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2oioosss�
<br />Bc�Kiic�wr•.R Covi,.N�n��rs that Borrower is lawfully seised oP the est�tc hereby conveyc:d and has rhe ribht to arant.
<br /><ind convey tlle Property and that the Property is unencumbered, excc;pt fc�r e;ncumbrances o(� record. Borrower warr�.jnts
<br />and will deEend gcncrally the title to the Prc�perty against all claims �nd demands, sub to any encumbr�inces of record.
<br />Txis Sr.-,c.ui����Y [NS�rxuM�rrT combines uniform covenants for nation�il use and non-uniform covenants with limitccJ
<br />vari�tions by jurisdiction to constitute a uniform security instrument covcring real property.
<br />UNiroitnn CovH:NaN�r�s. Borrower and Lender covenant �nd <igree as fc�llc�ws:
<br />l. l'ayment c�f 1'rineipal, Interest and i,ate Charge. Bc�rrower shall pay when due the principal ot', �ineJ interest
<br />on, the debt cvidcnccd by the Notc and late charges due under the Notc.
<br />2. Monthly I'aym�nt of Taxes, Insur�nce and Other Charges. Borrower sh<<ll includc in each mcmthly
<br />�ayment, together wich the principal and inceresC �is set forth in the Note and any 1Gite characs, �� sum for (��) taxes <ind
<br />special asscssmenCS Ic:vied or tc� be leviec! against the Property, (b) leasehold payments or �;round rents on thc Property,
<br />and (c) premiums Fc�r insurance required under paragraph 4. In �iny year in which the Lender must p�ry �� mortg�igc:
<br />insurance premium to the Secretary of Housing and Urban Developmenc ("Sccrecary"), or in any ycar in whicll such
<br />prcmium would havc been requircd if Lendcr still held the Security InsCrumenk, each monchly payment shall also include
<br />either: (i) a sum f��r t.hc annual mnrtgage insurance premium Co be paid by Lender to the Secrctary, or (ii) a monlhly
<br />cl�Girge instead of a mortgage insurance premium if cl�is Security Instrumrnt is held by the Secretary, in a re�sonahle
<br />amount to be determined by the Secretary. Except for thc mpnthly charge by the SecrcC�try, these items are: called
<br />"Escrpw ltems" and the sums paid to Lendcr are called "Escrow Funds."
<br />Lencler may, ac any time, collec;t and hold amounts for Escrow l.tems in an aggregate amoun� not to exceed the
<br />maximum amounC th�t may be required for Borrower's escrow account uncler the Real Escate Settlement Procedures Act
<br />of 1974, .1.2 U.S.C. § 2601 et SC:q. and implc;menting regulations, 24 CFR P<<rt 35Q0, as Chey may be amended from cime
<br />to time ("RESPA"), except that che cushion or reserve permitted by RESPA fc�r unanticip�+ted disbr.�rsemen�s or
<br />disbursements befc�re the Borrower's payments are available in thc accc�unt may not be; hased on �mounts due for thc
<br />mortg�ge insurance premium.
<br />If the amounts held by Lender for �scrow l.tems exceed �he amounts permitted to be held by RESPA, Lenc7er shall
<br />accounc tc� Bqrrower for the excess funds as required by RESPA. lf� the amounts of [�unds held hy Lendcr at any time
<br />are noc sufficient to p�iy thc Escrc�w Items when due, Lender may n��tify the Borrower <tn�l require Borrowcr tc� make up
<br />the shortage as permitted by RESPA.
<br />The Escrow Funds are pledged as additional security fc�r all sums secured by this Security Cnstrumcnt. If Borrc�wer
<br />tenclers t.o Lcndcr the full p��ymenC of all such sums, Bc�rrower's account sh�ill be credited with thc halancc rcm�iining
<br />for all installment items (�), (b), and (c) and any mortga;e insurancc premium installment that Lcnder h�is not becomc
<br />obligated to pay [o �he Secretary, and Lender shall promptly rc;fund any excess funds to Borrowcr. Immedi�itely prior to
<br />a foreclosure sale of' the Property or its acquisition by Lender, Borrower's account shall be crediled with any b�tl��nce
<br />rcm�iinin� for all installments for itcros (a), (b), and (c).
<br />3. Applict�tion of Ys�yments. All payments under par�graphs 1��nd 2 sl1•rzll be �ppllc:d by Lender �s l�ollows:
<br />First, to the mc>rtbage insurance premium to be p�iid hy Lender to the Secretary or to the month�y chargu by the
<br />Secretary insfead of lhe mont.hly mortgab�; insurance premium;
<br />Second, tp any taxes, special assessments, leaschold payments or ground rents, and fire, (7ood �inc1 othcr lazizard
<br />insurance premiums, as requircd;
<br />Third, co interest due under the Notc;
<br />Fourth, to amortization of the principal of the Note; and
<br />Fi['th, ta late char�es due under the Note.
<br />4. l�ire, l�lood and Other I3azard Insurance. Borrower shall insure all improvemcnts on Chc Property, whether
<br />now in existence or subsequently erected, againsC any l��z�rcls, casualCies, an�l contingencies, includinb tirc, fc�r which
<br />Lender requires insurance. This insurance shall be maintaine� in the amounts and for che periods that L�;nc9er reyuires.
<br />Borrower sl7all also insure all improvements on Che Property, whether now fn existencc or subsequcntly crc:cted, againsr.
<br />Ic�ss by (7caods tc� thc cxtent required by the Secretary. All insurance shall bc carriecl with corrapanies <<pproved by Lcncler.
<br />Thc insurance policies and �iny rcnc:wals shall be held by L,endcr and shall include loss payable dauses in f��vor of, <<nd
<br />in a form acceptahle t<�, Lender.
<br />In the event oP loss, Borrower shall give Lender immediate notice hy maiL Lender may m�ike proc�f nf loss if noc
<br />macle promptly by Borrower. Each insurance company concernect is her�;by authoritc�l and clix�c:ted to make paymcnt
<br />kor such loss dircctly to Lender, instead of to Borrower and to Lender jointly. All or any part of the insurance proceeds
<br />may be applied hy Lunder, �t its option, either (a) to the reduction of the indeb�edness under the Noce and this Security
<br />Inst.rumcnt, first. to any cielinquent amounts applied in the order in paragraph 3, and then to prepayment of principal, or
<br />(b) to the rescoration or repair of the damagcd Pre>perty. Any applicatic�n of the I�roeeecis to the principal shall not
<br />extend or p�>stpone the due datc of the mon[hly payments which are referred to in p�iragraph 2, or change thc amoui�t
<br />of such payments. Any cxcess insurance proceeds over an <rmc�unt required to pay ali outstanding indebl.c:�ness undc;r
<br />thc: Notc: and this Sccurity lnstrument shall be paid to the entity le�ally cntitled thereco.
<br />In the event of foreclosure of chis Security Instrument or othe:r transf'er o£ titie to the; Propercy th�if cxtinguishes
<br />[he indcbtcdncss, �ill righc, ticle and inCerest of Borrower in and lo insurance policies in torce sh�ll pass ko tt�e purchaser.
<br />S. Occupancy, Preservation, Mainten�nce und Prntection ot' the Property; 13orrower's Loun Application;
<br />Leaseholds. Borrowcr shall occupy, establish, and use the ProperCy as Borrower's principal residencc within sixty days
<br />�fter thc; cxecuticm c>f this Security Instrument (or within sixty d�ys c>f a later salc or transfcr of the Property) ancl shal]
<br />continue to occupy the Propert.y as Bc�rrower's principal residence 1'or at least one year �ifter thc dat.e of occupancy, unless
<br />Lencler decermincs tk�at rcyuiremenL will causc undue hardship for Borrower, or unless exlcnuating e;ircumstances exist.
<br />which are beyond Borr�wer's controi. Borrower shall notify Lender of any extenuating circumstances. Borrower shall
<br />not cc�mmit waste or destroy, damage c�r substantially change the Property ar allow the Property to deterioratc, reasonable
<br />wear and tear excepted. Lender may inspect the Property if the Property is vacanC or ahandoned or the lo�n is in clefault.
<br />�endc:r m�iy �ake reasonable acti�>n to protect and preserve such vacant or abandonecl Property. Borrowcr sh��ll �ilso be
<br />in def<<ult if Borrower, during the loan application process, gave materially false c�r inaccurate in�c�rmation or sk�itements
<br />to Lendur (or f�iiled fo providc Lender wiCh any material informaCion) in connection with thc: loan evidence� by thc. Note,
<br />including, but not. limitcd to, representac[ons concerning Borrower's occupancy ok' the Property as a principal residunce.
<br />[f this Security Instrument is on a leasehold, Borrower shall comply with the provisions c�f the le��se. .[f Borr��wer acyuires
<br />i'ee title to the Property, the leasehold and fee citle sh�il not be mer�ed unless Lcnder a�;rees to the mcraer in writing.
<br />NEBRASKA FHA DE�D OF TRUST 1/02 (Page 2 of 5 Pages)
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