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<br />assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amvunts unpaid
<br />under the Note or this Security Instrument, and (b) any other of Borrower's rigl�ts (other than the right to any refund
<br />of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights
<br />are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or restore thc
<br />Property or to pay amounts unpaid under the Note or this Security Insd•ument, whether or not then due.
<br />6. Occupancy. Borrower shall occupy, eslablish, and use the Praperty as E3c�rrower's principal residence
<br />within 60 days after the execution of this Security [nstrument and shall continue to occupy the Property as Borrower's
<br />principal residence for at least one year after the date of occupancy, unless Lender otherwise a�,nees in writing, which
<br />consent shall not be unreasonably withheld, or unless exlenuating circumstances exist which are beyond Barrower's
<br />conteol.
<br />7. Preservation, 1Vlaintenance and Protect►on of the Property; Inspections. Borrower shall not destroy,
<br />damage or impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not
<br />Borrower is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from
<br />deteri�rating or decreasing in value due to its condition. Uniess it is determined pursuant to Section 5 that repair or
<br />restoration is not econotnically feasible, f3orrower shall promptly repair the Property if damaged to avoid further
<br />deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking
<br />of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released
<br />proceeds for such purposes. Lender may disburse proceeds for the repairs and rzstoration in a single payment or in
<br />a series of progress payments as the work is cumpleted. If the insurance or condemnation proceeds are not sufticient
<br />to repair or restore the Properly, Borrvwer is not relieved of Borrower's obligation lor the compfetion o1'such repair
<br />or restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause,
<br />Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time
<br />of or prior to such an interior inspection specifying such reasonable cause.
<br />8. Borrower°s Loan Application. Borrower shall be in default if, during the Loan application process,
<br />Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave
<br />materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender with
<br />material information) in connection with the Loan. Material represenkations include, but are not limited to,
<br />representations concerning Borrower's occupancy of the Property as Borrower's princi�al residence.
<br />9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If (a)
<br />Borrower fails to perform the covenants and agreements contained in this Security Instrtunent, (b) there is a legal
<br />proceeding that might signiiicantly affect Lendcr' s interest in the Property and/or rights und�r this Security Instrument
<br />(such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may
<br />attain priority over this Security [nstrument ar to enforce laws or regulations), or (c) I3orrawer has abandoned thc
<br />Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the
<br />Property and rights under this Security [nstrument, including protecting and/or assessing the value of the Property,
<br />and securing and/or repairing the Property. Lender's actions can include, but are not limited ta (a) paying any sums
<br />secured by a lien which has priority over this Security Instrument; (b) appcaring in court; and (c) paying reasonable
<br />attorneys' fees to protect its interest in the Property and�or rights under this Security Instrument, including its secured
<br />position in a bankruptcy proceeding. Securing the Property includes, but is not limited to, entering the Property to
<br />make regairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or
<br />other code violations or dangerous conditions, and have utilities turned on or oi'£ Although Lender may take action
<br />under this Section 9, Lender does not have to do so and is not under any duty �r obligation to do so. lt is agreed that
<br />Lender incues no liability tor not taking any or all actions authorized under this Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall Uecome additional debt of 13orrowcr secured by this
<br />Security lnstrument. These amounts shall bear interest at the Note rate from the date af disbursement and shall be
<br />payable, with such interest, upon notice From Lender to Borrower requesting payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease.
<br />Borrower shall not surrender the leasehold estate and interests herein conveyed or terminate or cancel the ground lease.
<br />Borrower shall not, without the express written consent of Lender, alter or amend the ground lease. If Borrower
<br />acquires fee title to the Property, the (easehold and ihe fee title shall not merge unless Lender agrees to the merger
<br />in writing.
<br />10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan, Borrower
<br />shall pay the premiums required tc� maintain the Mortgage ]nsurance in effect. If, for any reason, the Mortgage
<br />[nsurance coverage required by Lender ceases to be available from the mortgage insurcr that previously provided such
<br />insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage
<br />Instirance, Borrower shall pay the premiums reyuired to obtain coverage substantially equivalent to the Mortgage
<br />Insurance previously in effect, at a cost substantially equivalent to the cost to I3orrower of the Mortgage Insurance
<br />pr�viously in effect, from an alternate mortgage insurer selected by Lc;nder. If sub5tantially equivalent Mortgage
<br />lnsurance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated
<br />payments that were due when the insurance coverage ceased to be in effect. Lender will accept, use and retain these
<br />payments as a non-rcfundable loss reserve in lieu of Mortgagc insurance. Such loss rescrve shall be non-refundahle,
<br />notwithstanding the fact that tiiz Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any
<br />interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance
<br />coverage (in the amount and for the period that Lendzr reyuires) provided by an insurer selected by Lender again
<br />becomes available, is obtained, and Lender requires separately designated payments toward the premiums for
<br />Mortgage Insueance. If Lender reyuired Mortgage lnsurance as a condition of making the Loan and Borrower was
<br />required to make separately designated payments toward the premiums for Mortgage Insurance, E3orrower shall pay
<br />NEBRASKA—Single Family—Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Doci6tagic�ie'�+una�
<br />Form 3028 1/01 Page b of 11 www.docmagic.com
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