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UNIFORM COVENANIS Borrowerand Lender covenant and agree as follows 86--- 108358
<br />L Payment of Principal and Interest; Prepayment and late Charges. Borrower shalt promptly puy w1 >.rn duc
<br />the principal of and interest on the debt evidenced by the Note and any late due Vote
<br />prepayment and charges under t he
<br />2. Funds for Taxes and Insurance. Subject to applicable law- or to a written warner by Lender. Borrower ,hall pay
<br />to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a ,urn ("Funds ") equal to
<br />r
<br />one- twelfth of: (a) yearly taxes and assessments which may attain ptriority over Chas Security Instrument. (h) searh
<br />1 leasehold payments or ground rents on the Property, if any; (c) yearl} hazard insurance prcnnums, and (d) ycart}
<br />mortgage insurance premiums. ifany. These items are Balled •'escrow items " Lender may estimate the Funds clue tin 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 shat( apply the Funds to pay the escrow items
<br />Ler?der may not charge for holding and the Funds,
<br />-,pplving analyzing the account or verifying tire 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 shalt 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 Lender
<br />shall give to Borrower• without charge, an annual accounting the Funds
<br />of show ing credits arid deb:ts 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 ,Iems when due, the excess shall be.
<br />at Borrower's option, either promptly repaid teo Borrower or credited to Borrower (in 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 Linder any
<br />amount necessary it) make up the deficiency in one or more payments as required by Lender.
<br />Upon payment in full Of all cams secured by this Secunty Instrument. Lender shall promptly refund to Borrower
<br />anv Funds held by Lender. If under Paragraph 19 the Property is wild or acquired by Lender. Lender shall apply, no later
<br />than immediately pnor 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 provide+ otherwise, all payments received by Lender under
<br />paragraphs I and 2 shall he apphed. 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, xo 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 pnonty over this Security Instrument, and leasehold payments or ground rent;• if any
<br />Borrower shall pay these obligations in the manner provided in paragraph Z. -�r if not paid in that manner. Borrower shall
<br />pay them on time directly to the person owedpayment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower makes these payments directh, Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrower
<br />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 hen in, legal which lender's
<br />proceedings in the 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 lien an
<br />agreement 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 which may attain pnonty over this Security Instrument. Lender may give Borrower a
<br />Mice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set foil h atxove within 10 days
<br />of the giving of notice.
<br />S. Hazard Insurance. 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 for which Lender
<br />requires insurance. This insurance shall be maintained in the amounts and for the periods that Lender reanres. The
<br />insurance
<br />carrier providing the insurance shall he chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withhtld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause
<br />Lender
<br />a`
<br />shall have the right to hold the policies and renewals. If Lender requires. Burrower 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 lass 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 securit% 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 she 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 sums secured by this Security Instrument, whether or not then due. I he 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 payment. If
<br />under paragraph IQ the Property is acquired by Lender. Borrower's right to any insurance policies and proceeds resuiting
<br />from damage to the Property pnor to the acquisition shalt pass to Lender to the extent of the sums secured by this Serum%
<br />Instrument immediately prior to the acquisition.
<br />f Preservation aril Maintenance of Property; Leaseholds, Borrower shalt not desk toy, damage or suMtantisily
<br />change the Property, allow the Property to deteriorate Or commit waste. If this Securty Instrument is (on a leasehold.
<br />Borrower shall comply with the provisions of the lease, and if Borrower acquires fee Title to the Property, the leasehold and
<br />fee title shall not merge unless Lender agrees to the merger in writing
<br />a T. Protection of Leader's Rigjits 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 proceeding that may signu`icantly� affect
<br />Lender's rights in the Property (such as a procseding in hanktupicy, probate, for condernnanon or io enforce laws or
<br />regulations). then Lender may do and pay for whatever is necessary to protect the value of the Property and Lenders rights
<br />in the Property. Lender's actions may include paying any sums secured by a lien which has pnonty over this Secuni%
<br />Instrument, appearing in court, paying reasonable attorneys' fees and entering the Property
<br />on to make repair~ Although
<br />Lender may take action under this paragraph 7. Lender does not have too do so.
<br />Any amounts disbursed by Lender under this paragraph ? shall become additional debt ,of' K,rr we i sen:re d t . ;ht,
<br />Security Instrument. L nless Borrower and Lender agree to other te:rinc of payment, these wnwurtts.hail ri ar (mere t tram
<br />the date of disbursement at the Note rate and shall be payable. with Interest upon n otice fioyn t cndcr i,, Ro[T.1wcr
<br />requesting payment
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