Loading...
HomeMy WebLinkAbout0996 UNIFORM COVENANTS Borrow~r and Lender cavenanl and agree ~s follows: ~ 1. Psyment ot Principal and lnterest; Prepayment and I.ate Charges. Borrow~er shali promptl~~ pay ~~hen clue the principal of and interest on the debt evidenced by the Note and any prepayment and late charges due under the Note. 2. Funds for Taxes And Insur~nce. Subject to applicable law or to a written waiver by Lender, Borrower shaU ~ay 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-twelith of: (a) yearly taxes and assessments which may attain priority over this Securitp 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 caUed "escraw items." Lender may estimate the Funds due on the basis of current da~a and reasonable estimates of future es~:row items. The Funds shal! be held in an insiitution the deposits or accounts of which are insur..~ or guaranteed by a federal or state agency (including Lender if I.ender is such an institution). Lender shall apply the Funds to r:~y the escraw items. Lender may not charge for holding and applying the Funds, analyzing the account or verifying !he escrow items, unless L"ender pays Borrower interest on the Funds and applicable taw permits Lender to make such a charge. Borroa~er and Lender may agree in writing that interest shall be paid on the Funds. Uniess an agreement is made or appiicable law requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funcis. Lender shall give to Borrower, without charge, an annual accounting of the Fur.ds 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 secured by this Security Instrument. If the amount of the Funds held by Lender, together with the future monthly paymenis of Funds payable prior to the due dates of the escrow items, shall exceed the amount required to pay the escrow• items when due, the excess shall be, at Borrower's aption, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. lf the amount of the Funds held by Lender is not sufficient to pay the escrow~ items when due, Borrow~er shall pay to Lender any amount necessary to make up the deficiency in one or more payments as required b~~ Lender. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Lender shall apply, no later 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. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be apptied: first, to late charges due under the Note; second, to prepayment charges due under the '~'ote; third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due. 4, Charges; Liens. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority o~•er this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pa~~ 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 ow~ed payment. Borrower shall promptly furnish to Lender al! notices ~f amounts to be paid under this paragraph. If Borrow~er makes these payments directly. Borrow•er shall promptly furnish to Lender receipts evidencing the payments. Borrower shall promptly discharge an~~ lien w•hich has priorit~~ over this Security Instrument unless Barrow•er. (a) agrees in writing to the payment o(the obligation secured b}~ the lien in a manner acceptabte 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 operare to prevent the enforcement of the tien or forfeiture of an}~ part of the Property; or (c) secures from the holder of the lien an agreement satisfartory to Lender subordinating the lien to this Security Instrument. If Lender determines that an}• part of . the Property is subject to a lien w•hich may attain priority o~•er thic Security~ lnstrument, Lender ma}~ gi~'e Barrow•er a notice identify°ing the lien. Borrow~er shall satisfy the lien or take one or more of the actions set forth abo~~e ~~ithin 10 days oi the giving af notice. 5, Hazard Insurance. Borrow~er shalt keep the improremenls now~ existing or hereafter erected on the Propert}' insured against loss by fire, hazards included within the term "extended co~erage" and an}• other hazards for w~hich Lender requires insurance. This insuranre shall be mainiained in the amounts and far the periods that I.ender requires. The insurance carrier pro~~iding the insurance shall be chosen hy E3o~re~~er suhject to Lender's appro~~al w•hich shaii not be unreasonably Withheld. A(1 insurance policies and renew~als shall be acceptable to Lender and ~hall inrlude a standard mortgage clause. Lender shall have the right to hold the policies and renew~als. If Lender requires, E3orruw•er tihall promptl~~ give to Lender a!1 receipts of paid premiums and rene~~al notices. In the event of lotis, Borrower shall gi~e prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptl}~ b}~ Burrow•er. Unless Lender and Borrower otherw•ise agree in w riting, insurance prcx;eed, shall be applied ta restoration or repair of the Property damaged, if the restoration or repair is econamicaNy feasible and Lender's securit}~ is not lessened. If the restoration ar repair is not economically feasible or Lender's securit}~ u~ould be lessened, the insuran~e proceeds shall be applied io the sums secured b}~ this Security Instrument, ~•hether or not then due, w~ith any excess paid to Borrower. If Borrower abandons the Propert~~, or does not ansH~er w~ithin 30 days a notice from Lender that the insurance carrier has offered to settle a claim, then Lender may collect the insurance proreeds. Lender ma}• use the proceeds to repair or restore the Property or to pay sums secured by this Securit}~ Instrument, whether or not then due. The 30-day period wil) begin when the notice is given. Unless Lenrler and Borrower otherw•ise agree in w•riting, 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 amaunt of the payments. If under paragraph 19 the Property is acquired by Lender, Borrow•er's right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender ro the extent of the sums secured b~~ this Security Instrument immediately prior to the acquisition. ~ 6. Preservation snd ~iaiatenance of Property; Leaseholds. Borrower shall not destroy, damage or substantiall}~ 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 title to the Property~, the leasehold and Cee title shall not merge unless Lender agrees to the merger in w•riting. 7. Protection of Lender's Rights in the Property; ~lortgage Insurance. If B~rrou~er fails to perform the c~venants and agreements contained in this Security Instrument, or there is a legal proceeding that ma}~ significantly af~'ect 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 ~~aiue of tne Property~ and Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien w•hich has pri~rity over this Security Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to make repairs. Although Ler~der 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 Borrow~er serured b}~ this Security Instrument. Unless Borrower and Lender agree to other terms of paS~ment, these amounts shall bear interest from the date of disbursement at the Note rate and shall be pay~able, with interest, upon notice from ixnder to Borrower requesting payment. F ~96 ~ ~ _ _ . . ~ - ;