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9 9 110 � 3 4 ORIGINAL
<br /> � wear and tear excepted. Lender may inspect the Property if the Property is vacant or abandoned or the loan is in default.
<br /> Lender may take reasonable action to protect and preserve such vacant or abandoned Property. Borrower shall also be in
<br /> default if Borrower, during the loan application process, gave materially false or inaccurate information or statements to
<br /> Lender (or failed to provide Lender with any mat:,rial iiiformation) in connection with the loan evidenced by the Note,
<br /> including, but not limited to, representations concerning Borrower's occupancy of the Property as a principal residence. If
<br /> this Security Instrument is on a leasehold, Bonower shall comply with the provisions of the lease. If Borrower acquires fee
<br /> title to the Property, the leasehold and fee title shall not be merged unless Lender agrees to the merger in writing.
<br /> 6. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with any
<br /> condemnation ar other taking of any part of the Property, or for conveyance in place of condemnation, are hereby assigned
<br /> and shall be paid to Lender to the extent of the full amount of the indebtedness that remains unpaid under the Note and this
<br /> Security Instrument. Lender shall apply such proceeds to the reduction of the indebtedness under the Note and this
<br /> Security Instrument, first to any delinquent amounts applied in the order provided in Paragraph 3,and then to prepayment of
<br /> principal. Any application of the proceeds to the principal shall not extend or postpone the due date of the monthly
<br /> payments, which are referred to in Paragraph 2, or change the amount of such payments. Any excess proceeds over an
<br /> amount required to pay all outstanding indebtedness under the Note and this Security Instrument shall be paid to the entity
<br /> legally entitled thereto.
<br /> 7. Charges to Borrower and Protection of Lender's Rights in the Property. Borrower shall pay all governmental or
<br /> municipal charges, fines and impositions that are not included in Paragraph 2. Borrower shall pay these obligations on time
<br /> directly to the entity which is owed the payment. If failure to pay would adversely affect Lender's interest in the Property,
<br /> upon Lender's request Borrower shall promptly furnish to Lender receipts evidencing these payments.
<br /> If Borrower fails to make these payments or the payments required by Paragraph 2, or fails to perform any other
<br /> covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly affect
<br /> Lender's rights in the Property (such as a proceeding in bankruptcy, for condemnation or to enforce laws or regulations),
<br /> then Lender may do and pay whatever is necessary to protect the value of the Property and Lender's rights in the Property,
<br /> including payment of taxes, hazard insurance and other items mentioned in Paragraph 2.
<br /> Any amounts disbursed by Lender under this Paragraph shall become an additional debt of Borrower and be secured by
<br /> this Security Instrument. These amounts shall bear interest from the date of disbursement, at the Note rate, and at the
<br /> option of Lender, shall be immediately due and payable.
<br /> Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a)
<br /> agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b)contests in good
<br /> faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operate to
<br /> prevent the enforcement of the lien; or (c) secures from the holder of the lien an agreement satisfactory to Lender
<br /> subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien
<br /> which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower
<br /> shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice.
<br /> 8. Fees. Lender may collect fees and charges authorized by the Secretary.
<br /> 9. Grounds for Acceleration of Debt.
<br /> (a) Default. Lender may,except as limited by regulations issued by the Secretary in the case of payment defaults,
<br /> require immediate payment in full of all sums secured by this Security Instrument if:
<br /> (i) BorrowerdefaultsbyfailingtopayinfullanymonthlypaymentrequiredbythisSecurityInstrumentpriortooron
<br /> the due date of the next monthly payment, or
<br /> (ii) Borrower defaults by failing, for a period of thirty days, to perform any other obligations contained in this
<br /> Security Instrument.
<br /> (b) Sale Without Credit Approval. Lender shall, if permitted by applicable law (including section 341(d)of the
<br /> Garn-St Germain Depository Institutions Act of 1982, 12 U.S.C. 1701j-3(d)) and with the prior approval of the
<br /> Secretary, require immediate payment in full of all sums secured by this Security Instrument if:
<br /> (i) All. or part of the Property, or a beneficial interest in a trust owning ali or part of the Property, is sold or
<br /> otherwise transferred (other than by devise or descent)by the Borrower, and
<br /> (ii) The Property is not occupied by the purchaser or grantee as his o:her principal residence,or the purchaser or
<br /> grantee does so occupy the Property, but his or her credit has not been approved in accordance with the
<br /> requirements of the Secretary.
<br /> (c) No Waiver. If circumstances occur that would permit Lender to require immediate payment in full, but
<br /> Lender does not require such payments, Lender does not waive its rights with respect to subsequent events.
<br /> (d) Regulations of HIJD Secretary. In many circumstances regulations issued by the Secretary will limit
<br /> Lender's rights in the case of payment defaults to require immediate payment in fuli and foreclose if not paid.
<br /> This Security Instrument does not authorize acceleration or foreclosure if not permitted by regulations of the
<br /> Secretary.
<br /> (e) Mortgage Not Insured. Borrower agrees that if this Security Instrument and the Note are not determined to be
<br /> eligible for insurance under the National Housing Act withir 60 days from the date hereof, Lender may, at its option
<br /> require immediate payment in fuli of all sums secured by this Security Instrument. A written statement of any
<br /> authorized agent of the Secretary dated subsequent to 60 days from the date hereof, declining to insure this Security
<br /> Instrument and the Note, shall be deemed conclusive proof of such ineligibility. Notwithstanding the foregoing, this
<br /> option may not be exercised by Lender when the unavailability of insurance is solely due to Lender's failure to remit a
<br /> mortgage insurance premium to the Secretary. , �
<br /> 9128 2/94(YNEO (page 3 of 6 pages) FHA Nebraska Deed of Trus[-10/95
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