|
i
<br />UNIFORM CDVENANTB. Borrower and Lender covenant and agree as follows: b- 162503'
<br />L Payneat oiPriteipal aaa Iateresh Prepaynseat wad Late CkagpL Borrowei 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 Inunnee. Subject to applicable lawor 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 ofeurrent data and ressonableestimates offuture 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 m.xe such a charge. Burrower and
<br />Lender may agree in waiting 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 gave 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 />the due dates of the escrow items, sball exceed the amount required to pay the escrow items when due, the excess shall be,
<br />at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the
<br />amount of the Funds held by Grader is not sufficient to pay the escrow items when due. Borrower shall pay to Lender any
<br />amount necessary to make up the deficiency in one or more payments as required by Lender.
<br />3. Upom payment in full of all sums secured by this Security Instrument. Lender shall promptly refund to Borrower
<br />any Funds heU by Lender. If under paragraph 19 the Property is sold or acquired by Lender. Lender shall apply. no later
<br />than immediate y prier to the.sale of the Property or its acquisition by Lender. any Funds held by Lender at the time of
<br />Application as a creditapinst the sums secured by this Security Instrument.
<br />& Aypliation of Payments. Unless applicable law provides otherwise, all payments received by Lender under
<br />paragraphs L 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 />g• Cb WW Ileac. Borrower shall pay all taxes. assessments, charges, frees and impositions attributable to the
<br />Properly which may attain priority over this Security Instrument. and Iasehcld payments or ground rents, if any.
<br />Borrower shall pay these obliptioons in the scanner provided in paragraph 2. or if not paid in that manner, Borrower shall
<br />pay them on time direct4- to the pawn owed payment. Borrower shall promptly furnish to Lender all notices of amounts .
<br />to be paid =der this pamgpWlt. If Borrower makes these payments directly. Borrower shall promptly furnish to leader,
<br />receipts evida cing the Mmetats.
<br />Borrower shall aptly 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 op--ret: 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 de'*11nines that any pan of
<br />Ile 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 and Inswusee. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by firs, hazards imduded within the term "extended coverage" and any other hazards for which Lender,
<br />requires insurance. This imiurance shall be maintained in the amounts and for the periods that Lender requires. The
<br />insurance carrier provid Ag the insutsitce shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<br />All insurance policies and reevats sW be acceptable to Leader and shall include a standard mortgage clause.
<br />Leader ahsHx hrawe the right to hold tb: rxi des aunt renewals. If Lender requires. Borrower shall promptly give to Lender
<br />all receipts of paid premiums and rencva9 notkm In the event of loss, Borrower shall give prompt notice to the insurance
<br />carrier and Lender. L.em er may make proof 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 the resmmdon ov repair is economically feasible and Lender's security is not lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due. with any excess paid to Borrower. If
<br />Borrower abandons the Ett rperty, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claims„ then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property ear to pay su-:s secured by'rhis Security Instrument, whether or not then due. The 30-day period will begin
<br />when the notice is liven.
<br />Unless Lender and Borrower otherwise Wft in writing, any application of proceeds to principal shall not extend or,
<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 bender, Borrower's right to any insurance policies and proceeds resulting
<br />from damage to the Property prior ter" 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. Preseratton aaa Malatetaace of P"*erfy; Gtaaebolda. 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 title to the Property. the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing.
<br />7. Proteetioa of Leadwis 1Woft 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 proceeding that may significantly affect
<br />Ltider's rights in the Property (such as a proceeding in bankruptcy, probate . far condemnttian or to enforce laws or
<br />regulations), then bender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights
<br />in the Properly. Lender's actions may include paying any sums secured by a lien which has priority over this Security
<br />Instrument, 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 amounts shall bear interest from
<br />the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to lorrower
<br />requesting payment.
<br />..
<br />.
<br />
|