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HomeMy WebLinkAbout0953 1 I , r UNItORM COVENANTS. Borrower and Lender covenant and a h~,'ris follows~~~~ ~ ~ 1, Payment ot Principat aad Interesh, Prepaymeat sind I.ate C6uges. Borrower shall promptly pay when due ? tht principal of and interest on the debt evidenced by the Nott and any prepayment and lat~ charges due under the Note. ; 2. fi~ tor Taxa ~ad Issurance. Sub;ect to applicabte law or to a written waiver by L.ender~ H~rrower shall pay to I.ender oa the da~y~ monthly payments are due under the Note, until the Note is paid in full, a sum ("Funds") oqual to ono-twctfth of: (a) yearly taxes and aSSessments which may attain Qriority over this Security Instrument; (b) yearty ; leasehoW payinents or ground rents oa the Property, if any; (c) yearly hazard in;urance premiums; and (d) y~rly ' mortgage insurance premiums~ if any. These items are called "escrow items." Lender may estimate th~ Funds due on the ` b~sis of current data and reasonable estimates of future escrow items. i 'fhe ~nds shall be heW in an lnstitution the deposits or accounts of which are insured or guaranteed by a federal or ; state sgency (inciuding Lender if I.ender-is such an institution). Lender sha}I apply the Funds to pay the escro~v itea~e. i I.ender may not charge for holding and applying the Funds, anatyzing the aocount or verifying th~ escrow items. unless ; Lcnder psys Borrower interest on the Funds and applicable law pern~its Lender to make such a charg~. Borrowcr aad ~ , Lender may agret in writing that interest shall be paid on the Funds. Uniess an agreement is made or applicable law roquires interest to be paid. Lender shall not be requir~d to pay Borcow•er any interest or earnings on the Funds. Lenaer 3 shall giv~ to Borrower, without charge, an annual accounting of thc Funds 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 security for the sums secared by ~ this Sxurity Instrument. ; If tht amount of the Funds held by Lender, together with the future monthly payments oC Funds payabte prior to the due dates of the escrow items, shaU exceed the amount required to pay the escrow items when due, the exce~s shall be, at Borrower's option, either promptly repaid to Borrower or credited to Bonower on monthly payments of Funds. If the amount of the Funds held by Lcnder is not sufficient ta pay the escrow items when due, Borrower shall pay to Ler.d~r any amount necessary to make up the deficiency in one or more payments as required by Lender. ~ Upon payment in full of all sums secured by this Security lnstrument, L.ender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by L.ender, Ixnder shall apply, no later than immediatcly prior to the sale of the Property or its acquisition by Lender, any Funds held by L.ender at the time of t applieation as a credit against the sums secured by this Security Instrument. ~ 3. Appllation of P~tyments. Unless applicable Iaw proti~des oiherwise, all payments received by I.ender under ~ paragraphs 1 and 2 shal! be applied: first, to late charges due under the Note; second, to prepayment charges due under the Note; thirdt to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due. ~ 4. C6arge~ L.iens. Bonower shall pay all taaes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Se~urity Instrument, and leasehold payments or ground rents, if any. Borrower shall pay these obtigations in the manner provided in paragraph 2, or if not paid in tha! manner, Borrower shall pay them on time directly to the person owed payment. Bonower shall promptly furnish to Lender all notices of amounts to be paid under this paragraph. If Borrow•er makes these payments directly, Bonower shall promptly furnish to Lender receipts evidencing the payments. ~ Bonower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) f agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contesis in good faith the tien by, or defends against enforcement of the fien in, legal proceedings which in the Lendei s opinion operate to prevent the enforcement of the lien or forfeiture of any pan of the Propeny; or (c) secures from ihe holder of the lien an agreement satisfactory to Lender subordinatir~g the lien to this Security Instrument. If Lender determines that any part of the Property is subj~et to a lien which may attain priority over this Security Instrument, I,ender may give Borrower a notice identifying the lien. Bonower shall satisfy the iien or taice one or more of the actions set forth above within 10 days of the giving of notice. S, Hazard Insurnnce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "eatended coverage" and any other hazards for which I.ender requires insurance. This insurance shall be maintained in the amounts and for the periods that L,ender requires. The ~ insurance carrier providing the insurance shall be chasen by Borrower subject to Lender's approval which sha11 not be unreasonably withheld. ~ A11 insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. ~ Lender shall have the right to :~old the policies and renewals. If Lender requires, Borrower shall promptly give to I.ender all receipts of paid premiums and renewal notices. In the event oF loss, Borrower shail give prompt notict to the insurance ~ catrier and Lender. I,ender may make proof of loss if not made prompily by Borrawer. ' Untess L:nd~r and Borrower other~ise agree in writing, insurance proceeds shall be applied to restoration or repair ` of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessenai. If tDe ~ restoration or repair is not economically feasibte or I.ender'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 Bonower. If ~ Borrower abandons the Property, or daes not answer within 30 days a notice from I.ender that the insurance carrier has offered to settle a ctaim. then Lender may coliect the insurance pra:eeds. L.ender may use the proceeds to repair or rtstore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin when the notic~ is given. Unless Lender and Bonower otherwise agree in writing, any application of ~roceeds to principal shall not extend or postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the pa~-ments. If under paragraph 19 the Property is acquired by I.ender, Bonower's right to any insurance policies and proceeds resuliing from damage to the Propet-ty prior to the acquisitior~ shal! pass to Lender to ihe extent of the sums secured by this Security Instrument immediately prior to the acquisition. 6. Preservatian and Maintenance of Property; Leaseholds. Borrower shall not destroy, damage ar substantially change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, Borrower shall compty with the provisions of the tease, and if Borrower acquires fee title to the Property, the leasehold and fee title shali not merge untess Lender agrees to the merger in writing. 7. Protection of Lender's Riglits in the Property; Mortgage Insurance. If Borrower fails to perform the covenants and agreements conta~ned in this Security Instrument, or ihere 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 I,ender may do and pay for whatever is neressary to protect the va(ue of the Property and I.ender's rights in the Property. Lender's actions may inctude paying any sums secured by a lien which has priority over this Security Instrument, appearing in caurt, paying reasonable attorneys' fees and entering on the Propert}~ to make repairs. Although ~ Lender may take action under this paragraph 7, Lender does not have to do so. Any amounts di~bursed by Lender under this paragraph 7 shall become additional debt of $orrower secured by this Securiiy 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 shatl be pay~able, wit~~ interest, upon notice from Lender to Borrower requesting payment. _ ~ ~,h48~ ~~~;~3 s ~ 3mK y( - , ` .