|
�i•� � 201iJ09��1
<br />Preserv$tion, MaintenanCe and Protection of the Property; Sorrower's Loan Application; Leaseholds.
<br />Borrower shall not destroy, damage ar impair the Property, allow the Properiy to deteriorate, or comix�it waste on
<br />the Property. Borrawer ahall b� in default if any forfeiture action or procesding, whether civil or criminal, is begun
<br />that in Lender's gaod faith judgment could result in forfeiture of the Property or otherwise materially impair the
<br />lien created by this Security Instrument or Lender's security interest. Borrower may cure such a default and
<br />reinstate, as provided in section titled Borrower's Right to Reinstate, by causing the action or proceeding ta be
<br />dismissed with a ruling that, in Lender's good faith detertnination, precludes forfeiture of the Borrower's interest in
<br />the Property or other material irnpairment of the lien created by this Security Instrument or Lender's security
<br />interest. Borrower shall also be in default if Borrower, during the loan application proCess, gave materially false or
<br />inaccurate information or statements to Lender (or failed to provide Lender with any mater�ial information) in
<br />connection with the loan evidenced by the Note. Tf this Security Instrurnent is on a leasehold, Borrower shall
<br />comply with all the provisians of the lease. If Borrower acquires fee title to the Property, the leasehold and the fee
<br />title shall not merge unless Lender agrees to the merger in writing.
<br />Protection of Lender's Rights in the Property. If Borrower fails to perform the covenants and agreements
<br />contained in this Security Instrument, or there is a legal proceeding that may significantly affect �,ender's rights in
<br />the Property (such as a praceeding in bankruptcy, probate, for condemnation or forFeiture or to enforce laws or
<br />regulations), then Lender may do and pay for whatever is necessary to pratect the value af the Property and
<br />Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien which has priority
<br />over this Security Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to
<br />make repairs. Althaugh Lender may take actian under this section, Lender does not have to da so.
<br />� Any arnounts disbursed by Lender under this section shall become additional debt of Borrower secured by this
<br />Security Instiument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear
<br />interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender
<br />to Borrower requesting payment.
<br />Mortgage Insurance. If Lender required mortgage insurance as a condition of making the loan secured by this
<br />Security Instrumcnt, Borrower shall pay the prezniums required to maintain the nnortgage insurance in effect. I£, for
<br />any reason, the mortgage insurance coverage required by Lender lapses or ceases to be in effect, Borrower shall
<br />pay the premiums required to obtain coverage substantially equivalent to the rnortgage insurance previously in
<br />effect, at a cast substantially equivalent to the cost to Barrower of the mortgage insurance previously in effect,
<br />from an alternate rnortgage insurer approved by Lender. If substantially equivalent mortgage insurance coverage is
<br />not available, Bonower shall pay to Lender each month a sum equal to one-twelfth of the yearly mortgage
<br />insurance premium being paid by Borrower when the insurance coverage lapsed or ceased to be in effect. Lender
<br />will accept, use and retain these payments as a loss reserve in lieu of mortgage insurance. Loss reserve payments
<br />may no longer be required, at the option of Lend�r, if mortgage insurance coverage (in the amount and for the
<br />period that Lender requires) provided by an insurer approved by Lender again becornes available and is obtained.
<br />Borrower shall pay the premiums required to maintain mortgage insurance in effect, or to provide a loss reserve,
<br />until the requirement for mortgage insurance ends in accordance wzth any written agreement between Barrower
<br />and Lender or Applicable Law.
<br />Inspection. Lender or its agent may make reasonable entries upon and inspectians of the Property. Lender shall
<br />give Borrower notice at the time of or prior to an inspection specifying reasonable cause for the inspection,
<br />Condemnation. Tha praceeds of any award or claim for damages, direct or consequential, in connection with any
<br />condemnation or other taking of any part of the Property, or for conveyance in lieu af condemnation, are hereby
<br />assigned and shall be paid to Lender.
<br />ln the event of a total taking of the Fraperty, the proceeds shall be applied to the sums secured by this Security
<br />Tnstrument, whether or not then due, with any excess paid to Bo;rrower. In the event of a partial taking af the
<br />Property in which the fair market value of the Property irnrnediately before the taking is equal to or greater than
<br />the amount of the suma secured by this Security Instrument immediately befare the taking, u.nless Borrower and
<br />Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by the amount of
<br />the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately before the
<br />taking, divided by (b) the fair market value of the Property immediately before the taking. Any balance shall be
<br />paid to Borrower. In the event of a partial taking of the Property in which the fair market value of the Property
<br />immediately before the taking is less than the amount of the sums secured 'unmediately hefore the taking, unless
<br />Borrawer and Lender otherwise agree in writing or unless Applicable Law otherwise provides, the proceeds shall
<br />be applied to the sums secured by this Securiry Instrument whether or not the sums are then due.
<br />rf the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the condemnor offers to
<br />make an award or settle a claim for damages, Borrower fails to respond to L,ender within the minimum number of
<br />days established by Applicable Law after the date the natice is given, I.,ender is authorized to collect and apply the
<br />proceeds, at its option, either to restoration or repair of the Praperty or to the sums secured by this Securiry
<br />Instrument, whether or not than due.
<br />Unless Lender and Borrower otherwise agree in writing, any application of proceeds to princip�l shall not extend
<br />or postpone the due date of the payments Payment of Principal and Interest; Late Charges and Funds for
<br />Taxes and �nsurance or change the amaunt of such payrnents.
<br />Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or
<br />modification of amortization of the surns secursd by this Security Instrument grar►ted by Lender to any successor in
<br />interest of Borrower shall not operate to release the liability of the original Borrower ar Borrower's successors in
<br />49 2004-2009 Compliance Systema, Ine. 002D-DSCD - 2009.12.368
<br />Consumer Real Estate - Security Inanument DL2036 Page 3 of 6 www.eompliancesystems.eom
<br />
|