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UNIFORM Cc)vG?sAV1S- Borrower and Lender covenant and agree as follows:
<br />88- -1052'75
<br />1. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shall promptly pae %b en 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 />2. Funds for Taxes and Insurance. Subiect it, applicable law or to a written waiver by lender. Bnrrow"er shall pay
<br />to Lender on the day' monthly payments are due under the Note. until the Note is paid in full: a sum ( "Fund -') equal to
<br />one- twelfth of: (a) yearly taxes and assessments which may attain priority over this Security Instrument: (b) nearly
<br />leasehold payments or ground rents on the Property. if any; (c) yearly hazard insurance premiums: and (d) % °early
<br />mortgage insurance 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 escrow items.
<br />The Funds shall be held in an institution the deposits or accounts of which ate insured or guaranteed by a federal or
<br />state agency (including Lender if Gender is such an institution).
<br />-ender shall apply the Funds to pay the escrow items
<br />may not charge for holding and applying the Funds, analyzing the account or verifying the escrow items. unless
<br />tender pays Borrower interest on the Funds and applicable lava 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 rarnrngs on rite 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 Sistine 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 pan 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 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 Bornower
<br />any Funds held by Lender. If under paragraph 14 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, ary 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 provide` otherwise. all payments received by Lender under
<br />paragraphs 1 and 2 shall he applied: first, to late charges due under the Note: second, to prepayment charges due under the
<br />Note third, to amounts payable under paragraph': fourth, to interest due: 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 ruts if aryl
<br />Borrower shall pay these obligations in the manner provided in paragraph.', or if not paid in that manner.
<br />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 over this Security Instrument unless Borrower: (a)
<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 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) secures from the holder of the hen an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that any part,
<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 abo-.e a tthrn tCi days
<br />of the giving of notice.
<br />S. Hazard Insurance. Borrower shall keep the improv ements now existing or hereafter erected ort the Property
<br />insured against hiss by fire. hazards included within the term "extended coverage' and any other hazards for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender requires- The
<br />insur< e. carrier providing the insurance shall be chosen by Botrowrr subject to Lenders approval which shall not be "
<br />unreasonably withheld,
<br />All insurance polvnes 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
<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 proof of loss if not made promptly by Borrower.
<br />Unless lender and Borrower otherwise agree in 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 sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. Lf
<br />Borrower 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 proceeds. Lender may use the proceeds to repair o<restore
<br />the Property or to pay sums secured by this Security Instrument_ whether or not then due. The =o-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree m writing. any appication of-proceeds to principal shall not extend
<br />or
<br />postpone the due date of the monthly payments referred to to paragraphs 1 and' or change the amount of the paymertts" If
<br />under paragraph 1 U the Property is acquired by Lender, Borrvwer's right to any insurance policies and proceeds resulting
<br />from damage ut the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security
<br />Instrument immediately prior to the acquisition.
<br />6. Preservation and Maintenance of Property: Leaseholds_ Borrower hall not devtroN damage - uh tamial1%
<br />change the Property. allow the Property to deteriorate or commit waste- If this Se,:unty Instrument is .-tt a leasehold.
<br />Borrower shall comply with the provisions of the tease, and if Borrower aiqutres fee title t o the Properly. the leasehold and
<br />fee tole shall not merge unless Lender agrees to the merger to writing,
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrower fails to perfc+rm the
<br />covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly at'fect
<br />Lender's rights in the Property (such as a proceeding in bankruptcy. probate. for condemnation or to enforce laws or
<br />regulations), then Lender may do sod pay for whatever is necessary it, protect the value of the Propene and Lender', rights
<br />to the Property Lender's actions may include paying any sums secured by a lien which has prionty over this Security
<br />Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to make repairs. Although
<br />Lender may take action under this paragraph 7. Lender does not have to do '..o,
<br />Any aotounls disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by than
<br />seeurlty lustrument Unless Borrower and Lender agree to other terms of payment, these amounts shall bear tntcre t tr,lin
<br />the date of dtsbur,e -merit at the Note rate and shall he payahlc, with inters t. upon nonce from Ltntta,, too tirToAw
<br />requc,ting payment
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