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<br />55- 003448
<br />Lender pays Borrower interest on the f=unds and applicable law permits Lender to make such a charge. Borrower and
<br />Lender may agree in writing that interest be
<br />shall paid on the Funds. Unless an agreement is made or applicable law
<br />requires interest tc be paid. Lender shall not be required to pay Borrower any interest
<br />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 />j purpose for which each debit to the Funds was The
<br />made. 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
<br />amount required to pay the escrow items when due, the excess shall be,
<br />at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly payttxnts of Funds. lithe
<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
<br />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,
<br />Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Lender shall ably, no fitter
<br />immediately
<br />than prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the titter of
<br />application as a credit against the
<br />sums secured by this Security Instrument.
<br />3. Application of Payments. Unless applicable law provides otherwise all by
<br />c
<br />payments received Lender under
<br />paragraphs 1 and 2 shall be applied: tint, to late charges due under the Note; second,
<br />to prepayment charges date under the
<br />Note; third, to amounts payable under paragraph 2; fourth, to interest due; and last, , t 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 Security
<br />this Instrument, and leasehold payments or ground rents, if any.
<br />Borrower shall pay these obligations 'm the manner provided in paragraph 2, or if not paid in that manner. Borrower
<br />shall
<br />pay them on time directiv to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts
<br />to be paid under this paragraph. If Borrower
<br />makes these payments directly. Borrower shall promptly furnish to Lender
<br />receipts evidencing the payments.
<br />Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a)
<br />agrees in venting to the payment of the
<br />obligation secured by the lien in a manner acceptable to Lender: f b) contests in good
<br />faith the lien by, or defends against -enforcement of ;he lien in, legal proceedings which in the Lender's opinion
<br />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
<br />an
<br />agreement satisfactory to Lender subordinating the lien to this Security Instrument. If Lender determines that anv aart of
<br />the Property is subject to a lien which may
<br />attain priority over this Security Instrument. Lender may give Borrower a
<br />notice Identifying the Bert. Borrower shall satisfy the lien or take one or more of the forth
<br />actions set above within 10 days
<br />of the 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 . overage"
<br />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
<br />carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably withheld.
<br />All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
<br />Lender shall have the right to hold the policies and renewals. if Lender requires, Borrower
<br />shall promptly give to Lender
<br />all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall gne prompt notice to the insurance,
<br />carrier and Lender Lender may make proof of loss if not made promptly by Borrower.
<br />L Lender
<br />riles and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged. a the
<br />r estorahon or repair is economically feasible and Lender's : ecurtr} s not 'essened. If the
<br />restoratnn or : epai is Tor economically feasible or Lender's secunty would be insened.
<br />the insurance proeeeds shall be
<br />applied to the rums ce red by this Securit) Instrument, whether or not :hen due, with any excess paid to Borrower. If
<br />Sorrowe ado inns h ?ripen},
<br />_
<br />or does not answer within 30 dais a notice from Lender !'ha: the insurance earner has
<br />offered to et e : ; n,. then Lender may collect the insurance proceeds. Lender mac use
<br />the proceeds to repair or restore
<br />the Prop ,-771% r ;: par sum sec ;:red ny this 5ecunty Instrument, whether or not then due. Tate 30 -day period will becir.
<br />when the
<br />not 4,. is teen _
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or
<br />postpone the 1ue hate of the monthly payments referred in
<br />All
<br />to paragraphs I and 2 or change the amount of the payments. if
<br />under parse ph ; c ttte Property is acquired by Lender, Borrower's right *,o
<br />anN insurance policies and proceeds resulting
<br />from damage to the P .}perry prior to the acquisition shall pass to Lender to the extent of the sums secured (,t this Security,
<br />Instrument immediately prior to the acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds- Borrower shall not destroy, damage or substantially
<br />change the Prnpeny. allow the Property to deteriorate
<br />or commit waste. If this Security Instrument is on a leasehold.
<br />Borrower shall :ompl% with the provisions of the lease, and if Borrower acquires fee title to the Property.
<br />the leasehold and
<br />fee title shall not merge uniess Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights in the Property; Mortgage Insurance. - If Borrower fails to perform :he
<br />covenants and agreements contained In this Security Instrument, or there is a legal proceeding that
<br />may significantly afTect
<br />Lender's rights in the Property (such as a proceeding In bankruptcy, probate, for condemnation or ro enforce laws or
<br />regulations), then Lender do
<br />may and pay for whatever is necessary to protect the value of the Pr opera and Lender', r:.ht-
<br />in the Property. Lender's actions may include
<br />paying any sums secured by a lien which has priorin oyer this Securrt•.
<br />Instrument, appearng in court, paving reasonable attorneys' fees and entering on the Property to make
<br />repairs. - klthc.ue : ^.
<br />Lender may take action under this paragraph 7. Lender does not have to do so
<br />Any amounts dishursed by Lender under this paragraph' shall become addutonai deht of Borrower secured by r} is
<br />Security Instrument. Unless Borrower and Lender agree to
<br />other terms of payment, these amounts shall hear interest from
<br />the date of disbursement at the Note rate and shall he payable, with
<br />interest, upon notice from Lender to Borrowe-
<br />requesting payment.
<br />If Lender required mortgage insurance as a condition of making the Loan secured by this Security Instrument.
<br />Borrower shall pay the premiums required to maintain insurance
<br />the in effect until such it e as the requirement for the
<br />insurance
<br />terminates in accordance with Borrower's and Lender's written agreement or applicable law.
<br />S. inspection. Lender or its agent may make reasonable entries upon and inspections
<br />L
<br />of the Property. Lender
<br />shall give Borrower notice at the time of or prior to an inspection specifying reasonable cause for the inspection.
<br />9. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection with
<br />any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereh%
<br />t\
<br />assigned and shall be paid to Lender.
<br />I n the event of a total taking of the Property, the proceeds ;hall be applied to the sums secured by this Secunty
<br />Instrument. whether or nor then due, with
<br />Lh
<br />'
<br />anv excess paid to Borrower. in the event of a partial taking of the Property.
<br />unless Borrower and Lender otherwise agree in writing, the sums secured b% this Security Instrument shall he
<br />reduced
<br />the amount of the prnc•eed,- multiplied by the following fraction: (at the total amount of the sums secured unryiediate1%
<br />before the taking, divided by (bi the fair market value the Properly
<br />of immediately before the taking. An} halance shall � e
<br />paid to Borrower
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