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HomeMy WebLinkAbout0823 Borrower and l.ender covenant and agree sa folluwa: 1. Pqyme~t ot Principal and lot~reat. E3orrower ahall promptly pay when due the principal ot and intereat on the indebtednese ~ evidenced by the Note, prepaymenl a»d latechargea as provided in the Note, and the principal of and intereaton any I~~ture Advancea eecured by this Mortgage. 2. Ptinds for Tuee et~d Ineurance. Subject to applicable law or to a written waiver by l.ender, ~rrowe~ shnll puy to l.ender on the day monthly instalimente of principal a~d intereat are payable under the Note, u~til the Note ia paid ir? full, a aum (he~ein "M unds") equa! to on~ twelRh of the yearly taxes a~d asseasments which may attuin priority over thia Morigage, and ground rent+~ on the F'roperty, if any, plua une- twelfth of yeariy premium inatallme~ts for hazard ineurance, plua onelwelfth ofyearly premium instaUmenta for morigage inaurance, if any, all as reaeonably estimated initiaUy and from time to time by I.ender on the basia of asse$smenta nnd billa and renaonable estimates thereof. The fl~nds shall be heW in an institution lhe depoeita or accou~te of which are inaured or guaranteed by a Federal or State agency (includin$ l.ender ii l.ender ie. auch an inetitution). [.ender ehall apply the Funde to pay said taxes, asaeasmente, ineurance premiums and gtound rents. I.ender may not charge for so holding and epplying the fl~nda, analyzing eaid account, or veri[ying and compiling eaid aseesrmenta and billa, ur?lees Lender pays Borrower intereat on the F~nde and applicable law permite [.ender to make euch a charge. Borrower and Lender may agree in writing at the time of execution of thie Mortgage that intereet on the Fl~nde ehall be paid to Borrower, and unleas such agteement ia made or applicable law requires euch intereat to be paid, I.ender ehall not be required to pay Borrower any intereet or earninga on the Flinds. Lender ehaU give to Borrower, without charge, an annual accounting of the ~nds ahowing credits and debita to the ' ~nda and the purpoae for which each debit to the ~nds wae made. The Funde arn pledged as additional aecurity for the auma secured by thie Mortgage. If the amount of the Funda held by I.ender, together with the future rnonthly installments of Funda payable prior to the due datea of taxes, aseeasmente, inaurance prnmiuma and ground rents, ahall excred the amount required to pay eaid taxee, aasesamenta, inaurance premiuma and ground renta ae they fall due. auch exceaa ehali be. at Borrower'a option, either pmmpdy repaid tqj.~orro~pr~ or credited to Borrower on monthly inatallments of ~Lnda. If the amount of the Funda held by l.ender ahall not be sufficient to pay taxea, asaesaments, inaurance premiums and ground rente ae they fall due, Borrower ahall pay to l.ender any amount neceesary to make up the deficiency within 30 daya from the date notice ie mailed by I.ender to Borrower requeating payment thereoG ~.l C., ~ M. ~ Upon payment in full of all aums aecured by this Mortgege. I.ender ahall promptly refund to BorrovK~r ~y fua~e~rd~l~I.ender. If under paragraph 18 hereof the Property ia sold or the Property is otherwise acquired by I.ender, Lender al~alfi apply, no la~e ediately prior to the eale of the Property or ita aoquisition by Lender, any F~nde held by Lender at the time of appli~atiall~ai a cri~dit ~iet e sume secured • by thia Mortgage. 3. Appllcation of Peyments. Unlesa applicable law pmvidea otherwise, all payments received by [.ender under the Note and paragraphs 1 and 2 hereof ahall be applied by Leader first in payment of amounis 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 intereat and principal on any Future Advancea. 4. Chargea; Liene. Borrower ahall pay all taxea, asseasments and other chargea, finea 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 psiragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the puyee thereof Borrower shall promptiy furnish to I.ender all notices of amounte due under thia paragraph, and in the event l3orrower shail make payment directly, Borr~wer shall promptly furnish to Lender receipts evidencing such 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 lo~g as Borrower shall agree in writing to the payment of the obliqation secured by such lien in a manner acceptable to L.ender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal procecdings which operate to prevenl the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard Inaurance. Borrower ahall keep the improvements now existing or hercafier erected on the Property ineured againat loea by fire, hazarda included within the term "extended coverage; ' and auch other hazards as I.ender may require and in such amounts and for such periods as Lender may require; provided, that [.ender ahall not require such coverage amount e:ceeding the minimum, as may be required by atate or federal regulationa goveming activitiea of L.ender, or that amount of coverage requited to pay the aums aecured by this Mortgage, whichever is the greater. . The inaurance carrier providing the ineurance shaU be chosen by Borrower subject to appio~~al by I.ender, provided, that such approval shall not be unreasonably withheld_ All prnmiums on insurance policies shall be paid in the mnnner provided under paragraph 2 hereof or, if not paid in such manner, by Eiorrower making payment, when due, direcdy to the insurance carrier. All inaurance policiea and renewala thereof shall be in form acceptable to [.ender and shall include a standard mortgage clauae in favor of and in form acceptable to I.ender. I.ender ahall have the right to hold the policies and renewals thereof, and Borrower shell promptly fumiah to i.ender all renewal noticea and all receipts of paid premiums. In the event of loae, Borruwer ahali give prompt notice to the insutance carrier ~ and Lender. Lender may make proof of loes it not made promptly by Borrower. ~ , Unleee Lender and Borrower otherwise agree in writing, ineurance procceds ahall be applied to reatoration or repair of the P.roperty F damaged, provided such reaLoration or repair ia econamically feasible and the eecurity of thia Mortgage is not thereby impaired. If auch ` reatoration or repair is not ernnomically feasible or if the security of this Mortgage woutd be impaired, the inaurance proceeds shall be applied ~ to the suma eecured by this Mortgage, with the exoeas, if any, paid to Borrower. If the Property ia abandoned by Borrower, or if Borrower fails to r respond to Lender within 30 daya from the date notiee is mailed by Lender to Borrower that the inaurance carrier ofters to eetde a claim for ~ ineurance benefite, I.ender is anthorized to collect and apply the inaurance proceeda at L,ender's option either to mstoration or repair of the Property or the auma eecured by this Mortgage. ~ iJnlesa Lendet and Borrower otherwiee agree in writing, any such application of proceeda to principal ahall not extend or postpone thedue ~ date of the monthly inetallmente referred to in paragrapha 1 and 2 hereof or change the amount of such installmente. If under paragraph 18 ~ herrwf the Property ia aoquired by Lender, all right, title and intereat of Borrower in and to any inaurance policies and in and to the proceeds ~ thereof resulting from damage to Property prior to the eale or acquisition ahall paea to Lender to the extent of the aums secured by thia Mortgage immediately prior to such eale or aoquiaition. 6. Preservation and Maintenance of Property; Leeseholde; Condominuma; Planned Unit Developmente. Borrower shali keep the Property in good repair and shall not rnmmit waste or permit impairment or detetioration of the Property and shall comply with the provisiona of any leaee if this Mortgage ia on a leasehold. If this Mortgage ia on a unit in a rnndominium or a planned unit development, . Borrower ehall perform all of Borrower'e obligations under the declaration or covenants creatingor governing the condominium or planned ~ unit development, the by-lawe and regulationa of the condominium or planned unit development, and constituent documente. If a ~ condominium or planned unit development rider ie executed by Borrower and recorded together with thia Mortgage, the oovenante and agreementa of such rider shail be incorporated into and ahall amend and aupplement the covenants and agreements of thia Mortgage as if the ~ rider were a part hereof. • ~ 7. Protection of Lender's $ecurity. If Borrower tails to perform the oovenants and agreemente contained in thie Mortgage, or if any actioa or proceeding ia commenced which materially affecte Lender e interest in the Property, including, but not limited to, eminent domain, ~ insolvency, aode enforcement, or arrangemenfa or proceedings involving a banlmipt or deoedent, then Lender at Lender's option.upon ~ notioe to Borrower may make auch appearances. diaburee anch eums and ta1~e auch action as is neoeaeary to protect Lender's interest, _ including, bnt not limited to, dieb~usement of reasonable attorney'e feee and entry upon the Property. to malce repaire. If Lender required ti mortgage ineurance as a condition of making the loan secvred by this Mortgsge, Borrower shall pay the premiums required to maintsia ~ such insurance in egect until aach time aa the reqnirement for such inearance terminatea in accordance with Borrower'e and Lender's ; written agreement or applicable Law. Borrower ahall pay the amount of all mortgage insurance premiums in the manner provided undet ~ peragraph 2 hereof. ~ ~ My amounts diebureed b [.ender ~ y perauant to thie paragraph 7, with intereat thereon, ahall become additional indebtedneea of Borrower secured by thie Mortgage. Unleae Borrower and I.ender agree io other terme of payment, such amounta shall be payable upon ~ notice firom Lender to Borrower requeatir~g payment thereof, and ahall bear interest from the date of dieburaement at the rate payable from ~ time to time on outetanding p~incipal under the Note unleea payment of intereat at auch rate would be oontrary to applicable law, in which ~ event snch amounts ahall bear interest at the highest rate permiasible under applicable law. Nothing contained in thia paragraph 7, ehall ~ require Lender to incur any expenae or take any action herenndet. ~ ~ ' • BflUxzg ~ , ~ ~ . 1 rA~f % z ~ - _ ~ ~ ' ~ ~ ~ ; ~ . ~ W _ - ~a