|
201005175
<br />determination yr certification. Borrvwer shall also be responsible for the payment of any fees imposed by the Federal
<br />F,mergency Management Agency in connection with the review of any flood zone determination resulting from an objection
<br />by Borrower.
<br />If Borrower fails tv maintain any of the coverages described above, Lender may obtain insurance coverage, at
<br />Lender's option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of
<br />coverage. 'Therefore, such cvverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in the
<br />Property, or the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage
<br />than was previously in et~ect. Borrower acknowledges that the cost ofthe insurance coverage so obtained might significantly
<br />exceed the cost of 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. 'T'hese amounts shall bear interest at the Note tale
<br />Ii•om the date of disbursement and shall be payable, with such interest, upon notice from Lender to Borrower requesting
<br />payment.
<br />All insurance policies required by [,ender and renewals of such policies shall he subject to Lender's right to
<br />disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee and/or as an
<br />additional loss payee. l.,ender shall have the right to hold the pvlicies and renewal certificates. If Lender requires, Borrower
<br />shall promptly give to Lender all receipts of paid premiums and renewal notices. If Burrower obtains any form of insurance
<br />coverage, not otherwise required by bender, for damage to, or destruction of; the Property, such policy shall include a
<br />standard mvrtgage clause and shall 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 make proof
<br />ofloss ifnot made promptly by Borrower. Unless Lender and Borrvwer otherwise agree in writing, any insuranceproceeds,
<br />whether yr nut the underlying insurance was required by Lender, shall be applied to restvration yr repair vfthe Prvperty, if
<br />the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration
<br />period, Lender shall have the right to hold such insurance proceeds until Lender has had an opportunity tv inspect such
<br />Prvperty to ensure the wvrk has been completed to Lender's satisfaction, provided that such inspection shall be undertaken
<br />promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of progress
<br />payments as the wvrk is cvmpleted. Unless an agreement is made in writing or Applicable Law requires interest to be paid
<br />on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees
<br />fior public adjusters, or other third parties, retained by Borrower shall not be paid out ofthe insurance proceeds and shall be
<br />the sole obligation of Borrower. If the restoration or repair is not economically feasible or Lender's security would be
<br />lessened, the insurance proceeds shall be applied to the stuns secured by this Security Instrument, whether or not then due,
<br />with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided fur in Section 2.
<br />If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related
<br />matters. If Borrower does not respond within 30 days to a notice (rum bender that the insurance carrier has vffered to settle a
<br />claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the notice is given, In either
<br />event, or if Lender acquires the Property render Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's
<br />rights tv any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security lnstrument,
<br />and (b) any other of Borrower's rights (ocher than the right to any refimd of unearned premiums paid by Borrower) under all
<br />insurance policies covering the Prvperty, insofar as such rights are applicahle to the coverage ofthe Property. bender may
<br />use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security
<br />Instrument, whether or nut then due.
<br />6. Occupancy. Borrvwer shall occupy, establish, and use the Property as Borrower's principal residence within
<br />GO days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal
<br />residence for at least one year after the date
<br />of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless
<br />extenuating circumstances exist which are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Borrower shall not destroy,
<br />damage yr impair the Property, allow the Property io deteriorate or commit waste
<br />on the Property. Whether or not Borrower is residing in the Property, Borrower shall maintain the Property in order to
<br />prevent the Property from deteriorating or decreasing in value due to its condition. CJnless it is determined pursuant to
<br />Section 5 that repair or restvration is not economically feasible, Borrower shall promptly repair the Property ifdamaged to
<br />avoid further deterioration or damage. If insurance yr cvndemnation proceeds are paid in connection with damage tv, vrthc
<br />taking of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released
<br />prviceeds for such purposes. Lender may disburse proceeds for the repairs and restoration in a single payment yr in a series
<br />of progress payments as the work is completed. If the insurance or condemnation prviceeds are not sufficient to repair or
<br />restore the Prvperty, Borrower is not relieved of Bvrrower's obligation for the completion of such repair or restoration,
<br />Lender or its agent may make reasonable entries upon and inspections ofthe Property. If it has reasonable cause,
<br />[,ender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time of or
<br />prior to such an interior inspection specifying such reasonable cause.
<br />8. $orrower's Loan Application. Borrower shall be in default if, during the Loan application process,
<br />Borrower or any persons or entities acting at the direction of Bvrrawer or with Borrower's knowledge or consent gave
<br />materially false, misleading, or inaccurate informativn or statements to Lender (or tailed to provide Lender with material
<br />information) in connection with the Lvan. Material representations include, but are not limited to, representations concerning
<br />Borrower's occupancy of the Property as Borrower's principal residence.
<br />9. Protecaion of Lender's Interest in the Property and Rights Under this Security Instrument. If
<br />(a) Burrower fails to perform the covenants and agreements contained in this Security Instrument, (b) there is a legal
<br />proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security lnstrument (such
<br />as a proceeding in bankruptcy, probate, fur condemnation or forfeiture, for enforcement of a lien which may attain priority
<br />over this Security Instrument. or to enforce laws or regulations), or (c) Borrower has abandoned the Property, then Lender
<br />may do and pay for whatever is reasonable yr appropriate to protect L.ender's intcrest in the Property and rights under this
<br />Security Instrument, including protecting and/or assessing the value of the Property, and securing and/or repairing the
<br />Property. Lender's actions can include, but are nut limited to: (a) paying any sums secured by a lien which has priority over
<br />this Security lnstrument; (h) appearing in court; and (c) paying reasvnable attorneys' fees to protect its intcrest in the
<br />Property and/or rights under this Security Instrument, including Its secured pvsilivn in a bankruptcy proceeding. Securing
<br />the Property includes, but is not limited tv, entering the Prvperty to make repairs, change locks, replace or board up doors
<br />and windows, drain water from pipes, eliminate building or other code violations or dangerous conditions, and have utilities
<br />turned on or vIT: Although Lender may lake action under this Seciivn 9, Lender does not have to do so and is not under any
<br />duty or obligation to do so. }t is agreed that Lender incurs no liability for not taking any yr all actions authorized under this
<br />Section 9.
<br />Any amounts disbursed by Lender under this Section 9 shall hecome additional debt of Borrower secured by this
<br />Security Instrument. 'T'hese amounts shall bear interest at the Note rate frvm the date of disbursement and shall be payable,
<br />with such interest, upon notice trom Lender to Borrower requesting payment.
<br />lfthis Security Instrument is on a leasehold, Borrower shall comply with all the provisions ofthe lease. If Borrower
<br />acquires fee title to the Property, the leasehold and the fee title shall nut merge unless [,ender agrees tv the merger in writing.
<br />10. Mortgage Insurance. If Lender required Mortgage Insurance as a conditivn of making the Loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage insurance in effect. If, for any reason, the Mvrtgagc
<br />Insurance coverage required by Lender ceases to be available from the mortgage insurer that previously provided such
<br />NEBRASKA--Single I~amily--b'auuie Mae/Freddie Mac UNIFORM INSTRIIMF,N7' (MGRS) Form 3Q28 1/01 (~~age 4 of8pages)
<br />12439.CV (I I/07) 904075 Creative Thinking, Inc.
<br />GO'I'O(UU 113Ue5)
<br />~~~
<br />
|