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<br />89 --. 1114042
<br />UNIFORM CoV ENANTS. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest; Prepayment and Late Charges. Horrow•er shall l
<br />oniptly pay when due
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and late charge
<br />due under the Note.
<br />2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Let
<br />'er. Borrower shall pay
<br />to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a
<br />im ( "Fund') ,Cq%1?,1,t0
<br />one- twelfth of. (a) yearly taxes and assessments which may attain priority over this Security
<br />nstrutrewi (10 yeufly
<br />leasehold payments or ground rents on the Property, if any; (c) yaarly hazard insurance pre
<br />bums; and (d) yearly
<br />mortgage insurance premiums. if any. These items are called "escrow items." Lender may estima
<br />: the Funds due oti thr
<br />basis of current 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 gt
<br />ranteed by a federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds, t
<br />pay the escrow items.
<br />Lender may not charge for holding and applying the Funds, analyzing the account or verifying 1
<br />e escrow items, unless
<br />Lender pays Borrower interest on the Funds and applicable law permits Lender to make such:;
<br />charge. Borrower and
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is
<br />ado or, applicable law
<br />requires interest to be paid, Lender shall not be required to pay Borrower any interest or earning
<br />on At. Funds. Lender
<br />shall give to Borrower. without charge, an annual accounting of the Funds showing credits and del
<br />s to the, Funds and the
<br />purpose for which rash debit to the Funds was made. The Funds are pledged as addiknj.� A security
<br />or the sums secured by
<br />this. Security Instrument.
<br />If the amount of the Funds held by Lender, toge0mr.with the future montltly payments of
<br />"unds payable prior to
<br />the due dates of the escrow items, shall exceed the am i. required to pay the escrow items when
<br />ue, the excess shall be,
<br />at Sot 'rQw+er's option, either promptly repaid to Borro or credited to Borrower on monthly ps
<br />ments of Funds. If the
<br />arneAlotpf the Funds held by Lender is not spftfient, ;r. Oy the escrow items when due, Borrower
<br />call pay to Lender any
<br />amount necessary to make up the deficiency iii. ore ormikepayments as required by Lender.
<br />-Upon payment in full of all sums securddi k�,tMsS;ecurity Instrument, Lender shall proml
<br />ly refund to Borrower
<br />any Funds held by Lender. If tinder paragraph 19 tie Property is sold or acquired by Lender, Len
<br />er shall apply, no later
<br />than immediately prior to the isle of the Property or itsacquisition by Lender, any Funds held t
<br />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 to
<br />rived by Lender under
<br />paragraphs I and 2 shall be applied: first, to late charges du- under the Note, second, to prepaymer
<br />charges due under the
<br />Note; third, to amounts payable under paragraph 2; fourth„ to interest due; and last, to principal du
<br />6. Charges; Lieas. Boirower shall pay all taxes, assessments, charges, fines and imposi
<br />ons attributable to the
<br />Property which may attain priority, over tlxis Security Instrument, and leasehold payments'o
<br />ground rents, if any.
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<br />Borrower shall pay these obligations in thr:.manner provided in paragraph 2, or if not paid in that
<br />canner, Borrower si aR,
<br />pay tliern on time directly to the person awed payment., Boffower shall promptly furnish to Lemli
<br />all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall pr9i
<br />ptly fucrdsh to Lender .
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instnmiti
<br />t unless Borrower: fa?) :
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Len
<br />ir; (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Len
<br />-A opinion operate to
<br />prevent the enforcement of the lien or forfeiture of any part of the Property; or (c) secures from i
<br />e holder of the lien an
<br />aaametnent eat,�frctnry to irntlr..r ccihnr(jinatinit the lire to this Gv_•Lrity instrumeno_ If i ender det,
<br />mince that any part of
<br />the Property is subject to a lien which may attain priority over this Security Instrument, Lend(
<br />may give Borrower a
<br />notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set for
<br />r above within 10 days
<br />of the giving of notice.
<br />S. Hazed Iasuance. Borrower shall keep the improvements now existing or hereafter
<br />•ected on the Property
<br />.
<br />insured against loss by fire, hazards included within the term "extended coverage" and any other ht
<br />ards for which Lender
<br />requires insurance.. This insurance shall be maintained in the amounts and for the periods, tha
<br />Lender requires. The
<br />insurance carrier, providing the insurance shall be chosen by Borrower subject to Lender's a:ppr
<br />+a1 which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shalh include a sta
<br />lard mortgage clause.
<br />Lettdprshall have the right to hold the policies and renewals. If Lender requires, Borrower shall I
<br />omptly give to Lender
<br />a<lf r eceipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt
<br />totice 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 wilting, insurance proceeds shall be appliec
<br />o restoration or repair
<br />of the Property damaged, if the restoration or repair is economically feasible and Lender's securil
<br />is not lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessened, the insu
<br />trice proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any exec
<br />i paid to Borrower_ If
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<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lender that t1
<br />, insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the pros
<br />ds to repair or restore
<br />the Property or to pay, sums secured by this Security Instrument, whether or not then due. The 1
<br />-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to prim
<br />pal shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the am,
<br />tnt of the payments. If
<br />under paragraph 19 the Property is acquired by Lender, Borrowers right to any insurance policir.
<br />end proceeds resulting
<br />from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums
<br />cured by this Security
<br />instrument immediately prior to the acquisition.
<br />6. Preservation said Maintenance of Property; Leaseholds. Borrower shall not destroy.,
<br />image or substantially
<br />change the Property, allow the Property to deteriorate or commit waste. if this Security Instru
<br />zrit is on a leasehold,
<br />Borrower shall comply with the provisions of the lease. and if Borrower acquires fee title to the Pro
<br />!rty, the leasehold and
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<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 Borrow,
<br />fails to perform the
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<br />covenants and agreements contained in this Security Instrument. or there is a legal proceeding that
<br />nay significantly affect
<br />i
<br />Lendei s rights in the Property (such as a proceeding in bankruptcy. probate, for condemnatio
<br />or to enforce laws or
<br />regulations). then Lender may do and pay for whatever is necessary to protect the value of the Prop
<br />ty and Lenders rights
<br />in the Property. Lender% actions may include paying any sums sr -cured by a lien which has pri
<br />-rty over this Security
<br />instrument, appearing in court, paying reasonable attorncyrs' fees and entering on the Property to i
<br />ake repairs. Although
<br />Lender may take action under this paragraph 7. Lender does not ha%a to do so.
<br />Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of H
<br />rrruer %t,:urcd by this
<br />Security Instrument. L'nless florrowcr and Lender agree to other terms of pa }ment, these amounts
<br />hall bear interest from
<br />the date of dicharsement at the Note rate enit %hall hr ria<<chle. urrh mterr'.t, t►pon nmice fro
<br />I cndrr to Hcxmuer
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