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HomeMy WebLinkAbout0367 , . I1NIFORM COVENA'VTS Rorrower and Lender covrnant and agree as follow~s: 1. Payment of Principa! and lnterest; Prepayment and Late Charges. Borrower shai! prumptly pay ~hrn due the pnncipal of and interest on the debt evidenced by the Note and any prepayment and late charges due under the Note. 2. Funds for Taxes and lnsurance. Subjec:t to applicable !aw or to a wntten wai~~er by Lender, Borruw~er ~hall ~ay to Lender on the day monthly payments are due under the Note, unt~l the Note is paid in tull, a sum ("Funds") eyua! to one-twelfth of: (a) yearly tazes and assessments which may attain priority over this Security Instrument; (b) yearl}• leasehold payments os ground rents on the Property, if any; (c) yearly hazard insurance premiums; and (d) yrarl} mortgage insurance premiums, if any. These items are called "escrow items." Lender may estimate ihe Funds due on 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 l.ender is such an institution). Lender shall apply the Funds to pay the escraw~ items. Lender may not charge for holding and applying the Funds, analyzing the account or verify~ng the escrow items, unless Lender pays Borrower interest on the Funds and applicable taw permits Lender to make such a chargr* E3orrow~er and Lender may aRree 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. Lencler shall give to Borrower, without charge, an annual accuunting of the Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds w~as made. The Funds are pledged as additional sec;urity for the sums secured by this Secunty Instrument. 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, shaU exceed the amount required to pay the escrow items w•hen due, the excess shall be. at Borrower'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 nec:essary 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 shail prumptly refund to Borrow~er 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 lnstru~nent. 3. Appiication of Payments. Unless applicable Iaw provides otherwise, all payments received b~• Lender under paragraphs 1 and 2 shall be applied: first, to late charges due ~nder the Note; second, to prepayment charges due under the Nate; th~rd, to amounts payable under paragraph 2; fourth, to interest due; and last, to principal due. ~i. l.iiSi~~S~ Li~iiS. Fsorrawer snaii pay d'Ii i'ct1iC~. asse:SSmer~~s, ~rargzs, Ii112i Bliil iiii~'iii~iiivi'ii dilCiDiiiairic iV iiic Property w•hich may attain priority o~~er this Security Instrument, and leasehold payments or ground rents, if any. Borrower shall pa}~ these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall pa}• them on time directly to the person owed payment. Borrower shall promptly furrtish to Lender ali ncitices of amounts to be paid under this paragraph. If Borrow~er makes these payments directly, Borrower shall promptly furnish to 1_ender re::eipts evidencing the payments. ` Borrower shall promptly disrharge any lien which has priority over this Security Instn~ment unless Borrower. (a) agrees in w~riting ro the payment of the obligation secured by the lien in a manner acceptabte to Lender, (b) contests in good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the I_ender's opinion operate t~s prevent the enforcement of the lien or forfeiture of any pan of the Property; ur (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 Securit}• instrument, Lender may give Borrower a n~nice identifying the lien. Borrower shal! satisfy the lien or take one or more of the actions set forth a~~ve w~ithin lU days uf the giving of notice. S. Hazard Insurance. Borrower shall keep the improvements now~ exisung or hereafter ererted on the Propert}~ i ~nsured against loss by fire, hazards included within the term "extended caverage" and any other hazards for which Lender reyuires insurance. This insurance shail be maintained ~n the amuunts and for the periods that I.ender requires. The ~ insuranre carrier pro~~iding the insurance shall be chosen by Borrower wbject tc~ Lender's approval which shall not be ; unreasonably w~ithheld. i All insurance policies and renew~als ~hall be acceptabl~ to Lender and shall include a standard mortgage clause. ' Lender shall have the nght t~ hold the Fx~licies and renewals. If Lender requires, B~rrower shall promptly give to Lender all receipts cif paid premiums and renewal notices. (n the event of loss, Borrower shall give prompt notice to the insurance , carrier and Lender. Lender ma}~ make ~raof of loss if not made promptly by Borrower. CJnless I.ender and Borrower otherwise agree in wnting, insurance proceeds shall be applied to restoration or repair ~,f the Propert}~ damaged, if the restoration or tepair is economicall}~ feasible and Lender's secucity is not lessened. If the restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be _ a~,plied to the sums secured by this Security instrument, whether or not then due, with any~ excess paid to Borroa•er. If ~ Bc~rrower abandons the Properiy, or dces not answer within 30 days a not~ce from Lender that the insurance carrier has offered to settle a claim, then Lender may collect the insurance proceeds. Lender ma}~ use the proceeds to repair or restare ~ the Propert}~ or to ~ay sums secured b}~ this Security Instrument, w~hether or not then due. The 30-day period will begin ~ w hrn the notice is given. liniess Lender and Borrower otherw~ise agree in writing, an~~ appliration of pnxeeds to principal shall not extend or ' pe~~tpcme the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the pay~ments. If ~ under paragraph 19 the Property is acquired by I.ender, Borrower's right to an~~ insurance policies and proceeds resulhng ~ from damage to the Property prior to the acquisition shall pass to Lender ta the extent of the sums secured by thss Security ~ In,trument immediatel~~ prior to the a.^quisition. a 6. Preservation and ~taintenance of Propert3; I.easeholds. Borrow~er shall not destroy, damage or substantiall}~ change the Property, allow the Property to deteriorate or comm~t waste. If this Secunt} lnstrument is on a leasehold. ' f3<~rrower shall comply with the provisions of the lease, and if Borrow~er acqwres fee title to ihe Pro~erty, the leasrhold and fee title ~hall not merge unless Lender a~rees tc~ the merger in writing. 7. Protection of I,ender's Riqhts in the Property; titortgage Insurance. If Borrower (ails to perform the cuvenants and agreements contained in this Security Instrument, or there ~s a legal proceeding that ma}~ sign~ficantly aH'ect Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or ro enforce law~s or regulations), then Lender may do and pay for whatever is necessary to protect the val4e of the Propert} and Lender's ri~hts in the Property. Lender's actions may include paying any sums secured by a lien which has prinrity over this Security Instrument, ap~aring in court, pa}~ing 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 disbursed by Lender under this paragraph 7 shall t~ecome additional debt of Borrower secured b}• this Securit}~ Instrument. C,'nless Borrower and Lender agree to other terms of payment, these amounts shall bear interest from ~ [he date of disbursement at the Note rate and shall be pa~able, w~ith interest, upon notice from Lender to $urrower Q requesting payment. *"A charge assessed by Lender in connection with the Borrower's entering into this Security Instrument to pay the cost of an independent. tax reporting service shall not be a charge for the preceding sentence." 90~ 675 r'AGE ~~7 f~~ ! . ~ µ . , . Y ^R~.~ ~~«m:`31tf~r~'~%t,~ai-.-` ~ ~ri,'~_""'" °:-`-F..,.