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<br />UNIFORM COVENANTS, Borrower and Lend.r cov.nantand agree as follows: 88- 106092
<br />I. Payment of PrInelpaland Interest; Prepayment and Late Cblll1lea, Borrow.r shall promptly pay wh.n due
<br />Ih. principal of and int.rest on th. d.bt.vid.nced by the Not. and any pr.paym.nt and lat. charg.s due und.r th. Not.,
<br />2. Funds forT811eu.d IDIU...ce. Subject 10 applicabl. law aria a wriu.n waiv.r by Lend.r, Borrow.r shall pay
<br />to Lend.r on th. day monthly payments ar. due und.r th. Not., unlillh. Note is paid in full, a sum ("Funds") equal 10
<br />on..tw.lfth of: (a) yearly lalles and assessm.nts which may attain priorily ov.r this S.curity Inslrum.nt; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard insuranc. premiums; and (d) yearly
<br />mongagc insurance premiums, if any. These items are called. Ilescrow items." Lender may estimate the Funds due on the
<br />basis of current data and reasonabl. estimales offuture escrow it.ms.
<br />Th. Funds shall be held in an institution th. d.posits or accounts of which arc insured or guaranteed by a fed.ra1 or
<br />state agency (including Lender if Lend.r is such an institulion). Lend.r shall apply th. Funds 10 pay the escrow it.ms.
<br />Lender may nol charg. for holding and applying the Funds, analyzing the account or v.rifying th. escrow items, unless
<br />Lender pays Borrow.r interest on the Funds and applicabl. law pennits Lend.r 10 make such a charge. Borrow.r and
<br />Lender may agree in writing that interest shaJJ be paid on th. Funds. Unless an agreem.nt is mad. or applicabl. law
<br />requires int.restta be paid, Lend.r shall not be required to pay Borrow.r any inl.rest or earnings on th. Funds. Lend.r
<br />shall giV.IO Borrow.r, without charg., an annual accounling ofth. Funds showing credits and d.bits to th. Funds and the
<br />purpose for which each d.bitto the Funds was made. Th. Funds ar. pledged as additional security for th. sums secured by
<br />this Security Instrument.
<br />If th. amount oftb. Funds held by Lend.r, togeth.r with th. future monthly paym.nts of Funds payabl. prior 10
<br />the due dates of th. escrow it.ms, shall exceed the amount required 10 pay th. escrow it.ms when du., lh. excess sball be,
<br />al Borrow.r's option, either promptly repaid 10 Borrow.r or credited to Borrower on monthly paym.nlS of Funds. If the
<br />amount of th. Funds h.ld by Lend.r is nol sufficient to pay Ih. escrow ilems wben due, Borrower shall pay to Lender any
<br />amount n......ry to make up the d.ficiency in one or more paym.nts as required by Lend.r.
<br />Upon payment in full of all sums secured by this Securily Inslrument, Lender shall promptly refund 10 Borrower
<br />any Funds held by Lender. If under paragraph 19 th. Property is sold or acquired by Lender, Lend.r shall apply, no later
<br />than immediately prior 10 the saI. of the Property or its acquisilion by Lender, any Funds held by Lender at Ih. time of
<br />application as a credit against the sums secured by this Security Instrumeilt.
<br />3. Application of Payments. Unless applicabl. law provides oth.rwise, all paymenlS received by Lender under
<br />paragraphs I and 2 shall be applied: first, to late charges due und.r the Note; second, to pr.paym.nt charges due und.r the
<br />Nate; third, to amounts payabl. und.r paragraph 2; fourth, to inlerest due; and last, to principal due.
<br />4. Cbargeo; Uena. Borrower sball pay alllalles, assessmenlS, charges, fines and impositions attributabl. 10 the
<br />Property which may attain priority. ov.r this Security Instrument, and I....hold paymenlS or ground rents, if any.
<br />Borrow.r shall pay these obligations in the manner provided in paragraph 2, or if not paid in thaI manner, Borrower shall
<br />pay them on time directly to the person owed paym.nt. Borrower shall promptly furnish 10 Lender all nOlices of amounts
<br />10 be paid under Ihis paragraph. If Borrower makes these paymenls directly, Borrower shall promptly furnish 10 Lend.r
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharg. any lien which has priority ov.r this Security Instrument unless Borrower: (a)
<br />agrees in writing to the payment of the obligalion secured by the lien in a manner acceptable 10 Lend.r; (b) conteslS in good
<br />faith the lien by, or defends against enforcement ofthe lien in, legal proceedings which in the Lender's opinion operate to
<br />preventt.lte enforcement ofth.li.n or forfeiture of any part ofth. Property; or (c) secures from tbe holder of the lien an
<br />agreemenl satisfactory to Lender subordinating the lien to this Security Instrument. If Lender detennines thaI any part of
<br />the Property is subject to a lien which may altain priority ov.r this Security Instrument, Lender may give Borrower a
<br />notice identifying Iheli.n. Borrower shall satisfy Ihelien or Iak. one or more of the actions set forth above wilhin 10 days
<br />of the giving of nOli...
<br />5. Hazard Insurance. Borrow.r shall keep the improvements now .xisting or hereofler erecled on the Property
<br />insured against loss by fire, hazards included within the tenn "extended coverag." and any otb.r hazards for which Lend.r
<br />requires insurance. This insurance shall be maintained in Ih. amounts and for the periods that Lender requires. The
<br />insurance carrier providing th. insurance shall be chosen by Borrow.r subject to Lender's approval which shall not be
<br />unreasonably withh.ld,
<br />All insurance policies and r.newals shall be acceptabl. to Lender and shall includ. a standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give 10 Lend.r
<br />all receipts of paid premiums and renewal notices. In tb. event ofJoss, Borrower shall give prompt notice to the insuranc.
<br />carrier and Lender. Lender may make proofofloss ifnOI made promptly by Borrower.
<br />Unless Lender and Borrow.r otherwise agree in writing, insurance proceeds shall be applied to resloration or repair
<br />of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the
<br />restoration or repair is not economically feasible or Lender's securily would be lessened, the insurance proceeds shaU be
<br />applied to the sums secured hy this Security Instrument, whether or nol then due, with any excess paid 10 Borrower. If
<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lend.r thai the insurance carrier has
<br />olI'ered to settle a claim, then Lender may collectth. insurance proceeds. Lend.r may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether or not then du., Th. 3O-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower oth.rwise agree in wriling, any application of proceeds to principal shall nol extend or
<br />poslpone the due dale of the monlhly paymenlS referred to in paragraphs 1 and 2 or chang. the amount of lhe payments. If
<br />under paragraph 19 the Property is acquired by LeDd.r, Borrower's right to any insurance policies and proceeds resulling
<br />from damage 10 the Property prior to tb. acquisition shall pass to Lender 10 the .xtent oftbe sums secured by this SecurilY
<br />Instrumenl immediately prior to the acquisition.
<br />6. Preae"atioa and Maintenance afProperJ,r, Leaseholds. Borrower shall nol destroy, damage or substantially
<br />change the Property, allow the Property to d.terioral. or commit wast.. If this Securily Instrum.nt is on a leasehold,
<br />Borrowershall comply with the provisions oflhe lease, and if Borrower acquires f..lill.to the Property. th.leasehold and
<br />fee titl. shall not merge unless Lender agrees 10 th. merger in writing.
<br />7. Protection of Leader'. Rl&bh In the Property; Mort_ Insurance. If Borrowet. fails'lo,Jll'1lDrm the
<br />covenants and agreements contained in this Security Instrument, or there is a legal proceeding that rilay 'signifi01n~ alfect
<br />Lender's righlS in the Property (such as a proceeding in bankruptcy, probale, for condemnation or 10 enforoe laws or
<br />regulalions), th... Lender may do and pay for whatever is n......ry 10 protecllh. value of the Property and Lend.r's rigbts
<br />in the Property. Lender's aclions may include paying any sums secured by a li.n which has priority ov.r this Security
<br />Instrument, appearing in court. paying reasonable attorneys' fees and entering on the Property to make repairs. Althocgh
<br />Lender may lake aclion und.r this paragraph 7. Lend.r does not have to do so.
<br />Any amounts disbursed by Lender under Ihis paragraph 7 shall become sdditional d.bt of Borrower secured by Ihis
<br />Security Instrument. Unless Borrower and Lender agree 10 other tenns of payment. these amounts shall bear interest from
<br />the date of disbursement at the Note rate and shall be payable. with interest, upon notice from Lender to Borrower
<br />requesting paymenl.
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