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UNIFORM COVENANiS Borrmwer and Lender covenant and o8ree as follows: 89-102630
<br />1. Payttteat of Principal and Interest; Pre v'
<br />the principal ofand interest on the debt evidenced by Note and ane pr Payo ilia d late charges due under the Note tie
<br />2. Funds for Taos and lasur rose. Subject to applicable law or to a wrattotn,waiver by Lender. Borrower shall pay
<br />to Lender on the day montltl!t payments are due under the Note. until the Ngtit if, paid in full, a sum ("Funds ") equal to
<br />one - twelfth of (a) yearly taxez 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 premium%. if any. These items are called "escrow items." Lender may estimate the Funds due on the
<br />basis ofcurrent data and rdasonable estimates of future escrow items.
<br />The Funds shall be held in an institution the daposits 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, Leader shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower. withoua dmrge,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
<br />this Security Instrument. scoured by
<br />If the amount of the Fands held by Lender. together with the future monthly payments of Funds payable prior to
<br />the due dates of the escrow items, shall 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 Lender is not sufficient to pay the escres seems 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 />Upon payment in full of all sums secured by this -Security Instrument. Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If urider paragraph 19 the Prepeny is sold or acquired by Lender. Lender shall apply, no later
<br />than immediately prior to the We of the Property or its acquisition by Lender. any Funds held by Lender at the time of
<br />application as credit against the sums secured by this Security Instrument.
<br />3. Application. of Payuaents. Unless applicable law provides otherwise, all payments received by Lender under
<br />Paragraphs i and Z steal1 be&Waed: first, to late charges due under the Note. second, to prepayment charges due under the
<br />Note; third. to amounts payable cinder paragraph 2; fourth. to interest due; and last, to principal due.
<br />d: Charem Liens. Borrower shall pay all taxes. assessments, charges, fines and impositions attributable to the
<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 manner. Borrower shall
<br />PAY them on time directly to the person owed payment. Borrower shall promptly fumish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrnver sti,.n Prompt'*-:- discharge arty lrcn 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 Leader. (b) contests in grad
<br />faith the lien by. or defends against enfarrernert of the lien, in. legal proceedings which to 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 Instrument. If Lender determines that any pan of
<br />the Property is subject to a lien which may attain priority over this Swunra Instrument. Lender may give Borrower a
<br />notice identifying, the lien. Borrower shall satisfy the hen or take one or more oaf the actions set follh above within ld days
<br />Of the giving of nati,ae.
<br />S. Hasard Ifaaiiraace, Borrower shall keep the improvements now exisrang or hereafter erected on the Propdrty
<br />insured against loss by fire, hazards included within the term "extended coverage" and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires. The
<br />insurance carrier iroviding the insurance shall be chosen by Borrower subject to Lender's approva& tsltich shall not he
<br />unreasonably wtthpeFd.
<br />AU insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender
<br />all receipts of paid premiutims and renewal notices. In the event of loss. Borrower shall give prompt notice to the insurance
<br />carver and Lender. F...erder 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 dan aged. if the restoration or 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 abandofis the Property. or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a clu.m. then Lender may cal.leet the insurance proceeds. Lender may use the linseeds to repair or restore
<br />the Property or tO pay sums secured by thi &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 pr.nerpa) shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change ehe.atnvra:nt of the payments. I('
<br />under paragraph, 1 the Property is acquired by Lender. Borrower's right to any insurance pd?—'-7e5 and proceeds resulting
<br />from damage totliu.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 />b. Preservation acid '.Maintenance of Proper ;.Lesseholdls. 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 />Ebrrowtr shall comply with the provistons of the lessee. 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. 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 proceeding that may sigdWantly affiect
<br />Lender's rights in 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 salue of the Property and Lender's rights
<br />in the Property. Lender's actions may include paying any turns secured by a lien which has prinrit% over this Seeurm.
<br />Instrument, appearing in court, pay mg reasonable attorneys' fees and entering on the Property to rnake repairs Although
<br />Lender may take action under this paragraph 7. Lender doss not have to do sit
<br />Any amounts disbursed by Lender under this paragraph 7,.hall hecnme additional dch- i -f Horro%cr secured h► thi%
<br />Security Instrument Unless Horro%er and !.ender agree to other rerrn%0( pay mint. t hese ain(lullr.. .hal` hear interest irnni
<br />the date of dishutaernent at the %,,tc •ate and ,.hal; t, ra .,able. with intcre%, urwn r ,q;,r tr.•m i ender ro Herr %ri
<br />requesting Payment
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