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<br />fails to pay the aznount due far an Escrow Item, Lender may exercise its rights under Section 9 and pay such amount and
<br />Borrower shall then be obligated under Section 9 to repay to Lender any such amount. Lender may revoke the waiver as to any
<br />or all Escrow Itezns at any tune by a notice given in accordance with 5echon 15 and, upnn such revocation, Borrower shall pay
<br />to Lender all Funds, and in such amounts, that are then required under this Section 3.
<br />Lender may, at any time, collect and hold Funds in an amount (a) sufficient to permit Lender t� apply the Funds at the
<br />time specified under RESPA, and (b) not to exceed the maximum amount a lender can require under RESPA. Lender shall
<br />estinnate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of ftrture Escrow Items
<br />or otherwise in accordance with Applicable Law.
<br />The Funds shall be held in an institution whose deposits are insured by a federal ag�ncy, instrumentality, or entity
<br />(including Lender, if Lender is an institution whose deposits are so insured) or in any Federal Home Loan k3ank. Lender shall
<br />apply the Funds to pay the Escrnw Items no later than the time specified undcr R�SPA. Lender shall not charge Borrower for
<br />holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items, unless Lender pays
<br />Borrower intetest on the Funds and Appl�cable Law permits Lender to make such a charge. Unless an agreement is made in
<br />writing or Applicable Law requires interest to be paid on the Punds, I,ender shall not be requixed to pay Borrower any interest
<br />or earnings qn the Funds. $orrower and Lender can agree in writing, however, that interest shall be paid on the Punds. I.ender
<br />shall give to Borrower, without charge, an annual accounting of tlt� Funds as reyuired by RESPA.
<br />If there is a sur�lus of Funds held in escrow, as defined under RESPA, Lender shall account to Borr�>wer fot the excess
<br />funds in accordance w�th RESPA. If there is a shortage of �'unds held in escrow, as defined under RESPA, �,ender shall notify
<br />Borrower as required by TtESPA, and Borrower shall pay tc> Lender thc amount necessary to make up the shortage in
<br />accnrdance with RESPA, but in no more than 12 monthly payments. If there is a deficicncy of Funds held in escrow, as
<br />defined under RESPA, Lender shall notify Bortower as required by RESPA, and Borrower shall pay to Lender the amount
<br />necessary to make up the deficiency in accordance wiih RESPA, but in no more than 12 monthly payments.
<br />Upon payrnent in full of all sums secured by this Security Instrur�aent, Lender shall promptly refund to Bc�rrower any
<br />�'unds held by Lender.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines, and impositions attributable to the
<br />Property which can attain priority over this Security Instrument, leasehold payments or ground rents on the Property, if any,
<br />and Comxnunity Association Dues, Fees, and Assessments, if any. To the extent that these items are Escrow Items, Borrower
<br />shall pay them in the manner provided in Section 3.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees
<br />in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, but only so long as Borrower
<br />is performing such agreement; (b) contests the lien in good faith by, or defends against enforcement of the lien in, legal
<br />proceedings which in Lender's npinion op�tate to pr�vent thc enforcement of the lien whil� thos� proceedings are pending, but
<br />only until such proceedings are concluded; or (c) secures from the holder of the lien an agreem�nt satisfactory to Lender
<br />subordinating the lien to this Security Instrument. If Lender determines that any part of the Property is subject to a lien which
<br />can attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Within 10 days o�
<br />the date on which that notice is given, $orrower shall satisfy the lien or take one or mor� of the actions set forth above in this
<br />Section 4.
<br />Lendex rnay require Borrower to pay a one-time charge for a real estate tax verification and/or reporting service used by
<br />Lender in connection with this Loan.
<br />5. Property Insurance. $orrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards induded within the term "extended coverage," and any other hazards including, but not
<br />limited to, earthquakes and floc�ds, for which I.,ender requires insurance. This insurance shall be maintained in the amounts
<br />(including deductible levels) and for the periods that Lender requires. What Lender tequires pursuanf to thc preceding
<br />sentences can change during the term of the Loan. The insurance carrier providing the insurance shall be chosen by Borrower
<br />subject t� Lender's right to disapprc>ve Boxrower's choice, which right shall not be exercised unreasonably. Lender may
<br />require Borrower to pay, in connection with this Lnan, either: (a) a one-time charge for flood zone determination, certification
<br />and tracking services; or (b) a one-time charge for flood zone determination and certification services and suhacyuent charge:s
<br />each time remappings or similar ehanges oecur whieh reasonably might affeet such determinatic7n or certification. Borr�wer
<br />shall also be responsible far the paytnent of any Fees imposed by the Federal Emergency Management Agency in connection
<br />with the review of any flood zone determination resulting from an objection by $orrower.
<br />If Borrower fails to maintain any of the coverages described alx�ve, Lender rnay obtain insurance coverage, at Lender's
<br />option and Borrower's expense. Lender is under no obligation to purchase any particular type or amount of coverage.
<br />Therefore, such coverage shall cover Lender, but might or might not protect Borrower, Borrower's equity in th�: Prciperty, c»r
<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 coverage sn obtained might significantly exceed the
<br />cost of insurance that Borrower could have obfained. Any amounts disbursed by Lender under this Se�ction 5 shall become
<br />additional debt of Borrower secured by this Security Instrument. These amounts shall t�ear interest at the Note rate from the
<br />date of disbursement and shall be payable, with such interest, uppn notice from Lender to $orrower reyue5ting payment.
<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to disapprove
<br />such policies, SYk711 1I1C1UCIe 1 StiiIlCial'(� IIIOPI�B�e CIflUSe, and shall name Lender as mortga�ee xnd/or as an additional loss payee.
<br />Lender shall have the right to hold the polictes and renewal certificates. If Lender requ�res, i3orrower shall promptly grve to
<br />Lender all receipts of paid prezniums and renewal notices. If $orrower ahtains any form of insurance coverage, not otherwise
<br />required by Lender, for damage to, or destruction of, the Property, such policy shall include a standard mortgage clause and
<br />shall name Lender as mortgagee and/or as an additic>nal losa payee.
<br />In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender tnay make proof of
<br />loss if not made promptly by Borrower. tJnless Lender and $orrower othcrwise agree in writing, any insurance proceeds,
<br />whether or not the underlying insurance was required by Lender, shall be applied to resforation c�r repair of the Property, if the
<br />restoration or repair is economically feasible and Lender's sccurity is nnt lessened. Uuring such repatr and restoration period,
<br />Lender shall have the right to hold such insurance proceeds imtil Lender has had an opporttmity to inspect such Prc>perty to
<br />ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken promptly.
<br />T..,ender may disburse proceeds fc7r the repairs and restoration in a single payment or in a series of progress payments as the
<br />work is completed. Unless an agreement ts made in writing or Applicable Law requires intetest tr� t�e paad on such insurance
<br />proceeds, Lender shall not_ be re uir.ed a Bc�rx anX jnterest Qx �r�aiq�;s �I�such, gxoc_,�,_P��s,�Ur p.L�.bl�,-� �,c��#ers, or
<br />P
<br />other third parties, reta'ined by orrower s a1f not be paid out of the insurance proceeds and shall be the sole obl�gation of
<br />Borrower. Tf the restoration or repair is not economically feasible or Lender's security would be lessen�d, the insurance
<br />proceeds shall b� applied to the sums secured by this Security lnstrument, whether or not then due, with the excess, if any,
<br />paid to $orrower. Such insurance proceeds shall be applied in the order provided for in Section 2.
<br />If Borrower abandons the Property, Lender may file, negntiate and settle any available insurance claim and related
<br />rnatters. If $orrower does not respond withm 30 days to a noNce from Lender that the msurance carrier has c>ffered to settle a
<br />claim, then Lender may negotiate and settle the claim. The 30-day p�riod will begin when thc nntice is given. ln either event,
<br />or if Lender acquires the Property under Section 22 or otherwise, $orrower hereby assigns to Lender (a) Borrower's tights to
<br />any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security Instrument, and (b) any
<br />other of Borrower's rights (other than the right to any refund of unearned premiums paid by $orrower) under all insurance
<br />policies covering the Property, insofar as such rights are applicable to the coverage of the Property Lender may use the
<br />uisurance proceeds either to tepair or restore the Property or to pay amounts unpaid under the Note or this 5ecurity Instrurnent,
<br />wk►ether or not then due.
<br />6. Occupancy. $arrower shall occupy, establish, and use the YroPerty as Borrower's principal residence within 60 days
<br />after the execution of this Security Instrument and shall continue to occupy the Property as Borrower's principal residence fnr
<br />at least ��ne year after the dat� of occupancy, unless i.ender otherwise agrees in writing, which consent shall not be
<br />unreasonably withheld, or unless extenuating c�rcumstances exist which are bc:yond Borrower's cantrol.
<br />NEBRASKA--Single Family—Fannia MaelFreddie Mac UNIFORM INStRUMENT Form 3028 9/01
<br />Bankers Systems, Inc., St Cloud, MN Form MD-1-NE 8117l2000 (pnge .� nf 7 pnRes)
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