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HomeMy WebLinkAbout0373 F3or~ower and I.ender covenant a~d agree ae followa: 1. Payme~t ot Principal and lntereet. Born~wer ahall promptly puy when due the principal of and interest on the indrbiednrns evidenced by tfie Note, p~epayment and late chargee ua provided in the Nute, and the principal of and intereat on nny Futurn Advancea secured by this Mortgage. 2. Fltnds for Tazee and Ineurance. Subject to applicable law or to a written wxive~ by I.ender, Fiorruwer shall pay tu I.ender o~ the duy monthly•i~atallmenta af principal and iatereet are payuble under the Nute, until Ihe Note ia paid in full, a sum (hrrein "Funde"? equul to o~e~ tweltth of the yearly taxea nnd asseaaments which mey uttain priority over thia Mortgage, and ground renta on the I'roperty, if any, plua one twelfth of yearly premium inatallmeota for hazard inaurnnce, plus on~twelfth ufyearly premium inslullments for mortRuge ineurance, if any, . all ae reasonably eetimateA initially and from time to time by l.ender on the btisie of nsaessments and billa t~nd reusonable eatimates thereof. Ti~e Fl~nda ehall be held in an inetitution the depoaita or accounCe of which are inaured or guaranteed by a Federal or State agency lincluding l.ender if I.ender ia auch an institution). l.ender shal! apply the Funde to pay said taxee, aasesamenta, ineurunce premiums and ground rents. I.ender may not charge for eo holding pnd applying the F~qda, analyzing eaid accwunt, or verifying and compiling aaid asseasmenta and bille, unleas l.ender paya Borrower intereet on the Funda and applicable law permita l.ender to make euch a charge. f3orrower and I.ender may agree in writing at the time of execution of thie Morigage that intemst o~ the F~nda ahall be paid to Borrower, and unleas such agreement is made or applicable law requirea such interest to be paid, l.ender shaU not be required to pay Borrower any interest or earninge on the F~nda. l.ender shaD give to Borrower, without charge, an annual accounting of the Funde ahowing credits and debita to the Funde and the purpoae for which.each debit to the Funda wua made. The Funda are pledged as additional security for the aums aecured by thie Mortgage. ~ If the amount of the F~nda held by l.ender, together with the future monthly inetallmente of Funda payable prior to theduedatea o[taxee, assesamente, inaurance premiuma and ground rents, shali excred the amount required to pay eaid taxea, asseesmente, inaurance premiums . and ground rents as they fall due, euch exceea shall be, at Bo~rower's option, either prompdy repaid to Borrower or credited to Borrower on monthly installmente of ~nda. If the amount of the Funda held by Lender ahall not be eufficient to pay taxea, aeseesmenta, inaurance premiume and ground renta aa t1~ey fall due, Borrower shail pay to Lender any amount neceseary to make up the deficiency within 30 days from the date notice ia mailed by I.ender to Borrower requeatinq payment thereof. Upon payment in full of all eume eecured by this Mortgage, Lender ehall promptly refund to Borrower any funda held by Lender. If under paragraph 18 hereof the Property ie aold or the Property is otherwise acquired by Lender, Gender ahall apply, no Iater than immediately prior to the sale of the Property or its acquisition by l.ender, any Fl?nds held by [.ender at the time of application as a credit againat the snme aecured by thia Morigage. 3. Application of Paymenta. Unlesa applicable law providea otherwiee, all payments received by Lender under the Note and pnragraphs 1 and 2 hereof shall be applied by I~ender firxt in payment of amounts payabie to Lender by Borrower under paragraph 2 hereof, then to intrreat payable on the Note, then to the principal of the Note, and then to intereat and principal on any Futum Advancea. 4. Charges; Liena. Borrower xhall pay al! taxes, assessment~+ and other charKea, fines nnd impositions attributable to the Yroperty v?hich may attain a priority o~•er this Mortgage, and leasehold payments or gn~und renta, if any, in the manner provided under p~ragraph 2 hereof or, if not paid in such manner, by fiurrower mnking payment, when due, directly to lhe pzyee thermf. E3orrower shall promptly furnish to I.ender all notices of amounts due under this paragraph, and in the event Borrower shali make payment directly, Borrower shall prumpdy furnish to (.ender receipts evidencing such payments. l;orrower shall promptly dischargr any lien which hus priority over this Mortg~ge; pnn•ided, that F3urrower shall not be required to discharge any such lien so long as Borrower shali aqree in writing to the payment of the obligation secured by ,uch lien in a manner acceptable to [.ender, or shali in good faith contest such lien by, ordefend enforcement of such lien in, legal procecdings w•hich operate to Rrevent the enforcement of the lien or forfeiture of the Properiy or any part thercr~L 5. Hazard Ineurance. Borrower shall keep the impmvementa now existing or hereafter erected on the Froperty insured against loss by fire, hazarda included wilhin the term "extended coverage," and euch other hazards as I.ender may require and in auch amounts and Cor such periods ae Lender may require; provided, that Lender ahall not require such coverage amount exceeding the minimum, as may be required by state or federal regulationa governing activitiee of I.ender, or that amount of coverage required to pay the sums secured by this Mortgage, whichever is the greater. The insurance carrier providing the insurance shalf he chosen by Borrower subject tr~ approval by I.ender, pruvided, that such approval ~ ~hall not be unreasonably withheld. All premiums on insur:?nce pnlicies shall be paid in the manner pmvided under paraKraph 2 hereof or, if ; n~rt paid in such manner, by ~rrow•er making payment, w~hen due, directly to the insurance carrier. ~ All inaurance policies and renewala thereof shall be in fortn acceptable to l.ender and shall include a standard mortgageclause in favor of E a nd in form acceptable to Lender. Lender ahali have the right to hold the policiea and renewals thereof, and Borirower shall promptly furniah to { ~.ender all mnewal notices and all teceipts of paid premiums. In the event of loss, Borruwer shall give prompt notice to the insurance carrier ~ and Lender. [.ender may mpke proof of loss if not made promptly by Borrower. - ~ Unleas Lender and Eiorrower otherwiee agree in writing, insurance proceeds shall be applied to rnstoration or repair of the Property ~ damaged, provided such restoration or repair ia economically feasible and the aecurity of this Mortgage ia not thereby impaired. If such ~ restoration or repair is not economicaUy feasible or if the security of th:s Mortgage wouldbe impaired, the inaurance proceeda shall be applied ~ to the aums secured by this Mortgage, with the eaceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if [3orrower fails to ~ respond to Lender within 30 days from the date notice ia mailed by Lender to Borrower that the inaurance carrier ott'era to settle a claim for ; inaurance benefita, Lender ie authorized to collect and apply the insurance proceeds at I.ender a option either to restoration or repair of the ~ Property or the suma secured by this Mortgag,e. Unless Lender and Borrower otherwise agree in vrriting, any auch application of proceeda to principal ahall not extend or poatpone thedue ` date of the monthly inatallmente referred to in paraqrapha 1 and 2 hereof or change the amount of auch instalimente. If under paragrsph 18 ~ hereof the Property ia acquired by [.ender, all right, title and interest of Borrower in and to any insurance policiea and in and to the proceeds ~ thereof reaulting ftom damage to Property prior to the sale or acquiaition ahalt pase to Lender to the extent of the suma secured by this ~ titortgage immediately prior to auch sale or acquiaition. ~ 6. Preeervatiori and Maintenence of Property; I.easeholds; Condominume; Planned Unit Developmente. Borrower ahall keep ~ the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall comply with the ~ proviaiona of any lease if thie Mortgage is on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development, L; E3orrower ehall perform all of E3orrower e obligations under the declaration or covenanta creatingor goveming the condominium or planned unit development, the by-laws 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 re¢orded together with thia Mortgage, the covenanta and _ aRreementz: of such rider ahall be incorporated into and shall amend nnd supplement the covenanta and aqreementa of this Mort{;age as if the rider were a part hereof. 7. Protection of I.ender's 3ecurity. If Borrower fails to perform the oovenante and agreemente oontained in thie Mortgage, or if any = action or proceeding is commenced ~vhich materially aftect8 Lender'e interest in the Property, including, but not limited to, eminent domain, a insolvency, oode enforcement, or arrangemenf$ or proceedinge involving a bankrupt or decedent, then [.ender at Lender's option,upon _ notice to Borrower may make such appearances, diaburee such aume and take auch action as ie neceasary to protect Lender'e interest, ~ = including, but not limited to, diabureement of reasonable attomey'e feee and entry upon the Property to make repairs, If Lender required ' mortgage inearance ae a condition of making the loan aecured by this Mortgege, Borrc,wer ehall pay the premiums required to maintain ~ auch inaurance in effect until euch time se the requ'vement for such ineurance terminatee in accordance with Borrowerb and Lender s written agreement or applicable Law. Borrower ehall pay the amount of all mortgage ineurance premiums in the manner provided under - paragraph 2 hereof. - My amounta diebureed by Lender pereuant to thie paragtaph 7, with interest thereon, ehall bec.~ome additional indebtedness of Borrower secured by thia Mortgage_ Unleaa Borrower and Lender agree to other terme of payment, such amounta ehall be payable upon _ aotice from Lender to Borrower requeeting payment thereof, and ehall bear intereet from the date of dieburaement at the rate payable from = time to time on outetanding principal under the Note unlees payment of intereat at auch rate would be contrary to applicable lew, in which = event euch amounts ahall bear intereet at the highest rate permieeible under applicable law. Nothing contained in thie paragiaph ahall require Lender to incur any eapenae or take any action hereunder. • ~ ~ 0 ~ go~K297 0.,~~ 37~ ~ _ _ _ . ~ . - ~