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If L,ender required mortgage insurance as a condition of making the loan secured by this Sccurity lnstrument,
Borrower shall pay the premiums required to maintain the insurance in effect until such time as the requirement for the
insurance terminatts in accordance with Borrower's and Lender's written agrcement or applicable taw.
8. Inspectioa. Lender or its agent may make reasonable entries upon and inspections of the Property. Lender
shall give Borrower notice st the time of or prior to an inspection specifying reasonable cause for the inspection.
9. Condemeation. T'ht proceeds of any award or claim for damages, direcl or consequential, in connection with
any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby
assigned and shall be paid to Ltnder.
In the event of a total taking of the Property, the proceeds shall be applied to the sums secured by this Security
Instrument, whether or not then due, with any excess paid to Borrower. In the event of a paniai taking of the Property,
unlrss Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by
the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately
before the taking, dividod by (b) the fair mark~t value of the Property immcdiately before the taking. Any balance shall be
paid to Borrower.
If the Property is abandoned by Bonower. or if, after notice by Lender to Borrower that the condemnor off'ers to
make an award or settle a claim for damages, Bonower fails to respond to Lender within 30 days aRer the date the notice is
given. I.ender is authorized to collect and apply the proceeds, at iu option, either to restoration or repair of the Property or
to the sums secured by this Security Instrument, whether or not then due.
Unless Lender and Borrowtr otherwise agrce in writing, any application of proceeds to principal shall not extend or
postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of such payments.
10. Borrower Not Releaaed; Forbearance By Lender Not a Waiver. Extension of the time for payment or
modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor in
interest of Borrower shall not operate to release the liability of the original Borcower or Borrower's successors in interest.
Lender shall not be required to commence proceedings against any successor in interest or refuse to extend time for
payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made
by the original Bonower or Bonower's successors in interest. Any forbearance by Lender in exercising any right or remedy
shall not be a waiver of or prxlude the ezercise of any right or remedy.
11. Successors aad Assigns Bouod; Joint and Several Liability; Co-signers. The covenants and agreements of
this Security Instrument shall bind and benefit the successors and assigns of L.ender and Borrower, subject to the provisions
of paragraph 17. Borrower's covenants and agreements shall be joint and several. Any Borrower who co-signs this Securi!y
Instrument but dces not execute tht Note: (a) is co-signing this Security Instrument only to mortgage, grant and convey
that Bocrower's interest in the Property under the terms of this Security Instrument; (b) is not personally obligated to pay
the sums secured by this Security Insirument; and (c) agrees that Lender and any other Borrower may agree to eatend,
modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without
that Bonower's consent.
12. Loan C6arges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan
charges, and that law is finally interpreted so that the interest or other loan charges collected or to be collected in
connection with the loan ezceed the permitted limits, then: (a) any such loan charge shall be reduceci by the amount
necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which eaceeded
permitted limits will be refunded to Borrower. L,ender m~y choose to make this refund by reducing tne principal owed
under the Note or by making a direct payment to Borrower. If a refund reduces principal, the reduction wiil be treated as a
partial prepayment without any prepayment charge under the Note.
! 13. Le~slation Atiecting Lender's Rights. If enactment or expiration of applicable laws has the eflect of
; rendering any provision of the Note or this Security Instrument unenforceable according to its terms, I.ender, at its option,
may require immediate payment in full of ali sums secured by this Security Instrument and may invok~ any remedies
permitted by paragraph 19. If Lender exercises this option, Lender shall take the steps specified in the second paragraph of
paragraph 17.
14. Notiees. Any notice to Borrawer provided for in this Security Instrument sha11 be given by delivering it or by
mailing it by first class mail unless applicable law requires use of another method. The n~tice shall be directed to the
; Property Address or any other address Bottower designates by notice to L.ender. Any notice to Lender shall be given by
' first class mail to I.ender's address stated herein or any other address Lender designates by notice to Borrower. Any notice
provided for in this Security Instrument shaU be deemed to have been given to Borrower or Lender when given as provided
in this paragraph.
; 15. Governing Law; Severability. This Security Instrument shall be governed by federai law and the law o( the
~ jurisdiction in which the Property is located. In the event that any provision or clause of this Security Instrument or the
s
~ Note conflicts with applicable law, such confiict shall not afi'ect other provisions of this Secunty Instrument or the Note
~ which can be given effect without the conflicting provision To this end the provisions of this Security Instrument and the
Note are declared to be severable.
f 16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Instrument.
~ 17. Transfer of t6e Property or a Beneficial Interest in Borrower. If all or any part of the Property or any
interest in it is sold or transfened (or if a beneficial interest in Borrowe.* is sold or transferred and Borrower is not a natural
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person) w~thout I.endGi~j ~i~vf riTliici~ GVTijGTii~ a.cTiuci ~uay~ n~ iii vfiivii~ ia.yuiia, i~i~~Tia°.uluaa. Na~~ut~~• +i~ v .
secured by this Security Instrument. However, this option shall not be exercised by Lender if exercise is prohibited by
F federal law as of the date of this Security Instrument.
If Lender exercises this option, Lender shall give Borrower notice of acceleration. The notice shall provide a period
oinot less than 30 days from the date the notice is delivered or mailed within which Borrower must pay afl sums sec:ureci by
this Security Instrument. If Borrower fails to pay these sums prior to the expiration of this period, Len~er may invoke any
remedies permitted by this Security Instrument without further notice ~r demand on Borrower.
~ 18. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have
; enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as
applicable taw may sQecify for reinstatement) before sale of the Property pursuant to any power of sale contained in this
Security Instrument; or (b) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrower:
- (a) pays Lender all sums which then would be due under this Security Instrument and the Note had no ac~eleration
; occurred; (b) cures any default of any other covenants or agreements; (c) pays all expenses incurred in enforcing this
Security Instrument, including, but not limited to, reasonable attorneys' fees; ar~d (d) takes such action as Lender may
reasonably require to assure that the lien of this Security Instrument, L,ender's nghts in the Property and Borrower's
~ ob!igation to pay the sums secured by this Security Instrument shall continue unchanged. Upon reinstatement by
~ Borrower, this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had
~ occurred. However, this right to reinstate shall not apply in the case of acceleration under paragraphs I 3 or 17.
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