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<br />l%11 a 0k nt COVFN A N IS Borrower and L.ender covenant and agree as follows:
<br />1. Payment of I'rncipal and Interest; Prepayment and late Charges. Horrower shall promptly pay a -hen due
<br />the principal „f and interest on the debt evidenced by the Note and any prepayment and lave charges due under the Note.
<br />i. Funds for Taxes and Insurance. Subject to applicable law or to a writtc f,, cr by Lender, Borrower shall pay
<br />to Lender on the day monthly payments are due under the Note, until the Note is pair[
<br />one - twelfth of'. (a) yearly taxes and assessments which may attain priority over th+slSec Ill, Security "F nets (begy yearly
<br />ground leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) year)
<br />mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimate the Funds due on the
<br />i basis of current data and reasonable estimates of future escrow items.
<br />The funds shall he 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.
<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 shall not he 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. 'T'he Funds are pledged as additional security for the sums secured by
<br />this Security instrflment.
<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 pavments of Funds. if the
<br />amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Horrower 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
<br />any Funds held by Lender f under 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 scCIUSItion by Lender, anv 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 pavments received by Lender under
<br />paragraphs 1 and 2 shall he aPPlled: first, to amounts Paylbl.o tinder Paragraph 2; secc+nd, to interest
<br />due; and last, to principal due,
<br />4. Charges; Liens. Borrower shall pay all tares, assessments, charges, tines 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 manner. Borrower shall
<br />pay them on time directly to the person owed rayment. Borrower shall promptly
<br />receipts evidencing the pay furnish to Lender all notices of amounts
<br />to be paid under this paragraph if Borrower makes these payment,, directly, Borrower shall promptly furnish to [,ender
<br />payments
<br />Borrower shall promptly dlscharge any hen which has priority over r)ns Security instrument unless Borrower: (a)
<br />agrees m writing to the payment „ f the ohligatifin secured by the hen in a manner acreptahle to Lender; (b) rotttesls to Rmxx1
<br />faith the lien hy, or defends ag :ttnst enforcement of the lien in, legal procecding,s which 11, the Lender's opinion operate to
<br />prevent the enforcement Ol the hen or forfeiture of any part of the Property; or (c) secures from the holder of the hen an
<br />the Prope satisfactory to Lender suhordmating the hers to tills Sectirtty instrument if Lender determines that any part of
<br />the Property Is subject to a lien which may attain priority over tilts Security Instruniellt, Lender may give Borrower a
<br />notice idermfyfng the hen Borrower shall sarisf'v the lien or take one or more of, the actions set firth ahove w'athin 10 days
<br />of the giving of notice
<br />S. hazard Insurance. Borrower shall keep the improvements now existarlc; „r hereafter crec•ted on the Property
<br />insured against less by fire. hazards Included within the term "extended cuvcrapre" ,Inc! ,Ills „the, h:trarcts fi,r which bender
<br />requires Insurance ['his Insurance shall he ►naant<unc•d in the amolir+ts :roof for tflu pc•nf,ris tha! Lender requircK, i'he
<br />insurance carrier provuhr►g the insurance.- shall he chosen by Borrower subtcct te, l ender',. approval It( r shall not he
<br />unreasonably withheld.
<br />All insurance policies and renewals shall he acceptahle to Lender and shall lalclude :t standard mortgage clause.
<br />Lender shall have the right to hold the iwhcies and renewal% If Lender redulrts, Hourow'er shall promptly give to (.ender
<br />all receipts of paid prenuunn and renewal notices. In the event of loss, Borrower ,hail five prompt notice to the insurance
<br />carrier and lender. lender may make prooif of loss if not made promptly by Borrower
<br />holes% Lender and Borrower otherwise agree in writing, insurance proceeds shall he applied to restoration or repair
<br />of the Property damaged, if the restoration or repair is economically f'easihic and i.rnder's security is not lessened. If the
<br />restoration or repair is not econornicsaliv f'easihle or Lender's security wotild he lessened, the insurance proceeds shall be
<br />applied to the Burns secured by this Security Instrument, whether or not there due, with any excess paid to Borrower. If
<br />Borrower ahancfons the Property, or does not answer wuhin ?0 days a notice from lender that the insurance carrier has
<br />offend to settle a %(alien, then Lender may collect the Insurance pr'ex'ecds. l.e =ender Wray use the prr><eedc to rep :ur or restore
<br />the Property t+r to pay sums secured by ill's Security (nstrutrtent, whether or not then due. fhr. ?fl -day i,enr+c} will begin
<br />when the notice is given.
<br />Unless 1_cnder ,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 1 and ' or change the amount of-the payments If
<br />under paragraph ly the Property is acquired by Lender, Borrower's right to any insurance Policies and proctp resuis
<br />from damage to the Property poor to the acquisition shall pass to Lender to the extent of the suers secured by this Sccurify.
<br />Instrument irnntecfuately prim to the accluisuron
<br />b. Preservation and Maintenance of Property; Leaseholds. Borrower shall ne,t destroy. damage or substantially
<br />change the Property. allow the Proper'iv to deteriorate m rl,mnut „astc if, this Security InstituneIla is I >n a Ic,rschold,
<br />fee fide cr shall roenply with the rrl,cisic,ns elf tiie Icase•, and if Borrower ,lcytnres Ii•e fide to the Propt,fty, Ihr Icasrhold and
<br />lea titlft,.(roll not rirergc unless (.ender ;igrces to the irlcrRcr rn writing
<br />T. Protection of i.ender'% liikhts in the Property; Mortgage Insurance. If liorrokker f;tils it, h(.Ifortit the
<br />covenants and Ip!rcc°rnenf%Ctir1talrled nt this Security lnsiru►nent. or th; rc is,i Irf,,tl f,rnic'cding (hat n':Ik Siptnifirantly 11 fi t
<br />Lcncicm °s right,, m rite• 1'r,rperi,, Iv'rh Is ;a I,elhrcd'n) n' har'kruplev, i +r„Pratl. Inv rnndcnur,+tit'll Ili to
<br />regulaiu,ost, then Lender ntay do and pay fn, wh.itrfcr is fierrssan ru i,rote °rt the ealuc I,I th< 1,1
<br />cntinrc iakks „r
<br />in the [If "p ^tIg I ender',. a( Iimis rn;rk tilt hale rlkln ; ' i t rh :nut Lendct s tights
<br />Ittstrumenr, apirrarulg ill court, rylnt; rt, t f0 inv ,.unit Secured hk ;t lien ,khu'h has pololih I,.er tills Sccullfk
<br />I' I hl< ;rrenrncks Iecs ,
<br />L.cnder n+ak takc;Id fii+il trndi't tills f,,il;i� "f ,91 f1 �. I I'illtt`f c_fl,e'4 11, •P 1;19 \Idij111,tii,tl;�, 1,11 f11e' i S_ I CIt� tl, I81;Ikt ,f °11;11r �I1i81,18 i1
<br />Any ,1101 4(lilts dlshurse'd by I ode °r under tills p'lraptraph 01,111 her"nie addih „nai (1-i'l t01 He,lrt,tkt'r sr(mcd hk flu',
<br />Se€ °lentk' lribt rldfnr.'ilt I_ Ilit".b 111ert,kf.r ;111,1 1 :lglt'e t„ „fh <`1 lcirir, Ilt t,.lklr,cl,l, 01"%o, .Imokints `.11:111 he';li Illtelt'dl Irt,ill
<br />[tie e.l :+lc „t rfi f,,ir ^, €n,tni of till' %"!( r;ltt ,Ind Ji'di he• p,.ls o,l, . ilh nit(Ff -t ul,tj�t° ir„u, 1 rn;irl tr lit ,rrl,�er
<br />re`�t iSe$iF41 p0 la,l b9lip'tlt
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