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HomeMy WebLinkAbout0754 8orrower and l.ender covena~t and ag~ee ae [ollows: 1. Payment ot Principal end I~terert. Borrower ehall promptly pay when due the principal oi and intereat on the indebtedness evidenced by the Note, prepayme~t artd late chargee as provided in the Note, and the principal of and interest on any I~titure Advancee secured by this Mortgage. 2. F~und~ [or Ta~te~ and Insurance. Subject to applicable law or to a written waiver by l.ender, Rorrowe~ ahull pxy to l.ende~ on the day monthly inatallme~ts of principal and interest are payable under the Note, until the Note is paid i~ fuU, a sum the~ein "!~'unds") equal to o~o- twelRh of the yearly taxee and assesamenta which may attain priority over thia Mortgnge, a~d ground rents on the Property, if any. plua on~ ' twelfth of yearly premium inatallmente for hazard inaurance, plus onetwelfth ofyearly premium inatatlmente for mortgage inaurance, if any, all as reaaonably estimated i~itially and from time to time by l.ender on the basis of assessmenta and billa and reaaonable estimatea thereot. 'IR~e ~nds shall be held in an irtatitution the depoaits or accounta of which are ineured or guaranteed by a Fede~al or State agency ; (including Lender if Lender ia auch an inatitution). I.ender ahall apply the Funds to pay eaid taxea, assesaments, ineurance premiume and j ground rente. Lender may not charge for eo holding and applying the ~nds, analyzing said account, or verifyir?Q and compiling eaid ~ aesessments and biUs, unl~e Lender pays Borrower interest on the ~nda and applicable law permits Lender b make such a charge. Borrower ~ and Lender may agree in writing at the time of execution of thia Mortgage that intereat on the ~nde ahall be paid to Borrower, and unless ~ such agrcement is made or applicable law requires such interegt to be paid, Lender shall not be required to pay Bormwer any intereat or earninga on the Flinds. l.ender ahall give to Borrower, without charge, an annual accounti~g of the Funds showing credits and debite to the ~ ~?nde and the parpose [or which each debit to the Fu~da was made. The F~nds are pledqed aa additional eecurity for the aums eecured by thia ~ Mortgage. ° If the amount of the ~nde held by I.ender, together with the future monthly instaliments of Fu~da payable prior to the due datea of ta:ee. ~ asseeamenta. inauranoe premiums and ground renta, shall exczed the amount required to pay said taxes. aesessmente, inauennce premiuma and ground renta as they fall due, such exceae shall be. at Borrowe~ a o~ion, either promptly repaid to Borrower or credited to Borrower on ~ monthly inetallments of ~nds. If tt~e amount of the Funds held by I.ender ahall not be eufficient to pay taxee, aseeaemente, insurance premiuma and ground rents as they fall due, Borrower ahall pay to Lender any amount necessary to make up the de6ciency within 30 days from the date notice is mailed by Lender to Borrower ~equeating payment thereoL 3 Upon payment in full of all auma eecured by thie Mortgage, Lender ahall prompdy refund to Borrower any funds held by I.ender. If under i paragraph 18 hereof the Property is eold or the Property is otherwi$e acquired by Lender. Lender ahall apply, no later than immediately prior ? to the sale of the Pro rt or ita a uisition b Lender. an Fund$ held b l.ender at the time of a lication as a rredit ~ Pe Y «1 y y y pp againattheaumseecund ± by thie Mortgage. ~ ~ ~ 3. Application of Paymeats. Unlesa applicable law pmvides otherwise, al! paymente received by Lender under the Note and ~ paragrapha 1 and 2 hereof shall be applied by Lender firet 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 intereat and principal on any Future Advences. 4. Charges; Liena. Borrower ahall pay al! taxea, assesaments and other charECes, fines artd impositiona attributable to the.Property which may attain a priority over this Mortgage, and leasehold paymenta or ground renta, if any, in the manner provided under parugraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to i.ender all notices of amounts due under this paragraph, and in the event Borrower shall make payment direcdy, Borrower ahall promptly furnish to Lender receipts evidencing such paymenta. Borrowerahall promptly diacharge any lien which has priority o~ er this Mort{;age; provided, that F3orrower ahall not be required to discharge any such lien so long as 13orrower s.hall agree in writinq to the payment otthe obligation secured by such lien in a manner acceptahle 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 Iaeurance. Borrower shall teep the improvements now e:iating or hereafter erected on the Property insured against loss by fire. hazarda included within the term "extended coverage," and such other hazards as Lender may require and in such amounta and for such periods as Lender may require; provided, that Lender ahall not require auch ooverage amount ezceeding the minimum, as may be required by state or federal regulationa governing activities of l.ender, or that amount of rnverage required to pay the auma secured by this Mortgage, whichever is the greater. The insuranee carrier providing the insuranrn. shall be chosen.by Borrower subject to approval by l.ender, pmvided, that such approval shall not be unreasonably withheld. All premiums un insurance pulicies shali be paid in the manner pruvided under par:~Qraph 'l hereof or, if not paid in such manner, by Borrower making payment; when due, directly to the insurance carrier. A!1 ineurance policiea and renewale thereotahall be in form acceptable to [.ender and ahall include a standard mortgage clauae in favot of - and in form acceptable to I.ender. [.ender ahall have the right to hold the policies and renewals thereof, and Eiorrower ahall promptly furnish to ~ i,ender all renewal notices and all receipts of paid premiums. In the event of losa, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of lose it not made prompdy by Borrower_ . Unleas Lender and Borrower otherwiee agree in writing, "insurance proceeds shall be applied to reatoration or repair of the Property ' damaged, prnvided auch reatoration or repair is economicaUy feasible and the eecurity of this Mortgage is not thereby impaired. If auch ~ reatoration or repair ie not economically feasible or if the eecurity of this Morigage would be impaired, the ineurance proceeda shall be applied € to the eums secured by this Mortgage, with the excess, if any, paid to Borrower. If the Property ie abandoned by Borrower, or if Borrower faila to respond to L.ender within 30 daye from the date notice is mailed by I.ender to Borrower that the insurance carrier ofters to settle a claim for • insurance benefite, Lender is suthorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the ~ Pmperty or the aume eecured by thie Mortgage. ~ Unlesa I.ender and Borrower otherwiee in writin an such a lication of mceeds to nnci 1 Bhali not extend or a8ree 8, y pp p p' Pa poatponethedue date of the monthly inatallmenta referred to in paragrapha 1 and 2 hereof or change the amonnt of such inatallments. If under paragraph 18 hereof the Property ie aoquired by Lende~, all right, tide and interest of Borrower in and to any insurance policies and in and to the proceeda thereof reaulting from damage to Property prior to the sale or soquisition ehall paea to Lender to the eztent of the sums aecured by thia Mortgage immediately prior to euch aale or aoquisition. 6. Preeervation and Maintenance of Property; Leaseholde; Condominuma; Planned Unit Developmente. Borrower shall keep the Property in gmd repau and ahall not commit waste or permit impairment or deterioration of the Property and ehall comply v~ith the _ proviaions of any lease if thie Mortgage ie on a leasehold. If this Mortgage ie on a unit in a oondominium or a planned unit development, Aorrower shall perform all of Borrower e obligationa under the declaration or covenants creaiinqor governing the rnndominium or planned unit development, the by-laws and regulationa of the condominium or plac~ned unit development, and conetituent documente. If a condominium or planned unit development rider ia e:ecuted by Borrower and recorded together with thia Mortgage, the oovenanta and agreementa of auch rider ahall be incorporated into and ahakl amend and supplement the covenanta and agreementa of this Mortgage as if the ~ rider were a_ parf hereof. ~ 7. Protection of Lender's 3ecurity. If Borrowe~r lails to pertorm the oovenants and agreements contained in thie Mortgege, or if any action or proceeding is commenoed which materially affecte [.endei e intereat in the P[operty, including, but not limited to, eminent domain. ineolvency, oode enforcement, or arrangemente or pmceedinge invoiving a bankru~ or decedent, then Leader at Lender's optioa,upon notice to Borrower may ma1~e euch appearancea, diaburee euch euma and take such action as is neoeeaary to protect I.ender's intereat, ~ inclnding, bat not limited to, disbureement of reseonable attorney e teee and entry upon the ~roperty to make repai:s. If Lender required mortgage ineurance as e condition of making !he loan secured by thie Mortgage, Borrower aha11 pay the premiume required to maintain ~ euch ineurance in effect until auch time as the requirement for euch inaurance terminatee in accordance with Borrower'a and Lender's ~ written agreement or applicable Law. Borrower ehali pay the amount of all mortgage insurance premiuwe in ihe manner provided under ~ paragraph 2 hereof. ~ My amounte diahureed by Lender pereuant to lhia paragraph 7, with interest thereon, ehall beoome additional indebtedness of ' Borrower secured by this Mortgage. Unleee Borrower and Lender agree to other terme of payment, auch amounte ahall be payable upon ~ notice from I.ender to Borrower requeeting payment thereof, and ahall bear interest from the date of diabureement et the rate payable from time to time on outetanding principal under the Note unleae payment of interest at euch rate would be oontrary to epplicable law, in which ~ event euch amounts ahall bear interest at the higheet rate permieaible under applicable law. Nothing rnntained in thie paragraph 7, ehall ~ require Lender to incur any e:penee or take any action hereunder. :z ~ ' ~ gn~~ vS'~~ 753 ~ . . ~ ~ yG y - - - ~ - "Y _ ~'''~.S " . _ ~ _ . r9N.erf",':'::`.:i _