HomeMy WebLinkAbout0293 UNt~aW Covgr~rtta. Bomowtr ~d Lende~ covenant and a~rce u tollows: '
i~ l~seN o~ hi~c}~I ay lNensf. Borrower shall p~omptly psy when due tl~e principsl ot and interat on the
~nckMed~e~ evideneed by the Nde. Prcpayment and late chargec ac ~xovided in the No1e. and the ptiecipa) ot and inleresl
on aoy FWuro Advances securod by this Mottta~e.
1?wi tor Tnws Mi I~p~ce. Subjat to applicablc law ~.r to a writte~ waiver by I.ender. Borrower sha11 p~y
to I.ender on the day monthly iostaliments of prirkipal aRd en~cics~ arr ~yal~le under the Note. until ~he Note is paid in tull,
a tum (herein "Fund:") eqwl to ooe-twelfth ot the yearl~~ ~as~. and assasments which may attain prio~ity ove~ this
Mortsaje. and ~rout~d ren4 0o the Property, it s~y, plus one-twelGh of yearly premium it?staltme~ts [o~ hazard insuranct.
plus one-twel(~h of yearly premium instalimen~s (or mortgage insurancc, it any, ap as reasonably estimated initially and trom
time to time by Lender on the buis of assessmcros and hills and rcaw~~abk estimates thercot.
The Funds sl~all be held in an iosli~ution the deposita ot accounts of tvhich are insurod ot guanoteod by a Federal ot
state a~tocy (i~cluding L.ender if l.ender is such~an institutionl. I.ender shall apply the Funds to pay said taxa. assessments,
insurance prerniurrts and grewnd rcnts I.ender may na~ cbarge !or s~? holding and applying the F~mdc. analyzin~ said account.
or verityin~ a~d compiling said asussments and bills, unless l.ender pays Borrower inlerost on the Funds and applicable law
permits Lender to make such ~ charge. Borrower and l.ender may agrce in writing at ~he time of ezecution of this
Mortgage that interest on the Fbr~ds sAall be paid to 8orrower, and unless such agreement is made or applicabk law
roquires such intercst to be paid. Lender shall not be rcquired to pay Borrower any interat or earnings on the Funds. Lender
shall aive to Bonower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
purp~ose for which each debit to the Funds wu made. The Funds are plodged u addi~ional security for ~he surtu secured
by this Mortp~e.
IE tl~e amount ot tt~e Fun~ held by Lender, toge~her with thc Euture monthly installments of Funds payable prior to
the due data of tua. usessments. insurance premiums and ground rcnts, shatl excced the amount rcquired to pay said taxa.
asseuments. i~sunnce prcmiums and ground rtnts u they faU due, such eaceis shall be. at Botrower s option, either
pramptly rcpaid to Borrower or credited to Borrower on monthty installments of Funds. If the amount of tAe Funds
held by Leoder shall not be sufficieAt to pay taxes, assessments, insurance prcmiums and ground rents as ~hey [all due,
Borrower shall pay to Le~der any amount necessary to make up the dehciency within 30 days from the date notice is mailed ~
by Lender to Borrower requating payment thereof. ~
UpOu payrnent in full of all sums tecured by this Mortgage, l.ender shall p~omptly rcfund to Borrower any Funds
heW by Ltader. If under puagriph 18 hercof the Propeny i~ sold or the Property ~s otherwise acqui~ed by Lende~, Lcnder
~di apply. no later than iramediately prior to the sak of the Property or its acquisition by Lcnder, any Funi held bv
Lendtr at the .time of application as a credit against the sums secured by this Mongage.
3. A'plicatjos of payments. Unless applicable law provides otherwix, all payments receivod by Lender under the
Note aad paragraphs 1 and 2 hertof shall be apptied by t_ender 6rst in payment ot amounts payable to Lender by Borrower
u~der patagraph 2 hercof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
principal on any Futuro Advances.
1• Ch~rtes; Liens. Borrower shall pay all laxes, assessmcnts and othcr charges, fines and impositions at~ributable to
tbe Property which may atuin a priority over this Mongage, and leaschold payments or grourtd rents, if any, in the manner
p~+ovided under paragraph 2 hertof or, i[ not paid in such manner, by Borrov`er making payment, whea due, diroctly to th~
payee theceof. Borrower shall prompUy fur~~sh to Lencie~ all notices of amounts due under this pangraph, and in the event
Borrower shall make payment directly, Borrower shall promptly furnish to L.ender receipts evidenciog such payments.
Borrower shalt promptiy discharge any tien which hu prio~ity over this Mortgage; provided, that Borrower shall not be
rcqu+red to discharge any such lien so tong as Borrower shall agrce in writing to the payment of the obligatiun seturcd by
sueh lien in a manner acceptable to Lender, or shall in good faith contes~ such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the lien or fodeiture of the Property or any part thereof.
S. Hazard tr~mrshce.~ Borrower shal! keep the ~mprovcments now~ existing or hereafur erected on ihe Property insurod
~gainst loss by firc, hazards included within the term "extended coverage", and such olher hazards as l.ender may require
and in such amounts and for. such periods as Lender may requirc; provided, that Lenckr shall not require that the amount of
' such coverage exceed that amount of coverage required to pay the sums vtcured ~by this Mortaage.
~ 'Ihe insnrance carrier providing the insurance shall be choxn by Borrower subject to approval by Lender. provided, ~
tbat wch approvat shall not be unrcasonably withheld. All premiums on insurance policies sha11 be paid in the manner
provided uoder paragraph 2 hercof or, ~f not pai~ in such manner, by Borrower making payment, when due, direcdy to the
insurance carrier.
AU insurance policits and renewals thereof shall be in form acceptable to Lender and shail include a standard mongagt
clause in favor of and in form acceptable to Lender. Lender shall have th~ right to hold the policia and renewals thereof,
and Borrower shall promptly f~rnish to Lender aIl renewal notices and ali receipts of paid prcmiums. In ttie event of 1oss.
Borr~wer shall g~ve prompt notice to the msurance carrier and l.ender. Lender may make proof o[ loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwitie agree in writing, insurance proceeds shall be applied to restoration or rcpair of
the Property damaged, provided such restorauon or repa~r is economically feasible and the security of lhis Mortgage is
not lhereby impaired. 1( such restoration or mpair is nrn economically feasible or it the xcuriry of this Mortgage would
be impaired, the insurance procetds shall be applied to the sutns secured by this MoRgage, with the excess, if any. paid
to Borrower. lf the Property is abandoned by Borrower, or if Borrower fails ro respond to Le~der within 30 days from the
date notice'~s mailed by Lend~r to 8orrower that the ~nsurance carrier ofters to setde a claim for insurance benefits, Lender
is authoriud to collect and apply tht insurance proceeds at t_ender's option either to restoration or repair of ihe Propett~~
or to the sums secured by this Mortgage.
Unless [.ender and Borrower otherv~ise agree m wnting, any such application of proceods to prineipal shall not extend
or postpone the duc ~ate of ~he monthly ins~allmen~s rcferred to in paragraphti 1 and 2 hereof or change the amount of
such installments. If under paragraph 18 hereof the Property is acyu~red bp LenJer, all right, title and interest of Borrower
in aod to any A?surance policia and in and to thc proceeds thereof resulnng from damage to the Prapeny prior to th~ saie
or acqu;sition shati pass to Lender to the extent ot ihe aums secared by this Mortgage immediatdy prior to such sale or
acquisition.
6. Preservatan and ~taintenance of PropeAy; [.easehulds; Condominiams; Planned Unit Developmeots. Borrower
shall keep the Property in good repair and shall not comroit y~aste or permit ~mpairment or deterioretion of the Property
aod shall comply~ v?ith the provisions of any lease ~i th~s Mortgage ~s on a leasehold. If this Mortgage is on a unit in a
condominium or a planned unit development. Borrow~er shall per(orm all of Borrower's obligations under the declaration
or coveoants creating or govermng the cond~~minium or planned unit development, the by-laws and regulations of the
condominium or planned unit development, ~nd constitnent Jocuments. If a c~ndominium or planned unit development
ncier ~s executed by 8orrower and recorded tvgether Nith th~ti Mortgage, the covenants and agreements of such rider
shall be incorporated ~nto and shall amend and supplement the co~enants an~ agreements of this Mortgage as if the rider
were a part hereof.
7. Protection of I.ender's Security. If Barr~,wer fa~l~ a~ perf~~rm the covenan~c and agreements contained in this '
Mortgage, or if any action vr proceedmg a~mmenceJ ..he~h ma~ereally atiects I.ender's mterest irt the Properry,
indud~ng, but m~t l~m~ted to. em~nent domam. ~m~•l~enr~, c~xle enfi~rcement, ar arr~ngemcntc or proceedings invoh~ing a
bankrupt or deceJent. ~hen Lender at I ender', optii.n, up~m nohce to Borr~iw~er, ma~ m:+ke such appearances, d~sburse such
sums and take such ac~iun as ~s nece~~ary~ tu prr~lecl Lender'c mterest. ~ncluding, bu~ not timited to. disbursement of
reasonable atromey'c (ec~ and en~ry uFx~n the Proper~} to make repa~n. !f Lender reyuired martgage in~urance as a
cond?tion ot making ~he lo:~n ~ecure~i by thi~ Mun~age, B~,rruwer shaU pay the premiwns ~equired to maintain such -
~nsurance in rf(ect until ~uch ume ati thc reyuiremen~ f~~r ~uch msuranre term~nates in :~ccordance with Borruwer's anJ
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