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HomeMy WebLinkAbout0337 Bur~owe~ ar?d l~nder covenant and agree as follows: 1. Payme~t of Pri~cipal and Intereat. F3orrowe~ ahall promptly pay when due the principal of and interest un the indebteclness evidenced by the Note, prepayment and 1»te chargea ae providrd in the Note, and the principal of and intereet on any Future Advances eeccred by thie Mortgage. 2. Flinde for Taxes and Ineurance. Subject to applicable law or to a written waiver by l.ender, l3orruwer ahtill pay to l.ender un the duy mo~thly inatallmenta oi principal and interest ~rn payable unde~ the Nute, unti) the Note is paid in full, a aum (herein "Funds") equal to on~ twelfth of the yea~ly tnxes and asseasmente which mny attain priority over this Morigage, and ground rents on the Property, if any, plua u~P twelRh of yearly premium installmenta for hazard inaurance, plus onPtwelRh of yearly premium installmenta for moirtg~ge insurpnce, if any, rll as reaaonably estimated ioitially and from time to ti~r~e by I.ender on the busis of asaeasments nnd bills und reasonuble estimatra thereof. 'It~e Fl~nde ahall be held in an inatitution the depoaita or accounte of which are inaured or guaranteed by a Federal or State agency (including Lender i[ [.ender ia auch an inetitutionl. Lender ehaU apply the Funda to pay said taxea, asaessments, ineurance pren?iuma and ground renta. I.ender may not charge for so holding and applying the Funda, analyzing eaid nccount, or verifying and compiling aaid aeseeamenta and bills, unlet~s [.ender pays Borrower intrrest on the Funda and applicable law permits I.ender to make such a charge. Rorrower and Lender may agree in writing et the time of e:ecution of this Mortgage that intereat on the Funda ahall be paid to Borrower, and unlesa such agreement ia made or applicable law requires auch inte~eat to be paid, I.ender shaU not be requind to pay Borrower any intereat or earnings on the ~nde. I.ender ahall give to Borrower, without charQe, an annuai a.^counting of the Funds showing credite and debits to the Funds and the purpoae for which each debit to the Funda wxs made. The Funda are pledged as additional security for the aums eecured by this Mortgage. If the amount of the ~nda held by [.ender, together with the future monthty inetallments of Funda payable prior to the due datee of taxes, axsesamenta, insurance premiume and ground rents, shull excred the ~mount required to pay said laxes, assessme~ta, inaurance premiuma and ground rents as they fall due, auch e:ceas shall be, at Bo~TOwer's option, either prompdy repaid to Borrower or credited to Borrower on monthly installmenta of ~nde. If the amount of the Funds held by Lender ehalt not be sufficient to pay txxea, asaeasments, inaurance pmmiumn and ground rents as they faU due, Borrower aha11 pay to Lender any amount neceasary to make up the deficiency wiih:n 30 days from the date notice ie mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all sume secured by this Mortgage, I.ender shaU promptly refund to I3orrower any funds held by Lender. lf under paragraph 18 hereof the Property is aold or the Property is otherwiae acquired by Lender, I.ender ahall apply, no later than immediately prior to the eale of the Property or ite acquiaition by I.ender, any F~nda held by I.ender at the time of upplication as a credit against the aums secured by this Mortgage. 3_ ApplIcation of Paymenta. Unless applicable law provides otherwise, all payments received by Lender under the hote and paragraphe 1 and 2 hereof ahall be applied by l.ender first in payment of amounta payable to l.ender by E3orrower under paraqraph 2 hereof, . then to interest payable on the Note, then to the principai of the Note, and then to interest and principal on any Future Advances. 4. Charges; Liene. Borrower shall pay all taxes, asses,gments and othercharges, fines and impositions ~tttributable to the Property which may attain a priority over this btortgage, and leasehold payments or ground rent~, itany, in the manner provided under paragraph `L hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereoC Burrower shall promptly furnish to I.ender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly~ Borrower ahall promptly iurnish to I.ender receipts evidencing such payments. Eiorrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Rorrower shall not be required to discharge any such lien so long as E3orrower shall agree in writing to the pavment of the obliqation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, ordefend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiturn of the Property or any part thereof. 5. Hazard Insurance. Borrower shall keep the improvementa now exiating or hereafter erct:ted on the Property inaured againat loss by fire, hazards included within the term "extended coverage; ' and auch other hazards as Lender may requirn and in such amounts and for such periods as Lender may require; provided, that l.ender ahall not require euch rnverage amount eaceeding the minimum, as may be required by state or federal regulationa goveming activitiea of Lender, or that amount of coverage required W pay the sums aecured by this Mortgage, whichever is the greater. The insurance carrier providing the insurance shall be chosen by Borrower subject to appro~ al b~~ I.ender; pmvided, that such appro~•al shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the m:~nner provided under paragr:iph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the ineurance camer. All inaurance policiea and renewals thereof shall be in form acceptable ta Lender and ahall include a standard morigage clause in favo~ of ~ and in torm acceptableto Lender. I.endershali haye the right to hold the policiea and renewala thereof, and Borrower shall promptly furnish to ~ ixnder all renewal noticea and aU receipta of paid premiums. In the event of loss, Borruwer shall give prompt notice to the insurance carrier i and L.ender. Lender may make proof of loas if not made promptly by Borrower_ i Unlese Lender and Botrower otherwise agree in writing, insurance proceeds shall be applied to reatoralion or repair of the Property ~ damaged, provided auch restoration or repair is economically feasible and the security of this Mortgage ia not thereby impaired_ lf such ~ restoration or repair is not economicaUy feasible or if the security of this Mortgage would be impaired, the inaurance proceede ahall be applied ; to the eums eecured by thie Mortgage, with the e:ceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to ~ respond to Lender within 30 days from the date notice ia mailed by I.ender to Borrower that the inaurance carrier of~'ers to settle a claim for r ~nsurance benefita, Lender is authorized to collect and apply the inaurance proceeda at Lender a option either to restoration or repair of the ~ Property or the suma aecured by this Mortgage. ~ Unless Lender and Botrower otherwise agree in writing, any auch application of proceeds to prinripal shall not extend or postpone the due ~ date of the monthly inetalimente rnferred W in paragraphs 1 and 2 hereof or change the amount of such installmente. If under paragraph 1~ ~ hereof the Property ia acquired by I.ender, all right, titie and interest of Borrower in and to any inaurance policies and in and to the proceeda ~ thereof reaulting from damage to Property prior to the sale or acquiaition shall pass to L,ender to the extent of the sums secured by this d ~tortgage immediately prior to euch sale or aoquisition. ~ 6. Preaervation and Maintenance of Property; Leaseholda; Condominuma; Planned Unit Developmente. Borrower ahall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and ahall comply with the ~ proviaiona of any lease if this Mortgage ia on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, ~ E3orrower ahall perform all of Borrower's obligationa under the declaration or covenanta creatingor governing the co~dominium or planned unit development, the by-lawa and regulations of the condominium or planned unit development, and conatituent documents. If a condominium or pianned unit development rider ia executed by Borrower and recorded together with this Mortgage, the oovenants and ~ aQreements olsuch rider ehall be imorporated into and ahall amend and supplement the covenanta and agreementa of thia Mortgage as if the rider were a part hereof. z 7. Protection of Leader'e 3ecurity. If Borrower fails to perform the aovenante and agreementa oontained in thie Mortgage, or if any ~ action or proceeding is rnmmenced which materially affecte I.ender'a intereat in the Property, including, but not limited to, eminent domain. ~ ineolvency, oode enforcement, or arrangements or pr~eedinge involving a bankrupt or deoedent, then Lender at Lender's option,upon notice to Borrower mey make auch appearances, disburse such eums and take euch action ee ia neoeasary to protect Lender's intereet, " including, but not limited to, diBbureement of reaaonable attorney's fees and entry upon the Property to make repaire. If Lendzr required mortgage inenrance ea a condition of making the loan eecured by thie Mortgage. Borrower shall pay the premiuma required to maintsin euch insurance in effect until auch time ae the requirement for such ineurancx terminatea in aocordance with Borrower's and Lender's written agreement or applicable Law. Borrower shall pay the amount of all mortgage inaurance premiuma in the manner provided under paragraph 2 hereof. ~ My amounts disbursed by Lender pereuant to thie pa;agraph 7, with interest thereon, ehall beoome additional indebtednees of E3orrower secured by this Mortgage. Unleae Borrower and Lender agree to other terma of payment, such smounts shall be payable upon 4~ notice from Lender to Borrower requeeting payment thereof, and ahall bear interest fmm the date of diabursement et the rate payable from ~ time to time on outetanding princi under the Note unleae a ent of intereet at auch rate would be oontr pal p ym ary to applicable law, in which r-~ event euch amounte shall bear inLereet at the higheat rate permiesible under applicable law. Nothing contained in thie paragraph 7, ehall require I.ender to incur any e:pense or take any action hereunder. ~ a ~ ~ a ~ii '"^j` ' _ 2~2 33? ~ ~ a~ i, g ~ ~ ; ~r c ~F~ ~ ~ ~ ' ; ~ ~ ~ : ~ .t ~ ° ~ ~ ~,y.~~~,~~ _ ~ ~ ~ ~ 2 '~,~~y~, .