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<br />UNIFORM CQVENANn Bo r • er and Lender U covenant and agree lol $ser 10 3 416
<br />1. Payment of Priaclpal and-..terest; Prepayment and We Charges. Bot'*NMcr shall promptly pad' when due
<br />the principal of and interest on the debt evidenc--d by the Note and airy prepayment and late charges due under the Note. '
<br />2. Funds for Taxes and Insurance. Subject to applicablc law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly payments are due under the Natc-, until the Note is paid in full, a sum ( "Funds ") equal to
<br />one - twelfth of: (a) yearly taxes and aueuments which may attain priority over this Security Instrument; (b) yearly
<br />leasehold paym mts or ground rents on the Property, if any; (c) yearly hazard insurance premiums; e!ul (d) yearly
<br />mongW insurance praniums, if any. These items are CaJitd "*Krow items." Leader may estimate the Funds due on the
<br />basis of current data and reasonable cstirt.ate! of nature 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 />statc 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 />Leader pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and
<br />Lends may agree in writing that interest shaU 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. I.cndcr
<br />shall give to borrower. witluout charge. uu unnual acu:ouotind of the Funds showing credits and debits to the funds and lite
<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 instruatalt.
<br />If the amount of the Funds held by Lender, together with the future monthly payments of Funds payable prior to
<br />' the due data 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 Punds held, by Lender is not sufficient to pay the escrow items when due. Borrower shall pay to Lender any
<br />' amount noaauuary to make up the dctk:icncy in one or ma.r payments as required by Lender.
<br />t Upon, payment in full of all sums secured by this Secusityr trtstrurnent, Leander 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 ssli of the Property or its acquisition by Lender, any Funds held by Lender at the time of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of 1Paymawts. Unless applicablc law provides otherwise. all payments received by Lender under
<br />paragraphs 1 And 2 shall be applied: Asst. to late charges due under the Note; second, to prepayment charges due under the
<br />third, to amounts payable under paragraph 2; fourth. to interest due; and lest. coprincipal due.
<br />Note; ,y !. urges; Pedals. Borrower shall pay all taxes, assessments, charges. fines and impositions attributable to the
<br />j Property which may attain priority. over this S=dty Instrument, and leasehold payments or ground rents. if any.
<br />Borrower shall pay these obligations in the mariner pv6vided in paragraph 2. or if not paid in that maimer, Borrower shall
<br />pay them etc time directly to the person owed paytrient. Borro ww Shall promptly furnish to Lender Ag notices of amounts
<br />' to be paid under this paragraph. If Borrower mattes these payzttents directly. Borrower shall promptly furnish to Lender
<br />recOts evidencing the paymots.,
<br />Borrower shall pr00%i tly discharge any. Ilea. which has priority over this Security Instrument unless Borrower: (a)
<br />agrees in writing to the payment of the obligation scarred by the.lien in a a mover acceptable to Leader;.(b) contests in good
<br />filth the lien-by. or defends aaaiust enfot ccrttent of the lien.in. proceedings which in the Lenders opinion operate to
<br />prevent the enforcement of the lien or forfesture of a>+y n.m df'th�e Ptapesty; or (c) secures from the holder vi ilic iicfi :s or
<br />agreement Satisfactory to nder subordinating the lien to this, unity Instrument. If lender determines that any part
<br />Le a
<br />the Property is subiect 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 aciiun9 set iv..h abase within May:
<br />of the giving of notice.
<br />:..t S. Haggard Iasuraaoe. Borrower shall keep the improvements now existing or hcrcafter erected on the Property
<br />insured against loss by fire, hazards Included within the term "extended eovemSe" aril w y other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts amd,ior the periods that Lender requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower sOkU to Lender's app'rie %ul which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall inrdiide a standard mortgage clause.
<br />L,ertder shall have the right to hold the policies and renewals. If Lender requires. Bo=awier shall promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the everts of loss. Borrower shall give prompt notice to the insurance
<br />carrier and Lender. Lander may make proof of loss i:8aat rnasdt" gromptly by Borrower.
<br />;Wkss Lender and Borrower otherwise agree in writing „insurance pmeeeds shall be applied to restoration or repair
<br />of the Propo. - #` #W tau. if the r� ci �vpair 0± e--vo;4cieally feasi!t� .��'= _�'►d• :•s security is not ter r�d..tt Ill-
<br />of or re pair is not eco Comically feasible or Lender's security, would be lessened. 'the ift:ure-:= proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due. with any excess paid to Borrower. It
<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 Proper ty . 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 ire writing. any application.cE proceeds to principal shall notmaond or
<br />postpone the due date of the monthly payments referred to in paragraphs, 1. and'lo:r change the amount of the payments. If
<br />under paragraph 19 the Property is acquired by Lender. Barr ower's right _to: any insurnae 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. promwtration 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 />fee title shall not merge unless Lender agrees to the merger in writing.
<br />3. protection of Leader'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 significantly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy, probate. for condemnation or to enforce laws or
<br />regulations), then Leader 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 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 y shall become additional debt of Borrower secured by this
<br />Security Instrument. Unless Borrowei and Lender agree to other terms of payment, these amounts shall bear interest from
<br />the date of eLsbursem.ent at the Note rate and shall he payable, with interest, upon notice from Lender to Borrower
<br />requer11ng payment
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