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200214302
<br />coverage, not otherwise required by Lender, for damage to, or destruction of, the Propel rty such policy shall include a
<br />standard mortgage clause and shall name lender as moil •ogee and /or as an additional Toss payee.
<br />In the event of loss, Burros) r shall gfte in ... ant notice to thumurance canter and Lendet '. lender maymake proof
<br />of loss if not made promptly by Borrower - Unless Uncut and Borrower otherwise agree in wrhing. any insurance proceeds.
<br />whether or not the underlying Insurance was required by Unde , shall be applied to restoration or repair of Property, if
<br />the restoration or repair is economically feasible and Leader's security is not lessened Din ngsueh repair and restoration
<br />period, Lender shall have the right m ra
<br />hold such instal proceeds until lender has had an opportunity to inspect such
<br />Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken
<br />promptly. Lender may disburse proceeds tot the repairs and testomtion 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 Lite., requires interest to be paid
<br />on such insurance proceeds, lender shall not be required to pay But any interest or earnings on such proceeds. Pees
<br />for public adjusters, or other third parties, retained by Borrower shall nod be paid out of the Insurance pmewdx and shall ba
<br />the sole obligation of Borrower. If the restoration of repair is not economically feasible or Leader's security would he
<br />lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due,
<br />with the excess, it any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section?.
<br />If Borrower abandons the Property lender may Idle, negotiate and settle any available room have claim and related
<br />matters. If Borl'nwer does not respond within 30 days to a notice from Lender that the insurance carrier has offered to settle a
<br />claim, then Lender may negotiate and settle the claim_ The 30 -day period will begin when the notice is given. In either
<br />event, or ifLCn ici acquires dte Property under Section'' ar otherwise. Borrower hereby assigns m Lender (a) Borrower's
<br />rights today insurance proceeds in an amount not to scecd theamouis unpaidunder the Note orthis Security Instrument,
<br />and (b) any other of Borrower's rights (other than the fight 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 coverageofthe Property. Lender may
<br />use the insurance proceeds either to repair of restore the Property or to pay amounts unpaid under the Note or this Security
<br />Marmoset, whether or not (hen due.
<br />6. Occupancy. Bon lower shall occupy. establish. and use the Property as But principal residence within
<br />60 days after the execution of this Security Instrument and shall continue to oC UP) the Properly as Borrower's principal
<br />residence for at least one year after the date
<br />of occupancy, unless Lcndcr otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless
<br />extenuating circumstances exist which are beyond Bor rower's cor
<br />ntol -
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower Shall not destroy,
<br />damage or impair the Property allow the Propcny to dotcrioratc ur commit waste
<br />on the Property. Whether of not Borrower Is residing in the Property, Ban ower shall maintain the Property in order to
<br />prevent the Property If can 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 insurance or condemnation proceeds are paid in connection with damage to, or the
<br />caking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released
<br />proceeds for such purposes. Lender maydisburse proceeds for (fie repairs and restoration in a single payment or in a series
<br />of pmgres_s payments as the work is completed. If the insurance of condemnation proceeds are not sufficient to repair of
<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 ealfes upon and inspections of the Property . Ifithas reasonable cause,
<br />Lender may inspect the interior of the improvcmcnb on the Properly. Lender shall give Borrower notice at the time of or
<br />prior to such an interior inspection specifying such reasonable cause.
<br />S. Borrower's Loan Application. Borrower shall he in default it, dorm, 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 in statements to Lender (or failed to provide Lander with material
<br />information) inconnecfion with the ltmn. Material rcprescnwtions include, bit[ are not limited to, representations concerning
<br />Borrower's occupancy of the Property as Ban lower's principal residence.
<br />9. Protection of Lender's Interest fn the Property and Rights Under this Security Instrument. It
<br />(a) Borrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal
<br />proceeding that mi glut significantly affect Lender s interest in the Property all rights under this Security Instrument (such
<br />as a proceeding in bankruptcy, probate, for condemnation of forfeiture, tot enforcemenrota lien which mayattain priority
<br />over this Security Instrument of to enforce laws or regulations), or (c) Bum »wen has abandoned the Proper,, then Lender
<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 of the Property, and securing and/or repairing the
<br />Property. Lender's actions can include, but rte not I Imlled 10: Qo pay,ag any scar, secured by a lien which has priority over
<br />this Security Instrument; (b) appearing in court. and (c) ping reasonable attorneys' fees to protect its interest in the
<br />Pfoperty and/or rights under this Security InSh oulln, including its secn'ed position an a bankruptcy proceeding- Securing
<br />the Prierty includes, but is not limited to, entering the Property to make repairs, change lacks, replace or bound up doors
<br />and windows, drain water from pipes, eliminate building of other code violations of dangerous conditions, and have utilities
<br />turned on or off.. Although Under may take action under Ihis 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 Burrower secured by this
<br />Security Instrument These amounts shall bear interestatthe Note rate fiom the date ofdisbursementand shall he payable.
<br />with such interest, upon notice from Lender to Borrower requesti ng payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply vs fill all the provisions of the lease. ItTorrower
<br />acquires fee title to the Property, the leasehold and the fee tide shall not merge unless lender agrees to the merger in writing.
<br />10. Mortgage Insurance. If Lender required Mia nc c Insurance as a condition of making the Loan,
<br />Borrower shall pay the premiums required to lnnintain the Mortgage insurance in elfeet. 11. he anyreason, 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 euqu(red to make separately designated payments Inward (he premiums (or Mortgage Insuranm-
<br />Borrower 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 of the Mortgage Insurance previously in effect, from an
<br />alternate mortgage insurer selected by Lender. II substantially equivalent Mortgage Insurance coverage is not available,
<br />Borrower shall continue to pay to Lender the amount of the separately designated payments thatwene due when the insurance
<br />coverage ceased to be in effect. Leader will accept, use and retain these payments as a non - refundable loss resolvent lieu of
<br />Mortgage Insurance. Such loss reserve shall be non- refundable, notwithstanding the fact that he Loan is ultimately paid in
<br />full, and Lender shall not be required to pay Borrower any intenustor earnings on such lob's reserve. Lender can no longer
<br />require loss reserve payments if Mort,a,e Insurance coverage (in the amount and for the period that Lender requires)
<br />provided by an insurer selected by Lender again becomes uvindahle, is obtained. and Lender requires separately designated
<br />payments toward the premiums for Mortgage ILL once. If Lender required Mortgage Insurance es a condition of nuking the
<br />Loan and Borrower was required to make separately designated payments toward the pi cmfnns for Mortgage Insurance,
<br />Borrower shall pay dte premiums required to muintuiu Mortgage Insurance in effect, of to provide a non - refundable Toss
<br />reserve. until lender's requirement far Mortgage Insurance ends in accordance with any written agrwmcut between
<br />Borrower and Lender providing for such termination of until termination is required by Applicable Law_ Nothing in this
<br />Section 10 affects Borrower's ohligatiou 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 Iran as agreed Borrower is not n puny to the Mortgage Insurance .
<br />6HRRiLi"Sin& FLaily- Fannie MuaXwddte Mac UNIFORM INS 'IRUNIFN'r thiel ER 1 /01(11ge4of8pagn9
<br />995a.CV11 1e2) I (It rl53
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