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HomeMy WebLinkAbout0786 Born~wer and l.ender cavenant and agree ne followa: 1. Payment ot !'rincipal and I~tereat. I3orn,we~ ahall pn,mptty pay when due the principal of pnd intrrrat on the indebtednena evidenced by the Note, pmpayment and late chargea aa pruvidrd in the Note, and the principal of and intereat on any F uture Advuncea secured by this Mortgage. 2. ~nde tor Taxes and Ineurance. Subject b applicable luw or to a written waiver by I.ender, fiurn,we~ sh:Jl pay to l.ender un the day monthly inatallmenta of principal nnd intereat are pxyuble under the Nute, until the Note ia paid in fuU, u sum Iherein "l~u~da"1 eyual to one tweifth of the yearly tnxex und ast?c.~ssmenta which may nttnin priority over this M~rtgnge, und ground rents on the Pruperty, if ~ny, plus onP twelfth of yearly premium inatallmen!a for hazard insuranre, plus onrtwelfth ofyearly premium instullme~tx for muRgaKrinsu~ance, i(any, all as reasonably estimated initiAlly t~nd from time to tirue by I.ender on the basis uf i~sac~xmentx ~nd biila und reasunable estimates thereof. The Funda ahall be held in an institution the deposits or accounta of which are ineured or guaranteed by a E~'ederal or State agency (including l.ender i[ l.ender ia auch an institution). I.ender shall apply the Funda to pay said tuxea, usaeac+menta, ineurance premiuma and ground rente. I.ender may not charge for eo holding und applying the Funds, analyzing said account, or venfying and compiling xaid asaeesmenta and billa, unlesa I.ender pays Borrower intereat on the Funda and applicable law permits I.ender lo make such a charge. Borrower and l.ender may agree in writi~g at the time of e:ecution of thia Morigage that intereat on the Funda ahall t?e paid to Borrower, and unlrxa euch agreement ia mede o~ applicable law requires auch intereat to be paid, I.ender shall not be required to pay Burrower any interest or eaminga on the Funde. [.ender ehall give to Borrower, without charge, an annual accounting of the Funda showing credits and debits to the Funde and the purpose for which each debit to the FL~da was made. The Funda arn piedgrd as additional security [or the suma secured by this Mortgage. If the Amount of the Funds held by Lender, together with the future monthly instnllmenta of Funda paynble prior to the duedates of taxea, asxex~ments, inaurance premiuma and ground renta, ahall excreci the nmount reyuired to pay said taxea, assessmenta, insurance pcemiums and ground renta as they fall due, auch exceaa ahall be, at Borrower's option, eilher prc~mptly repaid to l3orrower or credited to E;orrower on monthly installments of Funds. If the amount of the Funds held by Lender ahaU not be sufficient to pay taxes, asaesamenta, inaurxnce pre~niuma and ground renta as they fell due, Borrower ahall pay to l.ender any amount necessary to make up the deficiency w~thin 30 days from the date notice ia mailed by l.ender to E3orrower requesting payment thereof. " Upon payment in full of al) sume secured by this Atortgage, Ixnder shull promptly refund to f3~rrower any funds held by l.ender. If under paragraph 18 hereof the Property ia sold or the PropeHy is otherwise acquired by l.ender, Ixnder shaU apply, no later than immediately prior to the sale of the Property or ita acquisition by l.ender, nny Funds held by l.ender at the time of application as a credit against the sums secured by this Mortgage. 3. Application of Paymenta. Uniess applicable law provides otherv?~ae, all payments received by I.ender wider the Note and paragrapha 1 and 2 hereof ahall be applied by l.ender first in payment of amounts payable to l.ender by Borrower under paragraph 2 hereof, then to intecest payable on the Note, then to the principal of the Note, and then to interest and principal on any F uture Advances. 4. Chargea; Liens. Borrower shall pay aU taxes, assessments and othercharges, fines and impositions attributable to the Nroperty which may attain a priority o~•er this Mort~aKe, and leasehold payments orgmund mnts, if any, in the manner provided under paragraph `l hereuf or, if not paid in such manner, by t3orrower making payment, when due, directly to lhe p~yee LhereoL Bormv?er shail promptly furnish to I.ender all notices of amounts due under this para~ph, and in the event E3orrower shall make payment direcdy, BorruK er shall prumptly furnish to I.ender receipts evidencinq such payments. F3orrower shall promptly discharKr any lien which has priority over this blortgagr; pro~•ided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in w•riting to the payment of the obliRe~tiun secured bS surh lien in a manner acceptable to Lender, or sh~ll in good faith contest such lien by, or defend enforcement of such lien in, lc~a! prrx-eedinKs which operate to prevent the enforcement of the lien or farCeiture of the Property or :uiy part thereoL 5. Hazard Inaurance. Borrower ahall keep the improvementa now exiating or hereafter erected on the I'roperty insured against loss by fire, hazarde ir.cluded within the term "extended coverage," and auch other hazards as Lender may requim and in auc6 amounts and for such periods as I.ender may require; provided, that I,ender ahall not require such coverage amount exceeding the minimum, as may be required by st,~te o* federal mgulations goveming activities of Lender, or that amount of coverage required Lo pay the sums secured by this Aiortgage, whichever is the greater. The insurance carrier providing the insumnce shplt be cho.Ren by Bormwer subject to appm~•al by l.ender, pm~•ided, that such ~sppru~•al ~hall not be unreasonably withheld. All premiumw un insur.~nce p~dicies shall be pxid in the manner provided under paraKraph 2 hereof or, if not paid in such manner, by F3orrower making paymrnt, w•hen due, directly to the inr;urance carrier. ~i All inaurance policiea and renewals thereof shall be in form accept~ble to I~ender and shaU include a atandard mortgageclause in favor of ~ and in form acceptable to Lender. I.ender shall have the right to hold the policies and renewals thereof, and Rnrrower shall prompdy fumish to i.ender all renewal notices and all receipte of paid premiume. In the event of loxs, Born~wer shall Rive prompt notice to the insurance carrier and I.ender. Lender may make proof of loss if not made pmmptly by I3orrower. ~ Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to reatoration or repair of the E'roperty damaged, provided such restoration or rnpair is economically feasible and the security of this 141origage is not thernby impaired. If such j restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the insurance proceeds shall be applied I to the auma eecured by this Aiortgaqe, with the excesa, if any, paid to Borrow er. If the Property is abandoned by I3orrower, or if Iiormwer fails to E respond to Lender within :~0 days fmm the date notice is mailed by I.ender to E3orrower that the insurance camer of~'ers to settle a claim fur ` insurance benefits, I.ender is authorized to collect and appty the insurance proceeds at I.ender's opti~n either to restoration or repair of the ~ Property or the sums secured by this Mortgage_ ~ Unlesa I.ender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone thedue date of the monthly installments referred to in paragraphs 1 and Z hereof or change the amount of such inatallments. If under paragraph 18 hereof the Property ie acquired by Lender, all right, title and interest of FDorrower in and to any insurance policies and in and to the proceeds thereof reaulting from damage to Pmperty prior tn the wale or acquisition ahaA pase to Lender to the eatenL of the sums secured by this Mortgage immediately prior to auch sale or acquiaition. 6. Preservation and Maintenance otProperty; Leaseholde; Condominuma; Planned Unit Developmente. Borrowershall keep ~ the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahalt comply w~th the pmvieions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower ahall perform all of Borrower'a obligations under the declaration or covenants creatin~or governing the condominium or planned ~ unit development, the by-laws and regulationa of the condominium or planne~ unit development, and constituent documents. If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the oovenants and ~ agreements of such rider shall be incorporated into and shall amend and supFlement the covenants and agreements of this Mortgage as itthe ¢ rider were a part hereof. ~ 7. Protection of Lender'e 3ecurity. If Borrower faile to per[orm the ooveaante and agreemente oontained in thie Mortgage, or if any ; action or proceeding ie commenced which materially affecte Lender e interest in the Property, including, but not limited to, eminent domain, inaolvency, oode enforcement, or anangemente or proceedinga involving a bankrupt or decedent, then Lender at Lender e option,upon notice to Borrower may make. auch appearances, dinburee such eume and take such action aa ie neceseary to protect Lender's interest, including, bnt not limited to, disbureement of reaaonable attorney's feee and enLry upon the Property to make repaire. If Lender required mortgage ineurance ae a condition of making the loan secured by this Mortgage~ Borrower shail pay the premiume required to maintain euch ineurance in effect until such time as the req~aremsnt for auch ineurance termin~tes in accordance with Borrowei a and Lendei e written agreement or applicable Law. Borrower ehal) pay the amount of all mortgage inaurance premiuma in the manner provided under ; paragraph 2 hereof. ~ My amounte dieburaed by Lender persuant to thie paragraph 7, with intereat thereon, shall become additional indebtedneas of ~ Borrower secured b thia Mo ~ y rtgage. Unleas Borrower and Lender agree to other terms of payment, such amounte shall be payable upon notice from Lender to Borrower requeeting payment thereof, and ahall bear intereet from the date of disbureement at the rate payable ttom time to time on outetanding principal under the Note unleae payment of interest at such rate would be contrary to applicable law, in which event such amounte shall bear intereat at the highest rute permiaaible under applicable law. Nothing contained in thie paragraph ahall i=; require Lender to incur any e:penae or take any action hereunder. ~ S ~ ~ ~ ~ r= fl R 2s7V ~ ~ a~G~S rA(,~ ~ ~ ~ x-~-~ - - - - Y : ~a, ~ . ~ x ~ r ~ . . ~ .