|
Loan #: 002002963938
<br />Deed of Trust, continued
<br />200508639
<br />You covenant that You are lawfully seized of the estate hereby conveyed and have the right to mortgage, grant, and convey the
<br />Property, and that the Property is unencumbered, except for the encumbrances of record and any first deed of trust. You covenant
<br />that You warrant and will defend generally the title to the Property against all claims and demands, except those disclosed in
<br />writing to Us as of the date of this Deed of Trust.
<br />You and We covenant and agree as follows:
<br />1. Payment of Indebtedness. Borrower shall promptly pay when due the indebtedness secured by this Deed of Trust including,
<br />without limitation, that evidenced by the Agreement.
<br />2. Application of Payments. Unless applicable law provides otherwise, all payments received by Us under the Agreement will be
<br />applied to the principal balance and any finance charges, late charges, collection costs, and other charges owing with respect to the
<br />indebtedness secured by this Deed of Trust in such order as We may choose from time to time.
<br />3. Charges; Liens. Except as expressly provided in this Paragraph 3, You shall pay all taxes, assessments and other charges, fines
<br />and impositions attributable to the Property which may attain a priority over this Deed of Trust, and leasehold payments or ground
<br />rents, if any, by Your making payments, when due, directly to the payee thereof. In the event You make payments directly to the
<br />payee thereof, upon Our request You shall promptly furnish to Us receipts evidencing such payment.
<br />You shall make payments, when due, on any indebtedness secured by a Deed of Trust or other lien that is prior in right of
<br />time to this Deed of Trust (a "Prior Deed of Trust "). You shall promptly discharge the lien of any Prior Deed of Trust not
<br />disclosed to Us in writing at the time of application for the Agreement, provided, however, that You shall not be required to
<br />discharge any such lien so long as You shall (a) in good faith contest such lien by, or defend enforcement of such lien in, legal
<br />proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof, or (b) secure
<br />from the holder of such prior lien an agreement in form and substance satisfactory to Us subordinating such lien to this Deed of
<br />Trust. You shall not enter into any agreement with the holder of a Prior Deed of Trust whereby such Prior Deed of Trust, or the
<br />indebtedness secured thereby is modified, amended, extended or renewed, without Our prior written consent. You shall neither
<br />request nor allow any future advances to be secured by a Prior Deed of Trust without Our prior written consent.
<br />4. Hazard Insurance. You shall keep the improvements now existing or hereafter erected on the Property insured against loss by
<br />fire, hazards included within the term "extended coverage" and such other hazards as We may require (including flood insurance
<br />coverage, if required by Us) and in such amounts and for such periods as We may require. Unless We require in writing otherwise,
<br />the policy shall provide insurance on a replacement cost basis in an amount not less than that necessary to comply with any
<br />coinsurance percentage stipulated in the hazard insurance policy. All insurance policies and renewals thereof shall be in form and
<br />substance and with carriers acceptable to Us and shall include a standard mortgagee clause in favor of and in form and substance
<br />satisfactory to Us. In the event of loss, You shall give prompt notice to the insurance carrier and Us. We may make proof of loss
<br />if not made promptly by You.
<br />If the Property is abandoned by You, or if You fail to respond to Us within thirty (30) days from the date the notice is
<br />mailed by Us to You that the insurance carrier offers to settle a claim for insurance benefits, We are authorized to collect and apply
<br />the insurance proceeds at Our option either to restoration or repair of the Property, or to sums secured by this Deed of Trust.
<br />If the Property is acquired by Us under Paragraph 14 of this Deed of Trust, all of Your right, title and interest in and to
<br />any insurance policies, and in and to the proceeds thereof resulting from damage to the Property prior to the sale or acquisition,
<br />shall pass to Us to the extent of the sums secured by this Deed of Trust immediately prior to such sale or acquisition.
<br />The provisions of this Paragraph 4 shall be subject to the provisions of Paragraph 5 if this Deed of Trust covers a unit in a
<br />condominium project or planned unit development.
<br />5. Preservation and Maintenance of Property; Condominiums and Planned Unit Developments. If this Deed of Trust is on a
<br />unit in a condominium or a planned unit development (herein "Condominium Project "), then: (a) You shall perform all of Your
<br />obligations under the declaration or covenants creating or governing the Condominium Project, the by -laws and regulations of the
<br />Condominium Project, and all constituent documents (herein "Project Documents "), including the payment when due of
<br />assessments imposed by the homeowners association or other governing body of the Condominium Project (herein "Owner's
<br />Association "); (b) You shall be deemed to have satisfied the insurance requirements under Paragraph 5 of this Deed of Trust if the
<br />MB -2533 Deed of Trust - Nebraska - Rev. 6/2004 Page 3 of 7 CitiMortgage 2.9.0.51 V1
<br />
|