The URL can be used to link to this page

Home My WebLink About1137 r ~ ~ LNIFOR~1 ~'OVENANTS. Borru~~er and Lender eorenant and agree as iolloH~s: l. PAyment of Principa! and Interesi; Preps~ymenl and I.~te Charges. Burrower shall prompily pay when due the principal of and interest on the debt r~~idenced by the Note and any prepayment and late charges due unJer the Note. 2. Funds ior Taxes and Insur~nce. Subject to applicable laH~ or to a written wai~~er by~ Lender, Borr~wer shall pa~~ to Lender on the day monthly payments are due under the Note. until the Note is paid in full, a sum ("Funds") equal to one-tweli'th of: (a) yearly taxes and assessments which may attain priority o~~er this Security lnstrument; (b) yearly leasehold payments or ground rents on the Property, if any; (c) yearly hazsrd insurance premiums; and (d) yearly mortgage insurance premiums, if any. T'hese items are called "escrow items." Lender may estimate the 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 agenc}~ (i~ciuding Lender if Lender is such an insiitution). Lcndcr sha{I apply thz Funds to pay the escrow items. Lender ma~~ not charge for holding and applying the Funds~ analyzing the account or verifying the escrow items, unless Lender pays Borrower interest on the Funds and applicable law~ permits Lender to make surh a charge. Borrow~er and 1_ender may agree in writing that interest shall be paid on the Funds. Unless an agreement is made or ap- plicable law requires interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds show~ing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional se- curity for the sums secured by this Security Instrument. lf 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 escroµ~ items when due, the excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthh~ payments of Funds. If the amount of the Funds held by Lender is not sufficient t~ pay the escrow itemt w•hen due, Barrower shall pay t~ Lender any amount necessary to make up the de~ciency in one or more payments as requi~ed by Lender. Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borro~er any Funds held by Lender. If under paragraph 19 the Property is sold or acquired by Lender, Len~er shall appty, no later than immediately prior to the sale of the Property or its acquisition b~• I_ender, any Funds held by Lender at the time of application as a credit against the sums secured by this Security Instrument. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraphs 1 and 2 shall be applied: first, to iate 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 last, to principai due. 4. Chs?rges; Liens. Borrower shall pay all taxes, assessments, charges, fines and i?npositions attributable to the , Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. ~ Borrower shall a~ these obli ations in the manner rovided in j p) g p paragraph 2, or if not paid in that manner, Borro~ver ' shall ~+?y ~hPr*, ~r, rime direcily to the ~ers~n owed ~ayment. Borrou•er sha!! prornptly fusnish to L~ncfer al! notices of ; amounts to be paid under this paragraph. If Borrower makes these payments directly, Borrow•er shall promptly fur- R nish to Lender receipts evidencing the payments. ` Borrower shall promptly discharge any lien w•hich has priority over this Security lnstrument unless i3orro~+•~: :(a) ~ agrees in wri?~ng to the payment of the obligation secured by the lien in a manner acceptable to Lender; ~C n~~~ts in ~ good faith the lien by, or defends against enforcement of the lien in, legal proceedings which in the Lender's opinion ~ operate to prevent the enforcement 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 ~ieter- ~ mines that any part of the Property is subj2ct to a lien which may attain priority over this Security Instrument, Lender E may give Borrower a notice identifying the lien. Borrower shall satisfy the lien or take one or more of the actions set ~ forth above within 10 days of the giving of notice. ~ 5. Hazard 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 Lender re- quires. 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 Lender requires, Borrower shall promptly give to ~ Lender all receipts of paid premiums and renewal 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 pramptly by Borrower. ~ Unless Lender and Bonower otherwise agree in writing, insurance proceeds shall be applied to restoration or ~ repair of the Property damageci, if the restoration or repair is economically feasible and Lender's security is not less- ~ ened. 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 Borrower. If Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has offered to settle a claim, 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, w~hether or not then due. = The 30-day period will begin when the notice is given. ~ Unless Lender and Borrower otherwise agree in writing, any application of proceeds to principal shall not extend or postpone the due date of the month!y payments referred to in paragraphs I and 2 or change the amount of the payrnents. If under paragraph 19 the Property is acquired by Lender, Borrower's right to any insurance policies and proceeds resulting from damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured by this Security~ Instrument immediately prior to the acquisition. 6. Preservation and Maintenance of Property; Leasehoids. Borrower shall not destro}~, damage or substantially change the Property, allow the Property to deteriorate or commit waste. If this Security Instrument is on a leasehold, Borrow•er shall comply with the provisions of the lease, and if Borrow~er acquires fee title to the Property, the leasehold and fee title shall not merge unless Lender agrees w the merger in writing. , f 7. Protection of Lender's Rights in the Property; Mortgage Insurance. If Borrower fails to perform the ; covpnants 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 roceedin ~ p g in bankruptcy, probate, for condemnation or to enforce ; IaHS or regulations), then Lender may do and pay for whatever is necessary to protect che value of the Property and ` Lender's rights in the Property. Lender's actions may include paying any sums secured.hy~ lien which has ~riority , over this Security fnstrument, appearing i? court, paying reasonable attorneqs'~fees and entering on'~tie P~roperty to ~ make repairs. Although Lender may take action under this paragraph 7, Lender dces not have to do so. ~ ~ ~ aoo~ 675 r:,~~~.~37 ~ ~ ~