|
<br />I
<br />
<br />84- 005501
<br />
<br />r
<br />I
<br />
<br />Lellder pays Borrower interesl 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 10 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 accounling of the Funds showing credits and debits to the Funds and Ihe
<br />purpose for which each dehit 10 Ihe Funds was made, The Funds arc pledged as additional security for the sums secured by
<br />t"'~r> lO:'-.,.........:-!'.. T...~.__._...,....
<br />~~a.... ~...u. .~J 4n~'1 u.nl~ul.
<br />If the amount of the Funds held by Lender. together with the future monthly paYlpents 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 ~rrnwp.r.... {)!"t!'ion_ ~ithf"r nrom~tiv !"~n~lrl tn RnrrOUlf'r nr l"rerlitto:ti tn RnrrnU!f"'t' on mnnthlv navrn~r!!~ ~f Fut1d-t, If the
<br />a~-;;~~t- of-;h~ F~~ds' heid l;/ Le~de~'is' ~~~ ~ffic~~t- t~p~y-;h~ ~~~~-ite~; ~h';;; d~e:-&~~~;r sh~ii-~~y-t~ L~nde~- ~~y
<br />
<br />amount necessary 10 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. 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 againsl 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 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 amounls 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 />Properry 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 shalF
<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 aceeptable to Lender; (b) contests in good
<br />faith the lien by, or defends against enforcement of the lien in, lega~ ...roceedings which in the Lender's opinion operate to
<br />prevent the enforcement of Ihe lien or forfeiture of any part of 'he ,'.}perry; or (c},ecures from the holder of the lien an
<br />agreement satisfactory to Lender subordinatin~ the lien to thi, cco..;urity Instrument, If Lender determines that any part of
<br />the Property is subject to a lien which may auain priority over this Security Instrument, Lender may give Borrower a
<br />notice identifying Ihe lien. Borrower shall satisfy Ihe lien or take one or more of the actions set forth above within 10 days
<br />oflhe gtving of notice.
<br />S. Hazard Insurance. Borrower shall keep Ihe improvements now existing or hereafter erected on the Property
<br />insured against loss by fire. hazards inciuded within the term "extended coverage" 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 carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be
<br />unreasonably wlthhe1d,
<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 shall promptly give to Lender
<br />all receipts of paid premiums and renewalnolices, In the event of loss, Borrower shall give prompt notice to Ihe insurance
<br />carner and Lender. L~nder may inak( proof uf10ss if not made pf0l11pdy by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged~ if the restoration or repair is economically feasible and Lender's security is not lesseraed. If the
<br />restoration or repair IS not economically feasible or Lender's security would be lessened. the insurance proceeds shall be
<br />applied 10 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 does not answer within 30 days a notice from Lender that the insurance carrier has
<br />offered to settle a claIm, then Lender may coHect the insurance proceeds. Lender may use the proceeds to repair or restore
<br />the Property or to pay sums secured by this Securtty Inslrumenl, whether or nOI then due, The 30-day period will begin
<br />when the notice IS !i:lven,
<br />Unless Lender :md 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 I and 2 or change the amount of the payments. If
<br />under paragraph 19 the Property I'; acquired by Lender. Borrower's right 10 any insurance policies and proceeds resulting
<br />from de.mase!o rh~ ?rop~rty priOr!0 !h~ ~i:qll!s;!iGn shaH pass to. Lender to the extent of the sums secured by this Se-:urit]"
<br />Instrumem immediately pnor to the acquisition,
<br />6. Preservation and Maintenance of Property; Leaseholds, Borrower shall not deslroy. damage or sut>s!antially
<br />change Ihe Property. allow the Property to deteriorate or commit waste, If this Security Instrumenl is on a leasehold,
<br />Borrower shall comply wilh the provisions of the lease, and if Borrower acquires fee title to Ihe Property, the leasehold and
<br />fee lille shall not merge unless Lender agrees to the merger in writing.
<br />7. Protection of Lender's Rights ;n the Property; Mortgage Insurance. If Borrower fails 10 perform the
<br />covenants and agreements contained in this Security Instrument. or there is a legal proceeding that may significantly affect
<br />Lender's rights in the ProperlY (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or
<br />regulations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights
<br />in the Property, Lender's actions may include paying any sums secured by a lien which has priority over this Security
<br />Instrument. appearing In court, paying reasonable altorneys' fees and enlering on the Property 10 make repairs, Although
<br />Lender may take aCHon under this paragraph 7, Lenaer does nOt have to do so,
<br />Any amOunts disbursed by Lender under this paragraph 7 shall become additIOnal debt of Borrower ,;ecured by thIS
<br />Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear imerest from
<br />the date of disbursement at the Note rate and shall be payable. with intercst, upon notice from Lender to Borrower
<br />requeslmg payment.
<br />If Lender reqUIred mortgage msurance as a condItIon of maKing the Joan secured by this Security Instrumem,
<br />Borrower shall pay the premiums required to maintain the Insurance In effect untll such tIme as the requirement for the
<br />insurance terminates In accordance with Borrower's and Lender's wrillen agreement or applicable law,
<br />8, Inspection. Lender or Its agent may make reasonable entnes upon and Inspections of the Property. Lender
<br />shall give Borrower notice al the time of or pnor to an inspection specifying reasonable cause for the inspection.
<br />9. Coodemlla!ioo. The proceeds of any award or claim for damages, direct or consequential, in connection with
<br />any condemnation or other laking of any pan of the Property, or for conveyan\:e III lieu ,)1' condemnation. are hereby
<br />assigned and shalll:>e paId Il) Lender,
<br />In the event of a total taking ,}f the ProperlY, the proceeds shall be applied to the sums secured by thlS Secumy
<br />Instrument, whether Or nOlthen due, with any excess paId to Borrower, In the event of a partial taking of the Property,
<br />unless Borrower and Lender otherwts<: agree m wnung, Ihe sums s~'Cured by this s.:..:umy Instrument shall be reduced by
<br />the aml,lunt of the proceecs mult'phed by the follOWing fra~tlOn: (a) the :Olal amount of the ;urns secured tmlned,ate!y
<br />bef<,we th-c tak.mg. 'i..ilvuled h)' ~b) the flur rna,rkr-t value uftnc Propeny HumcJ...hateiy before thc. rakmg AllY b~lan\:t..: ~hajj Me
<br />p:li.ld tu ~.Jrrt)wer
<br />
|