|
1
<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree Aui ws: 106034
<br />A. Psystent 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 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 sum ( "Funds: ") equal to
<br />one - twelfth (a)
<br />of: yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
<br />i 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 />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 eamings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and d=ebits to the FurWs 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 Ntere monthly payments of Funds payable prior to
<br />the due dates of the escrow items, small 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 required by Lender.
<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall pmmnp;;i- refund to Borrowet
<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 .asa credit against the sums secured by this Securit. Instrument.
<br />& 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 interest due; and last. to-niteipal due.
<br />4. EMarges; Liens. Norroavr shall pay all taxes, assessments. charges, fines bind 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 thesee 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 Lena]er 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 />t
<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 />ti•
<br />S. Hazard fo uraace. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />fI insured against loss byfre, 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 wit hheld.
<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, l nrrower 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 lesseued. If the
<br />restoration or repair is not economically feasible or Lender's security would be lessen==, the insurance procce*, shall be
<br />`
<br />applied to the sums secured by this Security Instrument, whether or not then due. %%kh any excess paid to Hoirrower. If
<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance
<br />carrier bas
<br />offered to settle a claint, t hen Lender may collect the insurance proceeds. ;L•ender ma} use the proceeds to repair or restoric
<br />i the Property or to pay sums secured by this Security Inotnlment, whether nr not then titre The 30-day 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 paraaratth 19 the Prnnerty is aenuir id by I P�.t..r ta....,......•. .oral a ,.. - _,: -. -- -- � -
<br />--- -- --- - - -..__.. �.......... ...r,.........:i :.:+a -nA. JAMUC1AfW t/lUl'CC(15 feSUltln(;
<br />from damage to titre Property prior to the acquisition shall to Lender to the the
<br />pass extent of sums secured by this Security
<br />Instrument immediately prior to the acquisition.
<br />6. Prew"tfon and ,%Idntenanee of Property; Leaseholds. Borrower shall not destroy, damage or substanttal15
<br />change the Property, allow the Properly to deteriorate or commit waste. If this Security Instrument is
<br />on a leasehold.
<br />Borrower shall comply with the provisions of the lease, and if Borrower acqui res fee t ule to the I mperty, the leasehold and
<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 Borrower fails to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a legal prtweedmg that may .Igmficantly affect
<br />Lender's rights in the Property (such as a proceeding to bankruptcy, probate• for condemnation or to enforce law% rir
<br />regulations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender', right.
<br />in the Property. Lender's actions may include paying any sums secured by a Gen which has priority over this Security
<br />instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to make Although
<br />repairs.
<br />Lender may take action under this paragraph 7. Lender does not has a to day so
<br />Any amounts disbursed by Lender under this paragraph 7 %hall become additional debt of Horrowcr wt:ured h% the.
<br />Security instrument. Unless licn-rower and Lender agree to tither terms of payment, thew amount. shall hear nuerowl from
<br />^�p
<br />the date of disbursement at the Note rate ,rod .hall Ik p.1%.1thle. atah ultcle.t. upon nonce Innr I ender to Hory met
<br />lf!
<br />requesting payment.
<br />M1
<br />IA.
<br />
|