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UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: . 89--1 Q
<br />1. Payment of Principal and Interest; RrNpoisent and Ute Charges. Borrower shall promptly pay when due
<br />the principal of and interest en the debt evidenced by the Note and any prepayment and late charges due under the Note.
<br />2. Funds for Taxes and Issttmee. Subject to applicable taw or Ina written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly payments are due under the Num, until the Note is paid in full, a sum ( "Funds") equal to
<br />one - twelfth of (a) yearly taxes and assessments which may attain priority over this Security Instrument. tb) yearly
<br />lemichold payments or ground rents on the Property, if any; (.; yearly hazard insurance premiums:, and (d) 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 estimates offuture escrow items.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a fq&ral.or
<br />state agency (including Lender if Lender is such an institution)_ Lender shall apply the Funds to pay the escrow. it4rtts.
<br />Lender may not charge for holding and applying the Funds, analyzing ,the account or verifying the escrow item.%: unlg* -s
<br />Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. 1.4rr�wer:.'and
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or ap- plicah,I0 law
<br />requires interest to be paid, Lender shall not be required to pay bummer any interest or earnings O'n.the Fund.: Lender
<br />shall give to Borrower. without charge. art; annual accounting ofthe Funds showing credits and debits to the Funds and the
<br />purpose for which each debit to the Ftuul:, -w as)traiJ -The Funds are pledged as additional security for the sums secured by
<br />thisSecurity Instrument.
<br />If the amount of the FumU k4d by Lender, together with the future monthly payments of Fun&ptayable prior to
<br />the due dates of the escrow itats,: 5) ;': errs eed the amount required to pay the escrow items when due;. ttkexcess shall be,
<br />at Borrower's option, either prbnr ;r*: id to Borrower or credited to Borrower on monthly payments of Funds. If the
<br />amount of the Funds held by-Exat ii6; Lx sntiicient to pay the escrow items when due, Borrower shall pay to Lender any
<br />amount necessary to make ulsil icw�cy in one ortrsrre payments as required by Lender.
<br />Upon payment in Fill: Crtn.lk- sums secured �- .t s security Instrsta-eat, der shall promptly r.+fw-,d to Borrower'
<br />any Funds held by Lender. I�itn r paragraph Mtom- -Property is ��I ar a �,�u�� by Lender. Lender sildii apply, no later
<br />than immediately prior to the sate of the Property or its acq!4,'m--. by Lender, any Funds held by Lender at that V;79" of
<br />application as a credit against the sums secured by tints Sac;.-: i tp r_q%,mment.
<br />3. ++inY iaition fit Pwi ents. Unlcssi rpYlK °.L-! v praYides other ricsc, all received 4,,y Lcn4ci u-:-: tr
<br />paragraphs I and 2 shall be ag;plied: first, to late chau pasdue under the Note; second, to prepayment chore -M due under the
<br />Note; third. to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due.
<br />4. Clinges; Liens.. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the
<br />Property which may attain priority eser this Security Instrument. and leasehold payments or ground rents, it any.
<br />Borrower shall pay these &Nj #icus Li, t'a� manner hided in paragraph 2. or if not paid in that manner, Borrower shall
<br />pay them on time directly t57,nhy: per Sun (,wed payr sit:. Borrower shall promptly furnish to Lender all: rwi tces of amounts
<br />to be paid under this par7ag�tph.' ET Ls<Tu-M.wer makcs., �ajments directlw, Rarrower shall promptly fuareish to Lender
<br />receipts evidencing the payzt:ents.
<br />Borrower shall promptly discharge any lien whim kaz.pr,a3 =tip: owr ryis Security Instrument udeSs sonaww. (a)
<br />agrees in writing to the Fa.}t,rent of the obligation secured by the h(na in a manner acceptable to Lender; (bi zontests in good
<br />fzith 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 tvisting or hereafter erectol on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage 'and and any other hazards for which Lender
<br />requires insurance. This insurance shall Coe mu retained in the amounts and for the pt: c -0s that Lender requires The
<br />insurance carrier providing the insuyzmx s all he chosen by Sk?,rrower subject to Lerdvi'4, approval which shall rat be
<br />unreasonably withheld.
<br />All insurance policies and renewals sha!I 1x acceptable to Lender and shall inc i _,c a standard mortgage clause.
<br />Lender shall have the right to hold the policies amts v'mewals. if Lender requires, Borroafc:� `:al{ pin: ptly give to L,cader
<br />all receipts of paid premiums and renew;,. i - notices. In the event of loss, Borrower shall gtvt l; oompt notice to the insurance
<br />carrier and Lender. Lender may make p�,rrof of lm ; Tstot made r.r.�nanptly by Borrower.
<br />Unless Lender and. EX:rrowei 6E ac s,.a e r ; writing, insurance p;r�t:As shall he applied to, xe oration or repair
<br />of the Property damaged,,, ifttie restom-'l :J, r ;._r s economically feasibrrwtai Lender's tesurity i . n:)t lessened. If the
<br />restoration or repair is not economica`f1 f*.z,:?>:. ,r [,e-ider's security woula'�w lessened., th.c insurance proceeds shall be
<br />applied to the sums secured by this Ea:ura Instrument. whether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, or does not within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may cc.11ect t l;e insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security fristrument, whether er nm then due. The 30•ciaty period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower othevY i ise agree in writing, any application of procecd5 to princirr4l -,hall not extend or
<br />postpone the due date of the monthly p grsents referred to in paragraphs 1 and 2 or chang the amount of the payment.. If
<br />under paragraph 19 the Property is acquired by Lender. Borrower's right to any insurance policies and pirocceds res-1hing
<br />from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secur l by this Secur; t,,
<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 />1orrower shall comply with the provisions of the lease. and if Borrower acquires fee title to the Property. the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing.
<br />T. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrower fail% to perform the
<br />covenants and agreements contained in this Security Instrument. 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 paws or
<br />regulations), then Lender may do and pay for whatever i4 necessary to protect the value of the Property and Lender's rights
<br />in the Property. Lenders actions may include paying any sums secured by a lien which has prtonty over this Security
<br />Instrument. appearing in court, paying reasonable attorneys' fees and entering on the Property to make repairs. Although
<br />I.ender may take action under this paragraph 7. Lender does not have todo so.
<br />Any amounts disbursed by Lender under this paragraph 7 shat! become addttinttal debt of florrimer secured by thi%
<br />Security Instrument Utilom. Borrower and Lender agree to ether terror of payment. these an.,lunt. shall i+ear interest t'rom
<br />the date of dtsburccrrtent at the Note rate and shall he payahle. with ttttsrest. ug•on notice from i ender to Knto•,%vt
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