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UNIPORM COVENAN75. Borrower and Lender covenant and agree as follows: go- 1.05801
<br />1. Payi nei t of PrWpal and Inf rwt; Prtipaytneat aatl Late CbuW, Borrower shall promptly pay when due
<br />the principal of and interest am thedebt evidenced by the Note and any prepayment and late charges due under the Note.
<br />3. MAis s for Taxse and lonsrsace. 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 fill, a sum ( "Funds ") equal to
<br />r owtwelfth of: (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
<br />1 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 />bads of current data and reasonable atimatea of future escrow items.
<br />f The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a federal or
<br />state agency (including Lender if Lender is such an institutiorn)ti Lender shall apply the Funds to pay the escrow items.
<br />Lender may not charge for holding and applying the Funds, arrsrlyzing the account or verifying the escrow items, unless
<br />Leader pays Botrower interest on the Funds and applicable law petrEia LeWer to stake such a charge. Borrower and
<br />Lender may agree in writing thist interest shall be paid on the FWWL Unnkss an agreement is made or applicable law
<br />requites interest to be paid, Lender shall not be required to pay Bonvwer any interest or eamings on the Funds. Lender
<br />shall give to Borrower. without charge. an annual accounting of the Funds slowing credits and debits to the Fujuis and the
<br />pwpose for which each debit to the Fuads was made. The Funds arc pledged as additional security for the stems mctsred by
<br />tlhia Security Instrument.
<br />If the amount of the Funds 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 escrow items when due, Borrower shall pay to Lender any
<br />amount necessary to make up the deficiency in one or more payments as rquired by Lender.
<br />Upon payment in full of all sums secured by this Security Instrumeni, Lender shall promptlly o. -fund to Borrower
<br />any Funds held by Lender. W under paragraph 19 the Property is sold or acquired by Lender, Lender shall apply, no later
<br />i than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of
<br />application as a credit atgairist the sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments receivad by Lender under
<br />paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepayment cburges due under the
<br />Note-, third, toamounts payable under paragraph 2; fourth, to interest due; and last, to principal due.
<br />4. (Uxgear 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, iu any.
<br />j Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that mariner, Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts
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<br />to be paid under this paragraph. If Borrower makes these payments directly • Borrower shall promptly furnish to Lender
<br />i receipts evidencing the payments.
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<br />Borrower shall promptly discharge any lien which has priority over this Security InAtrument unless Borrower: (a)
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<br />agrees in writing to the payment of the obligation secured by the lien in a manner accepUtble to Lender; (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the L.endees opinion operate to
<br />IF
<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 Leader subordinating the Dien to this Security Instrument. If Lend -er determines that any part of
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<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.
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<br />i S. Hasrard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />i 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 require -s. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shull 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 vr loss, Borrower shall gis•e pwompt notice to the inswrance
<br />carrier and Leader. Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lender awl Borrower otherwise agree in writing, insurance proceeds shall he applied to restoration or repair
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<br />of the Property damaged, if the restoration or repair is economically feasible and Lender's scum. is not lessened. If the
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<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, wb+ether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, or does not answer within ., clays a notice from Limier that the insurance carrier has
<br />ottered to settle a claim. then Lender may collect the insurance proceeds. Lender may use the prcxveals uo repair or restore
<br />I the Property or to pay shams swured by this Security Instrument. whether eau not then due. The 30-dap period will begin
<br />when the notice is given.
<br />Unkss bender and Borrower otherwise agree in writings- any application of proceeds to principal shall not extend or
<br />postpone the due date of the mont hly payments referred to in paragraphs 1 and 2 or change the amount of the pa 3,nwnr .*. If
<br />i 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 %urns swured by this Security
<br />Instrument immediately prior to the acquisition.
<br />6. Pnwrvatlois sad Malateaaaee of Property; Latebolds. Borrower %hall not destroy. damage or W I-Atan ally
<br />change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a Icaveliold.
<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.
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<br />7. Protective of Letarkr s Rights is the Property; Mortgage Insurance. If Borrower fail% to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may %ignificantly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy. probate, for condemnation or to enfor,:c laws or
<br />regulations), then Lender may do and pay for whatever is necessary to protect the value of the Propert % and Lender's right.
<br />in the Property. Lender's actums may include paying any sums secured by a lien which ha% pnont% t►ser thi% Secunt%
<br />Instrument, appearing in court, paying reasonable attorneys fees and entering un the Property till make repair. Although
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<br />Lender may take action under this paragraph 7. Lender due% not hase to do+ut
<br />Any amounts disbursed by Lender under this paragraph 7 %hall became addmonal dcht of Horrow cf wcured h) the.
<br />Security Instrument Unless Borrower and Lender agree to other term~ rd• payment. these amounts shall hear inlet" from
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<br />the date of disbur%cnwni at the Note rate and %hall he payable, wrrh interest, up,lo 114111.e tram I crutrr To F IM11.er
<br />r questing payment.
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