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It Lender required mortgage insurance as a condition of making the loan sccured by this Security lnstrument. ~
Borrower shall pay the prtmiums required to maintain the insurance in effect until such time as the rcquirement for the ~
insurance tecminates in accordance with Borrowef's an~ Lendet's written agrcement or applicable law. ;
8, Inspection. Lender or its agent may make reasonable entria upon and inspections of Che Property. I.ender ~
shall give $orrower notice at the timeof or prior to an inspoction specifying reasonable cause for th~ inspection. i
9, Condemnation. The proceeds of any award or claim t'or damages, direct or consequential, in connection with ~
any condemnation or other taking of any part of the Property, or for conveyance in licu of condemnation, are hereby ~
assigned and shall be paid to Lender. ~ !
In the event of a total taking of the Property, the proceeds shall be applied to the sums socured by this Security
InstrUment. whether or not then due. with any excess paid to Borrower. In the event of a partial taking of the Property,
unless Borrower and Lender otherwise agree in writing. the sums secured by this Security Instrument shall be reduced by ~
the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immedistely ~
before the taking. divided by (b) the fair market value of the Property immediately before tht taking. Any balance shall bc ~
paid to Borrower.
If the PropeRy is abandoned by Borrower, or if, after notice by Lender to Borrowec that the condemnor otCers to
make an award or settle a claim for damages. Borrower fails to respond to Lender within 3Q days after the date the notice is
given, Lender is suthorized to collect and apply the proceeds. at its option, either to restoration or repair of the Property or
to the sums secured by this Security Instrument, whether or not then due.
Unless Lender and Borcower otherwice agra in writing, any application of proceeds to principal shatt not extend or
postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of such payments.
10. Borrower 1~3ot Releaaed; Forbearance By I.ender Not a Walrer. Eatension of the time for payment or
modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor in
interest of Bonower shall not operate to release the liability o: the original Borrower or Borrower's succusors in interest.
Lender shall not be required to commence proceedings against any successor in interest or refuse to eztend time for
paymrnt or otherwise modify amonization of the sums secured by this Security Instrumtnt by reason of any demand made
by the original Bonower or Borrower's successors in interest. Any forbearance by Lender in exercising any right or remody
shall not be a waiver of or preclude the exercise of any right or remedy.
11. Successors and Assigns Bound; Joiat aed Se~enl I.tability; Co-signers. The covenants and agreements of
this Security Instrument shalt bind and benefit the succtssors and assigns of Lender and Borrower, subject to the provisions
of paragraph 17. Bonower's covenants and agreements shall be joint and several. Any Borrower who co-signs this Security
Instrvment but dces not execute the Note: (a) is casigning this Sccurity Instrum~nt only to mortgage, grant and convey
that Bonower's interest in the Property under the terms of this Security Instrument; (b) is not personaUy obligated to pay
the sums secured by this Security Instrument; and (c) agrees thai I.ender and any other Borrower may agree to extend,
modify, forbear or make any accommodations with regard to the terms of this Security Instrument or the Note without
that Borrower's consent.
12. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan
charges, and that law is finally interpreted so that the :nterest or other loan charges collected or to be collected in ~
connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount
necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which eacceded
permitted limits will be refunded to Borrower. Lender may choose to make this refund by reducing the principal owed
under the Note or by making a direct payment to Borrower. If a refund roduces principal, the reduction will be treated as a
partial prepayment without any prepayment charge under the Note.
13. Legistatioa Atteeting I.ender's Righta. If enactment or expiration of applicable laws has the effect of
~ rendering any provision of the Note or this Security lnstrument unenforceable according to its terms, L.ender, at its option,
~ may require immediate payment in fuil of all sums secured by this Security Instrument and may invoke any remedies
~ permitted by paragraph j9. If I.ender exercises this option, Lender shall take the steps specified in the second paragraph of
t paragraph 17.
14. iVotices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it or by
~ mailing it by first class mail unless applicable law requires use of another method. The notice shall be directed to the
~ Property Address or any other address Borrower designates by notice to Lender. Any notice to Lender shall be given by
first ciass mail to L.ender's address stated herein or any other address I.ender designates by notice to Borrower. Any notice
provided for in this Security Instrument shall be deemed to have been given to Borrower or Lender when given as provided
in this paragraph.
15. Go~erning Law; Sererability. This Security Instrument shall be governed by federal law and the law of the
jurisdiction in which the Property is located. In the event that any provision or clause of this Security Instrument or the
Note conflicts with applicable law, such conflict shall not a!f'ect other Frovisions of this Security Instrument or the Note
~ which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the ~
Note are declared to be severable. ~
16. Borrower's Copy. Borrower shall be given one conformed copy of the Note and of this Security Ir~strument. ~
1'. Transfer of t6e Pro~erty or a Beneficial Intereat in Borrower. If all or any part of the Property or any ~
interest in it is sold or transferred (or if a beneficial interat in Borrower is sold or transferred and Borrower is not a natural ~
person) aithout Lender's prior written consent, Lender may, at its option, require immediate payment in full of all sums ~
secured by this Security Instrumtnt. However, this oFtion shalt not be exercised by Ixnder if exerciu is prohibited by
federal iaw as of the date of this Security Instrument. ~
If Lender exercists this option. Lender shall give Bonower notice of acceleration. The notice shali provide a period ~
~ of not less than 30 days from the date the notice is delivered or mailod within which Borrower must pay all sums secured by
this Security Instrument. If Bonower fails to pay these sums prior to the eapiration of this period, Lender may invoke any
remedies perrc~itted by this Security Instrumrnt without further notice or demand on Borcower.
18. Borrower's RIg6t to Reinstate. If Borrower meets certain conditions, Borrowcr shall have the right to have ~
enforcement of this Security Instrument discontinutd at any time prior to the earlier of: {a) S days (or such other period as
applicable Iaw~ may specify for reinstatement) before sak of th~ Property pursuant to any power of sale contained in this i
Security Instrument; or (b) entry of a judgment enforcing this Sxurity Instrumrnt. Those conditions art that Borrower:
(a) pays Lender all sums which then weuld be due under .this Security Instrument and thc Note had no acceleration
occurrod; (b) cures any default of any other covenants or agreements; (c) pays all eapenses incurred in enforcing this
Security Instrument, including, but not limited to, reasonable attorneys' fas; and (d) takes such action as Lender may ,
reasonably require to assure that the lien of this Socurity Instrument, Lcnder's rights in the Property and Horrower's '
obligation to pay the sums socurcd by this Socurity Instrument shall continue unchanged. Upon reinstatemrnt by
Borrower. this Security Instrument and the obligations secured hereby shall remain fully e$octive as if no acceleration had
occurred. However, this right to reinstate shall not apply in the case of accelention unaep phs 13 or
aoo~ ~ACE ~37
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