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HomeMy WebLinkAbout0531 ~ Borrower and I.ender cavenant and agn~e as fullowa: 1. Payment ot Principal and Interest. E3orrower ehall promptly pay when due the principAl of nrtd intereat on the indebtedne,~e evidenced by the Note, prepayment and latecharges as provided in the Note, and the principal of and intereatun any Future Advuncee secured by thie Mortgage. 2. ~nde for Taxee and [~eurance. Subject to Applicable law ur to a written waiver by l.ender, E3orn?wer ehall pay to l.ender on the day iuunlhiy iruitullmrnta uf principal and inlrrrat urr p~yable under the Note, until the hote is paid in full, n sum Ihcrrin "Funds") equal to on~ twelfth o[the yearly laxes and assessment8 which may attain priority over thia Morlgage, and ground mntx on the I'~operiy. if uny, plus une tweiRh of yearly premium installments [or hazard insurance, plua onetwrlfth olyearly premium installmentx fur mortguge insurance, if any, all aa rnaeonably estimated initially und from time tu tia~e by I.ender ore ihe busis of ussessments and biUs and reason.~ble extimutes lhereof. The F~?nda shall be held in an inetitution the depoaite or accounta of which are inaured or guaranteed by a Federal or State agency (including L.ender if I.ender ie such an inatitution). I.ender shall apply the Funds to pay eaid taxes, aesesxmente, inaurance premiums and around rents. Lender may not charge for eo holding and app?ying the I~tinda, analyzing said account, or ~erifying and compiling said assesaments and bills, unleas I.enderpays Borrower intereat un the Fundsand applicable law permits l.ender to muke auch a chnrge. E3orruwer ' and Lender may agree in writing at the time of execution of this 111ortgage that intereat on the Funda shall be paid to Borrower, and unless such agreement ia mad~ or applicable law requires auch interest to be paid. l.ender ahall not be required to pay Borrower any interest or earnings on the ~nde. I.ender shaU give to Borrower, without cherge, an annual accounting of the Funds showing credita and debita to lhe Funde and the purpoae for which each debit to the Funda was made. The Funds are pledged ps additional security for the suma secured by this Mortgage. If the amount of the Flinda held by Lender, together with the future monthly inatall~r.ents of Funda payable prior to the due dates of taxee, aseesaments, inaurance prnmiums and ground renta, ahall exczed the amount required to pay said taxea, assessments, insurance premiume and ground rente se they fall due, such excesa shall be, at Borrowei s option, either pmmptly repaid to E3otrower or credifed to E3orroyver on monthly inetallments of ~nds. If the amount of the Funds held by Lender shall not beaufficient ta pay taxes, assessments, insurance premiums and grou~d rents ae they fall due, Borrower shal! pay to I.ender any amount neceasary to make up the deficiency within 30 days from the date notice is mailed by I.ender to Borruwer requesting payment thereof. Upon payment in full of aU aume eecured by this Mortgage, Lender shall promptly refund to Borrower any funds held by Lender. If under paragraph 18 hereof the Property ia sold or the Property is otherwise acquired by Lender, l.ender shall apply, no later than immeciiately prior to the sale of the Property or its aequieition by I.ender, any Funda held by L.ender at the time of application as a credit against the aums secured by this Mortgage. 3. Applieation of Paymente. Unlesa applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shal! be applied by Lender first in payment of amonnts payabte to Lender bv Borrow er under paragraph 'l hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest und principal on any Futurn Advances. . 4. Charges; Liens. Borrower shall pay all taxes, asses.sments and uther charges, fines and impositions,ittributable to the Property which may attain a priority overthis Mortgage, and leasehold payments or ground rrnts, ef any, in the manner provided undrr paragraah 2 hereof or, if not paid in such manner, by Borrower making payment, v?hen due, directly to the pa> ee thereof. Borrower shall promptly furnish to I.ender all notices of amounts due under thia paragraph, and in the event ~3orrovver shall make payment directly, BorroNer shall promptly furnish to [xnder receipts evidencing such paymenta. E3orrower shall promptly discharge any lien which has priority overthis Mortgage; provided, that I3orrower shall not be required W discharge any such lien so long ns Borrower shall agree in writing to lhe payment of the obliqation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enformment ofsuch lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Pmperty or any part thermf. 5. Hazard Ineurance. Borrower shall keep the improvements now existing or hernafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage," and such other hazards as l.ender may require and in such amounts and for such periods as Lender may require; provided, that Lender ehall not require euch coverage amount exceeding the minimum, as may be required by state or federal regulations governing activitiea of Lender, or that amount of coverage required to pay the sums secured by this hlortgage, whichever ia the greater_ 'Che insurance carrier providing the insurance shall be chosen by B~rrower subject to approval by I.endcr, pru~•ided, that such appruval ! shull not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner pm~~ideci under paraKraiph 2 hereof or, if ~ not paid in such manner, by F3orrower making payment, when due, directly to the insurance carrier_ i ~ All inaurance policiea and renewale thereof ahall be in form acceptable to [.ender and shall include a standard mortgage clause in favor of i and in form acceptable to Lender_ Lender ehall have the right to hold the policies and renewals thereof, and Borrower shall pmmptly furnish to i i.ender al) renewal notices and all receipts of paid premiums. In the event of loss, Borruwer shall give prompt notice to the insurance carrier ' and Lender. L.ender may make proof of loas if not made p;omptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeda ahall be applied to restoration or repair of the Property ; damaged, provided auch restoration or repaix is economically feasible and the aecurity of tbis Mortgage is not thereby impaired_ If such ~ restoradon or repair is not economically feasible or if the security ot this Mortgage would be impaired, the insurance proceeds shall be applied ~ to the sums aecured by this Mortgage, with the eaceae, if any, paid to Borrower. If the Property is abandoned by Borsower, or if Borrower fails to g reapond to Lender within 30 daya from the date notice ia mailed by Lender to Borrower that the insurance carrier offers to settle a claim for ~ inaurance benefita, Lender is authorized to collect and apply the insurance proceeds at Lender a option either to restoration or repair of the ~ Property or the auma secured by this Mortgage_ y Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal ahall not extend or postpone the due ~ date of the monthly inetallmente referred to in paragrapha 1 and 2 hereof or change the amount of such inataliments. If under paragraph 18 ~ hereof the Property ia aoquired by Lender, all right; ritle and iniereat of Borrower in and to any inaurance poliries and in and to the proceeds ~ thereof reaulting from damage to Property prior to the sale or acquisition shall pass to Lender to the extent of the aums secured by this § Mortgage immediately prior to such aale or acquisition. r 6. Preeervadon and Maintenance of Property; Leaseholds; Condominume; Planned Unit Developmente. Borrowerahall keep 5 ~ the Property in good repair and ahall not commit waste er permit impairment or deterioration of the Property and shall comply with the provisions of any lease if thia Aiortgage is on a leasehotd. If this Mortgage is on a unit in a condominium or a planned unit development, ~ Borrower ahaU perform all of Borrower's obligations under the declaration or covenants creatingor governing the condominium or planned y unit development, the by-laws and regulationa of the condominium or planned unit development, and conatituent dceuments. If a ~ condominium or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the covenants and agreements of auch rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the • rider were a part hereof. ; 7. Protection of Lender's 3ecurity. If Borrower faila Lo perform the oovenante and agrermente contsined in thie Mortgage, or if any aMion or prceerding is commenced which materially affecte Lender's interest in the Property, including, but not limited to, eminent domain, ~ ineolvency, oode enforcement, or arrangements or proceedinga involving a bankrupt or deoedent, then Lender at I.ende='s option,upon _ notice to Borrower may make auch appearancee, diaburee such eume and take such action as ie neceseary to pmtect Lender'e interee~ including, but not limited to, diebureement of rea8onable attorney'e feee and entry upon the Property to make repaire. If Lender required mortgage ineurance ae a condition of inaking the loan eecured by this Mortgage, Borrower ehall pay the premiuma required to maintain auch ineurance in effect until such time ae the requirement for such inaurance terminatea in accordance with Borrower's and Lender a ~ written agreement or applicable Law_ Borrower ahall psy the amount of all mortgage ineurance premiums in the manner provided under s paragraph 2 hereof. My amounts diebureed by Lender persuant to this paragraph with interest thereon, ehall become additional indebtedneae of Borrower eecured by thia Mortgage. Unleae Borrower and Lender agree to other terma of payment, anch amounta ahall be payable upon ~y notice from Lender to Borrower requesdng payment thereof, and shall bear intereat from the date of disbureement at the rate payable from - time to time on outetanding principal under the Noteuniese payment of interest at such rate would be oontrary to applicable law, in which event such amounts ahall bear interest at the higheat rate permiseible nnder applicable law. Nothing contained in thie paragraph 7, ahall ~ require Lender to incur any expenee or take any action hereunder. " k~ ~ ,y :s R ~ ~~1~ ~4 ~A1:f 53~ .in E f~' ~ _ - - 5:.. t - - " ~ N ' ; ~ ~ ~~s~`~'"u~--'"stiK'. ,''.`~:.,._~a~~,"-~"u ~ ..e ...r+...-..:. ~ ~..~.~.wrz;~~'.k ~ r~~