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5. Hazard or Property Insurance. Borrower shall keep the improvements now existing or hereafter er
<br /> Property insured against loss by fire, hazards included within t ���vv���
<br /> floods or flooding, for which Lender requires insurance. This insurance shall be maintained in the amounts ected on the
<br /> he term "extended coverage" and any other hazards, including
<br /> that Lender requires. The insurance carrier providing the insurance shall be chosen by Borrower sub'ect t
<br /> which shall not be unreasonably withheld. If Borrower fails to maintain coverage described above, Lend and for the periods
<br /> option, obtain coverage to protect Lender's rights in the Property in accordance with paragraph �. , ° Lender's approval
<br /> er may, at Lender's
<br /> All insurance policies and renewals shall be acceptable to Lender and shall include a standard mort a e
<br /> shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly ive to Le
<br /> paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insuranceg g clause. Lender
<br /> Lender may make proof of loss if not made promptly by Borrower. g nder all receipts of
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restorati arrier and Lender.
<br /> Property damaged, if the restoration or repair is economically feasible and Lender's securit is not 1
<br /> repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be aonl or repair of the
<br /> secured by this Security Instrument, whether or not then due, with any excess paid to Borro�, essened. If the restoration or
<br /> Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offered to pp ed to the sums
<br /> Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restor er. If Borrower abandons the
<br /> secured by this Security Instrument, whether or not then due. The 30-day period will begin when the notice i settle a claim, then
<br /> Unless Lender and Borrower otherwise agree in writin e the Property or to pay sums
<br /> postpone the due date of the monthl g� anY application of proceeds to principal shall not extend or
<br /> under paragraph 21 the Property is acquired by Lender, Borrower's right to any insurance olicie
<br /> payments referred to in paragraphs 1 and 2 or change the amount of the payments. If
<br /> damage to the Property prior to the acquisition shall pass to Lender to the extent of the sumssecured bd hioceeds resulting from
<br /> immediately prior to the acquisition.
<br /> 6. Occu anc Y Security Instrument
<br /> P Y� P►'eservation, Maintenance and Protection of the Pro ert
<br /> Leaseholds. Borrower shall occupy, establish, and use the Property as Borrower's pri n ip l�reBdence withi Loan Application;
<br /> execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence
<br /> year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be u n sixty days after the
<br /> or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not destro for at least one
<br /> the Property, allow the Property to deteriorate, or commit waste on the Property. Borrower shall be in defa asonably withheld,
<br /> action or proceeding, whether civil or criminal, is begun that in Lender s good faith judgment could resuly• damage or impair
<br /> Property or otherwise materially impair the lien created by this Security Instrument ar Lender's securit in ult if any forfeiture
<br /> cure such a default and reinstate, as provided in paragraph 18, by causing the action or proceedin to be di t 'n forfeiture of the
<br /> that, in Lender's good faith determination, precludes forfeiture of the Borrower's interest in the P o ererest. Borrower may
<br /> impairment of the lien created by this Securit y Ins t r u m e n t o r L e n d e r's security interest. Borrower S Smissed with a ruling
<br /> B o r r o w e r, d u r i n g t he loan application process, gave materially false or inaccurate information or statements t y �r o t h e r m a t e r i a l
<br /> to provide Lender with any material information) in c o n n e c t i o n w i t h t h e l oan evi denced b the No hall also be in default if
<br /> t o, r e p r e s e n t a t i o n s concerning Borrower's occupancy of the Property as a principal residence. If this Secur• t o L e n d e r(o r f a i l e d
<br /> leasehold, Borrower shall comply with all the pr o v i s i o n s o f t h e l e a s e. I f Borrower ac uir te, including, but not limited
<br /> l e a s e h o l d an d t h e fee tit le s hall not merge unless Lender agrees to the merger in writing, l t y I n s t r u m e n t i s o n a
<br /> q es fee title to the Property, the
<br /> 7• Protection of Lender's Rights in the Pro p e r t y, I f B orrower fails to perform the covenants and a ree
<br /> t h i s S ecuri ty Instrument, or there is a legal proceeding that may significantly affect Lender's ri hts in t
<br /> proceeding in bankru tc g ments contained in
<br /> P y, probate, for condemnation or forfeiture or to enforce laws or regulations), then Lender may do and
<br /> pay for whatever is necessary to protect the value of the Property and Lender's rights in the pro he Property (such as a
<br /> include paying any sums secured by a lien which has priority over this Security Instrument a
<br /> reasonable attomeys' fees and entering on the Property to make repairs. Although Lender ma takepac y Lender's actions may
<br /> 7, Lender does not have to do so. � ppearing in court, paying
<br /> Y tion under this paragraph
<br /> Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower
<br /> Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shal
<br /> date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender secured by this
<br /> payment. 1 bear interest from the
<br /> 8. Mortgage Insurance. If Lender required mortgage insurance as a condition of making the loan to Borrower requesting
<br /> Instrument, Borrower shall pay the premiums required to maintain the mortgage insurance in effect.
<br /> mortgage insurance coverage required by Lender lapses or ceases to be in effect, Borrower shall a theecured by this Security
<br /> obtain coverage substantially equivalent to the mortgage insurance previously in effect, at a cost sub If, for any reason, the
<br /> cost to Borrower of the mortgage insurance previously in effect, from an alternate mortgage in u er premiums required to
<br /> substantially equivalent mortgage insurance covera g e i s n o t a v a i l a b l e, Borrower shall pay to Lender stantially equivalent to the
<br /> o n e t w e l f t h o f t h e year ly mortgage insurance premium bein a P p r o v e d b y L e n d er. I f
<br /> be in effect. Lender will accept, use and retain these payments as a loss reserve in lieu of mort a each month a sum equal to
<br /> g paid by Borrower when the insurance covera ge lapse d or ceased to
<br /> g ge insurance. Loss reserve
<br /> ��6R(NE) is2iz�.oa
<br /> Page 3 of s Form 3028 9/90
<br /> Ini[ials:
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