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<br /> UNIFORM COYENAN"iS Borrower und Lender covenant and agrcr us Pollows� go""'�Q O�Q v
<br /> l, Payment of P.incipnl and Interest; PrepAyment and Lute Ch�rges. DUifO\Ytf Shali promptly pay whcn dur
<br /> the principal of ated interest on the debt evidenced by the I+tote and an��prepay�iient and latc chnrges duc under the Note.
<br /> 2. Funds fnr T�xes Antl lnsu�ance. Subject to applicable law or tu a wnuen w:�i��cr by Lender,N�rro«�er sht�ll pay
<br /> � to Lender on the dAy monthly payments are due under the Note. until the Note is paid in full,a sum("Funds")equal to
<br /> ont-twelRh oP: (a) yearly taxes and asse�.cments which may attain priority o�•er tt�is Security Instrument; (b) yearly
<br /> leasehold payments or ground rents on the Property, iP any; (c) yeArly hazard i�surAnce premiums; nnd (d) }early
<br /> murigugC;,,�u�n�«e�reniium�,if any. Thcs:.itcros are crlled'•es�ro�itemc" 1.Pndrr may Nc�imate the Funds due on ihc
<br /> basis of current data and reasonable estimates of Puture escrow items.
<br /> The Funds shall be held in an institutian the deposits or accounts ofµ�hich are i�sured or guaranteed by a federal or
<br /> state agency (including Lender iP I.ender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br /> x.ender may not charge for holding and applying the Funds, analyzing the account or verifying the escrow items,unless
<br /> Lender pays Borrower interest on the Funds and applicable lew permits Lender to make$uch a charge.Bonower and
<br /> Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or applicable lAw
<br /> requires interest to be paid,L.ender shall not be required ta pay Borrower any interest or earnings on the Funds. Lender
<br /> shall give to Borrower,without charge,an annual accounting of'the Funds showing credits and debits to the Funds and the
<br /> purpose for which each debit ta the Funds was made.The Funds are pledged as additional security for the sums secured by
<br /> this Security Instrument.
<br /> If the amount of the Funds held by Lender,together with the future monthly payments of Funds payable prior ta
<br /> the due dates of the escrow items,shall exceed the amount reyuired to pay the escrow items when due.the eacess shall be,
<br /> at Borrower's option,either promptly repaid to Horrower or credited to Borrower on monthly payments of Funds. If the
<br /> amount of the Funds held by Lender is not sutHcient to pay the escrow items when due,Borrower shall pay to Lender any
<br /> alnount necessary to make up the de8ciency in one or more payments as reyuired by Lender.
<br /> Upon payment in full of all sums secured by this Security lnstrument.Lender shall promptly refund to Borrower
<br /> any Funds held by Lender.If under paragraph 19 the Property is sold or acquired by Lender,Lender shall apply,no later
<br /> than immediately prior to the sale oF the Property or its acyuisition by Lender,any Funds held by Lender at the time oP
<br /> application as a credit against the sums secured by this Security Instrument.
<br /> 3. Applicatian of Payments. Unless applicable law p�ovides otherwise, all payments received by Lender u�der
<br /> paragraphs 1 and 2 shall be applied:flrst,to late charges due under the Nate;second,to prepayment charges due under the
<br /> Note;third,to amounts payable under paragraph 2;fourth,to interest due;and last,to principal due.
<br /> 4. CY�arges;Liens. Bonower shall pay all taxes,assessments,charges, fines and impositions attributable to the
<br /> Property which may attain priority,over this Security Instrument, and leasehold payments or ground rents, if any.
<br /> Borrower shall pay these obligati�ns in the manner provided in paragraph�,or if not paid in that manner,Borrower shall .
<br /> pay them on time directly to the person owed payment.Borrower shall promptly fiirnish to Lender all notices of amounts ,
<br /> to be paid under this paragraph. If Borrawer makes these payments directly. Honower sha1)promptly fumish to Lender
<br /> � receipts evidencing the payments. '
<br /> Rnrrnwer shall promntiv discharge any lien which has priority over this Security Instrument unless Borrawer:(a) � . _
<br /> agrees in writing to the payment of the abligation secured by the lien in a manner acceptable to Lender;(b)contests in goad r.�..
<br /> faith the lien by,or defends against enfurcement of the lien in,legal proceedings which in the Lender's opinion operate to :
<br /> prevent the enforcement of the lien or forfeiture of any part of the Property; or(c)secures from the holder oP the lien an
<br /> agreement satisfactory to Lender subordinating the lien to this Security I nstrument. If Lender determines that any part of •_
<br /> the Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Bonower a =
<br /> notice identifying the lien.Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days , --
<br /> of the giving of notice. �
<br /> S. Hazard Insurance. Horrower shall keep the improvements now existing or hereaRer erected on the Property �
<br /> insured against loss by fire,hazards included within the term"extended coverage"and any other hazards for which Lender
<br /> requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The �
<br /> insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shal! not be
<br /> r.
<br /> unreasonably withheld. '
<br /> All insurance policies and renewals shall be accegtable to Lender and shall include a standard mortgage clause. i �
<br /> Lender shall have the right to hold the policies and renewals.If Lender requires. Borrower shall promptly give to Lender _�•
<br /> all rcceipts of paid premiums and renewal notices.In the event of loss,Borrower shall give prompt notice to the insurance ,
<br /> carrier and Lender.Lender may make proof of loss if not made promptly by Borrower. :.,�:
<br /> Unless Lender and$orrower otherwise agree in writing,insurance praceeds shall be applied to restoration or repair ;•,�
<br /> of the Pronerty damaged,if the restoration or repair is economically feasible and Lender's security is not lessened. lf the
<br /> restoration or repair is noi economically feasible or Lender's security would be lessened,the insurance proceeds shall be
<br /> applied to the sums secured by this Security Instrument,whether or not then due, with any excess paid to Borrower. If
<br /> Borrower abandons the Property,or does not answer within 30 days a notice from I.ender that the insurance carrier has
<br /> offered to settle a claim,then Lender may collect the insurance proceeds. Lender may use the psoceeds t4 repair or restore
<br /> the Property or to pay sums secured by this Security Instrument,whether or not then due.The 30-day period will begin
<br /> when the notice is given.
<br /> Unless Lender and Borrower�therwise agree in writing,any application of proceeds to principal shall not extend or
<br /> postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the paymcnts.If
<br /> under paragraph 19 the Property is acquired by Lender,Bonower's right to any insurance policies and proceeds resulting
<br /> from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security
<br /> Instrument immediately prior to the acquisition.
<br /> 6. Preservatton and Maintenance of Property;Leaseholds. Borrower shall not destroy,damage or substantially
<br /> change the Property. allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold,
<br /> Borrower shaU comply with the provisions of the lease,and if Bonower acquires fee title to the Property,the leasehold and __ ___ _ __
<br /> �- -- --
<br />- fee title shall not merge unless Lender agrees to the merger in writing. �
<br />= 7. Protection of Lender's Rights in the Property; Mortg,agP Insurance. If B�rrower fails to perform the
<br />- covenants and agreements contained in this Security Instrure�ent,or there is a legal proceeding that may significantly affect
<br />- Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or ,
<br /> regulations),then Lender may do and pay for whatever is necessary to protect the value of the Propeny and Lender's rights
<br /> in the Propesty. Lender's actions may incl�dr paying any sums secured by a lien which has priority over this Security
<br /> ; � instrument,appearing in court, paying reasonable attorneys'fees and entering on the Property to makc repairs. Although �
<br /> Lender may take action under this parag�aph 7.Lender does not have to do so. �t•
<br /> Any amounts disbursed by Lender under this paragraph 7 shall become additionai debt nf}3orrow•er vecured by this �
<br /> Seeunty 1n5trument-Unless Borrower and Lender agree to other terms cif payment,thetir amc�untc ehall bear interest from ti
<br /> thc datc of disbursrment at the Nrne ratr and sh:sll be p�y�able, with interetit, u�on nnt�re fr��m I ender tn A�rmwer ��(
<br /> reyuesting paymcnt. � ��
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