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<br />200702912
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<br />DOC ID #: 00016552167503007
<br />d~maged to ~void further deterioration (If d~mage, If insurance or condemnation vroceed.~ ~re v~id in
<br />connection with dam~ge to, or the ~king of, the Property, Borrower shall be responsible for repairing or
<br />restoring the Property only if Lender has rele~sed proceeds lor such purposes. Lender may disburse proceeds
<br />for the repairs and restoration in a single payment or in a s...'l'ies of progress payments as the work is
<br />completed. If the insurance or condemnation proceeds are not suflkient to repair or restore the Property,
<br />Borrower is not relieved ofBorro\\o\.'1"s obligation for tJre completion of such repair or restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has
<br />reaoonable cause, Lender may inspect the interior of the improvements on the Property_ Lender shall give
<br />Borrower notice at the time of or prior to such an interior inspection specifying such reasonable cause.
<br />8. Borrower's Loan Application. Borrower shall be in default it: during the Loan application process,
<br />Borrowf;f or any persons or entities lICting at the dire.:tion of Borrower or with Borrower's Imow\edge or
<br />consent gave materially false, misleading, or inaccurate infonnation or flIatements to Lender (or failed to
<br />provide Lender with material information) in connection with the LOIlII. Material f\..-prescn~tions include, but
<br />are not limited to, representations conceming Borrower's occupancy of the Property as Borrower's principal
<br />residence.
<br />9. Protection of Lendel~s Interest in the Property and Rights Under tbis Soculitylnstnullent. If (a)
<br />Borrower fuils to p"''fforrn the covennnts and agreements contained in this Security Instrument, (b) there is a
<br />legal proceeding that might significantly affect Lender's interest in the Property andior rights under this
<br />Security Instrument (such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, tor
<br />enforcement of a lico which may attain priority over this Security Instrument or to enforce laws or
<br />rcgulatiotlli), or (e) Borrower has abandoned the Property, tl'!l;n Lender may do and pay for whatever is
<br />reasonable Of appropriate to protect Lender's interest in the Property and rights under this Security Instrument,
<br />including protecting and/or assessing the value of the Property, and securing anclior repairing the Property.
<br />Lender's actions can indude, but are not limited to: (a) paying any llIlOlll secured by a lien which has priority
<br />over this Security Instrument; (b) appearing in court; and (c) paying reasonable aOOmeys' fees to protect it.
<br />interest in the Property and/or rights under this Security Instrument, including its secured position in a
<br />bankruptcy proceeding. Securing the Property includes, but is not limited to, entcring the Property to make
<br />repairs, change locks, replace or board up doors and windows, drain warer Irom pipes, eliminate building or
<br />other code violations or dangerous conditions, and have utilities turned on or otT. Although Lender may take
<br />action under this Section 9, Lender does not have to do so and is not under any duty or obligation to do so. It
<br />is agreed that Lender inours no liability for not taking any or allootions authoriz.ed under this Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall become additional deht of Borrower secured
<br />by this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbul'Sement
<br />and shall be 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.
<br />If Borrower acquires lee title to the Property, the leasehold and the fee title shall not merge wiess Lender
<br />agrees to the merger in writing_
<br />10. Mortgage Insurance. If Lender required Mortgage Insurance as a condition of making the Loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insunmcc in effect II; for any reason. the
<br />Mortgage Insurance coverage required by Lender ceases to be available from the mortgage insurer that
<br />previously provided such insurance and Borrower was required to make separately designated payments
<br />toward the premiums for Mortgage Insurance, Borrower shall pay the premiums required to obtain covel'Hgc
<br />substantially equivalent to the Mortgage Insurance previously .in effect, at a cost substantially equivalent to the
<br />cOst to Borrower of the Mortgage Insurance previously in eIJool.. from an alternate mortgage insurer selected
<br />by Lendet. If substantially equivalent Mortgage Insurance coverage is not available, Borrower shall continue
<br />to pay to Lender the amount of the separately designated payments that were due when the insurnncc covefltgc
<br />ccased to be in elleet. Lender will accept, use and retain these payments as a non. refundable loss reserve in
<br />lieu of Mortgage Insurance. Such loss reserve shall be non-refundable, notwithstanding the fact that the Loan
<br />is ultimately paid in full, and I.ellder shall not be required to pay Borrower any interest Of earnings on such
<br />loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance coverage (in the
<br />amount and for the period that Lender requires) provided by an insurer selected by Lender again becomes
<br />available, is obtained, and Lender requires separately designated payments toward the premiums for Mortgage
<br />Insurancc. If Lender required Mortgage Insurance as a condition of IUaking the Loan and Borrower was
<br />required to make oeparately designated payments toward the premi,Uils for Mortgage Insurance, Borrower
<br />shall pay the premiums required to maintain Mortgagc Insurance in effect, or to provide a non-refundable loss
<br />reserve.. until Lender's requirement for Mortgage Insurance ends in accordance with any written agreement
<br />b<::twwn Borrower and Lender providing fQt' such termination or until termination is required by Applicable
<br />Law. Nothing in this Section 10 affects Borrower's obligation to pay interest at the rate provided in the Note.
<br />Mortgage Insurance reimburses Lender (or allY entity that purehases the Note) for certain losses il: may
<br />incur if 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 toree Irom time to time, and may entcr
<br />into agreementa with other parties tbat share or modifY their risk, or reduce losses_ These agreements are on
<br />terms and conditions that are satisfactory to the mortgage insuft..-r and the other party (or parties) to these
<br />agref.'fOCIlts. These agreements may require the mortgage illsurer to make payments using any source of funds
<br />that the mortgage insurer may have available (which.,may include funds obtained from Mortgage Insurance
<br />premiums), ..
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<br />ClIIl-6A(NE) (Qo\07)
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<br />CHI.. (08106)
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<br />P_6<>f11
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<br />Form 3028 1101
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