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<br /> 5. Haznrd m� Pro(xrty lnsurnncc. Borrc,wcr tihall kcep thc improvements no�v existing on c�rcuftcr crcctcd on chc
<br />"'=„�;��'� Property insurcci against Inss by fire, har.u:ds includcd �vithin the tcrm "cxtended coverage" und uny othcr huzards, including
<br /> floods or flooding,for which Lcndcr rcquires insurancc. This insuruncc shall bc maintaincd in dic umouitits and far thc periods
<br />';_,°;.�,;�• that Lcndcr rcquires. Thc insurancc carricr providing [he insurancc shall b�.cliutien by Burrow�r suUjcct to Lcndcr's apprnvnl
<br />;.� ,� , which shall not be unreasonably withhcld. If Borrower fails to mnintain coverage described above. I.ender may, at Lender's
<br />"; ��=_` option,obtuin coverage to protect L.ender's rights in the Yroperty in accordance with pnragraph 7.
<br />- � All intiurance policies and rertewals shall Ue ncceptable to Lender and shall include a standard mon�age clausa Lxnder
<br />_-- :-- shall huvc the ri�ht ta hold the policies and rene�vals. If Lender cequires,Borrower shall promptly give to Lender all reccipts of
<br /> � :•tte, paid premiums and renewal notices. In the event of loss,Bonawer sh�ll give prompt notice to the insurance carrier and Lender.
<br /> ° • Lender may make praof of loss if not made promptly by Borrawer.
<br /> ,u,. . .,;�.,u;
<br /> Unless I.ender and Bar�•ower othenvise ngree in writing,imsurance proceeds shall be applied to restoration ar repuir of the
<br /> : 5j; ,r '� Property dnmaged,if the restoration or repair is eronomicully ftasible and Lender's security is not lessencd. If the restoration or
<br /> :, � f;� repair is not economically feasible or Lender's secu�•ity wauid be Iess�ned, the insucanee praceecis shall be applied to the sums
<br /> A'�`I,, ,.`',.
<br /> ��•�:-�;;� secured by this Security Instrument, whether ar not then due, w.ith any excess paid to Borrower. If Dorrower abandons the
<br /> __-r�:�� Propeny, or do�s not nnswer within 30 days a notice from Lender that thc insurance carricr has offered to settle u claim,then
<br />---=°....�,,�, Lcnder may collcct the insur.mcc procecds. Lcnder may use thc procccds ro rcpair ��r restorc the Property or to pay sums
<br /> -_--_�� securecl by this Securiry (nstrument, whether or nat then due.'fhe 30•day peri��d will hebin when thc nutice is given °
<br /> � Unlesy l.endcr nod Florrawer othcrwi,c :�gru� in �vriUng, uny upplic�ui�m uf pr�►cccds to principal +liidl n��t cxt�nd ar
<br />°;�'x:�"��� �xntpunc tltc d��c ilutc ui'Ihc monthly pnymcnts rcfcrrcd U� in parngrnphti I wid 2 ur chun�,c thc umuunt of thc paymcuts. lt'
<br /> � u�idcr puruKrnph 21 Ihc 1'ro�kily Is ticquired by I.cndcr, Rnrruwcr's right to�my insunuuc pulicics und prurccds resulting fram
<br />�~�`���i danm�;c a�Ihc I'ruperty priur tu thc iicyulsf�iun shall pu,s tu l.cndcr w�hc cxtcnl oi'ihc,ums sccurcd by thiti Sccurity Inst�•umcnt
<br /> — immcdlntcly prior ta Uic ucquisUlun.
<br /> � 6.ltscu�weacy, 1'r�wervuUon� hialntenunce and Prot�.YHon ot tl�e Nroperly; liorrower's l.��ao ApplicuN�►ni I.caischoldy.
<br /> I�orr��wcr hfu�ll �xcupy,cstnblitih,und uxc thc Property as Hurrnwcr's principal residcncc within sixty days aftcr thc exccutian of
<br /> •�'°�i thls Sccurity Intitrumcnt and shnll continue to occupy the Proparty ns Borrower's principal residence for at Iexst one ye:ir after
<br /> titc dalc��P i►ceupancy,unless Lcnder otherwise ngrces in writing, which consent Shull not be unrcasonably withheld,or un�ess
<br /> , ��vs,_.,s�sil,p circumtiwnces exist wh'tch ure beyord Borrower's contral. Aormwer shall not destroy, damage or impair the
<br /> _� - Property, ullo�v thc Property to detcriorate, or commit wnste on the Property. Borrower shall be in defauic ii'any n�rfciiu�c
<br /> ---�-- �ction or procee,dino,whether civil or criminal, is begun that in Lcnder's good faith judgment could result in farfefture of the
<br /> -- Propercy or othenvise materially impuir the lien created by this Security Instrument or Lender's security interest.Bonower may
<br /> -' cure such a default and reinstate,as provided in paragraph 18,by causing the action or procecding to be dismissed with a ruling
<br /> thut, in Lender's good faith determination, precludes forfeiture of the Borro�ver's interest in the Praperty or other materisl
<br /> impairment of the lien created by this Security Instrument or Lender's security interest. Borro�ver shall also be in default if
<br /> Borrower, daring the loan application process,gave materially false or inaccurate information or statemen2s to Lender(or failecl
<br /> =__ to provide Lender with any material inforniation)in connection with the loan evidenced by the Note, including,but not limited
<br /> to,representAtions concerning Bonower's occupancy of the Property as a principal residence. If this Security Instntment is on a
<br /> leasehold. Borrower shall comply with a11 the provisions of the lease. If Bonower acquires fee title to the Pmperty, the
<br /> teasehold und the fee title shnll not merge unless Lendcr agrees to the mergcr in writing.
<br /> 7.Protectton of I.ender's Rigbts(n the Property. If Borrower fuils to perform the covenants ar►d a�reements contained in
<br /> ��.� this Security Instrument. or there is a legal proceeding thut may significantly affect Lender's rights in die Pruperty(such es a
<br /> - - - --� prnceeclins in bar►lcruptcy,probate, for condemnation or forFciture or to enforce Inws or regulations). tliert Lender may do aud
<br /> pay for v+hatever is necess�ry to protect the valne of the Propeny and Lender's rights in the Property, Lender's actions may
<br /> include paying any sums secured by a lien which has priority over thxs Securlty instrument, appenring tn court, payins
<br /> reasnnable attomeys'fees and entering on the Property to make repairs. Although L.cnder may take action under this paragraph
<br /> - - 7,Lender does nat have to do so.
<br /> _ Any amounts disbursed by Lender under this parugraph 7 shall become additional debt of Borrower secured by this
<br /> 5ecurity Instrument.Unless Borrower and Lender agree to other terms of payment, these amounts shall bear interest from thc •
<br /> dnte of disburscment at the Note rate and shaU be payable, with interest, upon notice from l.ender to Borrower requesting
<br /> payment.
<br /> S.1bIortgage Insurance.If Lender requircd mortgage insurance as a condition of making the loan secured by this Securiry
<br /> — Instrument, Borrowcr shall pay the premiums requircd to maintain the mortgage insurance in effett. If, for nny reason, the
<br /> — - mortgage insuranc�coverage required by Lender lapses or ceases to be in effect,Borrower shall pay the premiums required to
<br /> - - obtain coverage substantinlly cquivalent to the mortgage insurance previously in effect,at a cost su6stnntially eyuivalent to thc
<br /> - _ _- = cost to Boirower of the m�rtgnge insurancc previously in effect, from an alternate mortgage insurer approved by Lender. If
<br /> =�'�'��-�� substantially equivalent mortgage insurance coverage is not available,Borrower shall pay to Lender each month a sum equal to
<br /> �-=-- one-twelfth of thc ycarly mongage insurnnce premium bein�paid by Borrowcr whcn thc insurance coverage lapsed or ccased to
<br /> -�� be in effect.Lendec will accept, use und retain these payments as a loss reserve in lieu of monguge insurance. Loss reserve
<br /> --_- Farm 3028 8f90
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