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HomeMy WebLinkAbout0981 t;`It c~K~t CcfvF:~,~ti is B~~rruwer ar~d Lrnder cuve+~a~~t and agrer a, fulluws: l. Yayment of Principa! and Interest; Yrepayment and l.ate Charges. BorroHer ~hall promptly ~ti~ ~~hrn ~1u~ thr pnn~ipal oiand interest on the debt evidenceci by~ the Note and any prepu} ment and late rh<irge~ due uu~rr Ihe \ute. 2. Funds for Taxes and Insvrance. Subject to applicable law• or to a w•ritten w•ai~er by t_en~frr, Borm«er ~h;iil ~ay tu l.ender on the dap monthly payments are due under the Note, until the Note ~s paid in ful1, a sum ("Fund~") ryual tu one-twetRh oE (a) yeariy t3xes and assessments whirh may attain priority over this Srrurity In~trument; (b) }rarly leasehuid payments or ground rents on the P:operty, if any; (c) yearly harard insuranre premiums; and (d) ~~,irl~~ mortgage insurance premiums, iP any. Thc~e items are called "escrow items." Lender may estimate the Funds due on the basis oPcurrent data and reasonable estimates of future escrow items. The Funds shall be held in an inslitution the deposits or accou~ts of which are insured or guarsnteed b} a feder:~l or state agrncy (inrluding Lender if Lender is such an institution). Len~ier ~,haU apply the Funds to pa~• the eticro~~• item~. Lender may not charge for holding and applying the Funds, analyzing the account or ~~erif~~ing the ~scrow~ items, unlrss Lender pays Borrower interest on the Funds and applicable law permits Lender tu m:~ke wrh a charge. Borrower a~~d Lender may agree in writing that interest shall be paid on the Funds. Unle~s an agreement is made or applicable la~~ requires interest to be paid, Lender shall not be required to pay Borrow~er any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounling of the Fur.ds 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 sec;urity for the sums secureci by this Security Instrument. If the amount of the Funds held by Lender, together with the future monthty payments of Funds payable prior to the due dates of the escrow items, shalt exceed the amount required to pay the escraw~ items w~hen due, the excess shall bz, at 8orrowcr's option, either promptly repaid to Borrower or credited to Borro~~~er on monthly payments of Funds. If the ~mount of'the Funds held by Lender is not sufficient to pay ihe esrrow items when due, F3orrower shall pa}~ to Lender an~• amount necessary to make up the deficiency in one or more payments as required by Lender. Upun payment in full of all sums secured by this Security Instrument, Lender shail promptly refund to Rorrower , any Funds held by Lender. If under paragraph i 9 the Property is sold or acquired by Lender, Lender shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Security Instrument. ! 3. Application of Payments. Unless applicable law provides otherw•ise, all payments received b~~ Lrnelcr 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 payabte under paragraph 2; fourth, to interest due; and last, to principal due. 4. Charges; Liens. Borrower sha11 pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Security Instrument, and leasehold pa}~ments or ground rents, if any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrow~er shall 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. It E3orrower makes these payments directly, Borrower shall ~romptly turnish to Ler~der receipts evidencing the payments. ' Borrower shall promptly discharge any lien which has priority over this Security Instrument uniess Borrow•er: (a) agrees in writing ta the payment of the obligation secured by the lien in a manner acceptable ta Lender, (b) contests in good ~ faith the lien by, or defends against enforcement of the lien in, legal proceedings w•hich in the Lender's opiniort operate to ~ prevent the enforcement of the tien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an agreement satisfaciory to Lender subordinating the lien to this Security Instrument. If Lender determinc~ that any part of ~ the Property is subject to a lien which may attain priority over this Security Instrument, Lender may gi~e Borroaer a I notice identifying the iien. Borrower shall satisfy the lien or take one or more uf the actions set forth above witl~in 10 da~~s of the giving of notice. ' 5. Hazard Insurance. Borrower shali keep the impro~~ements no~~~ existing or hereafter erected on the Property insured against loss by fire, hazards included u~ithin the term "estended co~~erage" and any oiher hazards for w~hich Lender requires insurance. This insuranre shall be mainiained in the amounts and for the periods tfiat Lender requirc~. The insurance carrier providing the insurance shall be chosen by Borrow~er subject to Lender's approval which shall n~~t be unreasonabh~ withheld. All insurance policies and renewats shall be acc~ptable ro Lender and shal! include a standard mortgage clause. Lender shall ~iave the right to hold the policies and remru~als. If' Lender requires. Borrow~er shall promptl~~ gi~•e to Lender all rerei~ts of paid premiums and renewal notices. In th~~ e~~ent of loss, Borrow~er shall gi~e prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptl}~ b}~ Borrow~er. CTnless Lender and Borrow~er otherw•ise agree in w~riting, insuranre pr~xeeds shall be applied ta restoration or repair of the Propert}• damaged, if the restoration or repair is economically feasible and Lender's security~ is not lessened. If the restoration or repair is not economically~ feasible or Lender's securit~• w•ould be lessened, the insurance proceeds shall be applied tn the sums secured by this Security In,trument, w~hether or not then due, w~ith an~• excess paid to Borrower. lf Borrow~er abandons the Property, or dces not answ~er within 30 da}~s a notice from I_ender that the insurance carrier has offered to settie a claim, then Lender may eollect the insurance proceeds. Lender mac use the ~r~eeds to repair or rc~tore the Propcrty~ or to pa}~ sums secured b}• this Securit}~ Instrument, a~hether or not then due. The 30-day ~riod w~il1 begin w~hen the notice is gi~en. Unlc~ss Lender and Borrower otherw•ise agree in writing, any application of prckeeds to prinripal shall not ertend or ~stpone the due date of the monthl}• pa}~ments referred to in ~aragraphs 1 and 2 or change the amount of the pa} ment`. If under paragraph i9 the Propert}~ is acquired by Lendcr, Borrow•er's right to an}• insuranre poliries and proceeds resulting fr~~m damsge to the Property prior to the acyuisition shali pass to Lender to the extent of the ~ums secured b} this Securit}• Instrument immediately~ prior to the acquisition. 6. Preservation and lfaintenance of Property; I,easeholds. BorroK~er tihall not destro}~, daniage or substantiaii} change the Property, allow~ the Propeny to deteriorate or commit waste. lf this Securit~~ Instrument is an a leasehc~ld. Borrow~er shall comply~ with the pro~~isions c~f the lease, and if Borrow~er arquires (ee title to the Pro~rty, the leasehold and fee title shall not merge unless Lender agrees to the merger in w~riting. 7. Yrotection of Lender's Rights in the Property; 11ort~age Insurance. If Bi~rrower fails to perfc~rm the covenants and agreements contained in this Serurit}~ Instrument, or there is a legal J~rexeeding that ma}~ significantly~ afi~ect Lender'S rights in the Property (such as a prc~ceeding in bankruptc}~, probate. for condemnati«n or to enforce laHS ~~r regulations), then L_ender may~ do and pay~ for w~hate~~e: is necessar}~ to protect the value of the Propert} and Lender's rights in the Property. Lender's actions may include paying any s~ms secured b}~ a lien a~hich has priority~ o~~er this Securit~ [nstrument, ap~aring in cnurt, pa}~ing reasonable attorneys' fees and entering ~n the Propert}~ to make repairs. Although Lender may~ take artion under this paragraph 7, Lender dces not ha~e to do so. An}~ amc~unts disbursed b~• Lender under this paragraph 7 shall become additional debt of Borrower secured b}~ this Securit} Instrument. L'nletis Borrow•er and Lender agree to other terms of ~ay~ment, these am~unts shall bear interest from the date of disbursement at the tiote rate and sha(I be pa~able, w•ith interest, u~m nc~tire fre~m I.ender to Borrow~er reyuesting payment. e~,~1K ~UJ ?~{~E ~O~ - - ~ ri~ :Y~~nY -1`,:',s- ~ ~~`~-tit ~ 5cwt..s...b. ~ t ~ . . ~ . . . .