HomeMy WebLinkAbout0171 UNIFORM COVBNA!lTS, Bomower and Leoder covenant and agra ss follow::
1. l~a~e~t ot tdaclp~i u~l l~tenN. Borrower ahall p~omptlY paY when due the principal o[ and interat on the
iadebtedne~t evidencad by the Note, prcpayment and late char~es as provided in the Note. and t~e principal of and intercu
on any Futuro Advances secuce~d by this Mortaa~e.
2. Fwsd~ tor T~tsM saa iwra~ce. Subject to applicabk law or to a written waiver by I.ender, $orrower shall pay
to I.ende~ on Ihe day monthly iostdlmenb c+f principal and i~terest are payable u~der the Note. until the Note is paid in [ull.
s sum (hercin '•Fundt'7 equal to onc-twelfth of the yearly taxos and asseisments whkh may attain priority over tha
Mort~age. and ground nats oa tl~e pmperry. if any, plus one-tweltth of yeariy premium installmenb for hazard insuraaoe.
plus ono-twelfth of yearly premium inuallments for mort~age in:ur~nce, if aay, sll as reaaonably estimxted initiaily and from •
time to time by Lender oa tbe basa of asses.unents and bilis and ressonabk atima~ea theroof.
'11~e Ftinds sball be beld in an inatitution the depoaits or accounts of wbich are insuted or guarAnteed by a Feden! or
state agency (including Leader if Lender is such an imtitution). I.ende~ ahall apply the ~nds w pxy said taua, assessmeAta,
iaturanoe p~emiums aad ground rents. Lender may not char~e (or so holdinj and applyina the Fuads. analyziag said account,
or verifying and compling aaid asaessments and bilb, unkss l.ender pays Borrower interest on the Funds aad applicable law
pernnits Lender to make such a charge. Bonower and Lender may agree in writing at the dme of execution of thia
Mortga~es that interest on the Funds sbail bc paid to Borrower~ and unlas such agrament a made or applicabb law
requircs such interat to be paid~ Lender shall nM be roquirid to pay Borrower aoy interat or eamiogs on the Funds. Lender }
shaQ give to Borrower. without charge, an annual acoounting of tMe Funds showi~g ccedits and debits to the Funds aod the
' purpose for which eac6 debit to the Funds was made. The Funds are pledged as additional security for the sums secured
by this Motiga~e. ~
If the amount of thc Fuads held by Lender. together with the future monthly installmenis of Funds payabk prior to
the due data of taues~ asseuments. insurance premiums and ground renta, shall exce~d the amount roquircd to psy aaid taxa,
aase~nents. iasurance premiwnc aad ground reocs as they fall due. such excess shall be, at Borrower's option. either
pranpUy rcpaid to Borrower or crodited to Borrower on monthly instaiiments of Funds. lf tbe amount of the Funds
hdd by Lender shall not be sul6cieat to pay taxes, assessments. insurance pnmiums and goound rents as they fall due.
Borrower shall pay to Lender aay amount nocessary to make up t6e deficiency within 30 day~a from the date notice is mailod
by I.ender to Borrower requestiag payment thereof.
Upon paymeni ia fuA of all ~uana securod by this Mortgage, Lender ahall promptly refund to Borrower any Funds
held by-L.ender.- If under pusgraph 18 hereof the Propeny is sold or the Property is otherwise acquircd by Lender. Lender
shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
I.ender at the time of application at a crcdit against the sums secured by this Mortgage. •
3. Appikatloa oE Pqmeob. Unless applicabk Isw provida otherwise. all payrnents received by Lender under the ~
Note and paragraphs 1 and 2 herrof shall be applied by Lender ~first in payment of amounts payable to Lender by Borrower
under pangraph 2 he~+eof, then to interest payable on the Note, then to the principal of the Note. and then to. interest ana
principal on any Future Advanoq. .
4. C6ar~e~ Lieas. Borrower shall pay sll taxes, assessments and other charges, 8nes and impositions atlributable to
the Property which may attain a priority over this Mortgage. and kasehold payments or ground renta. if aay. in the mann~r
provided under paragraph 2 hereof or. if not paid in such manner, by Borrower making payment, when due. directly W tbe
payee thereof. . Borrower ahall prompUy furnish to Lender all notias of amouuts due under this paragraph, and in the event ~ ~
Bormwer shall malce paymeat dirxtly. Borrower shall promptly furnish to Lender roceipts evidehcing such payments.
Borrower shall promptly discbarg~ any lien which has priority over this Mortgage; pmvided, that Borrower shall not be
rcquired to discharge any such lien so long at Borrower shall agra in writing to the payment Af the' obligation secured 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 ia,
legal proceedings which ope~ate to preveat the enforcemeat of the lien or fodeitun of the Property or any part thereof.
S. Aarard Ina~nace. Borrower shall kcep the improvements now existing or hereafter erected an the Property insured
against loss by fire, hazazds included within the term "extended coverage", and such other hazards as i.ender may ttquire
and in such amounta and for auch periods as Lender may reyuire; provided. that I.ender shall not require that the amount of
such rnver~ge eacced ti~at amount of coverage requircd to pay the sums secured by this Mortgage.
The insuraixx canier providing the insurance shall be chosen by Borrower aubject to approval by Lender, providod,
that such approval sball not be unreasonably withheld. All premiums on insarance policie,t shdl be paid in the manner
! provided under puagraph 2 hereof or, if not paid in such manner. by Borrower makipg payment, when due. dircctly to the .
j ~;u. -
j All insurance policies and renewals thereof shall be in form acceptable to Lender and shaq include a standard mortgage
~ clause in favor of and in form uoeptable to Lender. Lender shall have the right to hold the policits and renewals thereof. ~
~ and Borrower shall promptly furnish to Lender all renewal notices and all reaipts of paid preruiums. In the .eveat of loss,
Borrower shal! give prompi notice to the insurance catrier and L.ender. Lender may make proof of loas if not made promptly
i by Borrower. . ~
~ Unle~ Lender aad Borrower otherwise agrce in writing. insurance procceds shall be applied to restoration or'repair of
~ the Propeny damaged. provid~d such restoration or repair is economically feasible and the security of this Mortgage is
not tbereby impaired. If such restoration or repair u not economically feasible or if the security of this Mortgage would
~ be impaired, the insuranct procoods shall be applied to the sums secured by this Mortgage. with the excess, if any. paid
€ to Borrower. If the Property is abandoned by Borrower. or if Borrower fails to respond to Lender wit6in 30 days from the
date aotice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance becefits. Le~der
is authoriud to collect and apply the insurance praxeds at Ixnder's option eit6er to ratoration or repair of tbe Pmperty
or to the sums secured by this Mortgage.
Unlas L.ender and Borrower otherwise agree in writing. any such application of proceeds to principal shall not extend
or poatpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
suc6 installments. If under ~aragraph 18 heroof the Property~is acquired by Lender. all right. tide and interest of Borrower
in aod to any insuraoce policies and in and to the procoeds t6ereof resulting from damage to t6e Property prior to the sale
~ or acquisition shall pasc to Lender to the extent of the sums secured by this Mortgage immediately prior to such sak or
~ acquiaition. .
6. Preiervatbn and Maintenance of Property; Lea~ehold~ Coadomioium~ Plsnned Unit Devebpmeots. Borrower
~ shall keep the Property in good repair and shaU aot commit waste or permit impairment or deterioration of the Property
~ and shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a ~
~ condominium or a planced unit development, Barrower shall perform all of Borrower's obiigations under the doclaration ~
t or coveaants creating or governing the condominium or planned unit development, the by-laws and regulations of the
~ condominium or planood unit developinent. and constituent documents. 1f a condominium or planned unit development
~ rider is executed by Borcower and rccorded togcther with this Mortgage, the coveuants and agrcements of such rider
~ sha11 be incorporated into and sball amend and supplement the covenants and agreementa of this Mortgage as if the rider
~ were a part heroof.
~ 7. Protectbo of Leoder's Secnrity. If Borrower fails to per[orm the covenants and agrcemenu containod in this
~ Mortgage, or if any action or proceeding is commenced which materially affcets Lender's interest in the Property,
including. but not limited to. eminent domain, insolvency. code enforcement, or arrangementa or proccedings involving a
banlcrupt or decedent, then Lender at Lender's option, upon notice to Borrower. may make such appearances, disburse such
~ sums and take such action as i~ necessary to protect L.ender a interest, including, but not limited to. disbunement of
~ reasonabk attorney's tees and entry upon the Propeny to make repairs. If Lender roquired mortgage insurance as a
u condition of making the loan secured by this Mortgage, $orrower :hall pay the premiums requirod to maintain such
~ insurance in effoct until such time as the requirement for such insurance terminata in aceordance with Borrower's and
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