HomeMy WebLinkAbout0729 insured or guaranteed l~y a Feclernl or stt?te .tgenc~• ~iociu~liu~; I.ender il L~•u~ier i. sucli .?n institutionl. I.ender
shall apply the Funds to pay ~ai~l taxes, u:•essment~. in~uran~•i• ~?minium• an~l ~;rounci ~Y~nt~. Lender sht?11 make no
charge for so holding nnci applyi~ig thc Fuuds ~~r ~•erif~~iu~; u~i~i ~•uni~?iliu~ •:?id u~.,cs.~n~ent~ :u~d bills. 13orrower and
l.ender n?ay i~gret` in writing a~t thc tiiuc ot exe~•ution oi thi. \lort~a}n~ thut inten•st on thc Fun~l• ~liall I?e paid to
I3orrower, and unlc~ such a~recn~~nt is mad~~, I.cndi~r ~hall not bc rcY~i~ir~yl to ~~a~• Borro~rcr nny intcrest on thc
~tnds. I.ender rhall gi~•e to Borro~~er, ~vithout eli;u•~e, an :u~uual :~ccountin~ of thc Funds ~I~o~vin~ cmclits und
debits to the Funds and the pur~se for which cnch clebit to the Fmida ~vas u~ade. The Funds are ~~ledficd as addi-
tional seeurity for the sums secumd by thi~ ~fortRu~e.
If the amount o[ the Funds held by 1.encicr, to~ethcr ~~•ith ihe future u~ontl~h• iustulln~cnt~ of Funds payablc
prior to the due ciates of taxes, t?.csessmcnts, ins?u'anec ~~remii~ms :~nd ~;round rents, ~hall ca:cced tLe nmount re-
qui~ed to pay said taxes, ussess~nents, insurnucc ~?ren~iun~c :tind ;;round rents :?s tl~cy fall duc, such excess shall be,
at Rorroner's option, either promptl}• rep:aid to Iiorro~~cr or c•redited to Borro~~~er on monthly i~istaliments of
Funds. If the amount of the Fimds held h~• 1.ender sh:?ll not l~c ~ufficicnt to pn~ taxes, nsse~n~ents, insurance pre-
miums and ground rents as they fall ~luc, Borrowcr shall ~~n~~ to I.endcr anv nmount necessnry to make iip the
deficiency ~vithin thiri~~ ~Inys :?fter noticc from I.ender to Borm~~•cr requcstin~ ~~ayment thereof.
Upon payment in full of all sums securcci b~ this \l~~rtga~c, l.ender slii~ll ~~ro~nptl~ retund to Borro~ver an~
Funds held I~y T:eniler.
If under pnr~?gra~~h 18 hereof ihe Yropcrt.v ic sold or thc Yropcrt~~• is otlicr~visc :;cquimd hy I.ender, I.ender
shall apply, no later tl~an im~necii~tely prior to the ~:?le of the Yropertr or itG a~quisition h~~ I.ender, ~n~• Funds
held by I.ender nt• the time of application .~s a creciit akaimt thc• ~un~< ~ccured bv this ~IOTt~A~C.
3. Application of Payments. Unle~ti a~?~ilicnhle lai~~• ~nr~•ide~ othe~w~i~e, :ill ~~a~~inent~ mcei~~e~l by I.ender
under the Note and ~?a~rugrnph~ 1 and 2 hereof ~li~ll he a~?~ilic~ci 1?~• L~m~ter fi~~t in ~~a~~mcnt of .~roouuts ~~a,ynble to
I.ender bv Borro~•er uncier ~~nr:iRrnpt~ 2 licreof, thcn lo intcre~t {?:?~•able on the \otc :~n~t on Futinr A~ivauces, ii
any, and then to the ~irincipr.l of thc \Totc and to ti?c l~rinci~~al of Futum :~dvancc~. if :~ny.
Charges: Liens. Bortower shall ~?a~• all tuxc: ..?c c~~menis sn~i othcr chargc~. fines and impositions attrib-
utable to the Pro~~ert.~ ~~hich may attain ~~riorit~• o~~er thi~ \iortQa~e. and ground rents, if ~ny, ~t T.ender's
option in the mnnner ~uovideci under ~~aragrn~~h 2 1?ereot or 1~}• Rorro~~•er inakin~ ~?a~•ment, «•hen due, directl,y to
the payee thercof_.Borm«cr shall ~?mm~~tl~• tur~~ish to 1.r.n~lcr all noticc~ of amonnt~ ~iue ~mder thi~ paragraph,
nnd in the e~~ent Borro~rer ~hall ronke pflyment ~lirecth•. Rorro~~~er ~1r?11 ~~ro~n~~tl~ tin•ni~h to I.ender receipts evi-
dencing such pnyments. Borro~er shull ~~ro~nptl~ disch.uge~ :u~~• lien ~~•1?ich hns priorit}~ over thi~ \iortgflge; pro-
vided, tl~At Borro~ver shull not~ Ue requirecl to di~cirirgc :?n}• ~~i~h licn ~o lon~ :a~ Rorro~~•cr sl~nil a~ree in ~vriting to
the payment of the oUligation ~ecured U~ such lien in n~a~u?er acr•e~~t:ihie to L~~ndcr. or sht~ll in fiood fnith contest
such lien by, or defend enforcement of such lien in, legal ~~roceedint;~ ~~•hi~h o~ierate to pre~~ent the enforcement of
the lien or forfeiture of the Yropcrt~ or an~ ~~art thereof.
5. Hazari Insurance. Borro«•er sh;~ll kee~~ the i~n~~ro~•~ment~ no~~- existin~; or hereafter erected on the Prop-
crt~• insurccl against_ lo.ss bt~ firc, huzards includeci ~vithin thc tenn "extendeci coverage", an~! such other hnzards as
I.ender ma~• mquirc and in ~ucL a~nounts and for ~i~cL ~~eriorl~ i.c~n~ler ma~• require; pro~~ieie~l, th:~f i.ender shall
not require th:tt. the ~n~ount. of sitch co~•er:?ge e~ceed tl~at a~noiint ot ~o~~era~e reqi~ireci to pa~~ the sums secured by
this ~iortgage.
The insurauce carrie~• ~~ro~~idin~ tlic iusursncc sh~ll hc~ ~hose? b~ Borro~rer ~lilijCCf l0 ~j)~)1'OYaI b~~ i.ender;
pro~~ideei, that sucl~ appm~'al sht?11 not be unreasonaUl}~ ~vit.hheld. All premiums on insurance policics ~l~all be pAid
at I.ender's option in thc n~an~icr ~~ro~•ide~i i~n~lcr ~~ar:?~r.i}?li 2 hercoi or h~• Ror?•o~~er ~uakin~ ~>a~•ment, ~~hen due. ~
~iirectly to the insurnnce carrier. -
All insurance policies an~l rene«•al~ tl~ereof ~lu~ll br in foru~ ;sc~•~•~,t.ihl~ to I.ern~ler c~n~i ~hall include <t.lll(~R1YI
i ~nortgage cl:~use in fa~~or of and in forn~ acce~~tal?le to i.cml~r. Len~lc~r ~hali ha~•~~ the ri~Lt to hol~l the i~olicies :~nd
renewal~ thereof, and Borro~~•cr ~luill prom{~th• furni~l~ to I.cn~ler all rene~~-~l notice~ an~l nll recei~~ts of paid pre-
miunis. In the e~•ent ot loss, Borro~rer ~h~?ll gi~'e ~?roni~~t notice to thc imuranc~ carrier :tn~l T.ender, and Lender
may make proof ~f lo~ if not ~nadc pron~~th• h~- Borro~rer.
Unless I.ender anci Borm~~'er otl?er~~~i~e agrec i~? ~~ritin~. i~ru~:~n~•e ~~roceed~ ~i~ail hc :ti~~~~lie~l to restor.~tion or
repair of the Pro~~ert~- ~la~u:?geil. ~~m~•id~~+l ~u~•I? rc~toration or m~~air i~ ~•~•onon~ir:?ll}• fea•ihlc a~ul the ~ecurit}- of
this ~[ortgugc is not thcrch}• in~~?aim~i. It ~uch re:tor:ztion or rc~>:iir i~ i~ot econo~uicall~• ica~ible or if tl~e securif.}•
of this ~iortg~ge ~sould be i~npaired. tli~ in~urance {?rocec~i~ ~l?:ill h~~ ap~~liect to thc~ sun~s secw•ed b~• thi~ ~iortgage.
~cith the excess, if anv, puici to Borro~ccr. If thc Yro~iert~• i~ ~I,:in~loiic~ci L~• I3orro~~~er o?• if Rorro~~•cr fails to res~~ond
to i.ender ~~-ithin 30 da~G after notice b~- I.ender to Rorro~rcr tl~at the iu~urance carrier offcr~ to settle a claim for
insurance benefits, I.ender i~ uuthorizecl to ~~oliect and :~~?~~h- ih~• in~in:+n~~e ~~ror•eccl~ at I.ender'~ optiou either to
restoration or rep:~ir oi th~Pro~mrt~• i~r to tl?c ~uiu~ sec~~re~l I?~• tl~i~ \t~rtga~c.
Unless t.ender and Borro~~~cr otl~en~•i~e a~me iu ~~'ritin~:. .ill\' `ll(~1~ a;>2~licatioii of ~?roceeds to ~iriucipal shall
not extend or postpone the due datc of the n~ontl?1}- install~m•nt~ rrt~rr~Nl to in a~aragraph~ 1:in~l 2 hereot or changc ~
f
the amount of siich installinent~. -
If un~ier ~~arngrlph 18 l~ercof tlie Yro~~crt~- i~ acquire~i I.en~ler. :ill ri~ht. titlc~ :~n~l intere~t of Rorro~~•er i~~
and to Am- in~~u•ancc policie~ :+n~l iu an~1 to thc ~~rocccii~ tli~•r~~oi +io th~• ~•stcnt of tl~~• ~inu~ ~c~•urerl h~• thi~ ~lort-
gage i~nmcciiatcl~ ~~rior tu ~i~ch ~:il~~ or :LCqui~itio~~? rc•~iltii~~.: irou~ ~l:in~c~~~ to t1~t• l'rn{?~~rh• ~~rior to thc ~:~lc or
:?cquisition ~hall pa~~ to Len~ie;.
6. Preservation mid Maintenance of Property; Leaseholds; Condominiums. i;orro~~-cr ~liall kcep the Proj~-
crty in ~ocxi repair .~nd shall not ~~ern~it or ~•on~~nit ~~-a<tc, in~~~~iru~ent. or tleterioration of tl~c Yro~~ert~• and shall
comply nith thc pro~•isions of .?n~• lcasc. if thi~ ~(ortga~;c i= ~m icascl?~l~l. Ii thi~ ~Iortgugc i~ on a condominium
imit, Borroa•er ~hall perform :ill of I3orro~~•cr:~ ohligation~ nr.~ier the ~le~•laratior. oi cou~lominium or master deed,
ti~e hy-laws an~i regul~tion~ of thc~ con~iou~iniuni ~?roj~~~•t :~mi ~•osi~titu~iit ~lo~•iu~ic•nt~-
7. Protection of Lender's Security. Ii Borro~~-er f.iii~ tu ~~crform tlie co~~ena~?t~ :uul :iRreements containeci in
this ~lortgage, or if an~• ~ction or pro~ecding i~ eon~n~enc•~~1 ~~~hi~l~ iuateriall}- af~e~t~ T.emlcr'~ interest in the Yrop-
crty, including. i?ut not limitcxl fo, cu~iucnt ~io~n:?in. io~ol~-~~n~•~-. ~•a1c~ ~~nforcen~ent. or :irr:?u~emm~ts or ~~roceed-
ings in~ol~ing a b:~nkrupt or dec~~clent. tlicn Lender at I.en~lcr~~ :~~~tioi~. u~?on noticc to Rorro~~-er. ~nat make such
sppearances, ~IisLttrse such ~tnn~ :~n~l take ~uc•1? a~tirn~ as i; ncce~~ar}• to ~n-otect Len~ler's interest, including. but
not limiteci to, ~lisbursement ot reasouahle .ittorne~•'~ iee~ :inci entn- apan the Yro~~ert~• to make repair~. Any
an~ounts ~lishursc~l hg I.endcr ~~ursuant to tl?i~ ~~:uagra~?h i. ~~~itl~ intcrc~t thercon. ~hall hccomc ad~litionul indebt-
edness of i3orro~~er ~ectire~l ht• tl~is \tortgage. Unlc.~s Borro«•er aiui l.en~ier agrce to other terni~ of payment, such
amounts shall he payable upon notice from I.en~lcr to I3orro~~~er re~~ue~tinF p~yment thereof. raul shali hear inter- ~
est from the datc of di~hursement at tl?c rate ~tatc~i in ti~c ~nt~~ i~nlc~~ ~~.i~•inent ot interest at sucli ratc ~~ould bc ~
contrary to applicablc la~~-, iii ~~•iiich crent su~•l~ :unoiint~ <Lall hear iniere-t .~t thc hi~he~t rate ~~ennissible b~• ~
applicable la~ti•. \othing containecl in thi~ ~~ara~ra{~li 7~h.till m~K~ire I.ender to incin• an~• ex~~ense or do any act s
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hereunder. '
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