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HomeMy WebLinkAbout1729 UNIFORM COVENAI3TS Borrower and Lender covenant and agree as follows: l. Payment ot Principtl ~nd Iaterest; Prepaymeat ~nd I.ats Chuges. Borrower shall pr~mptly pay when due the principal of and interest on the debt evid~nced by the Note and any prepaymtnt and late charges due under the Note. 2. Funds to~ Tues and lasurance. Subjoct to applicable law or to a written waiver by Lender, Borrower shall pay to Lender on the day monthly payments are due under tht Note, until the Note is paid in full, a sum ("Funds") equal to one-twelilh 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 hszard insurance premiums; and (d) yearly mortgage insurance premiums, if any. These items are called "escrow items." Lender may ~stimate the Funds due on thc 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 o~ 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 thc escrow items, unless l,ender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and L,ender may agree in writing that interest shali be paid on the Funds. Unless an agreement is made or applicable law requires interest to be paid, I.ender shall not be required to pay Borrower any interat or earnings on the Funds. Lender shall give to Borrower, without charge, an annuat 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 lnstrum~nt. If the amount of the Funds held by I.tnder, together with the future monthly payments of Funds payable prior to I the duc dates of the escrow items, shall exceed the amount required to pay the escrow items when due, the eacess shall be. at Borrower's option, either promptly repaid to Bonower or credited to Borrower on monthly payments of Funds. If the , amount of the Funds held by Lender is not sut~'icient to pay the escrow items when due, Borrower shall pay ;o Lender any ' amount necessary to make up the dtficiency 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 I application as a credit against the sums secured by this Security Instrument. 3. Applieutioa of Payments. Unless applicable law provides otherwise, all paycnents 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 paragraph 2; fourth, to interest due; and 1ast, to principal due. ' 4. Charges; Liens. Borrower shall pay all taxes, assessments, chargts, 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 of amounts to be paid under this paragraph. If Borrower makes these payments directly, Borrower shall promptly furnish to Lender rec;eipts evidencing the payments. Borrower shall prompdy discharge any lien which has priority over this Security Instrument unless Borrower: (a) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in good faith the lien b, or defends a ainst enforcement of the lien in, le al rceeedin s which in the Lender's o inion o rate to Y 8 8 P 8 P Pe prevent the enforcement of the lien or forfeiture of any part of the Pr~perty; or (c) secures from the holder of the lien an agreement satisfactory to Lender subordinating the lien to this Security Instrument. It Lender determines that any part of the Property is subject to a lien which may attain priority over this Security Instrument, L.ender may give Borrower a notice identifying the lien. Borrower shall satisPy the lien or take one or more of the actions set forth above within 10 days of the giving of notice. j 5. Ha~rd Insurance. 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 I.ender requires. The ~ insurance carrier providing the insurance shall be chosen by Borrower subject to Lender's approval which shall not be ~ unreasonably withheld. ~ All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage clause. ! Lender shall have the right to hold the policies and renewals. If L.ender requires, Borrower shall promptly give to Lender i 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 promptly by Borrower. 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 Bonower. If ~ Borrower abandons the Property, or dces not answer within 30 days a notice from Lender that the insurance carrier has s offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore i the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will begin j when the notice is given. ; Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or r postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the payments. If t under paragraph 19 the Property is acquired by I.ender, Borrower's right to any insurance policies and proceeds resulting } from damage to the Property prior to the acquisition shall pass to Ixnder to the eztent of the sums secured by this Security ' Instrument immediately prior ro the acquisition. ~ 6. Preservation and Maintenance of Property; Leaseholds. Borrower shall not destroy, damage or substantially ~ change the Property, altow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, ~ Borrower shall comply with the provisions of the (ease, 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 Rig6ts in the Property; Mortgage Insurance. If Borrower fails to perform the covenants and agreements contained in this Security lnstrument, or there is a legal proceeding that may significantly affect L,ender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or to enforce laws or regulations), 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 Jnay include paying any sums secured by a lien which has priority over this Security Instrument, aPpearirig in court, paying reasonable aitorneys' 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 L.ender under this paragraph 7 shall become additiona3 debt of Borrower securcd by this ~ Security Instrument. Unless Borrower and Lender agrce to other terms of payment, these amounts shall bear interest from ~ the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower ~ rtquesting payment. ~ i SOOKU7~ ~AGE~~~,4 ~ r> ~ . ,..z ~ ~.F - . ~ ~