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coverage, not otherwise required by Lender, for damage to, or des
<br />standard mortgage clause and shall name Lender as mortgagee and/I
<br />In the event ofloss, Borrower shall give prompt notice to do
<br />ofloss ifnot made promptly by Borrower. Unless Lender and Barrel
<br />whether or not the underlying insurance was required by Lender, sha
<br />the restoration or repair is economically feasible and Lender's recur
<br />pperiod, Lender shall have the ri¢ht to hold each insaranoe proceed!
<br />Proper to ensure the work has been completed to Lender's sazrsf rel
<br />prompt y. Lender may disburse procee s for the repairs and restc
<br />payments as the work is completed. Unless an agroement 1e made in
<br />on such insurance proceeds, Lender shall not be required to pay Bor'.
<br />for public adjusters, nr other third parties, retained by Borrower shalll .
<br />the sole obhgetion of Borrower. If the restoration or repair is not
<br />lessened, the insurance proceeds shall be applied to the sums secure
<br />with the excess, if any, paid to Borrower. Such insurance proceeds
<br />lf8orrower abandons [he Property, Lender may file, negoti
<br />matters. IfBorrower does not respond within 30 days to a nonce troy
<br />claim, then Lender may negotiate and settle the claim. The 30 -day
<br />event, or
<br />erwi
<br />ifLender acquires the Property under Section 22 or oth
<br />riohrc rn env insurance ...ad. in an an10unt not to exceed the met
<br />and (b)
<br />insofar as s
<br />200305732
<br />cation of, the Property, such policy shall include a
<br />as an additional loss payee.
<br />nsurance carver and Lender. Lendermaymake proof
<br />r otherwise agree in writing, any insurance proceeds,
<br />be applied to restoration or repair ofthe Property, if
<br />is not lessened. During such repair and restoration
<br />nail Lender has had an opportunity to inspect such
<br />n, provided that such inspection shall be undertaken
<br />i
<br />tion in a senle payment or in a series of progress
<br />riting or Appicable law requires interest to be paid
<br />.vet any interest or earnings on such proceeds. Fees
<br />of be paid out of the insurance proceeds and shall be
<br />onomically feasible or Lender's security would be
<br />and
<br />red to settle
<br />n. In either
<br />Borrower's
<br />use the insurance proceeds either to repair or restore the Property or to pay amounts unpam tamer me now or nos becurrty
<br />Instrument, whether or not then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within
<br />60 days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal
<br />residence for at least one year after the date
<br />of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless
<br />extenuating circumstances exist which are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection ofthe Property; Inspections. Borrower shall not destroy,
<br />damage or impair the Property, allow the Property to deteriorate or commit waste
<br />on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to
<br />Prevent the Property from deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to
<br />Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Property ifdamaged to
<br />avoid further deterioration or damage. Ifinsurance or condemnation proceeds are paid In connection with damage to, or the
<br />taking of, the Property, Borrower shall be responsible far repairing or restoring the Property only if Lender has released
<br />proceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series
<br />of progress payments as [he work is completed. If the insurance or condemnation proceeds are not sufficient to repair or
<br />restore the Property, Borrower is not relieved of Borrower's obligation for the completion ofsuch repair or restoration.
<br />Lender oats agent may make reasonable entries upon and inspections ofthe Property. Ifit has reasonable cause,
<br />Tonder may inspect the interior of the impprovements on the Property. Lender shall give Borrower notice at the time ofor
<br />prior to such an inu:nor inspection specityrng such reasonable cause.
<br />8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process,
<br />Borrower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave
<br />materially false, misleading, or inaccurate information or stacements to Lender (or failed to provide Lender with material
<br />informahon) in connection with [he Loan. Material representations Include, but are not firm representations concerning
<br />Borrower's occupancy ofthe Propert� as Rorrnwer's principal residence.
<br />9. Protection of Lender s Interest in the Property and Rights Under this Security Instrument. If
<br />(a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal
<br />proceeding that might significantly affect Lender's interest in the Probe ry and/or rights under this Security Instrument (such
<br />as a proceeding In bankruptcy, probate, for condemnation or forfeiture, for enforcement ofa lien which may attain priority
<br />uvcr this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender
<br />may do and pay fur whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this
<br />Security Instrument, including protecting an or assessing the value of the Property, and securing and/or repairing the
<br />Property. Lender's actions can Include, but are not limited to (a) paying any sums secured bya lien which has priority over
<br />this Security Instrument; (b) appearing in court; and (c) paying reasonable attorneys' fees to protect its interest in the
<br />Property and /or rights under this Security Instrument, including Its secured position in a bankruptcy proceeding. Securing
<br />the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or board up doors
<br />and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have Utilities
<br />turned on or off. Although Lender may take action under this Section 9, lender does not have to do so and is not under any
<br />duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any or all actions authorized under this
<br />Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this
<br />Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable,
<br />with such interest, upon notice from Lender to Borrower requesting payment.
<br />Ifthis Security Instrument is on a leasehold, Burrower shall comply with all the provisions ofthe lease. IfBorrower
<br />acquires fee title to the Property, the leasehold and the fee title shall not merge unless Under agrees to the merger in writing.
<br />to. Mortgage Insurance. if Lender required Mortgage Insurance as a condition of making the loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance In efrecl. If, for any reason, the Mortgage
<br />Insurance coverage required by Under ceases to be available from the mortgage insurer that previously provided such
<br />insurance and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance,
<br />Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously
<br />in cllect, at a cost substantially equivalent w me cost w rorrower or me nwngagc uisw encc P,cr,ou ,o, c. 11 ten. a..
<br />alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage is not available,
<br />Borrower shall continue to pay to Lender the amount ofthe separately designated payments that were due when the insurance
<br />coverage ceased to be In cllect Lender will accept, use and retain these payments as anon- refundable loss reserve in lieu of
<br />Mortga6. Insurance. Such loss reserve shall be non - refundable, notwithstanding the fact that the Loan is ultimately paid in
<br />full, and Lender shall not be required to pay Borrower any interest or earnings on such loss reserve. Lender can no longer
<br />require loss reserve payments If Mortgage Insurance coverage (in the amount and for the period that Lender requires)
<br />provided by an insurer selected by Lender again becomes available, is obtained, and Under requires separately designated
<br />Etoward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition ofmakmgthe
<br />Loan and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance,
<br />Borrower shall pay the premiums required to maintain Mortgage Insurance in effect, or to provide a inn- refundable loss
<br />reserve, until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement between
<br />Borrower and Lender providing for such termination or until termination is required by Applicable Taw. Nothing in this
<br />Section 10 affects Borrower's obligation m pay interest at the rate provided in the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur if
<br />Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance.
<br />NEBRASKA — Single Family—F ... k M, .N reddk Mac UNIFORM IN5FNUM£NT FormlMS INl (page0of8pages)
<br />9954CV(1102) 1693940
<br />GOTG(0004e92e)
<br />
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