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<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 duc
<br />the principal of and interest on lhe debt evidenced by the Note and any prepaymenl and late charges due under thc Note.
<br />2. Funds for Taxes and Insuranee. Subject 10 applicable law or to a wrilten waiver by Lender, Borrower shall pay
<br />to Lender on Ihe 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 taxes and assessments which may atlain 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 j)remiums, 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 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 thai 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 rcquired to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without chargc, an annual accounling of the Funds showing credits and debils 10 the Funds and the
<br />purpose for which each debit 10 Ihe 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, togelher with the future monthly payments of Funds payable prior to
<br />Ihe due dates of lhe escrow items, shall exceed the amount required to pay the escrow items when due. Ihe excess shall be,
<br />al Borrower's option, either promplly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the
<br />amount of Ihe Funds hcld by Lcndcr is not sufficient to pay the escrow itcms when due, Borrower shall pay to Lender any
<br />amount necessary to make up the dcficiency in one or more payments as rcquired by Lender.
<br />Upon paymcnt in full of all sums secured by this Sccurity Instrument, Lender shall promptly refund to Borrowcr
<br />any Funds held by Lender. If under paragraph I q the Property is sold or acquired by Lender. Lender shall apply, no laler
<br />than immediately prior to the salc of thc Property or ils acquisition by Lender. any Funds held by Lender at thc lime of
<br />application as a credit againsllhe sums securcd by Ihis Sccurity Instrumcnt.
<br />3. Application of Payments. Unless applicable law provides otherwise. all payments received by Lender undcr
<br />paragraphs t and 2 shall be applied: first, to late charges due undcr the Note; second, to prepaymenl charges duc undcr Ihe
<br />Note; third, to amounts payable undcr paragraph 2; fourth. to inlerest due; and last. to principal due.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, charges. fines and impositions atlrlbutable to the
<br />Property which may altam priorily over this Security Instrumcnt, and leasehold payment.s 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 lime dircctly to the person owed payment. Borrower shall promptly furnish to Lcnder all notices of amounts
<br />10 be paid under thiS paragraph. If Borrowcr makes these payments dircctly, Borrowcr shall promptly furnish 10 Lendcr
<br />receipts evidencmg Ihe paymcnts.
<br />Borrower shall promptly discharge any lien which has priority over thIS Securily Inslrumcnt unless Borrower: (a)
<br />agrees In wnting to thc payment ofthc obligation St.'Cured by thc lien In 1\ manner acccptable 10 Lendcr; (b) contests in good
<br />faith the lien by. or dcfends against cnforcement of the lien in. lcgal procecdings which in the Lender's opinion operate 10
<br />prevent the enforccment of the lien or forfeilurc of Ilny part of the Properly; or (e) secures from the holder of the lien an
<br />agreemenl satlsfaclory 10 Lendcr subordinating the lien to Ihis Security Instrumcnt. If Lender delcrmines Ihat any part of
<br />the Property IS subject to a hen which may atlalll prlorily over [his Sccurity Inslrument. Lendcr ma~' give Borrower a
<br />nOllce IdentifYing the lien. Borrower shall sUlisfy the lien or takc one or morc of the aClions set forth above within 10 days
<br />of lhe giVing of notice.
<br />5. Haurd Insurance. Borrower shall kcep Ihe improvements now existing or hcreafter erected on the Property
<br />insured againsllos.s by tire. hal.ards included Wlthlnlhe terlll "cxlcnded coverage" and any Dlher hazards for which Lender
<br />reqUires insurance. ThiS insurancc shall be maintained In thc amounts and for thc periods Ihat Lender requires. The
<br />msurance carrier proViding Ihe Insurance shall he chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withhcld.
<br />All Insurance pohcles and renewals shall be acceptable [0 Lender and shalllllclude a slandard mOrlgage c1ausc.
<br />Lender shall havc the righl to hold the pohcles and rencwals. If Lender rcqulres. Borrower shall promptly givc to Lender
<br />all receipls of paid premiums and renewal nOlices In lhe evcnt of loss. Borrower shall give prompt nOlice to the insurancc
<br />carrier and Lender. Lendcr may make p~oof of loss if not made promplly by Borrower.
<br />Unless Lender and Borrowcr ot herwise agrce In Wrll Ing. InSU rance proce~-ds shall be appli~-d III r~...toration or repair
<br />of thc ProperlY damaged. If the restoration or repair is cconomically feasible and Lcnder's sccurily is not lessened. If Ihe
<br />restoration or repair is nol cconomically fea.slblc or Lender's sccurity would be k...sened. thc IIIsurance proceeds shall be
<br />applied to the sums securcd by this Securily Instrumenl. whelhcr or nol thcn due, with any excess paid to Borrowcr. If
<br />Borrower ahandons Ihe Property, or docs not answer wlthm 30 days a notil'e from Lender that the insurancc carrier has
<br />offcred to setllc a claim, Ihen Lender may collect the insurance proceeds. Lcnder may use the procceds to repair or reslnn:
<br />thc Properly or 10 pay .,ums secured hy thl' Sl'CUrlly Inslrumcnt. whcther or 1WI then due. The 30-day period will hegm
<br />when Ihe nDlice IS given
<br />Unless Lender and Borrower ,'lherwlSe agree In wrltmg. any applica[ionof pruceeds 10 prinCipal shallnol extend ,'r
<br />postpone the due date of Ihe mllnlhl~ paymenl., rcferred to in paragraphs I and 2 or change Ihe amounl of the paymcnt." If
<br />under paragraph I II Ihc Property' " Ill'qlmed by Lender. Borrowcr's right to any insurance policies and proceeds rcsultlllg
<br />from damage 10 the Property prior tOlhe acquisition shall pass [0 Lender 10 the extent of the sum, sccured hy 1111, SCCUrHy
<br />Instrumcnt immcdllltcly prllJr [0 lhe IlcqUlSlIlIlll
<br />6. Presenlltlun IInd Mlllnlenanec IIf Property; 1.4:'lIsehlllds. Borrower ,hall not deMroy. damage or suo..talllmlly
<br />change Ihe I'roperty, allow thc I'roperty III dClerlorate or commit waste, If 1 IllS Security In,trument I' on a leasehold.
<br />Borrowcr shall comllly with lhe proVISIOns (,r Ihe lease. and If IJnrrowcr lIcqulrcs fcc ritlt, IlIrhc Properly. the leasehold and
<br />fee titlc shall not merge unlcss Lender agrces to thc merger In Wrlllng.
<br />7. Proleclion of Lender's RIRhls In the Properly; :\ll1rtllllRe Insurllnee. If Bommcr 1',,11, III p,'rfi'rm rll<'
<br />covcnanls and agrcements enntallled in thIS Sl....urlly Instrumcllf. or there IS IIlegl1ll'rllcl,...dlll~ that mll~ "~,"fk,,ntl~ :Ilr...d
<br />Lender's rights in Ihe I'roperty (such as a proceeding III hal1krupll')', prohllll', for l'l1l1dl'lT\lIalIl1ll IIr Itl l'nfllr,'", Ial" ..,
<br />regull!lions). then Lendcr may do lInd pay fllr whatevcr IS IICl'cssary III protel't rhe 1 IIlue 111'1 he I'flll'l'rl~ alld I ('Illkl" l1~hl'
<br />in the Property. Lender's aCllons nlil~ lIIc1ude paYing lIn~ 'UIIl, 'el'ured h~ a h"11 "llIdl has pr"'nll \Ill" II", ""',II"1l
<br />Instrument. appearln~ In euurt. paying reasonahlc attorney' fcc, I1ml cnl"rln~ I'n the I'mp<,r" h' 1lI,"<' 1<'1'.11" .\ II h, "I~h
<br />Lendcr mllY takc IIcllon undcr Ihis paragmph 7, Lendcr du..., 1101 hUle III d" '"
<br />Any lIltlOUI1I, dlSbur,erl hy' Lender under [hiS pallll!raph 7 ,hull h.:ellrne addllilllllll dl.hl ..I'll." 1,0\"" ",', III ('.I h, Ih"
<br />Security Inslrumen! l'nlc" Burrower and I end,'r agree I" "lher term' ,,(pay lIlerll. Ilw'e '"'1<"'111' ,h,,1I h<,.11 IlIlel<,'1 II ,'Ill
<br />the dale "I' dl\"ur\(crn('nl III Ihe NIII,' rill,' and ,hall he pa\lIhlc, ""h Hlll'fl"f. "P"11 '1<'lIn' I"'1ll 1"1111.-1 I,' 11,,,',,\,,.,
<br />re'l"c'lIrlg I'll Y IIlCII I
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<br />88-104166
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