|
, RE•RECORDiG�3351
<br /> - � 99- 99- s�zs�3
<br /> periods that Lender requires. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's
<br /> approval which shall not be unreasonably withheld. If Borrower fails to maintain coverage described above, Lender may, at
<br /> Lender's option,obtain coverage to protect Lender's rights in the Property in accardance with paragraph 7.
<br /> All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. Lender
<br /> shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts
<br /> of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance carrier and
<br /> Lender. Lender may make proof of loss if not made promptly by Borrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br /> the Property damaged, if the restoration or repair is economically feasible and Lender's security �s not lessened. If the
<br /> restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be
<br /> applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If
<br /> Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br /> offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair ar restore
<br /> the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin when
<br /> the notice is given.
<br /> Unless Lender and Borrower otherwise agree in writing, ariy a lication of�roceeds xo princip�l s�all not extea�rl��o�
<br /> postpone the due date of the morithly payments referred toin paragraphs 1 and 2 or change the amount of the payments. If
<br /> under paragraph 21 the Property is acquired by Lender, Borrower's right to any ms'�i�raiS����blicies and proceeds resulting
<br />' from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security
<br /> Instrument immediately prior to the acquisition.
<br /> 6. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application;
<br /> Leaseholds. Borrower shall occupy,establish, and use the Property as Borrower's principal residence within sixty days after
<br /> the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at
<br /> least one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be
<br /> unreasonably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not
<br /> destroy, damage or impair the Property, allow the Property to deteriorate, ar commit waste on the Property. Borrower shall
<br /> be in default if any forfeiture action or proceeding, whether civil or criminal, is begun that in Lender's good faith judgment
<br /> could result in forfeiture of the Property or otherwise materially impair the lien created by this Security Instrument ar
<br /> Lender's security interest. Borrower may cure such a default and reinstate, as provided in paragraph 18,by causing the action
<br /> or proceeding to be dismissed with a ruling that, in Lender's good faith determination, precludes forfeiture of the Borrower's
<br /> interest in the Property or other material impairment of the lien created by this Security Instrument ar Lender's security
<br /> interest. Borrower shall also be in default if Borrower, during the loan application process, gave materially false or
<br /> inaccurate information or statements to Lender(or failed to provide Lender with any material information)in connection with
<br /> the loan evidenced by the Note, including, but not limited to, representations concerning Borrower's occupancy of the
<br /> Property as a principal residence. If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions
<br /> of the lease. 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 /> 7. Protection of Lender's Rights in the Property. If Bonower fails to perform the covenants and agreements
<br /> contained in this Security Instrument, or there is a legal proceeding that may significantly affect Lender',s rights in the
<br /> Property(such as a proceeding in bankruptcy, probate,for condemnation or forfeiture or to enforce laws or regulations), then
<br /> Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights in the Property.
<br /> Lender's actions may include paying any sums secured by a lien which has priority over this Security Instrument, appearing
<br /> in court, paying reasonable attorneys'fees and entering on the Property to make repairs. Although Lender may take action
<br /> under this paragraph 7,Lender does not have to do so.
<br /> Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this
<br /> Security Instrument. Unless Borrower and Lender agree to other terms of payment,these amounts shall bear interest from the
<br /> date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower requesting
<br /> payment.
<br /> 8. Mortgage Insurance. If Lender required mortgage insurance as a condition of making the loan secured by this
<br /> Security Instntment, Borrower shall pay the premiums required to maintain the mortgage insurance in effect. If, for any
<br /> reason, the mortgage insurance coverage required by Lender lapses or ceases to be in effect, Borrower shall pay the
<br />� premiums required to obtain coverage substantially equivalent to the martgage insurance previously in effect, at a cost
<br /> substantially equivalent to the cost to Borrower of the mortgage insurance previously in effect, from an alternate mortgage
<br /> insurer approved by Lender. If substantially equivalent mortgage insurance coverage is not available, Borrower shall pay to
<br /> Lender each month a sum equal to one-twelfth of the yearly mortgage insurance premium being paid by Borrower when the
<br /> insurance coverage lapsed or ceased to be in effect. Lender will accept,use and retain these payments as a loss reserve in lieu
<br /> of mortgage insurance. Loss reserve payments may no longer be required, at the option of Lender, if mortgage insurance
<br /> coverage (in the amount and for the period that Lender requires) provided by an insurer approved by Lender again becomes
<br /> available and is obtained. Borrower shall pay the premiums required to maintain mortgage insurance in effect,or to provide a
<br /> loss reserve, until the requirement for mortgage insurance ends in accordance with any written agreement between Borrower
<br /> and Lender or applicable law.
<br /> 9. Inspection. Lender or its agent may make reasonable entries upon and inspections of the Property. Lender shall
<br /> give Borrower notice at the time of or prior to an inspection specifying reasonable cause for the inspection.
<br /> 10. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any
<br /> Single Family--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT--Uniform Covenants 9/90 (patc 3 qf 6��c�,�es)
<br /> . Great Lakes Buslness Forms,lnc. �
<br /> To Order Call:]-804530�9393 O FAX 61Fi-791-1131
<br />
|