HomeMy WebLinkAbout0170 UNIFOItM COVENAN7i. Bortowe~ at~d Lender covenant a~d ag~ee u follows:
l. P~nymeat ot Principol asd IaMnst. Borrowet shall promptly pay when due the principal of and intet~est on the
indebtedness evidenced by the Not0. prepaymeat ind late charges as provided in the Note. and the principal oF and inter+est
on any Futuoe Advanca secured by tbis Mongage.
Z. Fnads [or Taaa sad Iawanca Stibject to applicable law or to a written waiver by Lende~, Boriowe=,shap pay
to Lenck~ oo the day mo~thly instslimeab oE principal and interest aro payab{e unda~ the Note. uatil the Note is paid in tuU.
a:um (ho~ein "Fuads") cqual to ono-twelfth of the yearly taxa and assesune~ts which may attain priority ove~ this
Mortgsge. a~d `~ouc~d csob on the P~+operty. if any. plus one-twtlfth ot yeuly premium i~stallmeats for huard insurance.
plus one-twelfth of yearly premium installmenta tor mortgage i~su~a~ce, if any. all as reasonably estimated initially a~d foom
time to time by Leader on the buis of assessments and bills and r+e.uanabb estimates the~eof.
The Funds shali be beld in an institution the deposib or accounb of which are insu~ed or guaranteed by a Federal or
state ageney (includina L.eader if Lender is such an iastitution). l.ender shall applYthe Funds to pay said ta~ces. assessm~nb.
iasu~anco premiums and ground reats. Lende~ may not chsrge for so holdina and applying the Funds. analyzias uid account,
or ve~ifyi~g and compilina said assessments and bills~ unlas Lender pays Borrowe~ interat on the Funds and applicable law
permits Lender to maka such a cha~gs. Borrower and Lender may agroe in writing at the time of execution of this _
Mortgages that iMerest on the Fuads shsll be paid to 8orrower. and unless such agrams~t is made or applicabk law
requires such interat to be paid. Leader shall not be required to pay Bormwer any interest or earaings on the Funds. Lender
shall give to Borrower. without charge. an annual accountiag of the Funds sliowing credits and debits to tfie Fuads aad the
purpose for which eacb debit to the Fuads was made. The Funds are plodged as additional socurity for ihe sums sa~ured
by this Mortgage. ~
If the amount of the Fut~ds held by I.cader. together with the (uture monthly installments of Funds payabk prior to
tha due dates of taxes. assessmeats. insurance premiums and ground rcnts, shall eacceod the amouat roquired to pay said taxa.
assessmenb. iasuranoe premiums and ground rents as they fall due. such excess shall be, at Borrowe~s option, either
pranptly repaid to Borrower or credited to Borrnw~ on monthly iastallments of Funds. If the amounf of the Fw~ds
hdd by Lender shali not be suHickat to pay taues. assasments, insurance premiums aad grouad renu as they falt-dua, -
Borrorver shaU pay w Lender any anw~wt neoessary to mak~ up the deficie~cy within 30 days fcom the date notice is mailed
by I.ender to Borrower requesting gayment theceof. ~
Upon payment in full of all suaq secured by this Mortgage. Lender sball promptly refuad to Bornower any Funds
held by I.ender. If unda par~graph 18 hec+eof the Propeny is sold or the Property is otherwise aoquired by Lender. Lender
s6a11 apply, no later than iaunediately prior to the sak of the Property o~ ita aoquisiGon by Lender. aay Fuads held by
I.ea~er at the time of application as a credit against the sums secured by this Mortgage.
3. Applk~atio~ ot Pqneab. Unless applicabk law provides otherwise. a!1 payments received by Lender unda tha
Nota and paragcsphs 1 and 2 hereof shall be applied by Lender Srst in payment of amounts payable to Lende~ by Bormwer
. under paragraph 2 6ereof. t6ea w interest payabk on the Note~ then to the principal of the Note. and thea to interqst and
principal oa any Future Advanoes. •
4. Ch~r~es; I.kas. Borrower shall pay all taxes. asseuments and othe~ charges. flnes and impositions attributabk to
the Property which may auain a priodty over this Mortgage, aad leasehold payrnents or ground nnts. if aay. in the man~r
provided under paragcapb 2 heeeof or, it aot paid in such manne~. by Borwwa making payment, when due. direcdy to tbe
payee theceof. Borr~ower shall promptly fnrnish to Leader all notices of amounis due under this parag~apb. and in the event
Horrower sball make payment direcUy. Borrower shall promptly fumish to Lender receipts evidenciog such paymeats.
Bornower shall pi+omptly dischuge any }ien wliech has priority over this Mortgage; providcd, that Bormwer shall not be
roquired to discharge any such lien ao long as Borrower shali ugree in writiag to the paymeat of the obGgation secured by
such titn in a manner acoeptabk to I.ender, or s6a11 in good faith contest such lien by, or defend enforcement of such l~n in.
kgal proaedings which operate to prevent the enforcement oE the lien or forfeiture of tha Property or any put theceof.
S. Hnard Inauaoce. Borrower shall ka:p the improvements now existing or hereafta erected on the Property inwred
agaiait loss by Sn.'hazards includod withia the term "extended coveragd'. aad snch other haurds as Lender may requin
aad ia snch amounts and for wch periods as i.ender may requic+e; provided, that Leader shail not requin that the amouat of
such eoverage exceod that amount of coverage required to pay the sums secured by this Mortgage.
'IUe insuraooe carrier providiag t6e insurance shalt be chosen by Bormwer subject to apptoval by Lender, pmvided, :
tbat such apprnval ahaU not be uareasonably with6eW. All premiums on ins~uanoe policies shall be paid in tbe manner
provided under paragnph 2 hereof or, if not paid in wch manner. by Borrowex makin8 PaY~b N+hen due, dirxtly to tbe
iasuranoe carriar. . ~ • -
All insurance pdicias and nnewals thereof shall be in form aooeptable to irender and shall include a standud mortgage
clause in favor of aad in form acoeptabk to i,eader. I.ender shali have the right w hold the policiea and renewals ihaeof,
and Borrower shall pranptly furnish to Lender all renewal notices and all raxipts of paid praniums. In the event of loss.
Borrower shall give prompt notice to the iasurance carrier and Leader. Leader may make proof oE loos if not made promptty
by Borrower.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to nsWration or repair of
the Pmperty damaged, provided such ratoration or repair is economicatly feasibk and tbe securiry of this Mortgage is
not thereby impaired. If such restoration or npair is not economically feasible or if t6e security of this Mortgage would
ba impairod. the insurancx procoeds shal! be applied to the swns secured by this Mortgage. with the excas, if any. paid , -
to Borrower. If tha Property is abdndonod by Borrower, or if Borrower fails to rapond to Lender wiWin 30 daya from tbe
date nodce is mailed by Leader to Borrower that ~hF insurance carrier offers to settle a claim for insurance beneSts, La~der -
is authorized w collec:t and apply the iraaranoe proooeds at Lender's option either W restoration or npair of tha Property
or w tbe sums socured by this Mortga~ee.
Unl~ss Lender and Borrowe~ otherwise agrx in writiag. aay such application of proceeds to principal shall not extend ~
or postpone the due date of the moot6ly installmenb nferred to in paragraphs I and 2 6ereof or change the amount'of
auch installmeab. If under paragraph 18 hereof t6e Pmperty is acquired by Leoder, all right, tide and interat of Borrower
in and to any iasurance policia and ia and to the prooeeds theroof resultiog from damage to the Property prior to the sale
or acquisition shall pau to I.ender to the extent of t6e sums secured by this Mortgage immediately prior to such sak or
acquisition.
6. Prexrratloo aad Mainteoance of Propertr; I.easeboids; Condomiaium~ Plaaned Uait De~dopmenb. Borrower
shall keep the Propecty in good npair and s6a11 not c~mmit waste or permit impairment ~or deterioration of the Property
~ and shall comply with the provisions of any lease if this Mortgage is on a kasehold. If this Mottgage is on a unit in a
coadominium or a planned unit development. Borrower shall perform all of Bormwer's obligations under the decluation
or oovenants crcating or governiag the condomiaium or planned unit development, the by-laws and regulatioru of the
condomiaium or plaaned unit development, and conuituent documents. Jf a condominium or planned unit development
rider is exceuted by Borrower and recorded together with this Mortgage, the covenants and agnxments of such rider !
shall be incorporated into and s6all amend and supplement the covenants and ag~oements of this Mortgage at if ihe rider
were a part heroaf. ~
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~ 7. Protect~ of Lende~s Secoriryr. If Boaower fails to perform the covenants and agreemenb contained in this
Mortgage, or if any action or procoeding is commencod which materially aHxts Lender's ioterat in the Property.
including. but iwt lianited to. emioent domain, inwlvency. code enforcement, or uraagements or Qroceedings invoiving a
baarcupt or dccedent, then I.ender at L.ender's option~ upon notice to Borrower, may make such appearances, disburse such ~
wms and take soch action as is necessuy to protect Lendefs interc,st, including, but not limited to, disburxment of
reasonable attomey's fees and eatry upon the Properiy to make repairs. If Lendec roquired mortgage iasurance as a _
condition of mahing We loan secured by this Mortgage. Borrower shall pay,the premiums required to maintaia such
insurancx in ef~ect until such time as the requirement for such insurance terrttinates in acco with Borrower'3 and
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