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HomeMy WebLinkAbout0978 Bonuwer and Lendec eovenant and agree ae followe: 1. Payment ot Principal apd Intereat. Borrower shull promptly pay when due the p~ncipal of and intereaf on the indebtednees rvidencavi by the Note, prepayment and late chargee ua provided i~ the Note, and the principnl of and intenst on any Future Advancee aecured by this Moitgage. 2 Ftinds [orTue~ and laeurance. Subject to applicable law ur to a written waiver by l.ender, E3orruwer ahall pay to I.enderon theday monthly installments of principal and intereet are payable unde~ the Note, until ?he Note ie paid i~ full, a sum (herein "I~'unda"1 equul to onP Iwdith otthe yearly taxes and aeseasmenta which may attain priority over thie Mortgnge, and ~ruund rentx on the Yroperty, if any, plus one twelfth of yearly premium inatallmente for hazard insurance, plus onPlwelflh ofyearly prrmium inatallments for mortgAge insurance, if any, all as ceaaonably estimated initialiy and from time to time by l.ender on the basis of uasesaments and billa ~nd re:uwnnble estimates lhereof. 7Le ~tnds ahall be held in an inatitution the deposite or accounts of which are insured or guuranteed by a Federal or State agency lincluding Lender it Lender ie auch an inetitution). [.ender afiaD Apply the Funde to pay aaid taxes, assesamente, inaurance premiums and ~ ground rents. Lender may not charge for eo holding and applying the ~nda, analyzing eaid account, or verifying and compilinq said asseasmeata and bills, unlesa Lender paya Eiorrowe~ intereet on the Ftiends and applicable iaw permita I.ender to make auch a chnrge. Borrower and LendK may agree in writing at the time of execution ot thie Mortgage that intereet on the Funda shall be paid to Borrower, and unless such agreema~t is made or applicable law requires such intereat to be paid, I.ender ehall not be required to pay Borrowet any interest or earnings on the Fnnds. Lender ahaU give to Borrower, without charge, an nnnual accounting o[ the Funda ahowing credits and debita to the Funds and tl~e purpoee for which each debit to the F~nda was made. The Funds are pledged as additional security for the sume aecured by this Mortgage. If the amount o[the Funda held by L.ender, together with the future monthly instaliments of Funds payable prior to the due datea of ta~cea, aas~nenta,•iasurance pmniuma and ground renta, ahall eaored the amount required to pay said taxes, assessments, insurance premiume aad ground rents as they fall due. auch eaceas ahall be, at Borrower's option, either promptly repaid to Borrower or credited to $orrower on monthly inatallmeats ot`~nde. If the amount of the Funda held by Lender ehali not be aufficient to pay ta:es, aaeesamenta, insurance premiums and ground rente aa they fall due, Borrower ehall pay to Lender any umount necessary to make up the deficiency within 30 days ~ from the date notice ia mailed by L.ender to Borrower requesting payment thereof. Upoa payment in full of all aums eecured by this Mortgage, Lender ehall promptly refund to Borrower any funda held by Lende~. Itunder • p~aragrapb 18 hereof the Property is aold or the Property is othemise acquired by I.ender, l.ender shali apply, no later than immediately prior to the sak of the Property or its aequisition by Lender, any Funda held by Lender at the time of application as a credit againat the auma secnred ~ by thia Mortgage_ 3_ Application of Paymente. Unless applicable law.provides otherwiae, all payments received 6y I.ender under the Note and paragraphs 1 and 2 hereof ahaU be applied by Lender first in payment of amounta payable to Lender by Borrower under paragraph 2 hereof, then to inten~st payable on the Note, then to the principal of the Note, and then to interest and prinripal on any Future Advancea. 4. C6argea; Liens. Bormwer shall pay all wxes, assessments and otherrharRes, fines and impositiuns attributable to the Pmperty which may attain a priority over this Mortgage, and leasehold payments orground rents, if any, in the manner p~ovided under paragraph 2 hereofor, if not paid in snch manner, by Borrower making payment, w hen due, directly to the payee thereof. Borrower shall promptly fumish to I.ender all ~atices of amounta due under thia paragraph, and in the event Borrower shAll make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien w•hich has priority over this Mortgage; provided, that Bormvrer shall not be required to discharge any such lien so long as I3orrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable ta Lender, or shall in giwd faith contest such lien by. or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S_ Hazard lnsnrance. Bortower shall keep the improvements now e:ieting or hereafter erected on the Property insured against loss by firr, hazards inclnded writhin the term "extended covera~ce," and auch other hazards as Lender mav rec~uire and in such amounts and for such pe~iods as Lender may requir~e; provided, that Lender ahall not require such ooverage amount exceeding the minimum, as may be required by state or federal regulations governing acti~~ties of L.ender, or that amount of coverage required to pay the aums secured by this Mortgage, vrhichever ia the greater_ The insurance camer pro~~ding the insurance shall be chosen by E3orrower subject to approvai by I.ender, provided, that such appro~ al shall not be unreaso~ably withheld. All pmmiums on insurance policies shall be paid in the manner pro~•ided under par~Kraph 2 hereof or, if not paid in such manner, by E3orrower making payment, K•hen due, dircrtly to the insurance camer. All inaurance poliries and renewala thereof shall be in form acceptable to Lender and ahall include a atandard mortgage clause in favorof and in form acceptable to Lender. Lender shall have the right to hold the policiea and renewals thereof, and 8onower shall prom ptly fumish to i.ender aq renewal notices and all receipts of paid premiums. In the event of loss, Borruwer shap give prompt notice to the insurance carrier ` and Lender. Lender may make proof of losa if not made promptly by Borrower. j Unleas lender and Borrower otherwiae agree in writing, inaurance proceeds ehall be applied to restoration or repair of the Property ~ damaged, provided snch restoration or repair.is economicaily feasible and the aecurity of this Mortgage is not thereby impaired. If such • restoration or repair is not economically feasible or if the aecurity of this Mortgage would be impaired, the insurance procecds shall be applied s to the sums aecared by thia Mortguge, with the excesa, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Irnder within 30 daya from the date notice is mailed by Lender to Borrower that the insurance carrier offers to setde a claim for ~ insarance benefita, L,ender is authorized to coliect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the aams secured by this Mortgage_ ` Unless Lendet and Borrower otherwise agreein writing, any auch application of proceeds to principal shall not extend or postpone thedue ~ date of the monthly instalimenfs referred to in paragraphs 1 and 2 hereof or change the amount of auch installments. If under paragraph IS ~ hereof the Property ia acquired by Lender, all right, title and interest of Borrower in and to any ineurance policies and in and to the proceeds ~ thereof reaulting b^om damage to Property prior to the eale or acquisition shall pass to Lender to the extent of the sums secured by thia ~ :1lortgage immediately prior to such sale or soquisition. ~ 6~ Preservation and Maintenance of Property; Leaseholde; Condominume; Planned Unit Developments. Borrower shall keep ~ the Proptrty in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with the ~ pmvisione of any lesee if this Mortgage ia on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit de~~elopment, ~ Bormvoer shall perform all of Borrower's obligationa under the declaration or covenanta creatingor governing the condominium or planned ~ unit devel ~ opment, the by-laws and regulationa of the condominium or planned unit development, and conatituent dceuments. If a ~ condominium or planned unit development rider ia executed by Borrower and recorded together with thia Mortgage, the eovenante and ~ agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreementa of this Mortgage as if the ~ rider vrere a part hereof. , ~ 7_ Prot~ection o! I.ender's 3ecurity. If Borrower faila to perform the oovenante and agreemente contained in this Mortgage, or if any ~ action or prooeeding is commenced which materielly affecte Lender's intereat in the Property, induding, but not limited to, eminent domain, - insoivmey, oode eaforoement, or arrangemente or proceedinge involving a bankrupt or decedent, then Lender at Lender's option,upon notioe to Borrower may make euch appearanoee, dieburee euch ai,ms and take auch action ae ie neceseary to protect I.ender'e interest, induding. bat not limited to, diebursement of reaeonable attorney'e fees and entry upon the Property to make repaire. If Lenda required ~ moctgage insarance aa a rnndition uf making the loan secured by this 1Vlortgage, Borrower ahall pay the premiuma required to maintain 'f wch ins~ancr in dfect nntil anch time ae the requirement for auch inaurance terminatea in accordance with Borrower a and Lende?'s x~ writtm agreemmt or appGcable taw. Borrower ehall pay the amount of all mortgage inaurance premiuma in the manner provided under - psra~graph 2 hereof. Y Any amoants diebnrsed by Lender persuant to thie paragraph 7, with intereat thereon, shall become additional indebtednese of ? Borrower secnred by thie Mortgage. Unleae Borrower and L.ender agree to other terme of payment, auch amounts shall be payable upon - notice ~om Leader w Borrower requeeting payment thereof, and ehall bear interest from the date of diebureement at the rate payable from ame to time on ontatanding principal under the Note unleea payment of interest at such rate would be oontrary to applicable law, in which ~ tvmt wch amounta ahall bear intereat at the highest rate permiaeible under applicable law. Nothing contained in this paragraph 7, ahall reqnirr I.ender to incur sny ezpenee or take any ection herennder. ~ ~ ~ • ~ ~ ~ 2~3 ~E 977 euuN ~ . ~ _ ~ - - - _ - ~ , ~ v.:~