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20121030E
<br />proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not economically feasible
<br />or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this
<br />Security Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such insurance
<br />proceeds shall be applied in the order provided for in Section 2.
<br />If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and
<br />related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier
<br />has offered to settle a claim, then Lender may negotiate and settle the claim. The 30 -day period will begin when
<br />the notice is given. In either event, or if Lender acquires the Property under Section 24 or otherwise, Borrower
<br />hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amounts
<br />unpaid under the Note or this Security Instrument, and (b) any other of Borrower's rights (other than the right to
<br />any refund of unearned premiums paid by Borrower) under all insurance policies covering the Property, insofar as
<br />such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or
<br />restore the Property or to pay amounts unpaid under the Note or this Security Instrument, whether or not then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence
<br />within 60 days after the execution of this Security Instrument and shall continue to occupy the Property as
<br />Borrower's principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees
<br />in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist which
<br />are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not
<br />destroy, damage or impair the Property, allow the Property to deteriorate or commit waste on the Property.
<br />Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to prevent
<br />the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to
<br />Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property
<br />if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in
<br />connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or
<br />restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds
<br />for the repairs and restoration in a single payment or in a series of progress payments as the work is completed.
<br />If the insurance or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not
<br />relieved of Borrower's obligation for the completion of such repair or restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable
<br />cause, Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower
<br />notice at the time 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
<br />gave materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender
<br />with material information) in connection with the Loan. Material representations include, but are not limited to,
<br />representations concerning 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 Instrument.
<br />If (a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there
<br />is a legal proceeding that might significantly affect Lender's interest in the Property and/or rights under
<br />this Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for
<br />enforcement of a lien which may attain priority over this Security Instrument or to enforce laws or regulations),
<br />or (c) Borrower has abandoned the Property, then Lender may do and pay for whatever is reasonable or
<br />appropriate to protect Lender's interest in the Property and rights under this Security Instrument, including
<br />protecting and/or assessing the value of the Property, and securing and/or repairing the Property. Lender's
<br />actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this
<br />Security Instrument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest
<br />in the Property and/or rights under this Security Instrument, including its secured position in a bankruptcy
<br />proceeding. Securing the Property includes, but is not limited to, entering the Property to make repairs, change
<br />locks, replace or board up doors and windows, drain water from pipes, eliminate building or other code
<br />NEBRASKA— Single Family— UNIFORM INSTRUMENT
<br />NEBRASKA•MERS GreatDocs°
<br />ITEM 2697L7 (091911) (Page 7 of 13)
<br />BRUNELLE,S0000454238 0000454238
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