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HomeMy WebLinkAbout0162 Borrower and Lender oovenant and agree eu folbw~: 1. Pwyment ot Peiacipal aAd Interea~ Horrower shall promptly pay when due the principal of and intere~t on the indebtedneas evidenoed by the Note, prepayment and late chargea as provided in the Note, and the pcincipal of and interest on any F~ture Advancea secured by tAis Mort~a;~e. 2. I~nd~ for Tasea and ineuraace. Subject b applicable law or to a wrilten waiver by I.ender, Bor~ovrer ehall pay to [.ender on the dayr monihiy i~ei~:.~,e.-,ta af ~,d ::sRa:ea: ~ypti~P ~nd.~.~ the Note, unW the Note ia Daid in full, a suw (herein "l~nda") equat to one~ ~ twelRh of the yearly taxes nnd aasesaments which may attain priority over this Mortgage. and ground renta on the Properiy, if any. plua one- twelRh of yearly pe~emium installmente tor hasard ineurance, plua on~twelM of yearly premium inataUmente for morigage insurance, if any. all as reaeonably estimated initially and from time to time by Lender on the baais of asseasments and billa and reaeonable estimates thereo! The FUnds shall be held in an institution the deposits or aacounts of which are ineured ot guaranteed by a Federat or State agency (iacluding Lender if l.end~ is snch aa inetitution). Lender shaU apply the ~nda to pay said taxes, asaeasments, insurance premiume and grow~d rents. Lendrr may not charge for so holding and applying the ~nda, analyzing said accoun~ or yerifying and compiling said ass~esmente and bills. unlexs Lender pays Borrovrer intereet on the Fl~nde and applicable law permite I.ender to make euch a charge. Borrower and L.ender may agree in writing at the time of ezecution of this Mortgage that interest on the Fti~ds shall be psid to Borrnwer, and unleas such sgreement ie made or applicable )aw requires anch intereat to be paid. Lender shall not be required to pay Borrower any intereat or ear~ings oA the fitnde. Lerder shall give to Borrower. without charge. an annual aooounting of the Ptinds ehowiag credits and debite to the F~nde a~d the purpo~e for which each debit to the FLnde wae made.'14~e Funds are pledged aa additional eecwity for the sums secured by this Mortgage. If the amount of the I~nds held by Lendes, together with the future monthl~r inatallments of Funde payable prior to the due datee of taxea, asaessments, inaurance premiuma and ground rents, ahall exazed the amount required to pay said texea, seaeasmenta, inauranoe premiwps and ground rente aa they fall due. such e~cesa ahall be. at Borrower's option, either pmmptly repaid to Borrower or credited to Borrowtr on monthly iaetatlments of F1nde. If the amount of the Funds held by L,ender ahall not be eufficient to pay t~ee. aseessments, inaurance premiwne and ground rente aa they fall due. Borrower ehall pey to Lender any av?ount necessary to make up the deficiency within 30 days from the date notice is mailed by i.ender to Borrower requesting payment thereof. Upon payment in fuU of all sums secured by this Mortgage, Lender aha1) promptly refund to Bosrower any funde held by Lende~. Jf under paragraph 18 hereof the Pmperty ia aold or the Property is otherwise acquired by Lender, l.ender ehall apply, no later than immediately prior to the sale of the Property or ite acquiaition by I.ender. any Ftinds held by I.ender at the time of applicatio~ as a credit againat the sume secured by this Mortgage. ~ 3. Application ot Paymenta. Unlese applicable law provides other~e, all paymenta i~eceiv~' by"l.ehder under the Note and paragrapha 1 and 2 herEOf shall be applied by I.ender first in payment of amounte payable to Lender by Borrower under paragraph 2 hereof. then to interest payeble on the Note, then to the principal of the Note, and then to interest and principal on any Futeire Advancea. 4. C6argee; Lieas. Borrower ahall pay all taxea, azssessments and other chargea, fines and impositions attributable to the Property which may attain.a priority over this Mortgage, and IeasehoW payments or ground renta, if any, in the mannerprovided under paragraph 2 hereof or, . if not paid in auch manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall ptomptly furniehto Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly. Borrower shall promptly furniah to Lenda receipts evidencing such paymenta. Borrower ehall promptty discharge any lien which has priorety ever thia Mortgage; provided, that Bor~ower ahal! not berequired tadiacharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a maaner soceptable Lo Lender, or ahall in good faith contest such lien by, ordefend enforcement of anch lien in, legal proceedings which operate to prevent the enforcement of the lien or torfeiture of ti~e Property or any part thereof. 5. Hazard Ineurance. 8orrower ahatl keep the improvements now esi.eting or hereafter erected on the Aroperty inaured againat loas by fin, hazarde inc]uded within the term "~tended coverage," and auch other hazarde as Lender may require and in such amounta and for euch periods as Lender may require; provided, that Lender shall not require such ooverage amount e:ceeding the minimum. as may be rc~uired by state or federal regulatione governing adivitiea of I.ender, or that amount of rnverage required to pay the aums sece~red by thie Mortgage, whichever is the gt+eater. The ineurance carrier providing the insurance shall be chasen by Bortowcr subject to appmval by I,ender, provided, that such approval shall not be unreasonaWy withheld. All premiums on insurance policies shall be paid in the manner provided under paragraph Z hereof or, if not paid in auch manner, by Borrower making payment, when due, dit~ectly to the insurance carrier. All inaurance policies and renewals thereof ehall be in form acceDtable to I.ender and ehall include a standard mortgage clause in favor of and in form acceptable to I~nder. I.ender shall have the right to hold the policies and renewala thereof, and Borrower shall promptly furnish to i.ender all renewal noticea and all reoeipta of paid premiume. In the event of lose, Borrower ahail give prompt notice to the insurenoe carrier and Len~~,. *..€~a.-: We; ~e ~ra~f Qf k~ '_f ..nt mnrle promptly by Borrower. Unle~a Lender and Borrower otherwise agree in writing, insurance peoceeda ahall be applied to restoration or repair of the Aroperty damaged, provided such resbra.tion or repair is economicslly [easible and the aecurity of this Mortgsge is not thereby impaired. It such reetoratan ar repair ie aot eoonomically feasible or if the necurity otthis Mortgage would be impaired, the insurancepraceede aha11 beapplied to the suma eecvred by this Mortgage, with the ea~cess, if any, paid to Borrovrer. If the Property ia abandoned by Borrower, or if Borrower fails to reapond to I.ender within 30 dayg from the date notice is mailed by Lender to Borrower that the insurance carrier offera to settie a claun for inaurance benefita, Lender is anthorized to collect and apply the inaurance proceeds at Lender s option either to restoration or repair of the Property or the aums eecured by this Mortgage. Unlees Lender and Borrower otherwiae agree in writing, any such application of proceeds to principal ahall not ~tend or postpone the dne date of the monthly inatallments referr~ed to in paragraphe 1 and 2 hec+eof or change the amount of auch installtnents. If under paragraph IS h~eof the Property ie aaquired by Lender. all right. title and interest of Borrower in and to any inaurance policies and in and to the proceeds thereof resulting trom damage to Property prior b the aale or aoquisition BhaU paea to I.ender. to the e:tent of the euma secured by this Mortgage immediately prior b auch eale or aoquisition. 6. Preservation and Maiatenance of Property; Leaseholds; Condominums; Planned Unit Developments. Borrower ahall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall wmply with the provieions of any lease if thie Mortgage is on a leaeehold. If thie Mortgage ia on a unit in a condominium or a ptanned unit development, Borrower shall per[orm all of Borrower'e obligationa under the declaration or covenants creatingor governing the condominium or planned unit development, the by-laws and regulations of the condominium or planned unit developmeat, and o~netituent documents. lf a condominium or pIanned unit development rider is ezecuted by 8orrower and nrorded together with thia Mortgage, the coveaante and agreementa of auch rider ehall be incorporated into a~d shall amend and supplement the rnvenanta and agreements of this Mortgage as if the rider were a part hereof. . Protectlon ot I.ender'a Security. V Borrower faila tn perEorm the oovenante and agrcemente cantained in this Mortgage. ~ if any actioa or proceeding is commenoed which materially sKects I.enekr's interest in the Prope~y, including, but not limited to, eminent doroain, insolvmcy. oode eaforcernent, or arrangements or proaedings involving e banlm~pt or deoedent; Wea Le~et at Lender's option,npon notioe to Boreower may make snch appearanoee. diaburee anch sums and take each action as is neoesaary to protect Lender's intereet, inclnding, bat not timited b, diabursement of naaonable attorney's fees and entry npon the Pt+nperty to iaske repairs. If Lender reqaind mortgage inenrancx aa a cwnditioa of making the loaa eecured by this Mortgsge. Borrower shaU pay tbe premiums reqnired b maintain sach inaurauce in e~ect until such time as We requirement for snch insurance terminatee in aooordance with Borrower's and Lendds written agreement or applicable Law. Borrower shaU pay the amount of all mostgage ineurance premiums in the manner provided uader PeraBraPh 2 6ereof. . - AnY amonnts disbursed by Lender persuent to this paragreph 7, with interest thercon, a6all beoome additional indebtedneea of Boaowe~r ~ecnred by this Mortgage. Unleea Borrower aad l.end~ agree to other terms of payment, sach amounta ehall be payable npon notice trom La~de~r to Bormwer requeeting payment thereof, and shall bear intereat from the date of diebnrseu~ent at the rate payable trom time to time on outatanding principat unda the Note unleee paymer~t of intereat at auch rate would be o~ntrary to applicable law, in which ev~t aach amounts shall bear int~rest at the highest rate permiseible under applicable law. Nothing oontained in thi~ paragraph 7~ shaU reqnire I.ender Lo incnr any expense or take any action hereunder. ~il~~ ~~O rl4~E 1~z - _ _ - - - _ . . _ _ . . x w_,~~