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UNIFORMCOVENANIS Borrower and Lender covenant and agree as follows : 003845
<br />1. Payment of Principal and Interest; Prepayment and Late 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 tits day monthly payments are due under the Note. until the Note is paid in full, a sum ("Funds") equal to
<br />onc- 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 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 be paid on the Funds. Unless an agreement is made or applicable law
<br />requires interest to be paid, Lender shall 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 credit:; 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 esrow 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 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 fall of all sums secured by this Security instrument, Lender shall promptly refund to Borrower
<br />any Funds held by Lender. If under paragraph 14 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. any Funds held by Lender at the time of
<br />application as acredit 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 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 />6. Charges, Liens. Borrower shall pay all taxis, 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 manner, Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all noti•_es of amounts
<br />to he paid under this paragraph. if Borrower 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 writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in gaud
<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 front the holder of the lien an
<br />agreement satisfactory to tender subordinating the lien to this Security Instrument. If lender determines that an part (it"
<br />the Property is subject to a lien which may attain priority over this Security Instrument. Lender may give Borrower a
<br />notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set Girth above within I0 days
<br />of the giving of notice.
<br />3. Hazard Insurance, Borrower .hall keep the hnprmements now exstiug or hereafter erected kill 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 he maintained in the amounts and for the periods that Lender requires. rho
<br />insurance carrier providing the insurance shall he chosen by Borrower %shed a, Lender's apprnyal which shall not be
<br />unrcasomably withheld.
<br />All insurance policies and renewals shall t>c acceptable to Lender and shall include a standard mortgage clause.
<br />[ender shall have the right to hold the policies and renewals. If Lender requires. Birr,wcr shall Promptly Lice to I_ellder
<br />all receipt%of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt nonce to the insurance
<br />carrier and lender. Lender may make proof of loss if not made promptly by ]lorrower.
<br />Unless 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 feasible and Lender's security is not lessened. If the
<br />restoration er repair is not economically feasible or Lender's security would be lessened, the insurance pr>cec'<Is shall h:
<br />Applied to the sums secured by this Security Instrument• whether or not then due, with any excess paid to Borrower. If
<br />Borrower abandons the Property, or doss not answer within 30 days a notice front Lender that the insurance carrier has
<br />offered to settle a claim, then Lender may collect the insurance precetids. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Security Instrument. whether or not then due. I he 30 -day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in writing, arty application Of proceeds to principal shall not extend or
<br />po stptmc the due date of the monthly payments referred to to paragraphs I and 2 or change the amount of the payments If
<br />under paragraph IQ the Property is acquired by Lender, Borrower's right to any insurance policies and prceeds resulting
<br />from damage a) the Properly prior to the acquisition shall pass to Lender to the extent of the %urns .cured by this Security
<br />instrument immediately prior to theacquisition.
<br />6. Preservation and Maintenance of Property, Leaseholds. Borrower shall not destroy, damage or suhslantialh
<br />change the Property, allow the Property to deteriorate or commit waste. If this Sccuruy instrument is on a leasehold,
<br />Horrower shall comply with the provisions of the lease, and if Horrower acquires fee title to ille Propel [N . the leawhold and
<br />fec title shalt not merge unless Lender agrees to the merger in writing.
<br />7. Protection of [.eider's Rights in the Property; Mortgage insurance. If Horrower Gills to lkrfhrm the
<br />covenants and agrecincntq contained in this Security In%trurncm, or [here 1%,1 Ieg.tl proceeding that may s,gn,fic ;utrly alfe. t
<br />Lender's rights in the Property (such as a proceeding in hanktupwy. ProNoc, till candvnmaroon or to crliorce laws or
<br />regulatums).1hen Lender may do and pay for whatever is necessary to protect thc.i lue of the Property and Lender's i ghts
<br />in the Property. Lender's actions may include paying any sums secured 1 +y a hen '011,11 1111% Ptlorrly ,,%cf this SCCuT1fN
<br />fnmrument, appearing in court, paying reasonable attorneys' licw and entering on the Property to make tep:nis Aithoug.h
<br />L.cnder may take aclidm under this paragraph 7, Lender flocs not hasc to do so
<br />Any amounts dtshurxed by Lender under this par ji aph ' ch:dl 1u•wnnc addlhonal dcht ill Horrotser secnncd 11 y 1111%
<br />Security In%trunictil. Unlcs% fior'rower and Leneier agree r:, othc r terms of ]wtymcnt, t11ew ailttiounls shall th ar nucrest loom
<br />the elate of dMiff- eunent it life Not. rate :Hill shall he payahle. Nilh infc,csl. 1;110r -1„11:0 I10111 1 011,10 10 11n170wcr
<br />rrqucsling payment
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