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<br />UNIFORM COVE'NAN Iy liorrouer and Lend cr covenant and agree as follOW,:
<br />1. Payment of Principal and interest, Prepayment and Late Charges. Borrower shall promptly pa% when ►iue
<br />the principal of and interest on the debt evidenced by the Note and any preps) merit and late charges due under the Note.
<br />2. Funds for Taxes and Insurance. Suhjec t►►:ipplicublc lu►v yr to :► written svai►er b} Lcndrr. Borrower shall p :►y
<br />to Lender an the day monthly payment~ are clue under the Note, until the Note is paid in full, a sum ("Funds") equal to
<br />one - twelfth oft (a) yearly taxes unit assessments whildl tna} attain priority over this Se: urity Inarumer►t; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and ld) yearly
<br />mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimate the funds due on the
<br />basis of current data and reasonable estimat:.s of future escrow items.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a tedetal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />Lender 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 law permits Lender to make such a charge. Borrower law
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or applicable
<br />requires interest to be paid. Lender shall not be required to 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 />puuTose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by
<br />i this Security Instrument.
<br />Ifthe amount of the Funds held by Lender, together with the future monthly payments of Funds payable prior to
<br />the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be,
<br />at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the
<br />i amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Borrower shall pay to Lender any
<br />amount necessary to make up the deficiency in one or more payments as required by Lender-
<br />Upon payment in full of all sums, cured by this Security Instrument, Lender shall promptly refund to Bom�wer
<br />l any Funds held by Lender. If under pw*. raph 19 the Property is sold or acquired by Lender, Lender shall apply, no later
<br />I than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of
<br />application as a credit against the sums swured by this its Instrument.
<br />3. Application of Payments. Unless apphcnfile law provides otherw ise. all payments received by Lender under
<br />jparagraphs I and 2 shall be applied: first, to late charg40:due under the Note; second. to prepayment charges due under the
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<br />Nate. third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due.
<br />6. Charges; Liens. Borrower shall pay all taxes, assesstnents, charges, fines and impositions, attributable to the
<br />Property wSch may attain priority. over this Securcty Instrument, and Ieasehold payments or ground rents, if any.
<br />Borrower shall pay these obligations in rite manner provided in paragraph 2. or if not paid in that manner, Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly. Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />" Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a)
<br />ugiaa irk Wi Ming to the pay men of she obliu�tinn.cPCUred by the lien in a manner acceptable to Lender, (b) contests in good
<br />faith the lien by, or defends against enforcement 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 of the lien an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. 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 Borrower 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. Borrower shall keep the improvements now existing or hereafter 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 insuranee.shall be chosen by Borrower subject to Lenders approval which shall not be
<br />unreasonably withheld.
<br />' All insurance policies and renewals shall be acceptable co Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. if Lender requires, Borrower shall promptly give.to Lender
<br />a@I receipts 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. lied to restoration or repair
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be app
<br />of the Property damaged, if the restoration or repair is economically feasible and Lenders security is not lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be
<br />41pplied 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 Lender that the insurance carrier has
<br />offered to'selde a claim, then Lender may collect the insurance proceeds. Lender may use-the proceeds to repair or. restore
<br />the PropeOT. or to pay sums secured bythis Security Instrument, whether or not then due. The 30 -day period will begin
<br />when the notice is given.
<br />Unless Lender and Boffower otherwise aged 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 payments. If
<br />t ' . under paragraph 19 the Property is acquired by Lender. Borrower'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. Preservation 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 shall comply with the provisions of the rase. and if Borrower acquires fee title to the Property, the leasehold and
<br />fee title shall not merge unless Lender agrees to the icerger in writing.
<br />7. Protection of Lender's Rights in the Puogierty,- .1,4irrigage Insurance. If Borrower fails to perform the
<br />covenants and agreements contained in this Security Instrurnera. ar there's a legal proceeding that may significantly affect
<br />Lender's rights in the Property (such as a proceeding itr lia*Ycruptcy. praiixie. for condemnation or to enforce laws or
<br />regulations), then Lender may do and pay for whatever is;_eCessh
<br />.ry to protect the value of the Property and Lender's rights
<br />in the Property. Lender's actions may include 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 P'rcperty to make repairs. Although
<br />Lender may take action under this paragraph 7. Lender does not have to do so. . .
<br />Any amounts disbursed by Lender under this paragraph 7 shall become additional dent of Borrower secured by this
<br />Security Instrument. Unless Borrower and Lender agree to other terms of payment. these amounts shall hear interest from
<br />the date of disbumeinent at the Note rate and shall be payable, with interest, upon notice from I ender to Borrower
<br />requesting payment"
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