield o�Uwitod States Trais�ry Securitks�djustod to a
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