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HomeMy WebLinkAbout0680 . . ~ ' L ~ Borrower a~d I.ender covenant and agree as followe: i. Payme~t ot Pri~cipat and Inteseat. Borwwer shall promptly pay when due the principal of and inter~at on the indebtednesa ' evidenced by 1he Note, prepayanent aad late chargea ae provided in the Note, and the principal of end intereet on any ~ture Advancea eecured by this Mortgage. 2. F~nd. for Taues end Insursace. Subject to applicable law or to a written waiver by [.ender, Borrowe~ ahall pqy to l.ender on the day monthly inatallmenta of principal and intereat are payable unde~ the Note, until the Note ia paid in full, a eum (herein "~nda") equal to one~ twelRh of the yearly taxee and aseesamenta which may attain priority over this Mortgage, and g~ound renta on the P~operty. if any. plus onc twelfth of yearly premium insta!lments for hazard ineurance, plus onetwelRh of yearly premium inatalimente for mortgage ineurance, i[any. ~ all aa reasonably estimated initielly and from time to time by Lender on the basis of assFeamente and billa and reasonable eatimatea thereof. The ~nds shall be held in an institution the deposite or accou~ts of which are inaured or guaranteed by a Federal or State agency (including Lender if Lender ia such an insdtution). Leader ehsll apply the I~nda to pay eaid ta:es. asseaaments, insurance premiums and ground nnts. Lender may not charge for eo holding and applying the ~nds. analyzing said account, or verifying and compiling said aesessme~te and bills, unleee L.ende~ pays Borrower intereat on the Funde and applicable law permits L.ender to make euch a charge. Borrower and I.ender may egree in writing at the time of execution ot this Mortgege that interest on the Plinda shall be paid to Borrower, and unleas such agrcement is made or applicable !aw requiree such intereat to be paid, I.ender shaU not be required to pay Borrower any interest or earnings on the ~nde. Lender shall give to Borrower, without charge, an annual accounting of the ~nda ahowing credita and debita to the Funda and the pnrpoee for which each debit to the ~nde was made. The Funds are pledged aa additional eecurity for the eume aecured by this Mortgage. If the amount of the Fl~nde held by Lender, together with the future monthly inetallmenta of Funds payable prior to the due dat~ of taxes. aeaeaementa, inearance premiume and ground renta, shall ezc~ed the amount required to pay esid ta:ee. asseaamencs. inaurance premiume and ground rents as they fall due, such e:cees ahall be. at Borrower s option, either prompt~y repaid to Borrower or credited to Borrower on monthly inafaUmente of F1nds. If the amount of the Funds held by Lender shaU not be aufficient to pay ta~ces, aaeeeamenta, inaurance premiuma and groand rents se they fall due, Borrower shall pay to Lender any amount aeceesary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requeating payment thereof. Upon payment in full of aU aume secured by this Mortgage, I.ender ahall pmmptly refund to Borrower any funds held by L,ender. If under paragraph 18 hereof the Property is aold or the Property ie otherwiae acquired by Lender, l.ender shall apply, no later than immediately prior to the aale of the Property or ita aoquisition by Lender, any flinda held by Lender at the time of spplication as a credit againat the aume secured by this Mortgage. 3. Applicatioa of Paymeats. Unless applicable law providee otherwiee, all paymenta received by l.ender under the Note and paragrapha 1 and 2 hereof ahall 6e applied by Lender first in paymen~ of amounts 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 interest and principal on any Future Advancea. 4. Charges; Liena. Borrower shall pay all taxes, assesaments and other charges, fenea and impositiona attributabte to the Property which may attain a priority over this Mortgage, and leasehold payments or ground renta, if any, in the manner pmvided under paragraph 2 hereof or, . if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly fumiah to l.ender all noticea of amounts due under this paragraph, and in the event Borrower ahall make payment directly. Borrower ahall promptly furnish to i.ender receipts evidencing such paymenfa. Borrower ahall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to I.ender, or ehall in good faith conteet 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. 5. Hazard Inaurance. Borrower ahall keep the unpmvements now existing or hereafter erected on the Property inaured againet loss by fire, hazarde included within the term "e:tended coverage." and auch other hazards aa Lender may require and in such amounta and forsuch periods as I.ender may require; provided, that Lender shall not require such ooverage amount exceeding the minimum, as may be required by state or federal regulations goveming activitiea of I,ender, or that amount of coverage required to pay the aume secured by this Mortgage, whichever ia the grEater. The insurance carrier providing the inaurance shall be chosen by Borrower subject to approval by l.ender; provided, that such approval shall not be unreasonably withheld. All prnmiums on insurance policies ahall be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to ttie insurance currier. All insurance policies and renewals thereof shall be in form acceptable to Lender nnd ahall include a atandard mortgage daaee in favor of and in form acceptable to I.ender. I.ender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to i.ender all renewal notices and all receipta of paid premiume. In the event of loas, Borrower ehall give prompt notice to the insurance carrier i and Lender. Lender may malce proof of loas if not made prompUy by Borrower. i Unlees Lender and Borrower otherwiee agree in writing, ineurance proceeds shall be applied to reatoration or repair of the Property ~ damaged. provided such restoration or repair is economically feaeible and the eecurity of thie Mortgage is not thereby impaired. If such j restoration or repair ie not economically feaaible or if the secarity of this Mortgage would be impaired. the insurance proceeds ahall be applied ~ to the auma secured by this Mortgage, with the e:cess, if any, paid to Borrower. If the Property ie abandoned by Borrower, or if Borrower fai}e to , respond to Lender within 30 days from the date notice ia mailed by Lender to Borrower that the insurance carrier offers to settle a claim for ; inaurance benefifa, I.ender is authorized to collect and appiy the inaurance proceeda at Lender s option either to restoration or rnpair of the ~ Property or the sume eecured by thia Mortgage. ~ Uniess Lender and Borrower otherwiee agree in writing, any auch application of proceeda to principal ahall not e~ctend or postpone the due date of the monthly inetallmenta referred to in paragraphB 1 and 2 hereof or change the amount of such in8taliments. If under paragraph 18 ~ hereof the Property ie acquired by Lender, all right, title and intereat of Borrower in and to any inaurance policiea and in and to the proceeds thereof reaulting from damage to Property prior to the sale or acquisition ahall peaa to Lender to the eztent of the suma eecured by thie Mortgege immediately prior to auch eale or aoquiaition. 6. Preeervation and Maintenance of Property; Lease6olda; Condominuma; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not rnmmit waste or permit impairment or.deterioration of the Propedy and ahall rnmply with the ~ provieiona of any leaee if thia Mortgage is on a leaeehold. If this Mortgage ie on a unit in a oondominium or a planned unit development, ~ Borrower ahall perform all of Borrower's obligations under the declaration or oovenanta creatingor governing the condominium or planned unit development, the by-laws and regulationa of the condominium or planned unit development, and oonetituent documents. If a rnndominium or planned unit development rider is e:ecated by Borrower and recorded together with thia Mortgage, the oovenante and agreements of auch rider shall be incorporated into and ahall amend and aupplement the covenants and agreementa of thia Mortgage as if the rider were a part hereof. ~ 7. Protection ot Lender'~ Security. If Borrower faile to perform the oovenanta snd agreements oontained in this Mortgage, or if any action or prooeeding ie oommenced which materially affecta Lender's intereet in the Pmperty, including, but not limited to. eminent domain, insolvency. oode enforcement, or anangemeate or proceedinga involving a banicrupt or deoadent, then Lendez at Lender's option,upon notice to Borrower may make auch appearanoes, disburee such sums and take such action es is neoeseary to proted Lender's interest, including, bnt not limiled to, disbarsement of reaaonable attorney'a lees and eatry npon the Property to mate repairs. If I.ender required ~ mortgage inaurance as a rnndition of making the loan eerured by this Mortgage. Borrower shall pay We premiums required to maintsin snch insurance in effect nntil such time as the requirement for auch inBUrauce terminatee in aocordance with Borrower's and Lendea's ~ written egreement or applicable Law. Borrower ehall pay the amount of all mortgage insurance premiums in the manner provided unda ~ peragraph 2 hereof. ^ Any amounta diabureed by Lender perauant to thie paragraph 7, with intereat thereon, shall beoome additional indebtedness of paya~le upon ~ Borrower secured by thia Mortgage. Unleae Borrower and I.ender agree to other terma of payment, auch amounta ahall be ~ notice from Lender to Borrower requeeting payment thereof, and ahall bear intereat from the date of diebureement at the rate payable from ~ time to time on oateianding principal under the Note unleae payment of intereet at euch rate would be oontrary to applicable law, in which ~ event euch amounta ehall bear intereet at the highest rate permiaeible under epplicable law. Nothing contained in this paragraph 7, ehall ~ require Lender to incur any e:penae or take any action hereunder. ~ ~bt~~.~lJ ~E ~ ~ ~ ~ ~ ; ~ • ~ ~ ~ , _ ~-~~s , . _ ~~E ~ ' , ~ ~ , r r.. ~ ~ ~ ~