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<br />200601930
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<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless
<br />Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to
<br />Lender, but only so long as Borrower is performing such agreement; (b) contests the lien in good faith by, or
<br />defends against enforcement of the lien in, legal proceedings which in Lender's opinion operate to prevent the
<br />enforcement of the lien while those proceedings are pending, but only until such proceedings are concluded;
<br />or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this
<br />Security Instrument. If Lender determines that any part of the Property is subject to a lien which can attain
<br />priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10
<br />days of the date on which that notice is given, Borrower shall satisfy the lien or take one or more of the
<br />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
<br />service used by Lender in connection with this Loan.
<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the
<br />Property insured against loss by fire, hazards included within the term "extended coverage," and any other
<br />hazards including, but not limited to, earthquakes and floods, for which Lender requires insurance. This
<br />insurance shall be maintained in the amounts (including deductible levels) and for the periods that Lender
<br />requires. What Lender requires pursuant to the preceding sentences can change during the term of the Loan.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's right to
<br />disapprove Borrower's choice, which right shall not be exercised unreasonably. Lender may require
<br />Borrower to pay, in connection with this Loan, either: (a) a one-time charge for flood zone determination,
<br />certification and tracking services; or (b) a one-time charge for flood zone determination and certification
<br />services and subsequent charges each time remappings or similar changes occl,l,r..which reasonably might
<br />affect such determination or certification. Borrower shall also be responsible-lor the payment of any fees
<br />imposed by the Federal Emergency Management Agency in connection with the review of any flood zone
<br />determination resulting from an objection by Borrower.,,,,, ,o,,~.. ,.. "" ...._....__
<br />If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance
<br />coverage, at Lcnder's option and Borrower's expense. Lender is under no obligation to purchase any
<br />particular type or amount of coverage. Therefore, such coverage shall cover Lender, but might or might not
<br />protcct Borrower, Borrower's equity in the Property, or the contents of the Property, against any risk, hazard
<br />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
<br />insurance that Borrower could have obtained. Any amounts disbursed by Lender under this Section 5 shall
<br />become additional debt of Borrower secured by this Security Instrument. These amounts shall bear interest at
<br />the Note rate from the date of disbursement and shall be payable, with such interest, upon notice from Lender
<br />to Borrower requesting payment.
<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's
<br />right to disapprove such policies, shall include a standard mortgage clause, and shall name Lender as
<br />mortgagee and/or as an additional loss payee. Lender shall have the right to hold the policies and renewal
<br />certificates. If Lender requires, Borrower shall promptly give to Lender all receipt,> of paid premiums and
<br />renewal notices. If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for
<br />damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and shall
<br />name Lender as mortgagee and/or as an additional loss payee.
<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may
<br />make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in
<br />writing, any insurance proceeds, whether or not the underlying insurance was required by Lendcr, shall be
<br />applied to restoration or repair of the Property, if the restoration or repair is economically feasible and
<br />Lender's security is not lessened. During such repair and restoration period, Lender shall have the right to
<br />hold such insurance proceeds until Lender has had an opportunity to inspect such Property to ensure the
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<br />.-6A(NE) (0407)
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<br />InitialS~ (.""'>( .
<br />Form 3026 1/01
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