Loading...
HomeMy WebLinkAbout0640 f3orrower and l.endet covena~t and agree as followa: l. Payment o[ Principal and Intcreet. Rorrowe~ shall promptly pay when due the principal of and interest on the indebtedneae evidenced by the Note, prepayment a~d late chargea as provided in the Note, and /he principal of and intereat on any F uture Advancea secured by ihis Mortgage. 2. l~nd~ [or T~ee and Ineurance. Subject to applicable !uw or to a written waiver by I.ender, E3orrower shall pay to I.ender on the day monthly inetallments o[ principal and interest are payable under the Note, until the Note is paid in [ull, a sum (herein "Ftinda") cqual to on~ twelfth of the yearly taxee and aaeeaemente which may attain priority over thie Morfgage, end ground renta un /he Property, if any, plue one~ twelfth of yearly premium inatallmente for hazard inaurance, plue onetwelfth ofyearly premium inxtallmente~ for mortgnge insurance, if any, all ae reasonably eatimated initially and from time to time by I.ende~ on the basie uf aaseasmenta und billa and renaonAble extimates thereof. The ELnda ehall be heW in an inetitution the depoaite or accounts o! which are ineund or guaranteed by a Federal or State agency (including I.ender if I.ender ie aurh an inatitution). l.ender shaU apply the Funda to pay said taxee, aseeeiamenta, inaurance premiums and ground renfs. t.ender may not rharge for eo holding and applying the I~~nde, analyzing eaid account, or verifying and compiling eaid aeseeamenta and bills, unleee l.ende~ pays Borrower intereat on the ~nds and applicable law permita [.ender to make auch a charge. Borrower and Lender may agree in writing at the time of execution of thia Mortgage that intereat on the F~nda ahall be paid to Eiorrower, and unleas euch agreement ie made or applicable law requirea euch interest to be paid, l.er.der ahall not be required to pay Borrower any intereat or eamings on the ~nda. Lender ehall give to Borrowe~, without charge, an annual accounting of the Funds ahowing credite and debite to the Funda and the purpoee for which each debit to the Funde wae made.'IT~e Funds are pledged as additional aecurity for the aums secured by thie Mortgage. If the amount of the ~nds held by [.ender, together with the future monthly inatallmenta of Funds payable prior to the duedatea of taxea, aseeesmente, insutance premiums and ground rente, shall eaoted the amount required to pay said taxes, assesamente, insurance premiuma and ground rents as they fall due, auch e:cesa eha11 be, at Borrower'e option, either promptly repaid to Borrower or credited to Borrower on monthly inatallmenta of ~nde. If the amount of the Funda held by l.ender ehall ~ot be sufficient to pay taxea, asseeamenta, inaurance premiums and ground renta ae they fal) due, Borrowe~ shall pay to [.ender any amount neceasary to make up the deficiency within 30 days from the date notice ie mailed by Lender to Borrower requeating payment thereof. Upon payment in full of all sums secured by thia Mortgage. Lender shall promptly refund to Borrower any tunds held by Lender. If under paragreph 18 heteotthe Property ia sold or the Property is otherwise acquired by l.ender, l.ender shall apply, no later than immediately prior to the sale o[ the Property or ita acquiaition by Lender, any ~nda held by Lender at the time of application as a credit againat the aums secured by this Mortgage. 3. Application ot Paymente. Unlesa applicable law providea otherwiae, all paymenta :eceived by Lender under the Note and paragrapha 1 and 2 hereof ehall be applied by Lender firat in payment of amaunte payable to l.ender by Borrower under paragtaph 2 hereof, then to intereat payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advancee. 4. Chargee; Liene. Botrower shall pay all taxes, na5essmenta and other rhargea, fines and impositiona attributable to the Property which may attain a priority over this Mortgage, and leasehold paymenta or gr~uund rents, if any, in the manner provided u~lder paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to I.ender '~Il notices of amounts due under this paragraph, and in the event Eiorrower shall make payment directly, Borrower shall promptly fumish to [.ender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that E3orrower ahall not be required to discharge any such lien so long as E3orrower shall agree in writinq to the payment of the obligation secured by such lien in a manner acceplable toL.ender, or shal) in good faith contest such lien by, ordefend enforcement of such lien in, lrgai proceedings ~~•hich operate b prevent the enforcement of the lien or forfeiture ot the Property or any part thereof. 5. Hazerd IaeuranCe. Borrower sha]1 keep the improvements now existing or hereafter erected on the Property insured againat losa by fi re~ hazarde included within the term "e:tended coverage," and auch other hazards as Lender may require and in such amounEe and for such periods aa Lender may require; provided, that Lender shaU not require such coverage amount exceeding the minimum, as may be required by state or [ede~'a! regulationa governing actividea of I.ender, or that amount of coverage required to pay the sume secured by this Mortgage, whichever ie the greater. ~ The inaarunce carrier providing the inaurance shall be chosen by Borrow er subject to approval by l.ender, pmvided, that such appruval shxll not be unreasonably withheld_ All premiums on insurance policies shaU be paid in the manner pmeided under paragraph 2 hereof or, if not paid in such manner, by I3orrower making payment, when due, directly to ihe insurance carrier. All inaurance policiea and renewals thereof shall 6e in form acceptable to Lender and ahall include a standard mortgage clause in favor of i and in form acceptable to Lender. Lender ahall have the right to hold the policies and renewals thereof, and ~3orrower ahall promptly fumish to i.ender all renewal notices and all receipte of paid premiums_ In the event of loss, Bornower shall give prompt notice to the inaurance carrier ~ and Lender. Lender may make proof of loes if not made promptly by Borrower. ~ Unleae Lender and Boaower othetwiae agree in writing, inaurance proceeds shall be applied to restoration or repair of the Property ~ damaged, provided auch restoration or rnpair is economically feaeible and the security of this Mortgage ia not thereby impaired. If such s restoration or repair is not economically feasible or if the eecurity of thie Mortgage would be impaired, the insurance proceeds ahall be applied ~ to the sume eecured by thia Mortgage, with the excese, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Rorrower faila to . f reapond to Lender within ~0 daye from the date n6tice is mailed by Lender to Borrower that the inaurance carrier otYere to eettle a claim for 3 inaurance benefifs, Lender ia authorized to collect and apply the inaurance proceeda at Lender's option either to restoration or rnpair of the ~ Property or the sums secured by this Mortgage. ~ Unlese Lender and Borrower otherwiae agree in writing, any such application of proceeda to principal shall not e:tend or poatpone the due " date of the monthly inataUmente referred to in paragrapha 1 and 2 hereof or change the amount of auch inatallmente. If under paragraph 18 { hereof the Property ia ac~uired by Lender, all right, title and intereat of Borrower in and to any insurance policiee and in and to the proceeds ~ thereof reeulting hom damage to Property prior to the sale or acquiaition shalt pass to Lender to the e:tent of the aums aecured by this Mortgage immediately prior to auch sale or aoquisition ~ 6. Preaervation and blaintenance of Property; Leaseholds; Condominuma; Plenned Unit Developmente. Borrower ahall keep ~ the Property in gaod repair and ahall not commit waste or pennit impairment or deterioration of the Property and ahall comply with the ~ proviaiona of any lease if thie Mortgage ia on a leasehold. If this Mortgage is on a unit in a condomininm or a planned unit development, Borrower ehall pedorm all of Bonower's obligationa under the declaration or covenante creatingor governing the condominium or planned . unit development, the by-laws and regulationa of the condominium or planned unit developmerst, and oonstituent documente. If a ~ condominium or planned unit development rider is e:ecuted by Borrower and recorded together with this Mortgage, the oovenanta and agreements of such rider ehall be incorporated into and shall amend and supplement the covenants and agreements of thia Mortgage as if the rider were a part hereof. ~ ~ 7. Ptotection of Lender'e Security. If Boaower faile to perform the aovenanta end agreemente contained in thie Mortgage, or if any action or proceeding is rnmmenced which materially affecte [.ender e intereat in the Property, including, but not limited to, eminent domain, _ insolvency, oode enforcement, or arrangemeate or proccedinge involving a benkrupt or deoedent, then Lender at Lender s option,upon notice to Barrower may make euch appearanoes, dieburee euch sume and take such action as is neceseary to protect I.ender's intereet, including, bnt not limited to, diebareement of reseonable attorney'e feee and entry upon the Aroperty to malce repairs. If Lender required mortgage ineurance as a rnndition of making the loan aecured by thie Mortgage, Borrower shall pay the premiuma required to maintain euch insurance in effect until such time_as the requirement for euch ineurance terminatea in acoordance with Borrowei s and Lender'e written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiume in the menner provided under " paragraph 2 hereof. : My amounte disbureed by Lender pereuant to thia paragraph 7, with intereet thereon, ehall beoome additional indebtednees of ~ Borrower secured by thia Mortgage. Unleae BorroweT and Lender agree to other terme of payment, auch amounte ehall be payable upon - notice from L.ender to Borrower requeating payment thereof, and ahall bear interest from the date of diebureement at the rate payable from time to time on outetanding principal under the Note unleae payment of intereet at such rate would be oontrary to applicable law. in which y~ event euch amounts ehall bear intereet at the hi hest rate rtniasible under a licable law. Nothin contained in thia r B Pe PP B pa aBraPh ehall require i.ender to incur any expenee or take any action hereunder. ~ C R ~.rt~.r ~Z~7 ~ r D ~F. PAIi! ~ ~ ~ ~ - - - - - - - - - - - ~ - F ~ Z- _ y - ~ T ~ ~ ~ t ..4. . '.T~ 'S-. . ~ 2^ ~='"~•K'-" r~'~`~IFi-'"AV