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<br /> "1047A1
<br /> periods that Lender requires. The insurance carrier providing the insurance shall be cei.+en by Borrower subject to Lender's
<br /> approval v.hich shall not be unreasonably withheld. If Borroweriails to maintain coverage described above. Lender may, at
<br /> Lender's option, obtain coverage to protect Ler &r's rights in the Property in accordance 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 evert 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 fexsibie and Lenders security is not lessened. If the
<br /> restoration or repair is not econtinically feasible, or Lenders security would be Icssened. the insurance proceeds shall be
<br /> appiied to the sutras secured by Ih;s Security Instrument, wh°ther or not then, due, with any excess paid to Borrower. If
<br /> Borrower abandons the t'ropcity, or noes not answer within 30 days a notice from Lender that the insurance carrier V-is
<br /> offered to settle a clairn, then i.ev&., may collect the insurance proceeds. lender nr'+ use the proceeds to repair or restore
<br /> the Propery or to pay suns secured by !his Security Instrument. whether or not then du The 3e-day period will brr in when
<br /> the notice is given.
<br /> Unless Lender and Borrower otherwise agree in writing, any application of prc:ec,:s to p.°incipal shall not extend or
<br /> postpone the date date of the monthly payments referred to in paragraphs I and 2 or clirr ?e the a.-►ount of the payments. If
<br /> under paragraph 21 the Property is acquired by Lender, Borrower's right to any insurance f"Iires and proceeds resulting
<br /> from damage to the Property prior to the acquisition shall pans to Lender to the ext.rt of the sums secured by thi3 Security
<br /> Instrument immediately prior to the acquisition.
<br /> 6. Occupancy, Preservation, Maintenance and Protection of the PruF+a7y: &lrrower's Loan Application;
<br /> Leaseholds. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within si :;y days after
<br /> the execution of this Security Instrument and shall continue to occupy the. Property as Borrower's principal residence for ar
<br /> (vast one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be
<br /> unreascnably withheld, or unless extenuating circumstances exist which are beyond Borrower's control. Borrower shall not
<br /> destroy, dantage or impair tfte property, allow the Property to deteriorate, or 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 Lenders good faith i,.tdgment
<br /> could result in forfeiture of the Properly or otherwise materially impair the lien created by this Security lnsmnnent or
<br /> Lender's security interest. Borrower vmy cure such a default and reinstate, as provided in paragraph 18, by causing the action
<br /> it proceeding to be dismissed with a ruling that, in Lenders good faith determination, precludes forfeiture of the Borrower's
<br /> interest in the Property or other material impairn►ent of the lien :rented by this Security Instrument or Lender's security
<br /> !nit.-,.rest. 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 i.ifunnaiion) in connection with
<br /> the ,oan evidenced by the Note, including, but not limited to, representations concerning Borrowers occupancy of the
<br /> Property as a principal residence. If this Security Instrument is on a leasehold, Borrower shall comply with ali the provisions
<br /> of the le:;se. 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 Borrower fails to perform the cove :-,ants and agreement.%
<br /> contained, in this Security Instrument, or there is a legal proceeding that may significantly affect Lenders rights in the
<br /> Property (such is a proceeding in bankruptcy, probate, for condemnation or forfeiture or to enforce laws or regulations), then
<br /> Lender niay do and prey for whatever is necessary to protect the value of the Property and Lenders rights in the Property.
<br /> Lenders 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 Bormwer secured by this
<br /> Securitv+lnstrument. Unless Borrower and Leader agree to other terms of payment. these amounts shall bear interest from the
<br /> date of disbursement at the ;vote rate and shall be payable, with interest, upon notice from Lender to Borrower requesting
<br /> payment.
<br /> 8. Mortgage Insurance. If Lender requirtid mortgage insurance as a condition of making the loan secured by this
<br /> Security Instrument, Borrower shall pay the premiums required to maintain the mortgage insurance in effect. If, for any
<br /> reason. ?he 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 ille mortgage insurance previously in effect, at a cost
<br /> substantially equivalent to the cost to Borrower of the mortgage insu rice 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 Bormwer 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 gin 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 pz;y 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. insp"tion. Lender or its agent iatray 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 ol` any award or claim for damages, direct or consequential, in connectionu with any
<br /> Single Family --Fannie MavTrtddle Mae UNIFORM! tNSTRUNIENT - Uniform Covenants 91" (page 3 of d pages)
<br /> (lest ruses Bmteere FWWgi. 1nC S
<br /> Tn order 000 I-VM301M 13 PAX 816-791.1131
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