|
F
<br />,30-- 10591
<br />UNII-IIRM Cl )MAN i s Borrower and Lender covenant and agree us follows:
<br />1. Payment of Principal and Interest; Prepayment and 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 chitrgc% due under t he Notc.
<br />2. Funds for Taxes and Insurance. Subject to applicable luw or to u written waiver by Lender, Borrim er +hull pay
<br />to Lender on the day monthly payment% are due under the Note, until the Note is paid in full, a sum ("Funds") equal lo
<br />tine-twelfth of. (a) yearly taxes and asschsaucuts which may attain priority over this St,rurity Instrument: th) yrurly
<br />leasehold payments or ground rents on the Properly, if any; (c) yearly hazard insurance premiums, and Id) yearly
<br />mortgage insurance premiume, 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 oe accounts of which are insured or guatranteed by u federal or
<br />state agency (including Lender if Lender is such an institution) . Lender shall apply the Funds to pay the inc row 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. Ik►rrower and
<br />iLender may agree in writing that interest shall be paid on the Funds. Unless an agreement us made or applicable law
<br />requires interest to be paid, lender shall not he required to pay Borrower any interest or earning+ 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 />i 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 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 payment% 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 required by Lender.
<br />Upon payment in full of all sums secured by this `security Instrument, Lender 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 sale 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 />i 3. Application of Payments. 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 inteml den:; avid lase. to principal Jut.
<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 theta on time directly to the person owed payment. W rrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. ilf Borrower makes these payments directly. Borrower shall promptly furni %h 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 />i 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 />l S. Hazard losurance. Borrower shall keep the i :oprovements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within the terns "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 %hall include a standard mortgage clause.
<br />Lender shall have elhe right to hold the policies and renewals. If Lender requires. Borrower shall promptly give to Leadc-
<br />all receipts of paid ipremiums and renewal notices. In the event of loss. Borrower shall give prompt notice to the insuratar.t!
<br />carrier and Lender. Lender may make proof of loss if not trade promptly by Borrower.
<br />1 nless Lender and Borrower otherwise agree in a riling, 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 suap..; secured by this ScLurity Instrument, whether or not then due, with any tKcess paid to Borrower. If
<br />Borrower abandons the Property, or does not answer within 30 alays a notice from 'Leader that the insurance carrier ;,_,s
<br />offered to settle a cllaim, then Lender may collect the insurance proceeds. Lender wsi; use the proceeds to repair or remore
<br />the Property or to pay sums secured by this Security In:s'trument, whether or not imam due. The 30-day peel: A s: ::t seg:^
<br />when the notice i, %, pioen.
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend c;•
<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, norrower's right io any insuiance Koanici Y1µ1 t.INUrz.13 ,-3..,,.,,F
<br />flora 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. Burrower shall not destroy, damage or substantially
<br />change the Property. allow the Property to deteriorate or commit waste. if this Securary Instrument is on a leasehold.
<br />Borrower shall comply with the provisionso of the tease, and if Borrower acquires fee title to the Property, the leasehold and
<br />fee title shall not merge unle m I.er►der agrees to the merger in w nting.
<br />7. Protection of Lender's Riots in the Property; Mortgage Insurance. If Borrower I'aol% to perform the
<br />covetants and agreements contained in this Security Instrument. or there is a legal proceeding that may stgnmficantly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy. probate, for condemnation or to enforce IaNs or
<br />regulations). then Lender may do and pay for whatever is nccesary to protect the salue of the Property and Lender's rights
<br />in the Property. Lender's actions may include paying airy sums secured by a lien which has priority pier ths% Security
<br />L Instrument. appearing to court, paying reasonable attorney: fee% and entering on the Propert y male repair, Although
<br />Lender may take action under this paragraph 7. Lender does not hase to do u1
<br />An) amuunt%disbursed by Lender under this paragraph '?,.hall become .additua►al debt of lia,rrt+v►er w ured by this
<br />Securit) Instrument. Unit—.% Burrower and Lender agree to other term.,•f payment. Iht%c aniounts.h.all Ix-at interim trinn
<br />the date tot disbumen►ent at the Note rate and %hall he p.ly.at+le. wah nimerew, upon n,a,.t• tr,an I rn,ler tr 1101r,warr
<br />requesting payment
<br />7
<br />M
<br />i
<br />
|