Loading...
HomeMy WebLinkAbout1821 UNIFORM COVENANTS. Borrower and Lender covenant and agrte as'fo~lows: • 1. P~~menl of Priaripal aad loterssl; Prcp~>meot and L.ate CYsr~d. Baurtower shall promptly pay when dut the principal of and interest on the debt evidenced by the Note and any prepaymfnt and t~te charges due under the Note. 2. Fuads tor Taxes aad lasun~ace. Subject to applicable law or to a written waiver by Lend~r, Borrower shall pay to Lender on the day monthly paymtnts are due under the Note, until the Note is paid in full, a sum ("Funds") equal to one-twelfth of: (a) yearly t~es and assessments which may attain priority over this Security lnstrument; (b) yearly leasehold payments or ground rents on th: Property, if any: (c) yearly hazard insurance premiums; and (d) yearly mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimate the Funds due on the basis of current data and reasonable estimates of Cuwre 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 agenc}~ (including Lender if Lender is such an institution). Lender shaU 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 Borrower interest on the Eunds and applicable Iaw permits Lender to make such a charge. Borrower and Lender may agrce in writing that interest shall be paid on the Funds. Unlas an agrtement is made or appiicable law requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Punds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for whicA each debit to the Funds was made. ~ The Funds are pledged as additional security for the sums secured by this Security lnstrument. 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 acrow items when due, the e!ccess shall be, at Borrow•er's option, either promptly repaid to Borrower or credited to Borrower on monthly payments of Funds. If the amount of the Funds held by Lender is not sufficient to pay the escrow items when due, Borrower shall pay to Lender any amount necessary to make ~ up the deficiency in one or more payments as required by Lender. Upon payment in fuU of all sums secured by this Security lnstrument, 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. Applleatioa of Pay~ments. Untess applicabte law provides otherwise, all payments received by Lender under paragraphs 1 and 2 should be applied: first to amounts payable under paragraph 2; second to interest; and last to principal. 4. Charges; Lieas. Borrower shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may aitain 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. Borrower shaU 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 receipts evidencing the payments. . Borrower shall promptly discharge any lien which has priority over this Security Instrument unless Borrower. (a) agrecs in Hriting to the paymer,t of the obligation secured by the lien in a manner acceptable to Lender. (b) contcsts in good faith the lien by, or defends against enforcement of the lien in, lega4 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 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, Lender may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set fort:i above within 10 days of the giving of notice. 5. Hs~rd lasuraoce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against luss 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. All insurance policies and renewals shall be acceptable to Lender and shall include a standard mortgage ciause. Lender shall ha~e the right to hold the policies and renewals. If Lender requires, Borrower shall promptly give to Lender all receipts of paid ! premiums and renew~al notices. In 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 Borrow~er. € Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the F Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the restoration ~ or repair is not economicaliy 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 to settle a ciaim, then Lender may collect 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 w~ill begin when the notice is given. Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shalt 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 Pro- pert}• prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior ~ to the acqLisit6on. ~ 6. Prcservation s~ad Maintenance of Property; L.easeholds. Borrow~er shall not destroy, damage or substantiaily change the ~ Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, Borrow~er shall comply ~ w•~th 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 ot I.ender's Righis in the Property; Mortgx~e [nsurance. If Borrower 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 regulations), then Lender may do and pay ~ ~ for whate~•er is necessary to protect the value of the Property and Lender's rights in the Property. Lender's actions may include ~ ~ pa~•ing any sums secured b}~ a I:en which tias priority over this Security Instrument, appearing in court, paying reasonable attorneys' fees and entering on the Property to make repairs. Although Lender may take actian under this paragraph 7, Lender dces not ~ have to do so. ~ ~ ~ ~ ~ : ~ . 674 ~i821 ~ . ~ _ . _ . : A ~ _ fr _ _ . _