Modifications to Instrument

EXHIBIT B

MODIFICATIONS TO INSTRUMENT

(Section 8 HAP Contract)

1. The following new Section is added to the Instrument after the last numbered Section:

"[47.] SECTION 8 HAP CONTRACT.

(a) Borrower is a party to that certain Housing Assistance Payments Contract between the Borrower and the United States Department of Housing and Urban Development ("HUD") identified as HAP Contract Number ______dated ______, as subsequently amended (the "HAP Contract"), for the Mortgaged Property (HUD Project No. ______), which HAP Contract has been collaterally assigned to Lender and Fannie Mae pursuant to that certain Assignment of Housing Assistance Payments Contract (the "Assignment of HAP Contract") from Borrower to Lender and Fannie Mae.

(b) Borrower represents that Borrower has at all times been and presently is in full compliance with the HAP Contract and that Borrower has not in the past defaulted and is presently not in default under the HAP Contract.

(c) Borrower acknowledges and agrees that any default, event of default, or breach (however such terms may be defined) under the HAP Contract or the Assignment of HAP Contract shall be an Event of Default under this Instrument and that any costs, damages or other amounts, including reasonable attorneys' fees incurred by Lender as a result of such an Event of Default by Borrower, including amounts paid to cure any default, event of default or breach under the HAP Contract or under the Assignment of HAP Contract, shall be an obligation of Borrower and become a part of the Indebtedness secured by this Instrument."

2. All capitalized terms used in this Exhibit not specifically defined herein shall have the meanings set forth in the text of the Instrument that precedes this Exhibit.

BORROWER'S INITIALS: ______

Section 8 HAP Contract Modifications to Instrument Form 4066 11/01 Page B-1