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<br />QV2-." 0047 ?5
<br />UNIFORM Cov8NAlsis. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest; Prepayment and Late Charges. Borrower shall prompt\ pail x% lien due
<br />the principal ofand 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. Borrow cr 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 t„
<br />one - twelfth of: (a) yearly taxes and assessments which may attain priority over this Security instrument: (h) 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 fut ure 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 hems.
<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 be paid, Lender shall not be required to pay Borrower any interest or earnings nn 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, tire 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 Lcnder 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 prompth refund to Borrower
<br />any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Lendcr 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 tittle 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 b% Lender under
<br />paragraphs I 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 />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 manner, Borrower shall
<br />pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all nnticcs of amounts
<br />to be 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 priorit% over this Security Instrument unless Borrnwcr: la)
<br />agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender, (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion operale to
<br />prevent the enforcement of the lien or forfeiture of any part of the Property; or let secu•es from the holder of the lien an
<br />agreement satisfactory to Lender %ubiirdinating the lien to this Security Instrument. if Lender determines that ally part ;,f
<br />the Property is subject to a lien which may attain priority over this Sccunty Instrument. Lender may Live Borrower a
<br />notice identifying the lien. Borrower shall satisfv the lien or take one or more of the actions set forth aho%c %trim !I) days
<br />of the giving of notice.
<br />5. Hazard insurance. Borrower shall keep the impror-•rnents now existing ur hcre:dtcr erected tin the Property
<br />insured against loss by fire, hazards Included within the term "extended co,erage" and any other ha /J1ds IM %hlch Lendcr
<br />requires insurance. This insurance shall be maintained fit the amounts and for fire periods Ihal I ender r,owres fhc
<br />insurance carrier providing the insurance shall be chosen hp Borrower subject r, Lcnder\ approval which shall nor I +e
<br />unreasonably withheld
<br />All insurance policies and renewals shall he acceptable to Lcnder and shall Include a standard mortgage Jausc-
<br />Lender shall have the right to hold the polities and renewals. if Lcnder requires. Borrower shall promptly ei%c to L.cndcr
<br />all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt noitcc to the insurance
<br />carrier and Lender. Lender may make proof of loss if not made promptly by Burrower.
<br />Unless Lender and Borrower otherwise agree to %-riling, insurance proceeds shall he applied to restoration or reNnr
<br />of the Property damaged, if the restoration or repair is economically feasible and Lender's security IS not lessened. If the
<br />restoration or repair is not economically feasible or Lender's security would he L•ssencd, the insurance proceeds shall he
<br />applied to the sums secured by this Security Instrument, whether or not then duc, %i:h any excess paid to Borrower. if
<br />Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br />olfered to settle a claim, then Lender may collect the insurance proceeds. Lender Fria% use the prmceds to repair or restore
<br />the Property or to pay sums secured by thus Security Instrument, whether or not tile,, due. The 30 -clay perr,ki will heon
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in %riling, any application A procce•d% i„ i,nncipal shall not c,aend or
<br />Postpone the due date of ahc monthly payments referred to to paragraphs 1 and 2 of .hang% the ann,ulti of the pay mints. if
<br />under paragraph 19 the Property is acquired by Lender, Borrower's right to any nnurance policies and pr,wreds rc%ultme
<br />from damage to the Property prior to the acquisition 'shall pass to I_endei u, the client ,+f the sums secured h% this Sectirin
<br />Instrument immediately prior to the acquisilion.
<br />6. Preservation and Maintenance of Property; Leaseholds. B,,rn,wcr shall n„t dcsrroy. d:uuage „r substantially
<br />change the Pr(,prrty, :dlow the Property to deteriorate or contrmt waste If ihn Srcurtty lnsirtunvnt r..,n a
<br />Borrower %hall comply with the provisions of the lease, and if Bon'o%cr arquirv, fvc rirly to the Prnpelt y. the• leasehold and
<br />fey utic shall not merge unless Lendcr agrees to the merger m writing.
<br />7. Protection of bender's Rights in the Propert): Morigligc Insurance, if llml"%cr !:tits t., petl„rnt the
<br />covenant%and Agreements contained fn t'rn%Sceunty lnsirumrnt, or there IS lehsil pn+cce•ehnV drat nley Str;rtlficon6% :Nicer
<br />Lender's rights in the Property (such a% a proceeding in hankrapicy, probate, t„r rondenntenon cnh,rcr f %s 11
<br />regulations). then Lrndrr may do and pay for whatever is necessary to protect the ,flue• of the i'ropertt ,nut 1 e11,1CCs r,cln
<br />in the Property tender's actions may mcludr paging any sums %ccun•d by a hen %hrcll ha. f,rinnh ,ncl this Setuut,
<br />instrument. appearing to court, payxtK reasonable attorneys' fees and entering on the I'rnperty li, make repairs Altbou,'!,
<br />I ruler may take av :uori under till% paragraph'. ( Crider dors not h,oe to do s,
<br />.Ali) Art'lotif% dishm scd h% 1..vildei under thy, paragraph 7 sluall Ile, onw addlt1 �n,ul Jebt ,,f li,. h!,
<br />securely {nsttuorcr,t I nlr+s li,rrrn %cr and I ender afire I,e ,(hcr Tel Ill, A !':ry melt. thcw .rim .snl,'he!'
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<br />the date of drshuusrntFnl m the %. !e tali and .hell N. t+a,.d,lr arth csf, n I fi u
<br />fr4ut^%{liq pAy11K 1,1
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