HomeMy WebLinkAbout0774 UnIFO~ CoveNertrs. Borrc ~ver and l.e~~e~ cuvenant and agree as tollows:
1. l~ne~t ot Pdedpl a0d I.leteat. Borruwer shall promptly pay vvhcn duc the principal of and interest on the
iadebtodness evidenced by the Note. ptepayment a~d late charges as proviJed in the Nale, and the principal of and intercst
on any Future Advances secured by this Mortgaga
2. F1i~ tor Tatet awi l~wruce. Subjoct to applicable law or to a wrilten waive~ by l.cnd~r. Borrower sfiall pay
to Lende~ on thc day monthly inslaliments of principal and inte~cst are payable umie~ Ihe Notc, until the Note is paid in tull,
s auta (herein "Funds") eqwtl to one-twelfth of the yearly taxes anJ assessments which may attain priority ovcr this
Mortgage. and ground rtinb on tho Property. if a~y. plus anatweli~h ot yearly premium installments for hazard insurance.
plus oaatwelfth of yearly prcmium iastallmcnts to~ mortgage insurac?cr., i[ any, al! as rcasonably cstimated initially and from
time to time by I.ender on the basis of assessments and bills and reasonable es~imates thercof.
Tbe Funds shali be held in an institution the deposits or accounts of which are insurcd or guaranteeci by a Federal or
state aget~cy (including l.ender if.Lender is such an iratitution). I.ender shall appty the Funds to pay said taxes, assessments,
insuranc~e premiums and ground rcnts. Lender may not charge fo~ so Feolding and applying ~he F~~ndc, analyzing said account,
or verifying and compiling said assessments and bills, unless Lender pays Barrower interest on the Funds and applicable law
permits Len~r to make such a charge. Sorrower and ixnder may agree in writing at the time of execution of ihis
Mortgage that interest on Ihe Funds shall be paid to Borrower, and unless such agrcement is made or applicable law
rcquires such interat to be paid, I.ende~ shall not bc rcquired to pay Borrower any intcrest or earnings on the Funds. I_ender
shaU give to Borrower, without charge. an annual accounting of the Funds showing credits and debits to the Funds and the
purpose for which each debit to ttx Funds was made. The Funds are pleJged as addi~ional socurity (or the sums secured
by tbis Mortgage.
If !be amount of the Funds heW by Lender, together with the future monthly installments of FunJs payable prior to
the due dates of taxes. asses.tme~ts, insurance premiums and graund rents, shall eacced the amount rcquired to pay said taxes.
ass~sa~entt, iasurance ¢remiums and ground rents as they (afl Jue, such exceu shall be, at Borrower s option, eitfier
praaupdy repaid to Borrower or crodited to Borrower on monthly installments of Funds. !f the amou~t of thc Funds
heW by Lender shaU not be sut6cient to pay taxes. assessments, insurancc premiums and ground rents u ~hey fall due,
Bortawer stzall pay to L,ender any amount nocessary to make up the deficiency within 30 days from the date notice is mailed
by I.ender to Borrower cequesting payment chereof.
Upoa payment in full of all sums secured by this Mortgage, I_ender shall promptly refund to Borrower any Funds
held by Lender. If undet paragnph 18 heroof the Property is sold or the Propcny is othenvise acquired by I_ender. I.ender
ahall apply, oo later than immediately ptior to the uk of ihe PropeRy or its acquisition by l.ender, any Funds hcld by
i.eader at the time ot application as a credit against the sumc socured by this Mortgage_
3. Arplicatio~ ot Pq~eNs. Urtless applicabk law pravidea otherwise, all payments received by Lender u~ckr the
Note apd pang[aphs 1 and 2 heraof shall be applied by I.ender first in payment ot amounts payable to l.cnder by Borrower
under parsgraph 2 fiereof. t6en to interest payabk on tfie Note. then ta the prin~ipal of the Note. and then to interest and
principal on any Futun Advances.
4. C6ar6e~ I~tas. Borrower shall pay all taxes, assessments and other charges, fines and impositiort: attributable to
tbe Property which may attaia h priority over this Mortgage, and leasehold payments or ground rents. if any. in the manner
provided under puagraph 2 htroof or. if not paid in such manner, by Borrower making payment, whq~ due. directly to the
payee thereof. Bomowu shalt promptly furnish to Lender all notices of amounis due under this paragraph, and in the event
Borrower sball make payment directly. Borrower shall promptly fumish to [.ender receipts evidencing such payrt?ents.
Borrowtr shal) promp:ly dischuge any lien which has priority over this Mortgage; provided. that Borrower shall not be
required to discharge any such licn so long as Borrower shall agree in writing to the payment of the obligation secured by
such lien in a manner accxptabk to Lender, or shall in good faith contest such lien by. or defe~d enforcement of such lien in,
legal proccedings-which operate to preveot the enforcement of thc lien or lorfeiture of the Property or any part thereof.
S. Hmrd tasnrasce. Borrower shall keep the improvcmcnts now existing or hereafter erccted on the Property insured
againat {ass by fire. fiazards included within the term "extended coverage". and such other hazards as l.ender may require
and in wch amounts and for such periods as Lender may reyuirc; providecl, that Lender shait not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured by this Mbrtgage.
"ILe iosuranoe cartier pmviding the inwrance shall be chosen by Bonower subject to approva! by Lender. provided,
that sucfi approval shafl not be unreasonabty withheld. All premiums on insurance policies shall be paid in the manner
providod under paragcaph 2 hereof or, if not paid in such manner, by Bor~ower mak~ng payment, when due, direcUy to the
insurance catrier.
AU insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
clause in favor of and in form acceptable to l.ender. Lender shall have the right to hold the policies and renewals thereof,
and Borrower shall promptly furnish to i.ender all renewal notices and alt receipts of paid premiums. In the event of lost.
Borrnwer shall give prompt notice to the insurance carrier and lxnder. Lender may make proof of Ioss if r~ot made promptly
by Borrower.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds sha11 be applied to restoration or repait o[
the Property damaged, provided'such restoration or repair is economically feasible ae~d ttie security of this Mostgage is
not thereby iropaircd. If such restoration or repair is not economically feasible or if the security of this Mortgage would -
be impaired, the insurance proceeds shall be applied to the sums securc~l by this Mortgage, with the eacess, if any, paid
to Borrower. If the Propeny +s abandaned by,~orrower, or ii Borrower fails to respond to I.ender withi~ 30 days from the
date notice is mailed by Lender to Borrawer that the insurance carrier ofters to settle a claim for insurance benefits, Lender
is authorized to coltect and apply the insurance proceeds at Lender's option eiWer to restoration or repair of the Property
or to the sums secured by ~fiis Mortgage. ~
Unless Lende~ and Borrower otherwise agree in writing, any such appiication of proceeds to pri~ipal sfialf not extend
or postpone the due date of the monthly installments rcferred to in paragraphs I and 2 hereof or change the amount of '
such installments. If under patagraph 18 hereof the Property is acquired by L.ender, all right, title and interat of Bonower
in and to any insurance. policies and in and to the procceds thereof resulting from ~amage to ibe Property prior to the sale
or acquisition shall ~ass to L.ender to the extent of the sums secured by this Mortgage imm~diately prior to such sale or
acquisition-
6, p~~eservttbn and Maintenaoce of Property; [.ease6ol~; Condominiums; PIsOIItd UGH DtrlIO~1~lA1S. Borrower
shall koep the Property in good repair and shall not comipit waste or permit impairment or deterioration of the Property
and shalt comply with the provisioos of any lease if ihis Mortgage is on a leasehotd. If this Mortgage is on a unit in a
coadominium or a planned unit development. Borrower shall pcrform all of Borrower
s obligations u~?der the declaration
or c~ovenants creating or governing the condominium or planned unit development, the by-laws and regulations of ihe
condominium or plwned unit development, and constituent documents. Ii a condominium or planned unit cievelopment
rider is executed by Botrower and recordec! together with this Mortgage, the covenants and agreements oi such rider
s6a11 be incorporated into and s6a11 amend and supplement the covenants and agreements o[ this Moctgage as if the cider
were s part herouf.
7, protectio~ of I,esder's SecYrity. !f Borrower fails to perform the covenants and agreements contained in this
Mo~tgage. or if aay action or proeeeding is commeneed which materially af~ects Lender
s interest in the Property,
ineluding, but not limitod lo, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a -
bankrup or docedent, then Lender at Leoder's option, upon notice to Borrower, may make such appearances, disburse such
wms and take such action as is ~ary to protect Lender s interest, including, but not limited to, disbursement of
nasoasbte attotney's tees and En~ry upon the Property to makc repairs. lf [.cnder required mortgage insurance as a
eonditioa of making the loan socured by this Mortgage. Borrowec shat! pay the premiums requireci to maintain sucfi
inwnnee in et[ect until such time as the requirement for such insurance Ierminates in accordance with Borrower s and
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