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<br />required to pay Borrower any interest or earnings on tha Funds. Borrower and Lender can agree in writing, however,
<br />that interest shell be paid on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the
<br />Funds as required by RESPA.
<br />If there is e surplus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the
<br />excess funds in eccordence with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA,
<br />Lender shall notify Borrower as required by RESPA, and Borrower shall pay to Lender the amount necessary to make up
<br />the shortage in accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds
<br />held in escrow, as defined under RESPA, Lender shall notify Borrower as required by RESPA, end Borrower shall pay to
<br />Lender the amount necessary to make up the deficiency in accordance with RESPA, but in no more than 12 monthly
<br />payments.
<br />Upon payment in full of all sums secured by this Sacurity Instrument, Lender shall promptly refund to Borrower any
<br />Funds held by Lender.
<br />4. Charges; Liens. Borrower shall pay ell taxes, assessments, charges, fines, end impositions ettributable to the
<br />Proparty which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if
<br />any, and Community Association Dues, Fees, and Assessments, if any. To the extent thet these items are Escrow
<br />Items, Borrower shall pay them in the mannar provided in Section 3.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a)
<br />agrees in writing to the payment of the obligetion secured by the lien in e menner acceptable to Lender, but only so long
<br />as Borrower is performing such agreement; (b) contests the lien in good faith by, or defends egeinst enforcement of the
<br />lien in, legal proceedings which in Lender's opinion operate tq- prevent the enforqement of the lien while those
<br />proceedings are pending, but only until such proceedings ara concluded; or lc) secures from the holder of the Ifen an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determfnas thet any part
<br />of the Property is subject to a lien which can attain priority over this Security Instrument, Lender may give Borrower a
<br />notice identifying the lien. Within 10 days of the date on which that notice is given, Borrower shall satisfy the lien or
<br />take one or more of the actions set forth above in this Section 4.
<br />Lender may require Borrower to pay a one-time charge for a real estata tax verification and/or reporting service
<br />used by Lender in connection with this Loan.
<br />5. Property Insurance. Borrower shell keep the improvements now existing or hereafter eracted on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but
<br />not limited to, earthquakes and floods, for which Lender requires insurance. This insurance shall be mainteined in the
<br />amounts (including deductible Ievels) and for the periods that Lender requires. What Lender requires pursuant to the
<br />preceding sentences cen change during the term of the Loan. The insurance carrier providing the insurance shall be
<br />chosen by Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised
<br />unreasonebly. Lender may require Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood
<br />zone determination, certification and tracking services; or (b) a one-time charge for fiood zone determination and
<br />certification services and subsequent charges each time remappings or similar changes occur which reasonably might
<br />affect such determination or certification. Borrower shall also be responsible for the payment of any fees imposed by
<br />the Federel Emergency Management Agency in connection with the review of any flood zone determination resulting
<br />from an objection by Borrower.
<br />If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at
<br />Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of
<br />coverage. Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in
<br />the Property, or the contents of the Property, against any risk, haaard or liability and might provide greater or lesser
<br />coverege than was previously in effect. Borrower acknowledges that the cost of the insurance coverage so obtained
<br />might significantly exceed the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender
<br />under this Saction 5 shall become additional debt of Borrower secured by this Security Instrument. These amounts
<br />shall bear interest et the Note rate from the date of disbursement and shall be payeble, with such interest, upon notice
<br />from Lender to Borrower requesting payment.
<br />All insurance policies required by Lender and tenewals of such policies shall ,be sWbjeot to, Lendar's right to
<br />disapprove such policies; shall include a standerd mortgage clause, and shell name Lender as mortgagee and/or as an
<br />add(tional loss payee. Lender shall have the right to hold the policies and renewal certificates. If Lender requires,
<br />Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form
<br />of insurance coverage, not otherwise required by Lender, for damage to, or destruction of, the Proparty, such policy
<br />shall include a standard mortgage clause end shall name Lender as mortgagee and/or as an additional loss payae.
<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make
<br />proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise egree in writing, any insurance
<br />proceeds, whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of
<br />the Property, if the restoration or repair is economically feasible and Lender's security is not lessened. During such
<br />repair and restoration period, Lender shell have the right to hold such insurance proceeds until Lender has had an
<br />opportunity to inspect such Property to ensure the work has been completed to Lender's setisfection, provided that
<br />such inspection shall be undertaken promptly. Lender may disbursa proceeds for the repairs end restoretion in a single
<br />payment or in a series of progress payments as the work is completed. Unless an agreement is made in writing or
<br />Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower
<br />any interest or earnings on such proceads. Fees for public adjusters, or othec third parties, reteined by Borrower shail
<br />not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not
<br />economically feasible or Lender's security would be lassened, the insurance proceeds shall be applied to the sums
<br />secured by this Security Instrument, whether or not then due, with the excess, if any, peid to Borrower. Such
<br />insurance proceeds shall be applied in the ordar provided for in Section 2.
<br />If Borrowar abandons the Property, Lender may file, negotiate and settle any available insurance claim and releted
<br />matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to
<br />settle a claim, then Lender may negotiate and settle the ciaim. The 30-day period will begin when the notice is given.
<br />In either evant, or if Lender acquires the Property under Section 22 or otherwisa, Borrower hereby assigns to Lender (a)
<br />Borrower's rights to any insurance proceads in en emount not to exceed the amounts unpaid under the Note or this
<br />Security Instrument, and (b) any other of Borrowar's rights (other than the right to any refund of unearned premiums
<br />peid by Borrower) under all insurance policies covering the Proparty, insofar as such rights are applicable to the
<br />coverege of the Property. Lender may use the insurance proceeds eithar to repair or restore the Property or to pay
<br />emounts unpaid under the Note or this Security Instrument, whether or not then due.
<br />6. Occupertcy. Borrower shall occupy,�esteblish, and usathe,Rro.perty a& Borrower's prinCipal residapce within 60
<br />days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal
<br />residence for at least one year after the date of occupancy, unless Lender otharwise agrees in writing, which consent
<br />shall not be unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or
<br />impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is
<br />residing in the Property, Borrower shall maintein the Property in order to prevent the Property from deteriorating or
<br />decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repeir or restoration is not
<br />economically feasible, Borrower shall promptly repair the Property if demaged to avoid further deterioration or damage.
<br />If insurance or condemnat(on proceeds are paid in connection with damage to, or the taking of, the Property, Borrower
<br />shall be responsible for repairing or restoring the Property only if Lender has released proceeds for such purposes.
<br />Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress peyments as
<br />NEBRASKA-Single Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT
<br />Page 3 of 7
<br />Form 3028 1/01
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