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HomeMy WebLinkAbout0959 UNIFORM COVEN~NTS. Borrower and Lendcr covenant and ag~ce as tollowr. l. P~yment of Pciacipat and Iaterat; Prapaymant and Late Charges, Borrower shall promptly pay wh~n due the principat of and interat o~ the debt evidcnced by the Note and any prepayment and late charges due under the Note. 2. Funds tor Taxa aad Iasurance. Subjxt to applicable law or to a written waiver by Lender. Borrower shall pay to Lende~ on the dny monthly payments are due under the Note. until thc Note is paid in full, a sum ("Funds") equal to one-twelRh oC (a) yearly taxes and assessmenu which may attain priority over this Security Instrumenr (b) yearly leasehold paymenu or ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly mortgage insurance prcmiums, if any. These items are called "escrow items." I.ender may estimate the Funds due on the basis of current daw and reasonable estiraates of futur~ escrow items. The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a federal or state agency (including Lender if Lender is such an institution). I.ender shall apply the Funds to pay the escrow items. L.ender may not charge for holding and applying tbe Funds, analyzing the aceount or veriCying the escrow items. untas Lender pays Borrower interat on the~Funds and applicable law permits Lendes to make such a cf?arge. Borrower and Lender may agree in writing that interat shall be paid on the Funds. Un[ess an agreement is made or applicable !aw requira interest to be paid, Lendcr shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Bonower, without charge. an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. 'I'he Funds are pledgcd as additional security for the sums securcd by ' this Socurity Instrument. If the amount of the Funds h~ld by I,ender. together with the future monthly E+ayments of Funds payable prior to th~ due dates of the escrow items, shall excoed the amount required to pay the escrow items when due. the excess shall be, at Borrowar's option~ eitha promptly repaid to B~rrower or credited to Bonower on monthly paymcnts of Funds. If the amount of the Funds held by L,ender is not sufficient to pay the esetow items when due. Borrower shall pay to Lender any amount necasary to make up the deficiency in ant or more payments as roquired by Lender. Upon payment in full of all sums secured by this Secucity Instrument~ I.ender shal! promptly retund to Bonower any Funds held by I.ender. If under paragmph 19 the •Property is sold or acquired by ~Lender. I.ender shall apply, no later ' than immediatety prior to the sale of the Proptrty or its acquisition by Lcnder, any Funds held by Lender at the time of ` apptication as a credit against the sums socured by this Secwity Instrument. 3. Applieation of Paymenb. Unlas applicable law provides otherwise, alI payments receivcd by Lender under _ paragraphs 1 and 2 shall be apptied: first, to late charges due under the Notr, second. to propayment charges due undeg the Notr, third. to amounu payable under paragraph 2; fourth~ to interest due; and last, to principal due. 4. Cbuges; Llens. Bortowec sha11 pay all taues~ assessments, charges, fines and impositions attributabl~ to the Property which may attain ~priority aver this Security Instniment, and leasehold payments or ground rents, iC any. - $orrower shaJl 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 shat[ pn~mptly furnish to Lender a!! notices of amounts ~ to be paid under this paragraph. If Bortower makes these paymcnts directly. Borrower shall promptly furnish ta Lender = receipts evidencing the payments. ~ Borrower shall promptly discharge any lien which has priority over this Securiry InstrumEnt untess Borrowcr: (a) ~ agras in writing to the payment of the obligatian secured by the lien en a manner acceptable to Lender, (b) contrsts in good faith the lien by~ or d~fends against enforcement of the lien in~ legal procadings which in the Lender's oPir,ion operate to prevent the rnforcement of the lien or forfeitur~ of any part of the Property; or (e) secures from the holder of the lien an agreement satisfactory to L,ender subordinating the lim to t6is Security InsWment. If Lender detumines that any part of the Property is subject to a licn which may attain priority over this Security Instrument. Lender may give Bonower a notice idrntifying the litn. Borrower shall satisfy the lirn or take one or more of the actions set forth above within 10 days of the giving of notice. S. Haurd Insuraace. Borrower shall kap the improvements now existing or hereaf~er er~ta! on the Property insur~d against loss by fire. hazards included within the term "eatended coverage" and any other hazards for which Lender requires insurance. Tl~is insurance shall be maintained in the amounts and for the periods that Lender requires. Th~ insurance carrier providing the insuranct shall be chosen by Borrower subject to Lender's approvai which shall not be unreasonably withheld. All insurance policia and tenewals shall be acceptable to L.ender and shall include a standard moRgage clause. ` Lender shall have the right to hold the policies and renewals. If Lender requira, Bonower shall promptly give to Lend~r all receipts of paid premiums and renewal notices. In the event of toss, Borrower shall give prompt notice to the insurance carrier and Lendcr. Lender may make proof of loss if not made promptly by Borrower. ~ Unless Lender and Borrower otherwise agra in writing. insur~nce procads shall be applied to restoration or repair ~ of the Property damaged, if the restoration or repair is oconomically feasible and Lender's security is not luscnai. If the ~ - restoration or repair is not oconomically feasible or Lender's security would be lessenad, the insurance proceeds shall be ` apptied to the sums sacured by this Security Instrumrnt. whether or not then due. with any excas paid to Borrower. If Borrower abandons the Proptrty, or dors not answer within 30 days a notice from Lender that the insurance carrier has ~ oft'ered to settle a claim, then Lender may collect the insurance proceeds. Lender may uu the proceods to repair or restore ; the Property or to pay sums sxured by this S~cur~ty Instrument. whether or not thrn due. The 30-day period wiQ begin ~ when the notice is givrn. Unless Lender and BorrQwer otherwise agr~e in writing. any application of proceeds to principai shall not extend or postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or cbange the amount of the payments. If under paragraph 19 the Property is acquired by Lender. Borrowcr's right to any insuranee policia and proceeds resulting - from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums securcd by this Security ~ Instrument immediately prior to the acquisition. 6. Presenation snd Maintenance of Propetty; Lesseholds. Botrower shall not datroy, damage or substantially chango the Property, allow the Property to deteriorato or commit waste. If this Security Instrument is on a leasehold, Borrower shall comply with the provisions of the lrast, and if Borrower acquira fee title to the Property~ thc lez?szhold and fee title shall not merge unlas Lrnder agras to the merger in writing. Protection oi Lender's Rights in We Property; Mortgs~ge Insurance. If Borrower fails to perform the covenants and agreements contained in this SECUrity Instrument, or there is a legal procecding that may significantly affect Lender's rights in the Property (such ~s a proceeding in bankruptcy, probatc, for condemnation or to enforce laws or regulations), then Lender may do and pay for what~ver is necessary to protect the value of the Property and Lendcr's rights in the Property. Lender's actions may include paying any sums securcd by a lien which has priority ovtr this Security Instrument, appearing in court, paying reasonable attorneys' fea and entering on the Property to make repairs. Although Lender may take action under this paragraph 7. Lender doa not have to do so. Any amounts disbursed by Lender under this paragraph 7 shall become additional debt of Borrower secured by this " Security Instrum~nt. Unlas Borrower and Lender agret to other terms otpayment, these amounts shall bear interat from the date of disbursemant at the Note rate and shall be payable, with interest, upon notice trom Ixnder to Bonower requesting payment. r BOOK PAGE 9~9 $ Y ~ . - _ _ - . .