HomeMy WebLinkAbout0201 UNIlaRM COVENANi's. Borr+ower aad Leade~ covenant and a~ree u tollorvs: '
L l~weN ot tei~clMl a~ INe~at. 8o~rowe~ shal) promptly psy when due ~he principal ot and intercst on the
ind~btednw evidenced by the Note. ptepaytnent and late chargec ac provided in the Note, and the principal oE ind inte~+est
on aoy Future Advances secured by this Mortgase.
2. !?rwi [or TatM ai l~wra~a~e. Subject to applicaAk !aw u~ to a written waiver by Lender. Horrower shall paY
to Lender on the day montAly installments of principal and intcrcct rrc payat+le u~der the Note. until the Note is paid in tull,
a suen (hereio "Fundt") equal to one-twelfth of the yea~l~• ua~~ anJ assasments which may attai~ priority over this
Mortsaje. and ~round rents on the Property, if any, ~+lus ooe-twelfth of yearly premium inuallments tor hazard inwrancs. -
plus one-twelfth o[ yearly prcmium installments for mortgage insurance, it any, all u rcssonably estimated initially and t~+om
dme to time by Lender on the basis of asxscmcnts aod hills and rcasonabk atimata theceof.
'Il~e Funds ~hall be held in a~ institution the depos~ta or nccounts of w~hich arc i~nurcd or guuanteed Dy a Fedenl ot
state a~ency (includina Lsnder if Lende~ is such an institution). I.ender shall apply the Funds to pay said taxa. attestme~ts.
iasurance pnmiums and atound ronts. l.ende~ may not cbarge fo~ sc~ holding and applying the F~mdc. analyzin~ said account,
or verityin~ and compling said assessments and bills, unless LeAder pays Borrower intercst on the Funds and applicable law
permits Lender to make such a charge. Borrower at~d l.ender may agrce io writing at the time o[ execution ot this
Mortgage that interest on the Fu~ds shall be paid to Borrower. and ualess such agrcement is made or applicable law
requites such interat to be paid. Lender shall not be rcquired to pay Borrower any intercst or earnings on the Funds. Lender
sha11 give to Borrower, witlw~t charge, an annual accou~ting of the Funds showing credits and debits to the Funds and the
purpose for which tach debit to the Fuads was made. The Funds are plodged u additional security for the sums secured
by tbis Mottpae. . ,
~ If the amount o[ tha Funds held by Lender, together with the future monthly installments of Funds payabk prior to
t6e due dates of taxes. assasments, insurance premiu~ns and ground rents, shall exceed the amount required to pay said taxa.
atsepments. icaurancx ~rcmiums and ground rents u they (all due, such eacess shall be, at Borrower's option, either
p[ompUy rcpaid to Borrower or credited to Borrower on monthly installments of.Funds. If the amount of the Funds
6eW by Lender shall not be sut~ient to pay taxes. assessments, insurance premiums and ground rents as they fall due.
Hort~ower shall pay to l.ender any amount necessary to make up the de6ciency within 30 days from thc date notice is mailcd
by Lender to Borrower reque.stin8 pa~rment thereof.
Upoo payment in full of all sums secured by this Mortgage, l.ender shall promptly rctu~d to Borrower any Funds
held by Letx~er. If under panaraph 18 hercof the Propeny i~ sold or the Property ~s otherwise acquired by Lender. Lender
sball apply. no later than itamediately prior to the sale of the Property or its acquisition by Leoder. any Funds held bv
Leader at the time of application as a credit against the sums secured by this Mortgage. ~
3. A~piicatio~ ot P~aeets. Unless applicable law provides otherwise, all payments received by Lender under the _
Note aad paragraphs 1 and 2 hereof shall be applied by Lender first in paymeot of amounts payable to Lender by Borrowtr
uader pangraph 2 hereof. then to interest payabk on the Note, th~n to the principal of the Note. and then to interest and
principal on any Future Advaacxs.
1. Chuaes; Lie~. Borrower shall pay all t:+xes, assessments a~d other charges, fines and impositions atlributable to
the Property which may attain a priority over this Mortgage, and leasehold payments or ground rcnts, if any, in the manaer
provided under paragraph 2 hercof or, if not paid in such manner, by Borrower making payment, wh~n due, diroctly to the
payoe thereof. Borrower st~all promptly furnish to Lender alf notices of amounts due under this pangraph, and in the eveat
Borrower shall make payment directly, Borrowe~ shall promptly fumish to l.ender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has priority over this Mongage; provided, that Borrower shall not bt
rcquirod to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligatiun secured by
s~6lien in a manner acceptable to Lender, or sha:l in good faith contes~ such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the lien or fodeiture of the Property or any part thereof.
S. Hasud I~nraace. Borrower shall keep the improvements now existing or hereafter erected on ihe Prop~rty insurod
against loss by fire, hazards included withm the term "eztended coverage", and such other hazards as Lender may rcyuire
and in such amounls and for such periods as Lender may require; provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured ~by this Mortaage.
"Ibe insurance carrier providing the insurance shall be chosen by Borrower subject to approval by L.enAer. provided.
Wat such approval sha11 not be unreasonably withheld. All premiums on insurance policies sha11 be paid in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymeat, when due, directiy to the
! insuraace carrier. _
j All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
! clause in favor of and in form acceptable to Lender. Lender. shall have the right to hold the policia and renewals thereof,
~ and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss,
; Borrower shall give prompE notice to ~he insurance carrier and Lender. Lender may make proof of loss if not made promptly
i by Borrower. ~
~ Unless Lender and Borrower otherw~se agree in writing, insurance proceecis shall be applied to restoration or repair of
the Property damaged, provieied such restorat~on or repair is economically feasible and the security of this Mortgage is
~ not thereby impaired. I[ such restoration or repair is not economically feasible or if the security of this Mortgage would
be impaired, the insurance proceecis shall be applied to the sums securecl by this Mortgage, with the excess, if any, paid
~ to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond ta Lender within 30 days from the
~ date not~ce is mailed by Lender to Borrower that the insurance carrier otiers to settle a claim for insurance ben~fiis, Lender
g is aut6orized to collect and apply the insurance proceeds at Lender's option either to restoration or repaer of the Propertv
~ or to t6e sums secured by this Mortgage.
Unless I_ender and Borrower otherwise agree m writing, any such application of proceeds to principal shall not extend
~ or postpone the due date of the monthly installments referred to in paragraph~ I and 2 hereof or change the amount of
suc6 installmeots. 1[ under paragraph 18 hereof the Pro~.erty is acyuired by [.ender, all right, title and interest of Borrower
in and to any Ihsurance_policies and in and to the proceeds thereof resulting from damage to the Property prior to th~ sale
~ or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition.
~ 6. Preservation and 1laintenance of Property; Leasehulds; Condominiums: Planned Uait Derelopments. Borrower
~ shall keep the Property in good repair and shall not comrpit y+~aste or permit impairment or deterioration of the Propeny
~ and shall comply with the provisions of any lease if this Mortgage is on a leaschold. If this Mortgage is on a unit in a
~ condominium or a planned unit devclopment, Borrower shall pe~form al! of Borrower's obligations under the declaration
or covenants creating or governmg the condominium or planned unit develvpment, Ihe by-laws and regulations of the
~ condomin~um or planned unit -development, and constituent documems. If a condominium or pianned ?nit development
`s rider is executed by Borrower and recorded together w~th this Mortgage, the covenants and agreements of such rider
shall be incorporated into and shall amend and ~upplement the covenants and agreements of this Mortgage as if the riJer
- were a part hereof.
7. Proteclion ot Lende~s Security. If Borr~~wer fa~ls ~o per(~~rm the covenants and agreements contained in this
Mortgage, or if any action or proreeding is cummrnce.l which materially afiects l_ender'c interest in the Property.
Y including, but not limrted to, eminent domain. ~ns~~henc~•, code en(orcement. ar arr:~ngements or proceedings invoh•ing a
~ bankrupt or decedent, then l.ender at 1_ender's op~ion, upon notice to Borrower, ma~ make such appearances, dishurse such
~ sums and take such ac~iun a~ is necetsary tu Protect I_ender's imerest. includ?n~. but not limited to, disbursement of
reasonable attorney's fees and emry u~~n the Propen~~ to make rcpairc. 1f LcnJer reyuircd mortgage insurance as a
~ condrtion of makm thc loan ~ecurcJ b th~s Mort i B~rrowcr shall
~ g > F~ g' pay thc premiums requireJ to maintain such
~ insurance in efiect unti) such time as the reyuirement f.~r wch msurance ~erm~nates in aceordance w•ith Borr~~wer s and
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