HomeMy WebLinkAbout0284 UN~FORt.~ CovEN~NTS. Borrower and La~der covenant and agra as follows:
1. hnneat ot Mncip~l asd latereW Borrowet shall promptly pay whe~ due the principal of and interest on the
indebtedness evidenced by the Note. propaytaent and I~te charges as provided in the Note, and the principsl of a~d i~terest
oe aay Future Advances secured by this MortQa~.
2. F~ad~ tor Taxes asd Iawin~ce. Stibject to applicabk law or to a written waiver by Lender. Borrower shall pay
to I.ender on the day monthly i~staliments ot principal and interat aue payable unde~ the Note. until the Note is paid in tull,
s sum (hercin "Funds'7 equal to one-twelfth of the yeady taxes and assessmcnts which may attai~ priority over this
Mortgage. and ground nnb on the Propecty. i[ aay, plus onc-twelfth of yeuly premium installmenta for hazard insurance.
plus uae-twelfth of yearly pnmium instalfineots fo~ mortg~ge insurance, if any, all as reasonably estimated initislly and fmm
dme to time by I.eader on the basis of assessme~ts and bills and reasonable estimstes thereof.
The Funds shall be held in aa institution the depoarts or acrnunts of which are insurtd or guaranteed by a Federal or .
state s~ency t~ncluding Lender if Lender is such an iastitution). Lender shall apply the Funds to pay said tua, assessmen~.
insurance premiums and grouud rents. Lender may not charge tor so holding and applying the Funds, analyzing Said account.
or verifying and compiling said ass~ssments and bills, unlas Lender pays Borrower interest on the Funds and applicable law
permits Lender to make such a charge. Borrowe~ and Lender may agree in writing at the time of execution of this
Mortgage that inteeest on the Fw~ds shall be paid to Borrower. and unless such agnxment is made or applicabk law
requires such interest to be paid, I.eoder shell not be requircd to pay Borrower any interest or earnings on the Funds. Lender
sha11 give to Borrower, wilhout c6arge. an annual accounting of the Funds showing credits and debita to the Fuads and the
purpoae for which each debit to the Funds was made. The Funds are pledged as additional socurity for the sums secured
by ihis Mortgage.
If the amount of the Funds held by Lender, together with the future monthly installments ot Funds payabk prior to
the due dates of taxes. assessments, insutance premiums and grou~d rents. shall exceed the amount rcquired to pay said taxes.
assesstnenu. insurance prcmiums and ground rents as 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
hetd by Lender shall not be sufficient to pay taues, assessments, insurance premiums and ground rents as they fall due, .
Borrower shall pay to Lender any amount neceuuary to make up the deficiency within 30 days from the date notice is mailed
by L.ender to Borrower requesting payment thercof. -
Upon payment in full of all sums secured by this Mortgage, l.ender shall promptly refund to Borrower any Funds ~
held by I.ender. If under paragraph 18 hereof the Property is sold or thc Property is otherwise acquitrd by C.ender, 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 application as a credit against the sums secured by this Mortgage. ~
3. Applicdba of Pqments. 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 i~terest payable on the Note, then to the principal of the Note. and then to interest and
principal on any Future Advances.
4. C~arges; Lkas. Borrower shall pay all taxes, assessments and othcr charges..fines and impositions attributable to ,
tha property whicb may attain a priority over this Moitgage, and leasehold payments or ground rents, if any. in the manner
pmvided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
payee ther~eof. Borrow~r shall promptly furnish to Lender all notices of amounts due undet this paragraph, aod in the eveot
Borrower shall make payment directly, Borrower shall promptly fumish to I.ender receipts evidenciag such payments.
Borrower shall prumptly discharge any lien which has priority over this Mortgage; provided. that Bormwer shall not be
requiced to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
suc6 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 oE the Property or any part thereof.
S, Hazsrd Insurance. Borrower shall keep the imprQVements now• existing or hereafter erected on the Property insured
againat loss by fin. hazards included within ihe term "~xtended coverage", and such other hazards as 1-ender may require -
and in such amounts and for such periods as Lender may require; provided. that Lender shall not r~quire that the amount of s
such coverage exceed that amount of coverage required to pay the sums,secured by this Mortgage. ;
'Ibe iasurance catrier providing the insurance shail be chosen by ~otrower subject to approval by Lender, provided. ~
that such approval shall not be unreasonably withheld. All premiums on insurance policies shal! be paid in the manner j
provided under paragraph 2 hereof or. if not paid in such manner, by. Borrower making payment, when due, direcdy to the
insurance carrier.
All insurance policies aod renewals thereof shatl be in form acceptable to Lender and shall include a standard rr?ortgage
f clauu in favor of and in form acceptable to l.ender. Lender shall have the right to hold the policies and renewals thereof,
f aad Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss,
! Borrower 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 proceeds shall be applied to restoration or repair of
the Property damaged, provided such ratoration or repair is economically feasible and the security of this Mortgage is
not thereby impaired. If such restoration or repair is not economically feasible oF if ihe security of this Mortgage would
~ be impaired, the insurance procceds shall be applied to the sutns secured by this Mortgage, with tt~e eacesa. 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
~ date notice is mailed by Lender to Borrower that the insurance carrier ofters to settle a claim for insurance benefits, I.ender
is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
or to tbe sums secured by this.Mortgage.
Unless Lender and Borrower otherwise agree in v?~riting, any such application of proceeds to principal shall not extend
or postpone the due date of the monthly iastallments referred to in paragraphs 1 and 2 hereof or change the amount of
suc6 installments. If ~under paragraph 18 hereof the Property is acquired by L,ender, all right, tide and interest of Bonower
in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sate
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or #
acquisition. '
~ 6, Preservatbn and Mainteaance of Pmperty; . Leaseho~ds; Condominiums; Planned Unit Devebpments. Borrower
shall keep the Property_ in good repair and shall not rnmmit waste 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 Borrower s obligadons 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 devetopment, and constituent documen~s. If a condominium or planned unit 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 t~ereof.
~ 7. PrMectfoa of I.ender's Security. If Borrower fails to perform the covenants and agreements contained in this 3
Mortgage. or if any action or proceeding is commenced which materially afiects Lender's interest in the Property, ~
including, but not limited to, eminent domain, insol~ertcy, code enforcement, or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Lender s option, upon notice to Borrower, may make such appearances. disburse such i
sums and take such action as is necessary to protoct Lender s interest, including, but not limited to. disbursement of ~
reuonable attarney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a ~
condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such ~
insurance in ef~ect until such time as the requirement for such insurance terminates in accordance with Borrower s and
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