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200213677
<br />coverage, not otherwise required by Lender, tar damage m, 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 payer.
<br />In the event of loss, Borrower ,hall give prompt notice to the insurance carrier and Lender. Lendermay makeprwf
<br />n(Inxs iC not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, any insurance proceeds,
<br />whether or not the underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, if
<br />the resonation or repair is economically feasible and Lender's security is not lessened. During such repair and restoration
<br />period Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity to inspect such
<br />Property to onxur: the work has been completed to Lender's satisfaction, provided that such inspection shall he 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 require., interest to hepi id
<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, retained by Borrower shall not be paid out of the insurance proceeds and shall be
<br />the sole obligation of Borrower if the restoration or repair is not economically feasible or Lender's security would be
<br />lessened, [he msumnce proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due,
<br />with the excess, if any, paid to Borrower. Such insurance pproceeds shall be applied in the order provided for in Section 2,
<br />If Borrower abandons the Property, Lendermay de, negotiate and settle any available insurance claim and related
<br />matters. IfBormwer does not respond within 30 days to a notice from Lender that the insurance carrier has offered to scale a
<br />claim, then Lender may negotiate and settle the claim. The 30 -day per icd will begin when the notice is given. In either
<br />event, or it Lender 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, insofar 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 Note or this Security
<br />Instrument, whether or net than due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Propertyas Borrower's principal residence within
<br />60 days after the execution of this Security fnstrument and shall continue to occupy the Property as Borrower's principal
<br />residence for at least one year after the dare
<br />(if occupancy, unless lender otherwise agrees is writing, which consent shall not be unreasonably withheld, or unless
<br />extenuating circumstances exist which are beyond Borrower's control.
<br />7. Pm.servation, Maintenance and Protection of the 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 nor 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 if damaged to
<br />avoid further deterioration or damage. If insuance or condemnation In oceeds are paid is connection with damage to, or the
<br />taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only it Lender has released
<br />proceeds for such proposes. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series
<br />of progress 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. It it has reasonable cause,
<br />Lender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or
<br />prior to such an interior inspection specifying such reasonable cause.
<br />8. Borrower's Loan Application, Borrower shall be in default if, during the Limn 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 Under with material
<br />information) in connection with the Loan_ Material representations include, but are not limited to, representations mnce ring
<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 Instrument. If
<br />(a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal
<br />as a proceeding in bankruptcy, probate, for condcmnatue or mrterure, tor entorcement ota lien which may anam priority
<br />over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender
<br />may do and pay for whatever is ecasonabl e or appropriate to protect l ender's interest in the Property and rights tinder this
<br />Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the
<br />Property. fender's actions can include, but are not Iimited m: (a) paying anysums secured by 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, replace or board up doers
<br />and windows, drain water Item 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 n ender incurs no liability tar not taking any oral] actions authorized tinder this
<br />Section 9.
<br />Any amounts disbursed by lender order 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 ofdisbursement and shall be payable,
<br />with such interest, upon notice from Iender to Borrower requesting payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions ofdre lease. IfBorower
<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 as a condition of making the loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect It, for any reason, the Mortgage
<br />Insurance coverage required by ]ender ceases to be available hour the mortgage insurer that previously provided such
<br />insurance and Borrower was required to make separately designated payments toward die premiums for Mortgage Insurance,
<br />in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in effect from an
<br />Borrower shall continue to Fay to Under the amount of the separately designated payments that weredue, when the insurance
<br />coverage ceased to be in effect. Lender will accept use and retain these payments as a non-reffincluff It, lose reserve 1n lieu of
<br />Mortgage Insurance. Such loss reserve shall be non - refundable, notwithstanding the tact that the Loan is ultimately paid in
<br />full, and Lender shall nut be required to pay Borrower any interest or ow nimgv on such loss reserve, fender can no longer
<br />require loss reserve payments it Mortgage Insurance coverage (in the amount and for the period that Lender requires)
<br />provided [,you insurer selected by Lender again becomes available, is obtained, and lender requires separately designated
<br />Etoward the premiums for Mortgage insurance. It Under required Mortgage Insurance as a condition of making the
<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 non - 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 Law_ Nothing in this
<br />Section 10 affects Borrower's obligation to pay interest at the rote provided in the Note.
<br />Mortgage Insurance reimburses lender (tor 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 />NF8nAS"- Siagrc Family-- P'annlc aladFUHdw blue UNIMEN1 INS'rRUMrN'I Form3028 1101 (paKe3gf8page.e)
<br />9754 CV l r /021 u-21537
<br />GIaTONW31011
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