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HomeMy WebLinkAbout1601 ~ l;'~IFt~R`1Cc~~t:~:~`iS H~~rruHrr:+ndLrndrrcu~rnantan~i.igrrea~iulluN~ ; 1. Payment of Principa) and Interest; Prepa~mcnt and l.ate Charges. t~t~rruH;r ~h;tll rmm~tl~ ra~ Hhrn du~ ; ; the pnnripal of and interest on the debt e~ idencrd hy~ the N~~te and an~ prrp:~~ mrnt ~nd I;i~e rhargr~ ~iue un~irr thr ti~~tr ' 2, i~ unds for Taxes and Insur~nce. SubJ«t tc~ appl~~ahlc la~~ t~r to a w~nttrn w a~~ er h~ Lr~i~irr, R~~rr«u er ~ha!! ' to Lender on the day monthf~~ paymentti are due under the Note, unul the Nute paid in full, a,um 1"Fw~d~") eyual tu ~ one-twelfth of: (a) yearly taxe~ and a~sc~timents which may attain priority~ o~er this St~unty Im~rumrnt: (b) y~early ~ leasehold payments or ground rents on the Property, ~f any; (c) yearly hazard imuranre premiums: and (d) ~~earl~ a mortgage insurance premiums, ii any. These ~tems are ralled "rscrow items." Lender ma}~ e~timate the Fund1 due on the ~ basis of current data and reasanable estimates of future escrow ~tems. ~ The f=unds shall t~e held in an institution the deposits or accounts ol w hich are in~urrd ur guaranteed h~ a federal ~~r " ~tate agency ~inciuding Lend~r if t.ender is such an institution}. I~ender ~hall appl~• the Fund, to pa~~ thee>rro« itrms. Lender ~ ma~ not charge for holding and appl}•ing the Fun~~, anal~~iing the account or ~erif~~ing the eicr~~µ items, unle~, Lender ' Burrow~er interest on the Funds and applicable iaK• permit~ Lender to make.uch a c~harge. A rharge a~.e..ed hy I.ender in _ runnection Nith Borruwers' entering into this Sec urit~~ Instrument to pa~~ the cost of an independent tax reporting .er~ ice ~ .hall not tx a rharge for purposes of the preceding .c:ntenre. BorroHer and l.ender ma~• agree in ~ riting that interest shall be ± paid ~~n the FLnds. Unless an agrcement is made or applicahle law• reyuires intere~t to he paid, Lender tihall not be reyuired to ~ pa~• E3orroH~er am~ inlerest or earnings on the Funds. l.ender ~hall gi~e to t3orrow~er, without charge, an annua! accuunting ot ~ the Funds shoHing credits and dehits to the Funds and the purpase for ~hich rarh debit to the Funds wx. made. "Ihe Fund~ ? are pledged as additional securit~~ lar the surn~ ucureii b~• this Securit~• In,trument. ; 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 escrow items when due, the excess shall be, ~ at Borrower's option, either promptly repaid to Borrower or credited to Borrower on mo~thiy payments of Funds. If the amount of the Funds held by Lender is not sufi~icient 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 full of all sums secured by this Security Instrument. Lender shall promptly refund to Borrower any Funds held by Lender. [f under paragraph 19 the Property is sold or acquired by Lender, Lender shall apply, no later than immediately prior to the sale of the Praperty 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. Applieation of Payments. Unless applicable law provides otherwise, all payments received by Lender under paragraPhs 1 and 2 shall be applied: first, to late 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 principal due. 4. Charges; Liens. Borrow~er shall pay all taxes, assessments, charges, fines and impositions attributable to the Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any. Borrow~er shall pay these obligations 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 shall 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) agrees in writing to the payment of the obligation secured by the lien in a manner acceptable to Lender; (b) contests in guod faith the lien by, or defends against enforcement o('the lien in, legal proceedings which in the Lender's opinion operate to prevent the enforcement of the lien or forfeiture of any pact 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 subjezt 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 oP the actions set forth above within 10 days of the giving of notic~. S. Hazard Irtsurance. 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 requires. The ~ insurance carrier providing the i~surance shall be chosen by Bo~row~er subject to Lender's approval which shall not be ~ unreasonably withheld. ~ All insurance policies and renew~als chall te 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 reeeipts of paid premiums and renewal ~otices. (n the event of lass, Borrower shal! give prompt notice to the insurance ` carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the u restoration or repair is not econorr~ically feasible or Lender's security would be lessened, the insurance proceeds shall be ~ apptied 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 ensurance carrier has ~ offered to settle a claim, then Lender may collect the insurance praceeds. Lender ma~ 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 will begin ~ when the notice is given. ~ Unless Lender and Borrower otherwise agree in writing, any application ~f proceeds to principal shall not extend or ' postpone the due date of the monihly payments referred to in paragraphs I 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 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; Leaseholds. Borrower shall not destroy, damage or substantiaiiy ff change the Property, allow the Property to deteriorate ~r commit waste. If this Security Instrument is on a leasehold, , Borrower shall comply with the provisions of the lease, and if Borrower acquires fee title to the Propeny, the leasehold and fee title shall not merge unless Lender agrces to the merger in writing. 7. Protection of I.ender's Rights in the Property; Mortgage Insurr~nce. 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 praceeding in bankruptcy, probate, for condem~ation or to enforce laws or regulations), then Lxnder may do and pay for whatever is necessary to protect the ~~alue of tne Property and Lender's rights in the Property. Lender's actions may include paying any sums secured by a lien which has priority over this Security ; Instrument, appearing in coart, paying reasonable attorneys' fees and entering on the Property ro 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 become additional debt of $ortower secured by this ~ Security Instrument. Unless Borrower and Lender agree to other terms of payment, these amounts shall bear interest from ~ the date of disbursement at the Note rate and shall be payable, with interest, upon notice from Lender to Borrower ~ . requesting payment. ~ ~ ~ . BOOK 67~ PACE~VO1 - ~~u~y~ ~