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HomeMy WebLinkAbout0372 . ~ Y 4' UV~FOR~t CU~'E~.~NTS. BO~fOWOf 8I1(I I.cndc~ eavenant a~d agrct as foUows: , . # I. Pa~~ment ot P~tncipat and Iaferest. Borrow~e~ shaU promptly pay when due the principal of and interest on Ihe ~ ine!cbtednass evidenc~d by the 1~'ote. prepayntent and late chargas as p~ovick•d in the Note, and the ptincipal of and intrreu on any Futurt Ad~•ancec seti:ured by this Mortgaga. 2. Funds for Taxes and Insurance. Subject to applic:~blc law or to a written waive~ by Lende~. Borrowcr shali pay tu I_enJar o~ ~he da~~ monthl~ installmc~ts O[ priacipal and interest are payable u~Jer the Note, unli! the Note is paid in tull, a sum (hrrein "t=undi') equa! to one-tweifth of the ycarly ta~es anJ asscssments which may attain priority ove~ this ~tort~tagc, anJ sround rents on the Propett~~. if any. plus onrtwclfth of yearly ptemium installments for hazard insurance. ' plus one-t~~el[th of }•early premium inst~litnents for mortgage insurance. if a~y. alt as reasonabty cstimated initiatty and foom } tin~~ to tima by ~endrr on the basis of assessmcnts and bilts and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which are insnrod or guaranteed by a Fede~al or ~ state agenc~• (including Lender if Lender is such an irtstitution). Lender shall apply the Funds to pay said taxes. assessments. insurance premiums and g~ound rents. Lender may not charge for so holding and applying the Funds. analyzing said accouat~ ~ or ~•erif~~ing and cvmpiling said assessments and bills. unless Lender pa)Y Borrower interest on the Fueds and applicable law ~ y perniits LenJar to make such a charge. Borrower and Lendec may agree in writing at the time of execution of this ~ ~ic~rtgage that intorest o~ the ~unds shall be paid to Borrower. and unless such agreement is made or applieable iaw ~ requires su:h interest to be paid. Lender shali not bc requireci to pay Bor~ower any intercst or taraings on the Funds. Lcnder shali gi~~e to Borrowtr, without charge. an annual accounting of the Funds showing credits and debits to the Funds and the pur~:ose for which each debit co the Funds was made. The Funds are pledged as additional security for the sums secured ~ by this ~iortgage. ~ If the amou~t of the Funds held by Lender. together with the future monthly installments of Funds payable prior to ' the dua dates of taxes. assessments. insurance pnmiums and ground rents, shall exceed the amount required to pay said taxa. ~ assessments. insurance premiums and ground rents as they fall due. sucb exctss shall be. at Bo~rower s optio~. either ~ promptly repaid to Bormwer or credited to Borrower on monthly installments of Funds. If the amount of the Fuads ? hdd by Lender shall ~ot be sut6cient to pay tares. asseuments. insarance prerniums aad ground rents as they fall due, Borrowe~ sh31! pay to Lender any amount necessaq~ to make up the deficie~cy within 30 days from the date notice is mailed by Lender to Borrower nquesti~g payment thereof. Lpon payment in full of all aums secured by tfiis Mortgage, l.ender shatl promptly nfund to Borrow~er a~y Fu~ds 3 h~ld by Lender. If under paragraph 18 hereof the PropeKy is sold or the Propeny is othetwise acquired by L.ender. Lender ' shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by Lender at the time of application as a credlt against the sums secured by this Mortgage. : 3. Appltcation of Payments. Unless applicable law pro~ides othenvise. alt payments received by i.ender under the ~ Notc and paragraphs 1 and 2 hereof sha0 be applied by I_ender first in ~aymeat of amounis payable to Lender by Borrower undrr paragraph 2 hereof, then to interest payable on the Note, then to the principa! of the Note. and then to interest aad : principal on any Future Advances. . ` 4. C6arges; Liens. Botrower shall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this btortgage, and ieauhotd payments or ground rents. if any. in the manntr pru~•ided under paragraph 2 hereof or, if not paid in such manner. by Borrrnver making payment, when due. directly to the pa}-ee thereof. Borrower s6all promptly furnish to Lender all notices of amounts due under this paragraph, and in th~ event BorroKer shall make payment direcily. Borrower shall promptly furnish to Lender teceipts ~videncing such payments. Borrow~er shall promptly discharge any lien which has priority over this Mortgage: Prnvided, ihat Borrower sha11 not be required to discharge any such lien so long u Sorrower shall agree in v?riting to the payment of the obligation ucured by such lien in a manner acceptable to Lender. or shaq in good faith contest sucfi licn by. or defend enforcement of such lien iq legal proeeedings which operate to prevent the enforeement of the lien or forfeiture of the Property or any part thereof. - 3. Hazard Insurance. Borrower shaU keep the impro~ements now ezisting or hereafter erected a[~ the property insured ' agaiast loss by fire. hazards included within the tCrm "extended co~erage". and such other hazards as Lender may requirt ~ and in such amounts and for such periods as Lender may require; provided. that [.ender shall not require that the amount of such co~erage exceed that amount of coverage rzquired to pay the sums secured by this biortgage. The insurance carrier providing the insurance shalt be ch~xen by~Borrower subjoct to approval by Leader, provided, ~ that such appravat shall not be nRreasonably wiihheld. All premiums on insurance policies shall be paid in"the manner provided under paragraph 2 hereof or, if not paid in such manner. by Borcower makiag paymeat, wben due, directty to t6e ensurance carrier. All insurance policies and nnewals thereof shall be in form accxptabte to i.ender and sball include a standard mortgage • ciause in favor of and in form acceptabk to LeQder. l.ender shal! have the right to hold the policies and re~ewals thereof, and Borrower shall promptly fuinish to Lender atl renewal notices aad all receipts of paid premiums. In the event of loss. Borrower shall give prompt aotice to the insurance carrier and Lender. Lender may make pmof of loss if not made promptly by Borrower. Unless Lender and Bortower otherwise agree in writing. insurance proceeds shall be applied to restoration ar repair of the Property damaged, provided such restoration or repair is economically feasible and the security of tbis Mortgage is not thereby impaired: If such restoration or repair is not economically feasible or if the security of this Mortgage woutd be impaired, the insurance procoeds shail be apptied to the sutns secured by this Mortgage. with the excess, if any, paid to Borrower. If the Property is abandoned by Borrovrer. or if Borro~ver fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance procreds at Lender's option eiWer to restoration or repair of the Property or to the sums secured by this Mortgage. Ualess Lender and Borrower othemise agree in writing. any such application of proceeds to principa! shall nat ~actend or postporte the due date of the monthly installments referred to in paragraphs l and 2 hereof or change the amount'of such installments. If under paragraph 18 heroof the Property is acquired by Lender~ alt right, tide and inter~est of Borrower in and to any iasuraace poticies and in and to the proceeds thereof resulting from damage to ihe Property prior to the sale or acquisition sha!! pass to Lender to ihe extent of the sums secured by t6is Mortgage immediately prior to sucb sale or acquisition. _ 6. Presen•at~on and ~taintenance oE Ptoperty; I.es~seholds; Condominium~ Plannsd Unit Developments. Borrower shall keep the Property in good repair and shaU not commit waste or permit impairment or deterioration of the Property and shalt comply with tt~e provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is o~ a unit in a . condominium or a planned unit development, Borrower shal) perform all of Borrower's obligations under the declaration or coveaants creating or governing the condominium or planned unit development, t~e by-laws and regulations of the condominium or planned unit devetopment, and constituent doeuments. IE a condominium or ptanned unit cievelopment rider is executed b) Borrower and recorded together Kith this 1?iortgage, the covenants and agreements of such rider shall be incorpo~ated into and shall amend and supplement the covena~ts and agreements of this Mortgage as if the rider Kere a part hereof. 'I. Protection of Lender's Security. If Borrewer fails to perform the eovenants and agreements oontained in this Mortgage, or if any action or proceediog is commenced which materially affects Lender's interest in the Property, including. but noi limited to, eminent domain, insolvency, code enforcement. or arrangements or proccedings involving a banl:rupt or decedent, then Lender at l.ender's option~ upon notice to Borrower. may make such appearances. disbuise such sums and take such action as is necessazy to Qrotect Lender's interest, inc{uding, but not limited to. disbursement of reasonable attorney's fees and e~try upon the Propeny lo make repairs. If Le~icr required mortgage insurance as a condiiion of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maint~in such insurance in effect until such time as the nquirement for such insurance terminates in accorda~e with Borrower's and ~ ~ ~00~~7~ 3?2 :