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<br />7. Preservation, Maintenance and Protecdon of the Property; Inspections. Borrower shall not deslroy, d�unage or
<br />irnpair [he Propert.y, allow the Property to deteriorate or commit wasee on the Property. Whether or not I3orrower is residing in
<br />the Property, Borrower shall maintain the Property in order to prevent the Property from dctcriorating or decreasing in value
<br />due to its conditiou. Ylnless iC is determined pursuant to Section 5 that repair or restorado❑ is not economically feasible,
<br />Borrower shall promptly repair t.he Property if damaged to avoid further deterioration or damage. If insurance or
<br />condemnation proceeds are paid in conuection with damage to, c�r the taking of, the PropeRy, Borrower shall be responsihle for
<br />repairing ar resCoring t.he Property only if Lender has released proceeds for such purpases. Lender may disburse proceeds for
<br />the repairs and restoration in a single payment or in a series nf progress payments as lhe work is complet.ed. If the insurance or
<br />condemnation' 'pmceeds are not sufficient to repair or restnre the Property, l3orrnwer is not relieved of Borrower's obligation
<br />for Che cnmpLeCion of such repair or restoralion.
<br />Lender or its agent may make reasonable entries upon and inspections of the Property. If it has rexsonahle cduse,
<br />Lender may inspect the interior of the improvernents on the Property. Leuder shall give Borrower potice at the time c�f nr prior
<br />to such an iuterior inspectian specifying sucq reasopable cause.
<br />8. Borrower's Loan Application. Borrower shall be in default if, during the Loan applicatian process, Borrower or
<br />any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave materially false,
<br />inislcading, or inaccurate information or statements to Lender (or failed to provide Lender with material infor�nation) in
<br />connectiou with the Loan. Material representations include, but are not limited to, representations concerning Borrower's
<br />occupancy af the Prnperty as Borrower's principal residence.
<br />9. Protection of Lender's Interest in the Property and Rights Uuder this Security Instrument, lf (a) Borrower fails
<br />to perform the covcnants and agreements contained in this 5ecurity Instrument, (b) there is a legal proceeding lhal might
<br />signifi.cantly affect 1_,ender's interest in the PropeRy and/or rights under this Security Instrument (such as a proceeding in
<br />barikrup�cy, prcabate, for conriemuation or fo�feituri fo� C[IiOCC£I11F:GL �f a li� ���icl� �nay attaiu �riority over this Securily
<br />lnstrumenf. or lo enforce laws cyr regulations), or (c) ]3orrower has abandoned the Property, then Lender may do and pay for
<br />whatever is reasonable or appropriate to protect Lender's interesC in the Property and rights under this Securiry Instrument,
<br />including protecting and/or assessing lhe value of the Property, and secur'tng and/or repairing the Property. Lcnder's actions
<br />can include, but are not limited to: (a) paying any sums secured by a lien which has priority over this Security Instrument; (b)
<br />appearing in court; and (c) payin� reasonable attorneys' fees to protect its in[erest in the Property and/or rights under this
<br />Security Instrument, including its secured position in a bankruptcy proceeding. Securing the Property includes, but is not
<br />limited to, enteriug lhe Property to make repairs, change locks, replace or board up doors and windows, drain water from
<br />pipes, eliminate buildiug or ntkaer code violations or dangerous conditions, and have utilrties turned on or off. Al�pough Lender
<br />may take action uuder this Sect.ion 9, Lender does noC have to do so and is not under any duty or nbligation to do so. It is
<br />agreed that Lender incurs no liability for not taking any or all actians authorized under this Section 9.
<br />Any anaounts disbursed by Lender under this Section 9 shall become additional debt of Borrower secured by this
<br />Security Inslrum.ent. These amounts sha11 bear inierest at the Note rate from the date of disbursement and shall be payxble, with
<br />such interest, upon nc�tice from l,ender to Borrower requesting payrnent.
<br />Cf this Security Instruanent is on a leasehold, Borrower shall comply with all t.he provisions of the lease. If Borrower
<br />acquires fee titic to the Prnperty, the Leasehold and the fee title shall not merge unless Lender agrees to the merger in writing.
<br />10. Mortgage Iusurance. If Lender required Mortgage Insurance as a condition of maKing the Loan, Rorrower shall
<br />pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage Insurance cnverage
<br />required by Leuder ceases lo he available from the mortgage insurer that previously provided such insurance and Borrower was
<br />required to make separately designated payments toward the premiums for Mortgage Insurance, Borrower s}�11 pay t.he
<br />premiums required to obtarn coverage substantially equivalent to the Mortgage Insurauce previously in effect, at a cost
<br />subsCantially equivalent to lhe cost to Bnrrower of the Morlgage Insurance previously in effect, from an xlternate mottgage
<br />insurer selected by Lender. If subs[antially eqnivalent Mortgage lnsurance coverage is not a�ailable, Borrower shall conlinue to
<br />pay to Lender ihe amount of the separately detiignated payments thai were due when the insurance coverage ceased to be in
<br />effect. Lender w�ill accept, use and retain these payments as a non-refundable loss reserve in lieu of Moctgage Insurance. Such
<br />loss reserve shall he non-reFundable, notwithstanding the fact that the Lvan is ultimately paid in full, aad Lender shall not be
<br />required to pay Borrower any interest or earnings on such loss reserve. Lender cK+n na lon�er require lass reserve payments if
<br />Mort.gage Insurance coverage (in [he amount and for the �eriod that Lender reqnires) provided by an insurer selected hy Lender
<br />again becomes available, is obtamed, and Lender requires separately designated payments toward thc premiums far Mort�age
<br />Insurance. If Lender required Mortgage lnsurance as a condition of makmg the Loan and Borrower was required to make
<br />separalely designated pxyments Coward the premiums for Mortgage Insurance, Borrower shall pay the premiums required co
<br />maintain Mortgage insurance in effect, or tn provide a non-refundable lass reserve, until Lender's requ�remenC for Mortgage
<br />Insurance euds in accordance with any written agreemeut between Borrower and Lender providing for such termination or untrl
<br />tenninatic�n is required by Applicable I,aw. Nothing in this Section 10 affects Borrower's abligation Co pay interest al ihe rate
<br />provided in the Note.
<br />Mortgage lnsurauce reimburscs Lender (or any entity that purchases thc Note) for certain losses it may incur if
<br />Borrower does not repay lhe Loan as agreed. Borrower is not a party to the Mnrtgage lnsurance.
<br />Morlgage insurers evaluate their to[al risk on all such insurance in force from time to time, and n�y enter into
<br />agreements with olher parties thaC share or rnodify their risk, or reduce losses. These agreemcnts are an lerms and condit.ions
<br />that are satisfactory to the mnrtga�e insurer and the other party (or parties) to these agreements. These agreements may require
<br />the mor�gage insurer t.o make payments using any source of funds that the morcgage iusurer may h�tve available (which may
<br />include funds obtained from Mortgage Insurance premiums).
<br />As a result. of these agrcements, Lender, any �urchaser of the Note, annther insurer, any reinsurcr, any other entity, or
<br />any affiliate nf any of the foregoing, may receive (directly or indirectly) amounts that derive from (or rnight bc characterized
<br />xs) a portion of Borrower's paymenls fnr Mortgage Insurance, in exchange for sharing or modifying the mortgage insurer's
<br />risk, or reducin� losses. Tt' such agreement provides that an affiliate of Lender takes a share of insurer's risk in exchange for a
<br />slu►re of the prezr�iums paid to the insurer, the arrangerneut is often termed "capti.ve reinsurance." Fnrther:
<br />(a) Any such agreements will not affect the acuounts that Barrower has agreed ta pay for Mortgage Insurance, or
<br />any other terms of the Loan. Such agreements will not increase the amount Borrower will owe for Mortgage Tnsurance,
<br />and they will not entitle Borrower to any reflind.
<br />(b) Any such agreements will not affect the rights Borrower has--if any--with respect to the Mortgage Insu�-ance
<br />uuder the Homeowners Protection Act af 1998 or any other law. These rights may inclade the right to receive certaia
<br />disclosures, to request and obtain cancellation af the Mortgxge Tnsurance, to have the Nlortgage It�surance termunated
<br />automatically, and/or ta receive a refund of any Mortgage Insurance premiums that were unearned at the time of such
<br />cancellatian or ternaination.
<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. ALL Miscellanec�us F'rocceds are hereby assigned tc� aud shxll
<br />be paid to Lender.
<br />ff the I'raperty is datnaged, such Miscellaneous Proceeds shall be applied to restoration or repair of Che Property, if the
<br />restoration or repair is economically feasible and Lender's security is not lessened. During such repair and resloration period,
<br />Lender sl�all have lhe right to hold such Miscellaneaus Prr�ceeds until Lender has had an oppartunity to inspect such Property
<br />to ensure the work has been completed to Lender's satisfaction, provided that such inspecttan shall be undertaken promplly.
<br />Lender mxy pay fnr the repairs and restoration in a single disbursement or in a series of progress payments as ll�e wnrk is
<br />completed: Unless an agreernent is made in writing or Applicable Law requires interest tn be paid on such Miscellaneous
<br />Proceeds, Leuder shall not be required ta pay Borrower any inter�st or earnings on such Miscellaneous Proceed�. If the
<br />restoration ��r repair is not economically feasible or Lender's securiry would be lesseued, the Miscellaneous Proceeds shall be
<br />applied to t.he sums secured by this Secnrity Instrumeut, whether or not then due, with the excess, if any, paid to Borrower.
<br />Suc1a .Miscellaneous F'roceeds shall be applied in the order provided for in Section 2.
<br />In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be applied
<br />to the suxns secured by this Security instrumeut, whether or not then due, with the excess, if any, paid to Borrower.
<br />NEBRASKA-Single Family—Fannie Mae/Freddie Mac UNIFORM INSTRUMENT Form 3028 7/07
<br />Bankars Systams, Inc., St. Claud, MN Form MD-1-NE 8/17/2000 (�7[1J¢ 40f 7(Xlk¢S)
<br />�11.J� � � . ¢ ° .
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