HomeMy WebLinkAbout2877 l' ~~R~t Cc t:ti a!: i~ Burrc~wer and l.ender cuvrnan~ and agree ;~ti toll~~~~,:
1. Yay~rnent of Principal and l~terest; Prepayment and l.ate Charges. B~~rru~~rr ~hall ~mmptl~ ~a~ ~~hrn ~iur
ihe nnnrin:~l i~f and intrrect nn thP ri~hr Pv~~iP.,~_P.~ ti~ ?tia ?y~+,a ~ra ~ . ,
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2. I~unds for Taxes and Insuranee. Subject to applicable law or to a w ritten wai~ er b~~ Lendrr, B~?rrc~H cr ~h~ll ~a~
to Lender un the da} monthly payments are due under the Note, until the Note is paid in full, a sum ("Fundi eyual to
one-tw•elfth of: yearly taxc~s and assessments w•hich may~ attain priurit~~ o~er this Security~ Intitrument; (b) y~earl~
leasehold payments or ground rents on the Property, if any; (c) }~early haz~rd insurance przmiums, and (d) yrarl~
mortgage insurance premiums, if any. These items are called "escrow items." Lendrr may e~timate the Fundti due on the
hasss o!'cufr~nt data and reasonable estimates af future rs~roN itrms.
The Funds shall be held in an institution the deposits or accounts of which are in~ured or guaranteed by~ a federa{ or
state :~gency (inrluding Lender if Lender is such an institution). l,ender shall applp the Fundti to pa~~ the eticrow items.
Lender may not charge for hulding and applying the Funds, analyzing thr account or verify~ing the escrow items, unless
Lender pays Barrower interest on the Funds and applicable law permits Lender to make such a charge. Borrou•er and
Lender may agree in writing that interest shall be paid on the Funds. Uniess an agreement is made or applicabie law~
requires interest to be paid, Lender shall not be required to pay Borr~wer any interest or earnings on tfie Funds. Lender
shall give to 8arrower, without charge, an annual accounting 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 security for the sums secured b?~
this Security Instrument.
lf the amount of the Funds held by Lender, together with the Future monthly papments of Fu~ds 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 Bor~ower on monthty 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 ~ay to Lender any-
amoi~nt nec~ssary to rr.ske up the ~+~~ci~z~y in a:.,::,: ~t:.;~ pay~e~is as icyii~~cc~ Jy Lru~frr.
Upon payment in full of all sums secured by this Security Instrument, Lender shall promptly refund to Borroa~er
any Funds held by Lender. If under paragraph 19 the Property is sofd or acquired by Lender, Lender shall apply, no later
than immediately prior to the sale of the Property or its acquisition by Lender, any Fur.ds held by Lender at the t+me of
application as a credit against the sums secured by this Security Instrument.
3. Application of Payments. Unless applicable law provides otherwise, al! payments received by I.ender under
paragraphs 1 and 2 shatl be applied: first, to late charges due under the Note; second, to prepayment charges due under the
Nate; third, to amounts payable under paragraph 2; fourth, to interest due; and last, to principa) due.
4. Charges; Liens. Borrower shall pay alt taxes, assessments, charges, fines and im~sitions attributable to the
Property which may attain priority over this Security Instrument, and leasehold payments or ground rents, if any~.
Borrower shall pay these obligations in the manner provided in paragraph 2, or if not paid in that manner, Borrower shall
pay them on time directiy to the person owed payment. Borrower shall promptly furnish to Lender al) notices of amounts
to be paid under this paragraph. If Borrower makes these payments directly, Barrower shall promptly furnish to Lender
ret:eipts 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 good
faith the lien by, or dei'ends against enforcement of the lien in, legal proceeciings which in the Lender's opinion operate to
psevent the enforcement of the iien or forfeiture of any part of the Property; or (c) secures from the holder of ihe lien an
agreement satisfaciory to Lender subordinating the lien to this Security Instrument. If I.ender determines that any part of
the Property is subject to a lien which may attain priority over this Security Instrument, Lender ma~ 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. Haurd 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 requires. The
E insurance carrier providing the insurance sha!1 be chosen by Borrower subject to Lender's approval which shall not be
€ unreasonably withheld.
s A11 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 I.ender requires. Borrower shall promptly give to Lender
€ all receipts of paid premiums and renewal notices. In the event of loss, Borrower shall gi~•e prompt notice to the insurance
~ carrier and Lender. Lender may make proof of loss if no: made promptly by Borrower.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
j of the Property damaged, if the restoration or repair is economically feasible and Lender's security is not less.ened. If the
; restocation or repair is not econamically feasible or Lender's security would be lessened, the insurance proceeds shall be
~ applied to the sums secured by this Security Instrument, whether ar 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 procezds 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
f IV~Ptl ~~tP t~vii~~ i~ 6ii~V~t.
iJnless Lender and Borrower otherwise agree in writing, any application of
proceeds to principal shail not extend or
` post~ne the due date of the monthly payments referred to in paragraphs 1 and 2 or change the amount of the pay~ments. If
i under paragraph 19 the Property- is acquired by Lender, Borrow•er's right to an}~ insurance policies and prxeeds rrsulting
~ irom damage to the Property prior to the acquisition shall pass to Lender to the extent of the sums secured b}~ this Securit}~
~ Instrument immediately prior to the acq~isition.
6. Preservation and ~taintenance of Property; I,easeholds. Borrow~er shall not destro}~. damage or substantiall}~
_ change the Property, allow the Property to detcriorate or cammit w•aste. It' this Security Instrument is c~n a{easehold.
E3orrower shal) comply w~ith the provisions of the lease, and if Borrower acquires fee title to the Propert~~, the ieasehold and
fee title shall not merge unless Lender agrees to the merger in writing.
7. Protection of Lender's Rights in the Property; :~'Iortgage Insurance. If Borrow~er fails to perform the
co~~enants and agreements contained in this Security Instrument, or there is a iegal proceeding thac ma~ significantl}~ afi'ert
Lender's rights in the Property (such as a proceeding in bankruptcy, probate, for condemnation or ro enforce laws or
regulations), then Lender may do and pay for whatever is necessary to protect the value of the Property and Lender's rights
in the Property~. Lender's actions may include paying any sums secured by a lien which has priotit}~ over this Securit}
Instrument, appearing in court, pay~ing reasonable attorneys' fees and entering on the Property~ to make repairs. Although
Lender ma~• take action under this naragraph 7, Len~er does not have to do so.
An}~ amounts disbursed by Lender under this paragraph 7 shal{ become additional debt of Borm~er secured b}~ this
Securit} Instrument. Unless Borrou~er and Lender agree to other terms of pa~~ment, these amounts sha{{ bear interest from
the date of disbursement at the ;~'ote rate and shall be pa}able, w~ith interest, upon notice fmm Lender to Bormµ•er
reyuesting pa}ment.
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