HomeMy WebLinkAbout0765 UN~FatM CoveN~N7~s. Borrower and 1 enJer coJenant and agree as toUc~ws:
1. ~~ne~t of hisclpl asd INerest. liorrawcr shall pr~~mptly pay whcn duc thc principal ot and interest on the
indebtednest evidericed by the Note. prepayment and late charges aa pruvided i~ the Nate, and the principal ot and intercst
on any Futuro Advances secured by ~his Mortgage. •
I~~ tor T~a aai las~rnce. Subject to applicablc law or to a written waiver by lxnder. Borrower shall pay
to Lender on the day monthly installments ot principal ~nd interest arc payahle undcr the Note, until Ihc Note is paid in full,
a sutn (hercin "Funds") eqwl to ono-twelfth ot the yearly taxes anJ assessments which may attain priority over this
Mottgsge. and ground rents on the P~+operty, if ~oy, plus o~o-twclflh ~t yearly prcmium installments tor hazard insurance.
plus oao-twelfth of yearly premium installments tor mortgage iosurance, if any, all as reascmably estimated initially and trom
time to time by l.ender on tlte basis of assessments and hills and reasonabk cstimates Ihereof.
7be Fur~ds shal) be held in an institution the depoaits or aca~unts af which arc insured ar guaranteed by a Foderal or
sUte agency (including Lender if l.ender is such an institution). I.ender shall apply the Funds ta pay said taxes, assessments.
insuranue premiums and grouad rcnts. Lender may not charge f~r so holding and applying Ihe Funds, analyzing said account,
or verifying and rnmpiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and LenJer may agrec in writing at the time of execution ot this
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreemem is made or applicable law
requires such i~terest to be paid. Lender shall not be required to pay Borrawer any intcrest or earnings on the Funds. Ixnder
shaA ~ive W Borrower, without charge, an an~ual accounting of the Fumis showing credits and debits to the Funds and the
purpose for which tach debit to tt~e Funds was macie_ The Funds are plalged as additional socuritv for the sums secured
by t6is Mortgsge. ~
lf the amount of the Fuads held by Lencier. together with tfie future monthly installments of FunJc payabM prior to
the due dates of tues. assessmeals. insurance premiums and grouod rcnts, shall exceed the amount rcyuired to pay said taxes,
ssse~ments, iasuranee premiums and ground rents as they fall due, such excess shall be, at Harrower s option, either
prompdy~epaid to Horrower or croditod to Borrower on monthly installments of Funds. If the amount of thc Funds
held by L.ender shall not be suH'icient to pay taxes, asxssments, insurance prcmiums anJ grou~d rents as thcy fall due,
Borrowrer sball pay to l.ender any amount nocessary to make u{~ the de6ciency within 30 days (rom the date notice is mailed
by I.eader to Bonower reyuesting payment thereoL
Upon payment ia full of all sums ~cured by this Mortgage, I.ender shall promptly retund to Borrower any Funds
held by Lender. If under paragraph 18 hercof the Property i~ sold or the Property is aherwise acquired by I_ender, I.encier
shal! apply, no later than immediatcly prior to the sale of the ProReAy or its acquisition by I.ender, any Funds held by
Leader at the time of application as a crcdit against the sums secured by this Mortgage.
3. A~plication ot P~meNs. Unless applicable law provida otherwise, all payments received by l.ender under the
Note and paragraphs 1 and 2 hereof shall be applied by 1_ender first in payment of amounts payable to Leoder by Borrower
under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and
principal on any Future Advances.
4. Crar~e~ Ueos. Borrower shall pay all taxe~c, assessments and athcr charges, fines and impcnitions attributable to
the Propetty which raay attain a priority over this Mortgage, and leasehold payments or ground rents, if any. in the manner
pmvided under paragtaph 2 l~ereof or. if not paid in such manner, by Borrower making payroent. whd~ due, dirocUy to the
payee thereof. Borrower shall promptly furnish to Lender all noticcs of amounts due under this paragraph, and ia the event
Borrower shall make payment directly. Borrower shall promptly furnish to l.ender receipts evidencing such payments.
Borrower shall prompUy discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
rcquired to dixharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
suc6liea in a manner acceptable to Lender. or shall in good faith contes~ such lien by, or defenJ enforcement of such lien in.
lega! pr+oceedings which operate to prevent the enforcement of the lien or [orfeiture of the Property or any part thereof.
S• Aarard [esnrance. Borrower shall keep the improvements now existing on c~rcafter crected on the Property insured
againat loss by 6re, hazards included withiri the term "eztended coverage", and such other hazards as Lender may requirc
and in such amounts and for such periods as Lender may require; provided, that Lender shall not reyuire that the amount of
wch rnverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
'Ibe insuranoe carrier providing tbe insurance shall be chosen by Bonower subject to approval by Lender. providod,
that such approval s6a11 not be unreasonably withheld. All premiunis on insurance policies shall be paid in ihe manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower msking payment, when due, diroctiy to the
insurance carrier.
All insurance policies and renewals thereof shall be in form acceptable to LenJer and shall include a standard mortgage
clause in favor of and in form acceptable to l.ender. Lender shall bave the right to hold the policies and renewals thereof.
I. and Honower shall promptly furnish to Lender aU renewal n~tices and all receipts of paid premiums. In the event of loss,
, Borrower ahall give prompt notice to the insurance carrier and Ixnder. Lender may make proof of loss if not made promptly
by Borrower.
Unlesa Lender and Borrower othen?•ise agree in writing, insurance proceeds shall be applied to restoration or repair of
the Properiy damaged, proviJed such restoralion or repair is economically feasible and the security of this Mortgage is
not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
~ be impaired, the insurance procetds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
~ to Borrower. If !he Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
; date notice is maited by I.ender to Barro:str that ~he insurance carrier offers to setde a claim for insurance benefits, Lender
is aut6orizod to collect and apply tbe insurance proceeds at Lender's option either to restoration or repair of the PropeRy
or to the sums securod by this Mortgage.
Unless I.ender and Bonower otherwise agree in writing, any such application of proceeds to principal shall not extend
~ or postpone the due date of the monthly installments referred to in paragraphs I anJ 2 hereof or change the amount of
~ wc6 installments_ If under paragraph 18 hereof the Property is acquired by Lender, all right, tide and interest of Borrower
in and to any insurance policies and in and to the proceods thereof resulting from damage to the Property prior to the sale
~ or acquisition shall pass to l.ender to the eztent of the sums secured by this Mortgage imm~diately prior to such sale or
acquisition.
~ 6. Praervatbn and Mainteaance of PropeNy; Leaselwlds; Condomiaiums; Planned Unit Devebpments. Borrower
~ shall koep the Propetty in good repair and sha11 not comroi~ waste or permit impairment or'deterioration of ihe Property
and shall comply w~th the provisions of any lease i[ this Mortgage is on a leasehald. If lhis Mortgage is on a unit in a
~ condominium or a planned unit development. Borrower shall perform all of Borrower s obligations under the declaration
9 or covenants creating or governing the 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 cievelopment
r rider is exocuted by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
; s6a11 be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
were a pari heroof.
F 7. Protectlos of Lende~s Secarity. If Borrower tails to per(orm the covenants and agreements contained in ihis
i Mortgage. or if any action or proceeding is commenced which ma~erially aHects Lender's interest in the Pruperty.
~ including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
` bankruq or decedent. then l.ender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
~ sums and take tuch aetion u is nocessary to protect Lenders interest, including, but not Gmited to, disbursement of
reasonable attomey's fea and entry upon the Property to make repairs. If I~nder required mortgage insurance as a
condition of making lhe loan secured by this Mortgage. Borrower shall pay the premiums requireel to maintain such
inwrancx in effoct until such time as the requirement for such insurance terminates in accordance with Borrower s and
~0~27~. P~ 765
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