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UNtPOtw GovEUA>,rts. ' Borfowerand Lender covenant and agree as follows: 9� 0 -14 5 1.41
<br />�. __ _ .,yl.. ttS�r[neial_tttai IPregaytifalt attic Late (urges. Borrower shall promptly pay When dire
<br />the principal of and interest on thedebt evidenced by the Note an y. prspaymW and late charges due umkr tlt Note: -- -
<br />2. Faith for Taxes trill Itttmraree. Subject: toapplicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on Ehe day monthly payments are due under the Note, until the Note is paid in full, a sum ("Funds ") equal to
<br />or.-- tw.-Ifth of. -(s)` yearly taxes` and assessments which may attain: priority over this Security Instrument; (b) Yearly - - -
<br />::.. Imeliold payruaeats or ground rents on the Property. if any; (c) yearly hazard insurance proxnititns; and (d) yearly
<br />mimnS ge insurance premiums. if any. These items are cal
<br />"escrow items." Lender may estimate the Feuds due on the
<br />basis of current data and reasonable estimates dffuture escrow items.
<br />The Funds shall 6e held in an institution the deposits or accounts of which are insured or guaranteed by a federal or
<br />_ titste agency (utudssh B Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />.Leader may not cherge for holding and applying the Funds, analyzing the account or verifying the escrow itetirs, unless
<br />Lender pays Borrower interest on the Funds and applicable law permits Leader to snake 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 />tlhall give to Borrower, without charge, an annual accounting of the Finds showing credits and debits to the Funds and the
<br />EMS! for which each debit to the Funds was made: The Funds are pledged as additional security for the sums secured by '
<br />is urn t — _
<br />If the amount of the Funds held by Fender, 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 where 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 sufHcimt 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 />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 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 t
<br />application as a credit against the sums secured by this Security. Instrument. 4f
<br />& Application of Payments. Unless applicable law provides otherwise, all payments received by deeded under
<br />paragraphs I 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. Charges: 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 furnish 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 />Borrower shall promptly discharge any lien which has priority over this Security instrument unless Borrower: (a)
<br />agrees in writing to thepayment 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 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 part of
<br />the 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 Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<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 providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<br />All 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 premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance
<br />carrier and Lender. Lender 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 repor a .
<br />of the Properly damaged. 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 abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered •to settle a claim. then Lender may collect the insurance proceeds. Lender may use the proceeds 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 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 Lender. Borrower's right to any insurance policies and proceeds resulting
<br />from damage to the Property prior to the acquisition shall pays 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 suhstantially_
<br />change the Property. allow thd 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 Burrower 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 Burrower fails to perfimti the
<br />covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly affect
<br />Lrudf's fights its the f'rcit-,r-rty (aua:h a& a proceeding in bankrtiptcy, probate. for condemnation (--r 1%) entorce laws or
<br />regulations), then Lender may do and pay for whatever is necessary to protect the value t+i rile : rcf,�, ty aii� 1.rt:aa `. rigla : -
<br />in the Property. Lender's actions may include paying any sums secured by a lien which has priority over this Security, d
<br />Instrument, appearing in court, paying reasonable attorneys fees and entering on the Property w make repairs. Although M
<br />L Lender may take action under this paragraph 7. Lender does not have to do'
<br />Any amounts disbursed by Lender wider this paragraph 7 shall become additional debt of Rnrrnacr secured by this
<br />Security Instrument. Unless Borrower and Lender agree to other terrnsof payment. these amounts shall bear niterest from
<br />the date of di�hursement at the Note rate and shall he payable. with niter st. upon notice ftom i ender to ltorra�acr jp
<br />requesting payment:
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