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<br />UNIFORM COVENANTS, Borrow.rand Lend.rcov.nantand agr.. as follows: 88-1 051 ~ 3
<br />I. PQmeaI of Principal and Int.....I; Prepll)'lllenl and Lale Charg.., Borrow.r shall prompify pay ~en due
<br />Ihe principal of and int.resl on th. debt.vid.nced by the Note and any prepayment and lat. charges due und.r the Not.,
<br />:z. Fund.,.. T.... and lnauranee. Subject to applicable law Orlo a wriU.n waiver by Lender, Borrow.r shall pay
<br />to Lender on Ihe day monthly payments are due under Ih. Note, unlillhe Not. is paid in full, a sum ("Funds") .qual to
<br />one.twclfth or: (a) yearly taKCS and assessments which may attain priority over this Security Instrumcmj (b) ,yearly
<br />I....hold payments or ground n:nls on Ih. Propeny. if any; (c) yearly hazard insuranc. pn:miums; and (d) yearly
<br />monpge insurance pn:miums, if any. These Items an: called "escrow items," Lend.r may estimat.lhe Funds due on the
<br />basis of cum:nt data and reasonable estimates offutur. escrow it.ms.
<br />Th. Fundsshall be h.ld in an institution th. deposits or accounts of which are insun:d or guaranteed by a fed.ral or
<br />stat. agalcy (including Lend.r if Lend.r is such an institution), Lender shall apply the Funds 10 pay th. escrow it.ms.
<br />Lender may not charge for holding and applying th. Funds, analyzing the account or v.rifying th. escrow it.ms, unless
<br />Lender pays Borrower int.rest on the Funds and applicabl. law penoits Lend.r to make such a charg., Borrow.r and
<br />Lender may agree in wriling Ihat inl.rest shall be paid on the Funds, Unless an agreement is made or applicable law
<br />roquires interest 10 be paid, Lend.r shall not be required 10 pay Borrow.r any inlerest or earnings on tbe Funds. Lender
<br />sbaII give to Borrower, without charge, an annual accounting of the Funds showing credits and d.bils 10 th. Funds and Ih.
<br />purpose forwhicb each d.bit to Ihe Funds was made. Th. Funds ar. pledged as additional securily for th. sums secured by
<br />this Security Instrument.
<br />If th. amount orth. Funds held by Lend.r, log.th.r with the fUlun: monthly paym.nts of Funds payabl. prior to
<br />the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be.
<br />at Borrower'!i option, either promptly repaid to Borrower or credited to Borrower on monthly payments or Funds. tribe
<br />amount afth.: 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 Instrum.nt, Lend.r shall promptly r.fund to Borrow.r
<br />any Funds h.ld by Lender. If under paragraph 19 the Propeny is sold or acquir.d by Lender, Lend.rshallapply, no lat.r
<br />than immedialely prior to the sale of th. Propeny or its acquisition by Lender, any Funds h.ld by Lend.r at the tlm. of
<br />application as a credit against the sums secured by this Security Instrument,
<br />.1, Application of Pa)'lllcoll. Unless applicable law provides othc:wise, all paym.nts'received by Lend.r und.r
<br />paragraphs I and 2 shall be applied: fint, to late cbarges due under the NOIe; .:cond, 10 prepayment charges due under the
<br />Note; third, to amounts payable und.r paragraph 2; fourth, 10 interest du.; and last. 10 principal du.,
<br />4. ~ Uena. Borrow.r shall pay all taxes, assessm.nls, charges, fines and impositions allribulabl. to the
<br />Propeny whicb may attain priority, over this Security Instrument, and leasehold payments or ground rents, if any.
<br />Borrower sbaII pay these obligations in the manner provided in paragraph 2, or if not paid in that mann.r, Borrow.r shall
<br />pay them on time direclly to the person owed payment. Borrower shall promptly furnish to Lend.r all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these paym.nts directly, Borrow.r shall promptly furnish to Lend.r
<br />receipts evidencing the payments.
<br />Borrow.r sbaII promptly discharg. any lien which has priority over this Security Instrum.nt unless Borrower: (a)
<br />agrees in writing to th. payment ofth. obligation secured by the lien in a mann.r ac<:eplablelO Lender; (b) conlests in good
<br />faith th.lien by, or def.nds against enforcement of th. lien in,I.ga1 proceedings which in th. Lend.r's opinion operat.lo
<br />prevent the enforcement of th. lien Dr forfeilUn: of any pan of the Propeny; or (c) secures from th. hold.r of th.llen an
<br />ap<artent satisfactory to Lend.r subordinating the lien to this Security InstrumenL If Lend.r det.noines that any pan of
<br />th. Property is subject 10 a lien which may attain priority ov.r this Security Instrum.nt, Lend.r may give Borrow.r a
<br />notice identifying the lien. Borrower shallsatislY the li.n or take on. or more of the actions set fonh above within 10 days
<br />ofth. Bivins ofnolice.
<br />5. HuanlInaunDC:e. Borrower shall keep the improvements now .xisting or h.reaft.r erected on th. Propeny
<br />Insured againstlDSS by fin:, hazards included wilhin th.t.no "extended cov.rage" and any oth.r hazards for which Lend.r
<br />roquires insurance. This insurance shall be maintained in th. amounts and for the periods thaI Lend.r requires. Th.
<br />insurance carrier providing the insurance shaIJ be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably wlthh.ld.
<br />AU insurance policies and renewals shall be acceptable to Lender and shall includ. a standard mongog. clause.
<br />Lender shall have the right to hold th. policies and renewals, If Lend.r roquires, Borrower shall promptly give 10 Lender
<br />all receipts of paid premiums and renewal notices. In the event of loss. Borrower shall give prompt notice to the insurance
<br />carrier and Lend.r. Lender may make proof oflDSS if not mad. promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing. insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged, if the restoration or repair is economically feasibl. and Lend.r's security is not I....ned. If th.
<br />restoration or repair is not economically feasible or Lend.r's security would be lessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, wh.ther or not th.n du., with any excess paid 10 Borrow.r. If
<br />Borrower abandons the PropenYl or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a t:laim, then Lcnd~1'" mAY coll~t the: insurDn" p~s. Lcnd~r may UK the p~s to "pair or rc5tore
<br />th. Property or to pay sums secured by this Security Instrumenl, whether or notlhen du., Th. 3{).day period will begin
<br />when the notice 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 date of the monthly payments ref.rred to in paragraphs 1 and 2 or change the amount of the paymenls. If
<br />under paragraph 19 the Property is acquired by Lender, Borrower's right to any insurance policies and proceeds resulting
<br />from damage to the Propeny prior to the acquisition shall pass to Lend.r to the .XI.nt oflh. sums secured by this Security
<br />Instrumenl immediately prior to the acquisition.
<br />6. Prsenalion and MIlinIetlaMe of ProperjW: Leuebolda. Borrow.r shall not destroy, damag. Dr substantially
<br />chang. the Propeny. allow th. Propeny to deteriorate or commit wast.. If this Security Instrument is on a I....hold,
<br />Borrower sbaII comply with the provisions ofth.l..... and ifBorrow.r acquires f..litl.to the Propeny, th.l....hold and
<br />fee tidesha1l not merge unless Lender agrees to the merger in writing.
<br />7. Pro_ or Lender'a RIp.. ill the Properly; Mortgage Insurance. If Borrow.r fails 10 perform the
<br />covenants and agreements conlained in this Security Instrument, cr there is a legal proceeding that may significanlly affect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy, probate. for condemnation or to enforce laws or
<br />regu1uions). theu Lender may do and pay for whatever is necessary to protect the yalue of the Propeny and Lender's rights
<br />in the Prope:ny. Lender's actions may include paying any sums secured by a lien which has priority over this Security
<br />Instrument, .ppc:aring in court, paying reasonable attorneys' fees and entering on the Property to make repairs. Although
<br />Lender may take action under Ihis paragraph 7, Lender does not have 10 do so.
<br />Any amounts disbursed by Lende1'" under this paragraph 7 shall become additional debt of Borrower secured by Ihis
<br />~urilY IDStrwnent. Unless Borrower and Lender agree to other terms of payment. these amounls shall bear interest from
<br />the date of disbursement at the Note rate Bnd shall be payable. with interest. upon notice from Lender to Borrower
<br />roqucslins paymenL
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