Loading...
HomeMy WebLinkAbout0726 &~rwwer and Lender covenant and agree ae followa: ' l. Payment ot Prtncipal s~d Intereat. Borrower ehall promptly pay when due the principal o( and i~tereat on the indebtednesa evidenced by the Note, prepayment and lete charqes as pm~~ded i~ the Note, and the principal of and i~tereat on any ~ture Advances aecuced by thia Mortgage. 2. I~nda for T~es and Ineursnce. Subject to applicable law or to a writtea waiver by l.ender, E3orrowe~ ahall pay to [xnder on the day monthly inataliments oi principal atid intereat are payable under the Note. until the Note ie paid in fuU, a aum (here:n "~nds") equal to one tweltth of the yearly tanes and aeeeesme~ta which may attain priority over this Mortgage, and ground renta on the Propeety. if any. plue one twelfth of yearly premium inatallmenta for hazard inaurance, plue onetwelfth ofyearly premium installmenta for mort~age inaurance, if any, ali aa reaeonably estimated initially and from time to time by I.ender on the basis of asaeasmenta and biUa and reusonable eatimates thereof. The P1~nds shall be held in an institution the depoeits or accounta of which ars insured or guaranteed by a Federal o~ State agenry (including I.ende~ if I.ender is such an institutionl. I.ender ahall apply the Funda to pay eaid taxes, assesements, insurance premiuma and ground nnts. Lender m~y not charge for so holding and applying the F~nds, analyzing eaid account, or verifying and rnmpiling eaid asaeeame~ta and bi11s, unlese Lender pays Botrowe~ intereet on the F~nda and applicable law permite Lender to make such a charge. Borrower and I.ender may agree in wiiting at the time of ezecution of this Mortgoge that intereat on the ELnda shall be paid to Borrower, and unleea such agreement is made or applicable law requires such intereat to be paid, l.ender shall not be required to pay Bo:rower any inlereat or earninga on the fi~nds. Lender ahall give to Borrower, without charge. an annual acoounting of the ~nds ahowzng credits and debite to the Funds and the purpoee for which each debit to the Fti?nda wae made. The Funda are piedged as additional security for the auma eecured by thie Mortgage. ' . If the amount of the ~nde held by I.ender, together with the future monthly inatallments of Funda payable priar to the due datea of tauea, aaaeasmente. ineurance premiuma and ground renta, shall eset~.d the amount required to pay aaid ta:ee. assesamenta, inaurance premiuma and ground rents ae they fall due. euch exceas ahall be, at Borrower e option, either promptly repaid to Borrower or credited to Borrower on monthly iastaUmente of ~nds. lf the amount of the ~nds held by .Le~der shaU not be aufficient to pay taxea, seeeasmente, inaurance premiams and groand rents ae they faU dne, Borrower ahall pay to Lender any amount neceaearyr to make up the deficiency within 30 days from the date notice ia mailed by Lender to Bormwer requesting payment thereof. Upon payment in full of all eums eecured by thia Mortgage, I.ender ahall promptly refund to Borrower any funds held by Lender. If under paragreph 18 heieof the Propetty is sold or the Property ia otherwiee acquired by Lender, Lender ahall apply, no later than immediateiy prior to the eale of the Property or ite aoquieition by I.ender. any FLnds held by I.ender at the time of application as a credit againat the suma secured by this Mortgage. ' 3. Application o! Payments. Unlese applicable law pmvides otherwise. all payments received by I.ender under the Note and paragraphs 1 and 2 hereof ahall be applied by I.ender first in payment of amounta payable to Lender by Borrower under paragraph 2 hereof, then to interest pnyable on the Note. then to the principal of the Note, and then to intereat and principal on any Future Advances. - 4. C6arges; Liens. Borrower shull pay all taxes, asaesamenta and other chargea, fines and impositiona attributable to the Property which may attain a priority over this Mortgage, and leasehold paymenta or ground rents, if any, in the manner provided under paragraph 2 hereotor, if not paid in such manner, by Borrower maicing payment, when due, directly to the pttyee thereof. Borrowershall promptly fumish to Lender ' all notices of amounts due under this paragraph, and in the event Borrower shall make payment direcdy, E;orrower ehall promptly fumish to I.ender receipts evidencing such payments. Borrower ahall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower ahall not be required to diecharge any auch 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, ordefend enforcement of such lien in, legal proceedinga which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5_ Hazard Iasuraace. Borrower ahall keep the improvementa now existing or hereafter erected on the Property inewed againat loss by firn, hazards ineiuded within the term "eatended coverage," and auch other hazards as I.ender may require and in such amounta and for such periods as I.ender may require; provided, that Lender shall not require auch coverage amount e:ceeding the minimum, as may be required by state or federal rngulationa governing artivitiea of Lender, or that amount of rnverage required to pay the sums secured by this Mortgage, whichever ia the greater. - The inaurance carrier providing the insurance shall be chosen by Borrower subject to approval by I.ender, pro4ided, that such approva! shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner prvvided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the insurance carrier. All inaurance policiea and renewale thereof shall be in form acceptable to Lender and ahall include a atandard mortgage clauae in favor of and iti form aoceptable to I.ender. Lender ahall have the right to hold the policiea and tenewals thereof, and Borrower sh811 promptly furniah to i,ender all renewal notices and all receipte of paid premiume. In the event of loea, Borruwer ahall give prompt notice to the insurance carrier and I.ender. Lender may make proof of losa if not made prompdy by Borrower. ~i Unleas Lender and Borrower otherwiee agree in writing, insurance proceeda shall be applied to reatoration or repair of the Property ~ damaged, provided such restoration or repair ia ecnnomically [eseible and the eecurity of thia Mortgage is not thereby impaired. If such f reatoration or repair ie not economically feasible or if the security of this Mortgage would be impaired the insurance proceeda ahall be applied ~ to the aums aecured by this Mortgage, with the excess, if any, paid to Borrower. If the Property ia abandoned by Borrower, or if Borrower faila to rexpond to I.ender within 30 days from the date notice ia mailed by Lender to Borrower that the inaurance carrier of~'ers to aetde a claim for ~ ineurance benefite, Lender is authorized to coUect and apply the insurance proceeds at Lender s option either to restoration or repair of the , Property or the auma eecnred by thie Mortgage. ~ Unleas Lender and Borrower otherwiae agree in writing, any such application of praceeds to principal ahall not eactend or poatpone thedue ~ date of the monthly inatallmente refernd to in paragrapha 1 and 2 her~.wf or change the amount of auch inatallmenta. If under paragraph 18 ~ hereof the Property ia aoquired by Lender, all right, tide and interest of Borrower in and to any insurance policies and in and to the proceeds ~ ~ thereof reaulting from damage to Property prior to the sate or soquiaition ahall pass to Lender to the e:tent of the aume aecured by thia ~ Mortgage immediately prior to auch sale or aaquiaition. 6. Preaervation and Mainteaance of Property; Leaseholds; Condominume; Plaaned Unit Developmente. Borrowerahall keep the Property in good repair and ahall not rnmmit waste or permit impairment or deterioration of the Froperty and ahall comply with the proviaions of any lease if thie Mortgage is on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development, ~ E3~rrower ehall perform all of Borrower e obligations under the declara6on or covenanta creatingor governing the condominium or ptanned unit development, the by-lawe and rngulations of the condominium or planned unit development, and conetituent documente. If a condominium or planned unit development rider ia execnted by Borrower and recorded together with thie Mortgage, the oovenants and ~ aKreements of auch rider shall be incorporated into and ahall amend and supplement thecovenanta and agreements of this Mortgage as if the ~ rider were a part hereof. ~ 7. Protection o! Lender's 3ecurity. If Borrower feila to perform the aovenant8 and agreements oontained in thie Mortgege. or if any ~ action or proceeding ie commenoed which materially affects Lender's intereat in the Property, including, but not limited to, eminent domain, insolvency~ oode enforcewent~ or arrangemente or prooeedings involving a bankrupt or decedeat, then Lender at Lender'e option,upon notice to Borrower may make euch appearances, diaburee euch aums and taice snch action aa ie neceseary to protect Lender's intereet, ~ including, but not limited to, diebureement of reasonable attorney'e fees and entry upon the Property to make repaira. If Lender reqaired . a mortgage insurance aa a condition of making the loan secured by this Mortgage, Borrower ehall pay the premiuma reqnired to maintain ~ euch ineurance in effect nntil such time ae the requirement tor sach inaurance terminatea in aooordance with Borrower'e and Lende~e ~ written agreement or applicable Law. Borrower shall pay the amount of all mortgege inaurance premiwna in the manner provided under y paragraph 2 hereof. ~ My-amounts disbursed by Lender persuant to thie paragraph 7, with intereet thereon, ahall become additional indebtednese of x Rorrower secured by thie Mortgage. Unleaa Borrower and Lender agree to other terme of payment, auch amounte ehall be payable upon ~ notice trom Lender to Borrower requeeting payment thereof, and ahall bear interest from the date of diebureement at the rate payable from time to time on outatanding principal under the Note unleae payment of intereet at auch rate would be aontrary to applicable law, in which ~ event such amounta ehall bear interest at the highest rate permiaeible under applicable law. Nothing contained in thie paragraph 7, shall require Lender to incur any expenee or take any action hernunder. ~ I ~ ~ ~ ~ s ~ . . seo~ 3U3 rac~ 7z5 ~ } ~ s~„~~- ~ ~ ; - _ ~:s ~ ~ - ~ . ~ ~ _ ~ _ . _ .