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<br />The Funds shall be held In an institution whose deposits are insured by a federal agency, instrumentality, or entity (including
<br />Lender, if Lender is an instiation whose deposits are so insured) or in any Fedaral Home Loan Bank. Lender shall apply the Funds to
<br />ppay the Escrow Items no later than the time specified under R SPA. Lender shall not charge Borrower for holding and applying the
<br />Funtls, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender of Borrower interest on the Funds and
<br />Applicable Law perrnrls Lender to make such a charge. Unless an agreement is made In writing or Applicable Law requires Interest to
<br />be paid on the Funds, Lender shall riot be required to pay Borrower any interest or earnings on the Funds. Borrower and Lender can
<br />agree In writing, however, that Interest shall be paid on the Funtls. Lender shall give to Borrower, without charge, an annual
<br />accounting of the Funds as required by RESPA
<br />If there is a surplus of Funds hold in escrow, as defined under RESPA, Loader shall account to Borrower for the excess funds in
<br />accordance with RESPA. It there is a shortage of Funds held in escrow, as defined under RESPA, Lender shall notify Borrower as
<br />required by RESPA, and Borrower shall pay to Lender the amount necossa to make up the shortage in accordance with RESPA, but
<br />in no more than until Lender's monthlyy aymenbd If there is a deficiency o�Funds held in escrow, as defined under RESPA, Lender
<br />shall notify Borrower as required by RIPSPA, and Borrower shall pay to Lender the amount necessary to make up the deficiency in
<br />accordance with RESPA, but in no more than until Lender's monthly payments.
<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held
<br />by Lender.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and Impositions attributable to the Property
<br />which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, If any, and communit yy
<br />Association Dues, Fees, and Assessments, if any To the extent that these items are Escrow Items, Borrower shall pay them in 111e
<br />manner provided in Section 3
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in
<br />writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so luny as Borrower is
<br />performing such agreement, (b) contests the lien in goad faith by or defends against enforcement of the lien in, legal proceedings
<br />which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such
<br />proceedings are concluded, or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to
<br />this Security Instrument. If Lander determines that any part of the Property is subject to a lien which can attain priority over this
<br />Security Instrument, Lender may give Borrower a notice identifying the lien Within 10 days of the date an which that notice is given,
<br />Borrower shall satisfy the lien or take one or more of the actions set forth above in this Section 4
<br />Lender may require Borrower to pay a one -time charge for a real estate tax verification and/or reporting service used by Lender
<br />in connection with this Loan.
<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the lean "extended coverage," and any other hazards including, but not limited 10,
<br />earthquakes and floods, for which Lender requires insurance- This insurance shall be maintained In the amounts (including
<br />deductible levels) and for the periods that Lander requires. What Lender roquires pursuant to the property sentences can change
<br />during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to
<br />disapprove Borrowers choice, which ri ghl shall not be exercised unreasonably. Lender may require Borrower to pay, in connection
<br />with this Loan, either', (a) a one4lme charge for flood zone determination, certification and tracking services, or (b) a one -lime charge
<br />for flood zone determination and cedlficalion services and subsequent charges each trine ramappings or similar changes occur
<br />which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees
<br />imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting
<br />Irom an obtsclion by Borrower.
<br />If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option
<br />and Borrower's expense. Lender Is under no obligation to purchase any particular type or amount of coverage Therefore, such
<br />coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Properly, or the contents of the
<br />Property, against any risk, hazard or liability and might provide greater or lesser coverage than was previously in effect. Borrower
<br />acknowledges that the cost of the Insurance coverage so obtained might significantly exceed the cost of Insurance that Borrower
<br />could have obtained. Any amounts disbursed by Lender under this Section 5 shall become additional debt of Borrower secured by
<br />this Security deparrent. These amounts shall boar interest at the Note rate from the data of disbursement and shall be payable, with
<br />such Interest, upon notice from Lender to Borrower requesting payment.
<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to dleapprove such
<br />policies, shall include a standard mortgage clause, and shall name Lentler as mortgagee and/or as an additional loss payee Lender
<br />shall have ilia right le hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give 1u Lender all receipts
<br />of paid premiums and renewal notices If Borrower obtains any farm of insurance coverage, not otherwise required by Lender, for
<br />damage to, or destruction of, ilia Property, such policy shall include a standard mortgage clause and shall name
<br />Leader as
<br />mortgagee and/or as an additional loss payee.
<br />In the event of loss, Borrower shall give prompt notice to the insurance earner and Lender Lender may make proof of lose
<br />not made promptly by Borrower. Unless Lender and Borrower otherwise agree in Writing, any insurance proceeds, whether or not the
<br />underlying insurance was required by Lender, shall be applied 10 reslorallon or repair of the Property, It the restoration or repair is
<br />economically feasible and Lender's security is not lessened. During such repair antl restoration period, Lander shall have the right 10
<br />hold such insurance proceeds until Lender has had an opportunity to Inspect such Property to ensure the work has been completed
<br />to Lender's satisfaction, provided that such Inspectlon shall be undertaken promptly. Lender may disburse proceeds for the repairs
<br />and reslorat ion n asingle payment to Ina saner i progress payments peones ilia work s �ompfeted Unless an agrsemeN Is made In
<br />writing or Applicable Law requires interest 10 be paid on such insurance ds, Lender shall not be required to pay berraid o any
<br />interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be aid out of
<br />the Insurance proceetls and shall be the sole obligation of Borrower If the restoration or repair is not economically easible or
<br />Lender's security would be lessened, the Insurance proceeds shall be applied to the sums secured by this Security Instrument,
<br />whether or not then due, with the excess, if any, paid to the Borrower. Such insurance proceeds shall be applied in the order
<br />provided for in Section 2.
<br />It Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related matters. If
<br />Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a claim, then Lender
<br />may negotiate and settle the claim, The 30 -day period will begin when the notice is given In either event, or it Lendur acquires the
<br />Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrowers rights to any insurance proceeds in an
<br />amount not to exceed the amounts unpaid under the Note or this Security Instrument, and (b) any other of Borrowers rights (other
<br />than the right to any refund of unearned premiums paid by Borrower) under all insurance policies covering the Propody, insofar as
<br />such rights are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair or restore the
<br />Property or to pay amounts unpaid under the Note or this Security Instrument, whether or not then due.
<br />5. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within 60 days
<br />after the execution of Ihis Security Instrument and shall continue to occupy the Property as Borrower's principal residence for at least
<br />one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or
<br />unless extenuating circumstances exist which are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy, damage or
<br />impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not Borrower is residing in the
<br />Property, Borrower shall maintain the Property In order to prevent the Property from deteriorating or decreasing in value due to its
<br />condition. Unless it is determined pursuant to Section 5 that repair or restoration is not economically feasible, Borrower shall
<br />promptly repair the Property if damaged to avoid turner deterioration or damage. It insurance or condemnation proceeds are paid in
<br />connection with damage to, or the taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if
<br />Lender has released proceeds for such purposes. Longer may disburse proceeds for the repairs and restoration In a single payment
<br />or In a series of progress payrents as the work is completed. If the insurance or condemnation proceeds are not sufficient to repair
<br />or restore the Property, Borrower is not relioved of Borrower's obligation for the completion of such repair or restoration
<br />NEURASNA- S,rgi, Fe,,,,Iy- Fannie M,dFrdd,, Me UNIFORM INSTRUMENT Form YWii 11g1..ge3AIT.....
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