HomeMy WebLinkAbout0915 ~
UNIFORM COVENANTS. BofiOt. 'r and Lender covenant and agrer as follaws `
1, Pey~ment o[ Principal and laterest; Prepax~eat aad Late ~harges. Borrow~er shall promptly pa}~ when due '
the princip.al of and interest on the debt evidenced by the Note and anv prepayment and late chargrs due under the Note. i
2. Funds tor Taxes and Insuranee. Subject to applicable law or to a written waiver by Lender, Borrower shall pay S
to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a sum ("Funds") equ~l to
one•twelfth of: (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly
leasehold payments or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly
mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimpte the Funds due on the
basis of current data and rtasonable estirpates of future escrow items.
The Funds shall be held in an institution the deposits or accounts of which are in~ured or guaranteed by a federal or
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay the escroW items. f
Lender may not charge for hol~ing and applying the Funds, analyzing the account or verifying the escrow items, unless ~
, [.ender pays Bonower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and ~
Lender may agree in writing that interest shall "be paid on the Funds. Unles_c an agreement is made or applicable law ~
requires interest to be paid, I.ender shall not be required to pay Bonow~er any interest or earnings on the Funds. Lender ~
~ shall give to Borrower, without charge, an annual accounting of the 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 additianal security for the sums secured by
this Security Instrument.
If the amount of the Funcls held by Lender. together with the future monthly payments of Funds payable prior to
the due dates of the escrow items, shall excetd the amount required to pay the escrow items when due, the excess shall be.
at Borrower's option. either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the ~
amaunt of the Funds held by Ixnder is not suflScient to pay the escrow items when due, Borrower shall pay to Lender any j
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 Instrument, I.ender shall promptly refund to Borrower '
any Funds held by Ixnder. If under paragraph 19 the Property is sold or acqUirea by Lender, I,ender shall apply, no later t
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. Applicatioa of Payments. Unless applicable law provides otherwise, all payments received by Lender under t
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 tazes, 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, Borrower shall
• pay them on time directly to the persan owed payment. Borrower shall promptly furnish to I.ender all notices of amounts
to be paid under this paragraph. If Borrower makes these payments directly, Bonower shall promptly furnish to Lender
receipts evidencing the payments.
Borrower shal! promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a)
agrees in writing to the payment of the obligation 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, legal 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 t7om the holder of the lien an
agreement satisfactory to Lender subordinating the tien 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 Instrument, Lender may give Borrower a .t
notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions sct forth above within 10 days
' of the giving of notice.
5. Hazard Insurane~. 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 Lender
requires insurance. This insurance shall be maintained in the amounts ard for the periods that Lender requires. The
insurance carrier providing the insurance shall be chosen by Bonower subject to I.ender's approval which shall not be
unreasonably withheld.
All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause.
L.ender shall have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender
all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall give prompt notice to the insurance #
carrier and Lender. I.ender may make proof of loss if not made promptly by Bc?nower. ~
Unless L.ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair ~
of the Property damaged, if the restoration or repair is economicaliy feasible and Lender's security is not lessened. If the
E 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 Inserument, whether or not then due, with any eacess paid to Borrower. If :
~ Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
i oflcred to settie a claim, then Lender may collect the insurance proceeds. Ixnder 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. j
f Unless L,ender and 9orrawer otherwise agree in writing, any application of proceeds to principal shall not extend or
; pc~tpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the payments. If
€ under paragrap~h 19 the Property is acquirod by I.ender, Borro~er's right to any insurance policies and proceeds resulting
from damage to the Property prior to the acquisition shafl pass to L,ender to the extent of the sums secured by this Security
,
Instrument immediately prior to the acquisicion.
? 6. Prae~ation and Miintp~ance of Property; I.easeholds. Borrower shall not destroy, damage or substantially '
' change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, ~
Bonower shall comply with the provisions of the lease, ared if Borrower acquires fee title to the Property, the leasehold and ' ~
fee title shall not mer~e unless Lender agrces to the merger in writing.
1. Protection of Lender's Rights in tbe Property; tiortgngt Insurance. If Borrow-er fails to perform the
covenants and agreements coniained in this Security 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 L.ender may do and pay for whatever is necessary to protect the value of the 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
Lender may take action under this paragraph 7, Lender does not have to do so.
Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this ~
Security Instrument. Unless Borrow•er and Lender agree to other terms of payment, these amounts shall bear interest Gom
` the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower
i
> requesti~g payment. Q p ~w_
~ u? ~lzi ~
~ 913
~ ~ , . ~ . ~SU ~„3E ~~~4
~ - • ~ • ~ ~1~7K ~
- - _ . , , ~ ~~r-.:
_ ~ ~.z..~ ~
~ _