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HomeMy WebLinkAbout0949 ; ' ' . UNIFORM COVENANTS. Borrower and Lcnd~r covenant and agca as follows: l. Payment of Priecip•1 and iaterar, PrepaynKa~ and Late Cbar~ea. Borrowcr shall promptly pay when due the princtpal of and interest on the debt evidenced by the Note aad ~y prepayme~t and late charges due unde~ the Note. 2. I~~ads tor Tua aM Ie~aucaace. Subject to spplicuble l~w or to a aritten waiver by l.ender, Borrower shall pay to Lender on the day monthly payments are due under the Note, until the Note is paid in full~ a sum ("Fuads") cquai to onatwclRh of: (a) yearly taxes and assassmcnts which may attain priority over this Security Instrument; (b) yearly lcasehold payments or ground rmts on the Property, if any; (c) yearly hazard insurance premiums; and (d) yearly mortgage insurance premiums, if any. These items are callod "escrow items." I.ender may estimate the Funds duc on the basis of current data and reas~nable estimates of tl~tun e3crow items, The Funds shall be held in an institution the deposit~ or accounts of which are insured or guarantecd by a federal or statc agency (including I.ender if I.endcr is such an institution). Lender shall apply the Funds to pay the escrow items. Lender may not charge for holdittg and applying the Funds. analyting the account or verifying the escrow items, unless I.ender pays Borrower interest on the Funds and applicabte law permits Lender to rnake such a charge. Borrower and Lender may agrte in writing thet interest shall be paid on the Funds. Unless an agrcement is made or applicable law requires interest to be paid, Lsnder shall not be required to pay Borrower any interest 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 purpose for which each d~bit to the Funds was made. The Funds are pledgod as additional security for the sums secured by this Security Instruraent. If the amount of the Funds held by I.endtr. together with the future monthly payments of Funds payable prior to the due dates of the escruw items, shall excocd the amount required to pay the escrow items when due, the excess shall be, ~ at Bonower's option, either promptly repaid to Borrower or credited to Bonower on monthly payments of Funds. If the amount of the Funds held by Lender is not sufY'icient to pay the escrow items when due, Borrower shall pay to I.ender any amount necessary to malce up the deficicncy in one or mon payments as roquired by I.endtr. Upon payment in full of al! sums secared by this Security Instrument, Lender shall promptly refund to Bonower any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by I.ender. Lender shaU 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 Socurity Instrument. 3. AppllcaNon of Paymenta. Unless applicable law providcs otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: 6rst, 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. C6arge.~ Liens. `Borrower shall pay all taxes, asscssments, charges, fines and impositions attributable to the Property which may attain priority over this Socurity Instrument, and teasehold paymenis or ground rents; it' any. Borrower shall pay these obligations in the manner provided in paragraph 2, or if noi paid in that manner. Bonower shaU pay them on time directly to the person owed payment. Borrower shall promptly furnish to I.ender all notices of amounts to b~ paia under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments. Borrower shall promptly disch~rge any lien which has priority over this Security Instrument unless Borrower: (a) agrces in writing to the payment of the obligation socured by the lien in a manner acceptable tQ I.ender; (b) contests in good faith the lien by, or defends against enforccment of the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien or forfeiture of any part of the Properiy; or (c) secures from 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 Instrument. I.ender may give Borrower a notice identifying the lien. Borrower shall satisfy the tien or take one or more of the actions set forth above within 10 days of the giving of notiee. 5. H~zacd Iasurance. 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 for which Lender . requires insurance. 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. Alt insurance polieies and renewals shall be aceeptable to Lender and shall include a standard mortgage clause. Lender shall have the right to hold the policies and renewals. If Lender 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 Lender. I.ender may make proof of loss if not made promptty by Borrower. Unless I.ender and Bonower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, if the restoration or repair is economically feasible and I.ender's security is not lessened. If the restoration or repair is not economically feasible or I.ender's security would be l~sened, the insurance proceeds shall be applied to the sums secured by this Security Instrument, whether or not then due, with any eacess paid to Bonower. If , Borrower abandons the Property, or does not answer within 30 days a notice from I.ender that the insurance carrier has 1 ofterod to settle a claim, then Lender may coltect 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 sball not extend or postpone the due date of the monthly payments referred to in paragraphs 1 and Z or change the amonnt 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 sltall pass to Lender to the eatent of the sums secured by this Security Instrument immediately prior to the acquisition. 6. Preservstton and Maintenance ot 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 tease. and itBonower acquires fee title to the Property, the leasehold and , fce title shatl not merge unless I.ender agrees to the merger in writing. . 7. Protect~on of I.ender's Rights in the Property; Mortgage Insurance. If Borrower fails to perform the covenants and agrcements contained in this Security Instrument, or there is a legal proceeding that may significantly atTect Lender's rights in the Property (such as a proceeding in bankruptcy~ probate, for condemnation or to enforce laws or regulations), then I.ender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights ~ in the Property. I.ender's actions may include 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 does not have to do so. Any amounts disburstd by Lender under this paragraph 7 shall become additional debt of Bonower secured by this Security Instrument. Unltss Bonower and Lender agrce to other terms of payment, these amounts shal! bear interest from _ the date of disbursement at the Note rate and shali be payable, with interest, upon notice from I.ender to Borrower requesting payment. ~ p: ~ " BOOK ~tJU PA6E ~'~O