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201005159 <br />the same lien priority initially granted to ban advances has expired) and state taw permits <br />the original lien status tia be rr-airrtained for future loan advances through the execution <br />and recordation of one or more documents, then Lender shalt obtain title evidence 8t <br />Bornower's expense. If the title evktence indicates that the Properly is rat' encumbered <br />by any liens (except the First Security Instrument described in Paragraph 13(a), this <br />Second Security Instrument and any subordinate liens that the Lender determines wdl <br />afsv be subordinate to any future loan advances), Lender shall request the tarrower tv <br />execute any documerrts necessary to protect the lien status of future loan advarces. <br />Borrower agrees to execute such documents. If state law does net permit the original lien <br />status tD be extended to future Ivan advances, Bamower will be deemed to have faded to <br />have performed an obligation under this Security Instrument. <br />(b) Tax Deferral Programs. Borrower shall not participate in a teat estate tax deferral <br />program, if arty liens created by the tax deferral are not subarclinate to this Security <br />Instrumer-t. <br />(c) Prier Liens. Borrgwer shat! promptly discharge any lien which has priority aver this <br />Security instrument unless Borrower_ (a) agrees in writing to the payment of the <br />ablation secured by the lien in a manner acceptable th Lender, (b) contests in goad faith <br />the lien by, or defends against enfar~cement of the lien in, legal proceedings which in the <br />Lender's opinion pperate to prevent the enfar+cement of the Iles or forfeiture of any part <br />of the Property; or (c) secures from the holder of the lien an agreement satisfaclary to <br />Lender subordinating the Ifen to all amounts secured by this Security Instrument. If <br />Lender determines that any part of the Properly is subject to a lien which may attain <br />prixr~ty aver this Security Instrument, Lender may give Harrower a notice identifying the <br />lien. 9orrower shall satisfy the lien ar take one or mare of the actions set forth above <br />within 10 days of the giving of notice. <br />13. Relatianshlpta First Security Instrument. <br />(a) Second Security Instrument. In order to secure payments which the Secretary may <br />make b or on behalf of 8arrower pursuant to Section 255(i)(1)(A) of the National <br />Housing Act and the Loan Agreement, the Secretary has required Harrower to execute a <br />Second Note and this Second Security instrument. Harrower also has executed a First <br />Nate and First Security Instrument. <br />(b) t7efatianship of First and Second Security Instruments. Payments made by the <br />Secretary shall not be included in the debt under the First Note unless: <br />(i) The First Security Instrument is assigned to the Secretary; ar <br />(ii) The Secretary accepts reimbursement by the holder of the First Note far all <br />payments made by the Secretary. <br />If the circumstances described in (i) ar (ii) occur. then all payments by the Secretary, <br />including interest an the payments, but excluding late charges paid by the Secretary, <br />shall be included in the debt under the First Nate. <br />(c~ Effect an Borrower. Where thane Is no assignment ar reimbursement as described in <br />(b (i) or (ii) and the Secretary makes payments to Bonnv--er, #hen Harrower shall not: <br />(i) Be required to pay amcunts owed under the First Nate, or pay any rents and <br />revenues of the Property under Paragraph 19 1a the holder of the First Nato or a <br />receiver of the Property, until the Secretary has required payment in full of ail <br />outstanding principal and accrued interest under the Second Nate; or <br />(ii) Be ablgated to pay interest ar shared appreciation under the First Note at any <br />time, whether accrued before ar after the payments by ttte Secretary, and whether ar <br />not arcnaed interest has been induded in the prindpal balance under the First No#e. <br />(d) No Duly of the Secretary. The Secretary has no duty to the holder of the First Nate to <br />enforce covenants of the Second Security Instrument ar th lake actions to preserve the <br />value of the Property, even though the holder of the f=irst Nate may be unable 1Na collect <br />amounts owed under the First Nate because of restrictions in this Paregraph 13. <br />(e) Rer3lrictlonson Enforcement.Notwithstanding anything else in this Security <br />ifnstrument, the Borrower shall not be obligated to comply wrth the covenants hereof, and <br />Paragraph 19 shall have no force aril effect, whenever there is na outstanding balance <br />under the Second Note. <br />id. For~aranceby LenderNot a Waiver. Any forbearance by Lender in exercising any right <br />ar remedy shall rat be a waiver of or predude the exercise of any right or remedy. <br />First gnradoan Loan Produetlon 8arviar: Na6raraka HELM Slrvard Securigr Ins4urnwri <br />A2008 FlrtlhrnariCln Red Esuta 6olupons LLC <br />FpLPSM lJgf2. 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