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10707'
<br />UNIFORM COHLNANTS Burrower and lender covenant smd agree .ts h,lhrN -,
<br />1. Payment of Principal and Interest; Prepayment and Late Charges. borr,)wer 01,:11 k hen !ur t!,c
<br />principal of and interest on the debt evidenced by the Nate and any prepayment and late t. harges due under the N ere
<br />2. Funds for Taxes and Insurance. Subject to applicable law or ru a written waiver by Lender, Burrrwer Shall l,,, n;
<br />Lender on the day monthly payments are due under the Note, until the Note is paid m full, A sum [ Funds equal
<br />one - twelfth of: (a) yearly taxes and assessments which may attain priority over this Security Instrument. di) yearly leasehold
<br />payrnems orground rents on the Property, if any; to yearly hazard insurance premiums, and rd) yearly mortgage rrtsurancc
<br />premiums, if any. These items are called "escrow items." lender may estimare the Funds duty tin the• basis of current data and
<br />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 Lender
<br />may nor charge for holding and applying the Funds, analyzing the account or verifying the escrow items, unless lender pays
<br />Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree in
<br />writing that interest shall be paid on the Funds. Unless an agreement is made or applicable law requires interest to be paid,
<br />Lender shall not he required to pay Borrower any interest or earnings on the Funds Lender shall give to Burrower, without
<br />charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each debit to the
<br />Funds was made. The Funds are pledged as additional security for the sums secured by this Security Instrument.
<br />If the amount of the Funds held by Lender, together with the future monthly payments of Funds payable prior to the
<br />due dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be, at
<br />Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly payments (if 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 any
<br />Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Lender shall apply, no later than
<br />immediately prior to the sale of the Properry or its acquisition by Lender, any Funds held by Lender at the t ime of application
<br />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 Nore: second, a, prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2. fourth, to interest due: and last, a, principal due.
<br />-t. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable m the
<br />Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Burrower
<br />shall pay these obligations in the manner provided in paragraph 3, or if riot paid in that manner. Burrower shall pay them on
<br />time directly tit the person owed payment. Borrower shall promptly furnish n> Lender all notices of amounts robe paid under
<br />this paragraph. if Borrower makes these payments directly. Borrower shall promptly furnish rte lender receipts evidencing
<br />the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Security instrument unless Borrower: 4a)
<br />agrees in writing to the payment of theobligation 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 part of the Property: or tU 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 the
<br />Property is subject to a lien which may attain priority over this Security Instrument, Lender may give Borrower a notice
<br />identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the
<br />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 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 />insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall nut be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause Lender
<br />shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts
<br />of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance carrier and
<br />Lender. tender 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 au restoration ur repair
<br />of the Property damaged, if the restoration or repair is economically feasible and Lenders security is not lessened. It the
<br />restoration or repair is not economically feasible or Lenders security would be lessened, the insurance proceeds shall he
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Burrower If
<br />Borrower abandons the Property, or does not answer within i0 days a notice trom Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceed: it) repair or restore the
<br />Property or topay sums secured by this Security Instrument, whether or not then due The ;0 -day period will begin when the
<br />txatice is given.
<br />Unless Lender and Burrower otherwise agree in writing, any application of prneeds to principal shall nut extend or
<br />postpone the due dace of the monthly payments referred to in paragraphs I and 2 or change the amount of the payments. It
<br />under paragraph 19 the Property is acquired by Lender. Borrower's right to any insurance policies and proceeds resuinng
<br />from damage to the Property prior to the acquisition shall pass xt Lender to the extent of the• sums secured by this Security
<br />Instrument immediately prior n) the acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds. Borrower shall not destroy, damage or substanuaily
<br />change the Property, allow the Property to deteriorate or commit waste. If chi., SeLurky 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 />fur title shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Burrower fails to perform the covenants
<br />and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly affect Lenders
<br />rights in the Property (such as a proceeding in bankruptcy, probate, fur condemnation (tr toenforce taws or regulations u, then
<br />Lender may do and pay for whatever is necessary to protect the value of the Property and Lenders rights in the Property.
<br />Lender's actions may include paying any sums secured by a lien which has priority ewer this Security Instrument, ippvaring :n
<br />court, paying reasonable attorneys' fees and entering on the Property nt make repairs Although Lender may take action
<br />under this paragraph 7. Lender dues not have to do so.
<br />Any amounts disbursed by lender under this paragraph 7 shall become additional dchr a Borri>wet secured by rhfs
<br />Security Instrument. Unless Borrower and Lender agree it) (titter terms tit 1%aymcrtt, these att),unts Alai( bear Interest !roll
<br />thedateof disbursement at the Note rare and shall he payable, with interest, ulwm mince tom; l Coder t„ But rawer rVqucstu>c
<br />payment
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