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<br />UNIHlRM C()VI~N^N1S, lJarruwer nnd Lender cuvenRnt llnd Ilgrec: 11!t follow!'.:
<br />I. Payment of Prlnclpa! ond Interest; Pr~paymcnt and l.atc ChnrRcs, Burrower !thall promplly pay \li;',en due
<br />the pnncipaJ of and interest on the debl evidenced by the Note and any prepllymcnllllld latc chllrge.. due under Ihe NUle,
<br />2. Funds for Taxes and Insuranrc. Subject to npplicablc law or 10 II wriucn wui\'cr hy Lender, Horrower shall pny
<br />10 lender on the dB)' monthly pB)'ments arc due under Ihe Note, untillhe Note is pllid in full. u "urn ("Funds") equal tn
<br />one~twclnh of; (a) yearly laxes and assessments which mn)' al1ain priority O','cr this Security InMrument: (b) ycnrly
<br />leasehold payments or ground rents on thc Property, if any; (c) yearly halard insurance premiums; and (d) yellrly
<br />mongage in!iourance premiums, irany. These items arc called "escrow items." Lender mn)' estimute the Funds due on the
<br />basisofcurrcnl data and reasonable estimates offu1Ure escrow items.
<br />The Funds shall be held in an institution lhe deposits or accounts of which are insured or gUllrtlnteed by a federal or
<br />state agency <including lender if lender is such an institution). lender shall apply the Fund!<o to pay the escrow ilem!..
<br />Lender may not charge for holding and applying the Funds, analyzing the nccounl or verifying the escrow items, unless
<br />lender pays Borrower interest on the Funds and applicable law permits Lender to mJke such a charge. Borrower and
<br />Lender may agree in .....riting thnt interest shall be paid on the Funds. Unless an agreemenl is made or applicable law
<br />requires interc..-sf to be paid, lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />~hall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds nnd the
<br />purpose for which each debit to the Funds was mnde. Th~ Funds are pledged as additinnal security for the sums secured by
<br />this Security Instrumen1.
<br />(fthe amounl of the Funds held by lender. together with the future monthly pay men IS of Funds paynble prior 10
<br />the due dates of Ihe escrow ilems, s.hall exceed the amount required tn pay Ihe L'SCroW items "..hen due, the exces.s shall bc.
<br />at Borrower's l'ption. eilher promptly repaid to Borrower or credited to Borrower on monthly payments of Fund!.. If the
<br />amount of Ihe Funds held by Lender i!'> nnl \ufficlent 10 pay the escrow item!'> \....hen due, Borrower shall pay tn Lender any
<br />amount necessary to make up the deficiency in nne or more payments as required by Lenqer.
<br />Upon payment in full of all sums !<oC~cured by thiS Security Instrumenl. Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If under paragraph IQ the Property IS sold or acquired by lender. Lender shall apply. no later
<br />than immediately prior to the sale of the Pmper1y or its acquisition by Lender, any Funds held by Lender al Ihe time of
<br />application as n credit against the sums secured by this Security Instrumenl.
<br />J, Application of Payments, Unless applicable law provides olhcrwi~e, all payments received by Lender under
<br />paragraphs 1 and 2 shall be npplied: first, lu hue charges due under the NOle; second, to prepl1ymenl churges due under the
<br />Note; Ihird, to amounts payable: under paragraph 2: fourth, to interest due: and last, to principal due.
<br />4. Charges; Liens. Borrower !thall pay aU taxes, a.'ises.sments, chargL'S, fines and imposilions uuributable to Ihe
<br />Property which may auain priont) uver thl!<o S~urity Instrument. and leasehold payments or ground rents, if any.
<br />Borrower shall pay these nhligalions in lhe manner pmvided in paragraph 2. Clr ifnol paid in Ihat manner, Borrower shall
<br />pay lhem on time directly 1!Uhe pc~on owc:d payment. Borrower !.hall promptly furnish to Lendc:r all notict:S nfamounts
<br />to be paid under Ihis paragraph, If Borrower makt."!<o tht.'Se payments direclly. Borrower shall pmmptly fumi!th to Lender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has PTlority m:er Ihis SecurilY Inslrumcnt unless Borrower: (a)
<br />agrees in writing 10 the payment oflhe obligallon secured hy lhe lien In II manner accc:ptable to Lender: (bl contests in good
<br />faith the lien by, or defends againsl enforcement of the lien in, legal proceeding!t which in the Lender's opinion operale to
<br />prevenlthe enforcement of the lien or forfeiture of any part of the Properly: or (c) !.ccures from the holder of the lien an
<br />agreement satisfactory to lender subordinating the lien 10 Ihis Security InMrumenl. If Lender determines that any part of
<br />the Property is subject to a lien which may altain priority oVl;r lhi!. SecUril)' Instrumc:nt. Lender may give Borrower a
<br />nocice identifying the lien. 8orrower shall salisfy Ihe lien or take one or more of dIe j)ctinn~ sel forth ahove wilhin 10 dDY~
<br />of the giving of no lice.
<br />5, Huard Insurance. Borrower shall keep the improvemenl~ now cAisting or hen:aftcr erecled on the Propcny
<br />insured againslloss by fire, hazards included within lhe term "eAlendcd coverage" and any other hazards for which Lender
<br />requires insurance. This insurance ~hall be maintained in the amounts and for the perinds thul Lender requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject tll lender'" approval which shall not be
<br />unreasonably wj1hhcld.
<br />All insurance policies and renewals shaH be acceptable 10 Lender and shall include a standard mortgage c1au'ie.
<br />Lender shall have the right to hold the policies and renewals. If lender requirL"S, Borrower shall promptly give 10 lender
<br />all receipts of paid premiums and renc.~wal notices. In the e...ent ofloss, Borrower shall gi....e prompl notice to the insurance
<br />carrier Rnd lender. lender may make proof of loss ifnOl mode promptly by Borrower.
<br />Unless lender and Borrower otherwise agree in writing, insurance procecds shaJI be applied to resloralion or repair
<br />of the Propcny damaged, if the restoration or repair is economically feasible and lender's securilY is not lessened. If the
<br />restoration or repair is not L'ConomicaIly fea.'iible or lender's sa:urity would be lessened, the insurance proceeds shall he
<br />applied to the sums secured by this Security [nstrumenl, whether or not then due, with any t.',IlCL'SS paid to Borrower. If
<br />Borrower abandons the Property, or does not answer wilhin 30 days a nut ice from Lender thaI Ihe insurance carrier ha~
<br />olfered 10 seltJe a claim, then Lender mllY collcctlhe insurance proceeds. Lender may use the proceeds to repair or reslorc
<br />the Propeny or to pay sum!. secured by thi!lo Securily (n5otrument, whether nr nol lhen due. The JO~day period will begin
<br />when the: notice is given,
<br />Vnles:. Lender and Borrower otherwise agree in writing, any application or proceeds tll principal shall nol ex lend or
<br />postpone lhe due date of the monthly payments referred to in paragraphs I and 2 or change the amount oflhe payments. If
<br />under paragraph 19 lhe Propeny is acquired by Lender, Borrower's righ1to any insurance policies and proceeds resulting
<br />from damage to 1he Proper:y prior to the ~cquisilion shall pass to Lender lO the eXleJ1l of the sums secured by this Security
<br />Instrument immedialely prior 10 the acquisition. -
<br />6, Prese"IUOD and Mlintenam:e of Property; Leaseholds. Borrower shall nol d~trny, damage ()r \ub..tanlially
<br />change the Propeny, allow the Propeny to deteriorate or commit wusle. If Ihl!'. St."(;urity Inslrumenl is on a leasehold.
<br />Borrower shall comply with the provisions of the lease, and If Borrower acquires floe litle to the Prupert)'. the leasehold and
<br />fee tide shall not merge unless Lender agrees to Ihe merger in writing.
<br />7, Protection or Lender's Rights in the Property; Mortgage Insurance. If Borrower faib to pc:rfurm the
<br />covenants and agreements conlained in this Securiry Inslrument, or there is u legal proceeding lhat may ~igllificantly atTC:CI
<br />Lender's rights in Ihe Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or
<br />regulationsl.lhen Lender ma)' do and pay for whatever IS necessary to protectlhe value: of the Property and lender'~ righl!<o
<br />in the Property. Lender's actions may include paying any sums secured b}"a lien wluch has prinrlly over Ihi!<o Security
<br />Instrumen1, appearing in coun. paying reasonable 8tlomC)'s' fees and enlering on the Plopert) Itl make repmn.. Although
<br />Lender may take aclion under lhis paragraph 7, lender does not haH to do so.
<br />Any amounts disbursed by Lender under this paragraph 7 shall become adduiomJi dellt of Unrmwer ..ecurcd h)- 1111~
<br />Sccunc)' Instrument. Un leu 8orrower and lender agree to other lerm!t ll(paymcnl, lhLose amounl.. ..hall heur II1tcr~t frnm
<br />Ihe date' of di,bun.cmcnt 011 the Nole rate and shall be- payahle, wilh mlcr~I, Upt"lU Iloli,,:e frllm LC'f1llcr In normw~.'r
<br />requemng PJlymcnl
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<br />105408
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