200901104 - Laserfiche WebLink

Browse

200901104 Secretary, and Lender shall promptly refund any excess funds to Borrower. Immediately prior to a forcclosurc salc of thc Property or its acquisition by Lender, Borrower's account shall be credited with any balance remaining for all installmcnts for items (a), (b), and (c). 3. Application of Payments. All payments under paragraphs 1 and 2 shall be applied by Lender as follows: FIRST, to the mortgage insurance premium to be paid by Lcndcr to thc Sccretary or to the monthly charge by the Secretary instead of the monthly mortgage insurance premium; SECOND, to any taxes, spccial assessmcnts, lcaschold payments or ground rents, and fire, flood and other hazard insurance premiums, as required; THIRD, to interest due under the Note; FOURTH, to amortization of the principal of the Note; and FIFTH, to late charges duc under thc Note. 4. Fire, Flood and Other Hazard Insurance. Borrower shall insurc all improvemcnts on the Property, whether now in cxistcnce or subsequently erectcd, against any hazards, casualties, and contingencies, including fire, for which Lender requires insurance. This insurance shall be maintained in the amounts and for thc pcriods that Lcnder requires. Borrower shall also insure all improvements on the Property, whether now in cxistencc or subsequently erected, against loss by noods to the extent required by the Secretary. All insurance shall be carried with companies approved by Lender. The insurance policies and any renewals shall be held by Lender and shall include loss payable clauses in favor of, and in a form acceptablc to, Lendcr. In the event of loss, Borrower shall give Lender immediate notice by mail. Lcndcr may make proof of loss if not madc promptly by Borrower. Each insurance company concerned is hereby authorized and directed to make payment for such loss directly to Lender, instead of to Borrower and to Lender jointly. A II or any part of thc insurance proceeds may be applied by Lendcr, at its option, either (a) to the reduction of the indebtedness under the Note and this Security Instrument, first to any delinquent amounts applicd in the order in paragraph 3, and then to prepayment of principal, or (b) to the restoration or repair of the damaged Property. Any application of the proceeds to the principal shall not extend or postponc the due datc of the monthly paymcnts which are referred to in paragraph 2, or change the amount of such payments. Any excess insurance procceds ovcr an amount rcquired to pay all outstanding indebtedness under the Note and this Security Instrument shall be paid to the entity legally entitled thereto. In thc cvcnt of foreclosure of this Sccurity Instrument or other transfer of title to the Property that extinguishes the indebtedness, all right, title and interest of Borrower in and to insurance policies in force shall pass to the purchaser. 5. Occupancy, Preservation, Maintenance and Protection of the Property; Borrower's Loan Application; Leaseholds. Borrower shall occupy, establish, and use the Property as Borrower's principal residence within sixty days after the execution of this Sccurity Instrument (or within sixty days of a later sale or transfer of the Property) and shall continue to occupy the Property as Borrower's principal rcsidence for at least one year after the date of occupancy, unless Lender determines that requirement will cause undue hardship for Borrowcr, or unless extenuating circumstances exist which are bcyond Borrower's eontroL Borrower shall notify Lender of any extenuating circumstances. Borrower shall not commit waste or destroy, damagc or substantially change thc Propcrty or allow the Property to deteriorate, reasonable wear and tear excepted. Lender may inspect the Property if the Property is vacant or abandoned or thc loan is in default. Lender may take reasonable action to protect and prcscrve such vacant or abandoned Property. Borrower shall also be in default if Borrower, during the loan application process, gave materially false or inaccurate information or statcments to Lendcr (or fail cd to providc Lcnder with any material information) in connection with the loan evidcnccd by the Note, including, but not limited to, representations conccrning Borrower's occupancy of the Property as a principal residence. If this Security Instrumcnt is on a lcaschold, Borrower shall comply with the provisions of the lease. If Borrower acquires fcc titlc to thc Propcrty, thc leasehold and fce titlc shall not be merged unless Lender agrees to the merger in writing. 6. Condemnation. The proceeds of any award or claim tor damages, direct or consequential, in connection with any condemnation or other taking of any part of the Property, or for convcyancc in placc of condemnation, are hereby assigned and shall be paid to Lender to the extent of the full amount of the indcbtedness that remains unpaid under the Note and this Security Instrumcnt. Lender shall apply such proceeds to the reduction of the indebtedness under the Notc and this Security Instrument, first to any delinquent amounts applied in the order provided in paragraph 3, and then to prepayment of principal. Any application of the procceds to thc principal shall not extend or postpone the due date of the monthly paymcnts, which are rcfcrrcd to in paragraph 2, or change the amount of such payments. Any excess procccds over an amount required to pay all outstanding indebtedness under the Note and this Sccurity Instrument shall be paid to the entity legally entitled thcreto. 7. Charges to Borrower aud Protection of Lender's Rights in the Property. Borrower shall pay all governmental or municipal charges, fines and impositions that arc not included in paragraph 2. Borrower shall pay thcsc obligations on time directly to the entity which is owed thc payment. Iffailure to pay would adversely affcct Lcnder's interest in the Property, upon Lender's request Borrower shall promptly furnish to Lender receipts evidencing these payments. NEBRASKA FHA m:EIl OF TRUST linERS ITEM 2696L3 (0709) GreatDocs ™ (Page 3 of 7)