HomeMy WebLinkAbout0933 UNIFORM COVENANTS. Borrower and Lendcr covenant and agret as foilows:
l. Paymcnt of Priacipal ~ad l~terest; Prepayaxnt snd [.ate Charges. Ba~rower shaN p~onaj~tly pay when due thr princ:ipal
uf and i~terest on the debt evidenced by the Note and any prcpayment anci Iate charges due u~der ihe Note.
2. Funds Cot Taxes apd Iasurance. Subject to applicable law or to a written waiver by L~ncier. Borrower shall pay to Ler~der
un the day monthiy payments arc due under the Note, until the Note is paid in full, a sum ("Furds") equal to one-twelfth of: (a)
yeariy taxes and ussessments which may attain priority over this Security Instrument; (b~~ ~ leasehold{p~ytpints or g~owxi rents
un the Property, if any; (c) yearly hazard insurance premiums; and td) yearly mortgage lnsurance premwms, ~f any. These items
are called "escrow items." Lender may estimate the Funds due on the basis of curront data and reasonabie estimates of future escrow
items.
The Funds shall be held in an institution the deQosits or accounts of which are insured or guaranteed by a federal or state agency
(including Lender if Lender is surh an institution). L.ender shalt apply the Fur~s to pay the escrow items. L.ender may not charge
for holding and applying the Funds, anaiyzing the account or veriiying the ~scrow items, unless L.ende~ pays Borrower inttrest on
the Funds and appiicabte taw permits l.ender to make such a charge. Borrower and l.ender may agree. in writing that interest shaU
be paid on the Funds. Unless an agreement is made or applicable law requires interest to be paid, l.ender shall not be required to
pay Borrower any interest or earnings on the Funds. Lende~ shall give to Borrower, without charge, an annual accounting of the ,
Funds showing credits and debits to the Funda and the purpose for which each debit to the Funds was made. The Funds are pledged
as additional secu~iry fot the sums secured by this Securiry Instrument.
If the amount of the Funds held by L.ender, together with the future monthly payments of Funds payable prior to the due dates ~
ot' the escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be, at Borrower's option,
' either prompdy repaid to Borrower or credited to Borrower on monthly payrr~nts of Funds. If the amount of the ru~n;~ ~~~i~ :.~:.~c: ?
is not sufficient to pay the escrow items when d~e, Borrower shall pay to l.ender any amount ne~:essary to make up the deficiency
in one or more payments as requ+red by l.end~r. .
Upon payment in full of all sums secured by this Security Instrument, L.ender shall promptly refund to Borrower any Funds
held by Lencler. If under paragraph 19 the Propeny is soid or acquireci oy i,e~xi~~,~:.:.^~~€ shap appty, no later than immed+ately
prior to the sale of the Property or its acquisition by L.ender, any Funds held by L.ender at the time of application as a credit against
che sums secured by this Securiry Instrument.
3. Application of F's~yments. Unless applicable law provides otherwise, a!1 payments received by l.ender under parag~aphs
I and 2 should be applied: first to amounts payable under 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 Propeny 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, Borrower 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. [f Borrower makes these
paymenis directly, Sorrower shail promptly furnish to l.ender receipts evidencing the payments. •
•~:r.=4. =n~ tih:.~h h~s er~nrltv over this Security Instrument unless Sorrower. (a) agrees in
lsorrower snaii N~ou~~;:~y u~a.un.b.
writing to the payment of the obligation secured by the lien in a manner aceeptable.to I.ender; (b) contests in good faith the lien
by, or defends against enforcement of the tien in. Iegat proceedings which in the I.ender's opinion operate to pre~ent the enforcement
of the lien or forfeiture of any part of the Property; or (c) secures fram the holder of the tien an agreement satisfactory to l.ender
~ubordinating the lien to this Securiry Instrument. If l.ender determines that any part of the Property is subject to a lien which may
attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shalt satisfy the lien
e~r take one or more of the actions set forth above within 10 days of the giving of notice.
5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Praperty insured against
loss by fire, hazards included within the term "extended coverage" and any other hazards for which Lender requires insurance. This
in~urance shall be maintained in the amounts and for the periods that ixnder requires. The insurance carrier providing the insurance
shalf be chosen by Borrower subject to [.ender's approval which shall not be unreasonably withheld.
All insurance policies and renewats shall be acctptable to Ler~der and shali include a standard mortgage clause. Lender shall
have the right to hold the policies and nenewals. If L.ender requires. Borrower shall promptly give to Lender all receipts of paid premiums
and renewal notices. in the event of loss, Borrower shafl give prompt notice to the insurance carrier and Lender. [.ender may make
i proof of loss if not made promptly by Borrawer.
~ Unless l.ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Pro-
~ pc:rty damaged. if the restoration or repair is economically feasible and Lender's security is not tessened. !f the restoration or repair
i. not economically feasible or Lender's security wouid 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 dces
not answer within 30 days a notice from L.ender that the insurance carrier has offered to settle a claim, then Lender may collect the
imurance proceeds. Lender 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.
Untess 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 referred to in paragraphs I and 2 or change the amount of the payments. [f under paragraph
19 the Property is acquired by L.ender, Borrower's right to any insurance policies and proceeds resu(ting from damage to the Property
~ pri~r to the acquisition shaU pass to i.ender io iiir cx«~~c :,f ~h:, sums srrsred by this Security Instrument immediately prior to the
~ acquisition.
~ 6. Preservafion and Maintenance of Property; [xasehoids. Borrower shal! not destroy, damage or substantially change the
t Propeny, allow the Pr~perty to deteriorate or commit waste. It' this Security Instrument is on a leasehold. Borrower shall comply
~ with the provisions of the lease, and if Borrower acquires fee title to the Property, the leasehold and fee title shall not merge unless
[.~:nder agrees to the merg~r in writing.
7. Protection of I.ender's Rights in the Property; Mortgage Insurance. If Borrower fails to perform the covenants and
~greements contained in this Seeurity Instrument, or there is a legal proceeding that may significantly affect Lender's rights in the
Propeny lsuch as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or reguiations), then l,ender may do
and pay for whatever is necessary to protect the value of the Property and ixnder's rights in the Property. lxnder'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 enrering on the Property to make repairs. Although i.ender may take action under this paragraph 7, Lc;nder does
n~x have to do so.
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