HomeMy WebLinkAbout1737 Untt+otw CoveH~rtts. Borrowu and Lender covenant and agra u folk+ws:
4 11's~twetN M lrMelpai toad 1tNereM. Borrower shall promptly pay when due the principal of and interest on the
indebtedness evidetxxd by the Note, prepayment and late charges as provided in the Note. and the principsl of and interest
on any Future Advances saurad by this Mortgage.
2. ihrui for Ttnas ttutti Itttatnoete. Subject to applicable law ar to a written waiver by Lender, Borrower shall pay
to Lender on the day monthly installments of principal and intr•rect rrc payable under the Note. until the Note is paid in full.
a sum (herein "Fund:' egwl to one-twelfth of the yearly lases and assessments which may attain priority over this
Mortgage. and ground rents on the Property. it any, plus one-twelfth of yearly premium installments for hazard insurance,
plus one-twelfth of yearly premium instalttttents for mortgage insurance, it any, all u reasonably estimated initially and from
time to time by Lender on the buffs of assessments and hills and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or accounts of which are insured or gwranteed by a Federal of
state agency (including Lender if Lender is such an itutitutionl. Lender shall apply the Funds to pay said taxes. assessments,
iawranoe Premiums and ground rents. Lender may not charge for so holding and applying the Frtndt. analyzing said account.
or verifying attd rnmpiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
regttir+a such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
shall give to Borrowed, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
purpose for which each debit to the Funds was made. The Funds are pledged as additional security for tht sums secured
by this Mortgage. '
If the amount of the Funds heW by Lender, together with the future monthly installments of Funds payable prior to
the due dates of taxes. assessments. insurance premiums and ground rents, shall exceed the amount required to pay said taxes.
assetsments, irt:urance premiums and ground rents u they fall due, such excess shall be, at Borrower's option, either
promptly repaid to Borrower or credited to Borrower on monthly. installments of Funds. If the amount of the Funds
held by Lender shall not be stdticieat to pay taxes. assessments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount ttocessary to make. up the deficiency within 30 days from the date notice is mailed
by Let>tkr to Borrower requesting payment thereof.
Upat payment in full of all stuns secured by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired 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
Lender at the time of applicatan as a credit against the sums secured by this Mortgage.
3. A~plic»rtlou of PayttnetWs. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to tender by Borrower
under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note. and then to interest and
principal on any Future Advances.
t. Charges; Lkrts. Borrower shall pay all taxes, assessments and other charges, fines and impositions 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 thet+eof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
such lien in a manner acceptable to Lender, 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 Iren or forfeiture of the Property or any part thereof.
S. Hazard insurance. Borrower shall kcep the improvements now existing or hereafter erected on the Property insured
against loss by fire, hazards included within the term "extended coverage". and such other hazards as Lender may require
and in such amounts and [or such periods as Lender may reyuirc; 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 Mortgage.
The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be' paid in the manner
i provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
insurance carrier. -
All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
k clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies 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 grve prompt notice to the insurance career and Lender. Lender may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwrse agree in writing, insurance proceeds shall be applied to restoration or repair of
g the Property damaged, provided such restoratron or repair is economically feasible and the security of this Mortgage is -
not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
be impaired, the insurance proceeds 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 within 30 days from fhe
s date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
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is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree rn writing, any such application of pra:ceds to principal shall not extend
t or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof or change the amount of
such installments. If under paragraph 18 hereof the Property is acyurred by Lender, all right, title and interest of Borrower
in and to any Rrsurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
or acquisition shall pass to Lender to the extent of the sums secured by this hortgage immediately prior to such sale or
acquisition.
6. Presen•ation sad ~[aiatenance of Property; Leaseholds; Condominiums; Planned Unit Devebpments. Borrower
shall kcep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property
and shall comply with the provisions of any lease rf thrs Mortgage is on a leasehold. If this Mortgage is on a unit in a
condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration
~ or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
= condominium or planned unit development, and constituent documents- If a condominium or planned umt development
rider is executed by Borrower and recorded together wrth thrs Mortgage, the covenants and agreements of such rider
shall be incorporated into and shall amend and supplement the covenants and agreements of thin Mortgage as if the rider
were a part hereof.
7. Protection of Lender's Security. If Borrower fads a• perform the covenants and agreements contained in this
Mortgage, or if any action or proceeding rs commenced whrch materially a(iects Lender's interest in the Property,
- including. but not 6mrted to, eminent domain. insolvent}. dale enforcement. or arrangements or proceedings involving a
bankrupt or Decedent, thCn lender at Lender's option, upon notice to Borrower. rosy make such appearances. disburse such
sums and take such action as rs necessary to protect Lender', interest, mthrJmg. but not limited to, disbursement of
reasonable attorney's tree and entry upon the Property to make repairs. If Lender required mortgage insurance as a
cundrlum of making the loan secure) by the Mortgage. BorroHer shall pay the premiwns required to maintain such
t insurance in effect until arch time as the requirement for such msurante terminates rn accordance with Borrower's and
R 1732
6G~r. 301 f'r .
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