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HomeMy WebLinkAbout1025 . ; . . i I;ocrower and L,ender covenant and agree as follows: ~ l. Payment of Prlncipal sad Intereat. ~3orrower shail promptly pay when due the principal of and inte~eat on the indebtednesa ~ evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interest on any ~tun Advances aecured ~ by this Mortgage. 2. ~tnde for Tazee and Ineurance. Subject b applicable luw or to a written waiver by Lender, Borrower ahall pay to t.e~de~on the day monthly installmenta of principal und interest are payable under the Note, until the Note ia paid in fuU, A sum (herein "I~'unds") equal to one twelfth of the yearly taxee and easeesme~ta which may att~?in priority over this Movtgage, and ground renta on the Properiy, if any, plus one twelflh of yearly premium inatallments for hazard insurance, plua onPtwelfth ofyearly premium inetAllmenta for mortgage inaurance, if any, aU aa reaeonably eatimated initially and from time to time by l.ender on the baeie of assesamente and biUs and reaaonable eatimates thereoE , 'l~e fi~nds ahaU be held in an institutio~ tha depoeits or accounfa oi wbich are inannd or guatanteed by a Federsl or State agency j .lincluding I.ender ii l.ender is euch an inatitution). I.ender shall apply the Funda to pay esid taxea, aseesame~ta, ineuranoe premiums and ground r~nts. Lender may not charge for eo holding and applying the Funde, analyzing said account, or verifying and compiling said ~ aeeeasments and biAe, unleee Lender pays Borrower interes: on the Ftinde and applicable law pem~its Lender to make auch a charge. Born,we~ aqd Lender may agree in wtiting at the time of execution of this Mortgage that intereat on the F~nds ahall be paid to Borrower, and unless ; auch agreemet~t is made or applicable law requiree such intereet to be paid. l.ender shall not be required to pay Borrower any interest o: ~ earninga on the Flic?da. Lender shall give to Borrower, without charge. an annual accvunting of the Funda showing credits and debit8 to the F unde and the purpose [or which each debit to the ~nda was made. The Funde are pledged as additional eecurity for the aume secured by this Mortgage. t If the amount of the Ftinda held by Lender, together with the future monthly inatallmente of Funda payable prior to the due datea of taaes, aseesamente, inaurance premiums and ground rents, ehall e:ceed the amount required to pay said taxes, asaeasmenla, ineurance premiums and ground nnte ea they fall due. such ezcess shall be. at Borrower'a option, either promptly repaid to Borrower or c~edited to Borrower on monthly installmenLs of ~Lnda. If the amount of the Funde held by Lender shall not be aufficient to pay t~es, aseesamenta, insarance premiums and ground renfa as they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 daya from the date notice is mailed by l.ender to Borrower requeeting payment thereof. Upon payment in full of all sums eecured by this Mortgage; Lender ahall prompdy refund to Borrower any funde held by Lender. If undei paregraph 18 hereof the Property is aold or lhe Rroperty ia otherwiee acquired by l.ender. I.ender ahall apply, no later than immediately prior to the sale of the Property or ita acquieition by l.ender, any Funds held by Lender at the time of application as a credit against the suma secured by this Mortgage. 3. Application of Paymente. Unlese applicable law providea otherwise, all payments received by L.eader under the Note and peragraphe 1 and 2 hereof shaU be applied by l.ender first in payment of amounte payable to L.ender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to intereat and principal on any Future Advances. 9. Charges; Liens. Borrower ahull pay all taxes, asseasments and other chazges, finee and impositions attributable to the Property which ! ~ may attain a priority over this Mortgage, and leasehoid payments or ground rents, if any, in the m~?nner provided under paragraph 2 hereof or, if not paid in euch manner, by E3orrower making payment, when due, direcHy to the payee thereof. Borrower shall promptiy fumish to I.ender ~ all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, l3orrower shall promptly furnish to ; I.ender receipts evidencing such payments. Borrower shaU promptly dischArge any lien which has priority over this Mortgage; prnvided, that Borrower shall not be required to discharge any such lien so lonq as Borrower shall agree in writing to the payment of the obligation secured by . such lien in a manaer acceptable to Lender, or ahall in good faith contest such lien by, or defend enfurcement of such lien in, legal proceedings ~ wtiich operate to prevent thr enforcement of the lien or forfeiture of the Properiy or any part thereof. .5. Hazard Inaurance. Borrower shall keep the improvementa now existing or hereafter erected on the Property insured againat losa by fire, hazards included within the term "extended coverage," and auch other hazards as I.ender may requim and in such amounte and for such periods as Lender may require; provided, that Lender ahall not require auch ooverage amount exceeding the minimum, as may be required by ~tate or federal reguladons governing activities of Lender, or that amount of rnverage required to pay the eums secured by this Mortgage, whichevec is the greater. The insurance carrier providing the insuram-e shall be chosen by liorrow•er subjert to approval by [.ender, provided, that such appn?val ? Gha11 not be unreasonably withheld. All premiums on insurance polirirs sh~ll be paid in the manner pm~~ided under paragraph 2 hereof or, if ' not paid in such manner, by Borrower making payment~, v~hen due, directly to the insurance camer. . All ineurance policiea and mnewale thereof shall be in form acceptable to Lender and ahall include a atandard mortgage clause in favor of " and in form acaeptable to Lender. Lender shali have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to i,ender all renewa) notic~ and all receipta of paid premiums. In the event of loss, I;ormwer ahall give prompt notice to the inaurance carrier and I.ender. I.ender may make proof of loss if not made prompdy by ~Borrower. ! Unlesa Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to reatoration or repair of the Property i, damaged, provided such restoration or repair is economically feasible and the security of thie Mortgage is not thereby impaired. If such + ; reatoration or repair is not economically feasible or if the security of this Mo~tgage would be impaired, the inaurance proceeda ahall be applied ' ~ to the eums secared by t6is Mortgage, with the eaceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to reapond to Lender within 30 daya from the date notice ia mailed by Lender to Borrower that the insurance carrier ofiers to setde a claim for ~ ~ inaurance benefite, Lender ia authorized to collect and apply the insurance proceeds at I~nder's option either to reatoration or repair of the ~ Propetty or the suma eecured by this Mortgage_ - ~ Unlesa Lender and Borrower otherwiae agree in writing, any such application of proceeds to principal ahall not extend or postpone thedue _ ~ date of the monthly inatallments referred to in paragraphs 1 and 2 hereof or change the amount of such installmenta. If under paragraph 18 [ hereof the Property is aoquired Dy Lender, all right, tide and interest of Borrower in and to any insurance policies and in and to the pcoceede ` ~ thereof resulting from damage to Property prior to the sale or acquiaition shall paea to I:ender to the eztent of the sume secured by this Mortgage immediately prior to such eale or aoquisition. ~ ~ 6. Preservation and Maintenance of Property; Leaseholda; Condominuma; Planned Unit Developments. Borrowershall keep : the Property in good rnpair and ahall not commit waste or permit impairment or deterioration of the Propetty and ehall comply with the proviaions of any lease if this Mortgage ia on a leasehold. If this Mortgage ia on a unit in a oondominium or a planned unit development, # Borrower shall perform all of Borrower g obligationa under the declaration or covenante creatingor goveming the condominium or planned s unit development, the by-laws and regulationa of the condominium or planned tu?it development, and conatituent documenta. If a condouninium or planned unit development rider ie e:ecuted by Borrower and recorded together with this Mortgage, the oovenants and ? agreements of sdch rider shall be incorporated into and shall amend and supplement the covenanta and agreements of this Mortgage as ifthe ~ ~ rider were a part hereof. , 7.' Protection of Lender'e Security. If Borrower faile to perform the oovenante and agreemente oontained in thie Mortgage, or if any # ~ action or proceeding is commenced which materially effecte Lender s interest in the Property, including, but not limited to, eminent domain, : ; inaolvency, aode enforcement, or anangemente or proceedings involving a banlwpt or decedent, then I.ender at I.ender's option,upon ~ notice to Borrower may make euch appearanoes, disburee auch snms and take euch action ae is neceseary to protect Lender's interest, ~ including, bnt not limited to, diabureement of reaeonable attorney e fees and entry upon the Property to make repaire. If I.ender required ~ ~ mortgage ineurance aa a condition of making the toan aecnred by thia Mortgage, Borrower ahall pay the premiams required to maintain , ¢ euch inenrance in effect until euch time ae'the requirement for such inaurance terminatee in accordance with Borrower e and Lende~s ~ written agreement or applicable Law. Borrower shall pay the amount of all mortgege insurance premiuma in the manner provided under ~ ParagraPh 2 hereoL . ~ My amounte diaburaed by Lender pereuant to thie paragraph with intereet thereon, ahall beoome additional indebtedneae of a~ Borrower aecured by thia Mortgage. Unlese Borrower and Lender agree Lo other terms of payment, auch amounte ahell be payable upon notice from Lend~ to Borrower requesting payment theteof, and ahall bear intereet frvm the date of diebureement at the rate payable from ~ time to time on outstanding principal under the Note unlese payment of interest at such rate would be oontrary to applicablelaw, in which ~ event such amounte ahall bear interest at the higheat rate permieaible under applicable law. Nothing contained in this paragraph 7, shall require Lender to incur any expenae or take any action hereunder. ~ ' . ~ ~ Bo~K303 ;A~~1024 ~ . : ~ ~ a _ ~ : . . : - ~ -