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<br />UNIFORM COVENANTS. Borrower and Lender oovenant and agree as follows: 88- 1 0 222 5
<br />1. Pltymentof Prindpal~dlDterelt; Prepayment and Late CIuIflles. Borrower shall promptly pay when due
<br />Ihe principal of and intcrestOntbedebt evidenced by the Note and any prcpayment and late charges due underthe Nnte,
<br />2. Funds,for Tues lllid Insurance. "Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lendei'on the daY montltlY payments are due under the Note, untihhe Note is paid in full, a sum("Funds") equal to
<br />one-twelfth of: (8) yearly taxes and assessments which may attain priority over Ihis Security Instrumenl; (b) yearly
<br />leueholdpayments orgroulidrlmtson theProperty,if any; (c) yearly hazard insurance premiums; and (d)ywly
<br />mortgage insurance jlremi~if any. These items are called "escrow items," Lender may estimate the FunPs due on the
<br />basis of current data andreasonablc estimatc:i; of future escrow items. '
<br />The Funds shall be he1c1.inan institution the deposits or accounts of which are insured or guaranteed by a fedet'!ll or
<br />state agency (inclUllirig LendeJ'ifLender is suchan institution), Lender shall apply the Funds to pay the escrow items,
<br />Lender l1'Iily notl:harge forh'oldingand applying the FunPs. analyzing the account orverifyirigthe escrow items,unless
<br />Lender pays~rrower interest on the, Funds and applicable law permits Lender to make such al:harge, Borrower and
<br />Lendei' 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 nol be required to pay Borrower any interest or earnings on the Funds, Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing uedits and debits to the Funds and the
<br />purpose for whichcach debit to the Funds was made. The Funds arc pledged as additionalsecurily 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 10
<br />the due dales,ofthe 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 payments of Funds. If the
<br />amount of the Funds held by Lender is not sufficient to pay the escrow ilems when due, Borrower shall pay to Lender any
<br />amounl 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 promplly rcfun,d 10 Borrower
<br />any Funds held by Lender. If under paragraph 19 Ihe Property is sold or acquired by Lender. Lender shall apply, no laler
<br />than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by Lender atlhe time of
<br />application as a uedit againslthe sums secured by this Security Instrumenl.
<br />3, Appliatlon of Payments. Unless applicabll: law provides otherwise. all payments received by Lender under
<br />paragraphs I and 2 shall be applied: first, to late charges due under the Note; second, to prepayment charges due under the
<br />Note; Ihird, to amounts payable under paragraph 2; fourth, to interest due; and last. to principal due,
<br />4. CltIU'Jll!S; Liens. Borrower shall pay alltllXes, a55C5sments, charges. fines and impositions attributable to Ihe
<br />Property which may attain priorily 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 Ihem on time directly to the person owed paymem, 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 10 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) conlests in good
<br />failh the lien by. or defends against enforcemenl of Ihe lien in, legal proceedings which in the Lender's opinion opcrale to
<br />prevenlthe enforccmenl of Ihe lien or forfeiture of any part of the Property; or (c) secures from the holder of Ihe lien an
<br />agreement satisfactory to Lender subordinaling the lien to Ihis Security Instrument. If Lender determines that any part of
<br />the Property is subject to a lien which may altain priority over this Security Instrument, Lender may gi\'e Borrower a
<br />notice identifying Ihe lien. Borrower shall satisfy the lien or take one or more of Ihe actions SCl forth above within 10 days
<br />of the giving ofnotice.
<br />5. Huard Iuaraace. Borrower shall keep Ihe improvements now existing or hereafter erected on Ihe Property
<br />insured against Iou by fire, hazards included within thc tcrm "elllended coveragc" and any other hazards for which Lender
<br />requires insurance. This insurance shall be mainlained in the amounls and for the periods Ihat Lender requires, The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject 10 Lender's approval which shall nol be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be ac<<ptable 10 Le:lder and shall includl: a slandard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals, If Lender requires. Borrower shall promplly gi\'e to Lender
<br />111 receipts of paid premiums and renewal notiCC$. In the event of 10$$, Borrower shall gi\'e prompl notice to lhe insuram:c
<br />arrier and Lender. Lender may make proof ofloss ifnOl made promptly by Borrower,
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or rcp:;.ir
<br />of the Property damaged. if the rcsloration or repair is economically feasible and Lender's securily is nollessencd, If the
<br />restoration or repair is not economically feasible or Lender's sccurily would be lessened, the insurance proceeds shall be
<br />applied to the sums secured by Ihis SecurilY Inslrumenl, whether or not then due, with any eAcess paid to Borrower. If
<br />Borrowef abandons the Propeny. or docs not answer wilhin 30 days a notice from Lender thaI the insurance carrier has
<br />oIf'ercd to seule II claim, then Lender may ~ollectthe insurance proceeds. Lender may use Ihe proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrumenl, whether or not then due, The 3Q.day period will begin
<br />when the nOlil:e 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 dale oflhe monthly paymenls referred to in paragraphs I and 2 or change the amount oflhe payments, If
<br />under paragraph 19 the Property is lIlXIuircd by Lender, Borrower's right to any insurance policies and proceeds resulting
<br />from damage 10 the Property prior to the acquisition shall pass 10 Lender to the extenl of Ihe sums ~ured by this Securily
<br />Instrumenl immedialely prior 10 the acquisition,
<br />6. I'reIemIdon'" MalJlte!lance of Property; Leueholdl. Borrower shall not destroy, damage or substanliall)'
<br />change the Property. allow the Property 10 ueteriorate or commil waste. If this SecurilY Instrumenl is on a leasehold.
<br />Borrower shall comply wilh Ihe provisions oflhe lease, and irBorrower acquircs fee title 10 the Property, the leasehold and
<br />fee title shall nOI merge unless Lender agrees to lhe merger in wriling,
<br />7. Protedfo8 of Under's R1pb In the Property; Mortpge Insuranre. If Borrower fails 10 perform the
<br />covenanls and agreemenls conlained in Ihis Security Instrumenl, or Ihere is a legal proceeding lhal may significantly aH'ed
<br />Lender', righls in tbe Property (such as a proceeding in bankruptcy. probate, for condemnation or to enforce laws or
<br />!'CJulation,), then Lender may do and pay for whatever is necessary to prolectlhe \'alue of lhe Property and Lender's righls
<br />in the Property. Lender's action, may include paying any sums secured by a lien which has priorilY over this Security
<br />Instrument. appellrinJ in court, paying rcaaonable altorncys' fees and enlering on the ProperlY to make repairs, Allhough
<br />Lender may lake action under this paragraph 7, Lender docs nOI have 10 do $0,
<br />Any amounts disbursed by Lender under this paragraph 7 ,hall bc<:ome additional debt of Borrower secured by this
<br />'~urilY Inslrumenl. Unltss Borrower and Lender agree to other terms of payment, these amOUnlS shall ~ar interest from
<br />Ihe date of disbunemenl al the Note rale and shall be payable, ",'ith interest, upon notice from Lender to Borrower
<br />requatinC payment,
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