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200206375
<br />coverage, rat otherwise required by Lender. 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 air additional loss payee.
<br />In the event of loss, Borrower shall give prompt nonce to the insurance carrier and Lender. Lcndcr may make proof
<br />of loss ifnot made promptly by Borrowef. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds,
<br />whether or not the underlying insurance was required by I order, shall be applied to restoration or repair oflhe Property, if
<br />the restoration or repair is economically feasible and Leader's security is not lessened. During such repair and restoration
<br />period, Lender shall have the right to hold such insurance proceeds until Lander has had an opportunity to inspect such
<br />Property to ensure the work has boon completed to Lender's satisfaction, provided that such 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 Law 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. Fees
<br />for public adjusters, or other third parties, returned by Borrower shall not be paid out ofthe insurance proceeds and shall be
<br />the solo obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be
<br />lessened, the insurance proceeds shall be applied to the sums secured by this Security hhstrnment, whether .rnot then due,
<br />with the excess, ifany, paid to Borrower. Stich insurance proceeds shall be applied in the order provided for in Section 2.
<br />If Borrower abandons the Property, Lender may hie, 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 offcrcd to settle a
<br />claim, then lender may negotiate and settle the claim. The 30 -day period will begin when the notice is given. [neither
<br />event, c r if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's
<br />rights to any insurance proceeds in as 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 refired of unearned premiums paid by Borrower) under all
<br />insurance policies covering the Property, insular as such rights are applicable /o the coverage ofthe Property. Lendermay
<br />use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security
<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 (n occupy the Property as Borrower's principal
<br />residence for at least one year alter the dale
<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 promptlyrepair the Prupertyifdamaged to
<br />avoid further deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage 1o, or 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 orm a series
<br />of progress payments as the work is completed. Ifthe 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 or its agent may make reasonable entries upon and inspections ofthe Property Ifithas reasonable cause,
<br />Lender may inspect the interior ofthe improvements on the Properly. Lender shall give Borrower notice at the time ofor
<br />prior to such an interior inspection specifying such reasonable cause.
<br />8. Borrower's Loan Application. Rorrower 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 statements to Lender (or failed to provide Lender with material
<br />Infuriation) in connection with the Loan. Material representations include, but are not limited to, representations concerning
<br />Borrower's occupancy at the Property as Borrower's principal residence.
<br />9. Perfection 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 Property and/or rights under this Security Instrument (such
<br />as a Proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may attain priority
<br />may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the Property and rights under this
<br />Security Instrument, including protecting and/or assessing the value ofthe Property, and securing and/or repairing the
<br />Property. Lender's actions can include, but arenot limited to (a) paying any sums secured bya lien which has priorityover
<br />this Security Instrument (b) appearing in court; and (c) paying reasonable attorneys' fees m protect its interest in the
<br />Properly and/ur 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 ufili fie,
<br />turned on or off, Although Lender may take action under this Section 9, Lender does not have W do so mid is not under any
<br />duty or obligation to do so. It is agreed that Lender incurs no liability for not taking any oral] actions authorirod under this
<br />Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall become additional debt of Borower secured by this
<br />Security Instrument. These amounts shall hear interest at Note rate from the date ofdisbursement and shall be payable,
<br />with such interest, upon notice from Lender to Borrower requesting payment.
<br />Ifthls Security Instrument is on a leasehold, Borrower shall comply with all the provisions ofthe lease. IfBonower
<br />acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lender agrees to the merger in writing.
<br />10. Mortgage Insurance. If Lender required Mortgage Insurance res a condition of making the Loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect If, for anyreas.n, 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 the premiums for Mortgage Insurance,
<br />But shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance previously
<br />in effect, at a cost substantially equivalent to the cost to Borrower ofthe Mortgage Insurance previously in effect, from an
<br />alternate mortgage insurer selected by Lender. lfsubstan rally equivalent Mortgage Insurance coverage is not available,
<br />Borrower shall continue to pay to Lender the amount m7 the separately designated payments that were due when the insurance
<br />cover age ceased to be in effect. Lender will accept, use and retain these payments as anon -refundable loss reserve in lien of
<br />Mangagelnsurance Such loss reserve shall be nor- refundable, notwithstanding the fact that the Loan is ultimately paid in
<br />fall, 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 Lenderrequires separately designated
<br />payments toward the premiums for Mortgage Insurance. If Lender required Mortgage Insurance as a condition ofnaking the
<br />Loan and Burrower 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- etunciable 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 requited 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 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-- Singlc Pamay--Fannie Mae /Freddie Mac UK I FORM IN STRUM ENT Form302H 1/m (pgge4p %5pmes)
<br />9906 PV (1 /IP) (ill9ntl
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