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�- 002087
<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 «•riling that interest be
<br />shall paid on the Funds. Unless an agreement is made or applicable law
<br />requires interest to be paid, Lender shall not be required
<br />to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds
<br />showing credits and debits to (fie Funds and the
<br />Purpose for which each dehit to the Funds was made. The Funds are pledged as additional security for the sums secured by
<br />i 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
<br />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
<br />on monthly payments of Funds. If the
<br />amount of the Funds held b' Lender is not sufficient to p ay the escrow items when due, Borrower shall
<br />amount necessary to Lender
<br />pay any
<br />to make tip the deficiency in one or more payments as required by Lender.
<br />Upon payment in full of all sums by
<br />secured this Security Instrument, Lender shall promptly refund to Borrower
<br />any Funds field 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 safe of the Property
<br />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 late charges due
<br />under the Note; second, to prepayment charges due under the
<br />Note; third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due.
<br />4. Charges;
<br />Liens. Borrower shall pay, all taxes, assessments, charges, fines and impositions attributable to the
<br />Property which may attain priority over this Security
<br />Instrument, and leasehold payments or ground rents, if any.
<br />Borrower shall pay these obligations in the manner provided in
<br />paragraph 2, or if not paid in that manner. Borrower shall
<br />pay them on time directly to the person owed pavment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this
<br />paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender
<br />receipts evidencing the pavments
<br />Borrower shelf 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
<br />by the lien in a manner acceptable to Lender; (b) contests in good
<br />Witt the lien by, or defends agalnst erlforcenlent of the lien in, legal
<br />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
<br />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 priority over this Security
<br />Instrument, Lender may give Borrower a
<br />notice identifying the lien. Horroi,.er shall satisfy the lien or take
<br />one or more of the actions set forth above within 10 days
<br />of the giving of notice.
<br />S. Hazard insurance. E3orrot.er shall keep file irnprovernents now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards lilcillded wltliln the tern; "extended
<br />coverage" and any other hazards for which Lender
<br />requires insurance. This Insurance ;flail he rnalntainrd in the amounts and for the
<br />periods that Lender requires. The
<br />insurance carrier providing the insurance shall he chosen by Borrower s0hic,t t Lender 's approval which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall he acceptable to bender and shall include a standard mortgage clause.
<br />j Lender shall have the right to hold the
<br />policies arid renewais If Lender requires. Borrower shall promptly give to Lender
<br />all receipts of paid premiums and renewal nooses- In [fie event of loss, Borrower stall
<br />gl•e prompt notice to the insurance
<br />carrier and Lender. Lender may rnal,e proof Of loss if not made promptly by Borrower
<br />Unless Lender and Borrower otherwise in
<br />agree writing, insurance proceeds ;hall he ap died to restoration
<br />of the Property damaged, if the restoration or repair is econornicaliy feasible f
<br />and Lender's security is not lessenedr If the
<br />restoration or repair is not economically feasible or Lender's security would he lessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security"
<br />Instrument, whether or not then due, wilt' arty excess paid to Borrower. If
<br />Borrower abandons the Property, or does not answer within ?U days
<br />a notice front 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 or restore
<br />the Property or to Burns
<br />pay secured by this Security Instrurrlent, whether or not then dose. T ?le ?0 -day period will begin
<br />when the notice is given.
<br />Unless Lender and HOrrQwer otherwise agree in t. riling, any application of proceeds to principal shall riot extend or
<br />postpone the due date of the monthly payments referred to in
<br />paragraphs } and 2 or change the amount of the payments. If
<br />under paragraph 19 the Property is acquired by Lender, Borrower's ht
<br />r1 to any insurance policies and proceeds resulting
<br />from damage to the Property prior to the acquisition shall pass to (.ender to the extent (.f the sun's secured by
<br />f Instrument immediately
<br />prior to (fie acquisition. this Security
<br />6. Preservation and Maintenance of Property, Leaseholds. forrowei shill} not destroy, damage or substantially
<br />change the Property, allow the Property
<br />to deteriorate Or l'0rI1r1111 waste. If t11S Cet'U9It. lnstritlten{ IS OI1 8 IeasehOld
<br />Borrower shelf eornply with the provisions of the lease, and if Horroi.er
<br />acquires fee title to the Properis', the leasehold and
<br />fee title shall not merge unless Lender agrees to (fie merger ill writing.
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. if iiorlowel falls to perform flit!
<br />covenants and agreements contained in this Security Instrument,
<br />or there is a legal proceedilig that mild' sit nilicantly affect
<br />Lender's rights in the Property (such as a proceeding in hankruptcy, probate, for rond(tnlnlriO9l or in
<br />regula(ions), then Lender iatys
<br />enforce Or
<br />may do and pay for whatever is necessary to protect the y;llue (rf file 1'r(lper t% anc.I l rn(ler's lights
<br />in the Pr(perty. Lender's actions may include
<br />paying any SLIMS secured by a Ilea tv}Iicil fla °t pr9cpritt (ter this Cecllrstt'
<br />Instrument, appearing In court, paying reasonable at lot ' fie' ' fees slid t.'ntering (111 [lie Piopeltt' to Illake lepillis Although
<br />Lender (nay take aefloll tinder this
<br />paragraph 7, i.e ncler floes tl()t ha•'e lO do co
<br />Any amounts disbursed by 1.en(ler under this 7
<br />paragraph sha11 hecnnle additional (febt 11f HofTm% vi sect led by this
<br />Security instrument. Unless Borrower and I.elidel agree to tither felrus
<br />ofpay Inerlf. the;(' ;1111(1 hits shall fetal 111(ct'e'sf floill
<br />the date Of dPhursenlenl at file Note rats: and shall he payat)le. N;t11 111le'lust,
<br />requesting paayrnent. LIp(111 nt ll t f11N11 I C)itlF'r t(1 ltl)(r')t.er
<br />If Letlder required rnortgag( insur'anc'e as a co►rcfitioll of nlakrng flit: load secured he this 4(tcrulliv instrument,
<br />Borrower shall pay the prermunis required to rnlintaill the insolence ill
<br />effect until such title as [lie T(aqunenieut for the
<br />insurance lerrninate.s in accOr(lance will, Homo%%(•i's;111(11 ell (itr's t% Ill tell
<br />agreement or appli(:ahle late
<br />A. Inspection. L.en(Ier or its agent may slake ivas(1irlhle
<br />tlitriets upon :gild lw pvcholls of the Ptopelty I enie�l
<br />shall jive Borrower notice at the time (lf ni prior to an uis pec•tioll s
<br />I ( (cr,tfti irt�; t( ls(onahle' (:iluse fit tile- Insp(•ctioul
<br />9. Condeninatilln. Ifir
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<br />proceeds 0 a111 awal(.I (1r cl�mll too d�lli) ;1 't, ti, dll('l'f �1r ('('llSt''llflaf,
<br />any C'Ondenillatl( -111 ()r flther t;lklllg (1f slny i alt ()f fit(' I't(1p('It). Ill f(.)1
<br />,lllf•la
<br />it
<br />c`()il,et'ani(' Ill � (1f1 (111(ltllln:l(!('IIII,)t , l ire`
<br />assigned and shall he pai(1 to L( ^ude4r "tt, tl
<br />In the event of
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