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HomeMy WebLinkAbout0472 Bortower and Lender covenant a~d a~r~ee as follows: . 1. Payment ot Prit~cip~l a~d Interest. Borrowe~ shall prompily pay when due Ihe principal of and intetest on the indebtedness evidenced by the Note, prepayment and late charges as pmvided in the Note, and the principal of aad inter~t on any ~ture Advancea secured by this Mortgage. 2. Eltnds [or Tasee and insurence. Subject to applicable law or to a written waiver by l.e~der. Borrower ahall pay to Lender on the day monthly installmenta of principal and interest are payable u~der the Note, unW the Note ia paid in full, a aum (herein "Funds") equal to oaa twelRh of the yearly taxes and aeacssmenta which may attain priority over this Mortgage, and ground rente on the Property. i[any. plus ono- twelRh of yeady ptemium inatallments for ha3ard insurance, plua onetwelflh of yearly premium inatallmente for mortgage inaurance, if any. all as naaonably eatimated initially and from time to time by Lender on the baais of aese8amente and billa and reaeonable estimates thareot. Tfie PLads shall be held in an institutioa the depoeits or accounts of which are insured or guaranteed by a Federa) or State ageacy (including Lender it Lend~ ia such an institution). Lender shall apply the I~nda to paY said ta~ces. asseesments, insuranoe pnmiuma and ground renta. L.eader may not charge for eo holding and applying the Phnds, analyzing said sooount, or verifying and compiling said aseeaaments and bills. unlew Lender peys Borrower interest on the Flande and applicable law permite Ixnder to make euch a charge. Borrower and I.ender way agree in writing at the time of e=ecution of this Mortgage that intereet oa the F~nda ahall be paid to Borrower. and unleas such agreement is made or applicahie law requires such intereet to be paid. Lender shall not be required to pay Borrowet any interest or earnings on the ~nds. I.ender shall give to Borrower. without charge. an annual acoounting of !he Funda showing credits and debits to the Fhnds and the purpoee for which each debit to the ~nda wae made. The Funds are pledged as additional security for the suma secured by this Mortgage. - . If the amount of the ~Lnde held by Lender, together with the future monthly inatsliments of Funds payable ptior to the due datee of ta:es, asaeasments, insmranoe premiums and ground rents. shaU e:aaed the amount required to pay said tazee. aseeaements, insurance premiums and ground rents as they fall due, such euceas shall be. at Borrowei a option. either prompt~y repaid to Borrower or credited to Borrower on monthly inetaUments of Flinds. If the amount of the Ptinds held by I.ender shall not be sufficient to pay t~ea, asaeasments. inaurance premiums and ground renfs as they fall due. Borrower al?all pay to Lender any amount rieceseary to make up the deficiency within 30 daye from the date notioe is mailed by I.ender b Borrower requeating payment thereof. Upon payment in full of all aums secured by this Mortgage, I.ender ahall prompdy refund to Borrower any funds held by Leoder. If ander paragreph 18 hereof the Property is sold or the Property ie otherwiee acquired by Lender. Lender ahallaPP~Y. no later than iaunedietely prior to the eale of We Propedy or ifs aoq~iaition by Lender, any Ftinda held by [.ender at Lhe time of appUcadon as a credit against the anma sec~red by thie Morcgage. - 3. Apptication of Payments. Unleae applicable law pmvidee otherwiee. all payments reoeived by Lender under the Note and peragraphs l and 2 hereof shall be applied by I.ender firat in payment of amounts payable to I.ender by Borrowet under paragraph 2 hereof, then to inteteat payable on the Note, then to the principal of the Note, and then to intereat and principal on any Future Advancea. 4. Charges; Liens. Borrower ahal! pay all t~es, assessmenta and other charges, fines and impositions attributable to the Propezty which may attain a priority over thia iNortgage, and leaeehold paymenta or ground renta, 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 ahall promptly furnish to [.endar all noticea of amounts due under thia paragraph, and in the event Borrower shall make payment directly. Borrower ehall promptly furnish to L.ender receipts evidencing auch paymenta. Borrower shali promptly dischnrge any lien which has priority over this Mortgage; provided, that Borrower ahall not be required to discharge any such lien ao long as Borrower ahaU agree in writinq 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 lien or forfeiture of the Property or any part thereof. 5. Hazard Insurance. Borrower ahall keep the irnprovements aow exiating or hereafter erected on the Property inaured againat losa by fire, hazarda included within the term "eztended rnverage, ' and euch other hazards se Lender may require and in such amounte and for auch periode as I.ender may require; provided, that Lender ahall not require auch ooverage amount ezceeding the minunum, as may be required by atate or federal regulatione governing activitiee of Lender. or that amount of rnverage required to pay the eums secured by this Mortgage. whichever ia the greater. The inaurance carrier providing the insurance ahall be chosen by Rorrower aubject to approva) by I.ender, provided, that such approval shall not be unreasonably withheld_ All premiuma on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by t3orrower making payment, when due, directly to the insurance carrier. ~ All insurance policiea and renewals thereof ahall be in form acceptable to I.ender and shall include a standard mortgage clauee in favor of and in form aoceptable to L.ender. Lender ahall have the right to hold the policies and renewala thereof, and Borrower ahall pmmptly f~unish to i.ender all renewal notioes and all receipta of paid premiuma_ In the event of lose, Born~wer ehall give prompt notice to the insurance carrier and Lender. Lender may make proof of losa if not made prompdy by Borrower. ; Unless Lender and Borrower otherwise agree in writing. ineurance proceeds shall be applied to restoration or repair of the Property damaged, provided euch restoration or repair is economically fea8ible and the eecurity of this Mortgage is not thereby impaired_ If such ` reatoration or repa.ir ie not eoonomically feasible or if the aecurity of thia-Mortgage would be unpaired, the inaurance praeeda shall be applied f to the sums aecured by thia Mortgage, with the excess, if anY. paid to Borrower. If the Propedy is abandoned by Borrower, or if Borrower faile to respond to Lender vrithin 30 daye from the date notice ia mailed by Lender to Borrower that the insurance carrier oBers to settle a claim for ~ inautance benefits, Lender is suthorized to collect and apply the insurance proc~eeds at Lender's option either to restoration or repair of the Property or the sume eecured by thia Mortgage. = Unleas Lender and Borrower otherwise agree in writing, any auch application of proceede to principal shall not e:tend or postpone the due ' date of the monthly installmenta referred to in paragraphe i and 2 hereof or change the amount of auch installmente. If under paragraph 18 ~ hereof the Property is aoquired by I.ender, all right, tide and intereat of Borrower in and to any ineurance policies and in and to the proceeda thereof reaulting from demage to Property prior to the sale or soquisition ehall pasa to L.endet to the extent of the sums eecvred by this ~ Mortgege unmediately prior to auch eale or aoquieition. ~ - ~ 6. Pteeervation and Maintenance of Property; Leaeeholde; Condominums; Planned Unit Developmenta. Borrower sha11 keep the Property in good repair and ahall not commit waste or.permit impairment or deterioration ot the Property and ehall rnmply with the provisiona of any lesee if this Mortgage ia on a leaaehold. If this Mortgage ia on a unit in a oondominium or a planned unit development, ~ Borrower ahell perform all of Borrower e obligationa under the declaration or covenants creatingor goveming the condominium or planned unit development, the by-lawe and reguletiona of the. rnndominium or planned unit development, and oonstituent doc~unente. If a ~ oondominium or plaaned unit development rider is executed. by Borrower and recorded together with thie Mortgage, the oovenants and agreementa of auch rider ahall be inrnrporated into and ahaU amend and supplement the covenanta and agreemente of this Mortgage as if the f rider were a part hereof. ~ 7. Protection of Lender's Security. If Borrower faile to perfarm the oovenants and agreementa contained in this Mortgage, ar if aay ~ action or pmoeeding ia rnmmenced which matezially affects Lender s interest in the Property. including, but not limited to, emin~t domain. ~ insolvency~ oode enforcement, or arrangements or pmceedings involving a banicrupt or decedeat, then Lender at I.ender's option,npon ~ aotioe to Boreower may make such appearances, disburse such eams and talce such action as is necessary to protect Lenda's iat~est, inclnding, but not limited to, disbureeaneat af nsaonsble attorney's fees and entry upon fhe Properfy to make repairs. If Lender tequired f mortgege ineurance as a oondition of making the loan sec~red by this Mortgage, Borrower shall pay the preminms reqnired to maintein ~ snch inenranoe in e~ect nntii euch time as the requirement for anch inaurance terminaLee in aooordance with Borrower's and Lendds f writt,en agreemeat or app6cable I.aw. Borrower shell pay the amonnt of all mortgage inaurance premiume in the manner provided under I paregraph 2 heriof. t MY emoanta diebureed by Lender perauant to this paragraph 7, with intereet thereon, ehaU become additional indebtedness of ' ; Borrowez secured by this Mortgage. Unleas Borrower and Lender agree to other terma of peyment, auch amounte shall be payable upon E notice from Lender to Borrower requeating peyment thereof, and ehall bear intereet from the date of dieburaement at the rate payable from ~ time to time on outstanding principal under the Note unlese payment ol~ntereat at auch rate would be oontrary to applicable law, in which ; event auch amounte ahall bear interest at the higheet rate permiseible under applicable law. Nothing contained in this paragraph 7. shall ~ nquire I,ender to incur any e~cpenee or take any action hereunder. r k ~ 5 ~ , ~ BuvK JV~ ?'r r~ 472 ~ R ~ ~ ~ : , - - _ ~ ~ ~ t - ; .,.a -=w- ~ s ~ . ~~~--y_