Loading...
HomeMy WebLinkAbout0354 f3orrower and l.ende~ covenant and agree us foUuwe: 1. Payment of Principal snd Intereet. Fiorrower ehall promptly pay vehen due the principal of and interest on the indebtadne,se evidenced by the Note, prepayment and late chargee aa pruvided io the Note, and the principal of and intemet on a~y Mliturn Advuncea securnd by this Mortgage. 2. ~tnde for TeYes and l~surance. Subject to applicAble luw or to a vvrilten wuive~ by t.ender, liorwwer ahall puy to I.ender on the day monthly inatallments o[ principal and intereat are payable under the Nute, until the Note ia paid i~ full, a aum lherrin "Funda"1 equal to one twelflh of the yearly texes and assesamenta which may attxin priority over this Mortguge, and ground renta un the Prciperty, if any, plua one t~+relRh of yeArly premium inatallmenta for huzard inaurance, plua unetwelfth of yearly premium inetal?menta fo~ mortgnge insurunce, if t?ny, all ea m~sonably eatimated initially and from time to time by l.ender on the b~xis of asaeaxmentx ~nd billa nnd ~euxunuble estimateg thereot. The FLnds shall be held in an institution the deposits or accounta ot which are ineured or guaranteed by a Federal or State ageney lincluding Lender ii I.ender ie auch an inetitution). I.ender ahall apply the Funds to pay eaid taxee, aasesaments, insurance premiums and ground rente. l.ender may not charge for eo holding a~d applying the F'unda, analyzing eaid account, or verifying and compiling suid aeseeamenta and bills, unlesa I.ender paya Borrower intereat on the Funds and applicable law permits I.ender to make auch a charge. l3orrower and Lender may agree in writing at the time of execution of thie Mortgage that intereet on the Funda ehall be paid to E3orrower, and unleas auch agrcemeot ie made or applicable law requiree such intereat to be paid. I.ender ehall not be required to pay E;orrower any intereat or eamings on the ~tnde. l.ender ahall give to ~iorrower, without charge, an annual accountinq of the Funds showing credita and debits to the Funda and the purpoee for which e~ch debit to the Fti?nda wae made. The Funds are pledged as additional security for the euma secured by this Mortgagc. If the amount of the ~nda held by l.ender, together with the future monthly inatallmenta of Funds payable prior to the duedatea oitaxes, aeseaamenta, inaurance premiume and ground renta, ahall e:cted the amount required to pay said taxea, aasesamenta, ineura~ce premiuma and ground rente as they fall due, auch e:ceae shall be, at Borrower s option, either prompdy repaid to Borrower or credited to Borrower on monthly installmenta of Funda. If the amount of the Funda held by Lender ehall not be aufficient to pay taxes, asseBamenta, inaurance pre~niums and ground rente as they fall due, Borroveer ehall pay to Lendet any amount necesaary to make up the deficiensy within 30 daye from the date notice ie mailed by [.ender to Borrower requeating payment thereot. Upon payment in full of all sume eecured by this Mortgage, I.ender aha11 promptly refund to Eiorrower any [unda held by l.ender. If under paragraph 18 hereof the Properiy is sold or the Property ie otherwiee acquired by l.ender, I.ender ahall apply, no later than immediately prior to the sale of the Property or ita acquieition by I.ender, any F~nda held by Lender at the time of application aa a credit againat the eums secured by thia Mortgage. 3. Application of Paymente. Unleas appiicable law providea otherwise, all paymente received by Lender under the Note and paragraphe 1 and 2 hereof shpll be applied by [.euder firat in payment of amounts payable to l.ender by Borrower under paragraph 2 hereof, then to intereat payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advancea. d. Chargea; Liena. Fiorrower shall p~y all taxrs, assessmenLg and other rhlrges, fines nnd impositions attributable to the Property which may attain A priority o~•er thia tNortgage, and lexaehold pxyments or gn>und rents, if any, in the manner provided under pazngtaph 2 hereof or, if not p~id in sqch manner, by Borrower makinR payment, v? hen due, directly to the payee thereof. Borrovrer ehall promptly furnish to I.ender all notices of amounta due under this paraQraph, and in the event I3orrov?er shall make payment directly, Rorrower shuli pmmptly furnish to Lender receipts evidencinq such payments. E3onower sht~ll promptly discharKe any lien which hab priority ovet this Mortgage; provided, that Borrower shall not be required to diach~rge any surh lien ao IonR as Borrower ahaU agne in writing tathe,paymeAt~f theobligation secured by such lien in a manner acceptable to Ixnder, or shall in gaxl f~ith contest such lien by, or defend enforcementofcucl~6en in. legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Propert~~ or any part thereof. 5. Hazard Insurance. Borrower ahall keep the improvementa now existing or hereafter etected on the Property inaured against loss by fire, hazards included within the term "e:tended rnvert~e," and auch other hazards as Lender may require and in auch amounta and forsuch perioda as [.ender may require; provided, that [.ender shall not require such coverage amount exceeding the minimum, as may be required by atate or federal regulationa governing activitiea of Lender, or that amount of coverage required to pay the aums eecured by thia Mortgage, whichever is the greater. The insurance carrier providing the insurance shnll be chosen by Rorrower subject to approval by l.ender, pmvided, that such approval shall not be unreasonably writhheld. All premiums on insurunrn policies sha11 be paid in the manner prc,cided under paraKraph 2 hereof or, if not paid in such manner, by E3orrower makinK p~iyment, when due, directly to the insuranm carrier_ ' All insurance policies and renewala thereof shall be in form acceptable to I.ender and ahall include a atandard mortgageclause in favor of and in form acceptable to Ixnder_ L,ender shall have the right to hold the policies and renew ala thereof, and Borrower shall promptly furnish to ! i,ender all renewal notices and all receipte of paid prnmiuma. In the event of loss, E3ornuwer ehall give prompt notice co the insurance carrier f and Lender. Lender may make proof of loes if not made promptly by Borrower_ Unlesa Lender and Borrower otherwise agree in writing, ineurance proceeds shall be applied to restoration or repair of the Property damaged, provided auch restoration or repair is economically feasible and the security of this Mortgage ia not thereby impaired. If such reatoration or rnpair is not economicaUy feasible or if the security of lhie Mortgage would be impaired, the insurance proceeda shall be applied to the aums aecured by this Mortgage, with the excesa, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower faila to respond to [.ender within 30 daya from the date notice ie mailed by Lender to Borrower that the insurance carrier of'Fers to aettle a claim for insurance benefita, Lender is authorized to coilect and apply the insurance proceeda at Lender'a option either to restoration or repair of the Property or the suma secured by this Mortgage. Unlesa Lender and Borrower otherwise agree in vrriting, any such application of proceeda to principal shall not extend or postpone the due ~ date of the monthly inatallmente referred to in paragraphs 1 and 2 hereo[ or change the amount of euch inetallments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in and to any insurance policiea and in and to the prceeeds thereof reauliing from damage to Property prior to the sale or acquisition shall pasa to Lender to the extent of the aums secured by this Mortgage immediately prior to such esle or acquiaition. 6. Preservation and Maintenance of Property; Leaseholds; Condominuma; Planned Unit Developments. Borrowerahall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and shall comply with the pmviaione of any Ieaee if this Mortgage ia on a leasehold. If this Mortgage is on s unit in a condominium or a planned unit development, Borrower ehall perform all of Borrower's obligationa under the declaration or covenants creatingor governing the condominium or planned ~ unit development, the by-lawa and regulationa of the condominium or planned unit development, and conatituent documenta. If a condominium or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the oovenants and ~ aqreementa of such rider shall be incorporated into and ahall amend and supplement thecovenants and agreementsof this MortAage as if the ~ rider were a part hereof. ~ 7. Protection of Lender'e 3ecurity. If Borrower faila to perform the oovenante and agreemente contained in this Mortgage, or if any ~ aMion or proceeding is commenced which materielly affecte I.ender's interest in the Property, including, butnot limited to, eminent domain. ? insolvency, oode enforcement, or arrangemente or proceedinga involving a bankrupt or decedent, then Lender at Lender e option,upon " notice to Borrower may make euch eppearancee, dieburse auch sume and take such action as is neceasary to pmtect Lender's inLereat, ~ including, but not limited to, dialsureement of reseonable attorney'e fees and entry upon the Property to make repairs. If Lender required ~ mortgage inaurance aa a rnndition of making the loan eecured by thie Mortgage, Borrower ahall pay the premiume required to maintain auch ineurance in eHect until euch time sa the requirement for euch ineurance t,em~inatee in accordance with Borrower'e and Lender s ~ written agLeement or applicable Law. Borrower ehaU pay the amount of all mortgage insurance premiume in the manner provided under ~ paragraph 2 hereof. ~ My amounte diabureed by Lender persuant to thia paragraph with intereat thereon, ehall become additional indebtedneas of ~ Borrower eecured by thie Mortgage. Unlese Borrower and Lender agree to other terma of payment, euch amounte ehall be payable upon notice from Lender to Borrower requesting payment thereof, and ehall bear intereet from the date of diHbureement at the rate payable from - time to time on outetanding principal under the Note unlese payment of interest at auch rate would 5e contrary to appliceble law, in which event such amounta ehall bear interest at the highest rate permiasible under applicable law. Nothing contained in thie paragraph 7, ahall require Lender W incur any expenee or take any action hereundei. . goGK 297 Pr.~ 3~ ~ ~ 3 ?v^a ? ~ . _ I : b , _ ~ . ~ . . `~'.A;. ~ . . .