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85- 0Q1255
<br />UNIFORM COVENANTS, Borrower and Lender covenant and agree as follows:
<br />I. Payment of Principal and interest; Prepayment and Iate 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 />2, Funds for Taxes and 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 Note, until the Note is paid in full, a sum ("Funds ") equal to
<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 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 current data and reasonable estimates of future escrow items.
<br />The Funds shall be field in an institution the deposits or accounts of which are insured or guaranteed by it 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 he paid on the Funds. Unless an agreement is made or applicable law
<br />requires interest to he paid, Lender %hall 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 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 to Lender ant'
<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,'
<br />ums secured by this Security Instrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If tinder 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, clip Funds held by Lender at tic time of
<br />application as a credit against the sums secured by this Security Instrument.
<br />3. Application of Payments. unless applicable law provides othenvise, all payments received by Lender under
<br />paragraphs I and 2 shall he applied: first, to late charges due under the Note: second, to prepayment charge% due under the
<br />Note; third, to amounts payable under paragraph 2; 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 rents, if any.
<br />Borrower shall pay these obligations in the manner provided in paragraph 2, or If not paid in that mariner, 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. B
<br />receipts evidencing the payments. urrower shall promptly furnish to Lender
<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 mariner acceptable to Lender; lb) 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 (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 I% subject to a lien which may attain priority over this Security Instrument. lender may gi%e Borrower a
<br />notice rdcmifying the lien. Borrower %hall satisfy the lien or take one or more of the actions set forth above 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 anv other hazards for which Lender
<br />require% insurance. this insurance shall he maintained in the amounts and for the period,, that Lender requires. The
<br />insurance earner providing the insurance shall he cho%en by Borrower %object to Lender's appro%al which shall not he
<br />unreasonably withheld.
<br />All insurance policies and renewals %hail he acceptable to Lender and %hall Include it 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 Ions, Borrower shall give prompt notice to the insurance
<br />carrier and Lender. Lender may make pro of of loss If not made promptly by Borrower.
<br />Unless Lender and Borrower otherwiu 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 and Lender's security is not lessened. If tl.;
<br />restoration or repair is not economically feasible or Lender's secant. would he lessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not tile,, clue, with auy excess paid w Burrower. if
<br />Borrower abandons the Property, or does not answer within 30 day% a notice from Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance proc•eed%. Lender may use the proceed% to repair or restore
<br />the Property or to pay sums secured by this Security In%irument, whether or not then duc. the 30-day period %yell begin
<br />when the notice Is given.
<br />Unless Lender and Borrower otherwise agree In writ Ing, any application ol'proceeds to principal shall not extend or
<br />pontpc,rte the due date of the monthly payments referred to In paragraphs I and ' ur change f he :unount of the payment% 11'
<br />under paragraph 19 the Property i% acquired by Lender, Borrower's right to arty insurance policies and proceed% resultmlg
<br />from ohmage to the Property prior to the acquisition shall pass to Lender to the extent of file sun, secured hg this Security
<br />instrument immediately prior to the acquisition.
<br />b. Preservation and Maintenance of Property; Leaseholds, liorrowcr shall rwi destroy, d;moage or suhstannalk
<br />change the Property. allow file Property In deteriorate or c„rtuntt waste If tilts sec iuit% Instrument
<br />Borrower shall comply with the provnlo11%of the lease, and If Borrower acquires fee title to the Pr„I +city, the leasehold and
<br />fee I'll— hall not merge unless Lender agrecs to the merger Ire w hung
<br />?, P1`011"thrn of Lender's flights in the Property; Mortgage Insurance, if fi+rins�r Gels t,+ peflolill 111c
<br />covenant %anti agreement %cr,ntained in this Sec'mrfty In%irtnnew. nr Ihere Is a legal proceeding 111;11 rnae sap nilir.tnth aflc'et
<br />Leader'% Ogirt% in the Property (such as n proceeding in bankruptcy. pmhatc. h,r rondernrt.ata� +m or to entorrr hoes or
<br />regatiatto,rlaf, tfen I,endet rtyay do and pay for whatever I%neces%ary ro protect the %aloe o f f lia• t'roper1% and I , Itdcr s Itghns
<br />in tire Property. Lander'% actu,n% may Include paying ,Itly stuns sr,urad h% a lain which Itas t,rn„rus „cr tilt. Scn'01,
<br />In %trtraent, appearing m a,'a,ur1, paving reasonable attorney %' t e %;Ind t:n:c•tItig Wan the Pro; a•rl, fs'iaa,lkc ny *ans 1ith�vtvh
<br />Lender may take ac tam under this ,t ,r rxa ,i
<br />p i i Linde r does na,t hae e Io d„ sty
<br />1ny atno+unts dishurar.all h} I cud�rr under this paray!raI'll 7 Shrill hrro,rnr ;l,idnhunal .h i I ,
<br />Secursfy Inatrura,rnt t `mtea% Ilorrnwe r tend i crttle•r ayrco• tr, other ternl%nf pwvnew, h, se .ant ur !. �'ra�i },,•an inlerrSt Invn
<br />thr (late If strap ,,r %eaalcnl .d flit, 'Volt raft .+1141 shell t,c I +asabtr. ,eirh iota acs ,
<br />tek4 €wMarrg pa4rmrllt n.rti • h l,r.lri h� II ,it „e rt .
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