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20120269� all sums due to the loan servicer for servicing activiries as defined in the Loan Agreement. Any amounts disbursed by Lender under this Paragraph shall become an additional debt of Borrower as provided for in the Loan Agreement and shall be secured by this Security Instrument. 6. Inspection. Lender or its agent may enter on, inspect or make appraisals of the Property in a reasonable manner and at reasonable times provided that Lender shall give the Boaower notice prior to any inspection or appraisal specifying a purpose for the inspection or appraisal which must be related to Lender's interest in the Property. If the Property is vacant or abandoned or the loan is in default, Lender may take reasonable action to protect and preserve such vacant or abandoned Property without notice to . the Borrower. 7. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any condemnation or other taking of any part of the Property, or for conveyance in place of condemnarion, shall be paid to Lender. The proceeds shall be applied first to the reduction of any indebtedness under the Second Note and this Security Instrument. Any excess proceeds over an amount required to pay all outstanding indebtedness under the Second Note and this Security Instrument shall be paid to the entity legally entitled thereto. 8. Fees. Lender may wllect fees and charges authorized by the Secretary for the Home Equity Conversion Mortgage Insurance Program. 9. Grounds forAcceleration ofDebt (a) Due and Payable. Lender may require payment-in-full of all sums secured by this Security Instrument iE (i) A Borrower dies and the Properiy is not the principal residence of at least one surviving Borrower; or (ii) All of a Borrower's title in the Property (or his or her beneficial interest in a trust owning all or part ofthe Property) is sold or otherwise transferred and no other Borrower retains dde to the Properiy in fee simple or retains a leasehold under a lease for not less than 99 years wlvch is renewable or a lease having a remaining period of not less than 50 years beyond the date of the 100th birthday of the youngest Borrower or retains a life estate (or retaining a beneficial interest in a trust with such an interest in the Property); or (iii) The Properiy ceases to be the principal residence of a Borrower for reasons other than death and the Property is not the principal residence of at least one other Borrower; or (iv) For a period of longer than 12 consecutive months, a Borrower fails to occupy the Properiy because of physical or mental illness and the Property is not the principal residence of at least one other Borrower; or (v) An obligation of the Borrower under this Security Instrument is not performed.. (b) Notice to Lender. Borrower shall norify the Lender whenever any of the events listed in Pazagraph 9(a)(ii)-(v) occur. (c) Notice to Borrower. Lender shall nodfy Bonower whenever the loan becomes due and payable under Pazagraph 9(a)(ii)-(v). Lender shall not have the right to commence foreclosure until Borrower has had 30 days after notice to either: (i) Correct the matter which resulted in the Security Instrument coming due and payable; or (ri) Pay the balance in fiill; or (rii) Sell the Property for the lesser of the balance or 95% of the appraised value and apply the net procceds of the sale toward the balance; or (iv) Provide the Lender with a deed-in-lieu of foreclosure. (d) 'Ilrusts. Conveyance of a Borrower's interest in the Property to a trust which meets the requirements of the Secretary, or conveyance of a trust's interests in the Property to a Borrower, shall not be considered a conveyance for purposes of this Pazagraph 9. A trust shall not be considered an occupant or be considered as having a principal residence for purposes of this Paragraph 9. 10. No Deficiency Judgments. Borrower shall have no personal liability for payment of the debt secured by this Security Instrument. Lender may enforce the debt only through sale of the Properiy. Lender shall not be permitted to obtain a deficiency judgment against Boirower if the Security Instrument is foreclosed. Page 3 ot8 HECM Second Dad of Tnust