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LOAN NUMBER: 16600496 200311944 FHA Case No. 321 - 2306076 -729 — FHA MULTISTATE ADJUSTABLE RATE RIDER THIS ADJUSTABLE RATE RIDER is made this 8TH day of SEPTEMBER, 2003 , and is incorporated into and shall be deemed to amend and supplement the Mortgage, Deed of Trust or Security Deed ( "Security Instrument ") of the same date given by the undersigned ( "Borrower ") to secure Borrower's Note ( "Note ") to CHERRY CREEK MORTGAGE CO. , INC. (the "Lender ") of the same date and covering the property described in the Security Instrument and located at: 627 EAST MEMORIAL DRIVE GRAND ISLAND, NE 68801 [Property Address] THE NOTE CONTAINS PROVISIONS ALLOWING FOR CHANGES IN THE INTEREST RATE AND THE MONTHLY PAYMENT. THE NOTE LIMITS THE AMOUNT THE BORROWERS INTEREST RATE CAN CHANGE AT ANY ONE TIME AND THE MAXIMUM RATE THE BORROWER MUST PAY. ADDITIONAL COVENANTS. In addition to the covenants and agreements made in the Security Instrument, Borrower and Lender further covenant and agree as follows: INTEREST RATE AND MONTHLY PAYMENT CHANGES (A) Change Rate The interest rate may change on the first day of JANUARY, 2005 , and on that day of each succeeding year. "Change Date" means each date on which the interest rate could change. (B) The Index Beginning with the first Change Date, the interest rate will be based on an Index. "Index" means the weekly average yield on United States Treasury Securities adjusted to a constant maturity of one year, as made available by the Federal Reserve Board. "Current Index" means the most recent Index figure available 30 days before the Change Date. If the Index (as defined above) is no longer available, Lender will use as a new Index any index prescribed by the Secretary. As used in this Rider, "Secretary means the Secretary of Housing and Urban Development or his or her designee." Lender will give Borrower notice of the new Index. (C) Calculation of Interest Rate Changes Before each Change Date, Lender will calculate a new interest rate by adding a margin of TWO percentage point(s) ( 2.000 %) to the Current Index and rounding the sum to the nearest one - eighth of one percentage point (0.125 %). Subject to the limits stated in Paragraph (D) of this Rider, this rounded amount will be the new interest rate until the next Change Date. (D) Limits on Interest Rate Changes The interest rate will never increase or decrease by more than one percentage point (1.0 %) on any single Change Date. The interest rate will never be more than five percentage points (5.0 %) higher or lower than the initial interest rate. DoCUARGI 06/25/97 Pagel of 3 FHA Multistate ARM Rider - 12 -96 DOCUARGI.VTX 12/14/2000