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HomeMy WebLinkAbout0544 Bormwer and l.e~der covenant and a~tee as foUows: 1. Payment ot Principal and Interest. RoROwer ehall pmmpUy pay when due the principal of and intereet on the indebtedneas evidenoed by the Note, propayment an3 lete charges as provided i~ the Note, end the ptincipal of and inLereat on any Ftiture Advances secured by this Mortgage. 2 Runds for Tuea and Insurance. Subject to applicable law or to a written waiver by l.e~der, Burrower ehall pay to I.ender on the day monthly installments o[ principal and i~ter~t are pay able unde~ the Note. u~til lhe Note is paid in full, a sum (herein "Funda") equal to one- twelfth of the yearly ta:ea and aseeasmenta which may attain priority over thie Mortgage, and gTOUnd renta on the Piroperty, if any, plua one tweltth of yearly premium installme~ts for hasard ineurance, plue onetwelfth of yearly premium inatallments fo~ mortgage inaurance. if any. aU as reaaonably eatimated initially and itom time to tirue by l.endes on the baeia of aeaeasments and billa and reasonable estimates thereof. The PLnds shaU be held in an inatitution the depoeita or accounte oi which an insured or Quaranleed by a Federal or SLete agency (including Lender if l.end~x is such an institution). Lender shell apply the Funds to pay said taxea, aeaessmenta, ineurance premiume and ground renta. I.ender matiy not charge for so holding and applying the Ftinds, analyzing eaid account, or verifying and compiling aaid assessments and billa, u~lesa Lender paya Borrower interest oa the Ftinds and applicable law permite Lender to make such a charge. Borrower and Lender may agree in ariting et the time of e:ecution of this Mortgage that intereet on the ~nde ehall be paid to Borrower, and unless auch agreement is made or applicable law requir~ such interest to be paid. Le~der shall not be required to pay Borrower any interest or eaminga on the ~nde. Lender shall give to Borrower, without charge, an snnual accounting of the I~nde showing credite and debits to the Funde end the purpose for which each debit to lhe F~nde waa made. The ~nda are pledged ae additional security for the auma secured by this Mortgage. If the amount of the F~nds held by Lender, together with the future moathly inete~llmente of Funde payable prior to the due datea of taxes, aasesamenta. ineurance premiuma and gt~ound rente, ahall e~c~ed the amount required to pay said taxea. asaessmenLe, inaurance premiums and ground rente ae they fall due, auch e:ceas ehall be, at Borrower's optioa, either promptly repaid to Borrower or credited to Borrower on monthly installments of F1~nds. If the amount of the Funda held by Lender ehall not be eufficieat to pay taxes, aeaeeamente, insurance premiume and ground rente as they fall due, Borrower shall pay b Lender any amount necessery to make up the deficiency within 30 days fro~ the date notice ia mailed by I.ender to Borrower requeating payment thereof. Upon payment in full of all auma secured by thia Mortgege, Lender ahali promptly rrfund to Borrower any funde held by Lender. If under paragraph 18 hereof the Property ia eold or the Property ie otherwise acquired by Lender. I.ender ahall apply, no later than immediately prior to the sale of the Property or ite aoquisition by l,ender. any Ftinda held by Lender at the time of application as a credit againat the sums eecured by this Mortgage. - 3. ApplicaUoa of Payments. Unlesa applicable law providea otherwiee. all payments received by Lender under the Nole and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounta payable to Lender by Borrower under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any fldure Advancee. 4. Chargee; Liens. Borrower ehall pay all ta~cee, asseasmenta and other chargea, fines and impositions attributable to the Property which may att~?in a priority ove~ thie Mortgage. and leasehold paymenls or ground renta, if any, in the manner provided under paragraph 2 hereof or, ~ if not paid in such manner, by Borrower making payment, whea due, directly to the payee thereof. Borrower ahall promptly furnish to Lender ali notioea of amounta due tu~der this paragraph, and in the event Borrower shali make payment directly, Borrower shall prompdy furnish to Lender receipta evidencing auch paymenta. Borrower shall promptly diacharge any lien which has priority over thia Mortgage; provided, that Borrower shall not be required to diecharge any such lien so long as Borrower ahali agree in writing to the payment of theobligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, ordefend enforcement ofsuch lien in, legal proceedinge which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. . 5. Hazard Inauranoe. Borrower ehall keep the improvements now existipg or hereafter erected on the Property insured against losa by fire. hazarda included wit}iin the term "e:tended rnverage." and auch other hazards as Lender may require and in auch smounts and for such periods as Lender may require; provided, that Lender shall not require euch ooverage amount exceeding the minunum, as may be required by state or federal regulations govsming activitiea of Lender, or that amount of coverage required to pay the suma secnred by this Mortgage, whichever is the greater. . The insurance carrier providing the insurance ahall be chosen by E3orrower aubject to approval by I.ender, provided, that such approva) shall not be unreasonably withheld. Al) premiums on insurance policies ahall be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. ~ All inaurance policiea and renewala thereof ahall be in fortn acceptable to Lender and ahall include a etandard mortgage clause in favor of and in form aoceptable to Lender. Lender shall have the right to hold the policies and renewala thereof, and Borrower ahaU pmmptly furniah to ' i.ender all renewal notices and all receipta of paid premiuma. In the event of loes, Borrower ahaU give prompt notice to the ineurance catrier ~ and Lender. Lender may malce proof of loes if not made prompdy by Borrower. Unlees Lender and Borrower othtrwiee agree in writing, inaurance proceeda ahall be applied to reatoration or repair of the Property damaged, pmvided auch restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If auch - reetoration or rrpair is not economically feasible or if the eecurity of this Mortgage would be impaired. the inaurance proceeda ahall be applied to the euma eec~ued by thia Mortgage, with the e:ceae, if any, paid to Borrower_ If the Property ia abandoned by Borrower, or if Borrower fails to respond to Lender within 30 daye from the date notice ie mailed by I.ender to Borrower that the insurance carrier o8'era to eetde a claim for i~?aurance benefite, Lender ie authoriz9d to collect and apply the inaurance proceeda at Lender's option either to restoration or repair of the Property or the sume secured by thia Mortgage. _ Unleea Lender aad Borrower otherwiae agree in writing, any auch application of proceeda to principal ehall not eactend or postpone the due date of the monthly inatallments referred to in paragrapha 1 and? hereof or change the amount of such inatallmente. If under paragraph 18 hereof the Property ia aoquired by I.ender, all right, title and interest of Borrower in and to any insurance policies and in and to the proceeds thereof reeulting from damage to Property prior to the sale or aoquieition ahall pass to Lender to the e:tent of the eume eecured by thia Mortgage immediately prior to such sale or aoquiaition. 6. Preservatioo aad Maintenance of Property; Leaeeholde; Condominume; Planned Unit Developments. Borrower ehall keep the Property in gaod repair and shall not commit waste or permit impairment or deterioration of thg Property and ahall comply with the provisione of any lease if thie Mortgage ia on a leaaehold. If thia Morigage ia on a unit in a oondominium or a planned unit development, Borrower shall perform all of Borrower's obligatione under the declaration or rnvenants creatingor governing the condominitun or planne~ unit development, the by-laws and regulatione of the condominium or planaed unit development, and oonetitnent documente. If a oondominium or planned unit development rider is e:ecuted by Borrower and recorded together with thia Mortgage. the oovenanfe and agreements of euch rider shall be incorporated into and ahal) amend and auppiement the rnvenanta and agreemente of this Mortgage as if t}ie rider were a part hereof. 7. Protection of I.ender's Security. U Borrower fails to per[orm the aovenants and agreemente oontained in this Mortgege, or if anq action or praxeding ia commenced which materielly affecte Lender s interest in the Property. including, but not limited to, eminent domain, ; insolvency~ oode enforcement, or errangements or proceedings iavolving a banlm~pt or deoedent, then Lender at Lender e option,upon h ~ notice to Borrower_ may make such a PPearenceg. disbnree auch eums and take such action as is neoessary to pmtect I.ender's interesk ~ inclading. but not limited to, disbursement of reasonable attorney'e feea and entry upon the Property to meke npaire. lf I.end~ required mortgage insurance as a condition of making the loan secured by this Mortgage, Bormwer ahall pay We premiums required to maintain ~ anch insuranoe in e~ect nntil such time as the reqtiirement for such inswrance terminates in sooordance with Borrower's and Lendds written agrcement or applicable Law. Borrower shall pay the amount of sll mortgage insurance premiums in the mann~ provided undez ~ Paragraph 2 hereof. ~ Any amounts diebursed by I.ender persuant to this paregraph with intereat thereon, ahall beoome additional indebtedness of ~ Borrowrr eecured by this Mortgage. Unleaa Borrower end Lender agree to other terms of payment, auch amounta ehall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the dete of diabureement at the rate peyable Irom time to time on outetanding principal und~ the Note unless payment of interest at auch rate would be oontrary to applicable law, in which ~ event such amounts shall bear intereet at the higheet rate permiasible under applicable law_ Nothiag contained in this paragraph 7, shall ~ require Lender to incur any expense or take any action hereunder. ~ . i i ~ BDC~K~+a~71 F~AGf ~ ~ . . ~ ~ . Y ' p~.~. ~ ~ ~ _ - : ~ "z ~~°~c -u." ! Y..,,t ' - 1_ ~s ~ ~ ~ i' „s _ ' ' r"r.~ '