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<br />89._. 141074
<br />i MFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />L PSYwM oC P iae1M1 aA Ice MSU Pteltaytt• eat and late CbUW& Borrower shall promptly pay when due
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and late chargesdue under the Note.
<br />2. Fwta for Taxes sid It wamee. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Leader on the day monthly payments are due under the Note, until the Note is paid in full. a suns ( "Funds") equal to
<br />onedwdtth OP (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly
<br />mortgage insurance premiums, if any, ? leese items are called "escrow items." Lender may estimate the Funds due on the
<br />basis of current data and reasonable estimates 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 federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />Leader may not charge for holding and applying the Funds, analyzing the account or verifying the escrow it3inrrs, unless
<br />Lender pays Borrower interest on the Funds and applicabk law permits Lender to make such a charge. 00tz► wer and
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is nzad3eat hiJable law
<br />requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings.amt3e:IR4n& Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits t6the'Rv&and the
<br />purpose for which each debit to the Funds was made: The Funds are pledged as additional security fcr the sumsmred by
<br />this Security Instrument.
<br />nt.
<br />If the amount of the Funds held by Lender, together with the future monthly payments of Funds gaygble prior to
<br />the due data of the escrow items, shall exceed the amount required to pay the escrow items when due, tfirea:6s shall be,
<br />at Borrower's option, either promptly repaid to Borrower or credited to Harrower on monthly payrmerr� icG i6ils. If the
<br />atttot nt of the Fonda held by Lender is not sulBueient to pay the escrow items molten due, Borrower sha. ' ," 'tip Lender any
<br />amount necessary to make up the deficiency in one or more payments as required by Lender.
<br />1'Sp payment in full of all sums secured by this Security Instrument. Lender shall promptly--vAind to Borrower
<br />a:%y iFursm by . If under paragraph 19 the Property is Sot rl or ncQuired by Lender, Len "a,.�^.:11 apply, no later
<br />than i Iy gnus m the sale of the Property or its acquisition by Lender. any Funds held byti!nder at the-time of
<br />ipplicatio as a credit against the sums secured by this Security Instrument.
<br />& Applientim of Payemb. Unless applicable law provides otherwise, all payments r, and by Lender under
<br />paragraphs I and 2 shall be applied: first, to late charges due under the Note; second, to prepaymenr &. ges due under the
<br />Note; third, to amounts payable sutder paragraph 2; fourth, to interest due; and last, to principal due.:.
<br />4. CbmWq UmL Borrower shall pay all taxes, assessments, charges, lines and impositions attribW ;deli to the
<br />Property which may attain priority.aver this Security Instrument, and IcaLwhold payments or ground reowy, if any.
<br />Borrower shall pay these obligation its the 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_ nctic—_ of amounts
<br />to be paid under this paragraph. If Borrower makes these payments direct3y, Borrower shall promptly furnish to Lender
<br />receipts evidencing the Payments.
<br />Borrower shall promptly discharge any lien which has prority over this Security Instrument unless Borrower. a )
<br />Agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, 0) 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 tender 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 tiers. ft rrower shall satisflj the lien or take one or more of the actions set forth above within 10 days
<br />of the given j of notice.
<br />S. Hazard Iasarame. BorrowershalltexV the improvements now existing or hereafter greeted 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 ittsumnce. 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 shall not be
<br />unreasonably withheld.
<br />All insurance pelieies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to hold the policies =4 renewals. If Lender requires, Borrower shall promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the 11 surance
<br />carrier and Lender. Lender may MAke proofof loss ifnot made promptly by Borrower.
<br />Unless Lenderand Borrower otherwise agree in writing, insurance proceeds shall be applied torestoration or repair
<br />of the Property damagraL if the restoration or repair is economically feasible and Lender's security Es :tot lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened, ,the insurance proceeds slt.all be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with say excess paid to Bcenswer. if
<br />Borrower abodons the Property, or does not answer within 30 days a notice from Leader that the insurance carrier has
<br />ofted to -sat le a claim, than Lender may collect the insurance proceeds. Lender may wse the proceeds to repair or restore
<br />the Property rr to pay sums secured by this Secuurity Instrui7=t, whether or not then des- '.Gies 30-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower ailwinvise aairtx in writing, any of prorxe - ca principal shall not extend or
<br />postpone the due date of the monthly payments referred to in paagraphs 1 and 2 or ckavle. the amount of the payments. if
<br />under paragraph 19 the Property is acquired by Lender, Borrower's right ry any insurance policies and proceeds resulting
<br />from dan Wto 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 P 4" ration mad Maintenance of Property; Leaseholds. Borrower shall not destroy, damage or suhtantially
<br />change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold.
<br />Borrowerihiall comply with the provisions of the lease and if Borrower acquires fee title to the Property. the leasehold and
<br />fee title EW not merge unless Lender agrees to the merger in writing.
<br />T. Protection of Leaderls Rights is the Property; Mortgage Insurance. If Snrrowex fails to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a legal procec ding than timy significaiatly affect
<br />Lmder"s night} in th' Ply (such a: s prating in banknrtcy. probate, for aindernnation or to enf=e taws or
<br />regulations). then Lender may do and pay for whatever is necessary to protect the value ai 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 />IInstrument, appearing in court, paying reasonable attorneys' fees and entering on the Property 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 debt of Borrower secured by this
<br />Security instrument. Unless Borrower' and Lender agree to other terms of payment, these amogatfi AW beir interest from
<br />the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower
<br />requesting payment.
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