Loading...
HomeMy WebLinkAbout0903 E3orrower and I.e~der covenant and ag~ee ua foUows: 1. Payment ot Principal a~d latereet. I~orruwr~ ahall promptly pay when due the principal of an~l intereat on the indebtednexa evidenced by the Note, prepayment and late chargee ae provided in the Note, and the principal of and intemst un any Future Advancee secured by this Mortgage. ' 2. Etitnds [or Taxes and Ineurance. SubjM to applicabte law or tu a writlen waive~ by l.ender, E3urrowe~ ahall puy to l.ender on the day munthly instAllmenta of principal and intereat are puyable under the Nute, until the Note ia paid in full, a sum (herein "Funda") equal to one- twelRh of the yearly taxes and asseasmenls which may attain priority over this Mortga~ce, and gruund rents on the i'ruperly, if any, plus one twelRh of yearly prnmium inetallmenta for hazard insurance, plus onetwelRh of yearly premium inetallment,i fo~ mortgage inaurance, itany, all ae rnasonably eatimated initially and from time to time by lxnder on the baeie otasseeamente and bills and masc?nable eetimatea thereot ~ 3'he FLnds ahall be held in en institution the depoeits or acconnta of which are inaured or guaranteed by a Federal or State agency (including Lender if l.ender is such an inetitution). Lender ahaU apply the Funda to pay eaid taxea, aeaeeame~ts, ineu~ance premiuma and ground renta. l.ender may not charge for eo holding and applying the I~nds, analyzing said account, o~ verifying and compiling esid asseeaments and bills, unlese I.ender pays Borrower interest on Ihe Funda and applicable law permite Lender to make such a charge. Borrower and Lender may agree in writing at the time of e:ecution oi thia Mortgage that interest on the Funda ahall be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, [:ende~ ahall not be required to pay B~rrower any intereat or earnings on the ~nds. l.ender ehall give to Borrower, without charge. an annual accounting of the ~nda showing credits and debita to the Funda e~d the purpose for which each debit to the Funda wa~s made.'11~e Funde are pledged as additional eecurity for the euma secured by this Mortgage. If.the amount of the ~nds held by Lender, together with the future monthly inetallmenta of Ftinda payabie prior to the due dates of taxes, aase~amenta, inaurance premiume and ground rente. shall e:c~ed the amount required to pay eaid ta:ea, aseeeamenta, insurance premiuma and ground rents as they tall due, auch e:ceae sllall be, at Borrowe~ a option, either prompdy repaid to Borrower or credited to Borrower on monthly inetallmenta ot ~nda. If the amount of the Funds held by Lender ehall not be aufficient to pay tazes, asseaemente, inaurance premiuma and ground rents as they fall due, Borrower ahall pay to Lender any amount necesaary to make up the deficiency within 30 days from the date notice ia mailed by l.ender to Borrower requesting payment thereof. t~poa payment in full of all aums eecured by thie Mortgage, I.ender ahall pmmpdy refund to Borrower any funds held by Lender. tf under paragraph 18 hereof the Property is aold or the Property is otherwiee acquired by Lender. Lender shall apply, no later than immediately prior to the eale of the Property or ita soquiaition by Lender. any F~nda held by Lender at the time of application as a credit against the aums aecured by thie Mortgage. 3. Appljcatioa o! Paymente. Unieas applicable law provides otherwiee. all payments received by Lender under the Note and paragrapha 1 and 2 hereof shall be applied by Lender firet in payment of amounts payable to Lender by Eiorrower under paragraph 2 hereof, then to intereet payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advancea. 4. Charges; Liene. Borrowerahall pay all.taxes, assessments and other chargee, fines and impoeitiona attributable to the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furniah to Lender all noticea of amounta due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly tumish to lxnder receipts evidencing such paymenta. Eiorrower ahall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower ahall not be required to discharge any such lien so long as Iiorrower shall agree in writing to the paymrnt of the obligation secured by such lien in a manner acceptable to [.ender, or ahall in good faith contest such lien by, or defend enforcement of such lien in, legal proceedings w•hich operate b prevent the enforcement of the lien or forfeiturn of the Property or any part thereof. 5. Hazard Iaeurance. Borrower ahall keep the improvements now existing or hereafter erected on the Property insured againat loss by fire, hazarda included withir~ the term "e:tended coverage," and euch other hazards se ~Lender may require and in auch amounta and for such perioda as Lender may require; provided, that I.ender shall not require such coverage amount e:ceeding the minimum, as may be required by state or federal regulations governing aetivitiea of I.ender, or that amount of coverage required to pay the aums aecured by this Mortgage, whichever ia the greater_ The inaurance carrier providing the insurance shall be chosen by Borrower subjeM to approval by I.ender, pm~ ided, that such approval shall not be unreasonably withhetd. All premiums on insurance policies ahall be paid in the m~nner pruvided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. All insurance policiea and renewala theteof shali be in form acceptable to I.ender and ahall include a standard mortgage clause in favor of and in form acceptable to I.ender. Lender ehall have the right to hold the policies and renewals thereof, and Bonower shall promptly furnish to i.ender all renewal notices and all receipta of paid premiuma. ln the event of losa, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loea if not made promptly by Borrower. ; Unlesa Lender and Borrower otherwise agree in writing, inaurance proceeda ahall be applied to restoration or repair of the Property ` damaged, provided such reatoration or repair is economically feasible and the security of this Mortgage ia not thereby impaired. If such ~ restoration or repair ie not economically feasible or if the eecurity of thia Mortgage would be impaired, the inaurance proceeds shall be applied ~ to the sums aecured by thia Mortgage, with the excesa, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower faila to ; reapond to Lender within 30 daye irom the date notice is mailed by Lender to Borrower that the insurance carrier offera to settle a claim for inaurance benefite, Lender is authorized lo collect and apply the inaurance prooeeds at Lender's option either to restoration or repair of the ~ Property or the aume secured by thie Mortgage_ 5 Unlesa Lender and Borrower otherwiee agree in writing, any such appiication of proceeda to principal ahall not e.~ctend or poatpone the due ; date of the monthly inatallmenta referred to in paragraphs 1 and 2 hereof or change the amount of such inataliments. If under paragraph 18 ~ hereof the Property ia acquired by Lender, all right, title and interest of Borrower in snd to any inaurance policiee and in and to the proceeda thereof reeulting from damage to Property prior to t}}e sale or acquisition ahall paea to Lender to the extent of the suma eecured by this ~ Mortgage imme~iately prior to such eale or ac~quisition. ~ 6. Preservation and Maintenance of Property; Lease6olde; Condominums; Planned Unit Developmenta. 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 provieione of any lease if this Mortgage ia on a leasehold. If this.Mortgage ia on a unit in a oondominium or a planned unit development, Borrower shall perform all of Borrower a obligations under the declaration Qr covenante creatingor governing the condominium or planned unit development, the by-lawa and ngulations of the condominium ~ or' planned unit development, and rnnetituent documents. If a 6 condominium or planned unit development rider ia executed by Borrower and_recorded together with thia Mortgage, the oovenante and ~ agreements of auch rider shall be incorporated into and shall amend and aupplement the covenants and agreemenfs of thia Mortgage as if the ~ rider wern a part hereoL ~ 7. Protection of Le~er's 3ecurity. If Borrower feils to pertorm the wvenants and egrcemente oontained in this Mortgage, or if any ~ action or proceeding ie commenced which materially aftecte Lender s interest in the Property, including, but not Gmited to, eminent domain. ~ ineolvency, oode enforcement, or anangements or pra~edings irtvolving a banlwpt or decedent, then Lender at Lender'e option,upon notice to Borrower may make such appearances, dieburee such eums and ta1~e euch action ss ia neoeasary to protect Lender's intere~~ . ~ including, but not limited to, diebursement of reaeonable ettorney'e feea and entry upon the Property to make repairs. If Lenda required ~ mortgage ineurance as a condition of making the loan eecvred by this Mortgage, Borrower ahall pay the premiums reqnired to maintain such insurance in effect until_flstsh_bme se the requirement for euch insurance terminates in accordance with Borrower'e and Lender's ~ written agreement or applicable IBw. Borrower ahall pay the amount of all mortgage inaurance premiuma in the mannez provided under = paragraph 2 hereof. ~ My amounta diebureed by Lender pereuant to thie paragraph 7, with intereat thereon, ehall beoome additional indebtednees of - Borrower secured by thie Mortgage. Unleae Borrower and I.ender agree to other terme of payment, euch emounta shall be payable upon ~ notice from Lender to Borrower requeeting payment thereof, and shaU bear intereat firom the date of diahureement at the rate payable from ~w dme to time on outatanding principal under the Note unlese payment of intereet at euch rate would be rnntrary to applicable Iaw, in which ~ event auch amounta shall bear interest at the higheet rate permieaible under applicable law. Nothing contained in thie paragreph 7, ehall ~ require Lender to incur any expenae or take any action hereunder. ~ ~ UR ~ 1 ~ BO~K 1 PN~< <~ut1 ~ - x, ~ . ~ ~ - : ~ - - - - ~ ~ p~ ~ ; - ~ _ :j ~ , . ~