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UNIFORMCOVENA%TS. Borrower and Lender covenant and agree as follows:
<br />1. psymaeat of principal and Interest; Prepayment and Late Charges. Borrower shall promptly, pay when due
<br />the principal of and interest an the debt evidenced by the Note and any prepayment and late charges due under the Note.
<br />2. Funds for Taxes and Insurance. 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 !Vote, 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; (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. These 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 />Lender may not charge for holding and applying the Funds. analyzing the aunt or ceri4-ing 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 />Calder may agree in writing that interest shall be paid an the Funds. unless. an agreement is mad: or applicable law
<br />requires intereesx tv I;e: paid; Lender. sitg11 not be required to pay Borrower ant inters*. a. Qamings on the Funds. Lender
<br />shall give to Harrower, without chnrscw i m annual accounting of the Funds shoving credits and debits to the Funds and the
<br />FirrTrowlbl- which.each debitio the Funds was made. The Funds are pledged m additional security for the sums secured by
<br />• �ecunty,hiStrUi#trtitt•;�'; .`
<br />ug it ,ajr; W:Ol Oil die Funds held by Leadm together with the future monthly payments of Ft Wa payable prior to
<br />t)henitie dramas of ijrr•'.r x7vwv items, shall; emceed the amount required to pay the escrow items when d " th;. excess 't i be,
<br />�.Tlarrovrtn' + 1 1t1, v°Py- r promptly maid to Borrower or credited to Borrower on m,intr++iy patiir��ts of Fa:rcdc: if the
<br />mount of floe it tines hide by Lender is not sufftcierit'to pay the escrow items when due; B+3irower shX -21 pay to Lender any
<br />amount necessary to rrmkl ,up the deficiency in one or more payments as requital by Lender. ;
<br />Upon payment ii: t12 i of all sums secured by this Security It> rt=. Lender shall promptly. Tefund to Borrower
<br />any Funds held by Lender. If under paragraph 19 the Property.: su?d or acquired by Leader, Lender shall apply, no later
<br />than immediately prior to the sale of the Property or its acg �i+i< �i� by Lender, any tFan& held by Lender at the t iM� ofi '-
<br />application asa credit against the sums secured by this Securn y. - milruments
<br />I Application of Payments. Unless applicable law provides other; c:T'.f.., a!' !'ayrne_zts receiz :ad;b�- L.erictz:.� ur deT,•
<br />paragraphs l and 2 shall be applied: first, to late charges due uw.,4417 the Note;,second, ze c aymert, ch sr.gm due unjet the
<br />Note; third. to amounts payable under paragraph 2; fourth, to interest due; and last, to pr:nz.ipa due.
<br />4. Charges; Liens. Borrower shall pay all taxes, ass- -- .ments, charges, fines ab4 impositions attributab l- tote
<br />Property which may attain priority•over this Security Instrument, and leasehold payments or ground rents, if any. :
<br />Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that r-i -An ter, Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender a,! notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly. Borrowerslnall 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 />agrees in writing to the payment of the obligation secured 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 jhe enforcement of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an
<br />agreemeh? satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part of
<br />the Properly 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 er";2d on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage" and any other haz,,; ds for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the per a;& th ;t ,Londcr requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to Lender`s arprr, ,;:w: which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a mar.414:d mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. if Lender requires, BorroM %T promptly give to Lender
<br />all receipts ,:Xpaid premiums and renewal notices. in the event of loss, Horrou e, shall gi,. e p - upt notice to the insurance
<br />ksr; ier and Cinder. Lender may make proof of loss if not made promptly by 1 .,)wer.
<br />Unless Lender and Borrower otherwise agree in writing, insurance p•rcce, !ds shall he applied '.o, restoration or repair
<br />4-f the Property damaged, if the restoration or repair is economically fcasibl%:and Lender's security s not lessened. if the
<br />restoration or repair is not economically feasible or Lender's security wow!: be lessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument. whether i,.r n+,t then due, vvitlt ,any excess paid to Borrower. If
<br />iorrower abandons the Property, or does not answer within 30 dla, si wAice from Loader that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proceeds. Lemder may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether �! r 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 procel?h, to principal shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs i and -2 cr 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!Maintenanceof lye perty; Leaseholds. Borrower shall not destroy, damageor substantially
<br />change the Property: allots the Property to dm:�riorate 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 ti l le to the Property, the leasehold and
<br />fee title shall not merge unless Lender agrees to th_ 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 legal preceding that may significantly affect
<br />. -. L4rde�s rights !a the Property !such 3s a piece gin bankrupts:. probate. for it+nitCliltti!tn ) n or tit enforce Inu% r+r
<br />regulations), then lender may do and pay for whatever is necessary to protect the salueof the Property and Lender's right%
<br />in the Property. Lender's actions may include paying any sums secured by a lien which has priority over Chi% Security
<br />I_ Instrument, appearing in court. paying reasonable attorneys fees and entering on the Property to make rel +air% Although
<br />Lender may takeactum under this paragraph 7. Lender does riot have todo so_
<br />Any amount. di%huncd by Lender under this paragraph 7 shall become additional debt of Borrin %ct %cc tired by this
<br />Security ln%trurtient Unless Hornsuer and Lender agree to other terms of payment. these amounts r1 :all hear uaterot fruit,
<br />the date of diibur%ernent at the Kate rate and shall he pa)ahlc_ with interest, upt +n notice frilrac Leader to Horrmur
<br />requeguilg tt'ly Mehl
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