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200205745
<br />coverage, not otherwise required by ]ender, for damage to, or destruction of, the Property, such policy shall include a
<br />standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee.
<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof
<br />of loss if not matte promptly by Borrower. llnlcxx Lcndcr and Borrower othcrwisc agree in writing, any insurance pra;eeds,
<br />whether or not the underlying insurance was required by lender, shall be applied to restoration or repair of Property, if
<br />the restoration or repair is economically feasible and tondo's security is not lessened. During such repair and restoration
<br />period, Lender shrill have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such
<br />Property to ensure the work has been com Ieted to Under', satisfaction, provided thatsuch inspection shall be undertaken
<br />promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress
<br />payments as the work is completed- Unless an agreement is made in writing or Applicable few requires interest to be paid
<br />on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Pees
<br />the sole obligation of Borrower If the restoration or repair is not economically feasible or Lender's security would be
<br />lessened, the insurance proceeds shall he app Iiied to the sums secured by this Scourtty Instrument, whether or not then due,
<br />with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2.
<br />If Borrower abandons the Property, Izndcr may file, negotiate and settle any available insurance claim and related
<br />matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle
<br />claim, then Lender may negotiate and settle the claim. The 30 -clay period will Login when the notice; is given. In either
<br />event, or it Leader acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's
<br />rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security instrument,
<br />and (b) any other of Borrower's rights (other than the right to any refund of unearned premiums paid by Borrower) under all
<br />insurance policies covering the Property, insotar as such rights are applicable to the coverage of the Property. Lender may
<br />use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Now or this Security
<br />Instrument whether or not then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Bower's principalmidence 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 [cast one year after the date
<br />of occupancy, unless Lender otherwise agrees in writing, which consent shall not he unreasonably withheld. or unless
<br />extenuating circumstances exist which arc beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy,
<br />damage or impair the Property, allow the Property to dcmrioralo 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. If insurance or condemnation proceeds are paid in connection with damage trier the
<br />taking of the Property, Borrower shall be responsible for 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 In payments as the 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 of such repair or restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has reasonable cause,
<br />Lender may inspect the interior of the impprovements on the Property. Lender shall give Borrower notice at the time of or
<br />to rior to such an interior inspection; p itying such reasonable cause.
<br />8. Borrower's Loan Application. Borrower shall be in default if, during the Loan application process,
<br />Borrower or any persona or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave
<br />materially false, misleading, or inaccurate information or statements to Lender (or flailed to provide Lender with material
<br />information) in connection with the Limn. Material representations include, but am not limned to, roper, nlations concerning
<br />Borrower's occupancy of the Property as Borrower's principal residence.
<br />9. Protection of Lender's Interest in the Property and Rights Under this Security Tnstrnment. If
<br />(a) Borrower fails to perform the covenants and agreements contained in this Security Instrument (b) there is a legal
<br />may do and pay for whatever is rensemble or appropriate to In elect Lender's interest in the Property and rights under this
<br />Security instrument, including protecting and /or assessing the value of the Property, and securing and/or repairing the
<br />Property. Lender's actions can incl ude, but are not limited to. (a) paying any sales secured by a 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 m, entering the Property to make repairs, change locks, rep lace or board up doors
<br />and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities
<br />lurnedonoroff. Although Under maytake action under this Section 9, Lender does not have to do soand is not under any
<br />duty of 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 disbu rsed 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 ofd[sbursement and shall be payable,
<br />wish such interest, upon notice from Lender to Bin wer requesting payment
<br />lfthis Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the 1fBorrower
<br />acquires fee title to the Property, the leasehold and the fee title shall not nherge unless Lcuder agrees ho the merger in writing.
<br />10. Mortgage Insurance. It Lender required Mortgage Insurance as a condition of making the Lorin,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect If, for any roavar the Mortgage
<br />Insurance coverage required by Lender ceases to be available from the mortgage insurer that previously provided such
<br />insurance and Borrower was required to make separately designated payments toward thcpmmiums for Mortgage Insurance,
<br />Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurancepreviously
<br />in effect, at a rust substantially equivalent to the coat to Burrower of the Mortgage Insurance previously in effect, from an
<br />alternate mortgage insurer selected by Lender. It substantially egmvalent Mortgage Insurance coverage is not available,
<br />Borrower shall continue to pay to Lender the amount of the separately designated payments that were due when the insurance
<br />coverngeceasedtobeine act. Lender will accept, use and retain these payments as a non - refundable loss reserve in lieu of
<br />Mortgage 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 But 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 avairable, is obtained, ¢rid Lender requires separately designated
<br />Ctoward the premiums for Mortgage Insurance - If Lender required Mortgage Insurance as or condition of making 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 non - refundable loss
<br />reserve, until Lender's requirement for Mortgage Insurance ends in reconlance with any written agreement between
<br />Borrower and Lcndcr providing for such termination or until termination is required by Applicable Law. Nothing in this
<br />Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note.
<br />Mortgage Insurance reimburses Tinder (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 />NF.HRASKA- Single Family-- FFannte Mae/Freaaie Mae FNIFORM INS'TRUMEN'1' Fomr3028 1 /01 (page4 f8pagei)
<br />VIA.rV fIN21 Cih6HX
<br />GOTOt0002'_1831
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