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89-' 103011
<br />UNIFORM COVENANTS. Borrower and lender covenant and agree as follows;
<br />1. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shalt promptly pay when due
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and Irate 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 />to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a sure ("Fundi') equal to
<br />one-twelfth of: (a) yearly taxes and assessments which may attain priority over this Security Instrument. ('y) 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 of current data and reasonable estimates of fltture escrow items.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a f4deral 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, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give 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 Inst=ment.
<br />If tlto arttratmt of the Funds held by Lender, together with the fszratre monthly payments of Funds paya>Tte prior to
<br />the due cif rE a escrow items. droll exceed the amount required to pa:� tit4 esct oar eeons when due: the excess; shall be.
<br />at Borro*-ee,5 option, citha p reimptly repaid to Borrower or credited to Bo rm>ker em me -nthty 'Ftytrien.ts of Fustds. If the
<br />amount of th Voids held by_ 1,enrder is .nor,,,-WTTeir..-nt to pay the escrow irlrm.s wr ht ft du:, &-1rrm e>r !!11A 1!. pay to Lender any
<br />amount n rjr to in;ike up the d&ck:;icy in eme: or more parnents as required by G.I4vr: .. .
<br />i,Tpiirm. payment in full of all !!ums secured bj; this St ,uri �y Instrument, Lender sl's;�' i` prerrtptry. refarnd to Borrower
<br />any Funds held by Lender. if under paragraph 19 the Property is sold or acquired by L' ewer, Lender shall apply, no later
<br />than irrintodiately prior to the sale of the Property or its acgTzisttion by Lender, any Fluids held by- Lender at the time of
<br />application as: a credit against the sums secured by this Security Instrument.
<br />& Application of Psyfnemt7s. Unless applicable lave provides otherwise. all payments received by Lender under
<br />paragraphs 1 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 />re :pia- 4— id-cr.cing the payments.
<br />Borrower shall promptly 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 defeWs against enforcement of the lien in, meal 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 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 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 secrtred by this Security instrument, whether or not then due. The 30 -dav 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 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 />Borrowershall comply with the prm. isions of the lease, and i1 Rorrower acquires fee Grtle to the Property. the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in inciting.
<br />7. Protectiombf Lendeir "s Rights inr'the Property; Mortgage fnsurance., If Horrow.er fails trig perform the
<br />eovenants and agreements contained in this Security lnstrurn�}nt, or iher& is a legal ptriceeding that, niay stgaiftantly afrect.
<br />Lender's: rights in the Property (such as a proceeding in: bankrupt,-y. probate. fr:r eondemnat cn or to enrarde laws or
<br />regulatii aO. then Lender may do and pay for whatever is n ;:ussary to proscct the %afa.e of the Property and Lf_- 0..1.Vs rights
<br />to the pn,perty. Lender's actions may include paying any sums secured by a hen': hich has priority over this Security
<br />instrument. appearing in court, paving reasonable attorneys' fees and entering on the Property to make repairs Although
<br />Lender may take action under thrs paragraph 7. Lender does not have to do so.
<br />Any atnounts dtshursed by Lender under this paragraph 7 shalt become additional debt of Harrower secured by this
<br />Sepurrty {nstrwurr;t 1.1ntess Dor row er and Lender agree toothcr tcrmsof patmcnt. thox atn. -u nt%Q;aII hear interest iron:
<br />the date of drshurscntew at the 'Vote rate .rid shall he payable. with tnterc'.t. upon iaive from i (.filler to Harrower
<br />req:resturP I1.,tinrent
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