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HomeMy WebLinkAbout0377 Aorrowe~ and l.ender covenant and agrre as fullowa: . 1. Payment ot Pri~cipal and lntereet. Borrower shall pn,mptly pay when due the principal uf and intereat on the indrbtrdnrue evidenced by the Note, prepayment and late chargea na provided in the Note, and the principal of and i~tereat un any F~ture Advancee aecured by this Moctgage. 2: ~tnds for Taxee and Ineurance. Subject to applicuble luw or to a writ/en waive~ by I.ender, Horn,wer eht~ll pt~y to l.ender un the day monthly inetallmrnta of principal and intereat are payable under the Note, uotil the Nole ia paid in full, n eum (herein "F unde") equii) to o~e~ twelRh of the yearly tnxea and uaecaementa which may attaio priarity over thia Mortgage, and ground renteti un the Piroperty, if any, plus one twelRh of yearly premium inat~llments [or hazard iru~u~unce, plua onelwelRh of yearly premium instullmenta for moirtgt+ge insurance, if any, all ns reasonably eatimated initielly and from time to time by I.enJer on the bnaie of asac~?menta und billa und reusonuble estimaten thereof. The Funde shall be held in a~ inatitution the deposits or accounta of which are ineured or quaranteed by a I~ede~al or State agency (including [.ender if I.ender is auch an inetitution). I.ender ehall appty the Funds to pay said taxea, asaesaments, inaurance premiuma and ground renfe_ I.e~der may not charge for eo holding and applying the Funds, analyzing eaid account, or verifying and compiling said asaeeamente and bills, unless l.ende~ paya Borrower intereet on the Funda and applicable law permite [.e~drr to make euch a charge. E3orrower and Gender may agree in writing at lhe time ot execution of thie Mortguge that intereet on the Funda ahall be paid to l3orrowei, and unlesa euch agreement is made or applicable law requires auch interest to be paid, l.ender ahall not be required to pay E3orrower any intereat or earninga on the Fl~nds. Lender ahall give to Borrower, without charge, en annual accounting of the H unda ahowing credita and debite to the Funda and the purpoee for which each debit to the Funda was made. The F~nda are pledged as udditional security fortheauma secured by this Mortgage. If the amount of the Funds held by l.ender, together with the future monthly inatalimenta of Funda payable prior to the duedatee of tauea, asaesamenta'inaurance premiuma and ground rents, ahali excaed the amount required to pay said taxee, asaesaments, insurance premiuma and ground rente as they fall due, auch e:oeae ahall be, at Borrower's option, either peompdy repaid to E3orrower or credited to Borrower on monthly installments of ~nde. If the amount of the Funds held by I~ender ehall not be eufficient to pay taxee, aseeasments, inaurance premiums and ground rents ae they fall due, Borrower shall pay to I.ender any amount necessary to muke up the defiriency within 30 days from the date notice is mailed by Lender to E3orrawer requesting puyment thereoL Upon payment in fuU of all suma secured by this Mortgage, Lender shall promptly refund to Borrower any funde held by Lender. If under paragraph 18 hereof the Property ia eold or the Property is otherv?~se acquired by I.ender, I~ender shall apply, no later than immediately prior to the eale of the Property or its acquisition by I.ender, any ~Lnde held by l.ender at the time of application as a credit againat the sums aecured by this Mortgage. 3. Application of Paymente. Unlesa applicabie law pro~7des otherwise, all payments received by l.ender under the Note and paragrapha 1 and 2 hereof ahali be applied by i.ender fimt in payment of amounte payable to I.ender by E3urrow•er under paragraph `l hereof, then to interest payable on the Note, then to the principal of the Note, and then to intereat and principt?1 on any Future Advancea. 4. Chargrs; Liena. Kormwer shall pay aill t~xes, asses.vments and otherchnrges, fines ~nd impositions attributable W the Hroperty which may attain a priority over this htortKnKe, t?nd leasehold pxymen~R or Kround rents, if any, in the m~inner providecf under paragraph'l hereof or, if not paid in such manner, by I30ROwer making puyment, when due, directly to the payee thereoL Borrov?ershull promptly furnishto I.ender all notices of amounta due under this paragraph, and in the event Borrow•er shall make p~yment directly,l3ormwer shaU promptly furniah to I.ender receipts e~•idencing such payments. F3orrower shall promptly discharge nny lien K•hich has priority over this Mortguge; provided, that Borrower shall not be reyuired to discharge any such lien ao long as t3orrower shall altree in writing to the p~~yment of the obliKation scrured by such lien in a manner acceptable to I.ender, or shall in good faith contest such lien by, or defend enforcement of such lien ~n, legai proceedings which operate to pre~ ent the enfomement of the lien or forfeitum ot the Property or any part thereof. , Hazard Inaurance. Borrower ehall keep the improvements nuw existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage," and auch other hazards as Lender may require and in such amounts and tor such periods as I.ender may require; provided, that [.ender ahall not require auch coverage amount exceeding the minimum, as may be required by state or federal regulations governing activities of Lender, or that amount of coverage required to pay the euma secured by this Mortgage, whichever ia the greater. ~ The inaurance carrier providing the insuranm sh:~ll be chosen by Borrower subj~rt to ~pproval b~ I.ender; pmrided, that such appro~ al shail not be unreasonably withheld. AU premiums un insurance policies shall be paid in the manner provided under paraKr~ph `l hereof or, if ~ not paid in auch manner, by E3orroNer mukinQ payment, w•hen due, directly to the in~urance carrier. i ~ All inaurance policiea and rnnewata thereof ahall be in form acceptable to I.ender and ahall include a standard mortgage clause in favor of i and in form acceptable to Lender. l.ender shnli have the right to hold the policies and renewals thereof, and Borrowerahall promptly furnish to ~ i,ender all renewal notices and all receipts of paid pcemiums. In the event of loss, Born~wer shall give prompt notice to the insurance carrier ~ and Lender. I.ender may make proof of loss if not made promptly by Borrower. . I Unless Lender and Borrower otherwiae agree in writing, insurance proceede ahail be applied to reatoration or repair of the Property ~ damaged~ provided such restoration or repair is economically feasible and the security of this Mortgage ie not thereby impaired. If such ; reetoration or repair ie not economicalty feasib,le or if the security of this Mortgage would beimpaired, the ineurance proc~eeds shall beapplied to the auma eecured by this Mortgxge, with the excesa, if any, paid to Borrower_ If the Property ie abandoned by Borrower, or if Borrower faile to respond to Lender within 30 daya from the date notice is mailed by Lender to E3orrower that the insurance carrier offera to aetde a claim for insurance benefite, Lender ie authorized to collect and apply the ensurance 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 writing, any such npplication of proceeda to principal ahall not eatend or poatpone thedue date of the monthly inatallments referred to in paraqraphs 1 and 2 hereof or change the amount of auch inatallmenta. If under paragraph 18 hereof the Property ia acquired by I.ender, all right, title and interest of Borrower in and to any inaurance policies and in and to the proceeda thereof resulting from damage to Property prior to the sale or acquiaition ehall pass to Lender to the extent of the aums aecared by this . Mortqage immediately prior to such sele or aoquiaition. 6. Preeervalion and Maintenance of Property; Leaseholda; Condomiaume; Planned t3nit Developmente. Borrower shall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and shall comply with ihe ~ proviaiona of any lesee if this Mortgage is on a leasehold. If thia Mortgage ia on a unit in a rnndominium or a planned unit development, Borrower ahal) perform all of Borrower's obligations under the declaration or covenanta creatinKor governing the condominium or planned ~ unit development, the by-lawe and regulations of the condominium or planned unit development, and conatituent documents. If a ~ condominium or planned unit development rider ia executed by Borrower and recorded together with thia biortgage, the oovenants and agreements of auch rider ahall be incurporated into and shall amend and aupplement the covenants and agreementa of this Mortgage as if the e rider were a part hereof. w _ 7_ Protection of I.ender's Security. If Borrower faile to perform the oovenante and agreements oontained in thie Mortgage, or if any ~ action or proceeding ie commenced which materially affecte Lender e intereet in the Property, including, but not limited to, eminent domain, ~ insolvency, oode entorcement, or arrangemente or proceedinga involving a bankrupt or decedent, then Lender at I.ender'e option,upon notice to Rorrower may make auch appearances, dieburee euch eume and take euch action aa is neceasary to protect Lender'e intereat, including, but not limited to, disbureement of reasonable attomey'e feee and entry upon the Property to make repaire. If Lend~r required mortgage ineurance ae a rnndition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain sach ineurance in effect until euch time as the requirement for Auch ineurance terminates in accordance with Borrower'a and I.endei e ~ written egreement or applicable Law. Borrnwer ehaU pay the amount of all mortgage ineurance premiume in the manner provided under paragraph 2 hereof. - My amounte dieburaed by I.ender persuant to thie paragraph 7, with intereet thereon, ahall become additional indebtedneaa of Borrower secured by this Mortgage. Unleee Borrower and Lender agree to other terms of payment, euch amounte eha11 be payable upon notice from Lender to Borrower requeeting payment thereof, and shall bear ir.tereat from the date of diabureement at the rate payable from time to time on outetanding principal under the Note unlesa payment ot intereet at euch rate would be oontrary to appGcable law, in which I ~ event euch amounte ahall bear interest at the higheet rate permiasible under applicable law. Nothing rnntained in this paragraph 7, shaU ~ j require L.ender to incur any ex{,enae or take any action hernunder. ~ ~ ~ ~ 8~~~~~7~ ~A~E 377 ~ ~ S~ , . . ~ . . " - . . . _