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<br />UNIFORM COVENANTS, Borrower and Lender covenant and agree as follows: 88- 102442
<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 NOle. until the Note is paid in full, a sum ("Funds") equal to
<br />one-Iwelfm ,~ (a) yearly taxes and assessments which may attain priorily over this Securily Instrument; (b) yearly
<br />leaseh()ld payments or ground rents on the Property, if any; (cl 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 />stale 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 earnings on the Funds, Lender
<br />shall give to Borrower, without charge. an anllual 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 dates oflhe 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 or. 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 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 />3. Application of Pa)'ments. Unless applicable 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. 10 prepaymelll 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 artributable to (he
<br />Property which may allain 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 nol 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 pnortl)' over this Security Instrument unl~ Borrower: (a)
<br />agrees in writing to the payment of lhe obligation secured by Ihe hen in a manner acceptable to Lender. (b) contests in t;ood
<br />faith the lien by, or defends against enforcement of the hen m, legal proceedings which in the Lender's opinion operate to
<br />prevent lhe enforcemenl of the lien or forfeIture of any part of the Property; or (!:') secures from the holder or the lien an
<br />agreemenl satisfactory to Lender subordinating Ihe lien to this Security Instrumenl. If Lender determines that any pan of
<br />the Propeny is subjecl to a lien whieh may attam priority over thiS Security Instrument. Lender may gi\'e Borro...'eT a
<br />notice identifying the lien, Borrower shall salisfy Ihe lien or tllke one or more of the actions set forth abo\'e ~-jlhin IOda)'S
<br />of the giving of notice,
<br />5. Hazard Insurance. Borrower shall keep the impcovemenls now existing or hereafter erected on the Propert)'
<br />insured against loss by fire. hazards included within the term "elllended Cll\'erage" and any other hazards for which L.cnder
<br />requires insurance. This msunmce shall be maintamed m the amounts and for Ihe periods thai Lender requires. The
<br />insurance cllrrier providing Ihe: insurance shall I>e chosen hy Borrower suhJcct 10 Lender's appro"al ...,hich sh311 not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptahlc 10 Lender and shall mclude a Mandard mortt;age cIau!ooe-
<br />Lender shall have the right 10 hold the policlo and renewlIb If l.ender reqUIres. Borro....er shall promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the evcnl uf loss. lJorrollo'er shall gl\'e prompt notice to the msuranl%
<br />carrier and Lender, Lender may make proof of loss If not made promplly hy Borro....er
<br />Unless Lender and Borrower olherwlse agree In ....rnlng. lIlsuranee proceeds shall be applied to n:Sloralion or n:pair
<br />of the Property damaged. if the restoration or replllr IS econnnllcally' fellsihle und Lender's security is nOI lessened. If Ihe
<br />restoralion or repair is not economically feasihle or Lender's securlly ....('uld be lessened. the msurance proceeds shalll:>e
<br />applied to the sums !iCeured by this Security Inslrumenl. whether or not lhen due. ....ith IIny ellcess paid to Borrower, If
<br />Borrower abandons Ihe Properl)', or docs nol answer wllhm ,10 duy's a noUce from Lender that the insurance carrier has
<br />alTered to !oCule a claim. then Lender may collecl Ihe IIIsur:lllcc proceeds, Lender may use the proceeds to rep3lr or restore
<br />the Property or to pay sums secured by thIS SeCUTIly' Instrul11ent, whether or nOlthen due. The 30-day period will hegm
<br />when the nolice is given,
<br />Unless Lender and Borrower otherWise agrce III wnllng. any applicatIOn ofproceL'lis to prinCipal shall not elltend or
<br />postpone the due date of the monthly paymcnts referred to in paragraphs I and 2 or change the amounl ohhe paymcnts. If
<br />under paragraph I Q the Property is acquired by Lender, Dorftlwer's right to any IIISIlTlIIICe pohcles lInd proceeds resultmll
<br />from damage to the Property prior to the ucqulsltion shall pass to Lender 10 the extent of the SUIIIS secured by Ih" Security
<br />Inslrument immediately prior to the acquisition.
<br />6. Prl!R!'Yatlon and Maintenance of I'roper$&': Leaseholds, 1J0rrower shall not destroy. dllllluge or substanuall~
<br />change the Property. allow the Property to deteriorate or commit waste. If tillS Securll)' Instrument is on a leasehold,
<br />Borrower shall comply with Ihe provisions oflhe lease. and if Borrower acquires fee lItll' to the Property, the leasehold IInd
<br />fee tille shall not merge unless Lender agrees 10 the merger in writlllg.
<br />7. Protection of Lender's Ripts In thc Property; Mortaaac Insurance. If Borrower fails In perform the
<br />covenants and agreements contained in this Securlly Instrument. or lhere IS lllegul proceedin!! thuI mllY S1gllllk:1ll1Iy alTL"Ct
<br />Lender's rights in the Property (such as a proceeding in hankruptcy. probale, for condenl11:111on or Il1 cnforce laws or
<br />regulations), Ihen Lender may do and pay for whalever IS necessary In proleclthe \'alue urlhe Property lInd Lender's nghts
<br />in the Property, Lender's actions may include paymg any sums secured hy u lien wlm'h hus pnonly ovcr tillS Securlly
<br />Insllument. appearing in court, paying reasonuble Ul1orneys' fees and entering un the Properly tn mukc rcpalrs Although
<br />Lender may take action under I his paragraph 7. Lender does nol ha vc III do so
<br />Any amoun.s disbursed hy Lender under Ihis pllfagraph 7 shall becomc addlllOnal dl~hl of Borm",cl sCL'lIn,,1 hy ,IllS
<br />Secunly InSlrurnent Unless Horrower and Lcnder Ilgrec In olher lerms ofpaymcnl. Ihesc amounts shall heM 1I1It~n'sl fl'llm
<br />the dale of dishurselllenl at lhe Nnlc nile und ..hall Me f'ayahlc. wllh InlL'rest, upon nollce from Lendt'l' III Bnrnm'er
<br />reqllesllnll paymenl
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