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200400909
<br />Doc ID #: 0004778145901004
<br />or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this
<br />Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain
<br />priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10 days
<br />of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the actions set
<br />forth above in this Section 4.
<br />Lender may require Borrower to pay a one -time charge for a real estate tax verification and/or reporting
<br />service used by Lender in connection with this Loan.
<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the
<br />Property insured against loss by fire, hazards included within the term "extended coverage," and any other
<br />hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This
<br />insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender
<br />requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to
<br />disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require Borrower
<br />to pay, in connection with this Loan, either: (a) a one -time charge for flood zone determination, certification
<br />and tracking services; or (b) a one -time charge for flood zone determination and certification services and
<br />subsequent charges each time remappings or similar changes occur which reasonably might affect such
<br />determination or certification. Borrower shall also be responsible for the payment of any fees imposed by the
<br />Federal Emergency Management Agency in connection with the review of any flood zone determination
<br />resulting from an objection by Borrower.
<br />If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance
<br />coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular
<br />type or amount of coverage. Therefore, such coverage shall cover Lender, but might or might not protect
<br />Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard or
<br />liability and might provide greater or lesser coverage than was previously in effect. Borrower acknowledges
<br />that the cost of the insurance coverage so obtained might significantly exceed the cost of insurance that
<br />Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional
<br />debt of Borrower secured by this Security Instrument. These amounts shall bear interest at the Note rate from
<br />the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower
<br />requesting payment.
<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right
<br />to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee
<br />and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal certificates. If
<br />Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices. If
<br />Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or
<br />destruction of, the Property, such policy shall include a standard mortgage clause and shall name Lender as
<br />mortgagee and/or as an additional loss payee.
<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may
<br />make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in
<br />writing, any insurance proceeds, whether or not the underlying insurance was required by Lender, shall be
<br />applied to restoration or repair of the Property, if the restoration or repair is economically feasible and
<br />Lenders security is not lessened. During such repair and restoration period, Lender shall have the right to hold
<br />such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the work has
<br />been completed to Lenders satisfaction, provided that such inspection shall be undertaken promptly. Lender
<br />may disburse proceeds for the repairs and restoration in a single payment or in a series of progress payments
<br />as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be
<br />paid on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on
<br />such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of
<br />the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is not
<br />economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the
<br />sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid to Borrower.
<br />Such insurance 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
<br />and related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance
<br />carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30 -day period will
<br />begin when the notice is given. In either event, or if Lender acquires the Property under Section 22 or
<br />otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount
<br />not to exceed the amounts unpaid under the Note or this Security Instrument, and (b) any other of Borrower's
<br />rights (other than the right to any refund of unearned premiums paid by Borrower) under all insurance policies
<br />covering the Property, insofar as such rights are applicable to the coverage of the Property. Lender may use
<br />the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this
<br />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
<br />agrees in writing, which consent shall not be unreasonably withheld, or unless extenuating circumstances exist
<br />which are beyond Borrower's control.
<br />Initials:
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