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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 89- ta23is
<br />1. Payiteteat of Principal and Interest; Prepayment and Late Charges. Borrower shall promptly pay when due
<br />the principal of and interest on 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 Note. 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 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 N 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 the Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured 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 />rlttnt required to pay the escrow items when due. the excess shall be,
<br />the due dates of the escrow items, shall exceed the am
<br />at Borrower's option, either promptly repaid. to Wrrctyer or credited to Borrower on monthly payments.of Funds. If the
<br />amount of the Funds held, by Lender is neat suii"ztrient t'fl pay the escrow items when due, Bermwer shall pay to Lender any
<br />amount necessary to makeup the deficiensY-iit t;tteor-more payments as required by Lender.
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<br />Upon payment in full of all sums suture d frj tom =:Security Instrument. Lender shall promptly refund to Horrott
<br />any F'rruds held by Lender. If under paragraph W the ftdperty is sold or acquire. by Lender, Lender shaft apply, nerWcr
<br />than immediately prior to the sale of the Prtil;crty cr: ire ariiisJition by Lender,: art;.._ Funds held by Lea-&T- the time of
<br />application as atxedit against the sums secumd bythisSeeiaiy.I istrument.
<br />3. Application of Payments. Unless applicable law p *ovides otherwise: payments received by Lender t►tider
<br />paragMbs I and 2 shall be , applied: first, to late charges due under the Note; seccpr _•, m prepayment charges due under the
<br />Note; i:'tird, tc amruntsFay,- J;Teunder paragraph Z ;, frtitth, to interest due; and lsi -'. +a principal due.
<br />4, Chsct •t'.ieas; . Eorrower shall pay ail_ t.rvres, assessments, charges,. fines and impositions attributable to the
<br />Property which. Inay attain priority • over. this Security Instrument, and leasehold payments or ground rents, if an
<br />Borrower shall pay these obligations in the manner provided in paragraph 2. or if not paid ►tr>~'tat manner. Borrower: �tnt
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to !:.ender all notices of aritmtias
<br />to be paid under this paragraph. If Borrower makes ;6ese payments directly, Borrower shall promptly Cir "sh to Lender
<br />receipts evidencing the paytents.
<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 c!t!>{I~.nion secured by the lien in a manner acceptable to Lender; (b) contests in geod
<br />faith the lien by, or defends against enf:rXment of the lien in. legal proceedings which in the Lenders opinion operate to
<br />prevent the enforcement of the. lien c r G:rfeiture of any part of the Property; or (c) secures from the holder of the lien an
<br />agreement satisfactory to the lien to this Security Instrument. If Lender determines That any part of
<br />the Property is subject to a hin ti>.trtwis. r� .4y attain priority over this Security Instrument. Lender may give Borre%ver a
<br />notice identifying the lien. El F e; sir rJ] Q tisfy the lien, or take one or more of the actions r,a: forth above within W days
<br />of the giving of notice.
<br />S. Hazard lnsuraare :. Borrower shall keep the improvements now existing or here4ft4�r erectoi on the Property
<br />inuured against loss by fire, hazards included within Vae term "extended coverage and any other hazards tiir which Lender
<br />requires insurance. This insurance shall be matnta_ned in the amounts and for the periods that W- -,der requiress. The
<br />insurance carrier providing the insurance: ,-ha'� 1 - chosen by Borrower subject to Lender's appr(:v 3l which shall not be
<br />unreasonably wrOilteld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lt:nder shall have the right 1. hold the policies and 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 insurance
<br />carrier and Lt.Tt er. Lender may make V. r +5•: of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged, if -he restoration or repair is economically feasible and Lender's security is not lessened. if the
<br />re4w- ration or repair is not economically feasible or Lender's security would he lessened, the insurance rrcceeds shall be
<br />zed to the sums secured by this Security Instrument, whether or not then it:,:, with any excess P.-3A to Borrower. if
<br />Bc�rower abandi'rs the Property, or dots not answer within 30 days a notice ftori Lender that the tns;,rance carrier has
<br />cnred to settle a Jaim. then Lender crux . tAlect the insurance proceeds. Lender may u,e the proceeds to repair Cr rie.11, ire
<br />the Property or to pay suw. , ,..�:r ;yy 'leis Security instrument, whether or not then �;..�z. Ti3e 30-day period will' begin
<br />%v1ien the notice is given.
<br />Unless Lender and harrower otherwise agree t, writing, any applicator: of proceeds ilp
<br />to princ' •a all not extend or
<br />postpone the due date of the monthly p r :rents % -fe rred to in paragraphs 1 and 2 or change t he amoL;n i� 3f the payments. If
<br />under paragm.Ph 19 the Property is acyrsred by Le-'i."V..90rr0wer's right to any insurance pel ;cies and proceeds resulting
<br />from damage t-Whe Property prior to the 4cquisitioroAi :i pass to Lender to the extent of III-: sur is se:ci.red by this Security
<br />Fttitrtiment immediately r i.cr to the acquisition.
<br />6. Preservation atd Maintenance of Property: Leaseholds. Borrower shall not destroy, :9.irmi c e,r substantially
<br />change t1w Property. allow the Prorterty to deteriorate or commit waste. If this Security Iitstru-171. )% is cm a feaschtold,
<br />Borrower shall comply with the prn%►sa+ :+,s of the lease, and if Borrower acquires fee title to i tie Property. the leasehold and
<br />fee title shalt not merge unless Lender agrees tothe merger in writing.
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Harrower 1'3tt: to perform the
<br />covenants and agreements contained in this Securit} Instrument, or there is a legal proceeding that wa% +uimficantly affect
<br />Lender's tights m the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or
<br />regulations). then Lender may do and pay for whatever is necessary to protect the value of tl+e Ptt+prrty an
<br />Lcndcr'� nl;ltts
<br />to the Property. Lenders actions may include paying any sums Secured by it lien which has priorits over this Security
<br />Instrument, appearing in court. paying rcasoa;+hle attorneyti fees and entering on the Properly h+ make repairs. Although
<br />Lender may take action under this paragraph 7. Leander dues not have to do so.
<br />Any arnountcdtsburscd by Lender under this paragraph 7 %hall hectinic additzonal debt .+f ftormwer secured by this
<br />Security insirun+cnt. Unless. Borrower and Lender altree to other terms of paynieirt, these amounts shall hear interest fit +m
<br />the date of d ►shurscnttait at the Note rata and stall he payable. %%till Interest. tt{+on nottac from i Cutlet t+� 11,+trower
<br />reque%ttng pay iilt'Rt
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