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<br />90- -105$8
<br />UNIFORM COVENANTS Borrower and Lender covenant and agree as follows:
<br />1. Payt t of Prbeipd attd lateartoq Pre'ayttaeat aid 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 />I Ramada for Taxes and losttrance. Subject to applicable law or Ina 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 sum ( "Funds ") equal to
<br />one -twdRh of (a} yearly taxes and assessments which may attain priority over this Security Instrument; (b) 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 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 />mate agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escrow items.
<br />Lander way not charge for holding and applying the Funds. analyzing the account or verifying the escrow items. unless
<br />Lcsada pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and
<br />Leader 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 />j duM 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 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 data of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be,
<br />j at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly pay ntents 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 neoessary 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 />i 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 sale of the Property or its acquisition by Lender. any Funds held by Lender at the time of
<br />f application as a credit against the sums secured by this Security Instrument.
<br />3. Applies" of Payst fists. Unless applicable law 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 />- Roffower 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 />receipts evidencing 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 defends against enforcement of the lien in, legal 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. Hamad Imsuraaee. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />instmred 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 auTier 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 />i 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 />t . of the Property damaged, if the restoration or rtpmr is economically feasible and Lender's security a not lessened. If the
<br />restoration or repair is -not economically feasible -gar Lender's security would be lessened, the insurance proceeds shall be
<br />t .applied to the sums secured by this Security lmsl;rument, whether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, m does not answer within 10 days a notice from Lender that the insurance carrier has
<br />olfen d to settle a claim, the Lender may collect the insurance proceeds. Lender may tae 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 ioe notice is given.
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to linwipal shall not extend or
<br />postpone the due date of the monthly puyments 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. Preservadoa and Mdetteaance of Prepa , Leaseholds. Borrower shall not destroy. damage or substantially
<br />change the Property, allow the Property to deteriorate or commit waste. If this Secunty 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 />7. Protection of Leader's Rialits is 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 />L Lender's rights in the Property (such as a proceeding 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 b� a lien which has pnonty aver this, Secunt)
<br />Instrument, appearing in court, paying reasonable attorneys' fees and entenng on the Property to make repair Although
<br />Lender may take action under this paragraph 7, 1 ender does not have to do ail
<br />Any amounts disbursed by Lender under this paragraph 7 shall bft-ome additional debt of Norrower sew ured by this
<br />Security Instrument Unless Borrower and Lender agree to other terms of payment, t hew amounts vhall hear inlere%l from
<br />the date of disbursement at the Note rate and shall he payable. with intc►evt. upKm ru+t►re from Lender to harrower
<br />requesting payment
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