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5. Ilazard or Properly Insurance. Dorrower shall keep the improvemen�s R6�l+exi�rt�l�r�elka`P[er erecteJ on ihe
<br /> Property insured againsl loss by fire, hazards included within the term "extended coverage" anJ any other hazards, incluJing
<br /> flooJs or flooding, for which LenJer reyuires insurance. This insurance shall be'mainlained in Ihe amounts and for Ihe perioJs
<br /> Ih•rt LenJer reyuires. The insurance carrier providing the insurance shall be chosen+by Dorrower subject to Lcnder's approval
<br /> which shall not be un,reasonably withheld. If Borrower fails to maintain coverage describeJ above, Lender may, al Lender's
<br /> oplion, obtain coverage lo protect l.ender's rights in Ihe Property in accordnnce with paragraph 7.
<br /> All insurance policies end renewals shall be BCCL'PIeIIIC to Lcnder and shull incluJc a slandard mortbage cluusc. LenJer
<br /> shall have Ihe right to hold the policies anJ renewals. If Lender reyuires, l3orrower shall prompily give Iu Lcndcr all rcceipls o!
<br /> paid premiums and renewal nolices. !n the event of loss, I3orrower shall give prompt notice to the insurance carrier and Lender.
<br /> Lender may make proof of loss if not made promptly by Dorrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair o! the
<br /> Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If �he resloralion or
<br /> repair is not economic�lly feasihle or LenJer's security would be lessened, the insurance proceeds shall be applied Io the sums
<br /> secureJ by this Security Inslrument, whclher or nol then due, with any excess paid to IIorrower. If I3orrower abandons the
<br /> Property, or does nol nnswer wilhin 30 Jays a no�ice (rom LenJer that the insurance carricr has oftercd to seitle a claim, �hen
<br /> Lender may collect the insurance proceeds. Lcnder may usc Ihe proceeds lo repair or reslore Ihe Properly or lo pay sums
<br /> xccurcd by Ihis Securily Inslrumcnl, whclhcr ur not thcn �uc. "1'he 30-Jay perioJ will begin whcn Ihe nutice is givcn.
<br /> Unlcss Lendcr and Borruwcr ollicrwisc ugrec in writing, any U�)�]IICi11W11 of procceds to principal shall nut cxlend or
<br /> poslpone lhe Jue Jate of Ihe monlhly payments referred to in �8f8�f8PIlS 1 and 2 or change thc amounl ot the paymcnls. If
<br /> unJer paragraph 21 the Properly is acyuired by Lender, Borrower's right lo any insurance policies and proceeJs resulling from
<br /> damage to the Property prior to the acyuisition shall pass to Lender to the extent of the sums secureJ by this Securily Instrument
<br /> immeJi•ately prior �o Ihe acyuisition.
<br /> 6. Occupancy, Preservalion, btuintenance and Proteclion of the Properly; Borruwer's Luan Applicaliun; Leaseholds.
<br /> f3orrower shrll occupy, establish, and use Ihe Property as Dorrower's principal residence within sixty days after the execution ot
<br /> Ihis Security Instrument and shall conlinue lo occupy the Property es Dorrower's principal residence for at least one year a(ter
<br /> Ihe date of occupancy, unless Lender otherwise agrees in writing, which consenl shall not be unreasonably withheld, or unless
<br /> exlenualing circumstances exist which are beyond [3orrower's control, Dorrower shall not deslruy, dumage or impair �hc
<br /> Properly, allow Ihe Property to deleriorule, or commit wasle on the Properly, Uorrower shall be in Jefuult if any forfeiwrc
<br /> aclion or proceeding, whether civil or criminal, is begun Ihal in Lender's good failh judgmenl could result in forfeiture of ihe
<br /> Properly or otherwise materially impuir the lien created by this Security Instrument or Lender's security inlerest. [3orrower may
<br /> cure such a default and reinstate, as provided in paragraph 18, by causing the action or proceeding lo be dismisseJ with a ruling
<br /> thal, in Lender's good failh determination, precludes forfcilure of lhe Qorrower's inlerest in the Property or olher maierial
<br /> impairmeni of the lien created by Ihis Security Inslrumenl or Lender's security interesl. Uorrower shull ulso be in dcfaul� if
<br /> l3orrowcr, Juring lhc luan applicaliun pruccss, guvc ivalcriully I'alsc or inuccurulc infurmutiun ur sl;�lcmcnls tu I.cndcr (ur failcJ
<br /> lo provide LenJer with any material in(ormalion) in conneclion with Ihe loan evidenced Uy the Note, including, bul not limiied
<br /> lo, represen�alions concerning Borrower's occupancy of the Property as a principal residence. If this Security Inslrument is on a
<br /> leasehold, 13orrower shall comply with all the provisions of the lease. If Rorrower acyuires fee title to the Property, Ihe
<br /> IeaseholJ and the fee title sh•rll not merge unless LenJer agrees to the merger in writing.
<br /> 7. Prutecliun of Lender's Righls in the Properly. If Borrower fails to perform the covenants and agreements contained in
<br /> this Securily Instrument, or there is a legal proceeding that may significantly affect LenJer's righls in the Property (such as a
<br /> proceeJing in bunkruptcy, probate, for conJemn�lion or furfeiture or lo enforce laws or regulalions), tl�en l.ender may do and
<br /> pay for whatevcr is necessary to protecl Ihe value of Ihe Pruperly and Lender's rights in the Properly. LenJer's aclions may
<br /> incluJe puying uny sums securcJ by a lien which lius priorily over this Securily Inslrument, appearing in court, paying
<br /> reasonable •rtlorneys' fees and entering on the Properly to make repairs. Although Lender may take action under this paragreph
<br /> 7, LenJer does not have to do so.
<br /> Any amounts disbursed by Lender under ihis paragraph 7 shall become additional debt of Dorrower secured by this
<br /> Security Instrument. Unless Dorrower and Lender agree to other terms of paymenl, these amounts shall bear interest from Ihe
<br /> date of disbursement al the Note rate •rnd shall be payable, with interest, upon notice from Lender to Dorruwer reyuesling
<br /> paymenl.
<br /> 8. Mortgage Insurance. If Lender reyuired mortgdge insurance as a condition of making Ihe loun secured by this Securiry
<br /> Inslrumenl, �orrower shall pay the premiums reyuired to maintain the murtgage insurance in effect. If, for any reason, the
<br /> morlgage insurance coverage reyuired by Lender lepses or ceases Io be in e[fect, Dorrower shall pey the premiums reyuired to
<br /> ob�ain coverege subslantially eyuivalent lo the mor�gage insurance previously in cffect, ul a cost substantially eyuivaleni to Ihe
<br /> cosl to Uorrower of �he mortgage insurance previously in effec�, from an allernale morlgage insurer approveJ by Lender. If
<br /> substanli•rlly eyuivalent mortgage insurance coverage is nut uvailaUl�, Borrower shall pay to Lender each month a sum eyual to
<br /> one-Iwelfth of the yearly mortgage insurance premium being paiJ by Dorrower when the insurance coverage lapsed or ceased to
<br /> be in effect. Lender will accept, use and retain these payments as a loss reserve in lieu of morlgage insurance. Loss reserve
<br /> Form 30��
<br /> �-BRINE) ioais�.oi r.o.s o�a �
<br /> m i�w.i.:
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