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HomeMy WebLinkAbout0924 . ~~NIfORlI Co~'f.NAAiTS, Bp[TpNCi and l.endrr ~o~•c•nant aud agree as tolloa•s: 1. Paymeat of Pripc7pal and Interest. Borrow•er shall prom~ul~• pay when due the principal of aud iiltcrrst on tht indebtediiess e~•idenced by the Note, prepa~-ment aiul latr cl~arges as }~rovidtd iu thc \ute, and the prin~ipal u( and inter- est on any Future Adva~ca xcurecl by this \lorigage. 2, flrada for Taxa and Iawrance. Subject to applicable law or to a written Nai~•er by Lei~der. Borroh•er shall pay to I.ender on the day monthly installments o[ principal and i~~teres( are payable un~ler the Note, untii the Note is paicl in tull, a sum (herein "Funds") equal to one~ta•cl[th o[ the ~•early taxes and autvmruts which may attain ~priority ovrr this l~Jortqage, and ground rents on tht Pmpetty, it any, plus onrcwclfth o[ yearly premium installmenu tor tWiard iusurance, plus onrtMel[th of yearly premium i~~stallmenta tor mottgage insurance, i[ any. all as rrawnably estimated iuitially and trom time to time by I.cnder on the basis o( assea~ments and bills a~id reasc?nable estimates theteof. Tht Funds shal! be htld in an ir~stituteon the deJwsiu or atcounts of which are iusured or guaranteeci b~• a Fedenl or state age~cy (intluding Lender if Lender is such an institution). Lrnder shall apply tlie Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not chuge tor w holdiog aud appl~~inq the Funds, anal}'zii~q said ac- count, ot ~•Kifying and compiling said assessmenu aud bills, unless Lender pays Borrower ireterest on the Funds anel ap- plicable law permits Lender tQ make such a charge. Borrower and Leoder may agree iu writing at the time ot execution of - thic :liortgage that interest on the Fun~ls shall be paid to BorroMer, and unless such agreement is made or applicable law requires such intemt to be paid, Lender shall not be required to pay Borrower any interest ar earninqs on the Funcls. L.ender shall give to Botro~?rer, without chatge, an annaal accounting of the Fur~ds showiug treclit+ aud debits to the Fw~ds and the purpose tor which each debit to the Funds ras made. The Funds are pledgeci as additional security [or the sums secured by chis A~ortgage. If the amou~t of the Funds hetd by Lender, together with the iuture monthly inscaltments o[ Funds payable prior to th~ clue dates of taxts, assessments, insurance premiums and ground rents, shall exceed the amount requiteci to pay said ~ taxts, a~sesstnents, insurance premiums and ground renu as the} [all due, such excess shali be, at 13orrovrer's option, either promptlp repaid to Borrovrer or credited to Borrower on monthly installments ot Fu~nls. If the amount of the Funds held by Lender shali not be su[ticient to pay taxes, auessments, insurance premiums and ground rer~ts as they fall due, Borrower shall pay to Lender any amount necessary to make up the de[iciency within 30 days from the date notice is mailed by Lender to -Borrower requescing payment thereof. Upon paythent in [ull oE all sums secured by this iltortgage, Lender shaii prompttr rtfund to Borroker any Funds held by L.ender, IE under paragraph 18 hereo[ the Property is sold or the Property is otherwise acquireci by l.ender, Lender shall appl~•, no later than immediately prior ta the sale oE the Property or its acquisition by I.ender, any -Funds held by Lender at the time of application as a credit aRainst the sums secured by this ~iortgap,e. 3. Application of Pa~nents. Unless applicable law pro~•ida otherwise, all payments recei~•ed by Lender under the I~ute and paragrap~is 1 and 2 hereo[ shalt be appliect by Lender first in pa}~ment o[ amounts pa}•able to I,ende~ by BorroMer under paragraph 2 htteof, then to interest pa}•able mi tfie Note. then to the principal oi the Note, and then to interest and - principal on any Future Advances. _ 4. C6arge~ Liens. Borrower shall pay all taxes, assessments and other charpes, fines and impositions aetributable to the Property which may attain a priority o~~er this ~tortgage, and leasehold pa~znents or gtound rents, i[ au~~, in the man- ner pto~•ided undet paragraph 2 heteoi or, ii not paid in such manner, bc Borrow•er makinR pa~ment, r.hen due. directl} to the pa~•ee thereof. Bortower shaU promptly [urnish to Lender all notices o! amounts due uncler this ParaRraph, and in the evene Borrower shall make payment directly. Borrower shall promptly [urnish to Lender receipts e~~idencing such paytnents. Bonower shall promptly discharqe any lien which has priority o~•er this \fortgaRe: pro~-ideci, thac Borrow•er shall not be re- quired to dixftarge any such lien so lonq as Borrowet shall agree in writing to the payment ot the obligation secured b}' suth lien in a manner acceptable to Lender, or shall in ~cxxl taith contest such lien by, or de(end enforcement of such lien in, le- Ral proceedinRs rvhich operate to pre~•ent the en[orcement of the lien or forfeiture of the Property or any part thereaf. 5. Ha~rd Insurance. Botrower shall keep che improvements now existing or hereafter erected on the Property in- sured against Ioss by fire, hazards included wiehin the te.m "extendeci co.~erage", and such oeher hazards as Le~~eier may re- quire anc! in such amounts and tor such periods as Lender ma~• rcquire: provided, that Lender shall not require that .the amount oE such coa•enge exceed thae amount o[ co~•etage required to Pa~ the sums secured by this \tottgaRe. 'The insurance carrier providing the insurance shall be chosen by BorroMer subject to appro~•al b~• Lender: provided. that such apPro~•ai shalt not be unreasonably w•ithlield. :lll premiums on insurance polecies shal) be paid in the manner pro~~ided under paragtaph 2 hereof or, if not paid in such manner, b~ Borrower makin~ payment. ~rhen due, directly to the insunnce carrier. _ All insurante policies and renewals thereo[ shall be in form acteptable to Lender and shall include a standard mort- qage clause in fa~~or o( and in form acceptable to Lender: Lender shall ha~-e the right to hold the~ policies and mnewals thereot. and Borrower shall promptly furnish to Lender all renewal notices a~d all receipcs cif paid premiums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender ma}• make proo[ of loss iE not made promptly by Borrower. ~ ~ Unless Lender and Borrower otherwise aRree in rsriting, insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restoration or repair is economicallv Eeasible and the security of this \fortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the securit~• of this \tortqage woutd be im- paired, the insurance proceeds shall be applied to the sumc secured bt this ~tortgage, with the excess, if any, paid to Bor- rox•er. IE the Property is abandoned by Borrower, or if Borrow-er iails to respond to Lender within 30 da~s from the date notice is mailed by I.ender to Borrower that the insurance carrier offers to settle a claim ior insurance bene[its, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair oi ehe Property or to the sums secured by~this \fortgaRe. Untess Lender and Borrower otherwise agree in writing, an~ such applitation of proceeds to principal shall not extend or postpone the due date of the monthly instaUments reterred to in paraqraphs 1 and 2 hereof or change the amount of suth instaUments. I( under paraqraph 18 hereof the Property is acquired b~• Lender, all riRht, tide and interest of Botrower in and to any insurance policies and in and to the proceeds thereof resultinR from damage to the Propere} prior to the sale or acyuisicion shall pasc to Lender to the extent o( the sums secured by this ~tortRage immediately •prior to such sale or acquisition. _ • 6. Preaervation and Ataintenance of Propercy; Leaseholds; Condominiums; Planned Unit Developments. Borrower sl~all keep the Property in gcwd repair and shall not commit waste or permit impairment or deterioration of the Propetty and shal! comply Hith the provisions of any lease if this ~tortRage is on a leasehold. I( ehis ~(ortqage is on a unit in a condomieium or a planned unit de~•elopment, Borrower shall perform all o[ Borrower's obligations under ehe declaration or covenants creating or go~~erni~~g the condominium or planned unit development, the by-laws and regulations of the condo- minium or planned unit development, and constituent documerets. If a condominium or planned unit de~•elopmen[ rider is ~ executed by BorroMer and recorded toRether with this ~tortgage, the covenants and agreements o( such rider shall be in- corporated into and shall amend and supplement the'co~•enants and aqreements of this ~tortgage as if the rider were a part hereof. ~ ~ 7. Protection oE I.ender~ Security. If Borrower faits to perform the covenants and agreements contained in this 1?fortqage, or it any action or proceedinq is commenced which materially aftects I.ender's iiaterest in the Property, including, but not limited to. eminent domain, insokency, cocle entorcement, or arrangements or proceedings im•oking a bankrupt or decedent, then Lender at L.ender's option, upon notice to Borrower, may make sucl~ appearances, disburse such sums and take such action as is necessary to protect I.ender's interest, includinq, but not limitecf to. disburaement of reasonable , attorney's fees and entry upon the Propert~~ to make rcpairs. If Lender required mort~ap,e insurance as a tondition o[ making the loan secured by this \tortqage. $orrower shall pav the premiums required to maintain wch insurance in et- (ecc until such time as the requirement for such insurance terminates in accordance with Bonower's and Lendet's written ~ ~co~ ~3 ~acE _ . - = . . _ . ~ . .