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101788
<br />1,1NIFORM Cc)VENAN'ts Borrower and Lender covenant and agree asfoll0ws7
<br />1. payment of Principal and Interest; Prepayment and Late Charges. Borrawc shall promptly pay when due
<br />the principal ofand interest on thedcbt evidenced by the Kate and any prepay ment and late charges due under the Note.
<br />L Fattda for Taxes slid Insuraisce. Subject to applicable law or to a written waiver by Lender. Borrower shall pay
<br />to Lender on the day monthly payments are due under the Note, until the plate is paid in full, a sum C'Funds:') equal to
<br />one•tweifth of (a) yearly taxer and assessments which may attain priority over this Security Insirurttent; ( ►a) yearly
<br />leasehold payment` or ground rents on the Property, if any; (c) 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 an the
<br />basis of current data and,reasersitble 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 />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 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, 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 tale Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums securl d 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 to
<br />the due dates of.'!: w items, shall exceed the amount required to pay the escrow items when due, the excess shall be,
<br />at Borrower-,:6 .- ',-4tf ter promptly repaid to Borrower or credited to Borrower on monthly payments of Funds.. If the
<br />amount oftb f- �i;1; id by Lender is not sufficient to pay the escrow items when due, Borrower shall pay to Lender any
<br />amount necessary fe rm e up the deficiency in one or more payments as required by Lender.
<br />Upon paymer.tin.fitll of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lc- 4tr. 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 acquisition by Lender, any Funds held by Lender at the time of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under
<br />paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; 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. C6tirge% Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions rttnbutabte to the
<br />Property which may attain priority. over this Security Instrument, and leasehold payments or ground mmtr, if any.
<br />Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that. manner,.)rrtri;cr shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all.tieticiseif'&466unts
<br />to be paid under this paragraph. If Borrower makes these payments directly, Borrower shaWpramptlJ eurnish.,tr_,i .ender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Se:co-rity Instrument unless Busrawer. (a)
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (6) 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 Instcument_,If Lender determines that any part of
<br />the Property is subject to a lien which may attain priority ever this Security Iinir~.'ment, Lender may give Borrower a
<br />notice i4mtifying the lien. Borrower shall satisfy the lien or take one or more of the: uraf ans set forth above within 10 days
<br />:, ;lie g,'Ang of notice.
<br />& Hazard lusurance. Borrower shall. keep the improvements now existing or hereaf &erected on the Property
<br />insured against loss l7y fire. hazards included within the term "extended coverage" and any other lia:zards for which Lender
<br />requires insurance. 1—ais insurance shall be maintained in the amounts: and for the- periods ttiat Lender requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to fa_r+ier s which. shall not be
<br />unreasonably withk- [d
<br />All insurano?, P,licies and renewals shall be acceptable to Lcndei nd shall include a 4,c. ;r,�fard mortgage clause-
<br />Lender shall have ti�ec�ght to hold the policies :und renewals. If Lender requires. Bcrruwer shatl promptly give to Lender
<br />all rece lst..s -if paid premiums and renewal notices. In the e.rnt.of loss, Borrower ihall: Fsve prom pi notice to the insurance
<br />carnw t Te:; ir, njcr, Lender may make proof of loss if not n;,i. promptly by Borrc v1w.
<br />pia „w =,s Lfund- i, and Borrower otherwise agree to w r•.tirig. insurance proceeds shall be applia to restoration or repair
<br />of the ?T,D- err' dama3ed. if the restoration or mpair is economically feasible and Lendy:'s �Ccljrtty is not lessened. if the
<br />restorv_,!,,r,.) •.0 a� ;air is not economically feasible or Lenders security would be lessencki the insurance proceeds shall N
<br />applied +',a, tine lams secured by this Security Instrument, %Vh.•ther or not then due, atitls any excess paid to Burrower. If
<br />Borrower abandons the Property, or does not answer within 30 days a notice from IA. der that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceed3 to 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 otherwise agree in writing, any application of proceeds to principal shall not extend of
<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 />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 lease. and if Borrower acquires fee tale to the Property. the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights in the Property; Mortgage insurance. if Borrower fails to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a leg; i r+roceeding that may significantly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy, probate. (, condemnation or to enforce laws Cc
<br />regulations), then Lender may do and pay for whatever is cec>rssary to prc!ecr rid* Name of the Property and Lender's i igt.:
<br />L. in the Property. Lender's actions may incitulw paying any sums secud'n�x1 r'. a ocn which has priority veer this Secur,:�
<br />instrument, appcart. ^g in court. paying reasonaf -,ie attorneys' fees and t+r+, s : the Property- t o make repairs Althou,:,'a
<br />Lender may take ;i+n under this paragraph .T.' Lender does not have to do sc
<br />Any amc:u-_ti dishursed iiy Under under this paragraph 7 shall becorne add!t tonal debt of 13urro«cr secured by t hts
<br />Security. ln:munw-ni.. Unless Bon &.er ai,d Lender agree to other terms cif payment. i hesc amount shall hear interest fi otr
<br />the da1w rif dishamcment at th'e ` oti rate and shall he payable. uuh Interest, upon notice frorn i ender to $orro%%cr
<br />request erg payntent
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