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HomeMy WebLinkAbout0754 Bormwer and I.ender covenant and agree aa foUows: 1. Pwyment ot Princlpal and Intereat. Borrower ahall promptly pay when due the principal of and intereat on the indebtedneas evidenoed by the Note. prepayment and late chargee as provided in the Note, and the principal of and intemat o~ any F~ture Advancea secured by this Mortgage. 2. ~nds !or T~ee and Inaurance. Subject to applirable law or to a writte~ waiver by I.ender, Borrower ehall pay to I.ender on the day monthiy it?etallments of principal and interest are payaole under the Note, until the Note is paid in full, a eum (herei~ "Funds") equal to on~ twelfth o[the yea~ly taxes and assesamenLs which may attain priority over thia Mortgage, and ground renta on the Property, if any, plua one twelRh of yearly premium installmente for hazaod ineurance, plua onetwelRh of yearly premium inatallmenta for mortgage insurance, if any. all as reaeonably eatimated initially a~d firom time to time by Ixnder on the basie of aeseasmenta and bille and reAeonable estimatea thereof. The FLnds shall be heM in an institution the depoeita or accounte oi which an inaured or guaranteed by a Federal or State agency (including Lender if Lender is such an institutionl. [.ender ehall apply the Funde to pay eaid laxee, aeseasmenta, ineurance premiuma and ground renta. Le~der may not charge fo: eo holding and applying the Pti?nds, analyzing said account, or verifying and compiling aaid assesemente and billa, unleas Lender pays Bbrrower intereat on the F~nde and applicable law permita I.ender to make auch a charge. Borrower and Lender may agr~e in writing at the time of execution of thie Mortgege that intereet on the ~~de ahall be paid b Borrower. a~d unlesa euch agreement ie made or applicable law requires auch interest to be paid, Lender shall not be required to pay Borrower any intereet or earninge on the Flinds. I.ende~ shall give to Borrower, without charge, an annual acoounting of the Furtde ahowing credits and debits w the F~nde and the purpose for which each debit to the ~nde was made.'I~e Funda are pledged as additional eecurity for the auma eecured by this Mortgage. If the amount of the fl~nds held by I.ender, together with the future monthly inetallments of Funds payable prior to the due datea of texea, aeseeamente, insuranoe premiums and gmund rents. shall e:ozed the amount required to pay aaid ta:ee, aaeeasmente. insurance premiume and ground rente aa they fall due, auch e:cesa ahall be. et Borrowei a option, either pmmpt.~y repaid Lo Botrower or credited to Borrower on monehly inetallmente of I~nds. If the amount of the Funds held by Lender ehaU not be aufficient to pay taxes, eaeesementa, ineurance premiums and ground rents se they fall due. Borrower shall pay to I.e~der any amount neceeeary to make up the deficiency within 30 daye from the date ~otice is mailed by l.end~ to Botrower requesting payment thereof. Upon payment in full of all suma eecured by thie Mortgage, Lender shall promptly refundto Borrower any fiu~de held by Lender. lf under paragraph 18 hereof the Property ia sold or the Property ie otherwiee acqaired by I.euder, Lender ahall apply. no later than immediately prior to the sale of the Property or ita aoquieition by Lender, any fi~nda held by Lender at the time of application se a credit againat the euma eecured by thia Mortgage. 3. Application of Payments. Unlesa applicable law providea otherwiee. all payments received by Lender under the Note and paragcaphs 1 and 2 hereof shall be applied by I.ender firat in payment of amounta payable to Le~der by Borrower under paragraph 2 hereof, then to inLereat payable on the Note. then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Charges; Liena. Borrower shall pay all taxea, assessments and other chargea, finea and impositions attributable to the Property which may atfain a priority over this Mortgage, and leasehold payments or gmund rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. E3orrowerahall promptly furnish to I.ender aU notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, E3orrower sha11 promptly furniah to Lender receipts evidencing auch payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by auch lien in t+ manner acceptable to Lender, or ahall in good faith contest auch lien by, ur defend entorcement of such lien in, legal prooeedings which operate to prevent the enforcement of the lien or [or[eiture of the Property or any part thereof. 5. Hazard Insurance. Borrower ahall keep the unprovements now e:isting or hereafter erected on the Property ineured againat loss by fire, hazarde included within the term "e~ctended coverage," and such other hazards as Lender may require and in such amounta and for such periode as Lender may require; pmvided, that Lender shall not require such wverage amount exceeding the minunum, se may be required by etate or federel .reg~ilationa governing ac4ivitiee of Lender, or that amount of coverage required to pay the suma eecured by this Mortgage. whichever is the greater. The inaurance carrier providing the insurance shall be chosen by E3orrower subject to approval by Lender, provided, that such approval ahall not be unreseonably withheld. All premiums on inaurance policies shall be paid in the manner pmvided under paragraph 2 hereof or, if not paid in euch manner, by Borrower making payment, when due, directly to the insurance carrier_ All inaurance policiea and renewala thereof ahall be in form acceptable to Lender and ahall include a atandard mortgage clauae in favor of and in fotm aoceptable to Lendet_ Lender ahall have the right to hold the policies and renewala thereof, and Borrower ahall promptly furnish to i,ender all renewal notices and all receipte of paid premiuma. In the event of losa, Borrower ahall give prompt notice to the insurance carrier 'i and Leader. Lender may malce proof of lose if not made promptly by Borrower. i LJnleae Lender and Borrower othetwiae agree in writing, inaurance proceeda shall be applied to ieatoration or repair of the Property dsmaged, provided euch reatoration or repair ie economically feasible and the aecurity of this Mortgage is not thereby impaired. If anch ~ reatoration or repair is not economically feasible or if the aecurity of thie Mortgage would be impaired, the insurance proceeds aha11 be appGed i to the auma eecured by thia Mortgage. with the exceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower faile to j reapond t~ Lender within 30 daya from the date notice ia mailed by Lender to Borrower that the inaurance carrier offera to aettle a claim for 9 ineurance benefita, Lender ie anthorized to coilect and apply the insurance proceeds at Lendei a option either to reatoration or repair of the ~ Property or the auma eecured by this Mortgage. ~ Unlesa Lender and Borrower otherwiee agree in writing, any auch application of pioceeds to principal ahall not e~ctend or postpone the due date of the monthly installmente referred to in paragrapha 1 and 2 hereof or change the amount of auch inatallments. V under paragraph 18 ~ hereof the Property ie aoquired by Lender, all right, title and interest of Borrower in and to any inaurance poLc~es and in and to the proceeda thereof resulting firom damage to Property prior to the aale or acquieition aha11 paee to I.ender to the eztent of the sama eecured by thia Mortgage immediately prior to auch sale or soquisition. 6: Preeervation and Maintenance of Rroperty; Leaeeholds; Condominuma; Planned Unit Developmenta. Borrower ahall keep the Pcoperty in good repair and ahall not commit waste or pennit impairment or deterioration of the Property and shall comply with the proviaione of any lease if this Mortgage ia on a leasehold. If thie Mortgage is on a unit in a oondominium or a planned unit development, Borrower ahall perfotm all of Borrower'e obligationa under the declaration or rnvenants creatingor governing the condominium or planned unit development, the by-laws and regulations of the rnndominium or planned unit development, and rnnatituent dceumenta. If a condominium or planned unit development rider ie e:ecuted by Borrower and recorded together with this Mortgage, the oovenante and agreementa of such rider ahall be incorporated into and ahall amend and supplement the covenanta and agreementa of thia Mortgage as if the ~ rider were a part hereof. ~ 7. Protection of Gender's Security. If Borrower faila to perform the oovenanta and agreemente oontained in this Mortgege, or if any ~ action or proceeding ia commenced vvhich materially affects Lender a inLerest in the Property, iacluding, but not limited to, eminent domain, insolvency. oode enforcemen~ or arrangementa or prooeedings involving a banlmipt or decedent, then Lender at Lender's option,upon ~ notice to Borrower may make such appearanoes, diaburee euch sums and take such action ea is neoeseary to protect I.ender's interest, - including, bat not limited to, disbareement of reaaonable attomey'e fees and entry upon the Property to make repairs. If LendQ required ~ mortgage insarance as a condition of making the loan secured by thia Mortgege, Horrower shall pay the premiums required to maintain strch insnrance in effect nntil snch time as the requirement for euch insurance terminatee in aocordance with Borrower'a aad I.ender's . written agseemeat ot applicable Law. Borrower shell pay the amount of all mortgage insurance premiums in the manner pmvided undex ~ paragraph 2 hereof. ~ Any amounts diebursed by Lender pereuant to this paragraph 7, with interest thereon, shall beoome additional indebtednees of Borrower secared by thie Mortgage. Unieea Borrower and Lender sgree to other terme of payment, euch amounts sha11 be payable upon ~ notice firom Lender to Borrower requesting payment thereof. and shall bear intereat from the date of diabureement at the rate payable from ~ time to time on ouletending principal under the Note unlees payment ot interest at euch rate would be oontrary to applicable law, in which event euch amounts ehall bear intereat at the highest rate permieaible under applicable law. Nothing rnntained in this paragraph 7, shall =e require I.ender to incur any eupenee or take any action hereunder. ~ 291 F~E ?~6 _ ~ ~ . ~ . 4 . _ ' _ _ ' , - e..=--. ~ ~ ~ ~'~.y "~~;~.FC'" .r' .a4_'~~.l.. ~ ,.C' r .-:y i ,.~,~~'r. ' y,'~v. _ _ 4 ' _ ~