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201008945
<br />10789843
<br />5. Prope.rty Insurance. Bonower shall keep the improvements now existing or hereafter erected on the Prnperty
<br />insured against loss by �re, hazards included within the term "extended coverage," and any other hazards including, but nnt
<br />limited to, earthquakes and floods, for. which Lender requires insurance. This insurance shall be maintained in the amounts
<br />(including deductible levels) and for the periods that Lender requires. What Lender requires pursuant to the preceding
<br />sentences can change during the term of the Laan. The insurance carricr providing the insurance shall be chosen by Borrower
<br />subject tp Lender's right to disapprvve Borrower's chaice, which right shall not be exercised unreasonably. Lender may require
<br />Borrowex to pay, in connection with this Loan, either: (a) a one-tirne charge for tlood zone determination, certi�cation and
<br />tracking services; or (b) a qne-time charge for flood zane determination and certification services and subsequent charges each
<br />time remappings or similar changes occur which reasonably might affect such determination or certificatipn, �orrower shall
<br />also be responsible For the payment of any fecs imposed by the Federal Ernergency Management Agency in connection with
<br />the review of any flood zone determinatinn resulting fram an objection by Sorrower.
<br />Tf' Borrnwer fails to maintain any of the ooverages described above, Lender may obtain insurance coverage, at
<br />Lender's optioan and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage.
<br />Therefore, such coverage shall cover Lcndex, but might or might not protect Borrower, Borrower's equity in the Property, nr
<br />the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage than was
<br />previously in effect. Borrower acknowledges that the cost of the insurance coveraga so abtained might significantly exceed the
<br />cost of insurance that Sorrower coulci have obtained. Any amaunts disbursed by I,ender under this Sectiqn 5 shall become
<br />additional debt af Socrower secured by this Security Instrumcnt. These amounts shall bear interest at the Note rate fronn thc
<br />date of disbursement and shall be payablc, with such interest, upan noticc from Lender to Borrower reguesting paymcnt.
<br />All insurance policics required by Lender and renewals of such policics shall be subject to Lender's right ta
<br />disapprove such policies, shall includc a standard martgage clause, and shall name Lendcr as mortgagee and/or as an additional
<br />loss payee. Lender shall have the right to hold the policies and renewal certificates. If Lender requires, Bnrrawer shall promptly
<br />give to Lender all receipts of paid premiums and renewal notiocs. If Borrower obtains any farm af insurance coverage, not
<br />otherwise required by Lender, for darnagc to, or destruction of, the Properry, such policy shall include a star►dard mortgage
<br />clause and shall name Lcnder as mortgagea and/or as an additional lqss payee.
<br />In the event of loss, Borrower shall give prompt natice to the insurance carrier and Lender. Lcnder may rnake proof of
<br />loss if not rnade promptly by Barrower, iJnless Lendcr and Borrower otherwise agree in writing, any insurance proceeds,
<br />whether or not the underlying insurance was required by Lender, shall be applied to restqraxian or repair.of the Property, if the
<br />restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restoration periqd,
<br />Lender shall havc the right to hold such insurance procceds until Lender has had an opportunity to inspect such Prpperty to
<br />ensure the work has been completed to Lendcr's satisfaction, pravided that such inspection shsll be undertaken promptly.
<br />Lsndex may disburse proceeds for the repairs and restoration in a singlc payment or in a series of progress payments as the
<br />wark is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on such insurance
<br />proceeds� Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees for public adjusters, ar
<br />other third parties, retained by Borrower shall not be paid out af the insurance proceeds and shall be the sole obligation af
<br />Borrower. If the restoration or repair is not economically feasiblc or Lender's security wauld be lessened, the insurance
<br />proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if any, paid
<br />to Borrower. Such insurance proceeds shall be applied in the arder provided for in Section 2.
<br />If Bprrnwcr abandons the Praperty, 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 from Lender that the insurance carrier has offered to settle a
<br />claim, then Lender may negotiate and settle the e(aim, The 30-day period wiil begin when the notice is given. In either event,
<br />or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Bvrrower's rights to
<br />any insurance proceeds in an amount not to excccd the amounts unpaid under the Note or this Security Instrument, and (b) any
<br />other af Borrower's rights (other than the right to any refund of unearned premiums paid by Barrower) under all insurance
<br />policies covering the Propsrty, insofar as such rights are applicablc to the coverage of the Property. I,ender may use the
<br />insurance pracceds either to rcpair or restore the Pmperty or to pay amounts unpaid under the Nate or this Securiry Instrument,
<br />whether ar not then due.
<br />6. Occupsncy. Borrower shall occupy, establish, and usc the Properry as Borrower's principal residence within 60
<br />days after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence
<br />for at least one yea.r after the date of occupancy, unless Lender otherwise agrees in writing, which consent shall not be
<br />unreasonably withheld, or unless extenuating circumstances exist which are bcyond Borrower's control.
<br />1V�BRAStC.4—Single Family--F'�nnie MadFreddie Msc CTNIFORM 1NSTItUMENT
<br />� 338.2 Pagc 3 af 12
<br />F'orm 30Z81/01
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