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HomeMy WebLinkAbout0934 UNiFOttM CovFNnNTS. Bor~owcr and Lender covenant and ag~ee as follows: 1, Psyment of Prlncipal sund Inte~eat; P~epayment and L~tte Charges. 8orrower shall promptly pay whe~ due the principal of and interest an the debt evideeced by the Note and any prepayment and late charges due under the Note. 2, Funds tor Taxes xnd Inaurance. Subject to applicable law or ta a wrilten waiver by Lender, Borrower shall pay to Lender on the day monthly payments are duc undcr thc Note~ until the Note is paid in Pull~ a sum ("Funds") equal to , one•twelRh of: (a) yearly taxes and assessments which may attain priority over this Security Instrument; (b) yearly !et?sehold payments or ground rents on the Property~ if any; (c) yearly hazard insurance premiums; anci (d) yearly ' mortgage insurance premiums, if any. These items sre called "escrow items." Lender may estimate the Funds due on ~he ~ basis of current data and reasonable estimates of future escrow items. ` The Funds shall be held in an institution the d~posits or accounts of which are insured or guaranteed by a federal or ~ state agency (including Lender if T.ender is such an institution). Lender shall appty the Funds to pay the escrow items. ~ Lender may not charge for holding and applyiag the Funds, analyzing the account or verii'ying the escrow items, unless t. Lender pays Borrower 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. Unless an agreement is made or applicable taw ~ requires interest to be paid, Ixnder shall not be required to pay Borrower any intcrest or earnings on the Funds. I.ender shall give to Borrower, without charge. an annual accounting of the Funds showing credits and debits to the Funds and the pur{wse for which each debit ta the Funds was made. The Funds are pledged as additional security far the sums secured by ' ~ this Security Instrument. lf the amount of the Funds h~ld by I.ender, together with the future monthly payments 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 option. either promptly repaid to Borrower or credited to Borrower on monthiy payments of Funds. If the amount of the Funds held by I.endei is not sufficient to pay the escrow items when due, Borrower shall pa~ to I.ender any = amount necessary to make up the deficiency in one or more payments as required by L.ender. ~ Upon payment in~full of all sums secured by this Security Instrument, L.ender shall promptly refund to Borrower any Funds held by I.ender. lf under paragraph 19 the Property is sold or acquired by Lender, I.ender shalt apply, no later than immediately prior to the sale of the Property or its acquisition by L,ender. any Funds held by I.ender at the time of application as a credit against the sums secured by this Security Instrument. ~ 3. Application of P~yments. Unless applicable law pravides 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 paragrnph 2; fourth~ to interest due; and last, to principal due. ` 4. Charges; Lieas. Borrower shall pay aU taxes, 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 person owed payment. Borrower shall promptly furnish to Lender all notices oi'amounts ; to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to L,ender receipts evidencing the payments. ' Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agre~es in writing to the payment of the obligation secured by the lien in a manner acceptable to I.ender; (b) contests in good faith the lien by. or defends against enforcement of the lien in, legal proceedings which in the Yxnder's opinion operate to prevent the enForcement of the lien or forfeiture of any part of the Property; or (c) secures Gom the holder of the lien 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 attain priority over this Security Instrumertt. Lender may give Borrower a ~ notice identifying the lien. Borrower shatl satisfy the lien or take one or more of the aclions set Porth above within 10 days ; of the giving of notice. ~ 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereaCter erected on the Property ~ insured against loss by flre, hazards included within the term "eatended coverage" and any other hazards for which Lender requires insurance. This insurance shall be maintained in the amounts and for the periods that I.ender requires. The ~ insurance carrier providing the insurance shatt be chosen by Borrower subject to Lender's approval which shall not be unreasonably withheld. 4 A~I insurance policies and renewals shall be acceptable to Le~der and shall include a standard mortgage clause. c I,ender shall have the right to hold the policies and renewals. If I.ender 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 L.ender. L,ender may make proof of loss if not made promptly by Borrower. Unless I,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 economically feasibte and L.ender's security is not lessened. If the 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 Sccurity Instrument, whether or not then due, with any excess paid to Borrower. If @orrower abandons the Property, or dces not answer within 30 days a notice from I.ender ihat the insurance carrier has offered to settte a claim, then Lender may coltect the insurance proceeds. l.tnder 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 principat 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. 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 acquisition shall pass to Lender to the extent of the sums secured by this Security ~ Instrument immediately prior to the acquisition. 6. Presenation and Maintens~nce oi Property; Lease6olda. Borrower shall not destroy, damage or substantially ~ change the Property, allow the Property to deteriorate or commit waste. If this Socurity Instrument is on a leasehold, Borrower shall comply with the provisions of the tease; and if 8orrower acquires fee title to the Property, the leasehold and ~ fee title shall not merge unless Lender agrees to the merger in writing. ~ 7. Protection of Lender's Rights in the Property; Mortg,age Insurance. If Borrower fails to perform the ~ covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significandy afTect Lender's rights in the Property (such as a procetding in bankruptcy. probate, for condemnation or to enforce laws or regulations), the~ Lender may do and pay for whatever is necessary to protect the value of the Propeny and Lender's rights in the Property. Lender's actions may inciude 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 dces 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 Borrower and Lender agree to other terms of paymeat, these amounts shall bear interest from ~ the date of disbursement at the Note rate and shall be~ayable, with interest, upon notice from L,ender to Bc~rrower ~ requesting payrr~eni. ~ B~oK 544 ~A~~ 933 ~ ~ , . .