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<br />86-- 142128
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<br />UNIFORM CO1ENA%TS Borrower and Lender coyenanl and agree as follows:
<br />I. Psyment of Principal and Interest; Prepayment and Late Charges. Borrower shalt promptly pay when duc
<br />the principal ofand interest on the debt evidenced by the Note and any late
<br />prepayment and charges due under the Note.
<br />2. Funds for Taxes snd Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly payments are due under the ?Vote, until the Note is paid in full, a sum (— Funds ") equal to
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<br />one - twelfth of: (a) yearly taxes and assessments which may attain priority over this Security instrument: (b) yearly
<br />leasehold payments or ground rents tin the Property, i!' soy: {c) yearly hazard insurance premiums; and (d) yearly
<br />mortgage insurance premiums, if any. These items are called .1-- ' items." Lender may estimate the Funds flue an the
<br />basis of current data and reasonable estimates of future escrow items.
<br />The Funds shall be 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 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 and applicable law permits i..ender 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 be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting the Funds
<br />of showing 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 security for the sums 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 items, shall exceed the 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 riot sufficient to pay the escrow items when due. Borrower shall pay io 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 Instrument. Lender shall promptly refund to Borrower
<br />any Funds held by Lender. if under 19 the Property
<br />paragraph is sold or acquired by Lender. Lender shall apply. no later
<br />than immediately prior to the sale of the Property its
<br />or acquisition by Lender, arty Funds held by Lender at the time of
<br />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 1 and 2 shall be applied: first, to late charges due under the Note: second. to prepayment charges due under the
<br />;Vote; third, to amounts payable under paragraph 2. fourth, interest due;
<br />to and last, to principal due.
<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 %hail pay these obligations in the manner provided in paragraph'_, or if not paid in that manner, Borrower shall
<br />pay them on time directly to
<br />the person owed payment. Borrower %ball promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directiy. Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has prinnry over this Security Instrument unless Borrower: (at
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal
<br />proccechrip which iri 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
<br />an
<br />agreement satisfactory to Lender subordinati,:g the lien to this Security Instrument. If Lender determines that any part of
<br />the Property is subject to a lien which may attain priority over this Security instrument, Lender may give Borrower a
<br />notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 da%s
<br />of the giving of notice.
<br />5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within
<br />"extended
<br />the term cot crags" and any other hazards for which Lender
<br />require% insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires The
<br />insurance carrier providing the insurance shall he chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<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 hold the policies and renewals If Lender
<br />require%, Borrower shall promptly give to 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 Lender. Lender may make proofof loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or rep:.rr
<br />of the Property damaged• if the restoration or repair is feasible
<br />economically 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 sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, or does
<br />riot answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may insurance
<br />collect the proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument, whether or riot then due. The 30
<br />-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree m writing, am application of proceeds to principal shall not extend or
<br />postpone the due date of the monthly
<br />payments referred to in paragraph% I and 2 or change the amount of the payments. 11
<br />under paragraph 19 the Property is acquired by Lender, Borrower'% right to any insurance
<br />policies and proceeds resuliing
<br />from damage to the Property prior to the acquisition shall pas% to Lender to the extent of the surn% secured h% this Secur uv
<br />Instrument Immediately prior to the acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds. Borrower %hall not destroy, damage or suhst:uu[ali%
<br />change the Property, allow the Property to deteriorate
<br />or commit waste. If this Security Instrument IS on a Icasehold.
<br />Borrower shalt comply with the provisions of the lease, and if Borrower acquires fee title to the Property, the leasehold
<br />and
<br />fee title shall nut merge unless Lender agrees to the merger in wrung.
<br />7. Protection of [sender's Rights in the Property; Mortgage insurance. If Borrower falls to pertirrm the
<br />covenants and agreements contained in thi% Security Instrument, or there is a legal
<br />proceeding that may slgnitirnuly of VCi
<br />Lender's rights in the Property (such as a proeeeduig in bankruptcy. prohate. for rondenmauon or to entolce laws
<br />or
<br />regulalron%1, :hen Lender may do arid pay for whatever is necessary to protec( [lie t:IIUC 01'01C PropCri1 And I e•Ildvr % [1411,
<br />tit the Property. Lender's actions may include 'secured
<br />paying any sums ht a hen which has l,r„rmv :ills �e.urity
<br />instrument, appearing in court. payurt, reasonable attorneys' fees and eniermg ini the Prt1pert, n, make ra•p:urs \Ithruich
<br />air,
<br />Lender may take acri< „t under this p rr igraph '. Lender dos-% not has c to d< sit )
<br />Inv a m"tJ I It %disbursed by I ender under this 7
<br />paragraph sht ilI htLoniC a,ldit ioriai oc [ )r I Io rr„wer ,,L ; V, I h, 11111
<br />Security In%trurm a Unle% Borrower and Lender agrra to,+ther
<br />as. ,
<br />[err:•,, „I t,a\ r.u•ut ihrsr dm u 1 ,l: ;e� t ,:., ;t� i •:,:,;
<br />the date of dtsf,orscnicru .n the Note rifle and shall Ix• "oh
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<br />paydhle .nrcir+t 1;[ 10!1 .••,r,,, r•rin I ,nuu It, i •,t L,
<br />requesting; payment
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