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HomeMy WebLinkAbout0337 E3orrower a~d lrnder covenant, and agree us fulluws: 1. Paytaent of Principal and l~tereet. Eiorrower ehell promptly pay when due the principal of and inte~eat on the indebtednrxs evidenced by the Note, prepayment and late chargee aa pruvided in the Note, end the pri~cipul of and intereat on any Futurn Advancea secured by this Mortgage. ~ 2. Fltnda !or Taxea and Ineurance. Subject to upplicable law o~ fn a writtrn waiver by Ixnde~,l3orrower shall pay to l.rnder un the day monthly installmente of principal and intereat are payable unde~ the Note, until the Nute ia paid in full, a aum (herein "N unds") equnl lo one twelfth of the yeerly taxen and «seeaeme~ta which may attain priurity over thie Mortga~ce, and ~und ~enta on the f'roperty, if any, plue one~ twelfth of yearly prnmium installments for hatard inaurance, plus o~etwelfth atyearly premium inetullmeots for mortguge inaurance, if any, all e+e reaaonably eatimated initially and from time to time by l,ende~ on lhe basia of aaaeasmenta und bilis nnd reUSUnable eatimatea therevf. The ~nda ahall be held in an institution the depoxits or accounta o[ which are ineured or guaranteed by a Federal or State agency (including l.endrr i! l.ender is auch an inetitution). [.ender ahall apply the Funds to pay said taxea, assesamente, ineurance premiume and ground cente. I.ender may not charge for eo holding and applying the F~~de, analyzing eaid account, or verifying and compiting said aeaeaements and bille, unless l.ender paye Borroveer intereet on the ~nda and applicable lav? permita I.ender to make auch a charge. E3ormwer end L.e~der may agree in writing at the time of execution ot this Mortgage that intereat on the Ftinds ehall be paid to E3orn,wer, and unleas •uch agreement ie made or applicable Iaw requirea euch intereat to be paid, I.ender ahall not be required to pay Borrower any interest or earninge on the ~Lnds. Lender ehall give to ~3orrowe~, without charge, an annual accounting of the Funda showing cnrfite and debite to the Funds and the purpoee for wh~ch each debit w the Funda was made. The F unda are pledged se additional security for the sume aecured by this Mortgage. If the amount of the Ftinde held by Lender, together with the future monthly inatallmente of Funda puyable prior to the due dates of taxea, asaesamenta, inaurance premiums and ground rente, shall exczed the amount required to pay said taxee, asaexaments, insurance premiume and ground rente as they tall due, euch eaceas shall be, at Bo~rower'e option, either promptly repuid to Borrower or credited to Borrower on - monthly installmente ot ~nde. It the ~amount of the Funda heid by Lender ahall not be aufficient to pay taxes, aaseasmenta, insurance premiume and ground renta aa they fall due, Borrower ahall pay to I.ender any amount necessary to make up the deficiency within 30 days from the date notice ie mailed by Lender to E3orrowe~ requesting payment thereof. Upon payment in full of all sums aecured by thie Mortgage, Lender ahall prompdy refund to Borrower any funda held by I~ender. If under paragraph 18 hereof the Property ie sold or the Properiy is otherwise acquired by l.ender, I.ender ehall appiy, no later than immediately prior to the sale of the Property or ite acquieition by I.ender, any Funds held by Lender at the time of application as a credit againat the suma secured by thie Mortgage. 3. Application ot Paymente. Unleae applicable Iaw providee utherwiae, all payments received by I.ender under the Note and paragraphs 1 and 2 hereof ahall be applied by Lender firet in payment of amounta payable to Lender hy Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and prinripal on any Future Advances. ~4. Chargee; Liene. E3orruwer ehall pay all taxes, :+ssessments and otherrharges, fines and impuaitions attributable to the E'roperty which may attain a priority over this Mortgage, und leasehold payments or ground renta, if any, in the manner provided under paragr:~ph'l hereof or, if not paid in such manner, by Iiorrower makinR payment, when due, directly to the pay ee thereof. Borruwer shaill promptly turnish to [.ender all notices of amounts due under this paragraph, and in the event Borrower shal) make payment directly, Borrower shall promplly furnish to [.ender receipts evidencinq such paymente. I3ortower shall promptly diacharge any lien which has priority over this Mortgage; provided, that BorroM er shall not be required to discharge s~ny such lien so long as E3orn?wer ahall agree in writing to the payment of theobligation secured by such lien in a manner acceptable to [.ender, or shnll in g«x~ fs~ith contest such lien by, or defend enforcement of such lien in, ley.al proceedings which operate to prevent the enfurcemeot ot the lien or forfeiture of th~ Property or any part thereof. 5. Hazerd Insurance. Borrower shall keep the improvementa now exiating or hereafter erected on the Property insured againat losa by fire, hazards included within the term "e:tended coverage," and euch other hazards as I.ender may require and in such amounts and for such periods as Lender may require; provided, that Lender shall not require such rnverage amount exceeding the minimum, aa may be required by statP or tederal regulations governing activitiea of l.ender, or that amount of coverage required to pay the auma secured by this Mortgage, whichever is the greater. . " The inaurance carrier providing the insurance shall be chosen by Borrower subject to approvt~l by I.ender; provided, that such approval shall not be unreasonably withheld. All premiums an insurance policies shall be paid in the manner provided under paragr~ph 2 hermf or, if ~ not paid in such manner, by Rorrower making payment, when due, directh• to the insurance carriec ~ All inaurance policies and renewala thereof shall be in form acceptabie to Lender and ahall include a atandard mortgage clause in favor of i and in form acoeptable to Lender. I.ender ehall have the right to hold the policiea and renewals thereof, and Borrower ahall promptly furnish to j i.ender all renewal notices and all receipta of paid prnmiuma. In the event of loss, Borrower ahall give pmmpt notice to the inaurance carrier f and.Lender. Lender may make proof of loss if not made prompdy by Borrower. ~ Unfese Lender and Borrower otherwiee agree in writing, inaurance proceeda ehall be applied to restoration or repair of the Property ; damaged. provided auch reatoration or mpair is economically feasible and the aecurity ot this Mortgage ia not thereby impaired. If such ; restoration or repair is not economically feasible or if the aecurity of this Mortgage would be impaired, the insurance proceeds shall be applied ! to the aums secured by thia Mortgage, with the excess, if any, paid to Borrower. If the Property is abandoned by Bonower, or if Borrower fails to i respond to Lender within 30 days from the date notice ia mailed by Lender to Borrower that the insurance carrier offers to aettle a claim for insurance benefite, Lender is authorized to collect and apply the ineurance proceede at Lender's option either to reatoration or repair of the ~ Property or the suma secured by this Mortgage_ ~ Unlesa Lender and Borrower otherwise agree in writing, any such application of proceede to principal shall not extend or postpone the due date of the monthly inatallmenta referred to in paragrapha 1 and 2 hereof or change the amount of auch inatallments. If under paragraph 18 ~ hereof the Property ie acquired by Lender, all right, title and interest of Borrower in and to any inaurance policies and in and to the proceeda thereof resulting ttom damage to Property prior to the sale or acqu~sition ahall pass to Lender to the extent of the suma secured by this Mortgage immedistely prior to euch eale or aoquisition. 6. Preservation and Maintenance of Property; Leaeeholds; Condominume; Planned Unit Developments. Borrower ahall keep the Property in good repair and aha11 not commit wuate or permit iropairment or deterioration of the Property and shall comply with the proviaions of any lease if this Mortgage is on a leaeehold. If thie Mortgage ia on a unit in a rnndominium or a planned unit development, ~ Borrower ehall perform all of Borrower'e obligatione under the declaration or covenanta creatinqor governing the condominium or planned unit development, the by-lawe and re~ulationa of the condominium or planned unit development, and constituent documents. If a ~ condominium or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the aovenants and ~ agreements of such rider ahall be incorporated into and shail amend and supplement thecovenants and agreementa ofthis Mortgageas ifthe ' rider were a part hereof. ~ 7. Protection of Lender's Security. If Borrower faile to perform the oovenante and agreementa rnntained in this Mortgage, or if eny " action or proceeding ia commenced which materialiy affects Lender a interest in the Property, including, but not limited to, eminent domain, insolvency. oode enforcement, or errangemente or proceedinga involving a bankrupt or decedent, then I.ender at Lender'a option,upon notice to Borrower may ma1~e euch appearances, dieburse such euma and take such action as ie neceesary to protect i.ender's interest, = including, but not limited to, diebursement of reaaonable attorney's fees and entry upon the ProperEy to make repaire.. If Lender required :3 mortgage ineurance ae a rnndition of malcing the loan eecured by this Mortgage, Borrower ahall pay the premiume required to maintain ench insurance in effect until euch time se the requirement for euch inaurance terminates in accordance with Borrowei e and Lender's written agreement or epplicable Law. Borrower ahall pay the amount of all mortgage inaurance premiuma in the manner provided under paregraph 2 hereof. ; ~ My amounte diebureed by Lender perauant to thie paragraph 7, with interest thereon, ehall beeome additional indebtedneae of Borrower secured by thie Mortgege. Unleas Borrower and Lender agree to other terma of payment, such amounts ehall be payable upon ~ notice from I.ender to Borrower requeeting payment thereof, and shall bear intereet from the date of diabureement at the rate payable from time to time on outstanding principal under the Note unleae payment of intereat at euch rate would be oontrary to applicable law, in which y~ event euch amounte ehall bear internet at the higheat rate permieeible under applicable law. Nothing contained in this paragraph 7, ehall ~ require Lender to incur any expense o~ take any action hereunder. r , ~ ~ . goGK 297 Pa~E 337 ~ . ~ ~ ~ - _ ~ V ~ ~~w~ ~ . . _ r ~s~