Loading...
HomeMy WebLinkAbout0579 , . ~ • . . s :t . ti[~_ s UNIFORAI CO~'ENANTS. Borrower and Ltnder covenant and agrre as follows: l. Po~meot ot Priacipal ~ad Interest; F'repa~me~t and Late C~r~es. Bor~pwer shall promptl~~ pay when due thr prin~ipal of and interest on the debt evidemed by the Note and any prepaymrnt and (ate charges d3e under the Note. 2. Fuads for TAxes nnd Insuranca Subject to applicable law or to a written waiver by Lender, Borrower shall pay to Lender on the day monthly payments are due under the Note, untii the Note is paid in full, a sum ("Funds") eyual to one-tw•elfth of: (a) yearly taxes and assessments which may attain priority over this Security 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 ralled "escrow items." Lender may estimate the Funds due oa the basis of current data and reasonable estimates of future 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). Lender shall apply the Funds to pay the escrow items. Lender may not charge for holding and applying the Funds, analyzing the account or verifying the escrow items, unless Lender pays BorroN•er interest on the Funds and applicable Iaw permits l.tnder 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 law requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, w•ithout 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. The Funds are pledged as additional security for the sums secured by this Security InstrumPnt. If the amount of the Funds held by Lender, 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 monthly payments oC Funds. lf the amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Borrower shal! pay to Lender any amount necessary~ to make up the deficiency in one or more payments as required by 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. Applimtion of Paymenls. Unless applicable law provides otherwEse, all payments received by Lender under paragraphs 1 and 2 should be applied: firsi to amounts payable un~ier paragraph 2; second to interest; and last to principal. 4. Charges; Liens. Borrower shall pay all taxes, assessments. charges, fines and impositions attributable to the P~operty which may attain priority over this Security Instrument, and leasehold payments or ground rents. if any. Borrower shall pay these obliga- tions 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. Borrow~er shall promptly f~rnish to Lender all notices of amounts to be paid under this paragraph. If Borrower ~ makes these payments directly, Borrower shall promptly furnish to Lender receipts evidencing the payments. Barrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in ' w•riting to the payment of the obligation secured by the lien in a manner acceptable 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 operate to prevent the enforce- ment of the lien or forfeiture of any part of the Property; or (c) secures from the holder of the lien an agrcement satisfactory ' to Lender subordinating the lien to this Security Instrument. [f Lender determines that any part of the Property is subject to a i lien which may attain priority over this Security Instrument, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. l 5. Hxzard Insurance. Sorrow•er shall keep the improvements now existing or hereafter erected on the Propeny insured against t loss by Cire, 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. f All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. Lender shall E have the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender alt receipts of paid ! premiums and renewal notices. !n the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender ~ may make proof of loss if not made promptly by Borrower. E Unless Lender 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 feasible and Lender'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 Security Instrument, whether or not then due, with any excess paid to Borrower. If Borrower abandons the Proper- ~ ty, or dces not answer within 30 days a notice from Lender that the insurance carrier has offered ta settle a claim, then Lender ~ may cotlect the insurance proceeds. Lender may use the proceeds to repair or restore the Property or to pay sums secured by this E 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 principa! 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. I( under paragrap}r ~ 19 the Property is acquired by Lender, Borrower's right to any insurance policies and proceeds resulting from damage to the Pro- ~ perty prior ro the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior ~ to the acquisition. ~ 6. Preservation and Maintenance ot Property~; Lexseholds. 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 lease, and if Borrower 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; MortgAge Insuraace. If Sorrower fails to perform the covenants and agreements contained in this Security Instrument, or there is a legal proceeding that may significantly affect Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or regufations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights in the Property. Lender'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. € ~ t,; c~, o R 6~~ 5?9 , - . - - _w ~ eoa~ ~ ~ • • , . . ~~;:rr. , 4 - - - ~ ~~;-z _ _ = - ~