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201202472
<br />when the notice is given. In either event, or if Lender acquires the Progerty under Section 22 or otherwise,
<br />Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exce�
<br />the amounts unpaid under the Note or tlus Security Instrument, and (b) any other of Bortower's rights (other than
<br />the right to any refimd of unearned premiums paid by Bonower) under all insutance policies covering the
<br />� Pro , u�sofar as such rights aze applicable to the coverage of the Properiy. Lender may use the insurance
<br />either to repair or restore the Property or to pay amounts u�aid under the Note or this Security
<br />ment, whether or not then due.
<br />6. Occapancy. Bonower shall occupy, establish, and use the Ptoperiy as Botrower's principal
<br />residence within 60 days after the execution of ttus Security Instrument and shall contmue to �cupy the Property
<br />as Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise ag� s
<br />in writing, which consent shall not be unreasonably withheld, or imless extenuating circuuBtances eacist wluch are
<br />beyond Borrower's control.
<br />7. Preserv�tion, M�intenance and Protection of the Pro�rty; Inspections. Borrower shall not
<br />desiroy, damage or impair the Properiy, allow the Properly to detenorate ar commit waste on the Property.
<br />Whether or not Borrower is residing in the Progerty, Borrower shall maintain the Property in order to prevent the
<br />Property from deteriorating or �creasing in value due to its condition. Unless it is determined pursuant to
<br />Secrion 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Propecty if
<br />damaged to avoid fiuther deterioration or damage. If insurance or condemnation proceeds are paid 'm conn�tion
<br />with damage to, or the taking o� the Property, BorrowES shall be responsible for repairing or restoring the
<br />Property only if Lender has released proceeds for such purposes. Lender �y disburse proceeds for the re�irs
<br />and restoration in a single pay�nt or in a series ofprogress payments as the work is completed. If the insura.nce
<br />or condemnation proceeds are not sufficient to repau or restore the Property, Borrower is not relieved of
<br />Borrower's obligation for the completioa of such repa�r or restorarion.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has
<br />reasonable cause, Lender �my inspect the interior of the improvements on the Property. Lender shall give
<br />Borrower notice at the tirr�e of or pnor to such an interior inspection specifying such reasonable cause.
<br />8. Borrower's Loan Application. Borrower sl�all be in default if, during the Loan application
<br />process, Borrower or any persons or eaUties acting at tUe direction of Borrower or with Borrower's �owledge or
<br />consent gave �terially false, misleading, or inaccurate information or statements to I.ender (or failed to provide
<br />Lender witU material mformation) in connection with the Loan. Material representations mclude, but are not
<br />limited to, representations concernin� Borrower's occupancy of the Property as Borrower's principal residence.
<br />9. Protection of Lender's Interest in the Property and Rights Under this Security Instrume�. If
<br />(a) Borrower fails to perForm the covenants and agree�nts contained in this Security Instrument, (b) there is a
<br />le�al proceeding that aught si�nificanfly affect Lender's interest in the Property and/or rights u�er this Security
<br />Iastrument (such as a proceeduig in bankruptcy, probate, for condemnation or forfeiture, for enforcement ofa lien
<br />which may attain priority over this Security Instrument or to enforce laws or re�ulations), or (c) Borrower has
<br />abandoned the Property, then Lender a�y do and pay for whatever is reasonable or appropnate to protect
<br />Lender's interest in the �rogeriy and ri�hts under this Security Instrument, including protectmg andlor assessing
<br />the value of the Progerty, and securing aadlor repairing the Property. Lender's achons can include, but are not
<br />limited to: (a) paying any sums secured by a lien which has prionty over this Security Instrument; (b) appearing
<br />in court; and (c) payuig reasonable attorneys' fees to protect its interest in the Property and/or rights under this
<br />Security Instrument, including its secured position in a banlQUptcy proceeding. Securmg the Property includes,
<br />but is not limited to, entering the Property to malce repans, change locks, replace or b�rd up doors and wmdows,
<br />drain water from pipes, eliminate bwlding or other code violarions or dangerous conditions, and have trtilities
<br />turned on or off. Although Leader may take action uader this Section 9, Leader does not have to do so and is not
<br />under any duty or obligation to do so. It is agreed that Lender incurs no liability for not taldng any or all acrions
<br />suthorized under t�is Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall become additional debt of Bonower
<br />secured by this Security Instrument. These amounts shall beaz interest at the Note rate from the date of
<br />disbursement and shall be payable, with such interest, upon notice from Lender to Botrower requesting payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply with all the provis�ons of the l�se.
<br />If Bonower acquires fee tide to the Property, the leasehold and the fee htle shall not �rge unless Lender agrees
<br />to the merger in writing.
<br />10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the
<br />Loaq Borrower shall pay the premiums required to maintaia the Mortgage Insurance in effect. If, for any reason,
<br />the Mortgage Insurance coverage required by Lender ceases to be ava�lable from the mortgage insurer that
<br />previously provided such insurance and Borrower was required to make separately designated payments toward
<br />the �remiums for Mortgage Insurance, Borrower shall pay tUe premiumsrequired to obtain coverage suhstantially
<br />eqwvalent to the Mortgage Insurance previously in effect, at a cost substanaally equivalent to the cost to
<br />Borrower of the Mortgage Iusurance previously in effect, from an alternate mortgage u�uer selected by Lender.
<br />If subst�ntially equivalent Mortgage Insurance coverage is not available, Borrower shall continue to pay to
<br />Lender the amount of the separately designated payments that were due when the insurance coverage ceased to be
<br />in effect. Lender will accept, use and retain these payments as a non-refundable loss reserve in lieu of Mortga�e
<br />Insurance. Such loss reserve shall be non-refimdable, notwithstanding the fact that the Loan is ultimately paid m
<br />full, and Lender shall aot be required to pay Borrower any interest or �rnings on such loss reserve. Lender can
<br />no longer require loss reserve payments if Mortgage Insurance coverage (in the amount and for the period that
<br />Lender requues) provided by an insurer selected by Lender again beco�s available, is obtained, and Lender
<br />requires separately designated payments toward the premiums for Mortgage Insurance. If Lender required
<br />Mortgage Insurance as a condition of making the Loan and Borrower was reqwred to �nalce separately designated
<br />payments toward the premiums for Mortga�e Insurauce, Borrower shall pay the premiums reqwred to mamtaw
<br />Mortgage Insurance m effect, or to provide a norrrefundable loss reserve, unril Lender's requirement for
<br />Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing far
<br />sucl� termination or until termination is required by�plicable Law. Nothing in this S�tion 10 affects
<br />Borrower's obligation to pay interest at the rate provi in the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purcbases the Note) for certain losses it may
<br />incur if Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortga�e Insurance.
<br />NEBRASKA—Single Family—Fannie MaeJFreddie Mac iTNIFORM INS1'RUMENT (A�RS) Form 30� 1/01 (page 5 of 9 pages)
<br />12439.CV (9(11) l 1-1657 Creative Tbinldag, Inc.
<br />GOTO(�30a325)
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