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HomeMy WebLinkAbout0179 Borrower and l,ender covenant and aQree ae foUowa: 1. Payment of Principal and Interest. ~orrowe~ shAll prompdy pay when due the principal of and interest on the indebtedneas evidenced by the Note, prepayment and late chargee as provided in the Note, and the principal o[ and intereal on any FLture Advances aecured by thia Mortgage. 2. P~nds for Tases and Ineurance. Subject to applicable IAw or to a written waiver by l.ender, ~3orrower ahall pay to Ixnder on the day monthly inaiallmenta of principal and interest are payable under the Note, until the Note ie paid in full, a sum (herein "F~~de") equal to one twelfth of the yearly taxes and asaesements which may attain priority over this Mortgage, and ground re~ts on the Proparty, if any, plue one- twelRh of yearly premium inatallments for hazard ineurance, ptua onetwelfth o[yearly premium inatalimenta for mortgage inaurance, if any, all se rnasonably eatimated i~itially and from time to tirr,e by l.ender on the baaia of aeaessments and biUa and reusonable eatimates thereof. The ~nds ahall be held in an institution the deposits or eccounte of which are insured or guarantee~d by a Federal or State agency (including Lender if l.ender ie euch an institution). I.ender ahall apply the ~nda to pay said taxes, aseeaamente, insurance premiume and ~ ground rents. Lender may not charge for eo holdit~g and applying the ~nds, analyzing said account, or verifying and compiling said aesessmenta snd bills, unleae Lende~ pays Borrower interest on ihe Fti?nda and applicable law permits L,ender to make such a charge. Borrower and I.ender may agree in writing at the time of execulion of thia Mortgage that intereet on the fl~nda ahall be paid to Borrower, and unlesa auch agreement ie made or applicable law requires such interest to be paid, t,ender ahall not be required to pey Borrower any i~terest or earnings on the HLnda. I.ender ahall give to Borrower, without charge. an annual accounting of the Funds showing credita and debita to the Fhnds and the purpose for which each debit to the Ftinda waa made. The Funds are pledged ae additional security for the s~:ms eecured by thia Mortgage. If the amount of the ~nda held by Lender, together ~+iRlsti~ fottlts iti~MiEhiy~ i~ietailmenta of Funda payable prior to the due datea of taxes, aseeasments, ineurance premiume and ground rente, ehall Pacezed the a~qq~1?aecitprad~.t~~ay eaid taaea, assesaments, inaurance premiuma and ground renta as they fall due. such e:cese shall be, at Borrowei s opt~Qn e~ er pmm~t~j+ repaid to.Borrower or crrdited to Borrower on monthly inatalimente of ELnda. If the amount of the F~~ie1d ~y`•I.e1S~er~ s~alC hot be sut'ficient to pay ta:es, asseaements, inaurance premiume and ground rents aa they fall due, Borrawer ehaU pay ~u LenderAhY amo~at n'~eeeary to make up the deficiency within 30 daye from the date notice ie mailed by I.ender to Borrower req~}eating paymant ihereof. Upon payment in full of all suma secured by thie Mortgage, Lender shall promptly refund to Borrower any funds held by I.ender. If under paragraph 18 hereof the Property ia eold br the Property ie otherwiee acquired by l.ender, Lender shali apply. no lster than immediately prior to the sale of the Property or ite aoquiaition by Lender, any ~nds held by Lender at the time of application as a credit against the auma secured by thie Mortgage. 3. Application of Paymeata. Unlesa applicable law pmvidea otherwise, all paymenta received by i.ender under the Note and paragrapha 1 and 2 hereof ehall be applied by I.ender fust in payment of amounts payable to I.ender by Borrower under paragraph 2 hereof. then to intereat payable on t~e Note, then to the principal of the Note, and then to interest and principal on any Future Advancea. 4. Chargee; Lieae. Borrower ahal) pay a11 taxea, assessments and othercharges, fines and impositiona attributable to the Property which may atlain a priority over thie Mortgage. and leasehold payments or ground renta, if any, in the manner provided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the payee thereof. Borrower ahall promptiy furnish to Lender all noticea of amounts due under this paragraph, and in the event Eiorrower shall make payment directly, Borrower shall promptly fumish to Lender receipts evidencing such paymenta. Borrower shall promptly discharge any lien which has priority over thia Mortgage; provided, that Borrower shail not be requircd to discharge any such lien so long as Born?wer shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to L.ender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard Inaurance. Borrower ahall keep the improvementa now existing or hereafter erected on the Property inaured againat tosa by fire, hazards included within the term "eztended coverage,° and auch other hazards as Lender may require and in such amounta and for such periods as Lender may require; provided, that Lender shall not require auch coverage amount exceeding the minimum, as may be required by state or federal rPgulatione governing activitiea of Lender, or that amount of coverage required to pay the sums aecured by this Mortgage, whichever ia the greater. The inaurance carrier providing the insurance shall be chosen by Borrower subject to.approval by l.ender, pmvided, that such approval shall not be unreasonably withheld. Al) premiums on insurance policies shall be paid in the manner pmvided under paragraph `L hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. All ineurance policiea and cenewala thereof shall be in form acceptable to Lender and ahall include a atandard mortgage ciause in favor of and in form aooeptable to Lender. L.ender shall have the right to hold the policies and renewale thereof, and Borrower ahali promptly fumiah to i.ender all renewal noticea and all receipts of paid premiums. In the event of losa, Bomower shall give pmmpt notice to the insurance carrier and I.ender. Lender may make proof of loss if not made prompdy by Borrower_ Unleae Lender and Borrower otherwise agtee in writing, inaurance procceds shall be applied to reatoration or repair of the Property ' . damaged, provided euch restoration or tepair is economically feasible and the aecurity of this Mortgage is not thernby impaired. If auch ~ reatoration or repair ie not economically feasible or if the security of thie Mortgage would be impaired, the insurance procee.~da ehali be applied to the aums aecured by this Mortgage, with the e:ceas, if any, paid to Bormwer. If the Property is abandoned by Borrower. or if Borrower faila to reepond to Lender within 30 daye from the date notice is mailed by Lender to Borrower that the insurance carrier offere to settle a claim for ~ ineurance benefita, Lender is suthorized to collect and apply the insurance proceeda at Lender's option either to reatoration or repair of the Property or the auma secured by thie Mortgage. - Unlesa Lender and Borrower otherwiae agree in writing, any auch application of proceeds to principal shall not extend or postpone thedue date of the monthly installments referred to in paragrapha 1 and 2 hereof or change the amount of auch instalimente. If under paragraph 18 heieof the Property is acquired by Lender, all right, title and inlernst of Borrower in and to any inaurance poliries and in and to the proceeds thereof reaulting from damage to Property prior to the sale or acquisition ahall pasa to Lender to the extent of the aums secured by thie Mortgage immediately prior to auch sale or soquiaition. 6. Preservation and Maintenance of Property; Leaseholda; Condominume; Planned Unit Developmente. Borrower shall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall comply with the provisiona of any leaee if thie Mortgage is on a leasehold. If this Mortgage is on a unit in a oondominium or a planned unit development, Borrower ahall perform all of Borro .~r'e obligations under the declaration or covenants creatingor governing the condominium or planned unit development, the by-laws and regulationa of the condominium or planned unit development, and oonstituent documents. If a condominium or planned unit development rider ia executed by Borrower and recorded together with thie Mortgage, the oovenante and agreementa of such rider ehall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection ot Lender's Secnrity. If Borrower faile to perform the oovenante and agrcemente contained in this Mortgege, or if any action or proceeding ia commenced which materially affecte Lender'a intereat in the Property. including, but not limited to, eminent domain, insolvency. oode enforaement; or arrangemente or proceedinga involving a bankr~pt or deoedent, then Lender at I.ender e option,upon notice to Barrower may make auch appearancee, diaburee auch same and take auch action as is neceesary to protect Lender's intereet, inclnding, bnt not limited Lo, diab~ueement of reseonable attorney e feee and entry upon the Property to make repairs. If Lender required mortgage ineurance ae a rnndition of making the loan eecured by thie Mortgage, Borrower ehall pay the preaniums required Lo maintain anch ineurance in effect nntil euch time se the requirement for euch ineurance terminates in acoordance with Borrower'e and Lender s written agreement or applicable Law. Borrower ehall pay the amount of all mortgage inaurance premiume in the manner provided under ' paragraph 2 hereoL ~ . . ~ Any amounts diebureed by Lender persuant to thia paragreph 7, with interest thereon, ehall become additional indebtedneae of Borrower aecvred by thia Mortgage. Unlese Borrower and Lender agree to other terme of payment, euch amounte ehall be payable upon ~ notice from Lender to Borrower requeeting payment thereof, and shall bear interest firom the date of diebureement at the rate payable from ~ time to time on outstanding principal under the Note unlesa payu~ent of interest at such rate wouid be contrary to applicable law, in which , event auch amounte ehall bear intereat at the higheet rate permiaeible under applicable law. Nothing contained in this paragraph 7, ehall j reqnire I.ender to incur any expenee or take any action hereunder. ~ 1 r , ~~~K ~3U1 fh~E 179 . . _ - - - - - - - - . - - - ~ - : ~ ~4~ R. ,.n~-;.~~~ : ~3 . - .~r~~.~