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86-- 102101
<br />UNIFORM CO% FN AN IS Borrower and Linder cm crianI and agree as fol!rnv s
<br />1. Payment of Principal and interest; Prepayment and late Charges. Borrower .hall promptly hay w lien (file
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and late charges due under the Noic.
<br />2. Funds for Taxes and Insurance. Subject to applicable taw or to a written %%arver be Lcnder, Borrow tar ~hall pay
<br />to Lcnder on the day monthly payments are due under the Note, until the Note is paid in full. it Null' ("Fund; '! equal to
<br />onc•twelftlt of: (a) yearly taxes and assessments which nta% attain 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) yearh
<br />mortgage insurance premiums, if any. These items are called "escrow ilerns." Lender may estimate file Funds clue on the
<br />basis of current data and reasonable estimates of future escrow items.
<br />The Funds shall he 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 riot 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 that interest shall be paid on the Funds unless an agreement is made or applicable law
<br />requires interest to he paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lcndcr
<br />shall give to Borrower. without charge, an annual accounting of the Funds showing credits and debits to the Fund, and t ite
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the stuns secured by
<br />this Security instrument.
<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 uerns, shall exceed the amount required to pay the escrow items when clue, 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 suficient 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 alt sums secured by this Security Instrument, Lender shall prompthr 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 tiller
<br />than immediately prior to the sale of the Property or its acquisition by Lcndcr, any Funds held by Lender at the rime of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of Payments. finless applicable taw provides othenvi%e, all payments received by Lender under
<br />paragraphs 1 and 2 shall be applied: first, to late charges due under the Note: second, to prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2: fourth, to interest due: and last, to principal clue.
<br />4. Charges; Liens. Borrower shall pay all taxes, assessments, 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 />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 time directly to the person owed payment. Borrower shall promptly furnish u, lender all nonce. of amounts
<br />to he paid under this paragraph. If Borrower makes these payments dircctiy, Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has prority Over this Securuy Instrument unless Borrower: (it)
<br />agrees in writing to the payment of the obligation secured by the hen in it manner acceptable to Lender. (h) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which tit the Lender's opinion operate to
<br />prevent the enforcement of the lien or forfeiture of any part of the Property: or (c) secures from the holder of the lien an
<br />agreement satisfactory to lender subordinating the lien to this Security Instrument. If Lcnder determines that any part of
<br />the Property I% subject to a lien which ilia%' attain priority over this Security Instrument. Lender slay give Borrower it
<br />notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set firth above within 10 day's
<br />of the giving of notice.
<br />5. Hazard Insurance. Burrower shall keep the trnpiovements notN cxisnng or hereafter errciccl on the Property
<br />insured against loss by fire, hazards included within the term "extended cover;mgc" and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the amount, and for the pcitods that Lender requires. 1-he
<br />insurance carrier providing the insurance shall he chosen by liorruwer scib)ect to lender's approval which shall not he
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include it standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. II [ender requires, Borrower shall promptly give to Lcndcr
<br />all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice is, the insurance
<br />carrier and Lender. Lender may make proof of toss Knot made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree tit writing, insurance proceeds shall be applied to restoration 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 security would be lessened, the insurance proceeds shall be
<br />applied to the sutra secured by this Security Instrument, whether or not then due, with any excess paid to Borrower if
<br />Borrower abandons the Property. or dotes not answer within 30 days a notice front Lender that the insurance carrier has
<br />offered to settle a claim. then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay suns secured by this Security Instrument. whether or not then due The 30 -day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in writing, any application ofproceeds to principal shall not extend Or
<br />pcisipone the due dale of the rnonlhly payments referred to in paragraphs i and '_ or change the amount of the payments. If
<br />under paragraph 19 the Properly is acquired by Lender. Borrower's right to any nsurancc policies and proceeds resulting
<br />from damage to the Property prior to the acquisition %hall pass to Lender to the extent of the .ants se:urcd by tilts Secure%
<br />Instrument immediately prior to the acquisition
<br />6. Preservation and ~Maintenance of Property; Leaseholds. L'orrovver shall not clestn,v. dant:,ec.,r suhst.uuially
<br />change tine Property, allow the Property to deteriorate or commit waste. if this Se•cunfy 111411 uturnt t. On ;t lr;schnid.
<br />Borrower shall comply with the prostsunts of the lease, and if Borrower acquires fee title Io the Proocrr, . the leasehold and
<br />fee title shall nut merge ,.tile%% Lcndcr agrees to tits merger n, writing
<br />7. Protection of Lender's Rights in the Properly; Mortgage Insurance. It H, rn•v.r !a:?. r. ;•orforrn !h<r
<br />a »ergots and agrecmentc cant :tined in this Security ln,tnnnrnt, or ti;rn
<br />IS a leaaf hro,:ccdnnc tliat iiev il;nriieantly .,rl.rt
<br />Lender'-. rights ern the Property (such as it pioreLding in hankruptry. t,rohatc, tot condenui.cTt :•n rr t" rot ,rrc iaws or
<br />rep ulrttmow.). then Lender may do and pay for whatcvct is nceess;tn rO protrct the value ;,f I he Prohrru ,r:,1 t rn t r\ riltht
<br />in the Property Lendcr's:nllons eras, Include paying Ault sutra,, secured by .t lien vsiu:h h", ,, . ,r, t ns 1�cru111.
<br />Insoumnent, npp+carntg m e:,. url, paying rrasortabic attorneys' fees and entetmt on Ili, 1't q, it', m tk, rc (aurs although
<br />I ruder Wray take action under this p sr ag raph 7. Lcndcr does not have to t s ,.
<br />Any Lvn Jei under tins p tr tf rapit h.fl ba , nlc iddllt, ai;," dill !Ito ( ,c i .. ,r ,l h% Ill!,
<br />1cc,artiy lnstruntrtti. Unless Itu[rowc•r amt I oriole .tWiwi. to uthii Jeer!,. t - :nn,rr. ih;.r.inw iirl, Ill ill I'% -IT rtrr.•si I—Ill
<br />tilt d.atr tit iihhatrun;rnl et !h:' \�rtr ..,n. I'd ,,l!.,II 6t• l,_n :,t.,. a�th i :!,�r.� :( „n n, �;,., ti.•rn 1 r'�,1,� !� It !�•"vn
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