|
<br />84 - 006173
<br />
<br />uNIFORM COVENANTS Borrower and I.ender covenant and agree a\ follows.
<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 Ihe 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 Ihe day monthly pay men Is are due under the Note, until the NOle is paid in full, a sum ("Funds") equal to
<br />one-twelfth of: (a) yearly taxes and a"essments which may attain priority over Ihis SecurilY Instrument; (b) yearly
<br />lea'Chold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly
<br />mortgage insurance premIUms, if any. These ilems are called "escrow items." Lender may estlmate Ihe Funds due on the
<br />basis of current data and reasonable estimates of future escrow items,
<br />The Funds shall he 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 instilution). Lender shall apply the Funds to pay the escrow items.
<br />Lender may not charge for holdmg and applying the Funds, analyzing the account or verifying the escrow items, unless
<br />Lender pays Borrower interest on the Funds and applicable law permils 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 credits and debils to the Funds and the
<br />purpose for which each oeoltto the Funds was made, The Funds are pledged as additional securily 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 dales of the escrow Items, shall exceed the amount required to pay the escrow Items when due, the excess shall be,
<br />at Borrower', option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds, If the
<br />amount nf the Funds held by Lender" not sufficient to pay the escrow ilems when due, Borrower shall pay to Lender any
<br />amount necessarv 10 make up the deficiency III one or more paymenls as required by Lender,
<br />Upon payment III full nf 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 lhe sale of the Properlv or its acquisitirc '-:. tender. any Funds held hy Lender at the time of
<br />application as a credit agamst the sums secured by this Security ~n'.';_l-~.;:e:,t.
<br />3, Application of Payments. Uules, apph;able 11>.' cOV"}",, otL"rwlse, all payments received by Lender under
<br />paragraphs i and 2 shail be apphed: 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 auributable to the
<br />Property which may attain priority aver this Security InstnuneIH. and leasehold payments or ground rents. jf any.
<br />Borrower shall pay these obhgatIOns in lhe manner provided in paragraph 2, or if not paid in that manner, Borrower shall
<br />pay them on lime 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 Ihese paymenls directly, Borrower shall promptly furnish to Lender
<br />receIpts eVldencmg the payments,
<br />Borrower shall promptly discharge any lien which has priorilY over this Security Instrument unless Borrower: (a)
<br />agrees in writing to Ihe payment of the obiigation secured by the hen in a manner acceptable to Lender; (b) contests in good
<br />failh the lien by, or defends agamst enforcement of the lien in, legal proceedings which in the Lender's opinion operate to
<br />prevent the enforcement nf the hen or forfeiture of any pan of the Property; or (c) secures from the holder of tile lien an
<br />agreement sattsfactory to Lender subordinating the hen to this Security Instrument. If Lender determines that any part of
<br />the Property IS subject to a hen which may allam priority over this Security InStrumenl. Lender may give Borrower a
<br />nOllce Identifying the lien. Borrower shaH satisfy the hen or take one or more of the actionssel forth above wilhin 10 days
<br />of the givlllg of notice.
<br />S, Hazard Insurance, Borrower shall keep Ihe improvements now existing or hereafter erected on the Property
<br />msured against loss by fire. hazards mcJuded within the lerm "extended coverage" and any other hazards for which Lender
<br />reqUIres insurance. ThlS lllsurance shall be maintained III the amounts and for the periods that Lender requires, The
<br />insurance carner Ofovlding the in~uranc~ ....hrrH be chosen bv B0!'n)-wer s~bject to Lender's &00ro\'3.1 which sr..aU !1Gt be
<br />unreasonably wllh'held, -, - ,
<br />All Illsuranc" poliCIes and renewals shall be acceptable to Lender and shall include a slandard mortgage clause,
<br />Lender shall have the nght to hold the pollct'" and renewals, If Lender requires, Borrower shall promptly give to Lender
<br />all receipts of paid premiums and renewalnouces. In the event of loss, Borrower shall give prompt notice to the insurance
<br />carrier and Lender. Lender may make proof of loss if not made promptly by Borrower,
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />,)f the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened, If the
<br />restoration or repair i~ not economically feasible or Lender's security would he iessened, the insurance proceeds shall be
<br />applied to the sums secured by this Security Instrument, whelher 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 Ihe insurance carrier has
<br />offered to settle a dalm, then Lender may colleel Ihe insurance proceeds. Lender may use the proceeas to repair or restore
<br />Ihe Property or to pay SUIllS secured by thIS Secunry {nstrumen!, whelher or not then due. The 30-day period will begin
<br />when the notice is given.
<br />Unless Lender and Borrower otherwise agree in wriling, any application of proceeds to principal shall not extend or
<br />postpone the due date of the monthiy payments referred to in paragraphs 1 and 2 or change the amount or the payments, If
<br />under paragraph 19 the Property is acqutred by Lender, Borrower's right to any insurance policies and proceeds resuhing
<br />from damage to the Property prior to the acquisition shaH pass to Lender to the extent of the sums secured by this Security
<br />Instrument immediately prior to the acquisition.
<br />6, Prese...ation and Maintenance of Property; Leaseholds, Borrower shaUnot destroy, damage or sUl:>stantiaUy
<br />change the Propeny, allow the Property ro deteriorate or commll waste, If thIS Security Instrument is on a leasehold,
<br />Borrower shaH comply \\ ilh the Piovislons of the lease. and If Borrower at.:qutre~ fee titlt: to the Property, fhe leasehold and
<br />fee Iille ,haH not merge unless Lender agrees to the merger m wntmg,
<br />7, Protection of Lender's Rights in the Property; Mortgage Insurance, If Borrower fails to perform the
<br />CO'l,fenants and agreen~nts. l.:l)ntained m !h!s Se--..:unty Instrument. or there i~ a legal pioceeding that may significantly affect
<br />L('nd~r's nghts. in the l""rupert} isuch tiS a proceeding in bankruptcy, probate. for condemnation or to enforce laws Of
<br />regulauoil~), ihtn Lender ma} do and pay for whatever i~ neceSS3f) to protect the value of the Property and Lender's nghts
<br />m the Property. Lender"h acuon~ may indude paymg any sums :)ccured b)' a lien which ha~ priority over Ihis Security
<br />Instrument. appeanng III court, paym!! reasonabiealtorne}'s' fees and ents:nng on the Property to make repairs, Although
<br />Lender may take act"'" under thts paragraph 7, Lender does mil have h,l do so,
<br />,-\ny -amou.nt~ dl~bur~d by Lender under thil\ para~raph 7 ~haU become: addttional debt {if Borrower sc\,;urcd hy thr~
<br />Sttunn Instrument. L'nless Borrower ~lnd Leuder agree to other tenn~ of payment, i hne amounts shall bt~ar mtere~{ from
<br />the dale of dl-sb-unenH.-'''nt at thl'" ~ote rate and s<hall he payable. \'\'lth mlerc~L upon noU('t" from Leuder w BOfft)Wt.']'
<br />re--q:IJt'""S~UI& ~)men[,
<br />
<br />, ,
<br />
|