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HomeMy WebLinkAbout0926 UNIFORM COVENANTS. Bor~ower and Lender covenant and agree as tollows - 1. Payment of Principal and Interest: Prepayment a~d Late Chargea. BorrowerShait promptiy pay when due th~ pr~nc~pal ot and interest on the debt evidenced by thd Note and any prepayment and late charges due under the Note. Funds for Taxes and (nsurance. Subject to applicable law or to a wrrtten wa~ver by Lender, Borrower shall pay to Lender on the day monthly payments are due under the Note, until the Note is paid in full, a sum ("Funds") equal to one-tweltth 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. +f any. These items are called 'escrow items." Lender may estimate the Funds due o~ the basis of current data and reasonable estimates of future escrow items. The Funds sha{I be held in an inst+tution the de,~osits or accounts ot which are ~nsured or guaranteed by a federal o? state agency (inctuding Lender if lende? is such an ~nstitution) Lender shatl apply the Funds to pay the escrow items Lender may not charge for holding and applying the Funds, analyZing the account or ver~fying the es~row items, unless Lender pays Borrower ~nterest on the Funds and applicable law permits Lender to make such a charge. Borr~wer and Lender may agree in writing that ~nterest shall be paid on the Funds. Untess an agreement is made or applicable !aw requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. lender shall give to Borrower, w~thout charge, an annual account~ng o( the Funds showing credits and deb~ts to the Funds and the purpose for which each debit :o the Funds was made The Funds are pledged as additional security for the sums secured by this Securitv Instrument. If the amou~t of the Funds held by Lender, together w~th the future monthly payments of Funds payable pr,or to the due dates of che escrow items, shall exceed the amount required to pay the escrow items when due, the excess shall be, at Borrower's option, e~ther promptly repaid to Borrower o~ credited to 8o?r~we? on monthly payments of Funds. If the amount of the Funds held by Lender ~s not sutficient to pay the escrow items when due. Borrower shall pay to Lender any amount necessary to make up the deficiency ~n one or more payments as required by Lender. Upon payment in full of all sums secured by this Security Instrument. Len~er shall promptty refund to Borrower any Funds held by Lender. It under paragraph 13 the Property fs sold or acquired by lender. Lender shal! apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the t~me oi application as a credit against the sums secured by this Security Instrument. 3. Application of Paymenta. Unless applicable law provides otherwise, all payments received by Lender 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 payable under paragraph 2; fourth, to interest due: and last, to principal due. 4. Chargea; Liena. 8orrower shall pay all taxes, assessments, charges, tines and impositions attributable to the Property wh~ch may attain priority over this Security Instrument, and leasehotd payments or ground rents, if any. Borrower shall pay these obligations in the m~nner provided in paragraph 2, or it not paid in that manner, Borrower shall pay them on time directly to tt~e person owed payment. Borrower shall promptly furnish to Lender all notices of amounts to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender receipis evidencing the payments. Borrower shall promptly discharge any tien which has priority over this Security Instrument unless Borrower: (a) agrees in wr~ting to the payment of the obligation secured by the lien in a manner acceptable to Lender; ~b} contests in good faith the Iien by, or de~ends against enforcement af the lien in, legal proceedings which in the Lender's opinion operate to prevent the eniorcement uf the lien or forfeiture of any part oi the Property; or (c) secures froen the holder of the iien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. If lender determines that any part of the Property is subject to a lien which may atta~n priority over this Security Instrument. Lender may give Borrower a notice identifyiny the lien. Borrower shall satisfy the lien or ' take one or more of the actions set forth above within 1 O days of the giving of notice. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage'" and any other hazards fo~ which Lender requires ~nsurance. 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 Lender's approval which shall not be unreasonably withheld. All insurance policies and renewa~s shall be acceptable to Lender a~d shall include a standard mortgage clause. Lender shall have the righi to hold the policies and renewals. If lender requi~es, 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 ihe insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless lender and Bor~ower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, if the restoration nr repair is economically feasible and Lender's security is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insu~ance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to 9orrower. If Borrower abandons the Property. or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may collect 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 then due. The 30-day period will begin when the notice is given. Unless 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 1 and 2 or change the amount of the payments. tf under paragraph 19 the Property is acquired by lender, Borrower's right to any insurance policies and proceeds resulting from damage to the Property pr~or to the acquisition shall pass to Len~ier to the extent of the sums secured by this Securiiy lnstrument immediately prior to the ecquisition. 6. P~eservation and Maintenance of Property; Leaseholds. 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. Borrower shall comply with the provisions of the lease, and if Borrower acquires fee iitle to the Property, the leasehold and tee titte shall not merge unless Lender agrees to the merger in writing. 7. Protection of Lender's Rights in the Property; Mortgaga Insurance. If t3orrower fails to perform the covenants and agreements contained 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 Lender may do and pay for whatever is necessary to protect the vatue of the Property and Lender"s rights in the Property. Lender's actions may include paying any sums secu~ed by a lien which has priority over lhis Security Instrument, appearing in court, paying reasonabfe attorneys" f~es and entering on the Property to make repairs. Aithough Lender may take action under this paragraph 7, Lender does not have to do so. Any amourtis disbursed by Le~der under this paragraph 7 sha~l become additional debt of Borrower secured by this Security Insirument. llnfess Borrower and Lender agree to other terms of payment, these amounts shall bear interest from the date of disbursement at the Note rate and shall be payable, with interest, upon notice from lender to Borrower requesting payment. If Lender required mortgage insurance as a condition ot making the loan secvred by this S2cur~ty Instrument, Borrower shall pay the premiums required to maintain the insurance in effecl until such time as the requirement for the insurance terminates in accordance with Borrower's and Lender's written agreement or applicable law. 8. Inspection. Lender or its agent rnay make reasonable entries upon and inspections of the Property. Lender shall give Borrowsr notice at the time of or prior to an inspection specifying reasonable cause for the inspection. 9. Condemnation. The proceeds of any award or claim for damages, direci or consequential, in connection wi?h any condemnation or other taking of any part of the Property, or far conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender. ~ 4~ ~ ~~S ~ ~ , ~ ,~-~,d- `~x , L ~