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200316514 LoAt ll, 8250071561
<br />deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking
<br />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 or in
<br />a series of progress payments as the work is completed. If the insurance or condemnation proceeds are not sufficient
<br />to repair or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or
<br />restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. if it has reasonable cause,
<br />Lender may inspect the interior of the improvements on the Property. Lander shall give Borrower notice at the time of
<br />or prior to such an Interior Inspection specifying such reasonable cause.
<br />S. Borrowoes Loan Application. Borrower shall be in default tl, during the Loan application process, Borrower
<br />or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially
<br />false, misleading, orinaccurate information orstatements to Lander (orfailed to provide Lenderwith material information)
<br />in connection with the Loan. Material representations include, but are not limited to, representations concerning
<br />Borrower's occupancy of the Property as Borrower's principal residence.
<br />9. Protection of Larder's Interest In the Property and Rights Under this Security Instrument If (a) Borrower
<br />falls to perform the covenants and agreements contained in this Security Instrument, (b) there Is a legal proceeding that
<br />might significantly affect Lender's interest in the Property and /or rights under this Security Instrument (such as a
<br />proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a liar which may attain priority
<br />overthis Security instrument orto enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender
<br />may do and pay for whatever is reasonable or appropriate to protect Lenders interest in the Property and rights under
<br />this Security Instrument, Including protecting and /or assessing the value of the Property, and securing and /or repairing
<br />the Property. Lender's actions can include, but are not limited to: (a) paying any sums secured by a lien which has priority
<br />over this Security Instrument; (b) appearing in court; and (c) paying reasonable attomeys' fees to protect its interest in
<br />the Property and /or rights under this Security Instrument, including Its secured position in a bankruptcy proceeding.
<br />Securing the Property includes, but is not limited to, entering the Property to make repairs, change locks, replace or
<br />board up doors and windows, drain water from pipes, eliminate building or other code violations or dangerous
<br />conditions, and have utilities turned on or off. Although Lender may take action under this Section 9, Lender does not
<br />have to do so and is not under any duty or obligation to do so. It Is agreed that Lender incurs no liability for not taking
<br />any or all actions authorized under this Section 9.
<br />Any amounts disbursed by Lender under 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 of disbursement and shall be
<br />payable, with such interest, upon notice from Lender to Borrower requesting payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply with all the provisions of the lease. Borrower shall
<br />not surrender the leasehold estate and interests herein conveyed ortenminate or cancel the ground lease. Borrowershall
<br />not, without the express written consent of Lender, after or amend the ground lease. If Borrower acquires fee title to the
<br />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, Borrower shall
<br />pay the premiums required to maintain the Mortgage Insurance in effect. if, for any reason, the Mortgage Insurance
<br />coverage required by Lender ceases to be available from the mortgage Insurer that previously provided such Insurance
<br />and Borrower was required to make separately designated payments toward the premiums for Mortgage Insurance,
<br />Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage Insurance
<br />previously In effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance previously in
<br />effect, from an alternate mortgage insurer selected by Lender. If substantially equivalent Mortgage Insurance coverage
<br />is not available, Borrower shall continue to pay to Lender the amount of the separately designated payments that were
<br />due when the insurance coverage ceased to be In affect, Lender will accept, use and retain these payments as a non-
<br />refundable loss reserve in lieu of Mortgage Insurance. Such loss reserve shall be non - refundable, notwithstanding the
<br />fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any Interest or earnings on
<br />such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the amount
<br />and for the period that Lender requires) provided by an insurer selected by Lender again becomes available, is obtained,
<br />and Lender requires separately designated payments toward the premiums for Mortgage Insurance. If Lender required
<br />Mortgage Insurance as a condition of making the Loan and Borrower was required to make separately designated
<br />payments toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to maintain
<br />Mortgage Insurance in effect, or to provide a non - refundable loss reserve, until Lender's requirement for Mortgage
<br />Insurance ends in accordance with any written agreement between Borrower and Lender providing forsuch termination
<br />or until termination is required by Applicable Law. Nothing in this Section 10 affects Borrower's obligation to pay interest
<br />at the rate provided in the Note.
<br />Mortgage Insurance reimburses Lender (or any entity that purchases the Note) for certain bases it may incur if
<br />Borrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage Insurance.
<br />Mortgage Insurers evaluate their total risk on all such insurance in force from time to time, and may enter into
<br />agreements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and
<br />conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These
<br />agreements may require the mortgage insurer to make payments using any source of funds that the mortgage insurer
<br />may have available (which may include funds obtained from Mortgage Insurance premiums).
<br />As a result of these agreements, Lander, any purchaser of the note, another insurer, any coinsurer, any other entity,
<br />or affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive from (or might be characterized
<br />as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or modifying the mortgage
<br />insurer's risk, or reducing losses. If such agreement provided that an affiliate of Lender takes a share of the insurer's
<br />risk in exchange for a share of the premiums paid to the insurer, the arrangement is often termed "captive reinsurance.'
<br />Further:
<br />(a) Any such agreements will not affect the amounts that Borrower has agreed to pay for Mortgage
<br />Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for
<br />Mortgage Insurance, and they will not entitle Borrower to any reflard.
<br />(b) Any such agreements will not affect the rights Borrower has - If any - with respect to the M age
<br />Insurance under the Homeowners Protection Act of 1998 or any other law. These rights may Include tt to
<br />NEBRASKA -Single Family- Fannie Mee/Freddie Mac UNIFORM INSTRUMENT Form 30261/01 Initials:
<br />® 1999 -2003 online Doeumenta, Inc. Page 5 of 9 46WIfi—fieD
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