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�Q�10�9�G
<br />covered by this Security Instrument All of the foregoing is referred to in this Security Instrument as the "Ptopetty. "
<br />Borrower understands and agrees that MERS holds only legal ritle to the interests granted by Bonower in this Security
<br />Inshument; but, if necessary to comply with law or custom, MERS (as naminee for Lender and Lender' s successors
<br />and assigns) has the right: to exercise any or all of those interests, including, but not limited to, the right to foreclose
<br />and sell the Properiy; and to take any action required of I,ender including, but not limited to, releasing or canceling
<br />this Security Inshument
<br />BORROWER COVENANTS tbat Borrower is lawfully seised of the estate hereby conveyed and has the right to
<br />grant and convey the Property and that the Property is unencumbered, except for encumbrances of record Borrower
<br />warrants and will defend generally the title to the Property against all claims and demands, subject to any
<br />encumbrances of record
<br />THIS SECURITY INSTRUMINT combines uniform covenants for national use and non-imiform covenants with
<br />limited variations by jurisdiction to constitute a uniform security instrument covering real property.
<br />UNIFORM COVENANTS. Bonower and Lender covenant and agree as follows:
<br />1. Payme� of Principal, Interest and Late Charge. Borrower shall pay when due the principal of, and
<br />interest on, the debt evidenced by the Note and late charges due under the Note.
<br />2. Montlily Payment of Taaes, Insarance, and Other Charges. Borrower shall include in each monthly
<br />payment, together with the principal and interest as set forth in the Note and any late charges, a sum for (a) taxes and
<br />special assessments levied or to be levied against the Property, (b) leasehold payment� or ground rents on the
<br />Property, and (c) premiums for insurance reqidred under paragraph 4. In any year in which the Lendet must pay a
<br />mortgage insurance premium to the Secxetary of Housing and Urban Development ("Secretary"), or in airy year in
<br />wluch such premium would have been required if Lender still held the Security Instrument, each monthly payment
<br />shall also include either: (i) a s� for the annual mortgage insivance premium to be paid by Lender to the Secretary,
<br />or (ri) a monthly charge instead of a mortgage insurance premi� if this Security Instrument is held by the Secretary,
<br />in a reasonable amount to be determined by the Sectetary. Except for the montlily charge by the Secretary, these items
<br />are called "Escrow Items" and the sums paid to Lender are called "Escrow Funds."
<br />Lender may, aY azry time, collect and hold amrnmis for Escrow Items in an aggregate amotmt not to exceed the
<br />maximimm amount that may be required for Borrower's esctow account under the Real Estate Settlement Procediues
<br />Act of 1974, 12 U.S.C. §2601 et sea. and implementing regulations, 24 CFR Part 3500, as they may be amended
<br />from time to time ("RESPA"), eaccept that the cushion or reservepermitted by RESPA for uoanticipated disbursements
<br />or disbursements before the Borrower' s payments are available in the account may not be based on amoimts due for
<br />the mortgage insurance premium.
<br />ffthe amoimis held by Lendet for Escrow Items exceed the amounts permitted to be held by RESPA, Lender shall
<br />account to Bonower for the excess fimds as required by RESPA. If the amount� of funds held by Lender at any time
<br />are not sufficient to pay the Escrow Items when due, Lender may notify the Borrower and require Bonower to make
<br />up the shortage as permitted by RESPA.
<br />The Escrow Funds are pledged as additional sec�aity far all s�s seciued by this Security Instrumen� If
<br />Borrower tenders to Lender the full payment of a11 such sums, Borrower' s account shall be credited with the balance
<br />remaining for all installment items (a), (b), and (c) and any mortgage insurance premium installment that Lender has
<br />not become obligated to pay to the Secretary, and Lender sha11 promptly refund any excess fimds to Bonower.
<br />Immediately prior ta a foreclosure sale of the Propercy or its acquisition by Lender, Borrower's account shall be
<br />credited with any balance rema;ning for all installments �for items (a), (b) and (c).
<br />3. AppHcaflon of Payments. All payments under paragraphs 1 and 2 shall be applied by I.ender as follows:
<br />FIItST, to the mortgage insurance premium ta be paid by Lender to the Secxetary or to the monthly charge by
<br />the Secretary instead of the monthly mortgage +n�„+�+*+ce premium;
<br />SECOND, to any taxes, special assessments, leasehold payments ar groimd rents, and fire, flo�i and other ha�ard
<br />instuance premiums, as required;
<br />TffiRD, to interest due under the Note;
<br />FOURTH. to amortization of the principal of the Note; and
<br />FIFTH, to late charges due under the Note.
<br />4. NSre, Flood and Other Hezard Insarance. Bonower shall insiue all improvements on the Property,
<br />whether now in existence or subsequenfly erected, against any harards, casualties, and contingencies, including fire,
<br />for wluch Lender re,quires insurance. This �n� s]�a]] be maintained in the amatmts and for the periods that
<br />Lender requires. Bonower shall also insise all improvements on the Properiy, whether now in existence or
<br />subsequently erected, against loss by floods to the extent required by the Secretazy. All insurance shall be carried with
<br />companies approved by Lender. The insurarice policies and any renewals shall be held by Lender and shall include
<br />loss payable claus� in favor of, and in a form acceptable to, Lender.
<br />In the event of loss, Borrower shall give Lender immediate notice by maiL Lender may make pr�f of loss if not
<br />made promptly by Borrower. Each insurance company concerned is hereby suthorized and directed to make payment
<br />for such loss direcfly to Lender, instead of to Bonower and to Lender jointly. All or any part of the insurance
<br />proceeds may be applied by Lender, at its option, either (a) to the reduction of the indebtedness under the Note and
<br />Uvs Security Inshvmeat, first to any delinquent amoimts applied in the order in pazagraph 3, and then to Pi'epaYment
<br />of principal, or (b) to the restoration or repair of the damaged Property. tlny applic�tion of the proce�eds to the
<br />principal shall not extend or postpone the due date of the monthly payments wlrich are referred to in paragraph 2, or
<br />change the amoimt of such payments. Any excess insivance proceeds over an amount required to pay all out4tanding
<br />indebtednesc under the Note and Uvs Security Instrument shall be paid to the eatity legally entitled thereto.
<br />FHA NFBRASKA D� OF TRUST - MERS
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<br />QI�I�I Ia�ll� II01I � I � Q I I IIII� II�01 IO
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