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HomeMy WebLinkAbout0947 . ~ UNIFORM COVENANTS. Borrower and Ltnder covenant and agree a~~ollows: ' 1. Payment ot Priucipal aAd Iaterat; Prepaymeat and Lte C1iar~a. Borrower sha~l promptly pay when due the principal of and inte~at on the debt evidenred by the Note anc! any prepayment and late charges due under the Note. ~ 2. ~nds-tor Taxa and IasnnACe. Subject to appticable law or to a written waiver by L.ender, Borrower shal! pay to Lender on the day monthly payments are due under the Note. until the Note is paid in full, a sum ("Funds") equal to one-twelRh ot: (a) yearly taxa and assessments which may a~ttain priority over this Security Instrument; (b) yearly leasehold paymtnts or ground rents on the PropeKy, if any; (c) yearly hazard insurance ~1~C~ijiil~l3~ o.~~ (33 yea~~y mortgage insurance premiums, if any. These items are calied "esc~ow items." Lender may estimate the Funds due on the basis of current data and ressonable estimates of future escrow items. The Funds shall be held in an institution the deposits or accounts of which are insur,,~ or guaranteed by a federal or state agency (including Lender if I.ender is such an institution). L.ender shall apply the Funds to ~iy the escrow items. Lender may not charge for holding and appiying the Funds~ analyzing the account or verifying the escrow items, unless Len~;er pays Borrower interest on the Funds and applicable taw permits l.ender to make such a charge. Bonower and Lender may agrce in writing that interest shall be paid on the Fureds. Unless an agreement is made or applicable law requires interat to be paid. Lender shall not be required to pay Bonower any interest or earnings on the Funds. Lcnder shall give to Horrower, without charge, an annual accounting af the Fur.ds showing credits and dcbits 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 Instrument. If the amount of the Funds held by I.ender, together with the future monthly payments of Funds payable prior to i the due dates of the escrow items, shall exceed the amount required to pay the escrow items when due. the excess shall be, at Borrower's option, either promptly repaid to Borrower or creditod to Borrower on monthly payments 9f Funds. If the amount of the Funds held by I.ender is not sufficient to pay the escrow items when due, Borrower shall pay to Lender any amount necessary to make up the de6ciency in one or more payments as required by Lender. Upon payment in full of all sums secured by this Security Instrument, L,ender shall promptly refund to Borrower any Funds held by T-ender. If under paragraph 19 the Property is sold or acquired by l.ender. L.ender shall apply. no later than immediately prior to the sale af the Property or its acquisition by Lender, any Funds held by Lender at the time oi' apptication as a credit against the sums secured by this Security Instrument. ~ 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to late charges due under the Note; second, to prepayment charges due under the Note; third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due. 4. Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Security Instrument, 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, Borcower shal! pay them on time directly to the person owed payment. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this paragraph. If Borrower makes these payments directly. Borrower shall promptly furnish to Lender receipts evidencing the payments. ~ ~ Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Barrower (a) ~ agrees in writing to the payment of the obtigation secured by the lien in a manner acceptable to Lender; (b) contests in good faith the lien by, or defends against enforcement of the lien in, iegal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an agreement satisfactory to iender subordinating the lien to this Security instrument. If Lender determines that any part of the Property is subject to a lien which may attain priority over this Security lnstrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. , 5. Hazard Insurance. Borrower shail keep the improvements now existing or hereafter erected on 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 shail be maintained in the amounts and for the periods that Lender requires. The ir~surance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be ~ unreasonably withheld_ ` AI! insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage ctause. ~ Lender shail have the right to hold the poliries and renewals. If Lender requires, Borrower shall promptly give to Lender k all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the irs;::un:~ ~ carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shail be applied to restoration or repair ~ ~ of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. It'the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be ~ applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If ~ Borrower abandons the Property, or does not answer~within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may colfect the insurance proceeds. L,ender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin when the notice is given. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date of the monthly payments refe~red to in paragraphs 1 and 2 or change the amo~nt of the payments. 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 Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition. 6. Preservation and Maintenance of Property; Lease6olds. Borrower shall not destr~y, damage or substantially change the Property, aliow the Property to deteriorate or commit waste. If this Secucity lnstrument is on a leasehoid, Borrower shall comply with the provisions of the lease, and if Borrower acquires fee title to the Property, the ieasehoi~ and ~ fee title shall not merge unless Lender 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 agreements contained in this Sec~rity Instrument, or there is a legal proceeding that may significantly affect ~ Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or regulations), then Lender may do and pay for whatever is necessary to protect the value of tne 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 attorneys' fees and entering on the Property to make repairs. Although ~ L.ender may take action under this paragraph 7, Lender does not have to do so. ~ Any amounts disbursed by Lender under this paragraph 7 shalt become additional debt of Borrower secured by this Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower requesting payment. ~ BOOK `tU5 PAGf 9~S . . . ~ ~ ~ , - - '