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HomeMy WebLinkAbout0962 L~IFC~RM Cc~rt:~.ati7s Aorrower and 1_rndrr c.~vtnant and agree folluw~: 1. Pa~•ment of ~'rincipal and Interzst; P~epayment and l.~te Charges. Burmw•rr ~h~ll ~mmptl~ pay ~hrn due the principal of and interest on the debt e~ idenred by the Note 3nd an~• prepa~ mrnt and late rhargeti due under the'~~~tr. 2. Funds tor Taxes and l~surance. Subjert to applicable law or to a~ ntten H ai~ rr b~• Lender, HorroHer tihall pa} to Lender on the day~ mon[hly pay~ments are due under the Note, until the Note is paid in full, a~um ("Funds") equal to one-twelith of: (a) yearly taxes and assessments w~hich ma~ attain priurit~~ o~er this Securit~~ Instrument; (b) ~~earl~• leasehold payments or ground rents on the Property, if any; (c) yearly hazard insuranre premiums; and (d) yearly mortgage insurance premiums, if any. These itenu are ralled "escrow~ itrms." Lender ma~• estimate the f=unds due ~~n the basis of current data and reasonable estimates of future tsrrow items. The Funds shall be held in an instiwtion the deposits or aca~unts o~w hich are insur..i u- gua~ anteed b.: a federal or state agency (including I.ender if Le~der is such an institution). Lendcr shall appl~• thr Funds to r~~ the c~scroµ• items. Lender ma~~ not charge for holding and appl}ing the Funds, analyzing the account or ~•erifying the ncrow~ items, unless Lender pays Borrower interest on the Funds a~id applicable law permils !_rnder to mak~ sueh a charge. BorroHer and Lender may agree in w~riting that interest shal! be paid on the Funds. Unless an agreement is made or applicable law• requires interest to be paid, Lender shall not be reyuired to pay~ BorroHer an~~ interc-~t or earnings on the Funds. I_ender shall give to Borrower, without charge, an annual accuunting of the Fur.ds show~ing credits and debits to the Funds ard the purpose for which each debit to the Funds w~as made. The Funds are pledged as additional securitp for the sums,ecured b}• thisSee:urit}~ Instrument. If the amount af the Funds held by Lender, together w~ith the future monthl~~ payments of Funds pa}able prior to the due dates of the escrow items, shall exceed the amount reyuired to pa}~ the escrow~ items when due, the excess shall be, at Borrower's option, either promptl~~ repaid to BorroH~er or rreciited to BorroH~er c~n monthl}~ payments of Funds. If the amount of the Funds held by Lender is not suffirient to pa}~ the c~cruw~ items w~hen due, Borro~~~er shall pa}~ to Lender any~ amount neressar~~ to make up the deficiency in one or more p~}•ments ~s reyuired b}• Lender. Upon payment in full of all sums secured by this Sc~ urity Instrunient, Lender shall promptly refund to Borrow•er anp Funds held b~~ Lender. If under paragraph 19 the Yropert}• is sold or acyuired b~~ Lender, Lender shall appl~•, no later than immediately prior to the sale of the Propert}~ or it~ :~cyuisition by lxnder, an}~ Funds held b~ Lender at the time of application as a credit against the sums ucured by this Serurity Instrument. 3. Application of Payments. Unlc~s applirable la~~ provides uthrrwise, all payments recei~~ed b}• Lender under paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepa}ment charges due under the '.`ote; third, to amounts pa}~able under paragraph 2; fourth, tc~ interest due; and last, to principal due. 4. Charges; Liens. Borrow~er ~hall pay~ all taxes, assetisments, rharges, hnc~ and impositions attributable to the Property w~hich ma~• attain priorit~ ~iver this Serurit}~ Instrument, and leaschold payments ur ground rents, if any. Borrower shall pay these obligations in the m~nner pro~ ided in paragraph 2, or if not paid in that manner, Borrow~er shall ~ pay~ them on time directly to the person ow~ed psyment. Borrower shall promptly furnish to Lender all notices of amounts I tu be paid under this paragraph. ff B:~rrower makr~ thcx pa~~ments direrily~, Burrow~er shall promptl~~ furnish to Lender I receipts e~ idencing the payments. ! Borrower shall promptl~~ disrhargr ~n~ iirn whicl~ ha~ priarit~ over this Security Instrument unless Borrow-er. (a) i agrees in w•riting to !he pa}~ment of the obligatiun .rrured b~~ the lien in a m:~nner arceptable to Lrnder, (b) contests in gc~d faith the lien by, or defends against enforccment ~~f the lien in, leg~l pnxredings ahirh in the Lender's opinion operate to j prevent the enfor~ement of the lien or forfeiwre uf an} part of the Propert~~; or (r) secures from the holder of the lien an ' agreement satisfarror~~ te~ Lender suburdinating the lien to this Serurit~~ Instrument. If Lender determines that an~~ part of the Propert~~ is subject to a lien which ma~ attsin pri~~rit~ u~~er thi~ Srcurity Instrument, Lender map gi~~e 9c~rrow~er a notice identif}~ing the lien. E3u~row~er sha{1 ti~tisf~ the lien ~~r take cme ur more ~~f the actiun~ ut forth atxn~e within 10 days uf the gi~ ing uf notice. 5. Hazard Insurance. Borroa•er ~hall keep thr im~rc~~ementti n«w rxi,ting e~r hereaRer erected on the Yropert}~ in~ured against loss b}~ fire, harards inrluded with~n the term "extended r~~~erage" and an}~ oth~r hazards for w~hich Lender reguires insurance. Thi~ insuranre shall tx maintained in the amountti and fc~r the ~ericxis that Lender requires. The insuranre rarrier pra~iding the insur:~nre tihall be chiisen b~ Biirr~~wer ~ubjert t~~ Lender'ti a~pru~al w~hich shall not be unreaso«abl~• withheld. All insuranre p~~lirie1 and renewsl~ ~h~ll be acceptablr t~~ [.rnder an~i ~hall in~lude a standard mortgage clause. Lender shall have the right to hold the pc~lirieti and renrw~ls. If Lender reyuirrti, Bc~rro~~er tihall pre~mptl~~ gi~e to Lender all re~eipts of paid premiums and renewal notires. [n the e~ent uf li~ss, B~~rrc~w~er;hall gi~e prompt notice to the insuranrc carrier and Lender. Lender may make pro<~t c~f I~n1 i(n~~t madr promptl~~ b~ B~~rmw~er. Lnless Lender and B~rrower utherwi~e agrer in writing, intiuranre prcxeedti shall tx~ applied to restoration or repair ; ~>f the Propert~~ damaged, if the restoratie~n or repair is economicall~~ feasible and Lrnder's ~ecurit}• is not lessened. If the ~ ~~~ti~ration or repair is not economicall~~ fea.ible c~r l.ender's se~urit}~ ~~~ould be letisened, the insurance proceeds shall be ~ ~ applsed to the ~um; secured b}~ this Securit~• Instrument, w~hether or not then due, w~ith anp excess paid to Borrow~er. If Borrower ab~ndons the Pro~ri}~, o: does not anSwer within i0 da}~s a notice fre~m Lender that the insurance carrier has s otl'ered to settle a claim, then Lender ma}~ collect the intiuranre ~rxeeds. Lender ma}• use the proceeds to repair or re`tc~re ` the Propert~~ or t~ pay sums secured b}• this Security~ Instrument, whether c~r ne~t then due. The ~0-da}~ period will begin i w hen the notice is gi~•en. ; Unless Lender and Sorrow~er otherwitie agree in writin~, an~~ application t~f ~rcxeeds to principal shall not extend or ; post~x~ne the due date c~f the monthly pa~~ments referred to in paragraphs 1~nd 2 or change the amount of the payments. If ` under paragraph 19 the Propertp is acquired by Lender, Borrower's right tc~ an}~ insurance policies and praceeds resulting _ from damage to the Property prior to tfie acquisition shali pass to Lender to the extent c~f the sums ~ecured b} this Security k Instrument immediately prior to [he acyutsition. ~ 6. Preserration and 1laintenance of Property; Leaseholds. Borrower shall nut destro~~, damage or ~ubstantiall~~ r change the Property~, allow~ the Property to deteriorate or rommit Haste. If this Securit~~ Instrumem is on a leasehold, Borrower shall comply with the pro~~isions of the lease, and if f3~~rruw~er aryu~res fee title t~~ the Prc~~rt~•, the leasehold a~id fee title shall not merge unless Lender agrees to the merger in writinR. ' 7. Protection of I.ender's Rights in the Property; :~lortgage Insurance. If B~~rr~wer t'ails to perform the co~enants and agreements contained in this Security~ Instrument, ar there is a leeal prckeeding that ma} signihcanll~~ affect Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnatic~n or ta enforce laws or regulations), then Lender may do and pay for whatever is necessary to protect the ~alue c~f tne Pre~~ert~~ and Lender's right~ i~ the Propert}~. Lender's aetions may include paying any ,ums secured b}~ a lien whirh has pric~rity~ o~er this Securit}~ Instrument, appearing in court, pay~ing reasonable attorneys' fees and entering on the Propert} tc~ make repairs. Although I_ender may take action under this parag: aph 7, Lender dces not have to do so. Any amounts disbursed by Lender under this paragraph 7 shatl become additiunal debt of Bc~rrow~er secured b~ this _ Securit~~ Instrument. Unless Borrower and Lender agree to other terms of pay ment, thrse amounts tihall bear interest from ~ the dat~ of disbursement at the Note rate and shall be pa~able, with interest, upon n~~tice fre~m Lender to B~~rmwer ~ requesting paymenL ~ r ~ ~ i 1 : P.r~~K4b~ P~~,E ~5~ ~ ~ . ~ s,~~~-~ Y~ ~~.~'~~.~~i~~ r