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201200446
<br />fails to pay the amount due for an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and
<br />Borrower sha11 then be obligated under Section 9 to repay to Lender any such amount. Lender ma.y revoke the waiver a.s to any
<br />or all Escrow Items at a.ny time by a notice given in accordance with Section 15 and, upon such revocation, Borrower sha11 pay
<br />to Lender a11 Funds, and in such amounts, thax are then required under this Section 3.
<br />Lender may, at any time, collect and hold Funds in an amount (a) sufflcient to permit Lender to apply the Funds at the
<br />time specif'ied under RESPA, a.nd (b) not to exceed the maximum amount a lender can require under RESPA. Lender shall
<br />estimate the amount of Funds due on the basis of current da.ta. and reasona.ble estimaies of expenditures of future Escrow Items
<br />or otherwise in accordance with Applicable Law.
<br />The Funds shall be held in an institution whose deposits are insured by a federal agency, instrumentaliry, or entity
<br />(including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan Bank. Lender sha11
<br />apply the Funds to pay the Escrow Items no later tha.n the time specif'ied under RESPA. Leader shall not charge Bonower for
<br />holding and applying the Funds, annually analyzing the escrow account, or vetifying the Escrow Items, unless Leader pays
<br />Borrower interest on the Funds and Applicable Law permits Lender to ma.ke such a charge. Unless an agreemeut is made m
<br />writing or Applicable Law requires interest to be paid on the Funds, Lender shall not be required to pay Bonower any interest
<br />or earnings on the Funds. Borrower and Lender can agree in writing, however, that interest shall be patd on the Funds. Lender
<br />shall give to Bonower, without charge, an annual accounting of the Funds as required by RESPA.
<br />If there is a sur�lus of Funds held in escrow, as defined under RESPA, Lender shall account to Borrower for the excess
<br />funds in accorda.nce with RESPA. If there is a shorta.ge of Funds held in escrow, as defined under RESPA, Lender shall notify
<br />Bonower as required by RESPA, and Bonower shall pay to Lender the amount necessary to make up the shortage in
<br />accordance with RESPA, but in no more than 12 monthly payments. If there is a deficiency of Funds held in escrow, as
<br />defined under RESPA, Lender shall notify Bonower as required by RESPA, and Borrower shall pay to Lender the amount
<br />necessary to ma.ke up the deficiency in accordance with RESPA, but in no more than 12 monthly payments.
<br />Upoa payment in full of a11 sums secured by this Securiry Instrument, Lender sha11 promptly refund to Borrower any
<br />Funds held by Lender.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, cha.rges, fines, and impositions attributable to the
<br />Property which can atta.in prioriry over this Securiry Instrument, leasehold payments or ground rents on the Properry, if any,
<br />and Communiry Associaxion Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower
<br />sha11 pay them in the ma.nner provided in Section 3.
<br />Borrower sha11 promptly discharge any lien which has priority over this Securiry lnstrument unless Bonower: (a) agrees
<br />in writing to the payment of the obligation secured by the lien in a ma.nner acceptable to Lender, but only so long a.s Bonower
<br />is performing such agreement; (b) contests the lien m good faith by, or defends against enforcement of the lien in, legal
<br />proceedings which in Lender's opinion operate to revent the enforcement of the lien while those proceedin�gs are pending, but
<br />only until such proceedings are concluded; or (c� secures from the holder of the lien an agreement sat�sfactory to Lender
<br />subordinazing the lien to this Securiry Instrument. If Lender determines thax any part of the Property is subject to a lien which
<br />can atta.in prioriry over this Securiry Instrument, Lender ma.y give Bonower a notice identifying the Iten. Within 10 days of
<br />the daxe on which thax notice is given, Borrower shall satisfy the lien or take one or more of the actions set forth above in this
<br />Section 4.
<br />Lender may require Bonower to pay a one-time charge for a real estate ta�c verif'ication and/or reporting service used by
<br />Lender in connection with this Loan.
<br />5. Property Insurance. Borrower sha.11 keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but not
<br />limited to, earthquakes and floods, for which Lender requires insurance. This msurance shall be ma.intained in the amounts
<br />(including deductible levels) and for the periods that Lender requires. Whax Lender requires pursuant to the preceding
<br />sentences can change during the term of the Loan. The insurance carrier providing the insura.nce shall be chosen by Bonower
<br />subject to Lender's right to disapprove Borrower's choice, which right sha11 not be exercised unreasona.bly. Lender may
<br />require Bonower to pay, in connection with this Loan, either: (a) a one-tune charge for flood zone determination, certif'ication
<br />and tracking services; or (b) a one-time charge for flood zone determination and certification services and subsequent charges
<br />each time remappings or similar changes occur which reasona.bly might affect such determination or certif'ication. Bonower
<br />shall also be responsible for the payment of any fees imposed by the Federal Emergency Management Agency in connection
<br />with the review of any flood zone determmaiion resulting from an objection by Borrower.
<br />If Borrower fails to maintain any of the coverages described above, Lender ma.y obtain insuraace coverage, at Lender's
<br />option and Borrower's expense. Lendet is nnder no obligation to purchase any particular rype or amount of coverage.
<br />Therefore, such coverage shall cover Lender, but might or might not protect Bonower, Borrower's equity in the Property, or
<br />the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was
<br />previously ia effect. Borrower acknowledges that the cost of the insurance coverage so obta.med might signif'icantly exceed the
<br />cost of insurance that Borrower could ha.ve obtained. Any amounts disbursed by Lender under this Section 5 shall become
<br />additional debt of Borrower secured by this Securiry Instrument. These amounts sha11 bear interest at the Note rate from the
<br />da.te of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting payment.
<br />All insurance policies required by Lender and renewals of such policies sha11 be subject to Lender's nght to disapprove
<br />such policies, shall include a standard mortgage clause, and shall name Lender as mortga�ee and/or as an addirional loss payee.
<br />Lender sha11 have the right to hold the policies and renewal certif'icates. If Lender requttes, Borrower sha.11 promptly give to
<br />Lender all receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage, not otherwise
<br />required by Lender, for damage to, or destruction of, the Property, such policy shall include a sta.ndard mortgage clause and
<br />sha11 name Lender as mortgagee and/or as an additional loss payee.
<br />In the event of loss, Bonower sha11 give prompt notice to the insurance ca.rrier and Lender. Lender ma.y make proof of
<br />loss if not made promptly by Bonower. Unless Lender and Bonower otherwise agree in writing, any insurance proceeds,
<br />whether or not the underlying insutance was required by Lender, shall be applied to restoratioa or repair of the Property, if the
<br />restoration or repair is economically feasible and Lender's securiry is not lessened. During such repair and restoration period,
<br />Lender shall have the right to hold such insurance proceeds until Lender has had an opportuairy to inspect such PropeRy to
<br />ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly.
<br />Lender ma.y disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments as the
<br />work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be pa.id on such insurance
<br />proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or
<br />other third parties, retained by Borrower shall not be paid out of the insurance proceeds and sha11 be the sole obhgation of
<br />Bonower. If the restoration or repair is not economically fea.sible or Lender's security would be lessened, the insurance
<br />proceeds sha11 be applied to the sums secured by this Securiry Instrument, whether or not then due, with the excess, if any,
<br />paid to Bonower. Such insurance proceeds sha11 be applied in the order provided for in Section 2.
<br />If Bonower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related
<br />matters. If Borrower does not respond within 30 da.ys to a notice from Lender that the msurance cartier has offered to settle a
<br />claim, then Lender ma.y negotiaie and settle the claim. The 30-day petiod will begin when the notice is given. In either event,
<br />or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Bonower's rights to
<br />any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Securiry Instrument, and (b) any
<br />other of Borrower's rights (otber than the right to any refund of unearned premiums paid by Borrower) under atl insurance
<br />�olicies covering the Property, insofar as such rights are applica.ble to the coverage of We Property Lender may use the
<br />msurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or th�s Securiry Instrument,
<br />whether or aot then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 da.ys
<br />after the execution of this Securiry Instrument and shall continue to occupy the Property as Borrower's principal residence for
<br />at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be
<br />uareasonably withheld, or unless extenuaxing c�rcumstances exist which are beyond Bonower's control.
<br />NEBRASKA—Single Family—Fannie Mae/Freddie Mac UNIFORM INSTRUMENT
<br />Bankers Systems, Inc., St. Cloud, MN Form MD-1-NE 8/17/2000
<br />F rm 3028 1 /01
<br />(PaBe 3 of 7 pa8es) " e Uv
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