HomeMy WebLinkAbout1992 UNraww COVENANTS. Borrower and Lender covenant and agrte as follows:
1. igyssestl of 1rrMcIM1 anti INereaf. Borrower shall promptly pay when due the principal of and interest on the
indeMednea evidenced by the Note, prepayment and late charges as provided in the Note, and the principal o[ and interest
on say Future Advances secured by this Mortgage. , .
2. Rtta>la torn Tssa soli lawraoct. Subject to applicable law ~.r to a written waiver by Lender. Borrower shall pay
to Lender on the day monthly inttallments of principal and intcrest arc payable under the Note, until the Note is paid in toll,
a sum (herein "Futtd:") equal to one-twelfth of the yearly lases and assessments which may attain priority over this
Mortaaae, and around rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance.
plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from
time to time by Lender on the basis 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 guaranteed by a Federal of
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments.
inuurance premiums and ground rents. lender may not charge for sn holding and applying the Funds, analyzing said account,
or verifying and compiling said assessments and bills, unless Lender pays Borrower intcrcst 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 agreeme~tt is made or applicable law
require such intcrcst 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 [or 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 held 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.
a:seasrnents, insurance premiums srtd ground rents as they fall due, such excess shall be, at Borrowers 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 sttf6cieat to pay taxes, assessments, insurance premiums and ground rents as they fall due,
Horroaer shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Leader to Borrower requesting payment thereof.
Upon payment is full bf all sums secured by this Mortgage, lender shalt promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property is 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
Leader at the time of application as a credit against the sums secured by this Mortgage.
3. Appiicatios of Paymeslt. 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 Lender 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.
4. Charges; Liens. 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
payer thereof. 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 Iten or forfeiture of the Property or any pan thereof.
S. lliasard Itnsriraace. 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 require; provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured Eby 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
provided uodet paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
insura~e carrier.
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 policies and renewals thereof.
~ and Borrower shall promptly fuiaish to Lender all renewal notices and all receipts of paid premiums. In tht event of loss,
Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
'E by Borrower.
f Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is
~ not thereby impaired. If such restoration or repair is nut economically feasible or it 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 (ails to respond to Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for ituurance benefits, Lender
P is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or regale of the Propem•
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in venting, any such application of proceeds to principal shall not extend
~ or postpone the due date of the month)}• installments referred to in paragraphs I and 2 hereof or change- the amount of
such installments. I( under paragraph 18 hereof the Property is acquired 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 shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such safe or
acquisition. .
6. Presen•ation and Maintenance of Progeny; Leaseholds; Condominiums; Planned Unit Dea•dopments. Borrower
.z:
shall kcep the Property in good repair and shalt not commit Kaste or permit impairment or deterioration of the Property
and shall comply with the provisions of any lease if th+s Mortgage +s tin 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. 1f a condominium or planned umt development
rider is 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 fa+k to perform the covenants and agreements contained in this
s Mortgage, ur if any action ur proceeding +s commence) which materially affects Lender's interest in the Property, ~
including. but nut hmrted to. eminent domain. imohenc). code enforcement, or arrangements or proceedings invoking a
s
banknipt or decedent, then Lender at 1-ender's option, upon nonce to Borrower, mss make such appearances, disburse such
sums and take such acnun as is necessary w protect Lender's interest, including. but not limned to. disbursement of
~ reasonable attorney's fees and entry ulxm the Propert}' to make repairs. 11' 1_ender reynired mortgage insurance as a
~ condition of making the loan secure) by th+s Mortgage. Burrower shall pay the premiums required to maintain such
iruurance in effect until such nme as the requirement for such +nuiranre temim:Hes m .+c.ordance with Borrower's and
{
z
~~'Rr3U1 F~rE1907
_ s
~ -
~ ~ - ~ z?,- ~