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<br />detemunation or certification. Borrower shall also be responsible for the payment of any fees imposed by the Federal
<br />�mergency Managernent Agency in connection with the review of any flood zone determination resulhng from an abjection
<br />by Borrower.
<br />If Barrower fails to maintain any of the coverages described above, L.ender may obtain insurance coverage, at
<br />Lender's option and Borrawer's expense. Lender is under no obligation to purchase any particular type or amount of
<br />coverage. Therefore, such coverage shall cover I,ender, but might or might nat protect Borrower, Borrower's equiry in the
<br />Property, or the contents of the Property, against any risk, hazard or liability and might provide greater or lesser coverage
<br />than was previously in �f�ect. Borrower acknowledges that the cost of the insurance caverage so obtained might significantly
<br />exceed the cost of insurance that Boirower could have obtained. Any amounts disbursed by Lender under this Section 5 shall
<br />become additional debt of$orrower secured by this Security Instrument. These amounts shall bear interest at the Note rate
<br />from the date of disbursement and shall be payable, with such interest, upon notice frorn I.ender to Borrower requesting
<br />payment.
<br />All insurance policies required by L.ender and renewals of such policies shall be subject ta L.ender's right to
<br />disapprove such policies, sh�ll include a standard mortgage clause, and shall name I.ender as mortgagee and/or as an
<br />additional loss payee. I.ender shall have the right to hold the policies and renewal certificates. If I.ender requires, Borrower
<br />shall prpmptly give to Lender all receipts ofpaid premiums and renewal notices. IfBorrowcr obtains any form of insurance
<br />coverage, not otherwise required by Lender, for damagc to, or destruction of, the Property, such palicy shall include a
<br />standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss payee.
<br />In the event of loss, Barrower shall give prnmpt notice to the insurance carrier and Lender, Lender may make proof
<br />of loss if not made prpmptly by Borrower. Unless Lender and Borrower ath�rwise agree in writing, any insw�ance proceeds,
<br />whether or not the underl}nng insurance was required by Lender, shall be applied to restoration or repair of the Property, if
<br />the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and restorat�on
<br />period, Lender shall hava the right to hold such insurance proceeds until L.ender has had an opportunity to inspect such
<br />Property to ensure the work has been completed to Lender's satisfaction, provided that such inspection shall be undertaken
<br />promptly. Lender may disburse proceeds for the repairs and restoratian in a single payment or in a series of progress
<br />payments as the work is completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid
<br />on such insurance proceeds, Lender shall not be required to pay Borrower any interest or earnings on such proceeds. Fees
<br />for public adjusters, or other third parties, retained by Barrower shall not be paid out of the insurance proceeds and shall be
<br />the sole obligation of Borrower. If the restoration or repair is not econorrucally feasible or Lender's security would be
<br />lessened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due,
<br />with the excess, if any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in Section 2.
<br />IfBorrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and related
<br />matters. If Borrowcr does not respond within 30 days to a notice from Lender that the insurance carrier has offere�l to setde a
<br />claim, then Lender xnay negotiate and settle the claim. The 30-day period will begin when the notice is giver►. In either
<br />event, or if Lender acquires the Property under Section 22 or otherwise, Borrowen c�reby assigns ta Lender (a) Borrower's
<br />rights to any insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Secunry Instrument,
<br />and (b) any other of Borrower's rights (other than the r�ght to any refund of unearned premiums paid by Borrower) under all
<br />insurance policies covering the Property, insofar as such rights are applicable to the coverage of the Fraperty. Lender may
<br />use the insurance proceeds either to repair or restore the Property or to pay amounts unpaid under the Note or this Security
<br />Instrument, whether or not then due.
<br />6. Occupancy. Borrower shall occupy, establish, and use the Property as Bo►rower's principal residence within
<br />60 days aftcr the execution of this Securiry Instxument and shall continue to occupy the Property as Borrower's principal
<br />residence for at least ane year after the datc
<br />of occupancy, unless Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless
<br />extenuating circumstances exist which are beyond Borrower's control.
<br />7. Freservatian, Maintenance and Protection of the Pcoperty; Inapections. Borrower shall nat destroy,
<br />damage or impair the Prpperty, allow the Prap�rty to deteriorate or commit waste
<br />on the Properry. Whether or not Borrower is residing in the Property, Borrower shall maintain the Pra�erty in order to
<br />prevent the Property from deteriorating or decreasing m value due to its condition. Unless it is deterrnmed pursuant ta
<br />Section 5 that repair or restoration is not economically feasible, Borrower shall promptly repair the Propecty if damaged to
<br />avoid further deterioratipn or damage. If insurance or condemnatinn proceeds are paid m connection with damage to, ar the
<br />talcing of, the Properry, Borrower shall be responsible for repairing or restoring the Property only if I.ender has released
<br />proceeds for such purposes. I.ender may disburss proceeds for the repairs and restoratinn m a smgle payment or in a series
<br />of progress payments as the work is campleted. Tf the insurancc or condemnation proceeds are not suffic�ent to repair or
<br />resto� the Property, Borrawer is not relieved ofBorrower's obligatinn for the completion ofsuch repair or restoration.
<br />Lender ar its agent may raake reasonable entries upan and mspections of the Property. If it has reasvnabla cause,
<br />Lender may inspect the interior of the improvements on the Properiy. Lender shall give Borrower notice at the time of or
<br />prior to such an mterior inspection specifymg such reasanable cause.
<br />$. Borrower's Loan Application. Horrowcr shall be in default if, during the L.oan application process,
<br />Borrower or any persons ar entities acting at the di�ction of Borcower or with Borrawer's knowledge or consent gave
<br />materially false, mislsading, or inaccuratc infarmation or statements to Lender (or failed to provide Lender with matenal
<br />information) in co�ection with the Loan. Material representations include, but are not limited to, representations concerning
<br />Borrower's occupancy of the Property as Borrower's principal residence.
<br />9. Protection of Lender's Interest in the Property and Rights Under this Security Instrument. If
<br />(a) Borrower fails to perform the covenants and agreements contzuned in this Security Instrument, (b) there is a legal
<br />proceeding that rnight significantly affect Lender's interest in the Property and/or rights under this SecurityInstrwnent (such
<br />as a proceeding in bankruptcy, probate, for candertuiation or forfeiture, for enforcement of a lien which may attain priority
<br />over this Security Instrument ar to enforce laws or regulations), or (c) Barc'awer has abandaned the Property, then Lender
<br />rnay do and pay for whatever is reasonable or appropnate to protect Lender's interest in the Property and nghts under this
<br />Security Instrument, including protecting and/ar assessing the value of the Property, and secunng and/or repairing the
<br />Properry. Lender's actions can mclude, but are not limited to: (a) paying any sums secured by a lien which has priorit� over
<br />this S�curity Instrument; (b) appearing in court; and (c) paymg reasonable attorneys' fecs to protect its interest m the
<br />Praperry and/or rights under this Security Instrurnent, including ats secured position in a bankruptcy proceeding. Securing
<br />the Properiy includes, but is not limited to, enterin� the Praperty to make re�airs, change locks, replace or board up doors
<br />and windows, drain water frorn pipes, eliminate building or other code violations or dangerous conditions, and have utilities
<br />turned on or off. Althpugh Lender may take action under this Sectian 9, I.ender does not have to do sa and is not under any
<br />duty ar obligation to do so. It is agreed that Lender incurs no liabilityfor not taking any or all actions authorized under this
<br />5ection 9.
<br />Any amounts disbursed by Lender undcr this Section 9 shall become additional debt of Borrower secured by this
<br />Security Instrurnent. These amounts shall bear interest at the Note rate from the date of disbursement and shall be payable,
<br />with such interest, upon notice from I.ender to Borrower requesting payment.
<br />Ifthis SecurityInstrumentis on a leasehold, Borrower shall complywith all the provisions ofthe lease. IfBorrawer
<br />acqui�s fee title to the Prvperty, the leasehold and the fee title shal] not merge unless Lender agrees to the merger in wriring.
<br />l0. Mortgage Insurance. If I.ender required Mortgage Insurance as a condition of making the Loan,
<br />Borrower shall pay the premiums required to maintain the Mortgage Insurance in effect. If, for any reason, the Mortgage
<br />Insurance coverage requtred by Lender ceases to be available from th� mortgage insurer that previously provided such
<br />NEBRASKA--Single Family--Fannie Mae/Freddie Mac UNTF+QRM INSTRUMENT
<br />12439.CV (1/08) 904043
<br />(MERS) Form 3028 ll01 (page 4 of 8 pages)
<br />Creative Thinking, Inc.
<br />GOTb(001 A2529)
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