HomeMy WebLinkAbout0940 UNIFORM COVENANTS. BoFrower and l.ender covenant and agree as fW ~ y~
l. PaymeAt of Princi p
a t snd I n teresi; P
repa~ymeat a n d l. ate Charges. Borc~er shait promptly pay whcn due [I~ pr~ncipai
~~f anci interesl an tt~e debt Cvidenced by thc Note and any Prepaymertt and late rharg~s due under the Nwe. '
2: ~ds.tor Taxes s~1 ~~r~ex~e. 3ubject to applicable !aw or to a written waiver by L.ender, Borrow~er shall pay to L.ender
on the~day monthl~ payments are ~ue uruler ~e Note, until the Note is paid in full, a sum ("Funds") cqual to one-twelfth uf: (a)
yeariy taxes and assessmenis which may attain priority over this Security Instrument: (bl yearly leasehold payments or ground rents
un the Property, if any; (c) yearly hazard insuran~.~e premiums; and (d) yearly mortgage insurance premiums, if any. These items
arc: calle~i "escrow items." L,ender may estimate the Funds due on the basis oi current data and reasonable estimates of future escrow
itcros.
The Funds shall be held in an institutian the deposits or accounts of which are insu~ed or guaranteed by a federal or state agency
tinc;uding Lender if L.Ender is such an instituti~n). i.ender shaU apply the Funds to pay the escrow items. Lender may nat charge
ti~r holding and applying the Funds, analyzing the account or verifying the escrow items, unless Lender pays Borrower interest on
the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing that interest shall
tx: paid on the Funds. Unless an agreem~nt is m~e or appiicable law requires interest to be Raid, Lender shall not be required to
p:iy Bo~rower any interest or earnings an the Funds. Lende~ shall give to Borrower, without charge, an annual acawnting of the
Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged
as additional security for the sums secured by this Security [nstrument.
If the amount of the Funds heid by Lender, together with the future monthly payments of Hunc~s payable prior to the due datec
t~f the escraw items, shall exceed the amount required to pay the escrow items when due. the excess shall be, at Borrower's option.
either prampdy repaid to Borrower or creciited to Borrower on monthly.paymetits of Funds. If'the amount of the Funds held by I.ender
i. nw sufficient to pay the escrow items when due. Borrower shafl pay to Lender any amount necessary to make up the deficiency
in one or more payments as reguired by Lender. ~ -
Upc~n payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 19 the Property is sold or acquired by L.ender, Lender shall apply, ~o later than immediatety
prior to the sale of the Property or its acquisition by Lender, any Funds hetd by Lender at the time of application as a credit against
thc: sums secured by this Securiry Instrument.
3. Application of PAyments. Unless applicable law provides otherwise, a!! payments received by Lender under ~aragraphs
t and 2 shcwtd be applied: first to amounts payable nnder paragraph 2; second to interest; and last to principal.
4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which
may altain priority over this Security lnstrument, and leasehold payments or ground rents, if any. Borrower shall pay these obligations
in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall pay them on time direcdy to the person owed
payment. Borrower shall promptly fumish to Lender ail notices of amounts to be paid under this paragraph. If Borrower makes these
psyments directly, Borrower shall promptly furnish to L.ender receipts evidencing the payments.
Borrower shall promptly discharge any tien which has priority over this Security Instrument unless Borrower: (a) agrees in
riting to the payment of the obtigatian secured by the lien in a manner acceptable to L,ender, (b) cootests in good faith the lien i
hy, or defends against enforcement of the lien in, legat proceedings which in the Lxnder's opinion operate to prevent the enforcement 1
of the lien or forfeiture of any part of the Propeny; or (c) secures from the holder of the lien an agreement satisfactory to Lender
~ubc~rdinating the lien to this Security Instrument. !f Lender determines that any part of the Property is subject to a lien which may
attain prioriry over this Security Instrument, Lender may give Burrower a noticc identifying the lien. Borrower shall satisfy the lien
or take ane or more of the actions set forth above within l0 days of the giving of notice.
5. Hazard Insucance. Borrower shall keep the improvements now existing or he~eafter erected or~ the Property insured against
loss by fire, hazards included within the term "extended coverage" and any other hazards for which Lender requires insurance. This
insurance shall be maintained in the amounts and for the periods tfiat I.ender requires. The insurance carrie~ providing the insurance
~hatl be chosen by Borrower suhject to Lender-'s approval which shall not. be unreasonably withheld. •
All insurance policies and r~newals shall be acceptable to L,ender and shall•include a standard'mortgage clause. Lender shall
have the right fo hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums
and renewal notices. In the event of loss, Borrower shall give prompt Aotice to the insurance carrier and Lender. Lender may make
pn~f of lass if not_made promptly by Borrawer.
Unlass Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of tF~e Pro-
~rty damaged, if the restoration or repair is economically feasible and L.ender's security is not lessened. If the restoration or repair
i~ not economica)ly feasible or•.Lender's security would 6e lessened, the insurance proc~eds shaii be ap¢lied to the sums secured by
this Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower aba~dons the Property, or does
n~x answer within 30 days a aotice from [.ender that the insurance carrier has offered to settle a claim. then Lender may collect the
in~uranre proceeds..Lender may use the {xoceeds to repair or restore the Property or to pay sums secured by this Security Instrunient,
~shzther or not then duc. The 30-day period will begin when the notice is given.
Unless Leniier and Borrower otherwise agree in writi~g, any ap~{iration of proceeds to principal shall not extend or postpone
the due date of the monthly payments referred to in paragraphs t and 2 or change the amount of the payments. If urxler paragraph
, 19 the Property is acquired by Lender, Borrower's right to any insutance policies and proceeds resulting from damage to the Property ~
prior ro the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the ;
aryuisition.
6. Preservation and Ntaintenance af Property; Leaseholds. Borrower shal! ncx destroy, damage or substantially change the
Property~, allow tt~e Property to de;eriorate or-con~n~iE waste. If this Security Instrument is on a leasehold. Borrower sha11 comply
ith the provisions of the lease, and if Borrower acquires fee title to the PropeRy, the leasehold anci fee title shall not merge unless
I.endcr agrees to the merger in writing. ~ ~ '
7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrower fails to perform the covenants and
~greements contained in this Security Instrument, or there is a legal proceeding that may significandy affect Lender's rights in the
Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or regulations), then Lendcr may do
and pay for whatever is necessary to protect the value of the Property and Lender's rights in the Property. Lender's actions may
include paying any sums secured by a lien which has priority over this Security Instrument, appearing in court, paying reasonable
~ttorneys' fees and entering on the Praperty to make repairs. Although Lender may take action under this paragraph 7, l.ender does
not havc lo do so.
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800~( P~tif e~~~
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