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<br />200707313
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<br />T~e Funds ~hall.be ~el~ in an institution. whose d~posits are insured by a federal agency, instrumentality, or entity (including
<br />lender, If lender IS an Institution whose geposlts <:,~e so Insured) or in any Federal Home loan Bank. lender shall apply the Funds to
<br />pay the Escrow Items ,:\0 later than the time speclfle~ u,nder R~SPA. lender shall not charge Borrower for holding and applying the
<br />Fun~s, annually analyzing the escrow account, or venfYlng the Escrow Items, ~nless l~nde!" pays Borr~wer interest on ,the Funds and
<br />Appll~able law permits lender to make such a charge. Unless an agreement IS made In wntlng or Applicable Law requires interest to
<br />be pal~ on t~~ Funds, lender sh~1I not be required to pay Borrower any interest or earnings on the Funds. Borrower and lender can
<br />agree In writing, however, that Interest shall be paid on the Funds. lender shall give to Borrower without charge an annual
<br />accounting of the Funds as required by RESPA. "
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<br />If there is a surplus of Funds held in escrow, as defined under RESP A lender shall account to Borrower for the excess funds in
<br />accordance with RESPA. If there is a shortage of Funds held in escrow, as defined under RESPA, lender shall notify Borrower as
<br />required by RESP A, and Borrower shall pay to Lender the amount necessary to make up the shortage in accordance with RESP A but
<br />in no more than until lender'~ monthly payments. If there is a deficiency of Funds held in escrow, as defined under RESPA, Le~der
<br />shall notify Borrower as required by RESPA, and Borrower shall pay to lender the amount necessary to make up the deficiency in
<br />accordance with RESPA, but in no more than until lender's monthly payments,
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<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held
<br />by lender.
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<br />. 4. Cha.rge~; !-iens. B~Jrrower ~hall pay all taxes, assessments, charges, fines, and impositions attributable to the Property
<br />which .c~n attain pnonty over this Security In.strument, leasehold payments or ground rents on the Property, if any, and Community
<br />ASSOCiation Dues, Fees, and Assessments, If any. To the extent that these items are Escrow Items, Borrower shall pay them in the
<br />manner provided in Section 3.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in
<br />writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower is
<br />performing such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal proceedings
<br />which in Lender's opinion operate to prevent the enforcement of the lien while those proceedings are pending, but only until such
<br />proceedin!;ls are concluded; or (c) secures from the holder of the lien an agreement satisfactory to lender subordinating the lien to
<br />this Secunty Instrument. If Lender determines that any part of the Property is subject to a lien which can attain priority over this
<br />Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10 days of the date on which that notice is given,
<br />Borrower shall satisfy the lien or take one or more of the 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 service used by Lender
<br />in connection with this Loan.
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<br />5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the term "extended coverage," and any other hazards including, but not limited to,
<br />earthquakes and floods, for which Lender requires insurance. This insurance shall be maintained in the amounts (including
<br />deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding sentences can change
<br />during the term of the Loan. 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 Borrower to pay, in connection
<br />with this Loan, either: (a) a one-time charge for flood zone determination, certification and tracking services; or (b) a one-time charge
<br />for flood zone determination and certification services and subsequent charges each time remappings or similar changes occur
<br />which reasonably might affect such determination or certification. Borrower shall also be responsible for the payment of any fees
<br />imposed by the Federal Emergency Management Agency in connection with the review of any flood zone determination resulting
<br />from an objection by Borrower.
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<br />If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance coverage, at Lender's option
<br />and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage. Therefore, such
<br />coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the Property, or the contents of the
<br />Property, against any risk, hazard 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 insurance that Borrower
<br />could have obtained. Any amounts disbursed by lender under this Section 5 shall become additional debt of Borrower secured by
<br />this Security Instrument. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with
<br />such interest, upon notice from Lender to Borrower requesting payment.
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<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove such
<br />policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an additional loss payee. Lender
<br />shall have the right to hold the policies and renewal certificates. If Lender requires, Borrower shall promptly give to lender all receipts
<br />of paid premiums and 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 name lender as
<br />mortgagee and/or as an additional loss payee.
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<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. lender may make proof of loss if
<br />not made promptly by Borrower. Unless Lender and Borrow~r otherwise awee in writi.ng, any insurance Rroceeds, whe.ther or not ~h~
<br />underlying insurance was required by Lender, shall be applied to restoration or repair of the Property, If the restoration or repair IS
<br />economically feasible and Lender's security is not lessened. During such repair and restoration period, lender shall have the nght to
<br />hold such insurance proceeds until lender has had an opportunity to inspect such Property to ensure the work has been completed
<br />to lender's satisfaction, provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for t,he repai~s
<br />and restoration in a single payment or in a series of progress payments as the work is completed. Unless an agreement IS made In
<br />writing or Applicable Law requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Borrower any
<br />interest or earnings on such proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out of
<br />the insurance proceeds and shall be the sole obligation of Borrower. If thE: restoration or repair is not ec~momica.lly feasible or
<br />Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Secunty Instrument,
<br />whether or not then due, with the excess, if any, paid to the Borrower. Such insurance proceeds shall be applied in the order
<br />provided for in Section 2.
<br />If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and rel~ted matters. If
<br />Borrower does not respond within 30 days to a notic":1 frorT) Len~er that the insu~an<?e c~rrier has .offered to settl~ a claim, then. Lender
<br />may negotiate and settle the claim. The 3D-day penod Will be!;/In when the notice IS given., In ,either event,. or If Lender acqulre~ the
<br />Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower s rights to any Insurance pr0geeds In an
<br />amount not to exceed the amounts unpaid under the t;lote or this Security Instrl!ment, and (b) !lny othe~ of Borrower's ng.hts (other
<br />than the right to any refund of unearned premiums paid by Borrower) under allln~urance poliCies cove~lng the ProRerty, Insofar as
<br />such rights are applicable to the coverage of the Property. Lender may use the Insurance proceeds either to repair or restore the
<br />Property or to pay amounts unpaid under the Note or this Security Instrument, whether or not then due.
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<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's pri~cip<;'11 ~esiden,?e within 60 days
<br />after the execution of this Security Instrument and shall continue to occupy the Property as Borrower s pnnclpal reSidence f~:Jr at least
<br />one year after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably Withheld, or
<br />unless extenuating circumstances exist which are beyond Borrower's control.
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<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not de~troY"d~m~ge or
<br />impair the Property, allow the Property to deteriorate or commit waste on the Property. ~het~er or not Borr?wer IS reSiding In t~e
<br />Property, Borrower shall maintain the Property in ord~r to prevent th~ Property fn?m <;letenoratlng or. decreasln,9 In value due to Its
<br />condition. Unless it is determined pursuant to Section 5 that repair or restoration IS not economically feaSible, Borrower ~h?1I
<br />promptly repair the Property if damaged to avoid further deterioration or damage. If i~surance or.~ondemnatio!1 proceeds are paid I':
<br />connection with damage to, or the taking of, the Property, Borro~er shall be responsible for rel?alnng or restor!ng ~he Property only If
<br />Lender has released proceeds for such purposes. Lender may disburse proceeds for the reP?lrs and restoration In a s.ln.gle payme~t
<br />or in a series of progress payments as the work is completed. If the insurance or condemnation proceeds are not ~ufflclent to repair
<br />or restore the Property, Borrower is not relieved of Borrower's obligation for the completion of such repair or restoration.
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<br />NEBRASKA-$Ingle Family-Fannia Maa/Freddle Mac UNIFORM INSTRUMENT
<br />3028 NE DOT 01/01 PG3
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<br />Form 3028 1/01 (page 3 of 7 pat~ ~S' ~
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