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<br /> when the notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise,
<br /> Borrower hereby assigns to Lender(a)Borrower's rights to any insurance proceeds in an amount not to exceed
<br /> the amounts unpaid under the Note or this Security Instrument,and(b)any other of Borrower's rights(other than
<br /> the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the
<br /> Property, insofar as such rights are applicable to the coverage of the Property. Lender may use the insurance
<br /> proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security
<br /> Instrument,whether or not then due.
<br /> 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal
<br /> residence within 60 days after the execution of this Security Instrument and shall continue to occupy the Property
<br /> as 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 are
<br /> 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 the
<br /> 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 if
<br /> damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection
<br /> with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the
<br /> Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds for the repairs
<br /> and restoration in a single payment or in a series of progress payments as the work is completed. If the insurance
<br /> or condemnation proceeds are not sufficient to repair or restore the Property, Borrower is not relieved of
<br /> 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
<br /> reasonable cause, Lender may inspect the interior of the improvements on the Property. Lender shall give
<br /> Borrower 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
<br /> process,Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or
<br /> consent gave materially false,misleading,or inaccurate information or statements to Lender(or failed to provide
<br /> Lender with material information)in connection with the Loan. Material representations include,but are not
<br /> limited to,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. If
<br /> (a)Borrower fails to perform the covenants and agreements contained in this Security Instrument,(b)there is a
<br /> legal proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security
<br /> Instrument(such as a proceeding in bankruptcy,probate,for condemnation or forfeiture,for enforcement of a lien
<br /> which may attain priority over this Security Instrument or to enforce laws or regulations),or(c)Borrower has
<br /> abandoned the Property, then Lender may do and pay for whatever is reasonable or appropriate to protect
<br /> Lender's interest in the Property and rights under this Security Instrument,including protecting and/or assessing
<br /> the value of the Property,and securing and/or repairing the Property. Lender's actions can include,but are not
<br /> limited to:(a)paying any sums secured by a lien which has priority over this Security Instrument;(b)appearing
<br /> in court;and(c)paying reasonable attorneys'fees to protect its interest in the Property and/or rights under this
<br /> Security Instrument,including its secured position in a bankruptcy proceeding. Securing the Property includes,
<br /> but is not limited to,entering the Property to make repairs,change locks,replace or board up doors and windows,
<br /> drain water from pipes,eliminate building or other code violations or dangerous conditions,and have utilities
<br /> turned on or off. Although Lender may take action under this Section 9,Lender 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 taking any or all actions
<br /> authorized under this Section 9.
<br /> Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower
<br /> secured by this Security Instrument. These amounts shall bear interest at the Note rate from the date of
<br /> disbursement and shall be payable,with such interest,upon notice from Lender to Borrower requesting payment.
<br /> If this Security Instrument is on a leasehold,Borrower shall comply with all the provisions of the lease.
<br /> If Borrower acquires fee title to the Property,the leasehold and the fee title shall not merge 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 /> Loan,Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If,for any reason,
<br /> the Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that
<br /> previously provided such insurance and Borrower was required to make separately designated payments toward
<br /> the premiums for Mortgage Insurance,Borrower shall pay the premiums required to obtain coverage substantially
<br /> equivalent to the Mortgage Insurance previously in effect, at a cost substantially equivalent to the cost to
<br /> Borrower of the Mortgage Insurance previously in effect,from an alternate mortgage insurer selected by Lender.
<br /> If substantially 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 Mortgage
<br /> Insurance. Such loss reserve shall be non-refundable,notwithstanding the fact that the Loan is ultimately paid in
<br /> full,and Lender shall not be required to pay Borrower any interest or earnings 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 requires)provided by an insurer selected by Lender again becomes 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 required to make separately designated
<br /> payments toward the premiums for Mortgage Insurance,Borrower shall pay the premiums required to maintain
<br /> Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until Lender's requirement for
<br /> Mortgage Insurance ends in accordance with any written agreement between Borrower and Lender providing for
<br /> such termination or until termination is required by Applicable Law. Nothing in this Section 10 affects
<br /> Borrower's obligation to pay interest at the rate provided in the Note.
<br /> Mortgage Insurance reimburses Lender(or any entity that purchases 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 Mortgage Insurance.
<br /> NEBRASKA--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT(MERS) Form 3028 1/01 (page S of 9 pages)
<br /> 12439.CV(6/13) 201601830 Creative Thinking,Inc.
<br /> GOTO(00776fc7)
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