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HomeMy WebLinkAbout0730 . Bocrower and I.ender rnvenant and agree as follows: 1. Payment ot Principal snd lntereat. Bormwer ahall promptly pay when due the principal ot a~d interest un thf indebtednesa evidenced by the Note, prepayment and late charges as pmvided in the Note. und the principal of and interest on any F1ture Advances secut~ed by thie Mortga~e, i 2. Ptiu~ds for Taxea and Ineurance. Subject to applicable law or to a writte~ waiver by l.ender. Borrower ahall pay to i.ender on the day ~ monthly installmenta of principel and interest are payable under the Note, uniil the Note ie paid in full. a aum (herein "~nda") equal to one ~ twelRh of the yearly taxea end aseese?ments which may attain priority over this Mortgage, and giround rents on the Property, if any. plue one i twelfth of yearly premium inatallmenta for hazard inaurance, plua onetwelfth of yearly premium inatallmenta for mortgage insurance. if any, S all as reasonably eetimated initially and from time to time by l.ender on the basis of esaesamenta and billx and re~sonable ~timate~ thereoL # The I~nda ahaU be heW in an inatitution the deposits or accounte of which an insured or guaranteed by a Federal or State agency i (including Lender it Lend~ is such an inatitution). Lender ahall apply.the F~nds to pay eaid ta:es, aseeasments, ineurance premiums and ~ ground rents. Lender may not charge for so holding and applying the Ftitnde, analyzing said account, or verifying and compiling aaid ! asaessmenfa and bills. unleas Lender pays Borrower interest on the Funda and applicable law permite I.ende~ to make auch a charge. Borrower ' and Lender may agree in writing at the time of execution of this MortRage that interest on the ~nda ehall be paid to Borrower, and u~leas ~ auch agreement ia made or applicable law requirea such intereat to be paid, Lender ehall not be requited to pay Boroower any interest or earnings on the Fl~nds. Lender shaU give to Borrower, without charge. an annual accounting of the ~nde showing credits and debite to the F~nds and the purpoee for which each debit to the ~nds waa ~made. The Funda are pledged as additional eecurity for the aums eecured by this 4 Mortgage. If the amount of the I1nds held by Lender, together with the future monthly inatallments of Funda payable prior to the due dates of taxea, ' asaeasments, insurance premiums and ground rents. shall e:c+~ed the amount required to pay eaid taxes, aeseesmenfs, inaurance premiums and ground renta as they EaU due. euch e:ceaa ehall be, at Borrower'a option, either prompdy repaid to Borrower or credited b Borrower on monthly installments of I~nds. If the amount of the Funda held by l.ender ahall not be eufficient to pay ta~ces, assesamenfs, inaurance premiume and gronnd rents as they fall due. Borrower ahall pay to I.ender any amount neceseary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requeeting payment thereof. Upon payment in full of all eume eecured by thie Mortgage, I,ender ehall promptly refund to Borrower any funda held by Lender. If under paragraph 18 hereof the Property ia eold or the Property ie otherwise acquired by Lender, Lender ahall apply, no later than immediately prior to the eale of the Property or its aoquiaition by Lender. any fi~nda held by Lender at the time of application ae a credit againat the suma secured by thia Mortgage. - 3. Application of Payments. Unleae applicable law pmvidea otherwiee, all payments received by I.ender under the Note and paregrapha 1 and 2 hereof shaU be applied by Lender firat in payment of amounts payable to Lender by Borrower under paragraph 2 hereof. ~ then to intereat payable on the Note, .then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Chargee; Lieae. Borrower shall pay all taxea, assesaments and other rharges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold paymenta orground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directty to the payee thereof. Borrower shall promptly furnish to Ixnder all noticea of amounts due under this paragraph, and in the event Borrower shall make payment direcdy. Botrower ahall promptly furnish to I.ender reoeipts evidencing auch paymente. Borrower shall promptly discharge any lien which has priority over this Mort~age; provided. that Borrower shall not be required to discharge any such lien ao long as Borrower ahall agree in writinq to the payment of the obligation aecured by such lien in a manner acceptable to Lender, or ahall in good faith contest auch lien by, or defend enforcement of such lien in, legal proceedinga which operate to-prevent the enforcement of th~ lien or forfeiture of the Property or any part thereof. 5. Hazard Inauraace. Borrower shall keep the improvementa now existing or hereafter erected on the Property insured against loss by fire, heza[ds included within the term "eatended coverage," and $uch other hazards ae Lender may require and in such amounts and for such periods as L,ender may require; provided, that Lender shall not require such rnverage amount exceeding the minimum, as may be required by state or federal regulatione governing activities of Lender, or that amount of ooverage required to pay the aums secured by this Mortgage, whichever is the greater. 2 The inaurance carrier providing the insurance shall be chosen hy I3orrower subjeM to appmval by I.ender; pmvided, that such approval shall not be unreasonably withheld. All pmmiums on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, it not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier_ All ineurance policies and renewala thereof ahall be in form acceptable to Lender and shall include a standard mortgage clause in favor of and in form acoeptable to Lender. Lenderahall have the right to hold the policiea and renewals thereof, and Borrower ahall promptly furnish to i.ender all renewal notices and all receipts of paid premiuma. In the event of lose, Borrower ahall give prompt notice to the inaurance carrier and Lender. Lender may make proof of loas if not made pmmptly by Borrower. I Unlese Lender and Borrower otherwise agree in writing, inaurance procceds-shall be applied to restoration or repair of the Property damaged. provided such restoration or repair ia economically feasible and the security of this Mortgage is not thereby impaired. If such reatoration or repair is not economically feasible or if the security of this Mortgage would be unpaired, the insurance proceede shail be applied ! to the aums secured by thia Mortgage, with the eaoeas, if any. paid to Borrower. If the Property is abandoned by Botrower, or if Borrower faile to ' reepond to Lender within 30 daya from the date notice ie mailed by Lender to Borrower that the inaurance carrier offers to settle a claim for y ineurance benefita, Lender ia suthorized to collect and apply the insurance proceeds at Lender s option either to reatoration or repair of the ~ Property or the eums eecured by thia Mortgage. Unlese Lender and Borrower otherwiae agree in writing, any such application of proceeda to principal shall noi extend or postpone the due date of the monthly inatallmenta referred to in paragrapha 1 and 2 hereof or change the amount of such inatallmenta. If under paragraph 18 hereof the Property is aoquired by I.ender, all right, tide and interest of Borrower in and to any insurance policies and in and to the proceeda thereof resulting from damage to Property prior to the eale or aoquisition shall pasa to Lender to the eztent of the auma secured by this Mortgage immediately prior to auch aale or aoquisition 6. Preaervation and Maintenance of Property; Lease6olda; Condominume; Plenned Unit Developments. Borrower ahall keep the Property in good repair and ahall not cammit waste or pennit impairment or deterioration of the Property and shall oomply with the pmvieiona of any lesee if this Mortgage ia on a leaaehold. If thie Mortgage is on a unit in a condominium or a planned unit development, Borrower ehaU perform all of Borrower:s obligations under the declaration orcovenants creatingorgoverning thecondominium or planned unit development, the by-Iawe and regulatione of the condominium or planned unit development, and rnnetituent documenta. If a condominium or planned unit development rider ia e:ecuted by Borrower and recorded together with thie Mortgage, the oovenante and agreements of euch rider ahall be incorporated into and shall amend and supplement the covenants and agreementa of this Mortgage as if the rider were a pert hereof. ~ T. Protection of I.ender's Security. If Borrower faila to perform the oovenanta and agrcemente contained in this Mortgage, or if any action or proceeding ie commenced which materiallq affecte Lender'e intereat in the Property, including, but not liauted to, eminent domain, ins~lvency, aode aiforoemen~ or arrangemente or proceedinge involving e bankrupt or decedent, then Lender at Lender'a option.upon ~ notice to Barrower may make such appearances. disburee euch eums aad take auch action as is necessary to protect I,ender's intereat, inclpding, but not limited to, disb~raement of reasonable attorney's feee and entry upon the Property to make repaire. If Lender required A mortgage ineurance aa a condition of making the loan eecured by thie.Mortgage. Borrower ahall pay the premiuma reqnired to maintain ~ wch insurance in effect antil euch time as We requirement for such insura.nce terminates in accordance with Borrower's and Lende~'e ~ written agreement or applicable Law. Borrower ehall pay the amount of sll mortgage ineurance premiums in the manner provided under ~ PareBrePh 2 heceof. #1 My amotuita disbnteed by Lender perauant to thie paragraph T, with intereet thereon, ahall beoome additional indebtednees of • ~ Borrower eecured by this Mortgege. Unlees Borrower and Lend~ agree to other terima of payment, such amounte ehall be payable upon notice from Lender to Borrower requeating paymenL thereot, aad shall bear intereat from the date of diabureement at the rate payabie from time to time on outatanding principal under the Note unleee payment of intereet at aach rate would be oontrary to applicable law, in which event euch amounts shall bear intereet at the higheet rate permieaible under applicable law. Nothing rnntained in thie paragraph 7, ehall require [.ender to incur any expenee or take any action here~nder. j ~ ~ - _ 5ei~ 3U3 ~ar~ - 72g ~ - 4..~~~~~.~ ~ ~ 5 - - . - { F~ - ~ ~ }4~ ;