|
UNIFORMCovr:NANTS. Borrower and Lendercovenant and agree asfollow .,: YI ^, 102870
<br />L Psyaent 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 Note
<br />IF
<br />the and any prepayment and late charges due under the Note.
<br />2. Faire fw Taxes and Insurance. Subject to applicable law or to a written waiver by Lender. Borrower shall pay
<br />to Lender on the day monthly
<br />payments are due under the Note, until the Note is paid in full. a sum ( "Funds ") equal to
<br />ate - twelfth of (a) yearly taxes and assessments which may attain priority over this Security
<br />Instrument; (b) yearly
<br />behold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d)
<br />mortgage insurance
<br />yearly
<br />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 of future
<br />escrow items.
<br />The Funds shall be held in an institution the deposits of accounts of which are insured or guaranteed by it federal or
<br />state agency (including Lender if Lender is such an institution). Lender
<br />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
<br />and applicable law permits Lender to make such a charg e. dknrrower and
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is
<br />�
<br />made or applicable law
<br />requires interest to be paid, Lender shall not be required to pay Borrower any int earnings on the Funds. Lender
<br />s interest or hall give to Borrower, without charge, an annual accounting of the Funds showing
<br />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 se
<br />this Security Instrument. curity for the sums secured by
<br />4..
<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 of the escrow items, shall exceed the
<br />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
<br />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
<br />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 the sale of the Property
<br />or its acquisition by Lender, any Funds held by Lender at the time of
<br />s 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
<br />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• Charges; Lied. Borrower shall pay all taxes, assessments,
<br />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 />t Borrower shall pay these obligations in the
<br />manner provided in paragraph 2, or if not 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 />i to be Paw under this paragraph. If Borrower
<br />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 obligation secured by the lien in a manner
<br />acceptable to Lender; (b) contests in good
<br />faith the lien by, or defends against 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 pan of the Property; or (c) from
<br />secures the holder of the lien an .
<br />agreement satisfactory to Lerner subordinating the lien to this Security Instrument. If Lender determines that any part of
<br />the Properly is subject to a lien which
<br />may attain priority over this Security Instrument, Lender may give Borrower a
<br />notice identifying the lien. Borrower shall
<br />of the giving of notice. satisfy the lien or lake otie or more of the actions set forth above within 10 days
<br />S. Hassid Insttrsnee. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within the term "extended coverage" and any other hazards
<br />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
<br />unreasonably withheld. which shall not be
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to how the Policies and renewals. If Lender requires, Borrower
<br />shall promptly give to Lender
<br />all receipts of paid premituns sad renewal notices In the event of loss, Borrower shall
<br />give prompt notice to the insurance
<br />carrier and Lender. Lender may make proo f of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance
<br />of the Propert proceeds shall be applied to restoration or repair
<br />restoration damaged. if the restoration or repair is economically feasible and Lender's security is not lessened. If the
<br />on or repair is not economically feasible or Lender's
<br />security would be lessened, the insurance proceeds shall be
<br />e
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any
<br />Borrower
<br />excess paid to Borrower.
<br />abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance
<br />at the i
<br />proceeds. Lender may use the to repair or restore
<br />the Property or to Pay sums secured by This Security Instrument, whether or
<br />when the notice is given. not then due. The 30 -day period will begin
<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 referred in
<br />to paragraphs 1 and 2 or change the amount of the payments. If
<br />under paragraph 19 the Property is acquired by Lender. Borrower's right to any insurance policies and proceeds resulting
<br />from dump to the Property pttw to the acquisition
<br />shall pass to Lender to the extent of the sums secured by this Security
<br />Instrument immediately prior to the acquisition.
<br />s' ]Preservation and Maiatemmm of Property; Ltawebolds. Borrower shall not destroy, damage or substantially
<br />change the Property, allow the Property
<br />to deteriorate or commit waste. If this Security Instrument is on a leasehold,
<br />Borrower shall comply with the provisions of the lease, and if Borrower acquires fee title
<br />to the Property, the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing.
<br />7. Prrteetiew of Lender's Rigbs in the Property; Mortgage Insurance. If Borrower fails to perform the
<br />covenants and agreements contained in this Security Instrument, or there is a legal that
<br />Lender's
<br />proceeding may significantly affect
<br />rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or
<br />rcPWions). then lender may do and pay for whatever is
<br />necessary to protect the value of the Property and Lender's rights
<br />in the Property. Letda's actions may include paying any sums secured by a lien which has priority over this Security
<br />appearing in court, Paying reasonable
<br />attorneys' fm and entering on the Properly at make repairs. Although
<br />Leader may take action under this paragraph 7, Lender does not have to do so.
<br />L Leader may
<br />Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this
<br />Security Instrument. Unless Borrower and Lender
<br />agree to other terms of Payment, Ihesc amounts shall bear interest from
<br />the date of disbursement at the Note rate and shall he payable. with interest,
<br />requesting pyyment. upon notice from Lender to Borrower
<br />M
<br />
|