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<br />88-
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<br />104146
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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />1. PaYlilent 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 Ihe Nole.
<br />Z. Funds for Tues 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 of: (a) yearly tues and assessments which may attain priority over this Security Instrument; (b) yearly
<br />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 offuture 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 l18ency (including Lender if Lender is sucb an institution). Lender shall apply the Funds to pay the escrow items.
<br />Lender may not charge for bolding and applying the Funds, analyzing the account or verifying the escrow items, unless
<br />Lender pays Borrower interest on the Funds and applicable law pennits 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 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 />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 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 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 Ihe 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 Payments. 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, to prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due,
<br />4. CIIarpI; Ueas. 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 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 priority over this Security Instrument unless Borrower: (a)
<br />agrees in writing to the payment of the ooligation secured by the lien in a manner acceptable to Lender; (b) contests in good
<br />faitb the lien by, or defends l18ainst 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 B8tisfy the lien or take one or more of th~ actions set forth above within 10 days
<br />of the giving of notice.
<br />5. Hazard IfIIIInDCe. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within the tenn "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 shall include a standard mortgage clause.
<br />Lender ahaIl have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender
<br />all receipts of paid premiulDI and renewal notices. In the event of loss, Borrower shall give prompl notice to the insurance
<br />carrier and Lender. Lender may malte proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied 10 resloration or repair
<br />of the Property damaged, if the reslOration or repair is economically feasible and Lender's security is nnl IClRl\ed. If the
<br />reltoration or repair is nOI economically feasible or Lender's security would be lessened. the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or nol Ihen due, with any ellcess paid to Borrower. If
<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />oII'ered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether or nOI then due. The 3O-day period will begin
<br />when the nocice is given.
<br />Unless Lender and Borrower olherwise agree in writing, any application of proceeds to principal shall nol extend or
<br />postpone lhe due date of the monthly payments referred to in paragraphs I and 2 or change the amounl ofthe payments, If
<br />under paraaraph 19 the Property is acquired by Lender, Borrower's right 10 any insurance policies and proceeds resulting
<br />from damage to the Property prior to Ihe acquisition shall pass to Lender to the ell ten I of the sums secured by IhlS Securily
<br />Instrumenl immediately prior 10 the acquisition.
<br />6, Prelenatlon and Maintenance of ProPel1rj Leuebolda. Borrower shall nol deslroy, damage or subslantially
<br />chanae lhe Property, allow Ihe Propeny to deteriorate or commil wasle, If Ihis Secunly lnstrumenl is on a leasehold.
<br />Borrower lhall comply with the provisions of the lease, and if Borrower acquires fee IIlle fo Ihe Property, Ihe leasehold and
<br />fee title shall n\lt mer.e unless Lender agrca to the merler in writing.
<br />7. Protectloe of Lader'a RJPtI In the Pro,ert)'; MortJqe Jnauran~. If Borrower fails to perfonn the
<br />COYenanlland lI,reements conlained in Ihis Security Inltrument. or fhere is a legal proceedinglhat may significantly atreel
<br />Lender', ri,hll in Ihe Propeny (such u a proceeding in bankruptcy, probate, for condemnation or 10 enforce I~ws or
<br />rc,alalion,), lhen Lender may do and pay for whalever is necessary to prolecllhe value oflhe Property and Lender's nghls
<br />in Ihe Property, Lender'l aclions may include paying any sums secured by a lien which has pnorily over this Security
<br />lnatrumenl, appearinl in coun, payinl reasonable aUorneys' feel! and enlerinll on lhe Property 10 make repairs, AllhouJllh
<br />Lender may lake acllon under Ihil paragraph 7, Lender does nOI have todo so,
<br />Any amounu disbursed by Lender under Ihis paragraph 7 shall become additional debl of Borrower secured b)' Ihls
<br />Securitylnltrumenf. Unless Borrower and Lender agree 10 olher lenns of payment, these amounts shall bear Interest from
<br />the dale of disbursement al Ihe NOle rate and shall be payable, wilh inleresl. upon nOlll'~ from Lender 10 Borrtlwer
<br />reqlHSunl plIymcol
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