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201108627
<br />additional loss payee. Lender shall have the riglit to hold the policies and renewal certificates. If Lender requires,
<br />Borrower shatl promptly give to Lender a11 zeceipts of paid premiums and renevc+al notices. If Borzower obtains any
<br />form of insurance covexaga, not ottierwise required by L�nder, for damage to, or destr�ction of, the PropeRy, suelt
<br />policy shall include a standard mortgage clause and shatl name Lender as mortgagee and/or as an addirional loss
<br />FaY�•
<br />In the evenc af loss, Borrowez shall give prompt notice to the insurance carrier and Lender. Lender may make
<br />proof of loss if not znade promptly by Bortower. Unless Lender and Bonower otherwise agree in writing, any
<br />insurance proceeds, r�vhether or not the underlyi�ag insurance was required by Lender, shall be applied to restoration
<br />or repair of the Property, if the restoration or repair is economically feasible and I.ender's security is not lessened.
<br />During such repair and restoratiou period, Lender sha11 have the right to hoid such insurance proceeds until I.ender
<br />has had an opportunity to inspect such Property to ensure the work has been comple#e�l. to Lender's satisfaction,
<br />provided that such inspection shall be undertaken promptly. Lender rna.y disburse proceeds �oz the repairs and
<br />restoration in a single payment or in a series af progress payments as the work is completed. Unless an agreemez�t
<br />is made in. writing or Applicable Lavv requires interest to be paid on such insurance procx�tls, Lemder shall not be
<br />required to pay Borrower any i�terest or eazr►ings on sucia proceeds. Fees for pui�Iic adjustez�, or other third �arties,
<br />retained by Borrower sha� not be paid out of the insurance proc�eds and shall be tlze sole ob�igation vf Borrower.
<br />If tlie restozation or repair is not �:onomically feasible or Lender's se,curity would be lessened, the insuzancepxoceeds
<br />shall be applied ta the s�ttns secured by this Security Instrument, whether or not then due, with the excess, if any, pazd
<br />to Borrower. Such insurance pzoceeds shail be applied in the order provided for in Section 2.
<br />If Sorrower abandons the Property, Lender may file, negotiate and settle any available insuzance claim and
<br />related matters, If Borrower does not zespond within 30 days to a notice from I..ender that the insnxance canrier has
<br />offered to settle a ctaim, c.�zen T.ender may negotiate and settle the claim. The 30-day period wi.11 begin when the
<br />notice is given. In either event, or if Lender acquires the Property under Section 22 or otherwise, Borrower hereby
<br />assigns to Lender (a) Borrower's rights to any insurance proceeds in an amount not ta exceed the aznounts unpaid
<br />under t'he Note or tbas Se�urity Instnmaent, and (b) any other of Borrower's rights (other than the right to any refund
<br />of unearned premiums paid by Borrower) under all insurance policies covering the Properry, insofar as such rights
<br />are applicable to the coverage of the �'roperty. L.ender may use the insurance proceeds either to repair or resrore the
<br />Property or to pay amounts unpaid under the Note or this Security Instrument, whethez or not tlxen due.
<br />6. Occupancy. Borrower shal] occupy, establish, and use the Proper[y as Borrower's principal iesidence
<br />within 60 days aftez the execution of this Security Instnunern and shall continue to occupy the Property as Borrower's
<br />principal residence for at least one year after the date of occ�paucy, unless Lender otherwise agrees in writing, whieh
<br />consent shall not be unreasonably witl�lieid, or unless extenuatiz�g circumstances exist which are beyand Borrower's
<br />controL
<br />�. Preserva#ion, Mair�tenance and Protectioxz of the Property; Inspeetions. Bonrawer shall not destroy,
<br />daxnage or impair the Property, alJ.ow tlze Properry to deteriorate or commit waste on the Praperty. Whether or not
<br />Borrawer is zesiding in rhe Property, Borrower shall znaintain the Property in order to prevent ihe Praperty fram
<br />deteri.orat5ng or decreasing in value due to its condition. Unless it is determined pursnant to Section 5 thatrepair or
<br />restoration is not econornically feasible, Borrower shall promptly repair tlae Property if damaged to avoid further
<br />deteriorarion or dam.age. Tf insurance ar condemnatipn proceeds are paid in connectian with damage to, or the taking
<br />of, the Property, Borrower shall be responsible for repairing or restoring the Properry only if Lender has reieasec!
<br />proc�ds for such ptuposes. Lender rnay disburse proce�ds for the repairs and restoratian in a siugle payment or in
<br />a seri�es of progress payments as the work is completed. If the insurance or condemnation proceeds are not suff'icient
<br />to repair or restore the Property, Borrower is not relieved of Bozrower's obligatian for rlie cornpletian of such repair
<br />or restoration.
<br />Lender or its agent may make zeasonable enzries upon and inspections of the Property. If it has reasonable cause,
<br />I.ender may inspect the interior of the improvements on the Property. Lender shall give Borrower notice at the time
<br />of or prior to such an interior inspection specifying such reasonable cause.
<br />$. Borrower's Loan Application. Borrower shall be in default if, during the L.oan application process,
<br />Bonower or any persons or entities acting at the direction of Borrower or with Borrower's knowledge or consent gave
<br />raaterially faise, misleading, or inaccurate infoxmation or statemeuts to Lend.er (os failed to provide Lender with
<br />material information) in connection with the Loan. Material representations inclnde, but are not ]inuted to,
<br />represerntations canGeruing Borrower's occupaney of the Property as Borrower's pzincipal residence.
<br />9. Protection of Lender's Iuterest in the Property and Righfis Under this Security Inshvment. Tf (a)
<br />Borrower fails to perform the covenants and agr�ments contained in this Security Instrument, {b) there is a Iegal
<br />proceeding that might significantly a.ffect Lendez' s interest in the Properry and/ar rights under this 5ecurity Instnunent
<br />(such as a proceeding in bankcuptcy, probate, for condemnation or forfeiture, far enforcement of a Iien 'which may
<br />attain priority over this Securiry Instrument ar to enforce laws or regulations), or {c) Borrower has abandoned. t�e
<br />Property, then Lender may do and pay for whatevez is reasonable or appropriate ta protect Lender's interest in the
<br />Pmperly amd righ�s under tkais Security Instrument, including pratectin$ and/or assessing the value of the Property,
<br />and securing and/ar repairing the Property. Lender's acrions can include, but are not lixnited to: (a) paying any sums
<br />secured by a lien which has priority over this Security Instnunent; (b) appearing in court; and (c} paying reasonabie
<br />attomeys' fees to protect its interest in tlie Property and/or rights under this Security Insmunen.t, including its secured
<br />posiiion in a bankruptcy pxoceed'u2g. Securing the Praperty includes, but is not limited to, entering the Property to
<br />maks repairs, change locks, replace or board up doors and windows, dxaui water fram pipes, etiminate building or
<br />other code violations or dangeraus conditions, and have utilities turned on or off. Althougxz Lender may take aetron
<br />under t,�us Secxion 9, Lender does not have to do so and is not under any duty or obFigatian to do so. It is agreed that
<br />L,ender incurs no liability for not taldng any oz all actions authorized under this Section 9.
<br />NEBRASKA--Single Famity—Fannie Mae/Freddie Mac UNIFORM I�fSTRUMENT - MERS � D
<br />Form 3028 1/07 Page 5 of 11 saww.docmagic.com
<br />xa3o28.maa.uot
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