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<br />UNIFORM COVFNANTS. Borrower and Lender covenant and agree as follows: 85-- 004806
<br />i• Pay—t of Pnaeipal &tad Interest; Prepayment and Late Charges. Borrower shall promptly pay when 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. Faais for Taxes sad Itsaraace. Subject to applicable law or to a written waiver by Lender, Borrower 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 to
<br />one - 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, ifany. These items are called "escrow items," Lender may estimate the Funds due on the
<br />basis ofcurrent 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 ad
<br />Lender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or applicable law n
<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 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, 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 full of sal sums secured by this Security Instrument, 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 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 a credit against the sums secured by this Security Instrument.
<br />3. Ap pilkstion of PaYments. Unless applicable law provides otherwise, all payments received by 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 notices 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 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 it) Lender: (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien rat, legal proceedings which in the Lender's opinion operate to
<br />prevent the enforcement of the lien or forfeiture of any pan of the Property; or (c) secures from the holder of the hen an
<br />agreement satisfactory to Lender 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 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 firth above within l0days
<br />of the giving of notice.
<br />S. Hazard Insurance. Borrower shall keep the improver ^alts now existing, or hereafter crested on the Property
<br />insured against loss by fire, hazards included within the terns "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. The
<br />insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall nut be
<br />unreasonably unhheld.
<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, Borroucr shall proulp11% give to Lender
<br />all receipts of paid premiums and renewal notices. In the event of lo%s, Borrower shall give prompt notice to the insurance
<br />earner and Lender. Lender may make pruot'of loss if nut made promptly by Burrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or rep:.ir
<br />of the Property dantagctil, if the restoration or repair is economically feasible and Lender's security is riot lessened. If the
<br />restoration or repair is nor economically feasible or Lender's security would he lesuned, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. if
<br />Burrower abandons the Property, or does not answer within 30 days a notice from 1.cnder 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 ur restore
<br />the Property or to pay sums secured by this Security Instrument, whether Or nor then due. The 30 -day period will hegira
<br />when the nonce is given
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall nut extend or
<br />po %tptme the due date of the monthly payments referred to in paragraphs 1 and 2 Or change the amount of the pay ntents. If
<br />under paragraph 19 the Property is acquired by Lender, Borrower's right to any insurance policies and proceeds resulting
<br />from damage to the Property prior to the a
<br />Instrument immediately prior !o ¢tic acquisition. cquisition shall pass to !.ender to the extent of th m
<br />e sus secured by this Security
<br />6. Preaenation and Maiateetattce of property. Lesaeholds. Borrower shall nor dcsiro%. damage or substanualh
<br />change the Property, allow the Property to deteriorate or commit waste if this ticcuniy Jnsrnunent IS on a Irasc•holk
<br />Borrower shall comply with the provisions of the lease, and if Borrower acquires for title a, the Property. the leasehold and
<br />fee title shall not merge unless bender agrees w the merger in writing.
<br />7. Protection of Lender's Rights in The Property: Mortgage insurance. 11' lloriourr fails to pc•rthrn, the
<br />covenants aird agrerrnents contained m this Security Instrument, or there tb a legal proceedngg that ❑,av signdic.unl) atli.'r
<br />Lender's rights in the Property (such as a prtcecditrg in hankrupicy, probate, for condcninanOn „r to cnfotcc laws or
<br />regulations), then Lcndcr may do and pay for whatescr is necessary to protect the cahie , +f the i'roperty ond l e rider's n, his
<br />in the Prt.yrcrty'. Lender's actions may include paying any suns secured by a licit which liar pn+,niy once ihn Sccunts
<br />Instrument, appearing Orr court, paying reasonable attorneys' fees an• entering ou ilic 1'r gcnv r„ nrakc
<br />l.cnciet may lake action under this paragraph'. Lender doles not have to do sn
<br />Arts amounts disbursed by I. ender under this paragraph' shall hcrnrne Add rtaoriad 1011 •f li,vt, +wc. sr,,ncd by this
<br />"cc u sly iastiurnew UnItws Ili ifrower arid Ienderagrcein othericiinso 1paynrni. ihrsc :m,auu.shillho,ainurn.ti• „r,
<br />the date of disbutwinctia at tl,e N;,tc role and shall 1x• payahlc, with mt,rc.r. 'ilnn; ;„! „ -,• !n,i,, I ra,�; i i,, H,ni uri
<br />requerfing paynteur
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