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HomeMy WebLinkAbout0212 _ Borrower b~d l.ender covenant and agree ae followe: t. Pa mcnt af i'rinei f s~: ? , • ' • • • • . , . j ~ is I~1tcFceT. ~wiiuwei e~1uu Ni~iiiNi~y j~aj w?~eii uuc u?c jiiiiiwNdi u~ alw U11r~rn~ UU LIIC ll1UCUlrUllrtl!{ evidenced by the Nota, pnpayment and late charges as provided in the Note, and the principal of and i~tereat on any Future Advancee~ secured by thie Mottgage. ~ 2. I~nde for Ttuccw and Ineurancc. Subjed to applicable law or to a written waiver by l.cnder, f3orrower ehall pay ta l.ender on the day monthly inatallme~te of principal and inte~rat are payable under the Note, until the Nate is paid in full, a sum lhrrein "Funds") eyual to one twelRh of the yearly taxea und aasesementa which may attnin priority or•er this Mortgage, and gruund renta on the Pn?perty, if any, plua one twelfth of yearly premium i~stallmenta for hazard ineurance, plus onatwelfth of yearly premium inatallmenta for morlgage insurance, if tiny, ~ all as reasonably eatimated iaitially and from time to time by I.ender on lhe bnais of aasessments and bills and mason:~ble estimates thereot. The F1?nds shall be held in an inetitution the deposits or accounts of which are ineured or guaranteed by a Federal or State aQency (i~cluciing I.endez if l.ender ia auch an institution). l.ender ahall apply the Funds to pay eaid taxea, asaess+menta, inaurance premiums and ' gronnd rents. I.ender may not charge for eo holding and applying the Funda, analyzing said account, or veri[ying and compiting eaid ± eeaeasmenta and billa, unleas Lender paya Borrower interest on the F unda and applicable law permits I.ender to make such a charge. Borrower and L.en~er may a~ree in writing at the time of execution of thia Mortgage that interest on the Funds shall be paid to Borrower, and unleas such agrcement ie made or applicable law requires euch intereet to be paid, Lender ehall not be required to pey Borrower any interest or earnings on the ~nds. I.ender shall give to Borrower, v?-ithout charge, an annual accounting of the Funda ahowing credits and debita to the Funds and the purpoee for which each debit to the Funde waa made. The Funde are pledged as additional security for the aume eecured by this Mortgage. ~ If the amount of the ~nds held by L.ender, together with the future monthly inatalimenta of Funds payable prior to the due dates of t~ea, aseeasmente, inaurance premiums and ground rents, ahall excred the amount required to pay said taxea, assesamente, inaurance premiuma and ground rente ae they tall due, auch exceea ahall be, at Borrower'a option, either prompdy repaid to Borrower or credited to Borrower an monthly installmente of ~nde. If the amount of the Funda held by Lender shali not be aufficient to pay tasea, aaaessmenta, insurance ~ premiums and ground rente as they fall due, Borrower ehall pay to Lender any amount nereseary to make up the deficiency within 30 daye from the date notice ia mailed by I.ender to Borrower requesting payment thereof. Upon payment in tull of aD sums eecured by thie Mortgage, Lender ehall promptly refund to Borrower any funda held by Lender. If under paragraph 18 hereof the Property is aold or the Property ie otherwiae acquired by l.ender, Lender ahall apply, no later than immediately prior to the sale of the Property or ita acquisition by Lender, any i~~nda held by Lender at the time of appiication as a credit against the sums secured by thie Mortgage. 3. Application ot Paymenta. Unlesa applicable law providea otherwise, all payments received by Lender under the Note and paragraphe 1 and 2 hereof ehall be applied by l.ender firet in payment of amounta payable to Lenaer by E3orrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal un any Future Advances. 4. Charges; Liena. E3orrower shall pay all taxes, assesaments and o/her charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold payments orground ~ents, if any, in themanner provided under paragraph 2 hereofor, i[ not paid in auch manner. by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly fu~nish to l.ender all notices of a~nounte due under this paragraph, and in the event Borrower shall mnke payment directly, E3orrower shall promptly furniah to Lender receipta evidencing such paymenta. Borrower ahall promptly dischargr any lien which has priority o~ er this Mortgage; provided, thut E3orrower shall not be required to diacharge any auch lien so long as ~3orrower ahall agree in writing to the payment o[the obliRation secured by such lien in a manner acceptable to Lender, or sha11 in Rood faith rnntest such lien by, ordefend enforcement oCsuch lien in, legal procredin~s which operate to prnvent the enforcement of fhe lien or forfeiture of the Property or any part thereof. 5_ Hazard Insurance. Borrower ahall keep the improvements now existing or hereafter erected on the Property insured against loas by fire, hazarda included within the term "extended coverage," and euch other hazards se Lender may require and in such amounta and for such periode ae Lender may require; provided, that l.endet ahall not require such ooverage amount exceeding the minimum, as may berequired by state or federal regulations governing activitiee of I.ender, or that amount of coverage required to pay the aums secnred by this Mortgage, whichever is the greater. _ The insurance carrier providing the insurance ahall be chosen by I3orrower subject to approval by I.ender; pm~•ided, that such approval shall not be unreasonably withheld. All premiums on insuranrn policies shall be paid in the manner provided under paraKraph 2 hereof or, if • not paid in such manner, by Borrower making payment, when due, directly to the inaurance carrier_ i All inaurance poliries and renewala thereof shall be in form acceptable to Lender and shall include a atandard mortgage clause in favor of ; and in form acceptable to Lender. Lender shall have the right to hold the policiea and mnewala thereof, and Borrower sha11 pmmptly furnish to ' ixnder all renewal noticee and all receipte of paid premiuma. In the event of loss, Borrower shall give prompt notice to the insurance carrier ; and Lender. I.ender may make proof of loss if not made promptly by Borrower. ' Unleas Lender and Borrower otherwise agree in writing, inaurance proceeds shall be applied to reatoration or repair of the Property t damaged, pmvided euch reatoration or repair is economically feasible and the security of this Mortgage is not thernby impaired. !f such restoration or rnpair is not economically feasible or if the eecurity of this Mortgage would be impaired, the ineurance proceeda shall be applied ~ to the auma secured by this Mortgage, with the excesa, if any. paid to Botrower. If the Property is abandoned by 8orrower, or if Borrower fails to respond to Lender within 30 days from the date notice ie mailed by Lender to 8orrower that the ineurance carrier offers to eetde a claim for ~ inaurance benefite, Lender is authorized to collect and apply the inaurance proceeds at Lender'B option either to restoration or repair of the , Property or the suma eecured by this Mortgage. ~ Unlesa Lender and Borrowerotherwise agree in writing, any such application of proceeda to principal shall not extend or postpone the due ~ date of the monthly inatallmente referred to in paragrapha 1 and 'l hereof or change the amount of auch inatallmenta. If under paragraph 18 e hereof the Property is acquired by Lender, all right, title and interest of Borrower in and to any inaurance policiea and in and to the proceeda ~ thereof reaulting from datnage to Property prior to the sale or aoqu~sition shall pass to I,ender to the extent of the aums secured by this ~ 4[ortgage immediately prior to euch eale or aoquisition. - ' 6. Preservation and Maintenance of Property; Leaseholds; Condominums; Planned Unit Developmente. Borr.. ~verahall keep ~ the Property in good repair and ahall not commit waete or permit impairment or deterioration of the Property and shall rnmply with the ~ provisiona of any lease if this Mortgage ie on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development, ~ E3orrower shall perform all of Borrower's obligations under the declaration or covenants creatingor goveming the rnndominium or planned ~ unit development, the by-laws and regulationa of the condominium or planned unit development, and conatituent documenta. If a condominium or plpnned unit development rider is executed by Borrower and recorded together with this Mortgage, the aovenante and ~ <igreements of such rider shaU be incorporated into and shal) amend and aupplement the covenanta and agreements of this blortgage as if the ~ rider wem a part hereof. # 7. Protection ot I.ender'e Security. If Borrower faile to perform the oovenante and agreemente oontained in this Mortgage. or if any ? action or proceeding ie commenced which materially affecte Lendei s interest in the Property, including, but not limited to, eminent domain, ineolvency, oode enforcement, or errangemente or proccedings involving a bankrupt $r deoedent, then L.ender at Lende~'s option,npoa `y notice to Borrower may meke euch appearanoes, dieburee such eume and take anch action aa ie neoeeeary to protec~t Lender'e interes~ ~ including, but not limited to, diebureement of reesonable attorney's feee and entry upon the Property to make repaire. If Lender required ~ mortgage inaurance ae a condition of making the loan eecured by thia Mortgage, Borrower ahall pay the premiems required to maintain ench inanrance in effect until auch time as the requirement for euch inaurance terminatee in aooordance with Borrower'e and Lende~e written agreement or applicable I.aw. Borrower ehall E+ay the amount of all mortgage inewance premiuma in the manner provided under paragreph 2 hereoL • Any amounte diebureed by Lender pereuant to thia paragraph 7, with intereet thereon, ahall beoome additional indebtedness of ~ Iiorrowe~r eecured by thia Mortgage. Unleas Borrower and Lender agree to other terms of payment, euch amounts shall be payable upon notioe from I.ender to Borrower requeating payment thereot, and shall bear intereet from the date of diaburaement at the rate payable from s time to time on outetanding princips) under the Note unleae payment of intereet at euch rate would,be o~ntrary to applicable law, in which event auch amounte ahall bear intereet at the highest rate permiseible under appticable law. Nothing contained in thie paragraph T, shall ~ require Lender to incur any expense or take any action hereunder. ' ? - ~ - _ aoo~ 293 FA~E 212 - _ . ; ,.i _ z: r:.. . . . _ ~ rr. , _ ; ~I ~ ~ ~ _ - - ._'3~ ~ ~ ~'"~'~'.rr.s~```~:.§?='~..~.»~~.-+:.' .