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Home My WebLink About0508 Borrower and Le~der covenant and agree a~ folbws: _ ' 1. Psytneat ot Ptincip~l aad Interes~ Borrower ahaU promptly pay when due the principal of and interest on the indeblednees avidenoed by the Note, prepeyment and late chuQa as provided in the Note, and the principal of and iatenat on any ~ture Advancee secured by thi~ Mortgage. 2 I~Lnds for T~er and Inaurwnoe. Subjert to appiicable law or to a written waiver by I.ender, Borrower ahall pay to l.ender on the day moathly initallmeate of pri~cipal and inttrest an payable under the Note. unW the Note ia paid in full, a sum (herein "Funds") equal to one twdRh of the yearly ta=es and assesa[aenta which may attain priority over this Mortgage, and ground renta on the Property, if any, plua one- twelRh of yearly premium inatalLnenis for hezard insurance, plua onetweltih of yearly premium inatallmente for mortgage inaurarue, if any, all as teasonaWy estimated initially and trom titne to time by l.ender on the baeie of asseeamenta and billa and reaaonable estimatea thereof. 'l~e I~nds ahaU be held in an inatitutioa Ws deposib or aooonnta of which an insured or guaranteed by a Federal or State agency (inctading Lender if Lend~ u such an institution). I.ender ahall apply the Funds to pay baid ta~cea. aesesaments. insuraace premiwne and gronnd nats. Lender may not charge for so holding and applying the I~nda, analyzing eaid accoun~ or verifying and compiling said aasessmenta and bills, unlees Lender pays Borrower interest on the ~nda and applisable law permite Lender to make euch a charge. Borrower and Lead~ may agree in wrriting at the tuae of esecution of this Mortgage that interest on the ~nds ahaU be paid to Bor~ower, and unleas auch agnemeat is made or appGcablo law requires such interest b be paid, Lender ahall not be required to p~y Borrower any intereat or eamings oA the I~nds. Lender shaU give to Borrower. withawt charge. an annual aecounting of the Funda ahowing credits and debita to the F~nda and the parpose for which ~ch debit to the Fl~nds waa made.'I1~e ~nda are pledged ae additional security for the suma secured by this Mortgage. If the amo~wt of the I~nds held by Lender. tagether with the future monthly inatallmenta o[Funda payable prior to the duedafes of ta:ee, aseeesmenfa. insurance premiums and ground rents. sliall e=c~zed the amount required to pay eaid taaes. aseessments. inruranoe premiuma and gtn~wd renta ae they faU due, auch exoess shall De, at Borrower's option, either prompdy repaid to Borrower ~r credited to Bbrrowes on monthly inatallmente ot ~nds. It the amount of the Funda held by Lender ahall not be sufficient to pay taxes, assesaipente, ine~uance premiuma aad gronnd nnts as they fall due, Bormwer ahall pay to I.ender any amount neceasary to make up the defiaency vrithin 30 days from the date notice ia aaailed by Lender to Borrower requesting payment thereof. Upon payment in fuU of all aums eecured by this Mortgage, Leader ehall promptly refund to Borrower any 64nds held by Lender. If under paragraph 18 hereof the Property ia eoW or the Property ie otherwise acquired by Lender, Lender ahall apply. no later than immediately prior to the sale of the Property or its soquisibion by Lender, any ~nda held by Lender at the dme of application as a ctedit againet the auma eecured by thia Mortgege. 3. Application of Paymenta. Unleas applicable law pmvidee otherwiee, all paymenta received by Lender under the Note and paragrapha 1 and 2 heteof ahall M applied by Ixnder first in payment of amounts payable to I.ender by Borrower under paragraph 2 hereof, then to intereat payable on the Note. then to the principal of the Note, and then to intereat and principal on any Future Advances_ 4. Charges; lrens. Borrower ahall p~yr all taxes, assesaments and other rhargea, fines and impositiona attributable to the Property which may altain a priority over this Mortgage, and leasehold paymente or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner. by Borrower maicing payment. when due, directly to the payee thereof. Borrower ahall prompUy furnish to Lender all noticea of amounts due under thia paragraph, and in the event Borrower shall make payment d'uectly, Borrower shall promptly furnish to Lender receipts evidencing auch paymenta. Borrower ahall promptly discharge any lien which has priority over this Mortgage; provided, that Borrowe; shsll not be required to discharge any auch lien so long as Borrower ahall agrce in writing to the payment of the obligation secured by such lien in a manner acoeptable to Lender, or ahall in good faith contest such lien by, ordefend enforcement of such lien in, legal pr«.~eedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazacd Inaurance. Borrower ahall keep the impmvements now eziating or hereafter erected on the Property insured agains! loss by fire. hazarde included withia the term "estended eoverage," aad auch other hazarde es Lender may reqnire and in auch amounta and for auch periods ae Lender may reqaire; provided, that I.ender ahall not require such ooverage amount e:ceeding the minimum, as may be reqnired by state or federal regulations governing activities of Lender, or that amount of coversge required to pay the aums aecured by this Mortgage, whichever ia the grester. 'l~e insurance carrier providing the insarance shalt be chosen by Borrower aubject to approval by L.ender; provided, that such approval shall not be unreasonably withheld. All preminms on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, if t not paid in such manner, by Eiorrower making payment, when due, directly to the insurance carrier. All inaurance policies and renewals thereof shall be in form acceptable to I.ender and shall include a atandard mortgage clause in favor of aad in form acoeptable to Lender. Lender shall have the right to hold the policiea and renewals thereof, and Borrower shall promptly furnish to i.end~ all renewal notices at?d all receipts of paid premiuma. In the event of loss, Borrower shall give prompt notice to the inautance carrier ~ and I.ender. Ixnder may make proof of loss if not made prompdy by Borrower. - ; Unlese I.ender and Borrower otherwise agree in writing. insurance proceeds ahall be applied to restoration or repair of the Property j damaged, provided such reatoration or repair ia economically feasible and the aecurity of this Mortgage is not thereby impaired. If anch ~ testoration ar repair is not eooaomicelly feasible o: if the eecurity of Wis Mortgage would be impaired, the inaurance proceeda ahall be applied ~ to the snms aeenred by this Mortgage, with the exceas, if any, paid to Borrower_ If the Propedy is abandoned by Borrower, or if Borrower faila to ! respond to Lender within 30 daya from the date notice ia mailed by Lender to Borrower that the inaurance carrier. offers to settle a ciaim for ' ~ insarance bene5te, Lend~ ia suthorized to rnUect and apply the inaurance proceeds at I,ender's option either to reatoration or repair of the 1 Property or the suma eecared by thie Mortgage. Unlees Iender and Borrower otherwiee agreein writing, any anch application of proceeda to principal shall not eztend or postpone the due date of the monthly instaUmenta referred to in paragrapha 1 and 2 hereof or change the amount of such inatallmenta. If under paragraph 18 hereof the Property ia aoquired by Lender, all right, tide and interest of Borrower in and to any inaurance policies and in and to the proceeda thereof reaulting trom damage to Property prior to the sale or aoqniaition ahall paea to Lender to the ezLent of the auma secured by this Mortgage immediately prior to such sale or aoqniaibioa. 6. Preaervation and Maintenance of Property; I.easeholde; Condominums; Planned Unit Developments. Borrower shall keep the Property in gaod repair and shall not commit waste or permit impairment or deterioration of the Property and ahall comply with the proviaiona of any lesee if thia Mortgage is on a leasehold_ If this Mortgage ia on a unit in a oondominium or a planned unit development, Borrower ahall perform all of Borrower'e obligationa ~u?der the declaration or rnvenante creatingor governing the rnndominium or planned unit development, the by-lawe and regiilationa of the condominium or planned unit development, and oonatituent documente. If a condominium or planned unit development rid~ ia e:ecuted by Borrower and recorded togQther with thia Mortgage, the oovenante and agreements of auch ridrr shall be incorporated into and ahali amend and anpplement the covenants and agreements of thia Mortgage ae if the rider were a part hereof. ' 7. Protection ot Letder'~ Security. If Borrower fails to perform the oovenant8 and agreementa oonteined in thia Mortgage, or if any action or prooeeding ia commeaoed whicb mat~ially afferts Lende~s interest ia the Property, including, but aot limited b. eminent domain, ~ insulvencq. oode enforcrment, or arrangementa or praoeedings involving a bankrnpt or deoedent, then Lender at I.ender's option,upon ~ notice to Bormwer may make such appearanoes, disbnrse ~anch anms and take snch action as is neoeeeary Lo protect Lender's inteseef, ~ inclnding, bat not limited to, disbursem~t of reasonable attorney's fees aad entry apon the Property to mel~e repairs. If I.enda required ~ mortgage insnrance as a condition of ineking the loen sxared by this Martgage, Borrower shall pay the praniums required to meintain ench insm~ance in rHect antil snch time as the requicement for such inaurance terminatee in aa.~ordance with Borrower s and i.endei's ~ writtea agroement or applicabk I.aw: Borrower shall pay the amount of all mortgege inenrance premiums in the manner provided unda paragraph 2 hereof. ~ Any amoants disbureed by Lender persuant to this paragraph T, with interest thereon, ahall beoome additional indebtednees of ~ ~ Bosr.?wer secured by this Mortgag~ Unleas Borrower and Lender agree to other t.erme of payment, auch amounta ehell be payable upon ootice ttom I.euder to Borrower requesting payment thereof, end ahall bear intereat from the date of diaburaement at the rate payable from - time to tiole on oatetanding priacipal under the Note nnlees payment of intereat at snch rate would be oontrary b applicable iaw, in which ; ~ eveat euch emounts shall bear intereat at the higheat rate permieeible under applicable law. Nothing oontained in this paragraph 7, ahall i reqnire Lender to inc~u any espense or talce any action hereunder. ~ ~~y„~ < _ '~a~E __v : - - - - -l..~-~4 +a,'_.. - . .fis4 . ~e ; i