HomeMy WebLinkAbout0027 UNiFOR~t CoveN~N~rs. Borrowcr and t.e~Je~ cavenant and ag~ee as follows:
l. hymeat of Pdncipal and lotetest. Borrawer shall promptly pay wheo due thc principal of and interest o~ the
indebted~ess evidenced by the Note, prepayment and late charges ~s p~oviJed in the Note, and the pri~cipat of and interest
on any Futuro Advances secured by this Mortgage.
2. Fbade tor Tuas aad Iasurance. Subject to applicable !aw or to a written waiver by Lender. Borrower shall pay
to I.ender o~ the day monthly installments of principal a~d interest are payable under the Note, uotil the Note is paid in full,
a sum (herein "Funds") equal to one-twelfth of the yoarly taxes and assessmtnts which may attain prio~ity over this
Mortgage: and ground renk on the Pmperty. if any. plus one-twel[th of yearly~premium installments for hazard insurance,
plus one-twelfth of yearly prcmium installments for mortgage insurance, if any, all as ressonably estimated initially and [c+um
time to time by Leader on the basis of assessments and 6ills and reasonable estimates thereof.
The Funds shall be held in a~ institution the deposits or accounts of which are insure~ or guaranteed by a Foderat or
state agency (includi~g Lender if l.ender is such an institutioa). Zender shall apply the Fut~dt to piy said taaes. asussme~ts,
insurance prtmiums and ground rents. Lender may not charge for so holding and applying the Fu~ds, analyzing said account.
or verifying and compiling said asussments and bills, unless Lender pays $orrower interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and I.ender may agree in writing at the time of exocution of this
Mortgage that interest on ~he Funds shall be paid to Borrower. and unlas such agreement is made or applicable law
requires such interest to be paid, ~endcr shall not be rcquired to pay Borrower any interest or earaings on the Funds. Lender
shall give to Rorrowe~, withuut charge, an annual accounting of the Funds showing credits and debits to the Funds and the '
purpose for which each debit to the Funds was made. The Funds arc pledged as additional socurity for the sums secured
by t6is Mortgag~.
If the amount of the Fuads held by Lender, togethor with thc future monthly installments of Funds payable prior to
the due data of taxes. assessments. insurance premiums and ground rents. shall exceed the amount required to pay said taxes.
assGts~tients. insulrance premiums and gcound rents as they fall due, such excess shal! be. at Borrower's option, either
pranptly repaid to Borrower or credited to Borrower on monthly i~stallments of Fuads. If the amount of the Funds
held by, Leader shall not be suR'icient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any smount nocessary to make up tho deficiency within 30 days from the date notice is mailod
by l.ender to 8ormwer requesting paymtnt thereof.
Upon paymeat in full of all sums secured by this Mortgage, l.ender shall promptly refund to Borrower any Funds
held by I.ender. lf under paragraph 18 hercof the Property is sold or the Property is otherwise acquired by Lender. Lender
shall apply. no later than immediately prior to the sale of the Propecty or its acquisition by Lender, any Funds held by
[.ender ai the time of application as a credit against the sums secured by this Mortgage.
3• Applicatbn ot P~yme~ta. Unless applicable law provida otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 heroof shall be applied by 1_ender first in payment of amounts payable to Lender by Borcower
under paragraph 2 hereof. t4en to interest payable on tho Note, then to the principal of the Note, and then to interest and
principat on any Future Advances.
4• C4ar~es; Lkas, Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to
the Property which may attain a priority over this Mortgage. and leasehold payments or ground rents, if any, in the manaer
pmvided under puagraph 2 hereaf or, if not paid in such manner, by Borrower making payment, when due, directly to the
payee theneaf. Borrower shall pmmptly furaish to Lender all notices of amouats due under this paragnp6, and in the event
Borrower shall malce payment directly. Barrower shall promptly fumish to Lender receipts evidencing such payments.
'1 Borrower shall prompUy discharge any lien which has priority over this Mortgage; provided. that Borrnwer shal! not be
required to discharge any sush lien so long as Borrower shali agree in writing to the paywent of the obl+gation secored by
suc6lien in a manner acceptabk to Ltnder. or sha!! in good faith contest such lien by, or defend enforcement of such lien in, °
legal proceedings which operate to prevent the enforcement of the lien or forfeitute o.' the Property or any part thereof. '
S. Huard I~unace. Borrower shall kcep the improvements now• existing or hereafter erected on the Property insured
againat loss by fia. hazuds included within the term "extended coverage", and such other haza[+ds as Lender may require
and in such amounts and for such periods as Lender may require; provided, that Lender shall not tequirc that the amount of
such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
Tbe insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
that such approval shall not be unreasonabty withheld. All premiums on insuranoe policies shall be Paid in the manner
providod under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymeat, when due. directly to the
insurance carrier.
A!1 insurance policies and renewals thereof shall be in form acceptable to l.ender and shall inctude a standard mortgage
clause in favor of and in form acceptable to I.ender. Lender shall ~ave the right to hold the policies and renewals thereof, ~
and Borrower shall promptly furnish to Lender aU renewal notices and all reveipts of paid premiums. In the event of loss.
Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loas if not made promptly
by Borrower. .
Unless Lendor and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
the Propetty damaged, provided such restoration 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 ihe socurity of this Mortgage would
be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage. with the excess, if any, paid
to 8orrower. If the Property is abandoned by Borrower, or if Borrower 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, I_ender
is aut6oriud to collect and apply the insurance proceeds at Lender's option either to restoration or rtpair of the Property
or to the sums secured by this Mortgage.
Unless Lender and Borrowrr 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 1 and 2 hereof or change the amount of
such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, tide and interest of Bonower
in and to any insurance policies and in and to the proceeds thereof resulting from damage io the Property prior to the sale
or acq~isition sha!! pass to Lender to the extent of, the sums secured by this Mortgage immediately prior to such sak or
acquisition.
6. Prtservatbo aad Mainteaance of Property; Leaseholds; Condomiaiums; Planned Uoit Devebpmeots. Borrower
shall keep the Property in good repair and shail not commit waste or permit impairment or deterioration of the Property
and shal! corriply with the provisions of any lease it this Mortgage is on a leasehold. If this Mortgage is on a unit in a
condominium or a pla~ned unit cievelopment, Borrower shall perform all of Bortower s obligations under the declaration
or covenants creatiog or govarning the condominium or planned unit developme~t, the by-laws and regufations of the
condominium or planned unit development, and constituent documents. If a condominium or planned i+nit development
rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements of such rider
shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
were a Part hereof.
7. Protection of Lendt~s Security. If Borrower faits to perform the covenants and agreements contained in this
Mortgage, or if any action or proceedeng is commenced which materially afiects Lender's interest in the Property,
including, but not limited to. eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is necessary to protect Lender's mterest, including, but not limited to, disbursemeot of
reasonable attomey S fees and entry upon the Property to make repairs. If l.ender required mortgage insurance as a
condition of making the loan secured b}~ this Mortgage. Borrow•er shall pay the premiums required to maintain such
insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and
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