Loading...
HomeMy WebLinkAbout0959 ~3orruwe~ and Irnder covenant and agree a, folluw.: ' l. Paymeat ot Principal and Interest. Eiorruwer shall promptly pi?y when due the principul oi and intereet on the indebtednesa evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interesl un any Future Advaocee secured by thie Mortgage. ~ 2. ~Lt~de for Taxea and Ineurance. Subject to applicable law or to a writte~ waiver by I.~nde~, I3orrow•e~ ahall puy to I.ender on the dny monthly inetaltments of principal and intereat are payable under the Note, until the Note ia paid in full, a eum (herein "Funda") eyuul to one iwelRh oithe yearly taxee and aeweasmenta which may attain priority over thia Mortgage, and ground rents on the Pruperty, if any, plua one twelfth of yearly pmmium installments for hruard inaurance, plus onrtwelfth ofyearly premium inataillme~ta for mortgs~ge inaurance, if any, all as reasonably estimated initially a~d firom time to ti?ue by [.ender on the basis of asaeasmenta and bills and masunable ee?timutes thereof. The ~nds ehaU be held in an institution the depoeite or accounts ot which are inaured or guaranteed by a Federal or Stete agency (including I.ender if I.ende~ is such an inatitution). Lender ahall apply the Funds to pay aaid taxea, asaesemente, insurance premiume and ground rente. L.endeT may not charge for eo holding and applying the F~nds, analyzing said account, or verifying and compiling said aseessment~ and bills, unlesa l.ender paya Borrowe~ intereat on the Funda and applicable law permita l.ender to make auch a charge. Borrower and Lender may agree in writing at the time of e:ecution of this Mortgage that interest on the Funds ahall be paid Lo Born?wer, and unlesa such agreement ia made or applicable law requirea auch intereat to be paid, I.ender ahall not be required to pay Borrower any intereet or earnings on the Funds. I.ender ahal) gi~e to Borrower, without charge, an annual accounting of the Funds ehowing credite and debita to the Funde and the purpoee for which each debit to the ~nda was made. The Funde are pledged as additional security for the eume secured by this Mortgage. If the amount of the ~~da held by I.ender, together with the future monthly inetaUments of Funda payable prior to the due datea of taxes, assessmenta, inaurance premiums and ground rents, shal! excaed the amount required to pay said taxea, aaeeaemente, insurance premiuma and ground rents as they fall due, such exceas shall be, at Borrowei s option, either pmmptly repaid to Borrower or credited to Borrower on moathly ineLallmenfs of Funde. It the amount of the Funda held by Lender ahall not be aufficient to pay taxes, aseesament,+, insurance premiuma and ground renta as they fall due, Borrower shall pay to I.ender any amount necessary to make up the deficiency within 30 days trom the date notice ia mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all euma secured by this Mortgage, l.ender ahall promptly refund to Borrower any funds helcj by l.ender. ltunder paragraph 18 hereof the Property is sold or the Property is otherwise acquired by l.ender. Lender ahall apply. no later than immediately prior to the sale of the Property or its aoquisition by [.ender, any Funds held by Lender at the time of application as a credit againet the suma secured by this Mortgage. 3. Application of Payments. Unleas applicable law provides otherwiae, all paymenta received by Lender under the Note and paragraphe 1 and 2 hereof shall be applied by l.ender firat in payment of amounts 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 Future Advances. 4. Chargee; Liena. Borrower shall pay all taxes, as,4essmenls and other charges, fines and impositions attributable to the Property which may attain a priarity over this Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof ur, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrowershall promptly furnish to I.ender alI notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower s~all promptl~• furnish to Lender receipts evidencing such payments. Borrower ahall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to discharge anv such lien so long as E3orrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to [.ender, or shall in gcad faith contest such lien by, ordefend entorcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or for[eiture of the I'roperty or any part thereof. 5. Hazard Insurance. Borrower shall keep the improvements now eaiating or hereafter erected on the Property ineured againat loss by fire, hazatde included within the term "e:tended rnverage," and auch oiher hazards as Lender may require and in such amounts and for auch periods as I.ender may require; provided, that Lender shall not requirn such coverage amount exceeding the minimum, ae may be required by atate or federal regulatione goveming activities of Lender, or that amount of coverage required to pay the aums aecnred by this Mortgage, whichever is the greater_ The insurance carrier providing the insuranee shall be chosen by Borrower subject ta approval by Ixnder, pmvided, that such approval shall not be unreasonably withheld. All premiums on inaurance policies shall be paid in the manner provided under paragraph 'l hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. All insurance policiea and renewals thereof ahall be in form acceptable to I.ender and shall include a standard mortgage clauae in tavor of and in form acceptable to Lender. Lender ahall have the right to hold the policies and renewals thereof, and Borrower ahall promptly furnish to i.ender all renewal noticee and all receipte of paid premiuma. In the event of losa, Borrower shall give pmmpt notice to the insurance carrier and Lender. Lender may make proof of loee if not made promptly by Borrower. ~ Unlesa I.ender and Borrower otherwise agree in writing, inaurance pra~eeda ahall be applied to restoration or repair of the Property I damaged, provided such reatoration or rnpair ia economically feasible and the aecurity of this Mortgage is not thereby impaired. If auch restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the ineurance proceeda ahall be applied to the auma eecured by this htortgage, with the excess, if any, paid to Borrower_ Itthe Property ia abandoned by Borrower, or if Borrower faile to ! reapond to Lender within 30 days from the date notice is mailed by L.ender to Borrower that the insnrance carrier of~ers to settle a claim for inaurance benefits, Lender is authorized to collect and apply the insurance proceeda at Lender's option either to restoration or repair of the Property or the auma secured by thia Mortgage. ~ Unlees [,ender and Borrower otherv?zse agree in writing, any such application of proceeda to principal ahall not extend or postpone the due date of the monthly inatallmenta rnferred to in paragraphs 1 and 2 hereof or change the amount of such installmente. If nnder paragraph 18 hereof the Property ie acquired by Lender, all right, tide and interest of Borrower in and to any insurance policies and in and to the proceeda thereof resulting from damage to Property prior to the sale or acquisition shall pass to Lender to the extent of the auma eecured by this Mortgage immediately prior to such sale or soquisition. 6_ Preaervation and Maintenance olProperty; Leaseholds; Condominume; Planned Unit Developments. Borrower ahall keep the Property in good repair and shall not rnmmit waste or permit impairment or deterioration of the Property and ahall comply with the proviaione of any lease if this Mortgage ia on a leasehold. If thia Mortgage is on a unit in a condominium or a planned unit development, Borrower ahall perfortn ali~of Borrower a obligations under the declaration or covenanta creatingor governing the rnndominium or planned unit development, the by-laws and regulations of the rnndominium or planned unit development, and constituent documents. If a rnndominieim or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the oovenante and agreements of such rider ahall be incorporated into and shall amend and supplement the covenanta and agreementa of this Mortgage as if the rider were a part hereof. 7. Protection of Leader'e 3ecuritq. If Borrower faila to perform the oovenante and agrcemente oontained in this Mortgage, or if any action or prooeeding ie commenced which materially affecte Lendei a interest in the Property, including, but not li~ited to, eminent domain, ineolvency, oode enforcement, or arrangemente or pmceedings involving a bankrnpt or deoedent, then I.ender at Lender'e option,upon notice to Borrower may make such appearances, dieburee auch aume and take euch action ae is neceesary to pmtect Lender'e interest~ including, but not limited to, diabureement of reasonable attomey's feee and entry upon the Properiy to make repaire. If Lender required mortgage ineurance aa a rnndition of making the loan eecured by thia Mortgage, Borrower ehall pay the premiume required to maintain snch insurance in effect nntil such time as the requirement for such ineurance terminatea in aocordance with Borrower's and Lender e written agreement or applicable Law. Borrower ehaU pay the amount of all mortgage insurence premiume in the manner provided under paragraph 2 hereof. Any amounts diabureed by Lender persuant to thie paragraph 7, with intereet thereon, eha11 beoome additional indebtedneae of Borrower secured by thia Mortgage. Unieae Borrower and Lender agree to other terme of payment, auch amounte shall be payable upon notice from Lender to Borrower requeeting payment thereof, and shall bear interegt from the date of diaburaement at the rate payable from time to time on outatanding principal under the Note unlese payment of intereat at auch rate would be oontrary to applicable law, in which event auch amounta ahall bear intereet at t}:e highest rate permieaible under applicable law. Nothing contained in this paragraph 7. shall require l.ender to incar any expenee or take any action hereunder. _ ~91 ~5l ~ ..ir ~ ' I .,«.,h _ . ~ ~ ~ ~ ~a.,,~,~, ' y.~ ~ ~ ~ ~ wr ~~~.y b ~ 'c5~ si_i--k.~ _ i .':°~~i.,-