HomeMy WebLinkAbout0400 UN[roR~t Coverut+rs. 8orrower and Lender covenant and agree as follows:
1. ~ ot hic~l a~i We~at. Horrower shall promptiy pay whon due thc priocipal of and interest o~ the
indebtednets evideooed by tl~e Not0. p~MY~nt a~d late charga as providod in the Nole. and the principal ot and intercs~
oa my Future Advanoes securod by this Mataage. -
Z. Pti¦i tor't~z~s a~i l~wnsca Subject to applicabk Iaw o~ to a written waiver by Lender. Borrower shall pay
to Lender oa tbe day moathly installments of principal a~d interest arc payaMe under the Note. until the Note is paid in fufl.
a sum (I~erein "Fuadt'~ eqwl to oao-twdith of the yearly taucs end asussments which may attain priority over this E
Mortsage~. aad Snouad renb oa the Pmperty, if aay. plus one-twellth o[ yeariy premiurn installmcnta for huard insurance,
plus ooo-t~velfth ot yearly premium installmenb for mortgage insurance, if any, all as rcasonably estimated initially and from ~
time to time by I.ender oa the buis of assessments and bills and rcasonable estimates thereof.
'Ibe PUads s6a11 be 6dd in an institution the deposits or accounts ot which are in.sured or guaranteod by a Federal or ;
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said tazes, acsesime~?ts, ~
insuranoe p+emiums aad ground rents. Lender msy not cha~ge for sa hotding and applying the Funds, analyzing said account,
or verifyiag aad compliag aaid assessrrx~ts and bills. unless Leader pays Borcower interest or_ tt~e Funds and applicable law
permits I.ender to make such a charge. Borrower aad Leoder may agree in writing at the time of exxution of this 1
Mortgase that iaterat on the Ftinda sball be paud to Borrower. and unless such agreement is ioade or applicabk law
reqwra wch iaterest to be paid, L.ender aMai! not be rcquired to pay Borcower any interest or earnings on the Funds. Lender
ahall ~ive t~ Bomower, without cbarge. an annual xooounting of the Funds showing c~dits and debits to the Funds and the ;
~ purpo~e [oc which ach debit to d~e Funds was made. The Funds aro plodged az additional socurity for the sums secured
by this Mortpge. _ .
If the amount of tha Fuuds held by Lender, together with the future monthly installments of Funds payabk prior to
the due dates of tauea. assesamaats. i~wance prcmiums and ground rents, shall exceod the amount roquirod to pay said taxes.
a:se~so~ents, insuranx premiums and ground renb as they fall due, such excess shall be, at Borrower
s option. either
pmmpdy rcpaid to Botrower or credited to Borrower oa monthly installments of Funds. If the amount of the Fu~da
hdd by Leoder s6all aot be ~eat to pay ta~tes, ~vessments, iasurance premiums and ground rents as they fall due,
Bomo~wer sbal! pay to l.eader any amount aeoessary to make up the deficiency within 30 days from the date notice is mailcd
by I~eader to 8orrower i'Wuestin6 P~Ymeat tbereof.
Upon paymeot in full of all suma axwed by this Mortgage, l.ender s6a11 promptly refund to Borrower any Funds
held by Lender. If under puagraph 18 heroof the Property n sold or the Property u otl~erwise acquired by Lenckr. I.ender
ahall apply, no iata than immodeatdy prior to the sak of the Property or its acqoisition by Lender, my Funds held by
I,ender at tLe time of application as a credit sgainst the sums secured by this Mortgage.
3. A~iicatioi oE Unless applicable Isw provides otherwise. all paymants roaivod by Lender under the
Note and paragrspht 1 and 2 hertof shall be applied by Lender 6rst in payment of amoants payabk to I.ender by Borrower
under paragraph 2 be~of, then to interest payabk on the Not~, then to the principal of the Note, and ~hea to intercst and
principal on any Future Advanoes.
4. C~ IJeas, Borrower shall pay all ta~ces, assessments and other charges, fines and impositions attributabk to
t6e Pmpetty which may adain a priority over this Mortgage, and lea~ehold payments or grcwacl reota. if any. in the manner '
prrnridod under paragraph 2 hereof or, if not paid ia such manner, by Borrowcr making payment, wha~ doe, directly to the
payee thet+eof. Barrower ahall ptomptly furnish to Lendar all notioes of amwmts due uader this paragraph, and in the event
Bormwer shap make paymeat dirocdy, Borrower shall prompdy fumish to I.ender reaipts evideacing such payments.
BormMret shall promptty disc6arge any lien which haa priority over this Mortgage; provided, that Borrower shall ~ot be
roquirod to discharge aay such lien so bug aa Borrower shall agree in writing to tl~e payment of the obligation socurod by
wch lien in a manner acoeptable to Lender. or shall in good faith contest such lien by~ or defend enforcement of auch liea in,
Itgal proc~edings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
S. Hmr~ Lw~a~ee. Borrower s6all koep the improvements now existing or hereafter erectod on the Property insured
againrt losa by fite, 6aurds includod within the tcrm "extended rnverage", and such other hazards as I.znder may require
and in suc6 amounts aad for such periods as Lender may require; provided, that Leader shall not roquire that the amount of
wch ooverage exoeed that amount of covenge requirod to pay the sums socurod by this Mortgage.
'[t~e inwranea carrier providing tbe iasurance shal! bc ct~osen by Borrower aubject to approval by I.ender. provided,
that such approva! shall not be unirasonably withheld. All premiums o~ insurance policia shall be paid in the manner
providod under paragraph 2 6eroof or, if not paid in such manner, by Borrower making payment, when due. directty to the
inauraoce ca~rier. ~
~ All insurance policies and reaewals thereof shall be in form acceptable to [.ender and shall include a standard mortgage `
~ clause in favor of and in form acceptable to Lender. Lendec shall have the right to hold the policies and recewals theroof, ~
and Bortower shall pranptly furnish to Lender all renewal notices and all c~xeipts of paid pr+emiums. ln the event of loss, ~
i Borrower shall give prompt notice to the insurance carrier and [.ender. Lender may make proof of bss if not made promptly
by Borrower. .
Unkas Lender and Borrower otherwise agree in writing, insurance procoeds shall be applied to restoration or regair of
the Property dunaged. provided such restoration or repair is economically teasible and the security of this Mortgage is
not thereby unpaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
be :.~?paired, the insurance procoeds shall be applied to the swns secured by this Mortgage, with the excess. if any, paid
to Borrower. If the Pcoperiy is abandoned by Borrower, or if Borrovrer fails to respond to Leoder within 30 days from the
date notice is mailed by I.eader to Borrower that the insurance canier ofTers to settle a claim for insurance benefits, Lender
is authorized to collect and apply tbe insurance proceecls at Lender's option either to restoration or repair of the Property
or W t6e sums secured by this Mortgage.
• Unless L.ender and Borrower otherwise agree in writing, any such application of proceeds to principal shall nof exteod
- or postpoae the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
wch installments. lf under puagrap6 l8 hereof the Property is acquired by Lender, all right, tide and interat of Borrower
in and to aay insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sak
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immed'eately prior to such sa{e or
acquitition.
6. Pnservatba asd Maintenance of Propedy; I.es~eholds; Condomiuiu~ Planned Unit De~dopmeats. Borrower
s6a11 koep the Property in good repair and shaU not comiqit waste or permit impairment or deterioration of the Property
and shalt comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
coodominium or a planoed uait developmeat, Borrower shall perform all of Borrower s obliguions under the declaration
or coveoants creating or governing tbe condominium or planned unit development, the by-laws and regulations of the
condominium or planned unit development, and constituent documents. If a condominium or planned unit developmeot
rider ia ea[ceutod by Borrower and recorded together with this Mortgage, the covenants and agrcements of such rider
' ~all be inoorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
were a part heroof. ~
7. PiotecHoo ot I.e~der's Sec~uity. If Borrower fails to perform lhe covenants and agrcements contained in this
Mortgaae, or if aay action or procceding is commenced which materially affects Lender's interest in the Property,
including, but not Wnited to, emioent domain, insolvency, code enforcement, or arrangements or proceedings involving a
banlcrupt or daxdent, then I.ender at l.euder's option, upon notice to Borr~wer, may make such appearances. disburse such
sums and take such action as is necessary to protect l.ender
s interest. including, but not limited to. disbursement of
r+~a~onabk attomey's toes and entry upon tbe Property to make repairs. If [.ender required mortgage insurance as a
conditioo of malcing the loan securod by this Mortgage, Borrowcr shall pay the premiums rcquired to maintain such
itwuanoe in effect ur~til such ~t'ime as the requirement for such insurance Ierminates in accordance with Borrower's and
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