|
200112579
<br />TOGETHER WITH all the improvements now or hereafter erected on the property, and all easements, appurtenances,
<br />and fixtures which now or hereafter are a part of the property. All replacements and additions shall also be covered by
<br />this Security Instrument. All of the foregoing is referred to in this Security Instrument as the "Property."
<br />BORROWER COVENANTS that Borrower is lawfully seised of the estate hereby conveyed and has the right to
<br />grant and convey the Property and that the Property is unencumbered, except for encumbrances of record. Borrower
<br />warrants and will defend generally the title to the Property against all claims and demands, subject to any encumbrances
<br />ofrecord.
<br />THIS SECURITY INSTRUMENT combines uniform covenants for national use and non - uniform covenants with
<br />limited variations by jurisdiction to constitute a uniform security instrument covering real property.
<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as 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 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 ") for: (a)
<br />yearly taxes and assessments which may attain priority over this Security Instrument as a lien on the Property; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard or property insurance premiums; and (d)
<br />yearly flood insurance premiums, if any. These items are called "Escrow Items." Lender may, at any time, collect and
<br />hold Funds in an amount not to exceed the maximum amount a lender for a federally related mortgage loan may require
<br />for Borrower's escrow account under the federal Real Estate Settlement Procedures Act of 1974 as amended from time to
<br />time, 12 U.S.C. § 2601 et seq. ( "RESPA "), unless another law or federal regulation that applies to the Funds sets a lesser
<br />amount. If so, Lender may, at any time, collect and hold Funds in an amount not to exceed the lesser amount. Lender
<br />may estimate the amount of Funds due on the basis of current data and reasonable estimates of expenditures of future
<br />Escrow Items or otherwise in accordance with applicable law.
<br />The Funds shall be held by a federal agency (including Lender) or in an institution whose deposits are insured by a
<br />federal agency, instrumentality, or entity. Lender shall apply the Funds to pay the Escrow Items. Lender may not charge
<br />Borrower for holding and applying the Funds, annually analyzing the escrow account, or verifying the Escrow Items,
<br />unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. However,
<br />Lender may require Borrower to pay a one -time charge for an independent real estate tax reporting service used by Lender
<br />in connection with this loan, unless applicable law provides otherwise. 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. Borrower
<br />and Lender may agree in writing, however, that interest shall be paid on the Funds. Lender shall give to Borrower,
<br />without charge, an annual accounting of the Funds, showing credits and debits to the Funds and the purpose for which
<br />each debit to the Funds was made. The Funds are pledged as additional security for all sums secured by this Security
<br />Instrument.
<br />If the Funds held by Lender exceed the amounts permitted to be held by applicable law, Lender shall account to
<br />Borrower for the excess funds in accordance with the requirements of applicable law. If the amount of the Funds held by
<br />Lender at any time is not sufficient to pay the Escrow Items when due, Lender may so notify Borrower in writing, and, in
<br />such case Borrower shall pay to Lender the amount necessary to make up the deficiency. Borrower shall make up the
<br />deficiency in no more than twelve monthly payments, at Lender's sole discretion.
<br />Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any
<br />Funds held by Lender. If Lender shall acquire or sell the Property after acceleration under paragraph 22, Lender, prior to
<br />the acquisition or sale of the Property, shall apply any Funds held by Lender at the time of acquisition or sale as a credit
<br />against the sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law or Lender's regulations provide otherwise, all payments
<br />received by Lender under paragraphs 1 and 2 shall be applied in the following order of priority: (1) to advances for the
<br />preservation or protection of the Property or enforcement of this lien; (2) to accrued interest due under the Note; (3) to
<br />principal due under the Note; (4) to amounts required for the escrow items under paragraph 2; (5) to late charges and other
<br />fees and charges.
<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 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 Lender has agreed
<br />Page 2 of 6
<br />
|