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UNIFORM ('ovgNA V l's Borrower and Lender covenant and agree as follows. 89-402917
<br />I, Payment of Principal and lntemst; 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 />W Lcrder on the day monthly payments are due under the Note, until the Note is paid in full, a sum ( "Funds ") equal to
<br />one- twtelft of- (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
<br />k4mitc1d payments or ground rents on the Property, if any; (c) yearly haiard insurance premiums; and (d) yearly
<br />aw"gage insurance premiums, if any. These items are called "escrow items." Lender may estimate the Funds due on the
<br />basis ofcurrent 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 />statt agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />Under 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 />regyirts interest to be paid. Lender shall not he required to pay Borrower any interest or earnings on the Funds. Lender
<br />tt11a11`give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />pura»e for which each debit to the Funds was made. The Funds arc pledged as additional security for the sums secured by
<br />this Security Instrument.
<br />If the -nouns of the Funds held by Leader, 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 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 IQ 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 lea: Lender at the time of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments rea;ived by Leader under
<br />paragraphs I and 2 shall be applied: first. to late charges due under the Note; second. to prepaymitiht charges due under the
<br />Note-, third, to amounts payable under paragraph 2; fourth, to interest due; and last, to prElvapal 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
<br />larroger shall pay these obligations in the manner provided in payments, Qr ground rents. if any.
<br />lisy,Ahetm on time directly to the p paragraph 2. or if not paid in that rntatiner, Borrower shall
<br />y person owed payment. Borrower shall promptly furnish to Len4fer all notices of amounts
<br />taxi paid n his paragraph. If Borrower makes these payments directly, Borrower shall promptly fumish to Lender
<br />pu g the payments.
<br />Borrower shall promptly discharge anv lien which hag ��...it.. ., ... _ .7__.
<br />agrees in writing to the pad merit of the obligation secured by the lien in a mariner acceptable to Lender (b) contests in god
<br />faith the lien by. or defends against enforcement of the lien in, legal proceedings which rn the Lerder's opinion operate d
<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 sattsfy the lien or take one or mere of the actions set fbith 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 firt, hazards included within the term "extended coverage" and any other hoards for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods thae Lender requires. The
<br />insurance carrier providing the insurance shatP foe chosen by Borrower subject to Lender's approval which
<br />unreasonably withheld. shall not be
<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 ¢oar. policies and renewals. If Lender requires, Borrower shall promptly give to Lender
<br />All receipts of paid premiums and renewal notrcts., In the event of loss, Borrower shall give prompt: notice to the insuran
<br />tr
<br />carrier and Lender. Lender may make Proof ofY s dnot made promptly by Borrower. ce
<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 restoration or repair is economically feasible and Lender's security is not lessened. If the
<br />restoration or repair is not economically feasib,L ear 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 I 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 pass 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 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 />'foe title shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Leader's. °jCf3'.g)it$ J t the, Property; Mortgage insurance. If 13orrnyr faits to perform the
<br />covenants and agreements containC41- ri this St;;Lr, ;y Instrument, or there rs a legal proceeding that. May significantly affect
<br />Lender's rights in the Property (such as a proccoding 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 the Property and Lender's rights
<br />in the Property. Lender's actions may include paying any sums secured by a lien which has pnonty over this Security
<br />Instrument, appearing in court. paying reasonable attorneys' fees and entering on the Property to make repairs Although
<br />Linder may take actin under this paragraph 7, Lender does not have io do so
<br />Any amounts disbursed by Lender under this paragraph 7 shall become additional debt if Borrower secured by this
<br />Security Instrument Unless Horrower and !.ender agree to other terms ()f pavmet, t, these amounts.shail hear interest from
<br />the date of disbursement at the Note rate and ;half Fe payable. with irttrrpsl, up�in nriuce Rr�i 1 ender to N��rnower
<br />requesting payment
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