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Home My WebLink About0989 Borrower cov~nants ~hat t3c~rr<±wer rs +awrui~y se~sec~ of the estate nereby conveyetl ar,d has the nght to martnr~ge ~rant :~nti c~~nvey the Property and that the P!operty is unenc~imbered, except for encumbrances of record. E3orro~wer warrants and will defend generaliy the Gtle io !he Property aga~nst all cla~ms and deniands, sub~ec! to any encumbrances of record. Borrower acknowledyes that the Note cails for an adjustable ~nterest ?ate, and that the Lender may, in accordance w~th the terms of the Agreement, cancei future advances thereunder and!or requ~re immed~ate repayment of the outstanding baiance undertheNote The contenis of !~~e Agre~rnent and the Note ara ~r~corporated herein by re~erence and are referred to collectively as the "Credit Qocuments " COVENANTS. E3orrower and Lender covenant and agree as foilows: ~ Paymeni ol Principal and ~nterest. Bcrrower shall promptly pay when due, in accordance with the terms o( the No!e and Agreement, ;he pr~nc~pat and ~nterest on tne debt ev~denced by the Note, together with any late charges and other charges ~mposed under the Cred~t Documents _ Funds tor Tazes and Insurance. Sub~ect to applicable law or to a waiver by Lencler, Borrower shal! pay to Lender on the day monthly payments are due under the Nc,te, unt~! !he Note ~s paid in full, a sum ("Funds") equal to one-twelith of {a) yearly taxes and assessments which may atta~r prior~ty over this Secur~ty Instrument; (b) yearly leasehold payments or ground rents on the Property, ~f any: (c) yearly hazard ~nsurance premiurns; and (d) yearly mortgage ~nsurance premiums, if any. These items are called "impound items." Lender may est~mate the Funds due on the basis of current data and reasor.able estimates of future impound itams. Borrower shall not be obligated to make such payment of funds to Lender to the extent thai Borrower makes such payments to the hold~ of a prior mortgage or deed ot trust if such holder is an institutional lender. The funds shal! be held in an ~nst~h~t~on the depos~ts or accounts of which are ~nsured or guaranteed by a federal or state agency (~nctud~ng Lender ~f Lender ~s such an institut~on) Lender shall apply the funds to pay the impound items. Lender may not charge for holding and applying the Fu~ds, analyzing the account or verifying the impound items, unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing that interest shall be paid on the Funds. Unless anagreement ~s made or applicable law requires interest to bepaid, Lendershall not be required to pay Borrower any interest or earnings ~n the Funds. Lender shall give to Borrower, without charge, an annual account ot the funds showing cred~ts and debits to the Funds and the purpose for which each deb~t to the Funds wasmade. The Funds are pledged as additional security for the sums secured by this SeCUnty Instrument If the amount of the Funds held by Lender, together with t~e iuture monthly payments of Funds payable prior to the due dates of the ~mpound items, shall exceed the amount requ~red to pay the impound items when due, the excess shall be, at Borrower's option, either promptly repaid io Borrower or cred~ted to Borrower on monthly payments of Funds. If the amount of ihe Funds held by Lender is not k sufflc~ent to pay the ~mpound items when due, Borrower shall pay to Lender any amount necessary to make up the deficiency in one or more payments as !eqwred by Lender Upon payment in full of all sums secured by th~s Security Instrument, Len~er shall promptly refund to Borrower any Funds held by - Lender If under paragraph 18 the Property is sold or acquired by lender, Lender shall appty, no later than immediately prior to the sale oi the Property or its acquisition by lender, any Funds held by Lender at the time of appiication as a credit against the sums secured by this Security Instrument. s Application of Payments. Untess applicabie law requires otherwise, aIl payments received by Lender under paragraphs t and 2 shall be applied tirst to interest payable on the Note, then to other charges payable under the Credit Documents, and then to the principaf ol the Note. 4 . Prior Mortgages and Deeds of Trust Charges; Liena. Borrower shall perform all of Borrower's obligations under any mortgage, deed of trust ; or other security agreement with a I~en which has priority over this Mortgage, including Borrower's covenants to make payments when due. ~ 8orrower shail pay or cause to be paid all taxes, assessments and other charges, fines and impositions attributable to the Property which ~ may attain pr~orty over this Mortgage, and leasehold payments or ground rents, if any, in the manner provided in paragraph 2, or if not paid ~ ~n such manner, by Borrower making payment when due directly to the person owed payment. Borrower shall deliver to Lender, upon its request, receipts ewdenc~ng such payment. ~ = Hazard Inaurance. Borrower shall keep the ~mprovements now existing or hereafter erected an the Property insured aga~nst loss by fire, hazards ~nclu~ed with~n the term "extended coverage" and any other hazards for which Lerzder requires insurance. This insurance shall be € mainta~ned ~n 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 wh~ch shal; not be unreasonably withheld. R ~ All ~nsurance policies and renewals must be acceptable to Lender andshall include a standard mortgagee clause. Lender shall have the right to hold the pol+cies and renewals, subject to the terms of any mortgage, deed o! trust or other security agreement with a Ifen which has ~ priorty over the Secunty Instrument. If Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal ~ notices In the event of a loss. Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not ~ made promptly by Borrower. f Subject to the nghts and terms of any mortgage, deed of trust or other security agreement which has priority over tnis Security Instrument. insurance proceeds shall be applied to restoration or repair of the Property damage, if the restoration or repair is economicaily ~ ~ feas~ble and Lender's secunty is not tessened. If the restoration or repair is not economically feasible or Lender's secunty would be ~ lessened, the ~nsurance proceeds shall be appl~ed to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. Ii Borrower abandons the Property, or does not answer within 30 days a notice irom Lender that the insuranc E carrler has offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or restore the ' Pro ert or to a sums secured b this Secunt Instrument, whether or not then d~e. The 30-da p y p y y y y period will begin when the notice is given. Unless Lender and Borrower other~vise 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 ot the payments. Of under paragraph 18 the Prope~ty is acquired by Lender, Borrawer's nght to any insurance policies and proceeds resulting from damage to ihe Property prior to the acqu+sition shall pass to Lender to the extent of the sums secured by this Security Instrument immediately prior to the acquisition. h Preservation and Maintenance of Propert~r, Leasehold; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repa~r and shal! not commi! waste or permit impairment or deterioration of the Prape~ty and shall comply with the prov~sions of any lease if th~s Security Instrument is on a leasehold. !i this Security Instrument is on a unit in condominium or on property in a planned unit ; development, Borrower shali perform a!I of Borrower's abligations under the declaration or covenants creating or governing the ; condomirium or planned unit development, the by-laws and regulations oi the condominium or planned unit development, and constituent ~ documents, mcludin~ the payment wh2n dus of any and alI charges assessed thereunder. ~ i ~ Page 2 of 4 ORIGINAL AtID YELIOW - File: PIliK - Cu~tomer ~AR s75 ~aCE 989 GF FL50620-8 10-89 gv~K - - - < ~ ~~.:~~ri..~~^~t~~:~~~€'~~-~~a~ °