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HomeMy WebLinkAbout0539 Sorrowes and Lender covenant and agree aa follows: 1. Paymeat o! Priaclpal and latere~t. Bormwer shall promptly pay when due the principal of and intereat on the indebtedneer evidenosd by the Note. prep~ymert and late charges as provided in the Note. and the principal of and intereat on any ~ture Advances eecured by this Mort~a~e. 2. P1~ads for Tase~ and laruraaoe. 3ubject to applicable law or b a written waiver by Lender. Borrower ahall pay to I.ender on the day monthly ir~stal;ments of principal and interest are payeble under the Note, until the Note is paid in full, a eum (herein "ELnde") equal to o~o- twelRh of the yearly taxes and aasesamenta vehich may attain priority over thie Mortgege, and ground rents on the Pmperty. if any, plua ons twelRh of yearty preaniuta installments for huzard insurance, plus onetweltth of yearly premium installmeats for mortgage inaurance, if any, ap es reasonably estimated initially and from time to time by I.ender on the besia of aeseeaments and bills and reasonable eatimates thereof. The PLttd~ shall be held in an institutioa the deposits or aooounts of which are insured or guaranteed by a Federal or Slate agency (iacluding Lender if Lender is such an institution). Lender shall apply the ~nds to pay said ta:es. aesesaments, ineurance premiume and ~round renb. Lend~ m~yr not charge for so holding and applying the I~nds, analyung said acconnt, or verifying and compiling esid _ aaaeamente and biW. unleea Lcndar pays Borrower int~est on the flrnds and applicable law permies I.ender to make such a charge. Borrower aad I.ender may agree in writing at the time of execution of this Mortgage that interest on the fi~nda ehall be paid to Borrower, and unleea snch a~reement is made or applicabk law eequires such interest to be paid. I.ender shall not be required to pay Borrower any intereat or eamings on the Phads. I.ender shall give to Borrower, without charge, an ~annual acoounting of the fi~nde ahowing credite and debite to the l~nde pnd the parpose [or which each debit to the F~nds was made. The Funda arE pledged as additional eecurity [or theaume secured by this Mortgage. ' It We amoun! of the F1nds held by I.ender, together with the future monthly installmenta of Fnnda payable prior to the due dates of ta~ces, e~sesamenta, insurance premiums and ground renLe. ah~ll euozed the amount required to pay said ta:ea, aseesamente, inaurance preaniume and gronnd t~?ts as they fall due, such e~ceas ahall be. at Borrower'e option, either prompdy repaid to Borrower or credited to Bosrower on monthly installmenta of flinds. If the amount of the Fnnds held by Lender shaU not be aufficient b pay ta:es, aeaessmente. inaurance ' pr~miume and ground renta as they fall due, Borrower shall pay to Lender any amoun! ne~.•eaeary to make up the deficiency witt.i~ 30 daye from the date notice is maihd by L.ender to Borrower requeating payment thereof. Upon payment in fuU of aU sume secured by this Mortgage. Lender ahaU promptly refund to Borrower any funda held by I.ender. If under paragraph 18 hereof the Property is sold or the Property is otherwiee acquired by Lender, Lender shall apply, no later than immediately prior to the sale of the Property or its aoquisition by Lender, any I~nds held by I.ender at the time of epplication as a credit against the auma secured by this Mortgage. . 3. Appiication of Paymenb. Unleae epplicable law providee otherwiae, all payanente received by Lender under the Note and paragrapha 1 and 2 hereof ehaU be applied by Lender firat in payment of amounte payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to intereat and principal on any Future Advancea. 4. Charges; Liens. Borrower shall pay all taxes, aasesamente and other charges, fines and impositions attributable to the Properiy which may attain a priority ov~ thia Mortgag~ and leasehold paymenta or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making"paymen~ when due, direcUy to the payee thereof. Borrower ahall prompdy furniah to I.ender all notices of amounta due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing auch payments. Borrower ahall prompdy diacharge any lien which has priority over this Mortgage; provided. that Borrow~ ahall not be required to diacharge any such lien so long as Borrower ahall agree in writing to the payment oflheobligation secured by such lien in a manner acceptable to Lender, oi ahall in good faith conteat such lien by, ordefend enforcement of such lien in, legal proceediuga which operate to pnwent the enforcement of the lien or forteiture of the Property or any part thereoL 5. Hazard Ineurance. Borrower shall keep the improvementa now exiating or hereafter erected on the Property inaured againat losa by fire, hazarda included within the term "extended coverage." and euch other hazarde aa Lender may require and in such amounts and for such periode as I.eader may require; pmvided, that Lender ehall not require auch ooverage amount e:ceeding the minimum, ae may be required by atate or federal regulations goveraing activities of Lender, or that amount of rnverage required to pay the sume sec~red by this Mortgage, whichever ia the grester. The inaurance carrier providing the insarance shall be chosen by Borrower subjeet to approval by Lender; provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the insurance carrier_ All insurance policiee and renewale thereof ahall be in form acceptable to Lender and shall include a atandard mortgage clauae in favor of and in form aooeptable to Lender. Lender ahall6ave the right to hold the policies and renewala thereof, and Borrower ahall promptly furnieh to i.ender all renewal noticee and all receipts of paid premiume. In the event of loss, Borrower ehall give prompt notice to the inawance carrier ~ and Lender. I.ender may make proof of loea if not made pmmptly by Borrower. ; Unlesa Lender and Borrower otherwiee agree in writing, inenrance proceeds shall be applied to reatoration or repau of the Property ; damaged, provided such ~eatoration or repair ia economically [ea~~ble and the eecurity of this Mortgage is not thereb im ued. If such r' ~ ( teatoration or repair is not economically feasible or if the eecarity of this Mortgage would be impaired, the inaurance proceeda shell be applied ~ to the aums secured by Wis MortRage, with the euceae, if any. paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to reepond to Leader within 30 daya from the date notice ia mailed by Lender to Borrower that the insurance carrier offers to setde a claim for ! insuranoe bme5ta. Lender ie authorized to rnUect and apply the insurance proc~eds at Lender's option either to reatoratian or repair of the ~ Property or We anm,s eecured by this Mortgage. ~ Unleas Lendet and Borrower otherwiBe agree in writing, any euch application of proc~eeds to principal shall not ~tend or postpone the due - date of the monthly iastallmente referred to in paragrapha 1 and 2 hereof or change the amount of such insfallmenta. If under paragraph 18 hereof the Property ia aoqaired by I.endtr. all right, title and internst of Borrower in and to any ineurance policies and in and to the proceede thereof resultiug from damage to Property prior to the sale or acquiaition ahall pass to Lender to the eztent of the auma eecured by thie Mortgage immediately prior to such aele or aaquiaition. 6. Preservation end 3~aintenance of Property; Leaeeholds; Condominume; Planaed Unit Developments. Borrower ehall keep . ~ the Property in gootl repair and ahall not commit waste or permit impairment or deterioration of the Property and shall comply with the ~ proviaione of any leaee if thie Mortgage ie on a leaBehold. If thie Mortgage ia on a unit in a aondominium or a planned unit development, ~ Borroaer shall perform aU of Borrowe~'s obligationa under the declaration or covenante creatingor governing the condominium or planned unit development, the by-lawa and regulations of the condominium or planned unit development, and oonstituent documente. If a ~ oondominium or planned unit development rider is e:ecuted by Borrower and recorded together with thia Mortgage, the oovenants and agnements of auch rider shall be incorporated into and ahall amend and supplement the covenants and agreements of thia Mortgage aa if the rider were a part hereof. ~ Protection of Lender'~ Secnrit~. If Borrower fails to puform the oovenants and agreementa oonteined ia this Mottgage, or if aqy ~ aclioa or prooeeding is c~mmenoed which materially affecfe Lender'~ interest in the Property. including, bnt not limited to. eaninent domain. insolveacy, aode mforoement, or artangemeate or pmocedings involving a banim~pt or deoedent, then Lender at Lender's option,npon ~ na~tioe to Borrov?er may maice such appearanc~, diaburse such suma and take such action as is neoeeeary to protect I.ender'e intese~~ ~ indnding. bat not limited to, disbur~emeat of reasonable attomey's fees and eatry upon the Property to make npairs. If L~der required ~ mattSage inanrancx as a ooadition of making the loen secured by this Mortgage, Borrower shall pay the premiuma reqnired to maintain ~ snc6 insnranoe in effeet nntil such time as the requinment for snch insurance terminates in aooordanoe with Borrower'~ and I.a?dds ~ writtea a~eement or applicabk Law. Borrower ehall pay the amount of all mortgege insurance premiuma in the manner provided under ~ paragraph 2 hereoL ; ~ My amonnta diabursed by Lender persuant to this paragraph 7, rvith interest thereon, shall beoome additional indebtedness of ; ~ Borrower ~ecnred by thia Mortgage. Unless Borrower and I.ender agree to other terme of payment, such amoant~ ~hall be payable upon ~ notice froTn I.ender to Borrower requ~ting payment thereof, aad shaU bear interest from the date of diebuisement at the rate payable from ~ ~ time to time on outatanding principal under the Note nnleae payment of intereat at such rate would be ooatrary b applicable law. in which ~ evmt snch amounts ahall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 7. shali ~ reqnire I.ender to incnr any a~pense or talce any action hereunder. ~ ' f ~ a 1 . a ~ . ~ ~95 ~A~~ ` 53g ~ . ~ _ ~ - - - - _ _ -