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<br />provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the repairs and
<br />restoration in a single payrnent or in a series af pragress payments as the work is completed. Unless an agreement
<br />is made in writing or Applicable Law requires interest to be paid on such insurance proceeds, L.ender shall not be
<br />arequired to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, or other third parties,
<br />retained by Barrower shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower.
<br />If the restoration or r�pair is not economically feasible or Lender's security would be lessened, the insurance proceeds
<br />shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid
<br />to $otrower. Such insurance proceeds shall be applied in the order provided for in Section 2.
<br />If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claizn and
<br />related matters. If Borrower does not respond within 30 days to a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will begin when the
<br />notice is given. In either event, or if L.ender acquires the Property under Sectian 22 or othecwise, Borrower hereby
<br />assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not to exceed the amounts unpaid
<br />under the Nate or this Security Instrument, and (b) any other of Borrower's rights (other than the right to any refund
<br />of unearned premiums paid by Borrower) under all insurance palicies covering the Property, insofaz as such rights
<br />are applicabla to the covarage of the Property. Lender may use the insurance proceeds either to repair or resCvre the
<br />Property or to pay amounts unpaid under the Note or this Security Instrument, whether or nat then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal residence
<br />within 60 days after the execution of this Security Instrument and shall continue to occupy the Property as Borrawer's
<br />principal residence for at least one year after the date of occupancy, unless Lender otherwise agrees in writing, which
<br />consent shall not be unreasonably withheld, ar unless extenuating circumstances exist which are beyond Borrower's
<br />control.
<br />7. Preservation, Maintenance and Protection of the P�roperty; Inspections. Barrower shall not destroy,
<br />damage or impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether or not
<br />$ortower is residing in the Property, Borrower shall maintain the Property in order to prevent the Property from
<br />deteriorating or decreasing in value due to its condition. Unless it is determined pursuant to Section 5 that repair or
<br />restoration is not economically feasible, Borrower sha11 promptly repair the Property if damaged to avoid further
<br />deterioration or damage. If insurance or condemnation proceeds are paid in connection with damage to, or the taking
<br />of, the Property, Borrower shall be responsible for repairing or restoring the Property only if Lender has released
<br />proceeds far such purposes. T.ender may disburse proceeds for the repairs and restoration in a single payment or in
<br />a series of progress payznents as the work is completed. If the insurance or condemnation proceeds are not sufflcient
<br />to repair or restore the Property, Borrower is not relieved af Borrower's obligation for the cornpletion of such repair
<br />or restoration.
<br />Lender or its agent may make reasonable entries upon and inspections of Che Property. If it has reasonable cause,
<br />Lender may inspect the interior of the impravements on the Property. Lender shall give Borrower notice at the time
<br />of or prior to such an interior insp�ction specifying such reasonable cause.
<br />8. 13orrower'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 Borrower or with Borrower's knowledge or consent gave
<br />materially false, misleading, or inaccurate information or statements to Lender (or failed to provide Lender with
<br />material information) in connection with the Loan. Material representations include, but are not limited to,
<br />representations concerning Borrower's nccupaticy of the Property as Borrower's principal residence.
<br />9. Pratection of Lender's Interest in the Property and Rights Under this Security I�strument. If (a)
<br />Borrower fails to perform the covenants and agreements contained in this Security Tnstrument, (b) there is a legal
<br />proceeding that might significantly affect Lender's interest in the Property and/or rights under this Security Instrument
<br />(such as a proceeding in bankruptcy, probate, for condemnation or forfeiture, for enforcement of a lien which may
<br />attain priority over this Security Instrument or to enforce laws or regulations), or (c) Borrower has abandoned the
<br />Property, then Lender may do and pay for whatever is reasonable or appropriate to protect Lender's interest in the
<br />Property and rights under this Security Instrument, including protecting and/or assessing the value of the Property,
<br />and securing and/or repairing the Property. Lender's actions can include, but are not limited to: (a) paying any sums
<br />secured by a lien which has priarity over this Security Instnunent; (b) appearing in court; and (c) paying reasonable
<br />attorneys' fees to protect its interest in the Property and/or rights under this Security Instrument, including its secured
<br />position in a bankn�ptcy proceeding. Securing the Property includes, but is nat limited to, entering the Property to
<br />make repairs, change locks, replace or board up doors and windows, drain water from pipes, eliminate building or
<br />other code violations or dangetous conditions, and have utilities turned on or off. Although Lender may take action
<br />under this Section 9, Lender does not have to do so and is not under any duty ar obligation to da sa. It is agreed that
<br />Lender incurs no liability for not taking any or all actions authorized under this Sectian 9.
<br />Any amounts disbursed by L.ender under this Section 9 shall become additional debt of Borrower secured by this
<br />Security Instrument. These axnounts shall bear interest at the Note rate frorn the date of disbursement and shall b�
<br />payable, with such interest, upon notice from L.end�r tn Borrower requesting payment.
<br />If this Security Instrument is on a leasehold, Borrower shall comply with all the provisians of the lease.
<br />Borrower shall not surrender the leasehold estate and interests herein conveyed or terminate ar cancel the ground lease.
<br />Borrower shall not, without the express written consent of Lender, alter or amend the ground lease. If Borrower
<br />acquires fee title to the Property, the leasehold and the fee title shall not merge unless Lander agrees to the merger
<br />in writing.
<br />10. Mortgage Insurance. If I,ender required Mortgage Insurance as a condition of making the Loan, Borrowet
<br />shall pay the premiums required to maintain the Mortgage Insurance in effect. If, far any reason, the Mortgage
<br />Insurance coverage required by I.,ender ceases to be available from the mortgage insurer that previously provided such
<br />NEBRASKA--Single'�'a�mily--Fannie Mae/Freddie Mac UNIFORM INSTRUMENT - MERS oocN►agicQJ��.vrnrn� aoo-sas-�ssz
<br />Form 3028 1/01 Page 5 of 11 www.dacrosgfc.com
<br />Nc3028.mzd.xml
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