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HomeMy WebLinkAbout0093 Borrower and Lende~ covenant and agr.e aH fol,bws: 1. Pqyment of Princlpal and [ntereat. Borrower ahall promptly pay when due the principal of and irtterest on the indebtedneae evidenced by the Note, prepayme~t and lete charges as provided in the Note, and the principal of and i~tereat on any ~tture Advancea secured by this Mortgege. 2. Fltnda tor Ta~tea and Insurance. Subject to applicable law or to a writte~ waiver by I.ende~, E3orruwer ahull pay to l.ender un the day moathly inatallments of principal and intereat are payable under the Note, until the Note is paid in full, a aum (herein "Fl~nds") equal to one twelRh of the yearly taxea and aseessments which may attain priority over thia Morigage, a~d ground renta on the Property, if any, plua one twelRh of yearly premium installme~ts for hazard ineurance, plua onetwelfth of yearly premium iuatallment$ for morigage inaurance, if any. all as reaeonably estimated initially and from time to time by l.ende~ on the baeia of asaeaemente nnd billa and reasonuble estimates thereof. The I~nds shall be held in an institution the deposits or accounts of which are inaured or guaranteed by a Federal or State agency (including I.end~ if Lender ia such an institution). Lender ehall epply the ~nds to pay said ta:es, aesesamenta, inaurance premiuma and grou~d rents. Lender may not charge for so holding and applying the ~nds, analyzing eaid account, or verifying and rnrapiling eaid asaeasments and bills. unleae l.ender peye Borrower interest oa the Flrnde and appUcable law permits Lender to make euch a charge. Borrower and I.ender may agree in writing at the time of execution of thia Mortgage that intereat on the ~nds ahall be paid to Borrower, and unlesa such agrcement is mede or applicable law requires such intereat b be paid, Lender shall not be required to pay Borrower any intereat or earnings on the Funde. l.ender ehall give to Borrower, without charge, an annual acoounting of the Funds ahowing credite and debits to the Funda and the purpoee for which each debit to the FLnde waa made.'17~e Funda are ptedged as additional eecurity for the sume eecured by thia Mortgege. If the amount of the ~nds held by Lender, together with the [uture monthly installments of Funda payable prior to the duedates of taxee, seaeasments. ineurance premiuma apd ground renta, ahall e:cYed the amount required to pay eaid taxea. aseeeamente~ insurance premiuma and ground rents as they fall due, euch exceae ahall be, at Borrower's option, either prompdy repaid to Borrower or credited tn Borrower on moothly uistsllments of ~Lnde. If the amount of the Funda held by Lender ehall not be aufficient to pay taaea, aseeasmente, insarance premiums and ground rents ae they fall due. Borrower ehall pay to Lender any amount neceasary to make up the deficiency within 30 day8 from the date notice ie mailed by Lender to Borrower requeating payment thereof. Upon payment in full of all aums eecured by thia Mortgage. Lender ehall promptly refund to Borrower any funda held by Lender. If under paragraph 18 hereof the Property is eold or the Property ie otherwiee acquired by Leader, Lender ahall apply, no later than immediately prior to the sale of the Property or ite acquieition by Lender, any ~nds held by I.ender at the time of application ae a credit againat the suma secured by this Mortgage. 3. Applieation ot Paymeate. Unleas applicable law prov{dea otherwiae, all paymenta received by Lender under the Note and paragrapha 1 and 2 hereof ehall be applied by Lender firat in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to intereat payable on the Note, thea to the principal of the Note, and then to interest and principal on any Future Advancea. 4. Chargee; Liene. Borrower ahall pay all taxea, asseasments and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold paymenta or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in euch manner, by Borrower making payment, when due, directly to the payee thereof. Borrowershall promptly furniah to Ixnder all noticea of amounts due under thia paragraph, and in the event Borrower ahall make payment directly, Borrower shali promptly fumish to Lender receipta evidencing auch payments. Borrower shall prompdy dischatge any lien which has priority over this Mortgage; provided, that Botrower shaU not be,required to discharge any such lienao long as Eiorrower shall agree in writing to the payment otthe obliqation secured by such lien in a manner acceptable to Lender, or ahall 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 forfeiture of the Property or any part thereof. 5. Hezard Insurance. Borrower aha11 keep the unprovementa now e~cisting or hereafter erected on the Property inaured againat loss by fire, hazarda included within the term "e:tended rnverage,° and euch other hazarde as Lender may require and in such amounts and for auch periods as I.ender may require; pmvided, that Lender ahall not require auch ooverage amount e:ceeding the minunum, as may be required by atate or federal regulatione governing activitiee of I.ender, or that amount of coverage required to pay the eums eecured by tliia Mortgage, whichever ia the greater. The inaurance carrier providing the inaurance shall be chosen by Borrower subject to approvai by I.ender, provided, that such approval - shall not be unreasonably withheld. All pmmiums on insurance policies shall be paid in the manner provided under paragraph Z hereof or, if not paid in auch manner, by E3orrower making payment, when due, directly to the insurunce carrier. All inaurance policiee and renewala thereof ahall be in form acceptable to Lender and shall include a standard mortgege clauae in favor of and in form acceptable to Lender. Lendei shall heve the right to hold the policiea and renewala thereof, and Borrower ahall promptly furniah to i.ender all renewal notices and aU receipts of paid premiuma. In the event of lose, Borrower shali give prompt notice to the insurance carrier i and Lender. Lender may make proof of loee if not made promptly by Borrower. ! Unleae Lender and Borrower otherwiae agree in writing, insurance proceeds ahall be applied to reatoration or repair of the Property ~ damaged, provided auch restoration or repair ia economicatly feasible and the eecurity of this Mortgage is not thereby impaired. [f such reatoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the insurance proceede ahall be applied ` to the aums eecured by thia Mortgage, with the excese, if anY. paid to Borrower. If the Property is abandoned by Borrower, or if Borrower faila to I ~ reapond to I.ender within 30 daye from the date notice ie mailed by Lender to Borrower that the ineurance carrier offers to settle a claim for ~ inaurance benefife, Lender is authorized to rnltect and apply the inaurance proceeda at Lender s option either to reatoration or repair of the ~ Property or the aume aecured by thia Mortgege. Unlesa I.ender and Bortower otherwiee agree in writing, any auch application of proceeds to prinripal ahall not eactend or poatpone the due date of the monthly inataAments mferred to in paragrapha 1 and 2 hereof or change the amount of such inetallmenta_ If under paragraph 18 ~ hereof the Property ie acqnired by Lender, all right, tide and internat of Borrower in and to any insurance policies and in and to the proceede - thereof reaulting from damage to Property prior ta the sale or acquiaition ahall pase to Lender to the eatent of the suma eecured by this • Mortgage immediately prior to such sale or aoquieition. s. p,re8ervaaon and Maintenance of propercy; I.ease6olds; Condominums; Planned Unit Developmeats. Borrower eha11 keep the Property in gaod repair and ahall not commit waete or permit impairment or deterioration of !he Property and ahall rnmply with the provieiona of any leaBe if thie Mortgage is on a leasehold. If this Mortgage ia on a unit in a rnndominium or a planned unit development, Borrower ahall perform all of Botrower'e obligationa under the declaration or covenants creatingor governing the condominium or planned unit development, the by-laws and regulations of the condomir.i~un or planned unit development, and constituent documente. If e oondominium or planned unit development rider ia e:ecuted by Borrower and recorded together with thia Mortgage, We oovenants and agreemenls of euch rider ahall be incorporated into and ahall amend and supplement the covenanta and agreements of this Mortgage as if the rider were a part hereof. Pcotection of Lender'e Security. If Borrower fails to perEorm the oovenante and agreementa oontained in this Mortgage, or if any action or proceeding is commenoed which materially affecte Lender s itlterest in the Property, including, but not limited to, eminent domain, ~ insolvency, aode ez~foroement, or arrangements or prooeedinge involving a banlQUpt or deceden~ then L.ender at Lender'e option.upon ~ aotice to Boreower may make anch appearances. dieburse auch sums and talce such action as is neoesaary to prote~t I.end~'s intere~~ - including. bnt not limited to, disbureement of reasonable attomey's fees ~nd entry upon the Property to make repairs. If Lenda required ~ mortgage insurance ae a condition of making the loan eecured by thia Mortgage, Borrower shall pay the premiums required to maintain ~ ~uch insnrance in effect until auch time as the requirement for such ineurance terminates in aa~ordance with Borrow~'s and Lendds ~ written agreement or applicable Lew. Borrower ehall pay the amount of all mortgage ineurance premiuma in the manner provided under parsgraph 2 hereof. Any amounts diabursed by Lender pereuant to thia paragraph with intereet thereon, shall beoome additional indebtedneee of ~ Borrower secured by this Mortgage. Unleas Borrower and Lender agree to other terms of payment, euch amounte ehall be payable upon notice from Lender to Borrower requeeting payment thereof, and shall bear intereet from the date of diebussement at the rate payeble from time to time on outstanding principal under the Note unless payment of interest at auch rate would be oontrary to applicable law. in whic6 ~ event such amounte ehaU bear interest at the higheat rate permiseible under applicable law. Nothing contained in this paragraph 7. ehaU ~A require Lender to incur any e~cpense or take any action hereunder. ~ ~ R 291 93 ,,~vK ~ • fi' ~ • ~ _ _ .~~'i ^ ' . _ ' _ ~:a~~•--~" _ _ T~i-tY~ ~^'P~ ~ ~ p~ , ~~~~~~~~~i ' ~ . a ~.,.~s,:.'wr~' . +,:!r ~ - i i''~ d r. ' .i. ~ ~ ~ - ~ - ° . _ ~ •:;y. ;