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HomeMy WebLinkAbout0986 UNIFORM COVENKNTS, 8b~rower and L,ender covenant and agree as follows: ~ 1. P.yme~t oi Princlpal and i¦ce~ Prepq•en~ aad Lace C6s~s. Ho~rower shall promptly pay when due the principal of and interat on the debt evidenccd by the Note and any prepayme~t and late charges due und=r the Note. 2. Funds for Tuss aad lnsursace. Subject to applicabk law or to a rrritten waiver by Lender. Borrower shall pay to Lender on the day monthiy payments ue due under the Note, untit the Nott ia paid in full, a sum ("Funds") equal to one-twelRh ofi (a) yeuly ta~ca and assessmenta which may attain priority over this Security lnstrumen~; (b) yeariy lc~sehold paymrnts or sround rcnts on the Property. it any; (c) ytuly hazard insurance premiums; and (d) yearly mortgage insunna premiums, if any. These items ue alled "escrow items." Lender may estimste the Funds due on the buis of current dsta and ceasonabk estimates of future escrow items. The Funds ahall be held in an institution the deposita or aocounts of which arc insured or guaranteed by a federsl or state aaency (includina L.aider if I.ender is such an institution). Lmder shall apply the Funds to pay the ~scrow items. I.ender may not chuge for holding and applyina the Fund~„ analyzina the aocount or verifying the acrow items. untess Lendrr paya 8orrower interest on the Funds and appticabk IaM? permits Lender to make such a charge. Borrower and I,ender may agra in writin6 tlut interest shaU be p~id on the Funds. Unless an agreement is made or applicabk law roquires interat to be paid~ I.ender ahall not be roquired to pay Borrower any interest or earnings on the Funds. l.ender shali give to Borrower, writhout charge, an annwl aoc~unting ottbe Funds showing credits and dcbits to the Funds and the purpose for wrhich each debit to the Funds w~.t made. The Funds are pkdged as additions! socurity for the sums secu~cd by this Security Instrumrnt. . lf the amount of the Funds held by Lender. together ~vith the futun monthiy payments of Funds payable prior to she ~ue dates of the escrow items, shall eaicead the amount requirod to pay the escrow items when due, the exce.ts shall be. at Borrower's option, either promptly repaid to Borrower or cradited to Borrower on monthly payments of Funds. IF the amount of the Funds held by Lender is not sutficient to psy the escmw items when due, Bomoaer shall pay to Lender any amount necessary to make up the deficiency in one or more payments as required by Lender. Upoe payment in fuli of all sums aecured by this Security Instrument, I.ender shall promptly refund to Borrower any Funds held by Ltnder. If under paragraph 19 the Property is sotd or acquirod by Lender, Lender shaU apply, no Iater than immediately prior to tht saie of the Property or ita acquisition by Lender, any Funds held by Lrnder at the time of application as a credit against the sums secured by this Security Instrument. 3. Applkatioa ot Paymenb. Unless applicable law provides otherwise, all payments received by L.ender under }saragraphs 1 and 2 shall be applied: 6rat~ to late c6argea due under the Not~ se~ond~ to prcpayment charges due under the Note; third, to amounts payable under paragraph 2; fourth. to intecest duG and last, ta principal due. 4. Cbsrg~ I.itas. Borcower shall pay all taues, a~nents, charges. Rnes and impositions attributabk to the ' Property which may attain priority over this Security Insttucnent~ and leasehold payments or ground rcnts, if any. I Borrower shall psy these obfigations in the manner provided in pm~ragraph 2, or if not p~id in that manner. Borrower shall ~ pay them on time directly to the person owed payment. Borrower sl~all promptly furnish to Lender all notices of amounts to be paid under this paragraph. If Borrower makes these paymeats diroctly, Borrower shall promptly furnish to Lender receipts evidencing the payments. ' Borrower shall promptly discharge any lien which has priority over this Security Instrument untess Borrower: (s) agras in writing to the payment of the obligation secured by the lien in a manner acceptabk to Lender, (b) contests in good faith the lirn by. or defends against enforcemrnt of the Gen in~ kgal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien or forfeiturc of any part of the Property; or (c) secnrcs from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If I.ender determines that any pan of the Propcrty is subjxt to a(ien which may attain priority over this Security Instrument. L.ander may give Borrower a notice identifying the lirn. Bonower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. S. Haz4rd Inawance. Borrower shaU keep the improvcments now existing or hereafter erected on the Property insured against loss by 6re, hazards included within the term "extended coverage" and any other ha~ards for which Lender requir~s insurana. This insurance shall be maintained in the amounts and for the periods that Lender raquires. The insurance carrier providing the insurance shall be chosen by Borrower subject to L.ender's approval which shall not be unreasonably withheld. Alt insurance policies and renewals shaU be acceptabie to L,ender and shall include a standard mortgage clause. I.ender shap have the right to hold the policies and renewals. If Lender roquires, Borrower shall promptly give to I.ender i all rece~ts of paid prcmiums and renewal notices. In the event of Ioss, Bonawer shall give prompt notice to the insurance , carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower othetwise agree in writing. insurance proceeds shall be applied to restoration or repair ~ of the Property damaged, ii the restoration or repair is economically feasible and Lender's security is not lessened. If the restoration or repair is not economically teasible or Lend~r's security would "oe lessened, the insurance proceeds shall be ~ applied to the sums securod by this Security Instrument, whether or not then due. with any eacess paid to Borrower. If Bonower abandons the Property, or dces not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim. then Lender may collxt the insurance proceeds. I.ender may use the proceecis to repair or restore the Property or to pay sums stcured by this Security Instrument. whether or not then due. The 30-day period will begin when the notice is givrn. Untess Lender and Borrowe,r otherwise agree in writing, any application of proceeds to principal shall not eatend or postpone the due date of the monthiy payments referred to in paragraphs t and 2 or change the amount of the paym~nts. if ~ under paragraph 19 the Property is acquired by Lender~ Borrower's right to any insurance policies and proceeds resulting ~ from damage to the Property prior to the acquisition shall pass to I.ender to the extent of the sums secured by this Security ~ Instrument immediately p~ior to the acquisition. 6. Presenatton ~ad Mainter~nce of Property; I.a~se6olds. Borrower shall not destroy, damage or substantially ~ change the Property~ aUow the Property to d~teriorate or commit rvasta If this Security Instrument is on a leasehold, £ Borrower shall comply with the provisions of the lease, and if Borcower acquira ta title to the Property. the leasehold and fee title shaii not merge unless L,ender agrees to the merger in writing. a 7. Protectiae of Leader's Rigl~b in t6e Property; Mortgage Insuranca If Borrower fails to perform the ~ covenants and agreements contained in this Security Instrument, or ~here is a legal procading that may significantly afTect ~ Lrnder's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or F regutations). then Lender 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 paving any sums secured by a lien which has priority over this Security ~ [nstrument, appearing in court, paying re~sonable attorneys' fees and entering on the Property to make repairs. Although ~ Lender may take action under this peragraph 7, Lender doa not have to do so. ~ Any amounts disburxd by L.ender under this paragraph 7 shall become additional debt of Borrower secured by this ~ Security Instrument. Unlas Borrow~er and Gender agree to oiher terms of payment, thae amounts shall bear interest from ~ the date of disburstment at the Note rate and shall be payable, with interest, upon notice from Ixnder to 8orrower ~ requesting payment. ~ ~ ~ au`oi rac~ ao~~ 451 PacE z$~ ~ Ra-~ ct~r~ ~3: ~ - : ~ ~ ~ ~ ~ ~~~y ~ ~ ;a~_