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HomeMy WebLinkAbout0942 UN1PO[ttK CovEN~NTS. Borrowcr and I.ender covEnant and ~?gree as follows: 1. Paymeat oI Priscipai and Iattres~ PreNayscnt a~d Lste £orrc~w~ shall promptly psy when due the principal of and interest a~ the debt evidenced by the Note and any prepuyment and late charqa due under the Notc. 2. Flends for Tua aad Insuruce. Subjoct to applirabk law or to a writt~n waiver by I.ender. Hosrower shall pay to I.ender on the day noathly paymeaits are dur undtr the Note, untD the Note is paid in full, a sum ("Funds") equal to ono-twelRh of (a) y~rly taxes and asssesssmments which may attaun priority over this Security Instrument; (b) yearly Icasehold payments ot gra.uid rents on the Properiy. if any; (c) yearly hazard insurance pren?iums; and (d) yearly mortgage insurar_oe prcmiums, if any. Thex items are called "escrow items." Lender niay estimate the Funds d:?e on the basis of current data ar-d tea~nable estimates of futun Escrow items. The Funds shall be hdd in an institutian the depasits or sccounts ~f which are insurai or guarantad by a federal or state agency (includinR Lender if Lender is such an institution). I.ender shall apply the Funds to pa~r !he escrow items. LeE~der may not charge for holding and applying the Funds. anslyzing the accoant or verifying the escrow items. unless Lende; ;~ays Bornower interest on the Funds and appiicable law permits Lec~der to make such a charge. Borrowcr and Lendet may agra in writing that interest shall be paid on th~ Funds. Unltss an agreement is made ar applicable law requires intuest to te paid~ Ixn~er shall net be requirod to pay Borrower any interest or earnings on the Funds. L.ender shall give to Borrower, without chargt, an annual axounting af the Fuads showing credits and debits to the Funds and the purpose for v?rhicis each debit to the Funds was made. T6~ Funds are plodged ss additional security for the sums secured by this Socurity Instrument. If the amount of the Funds held by I.en~er~ together with the future monthly payments of Funds payable prior ta - the due dates of the escruw items~ shall eace~d the amount required to psy the escrow items whcn due, the eacess shall be, at Borrower's option. either promptly reQaid to Borrower or c~cditod to Borrower on monthly payments of Funds. If the amou:tt of ~he Funds held by Lender is not sufficient to pay the escrow items whtn due, Borrower shall pay to Lender any amount noces.cary to make up the de6ciency in one or mon payments as required by Lendtr. Upon payment in full of all sums secwed by this Security Instrument, Lender shall promptly nfund to Bonower any Funds held by I.ender. If under paragraph 19 the Property is sold or acquirod by Lender, Lender shall apply, r.o later than immodiately prior to the sale of the ~roperty or its acqui~ition by Lender, any Funds held by Lender at the time of applicapon as a credit against the swns secured by this Secw~ity Instruraent. 3. AppiIcatiaa of Paymeats. Unless appHcable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to Iate charges due under the Note; second, to prepayment charges due under the Note; third, to amounts payable undu paragraph 2; fourth, to interest due; and last, to principal due. 4. Cbarge~ I3eas. Horrower shall pay all taxes, assessments, charges, fines and impcuitions attributable to the Property which may attain priority over this Security Instrument~ and le~sehold payments or ground rents, if any. Borrower shaU pay these obGgations in the manaer provided in paragraph 2. or if not paid in that manner. Borrower shall pay them on time diroctly to the person owed payment. Borrower shall proo~ptly furnish to L.ender ail notices of amounts to be paid under this p~ragrap6. If Borrower makes thcs~ payments directly, Borrower shall prompdy furnish to Lender receipts evidencing the payments. Borrower shall piomptly 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 acxeptable to Lender, (b) contests in good faith the lien by, or defends against rnforcement of'the li~n 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 from the holder of the lien an . agreement satisfactory to Lender subordinating the Gen 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 Instrumeni, Lender may give Bonower 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. Hn~rd Insnrance. Borrower shall keep the improvements now existing or hereafter erected on the Prnperty - insured against loss by fire, hazards included within the term "extended coverage" and any other hazards for which Lender requires insuranct. This insurance shall be maintained in the amounts and for the periods that Lender requires. 'The insurance carrier providing the insurance shall be chosen by Borrower subject to L.ender's approval which shall not be j unreasongbly withheld. A~1 insurance poGcies and renewals shall be acceptable to Lender and shall inclu.ie a standard mortgage clause. I.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, Borruwer shali give prompt notice to the insurance ~ carrier and Lender. Lender may make proof of toss if not made prompt!~r by Borrower. Unless Lender and Borrower otherv~-ise agrce in writirlg, insurance proceads shali be applied to restoration or repair of the Property damaged. if ~he restoration or repair is economicallj feasible and Lender's security is not lessened. If the restora::~;. :.r repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be applied to the sums secured by this Sece~rity 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 o8'ered to settle a claim, then Lender may coilect the insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this Security Instrument, whether or not ihen due. The 30-day period will begin when the notice is given. . LTntess I,ender and Borrower otherwise agree in writing, any applecation of proceeds to principal shall not extend or postpone the due date of the monthly payments refened to in paragraphs 1 and 2 or change the amount 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 acq~<isition shali pass to I.ender tc :he eztent of the sums secured by this 5ecurity ~ Instrument immediately prior to the acquisition. , 6. Preservatioo and Maintenance ot Prsperty; I.ease6olds. Bonower shall not destroy, damage or substantially : change the Property, allow the Property to d~teri~rate or commit waste. If 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 n~t merge unless Lender agrees to the merger in writing_ 7. Prote~tion of Lender's Rig6ts in the Pr~perty; MortKage Insursnce. It~ Borruw~r fails to perform the covenants and agreements cor~tainod in this Seeurity Instrumen:, os there is a legal proceeding that may significantly affect Lender's rights in the Property (su~h ~s 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 the Property and i.ender's rights in the Property. I.ender's actions may include paying any sums secure~d by a lien which has ~riority over thcs Security Instrument, appearing in court, paying reasonabte aitorneys' fas and ertter.ng on the Yroperty to make rep~irs. Althoug;~ i Lrnder n~ay take action under this paragraph 7, Lender dces not have to do so. ~ ' Any amounts disbursed by Lender under this paragraph 7 shall become ac;diticnal debt of Bor. awer secured by this Security Instrumer.t. Un1~cs Borrower and Lender agree to other terms of payment, tl:ese amo~nts shall bear interest from the date of disbursemeni at th~ Note rate aad shall be pa.yable, with :nterest, upon notice from Lender to Borrower requesting payment. eoo~ ~94 P,~ 9~Q _ _ - _ _ - _ _ . - - - - = - - - - _