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If Lender required mortgage insurance as a condition of making the loan secured by this Security lnstrument,
Borrower shall pay the premiums required to maintain the insurance in effect until such time as the requirement for the
insurance terminatrs in accordance wiCh Borrowe~'s and Lender's written agreement or applicable law.
8. Inspection. Lender or its agent may make reasonable entries upon and inspections of the Property. Lender
shall give Borrow~er notice at the time of or prior to an inspection specifying reasonable cause for the inspection.
9. Condemnation, The proceeds of any award or claim for damages, direct or consequential, in connection with
any condemnation or other taking of any part of the Property, or for conveyance in lieu of condemnation, are hereby
assigned and shall be paid to Lender.
!n the event of a totai taking of the Property. the proceeds shatl be applied to the sums sec:ured by this Security
InstrUment, whether or not then due, with any excess paid to Borrower. In the event of a partial taking di the Property,
untess Borrower and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced by
the amount of the proceeds multiplied by the following fraction: (a) the total amount of the sums secured immediately
before the taking, divided by (b) the fair market ~~alue of the Property immediately before the taking. Any balance shall be
paid to Borrower.
If the Property is abandoned by Borrower, or if, after notice by Lender to Borrower that the condemnor ofTers to
make an award or settle a claim for damages, Borrower fails to respond to Lender within 30 days after the date the notice is
given, Lender is authorized to collect and apply the proceeds, at its option, either to resioration or repair of'the Property or
to the sums secured by this Security Instrument, whether or not then due.
Unless Lender and Borrower othervaise agree in writing, any application of proceeds to principal shall not extend or
postpone the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of such payments.
10. Borrower Not Released; Forbearance By Lender Not a Weiver. Extension oi the time for payment or
modification of amortization of the sums secured by this Security Instrument granted by Lender to any successor in
interest of Borrower shall not operate to release the liability of the originat Borrower or Borrower's successors in interest.
Lender shall not be required to commence proceedings against any successor in interest or refuse to extend time for
payment or otherwise modify amortization of the sums secured by this Security Instrument by reason of any demand made
by the original Borrow~er or Borrower's successors in interest. Any forbearance b~• Lender in exercising any right or remedy
shall not be a waiver of or preciude the exercise of any right or remedy.
11. Successors and Assigns Bound; Joint and Several Liability; Co-signers. The covenants and agreements of
this Security Instrument shall bind and benefit tt?e successors and assigns of Lender and Borrower, subject to the provisions
of paragraph 17. Borrower's covenants and agreements shall be joint and several. Any Borrower who co•signs this Security
Instrument but does not execute the Note: (a) is co-signing this Security Instrument only to mortgage, grant and convey
that Borrower's interest in the Property under the terrns of this Security Instrument; (b) is not personally obligated to pay
the sums secured by this Security Instrument; and (c) agrees that Lender and any other Borrower may agree to extend,
modify, forbear or make any accommodations a~ith regard to the terms of this Security (nstrument or the Note without
that Borrower's consent.
12. Loan Charges. If the loan secured by this Security Instrument is subject to a law which sets maximum loan
charges, and that law~ is finally interpreted so that the interest or other loan charges collected or to be colfected in
connection with the loan exceed the permitted limits, then: (a) any such loan charge shall be reduced by the amount
necessary to reduce the charge to the permitted limit; and (b) any sums already collected from Borrower which exceeded
permitted limits will be refunded to Borrower. Lender may choose to make this refund b~_ educing the principal owed
under the Note or by making a direct payment to Borrower. If a refund reduces principal, th~eduction will be treated as a ~
partial prepayment without any prepayment charge under the Note. ,
13. Legislation Affecting Lender's Rights. If enactment or expiration of applicable laws has the effect of
rendering any provision of the Note or this Security Instrument unenforceable according to its terms, Lender, at its option,
i may require immediate payment in full of all sums secured by this Security Instrument and may invoke any remedies
; permitted by paragraph 19. If Lender exercises this option. Lender shall take the steps specified in the second paragraph of
~ paragraph 17.
, 14. Notices. Any notice to Borrower provided for in this Security Instrument shall be given by delivering it or by
~ mailing it by first class mail uniess applicable law requires use of another method. The notice shall be directed to the
~ Property Address or any other address Borrovver designates by notice to Lender. Any noiice to Lender shall be given by
~ first class mail to Lender's address stated herein or any other address Lender designates by notice to Borrower. Any notice
~ provided for in this Security Instrument shall be deemed to have been given to Borrower or Lender when given as provided
i in this paragraph.
' 15. Governing Law; Severability. This Securit}' Instrument shall be guverned by federal law and the law of the
~ jurisdiction in which the Property is located. In the event that any pro••ision or clause of this Security Instrument ar the
~ Note conflicts with applicable law, such conflict shall not affect other provisions of this Security Instrument or the Note
which can be given effect without the conflicting provision. To this end the provisions of this Security Instrument and the
Note are declared to be szvcrable.
' 16. Borrower's Copy. Borrower shall be given one confo.-med copy of the Note and of this Security Instrument.
~ 17. Transfer of the Property or a Beneficial Interest in Borrower. If all or any part of the Property or any
~ interest in it is sold or transferred (or if a beneficial interest in Borrower is sold or transferred and Borrower is not a natural
person) without Lender's prior written consent. Lender may, at its option, require immediate payment in full of a11 sums
e secured by this Security Instrument. Howe~~er, this option shall not be exercised by Lender if ezercise is prohibited by
federal law as of the date of this Security Instrument.
If Lender exercises this option, Lender shall give Borrower notice oi' acceleration. The notice shall provide a period
of not less than 30 days from the date the notice is delivered or mailed within which Borrower must pay all sums secured by
this Security Instrument. If Bo~rower fai]s to pay these sums prior to the expiration of this period, Lender may invoke any
remedies permitted by this Security Instrument without further notice or demand on Borrower.
~ 18. Borrower's Right to Reinstate. If Borrower meets certain conditions, Borrower shall have the right to have
~ enforcement of this Security Instrument discontinued at any time prior to the earlier of: (a) 5 days (or such other period as
~ applicable law~ may spec~fy for reinstatement) before sale of the Property pursuant to any power of sale coniained in this
~ Sec:urity Instrument; or fb) entry of a judgment enforcing this Security Instrument. Those conditions are that Borrow~er.
~ (a) pays Lender all sums which then would be due under this Security Instrument and the Note had no acceleration
~ occurred; (b) cures any default of any other covenants or agreements; (c) pays all ezpenses incurred in enforcing this
~ Security Instrument, inciuding, but not limited to, reasonable attorneys' fees; and (d) takes such action as Lender may
€ reasonably reyuire to assure that the lien of this Security Instrument, Lender's nghts in the Property and Borrower's
~ obligation to pay the :ums secured by this Security [nstrument shall continue unchanged. Upon reinstatement by
Horrower, this Security Instrument and the obligations secured hereby shall remain fully effective as if no acceleration had
occurred. However, this right to reinstate shall not aFply° in the case of acceleration under paragraphs 13 or 17.
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