HomeMy WebLinkAbout1743 UNIFORM COVBNANTti. BOrroww and Lender covenant snd agres as follows:
1 tyseM M hittelNl ttttd Weratl.. Borrower shall promptly psy when due the principal of and interest on the
inde~tedntxs evidentxd by the Note. prepayment and late charges ae provided in the Note, and the principal of and interest
as soy Fwure Advances ttecttred by this Mortgage.
2. lrrwtis f'or Taataa tsRr IRwrMCe. Subject to applicabk lavir .x to a written waiver by Lender. 8otrower shall pay
to Lender on the day monthly installments of principal and ~nterect arc payable under the Note, until the Note is paid in full,
a sum (herein "Funds' equal to one-twelfth oI the yearly tax~~ and auessments which may attain priority over this
Mortgage. and ground rents on the Property, if any, plus one-twelfth of yearly- premium installments for haurd insurance.
plus one-twelfth of yearly premium installments for mortgage insurance, iI any, all as reasonably estimated initially and from
time to tithe by Lender on the basis of assessments and hills and reasonable estimates thereof.
The Funds shall be held in an institution the deposiu or accounts of which arc imut'ed or gwranteed by a Federal of
state agency (including Lender if Lender is such an institution). Lender ah~ll apply the Funds to pay said taxes, assessments.
imuranoe premiums and ground rents. lender rosy not charge for sa holding and applying the Fends. analyzing said account.
or verifying and compiling 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 interat on the Funds shall be paid to Borrower, and unless such agreement a made or applicable law
requires such interat to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
shall give to Borrower, 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 the 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.
ataxatrneats, insurance premiums and ground rents as they tall 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 >+unds
held by Leakr shall not be wf5cieat to pay taxes, assessments, insurance premiums and ground rents ss they fall due,
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting payment thereof.
Upon payment in fuU of all scans secured by this Mortgage, tender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 1~ hereof the Property is sold or the Property ~s otherwise acquired by Lender, Lender
shall apply. no later than immediately prior to the sde of the Property or its acquisition by Lender, any Fund. held by
Leader at the time of application as a c t again~'the sums sxurcd by this Mortgage.
a ~ .r
3. A~piicatioR of Ps~ytsxNs. Unless appjtctt~~law provides otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereon shsfl'bto tttpMliA~;6~ Lender first in payment of amounts payable to Lender by Borrower
under patsgraph 2 hereof, then to interest pay:biaesihs Note, then to the principal of the.Note, and then to interest and
principal on any Future Advantxs.
4. C6ages; Ijeas. 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 thereof. Borrower shall promptly furnish to Lender all notices of amounts dire 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 -
rexluired to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation securtd 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 lien or forfeiture of the Property or any part thereof.
S. Hazard Iwatranc~e. Borrower shall kcep the improvements now existing or hereafter erected on the Property insured
against loss by Ere, hazards included within the term "extended coverage", and- such other hazards as Lender may require
and in such amounts 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 chi's 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
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
~ clatue 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,
Borrowtr shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwise agree in writing, insurance procceds shall be applied to restoration or repair of
s the Property damaged, provided such restoration 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 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 the
3 date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Propertv
or to the sums secured by this Mortgage.
Unless lender and Borrower otherwise agree in writing, any such application. of proceeds to principal shall not extend
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 acyuired by Lender, all right, title and interest of Borrower
in and to any Insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
or acquisition shag pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition.
6. Preservation and Maintenance of Property: Leaseholds; Condominiums; Planned Unit Devebpments. Borrower
shalt keep 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 if this 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 Borrowers obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
condominium or planaed unit development, and constituent documenrs. If a condominium or planned unit development
3 rider ~s executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
shall 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 of Lender's Security. if Borrower fails p~ perform the covenants and agreements contained in this
Mortgage, or if any action ur proceeding is commenced which materially affect, Lender's interest in the Property.
including, but not limited to, eminent domain. insolvent}. code enforcement. or arrangements or proceedings invoh•ing a
bankrupt or decedent. then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is necessary to protect Lender's interest. including, but not limited to, disbursement of
reasonable attorney's fees and emry upon the Property to make repairs. If Lender reyuircd mortgage insurance as a
condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such
insurance in rtiect until such time as the requirement for such insurance terminates m accordance with Borrower's and
F,
_ _
'bG