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<br />UNIFORM COVENANTS Borrower and Lender covenant and agree as follows:
<br />t. PSYMNst of Principal sad Interest Prepayment and late Charges. Borrower shall promptly pay when due
<br />the principal of and interest on the debt evidenced by the Note and any prepayment and late charges due under the Note.
<br />Z. Feuds for Trio Ind Inwniteo. 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 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 Instrument; (b) yearly
<br />leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly
<br />mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimate the Funds due on the
<br />basis of eurrerit data and reasonable estimates of future escrow items.
<br />The Funds "I beheld 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 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 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 of the Funds 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 Borrowers 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 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 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 or its acquisition by Lender, any 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 (ate 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: last,
<br />and 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 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 to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower 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 aver this Security Instrument unless Borrower: (a)
<br />agrees in writing to the payment ofthe obligation secured by the lien in a manner acceptable to Lender; (h) contests in good
<br />faith the lien by, or defends against enforcement of the hen in. legal proceedings which to 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
<br />satisfactory to Lender subordinating the lien to this Security Instrument if Lender determines that any part of
<br />the Property is subject to a lien whici; may attain Securny
<br />pnonty over this insirurnem. L.cnder may give Borrower a
<br />notice identifying the lien. Borrower shall satisfy the hen or take one or more of the actions set forth above within 10 days
<br />of the giving of notice.
<br />:y
<br />S. Harald Insurance. Harrower shall keep the Improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards included within the tern "extended coseragc` and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained to the amounts and for the periods that Lender requires. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to L.ender'% approval which shall not he
<br />unreasonably withheld.
<br />All insurance
<br />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 requires, Borrower shall promptly give to Lender
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<br />all receipts of paid premiums and renewal notices. In the event cif loss, Borrower shall give prompt notice to the Insurance
<br />carrier and Lender. Lender may make proof of loss if not made promptly b% Borrower
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall he applied to restoration or repair
<br />of the Property damaged, if the restoration or repair is economically feasible Lenders
<br />and xecurit% 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 not answer within 30 days a notice from Lender that the insurance earner 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 sums 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 of proceeds to principal shall not extend or
<br />postpone the due date of the monthly payments referred to in paragraphs I and 2 or change the amount of the payments [f
<br />under paragraph lq the Property is acquired by Lender. Borrower's right to
<br />any insurance pohctes and pr cceds resulting
<br />from damage to the Property prior to the acquisition shall pass !e Lender to the -ter" of the sums secured hs this Securers
<br />Instrument immediately prior to the acquisn ton
<br />6. Preservation and Maintenance of Proper; Leaseholds. Borrower shall not destroy, damage or substantially
<br />change the Propem, allow the Properiv to deteriorate or commit waste if this Securm instrument is on a leasehold,
<br />Borrower shall comply with the provision's of the lease, and if Borrower acquires fee
<br />title !n the Property, the leasehold and
<br />fee title shalt not merge unless [.ender agrees to the merger in writing !
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. It Borrower fails to pertorm the
<br />covenants and agreements contained in this Security Instrument. or there t. a legal pnseedtng that ma% stgn!ficanth titfct t
<br />Lender's rights in the Property (such as a bankruptcy,
<br />proceedmg in prohate, till condemnation naon or Io entiorce laws or
<br />regulations), then Lender may doand pay for whateseris necessary to protect the salue of the Propert� and Lender's right,
<br />in the Property Lender's actions may include paying any sums secured by a lien which has priority —er this Secunts
<br />Instrument, appearing in court, paymg reasonable attorneys' fees
<br />and entering nn the Property to make repair% Although
<br />Lender may take action under this paragraph ', Lender does not has a to do ur
<br />Any amountsdisburse.l by Lender under this paragraph 7 shall hecome additimal ileh! ,d Borrower ,"ured by this i
<br />Security Instrument f niess Borrower and Lender agree to
<br />tither terms of payment !hrsr amounts ,hail hour u!ieirst trnrn
<br />the date of disbursement at the N;otc rate ar:d shall he pa}ahlr.. with inures; ,q—rl nnricc train I ender !; It+rrnwcr
<br />requesting paymei?t
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