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HomeMy WebLinkAbout1029 ! Borrowe~ and Leader covenant and aQree a~ follows: ~ 1. Payment of Principal aad Intereat. Borrower ahall prompdy pay when due the principal of and interest oa the indebtedness f evidenoed by the Note, pTepeyment and late charges as provided in the Note, and the principal oi and inlerest on any Future Advances secured : . ~ by thie Mortgage. : 2. I~tnds for Taxes and Insutanoe. Subjed b applicable law or to a written waiver by Lender. Borrower shall pay to Lender on the day monthly inatallme~ts of principal and intereat are payable u~der the Note, until lhe Note is paid in fuU, a eum (herein "l~~~da") equal b onc- ? twelfth of the yearly laxcs and ussesements which may attain priority over thie Mortgage, and ground rents on the Property. if any, pius onc twelfth of yearly premium inataliments for hatard insurance. plus onetwelRh of yearly premium inatallments for mortgage inaurance, if any. all es reasanably eatimated initially and from time to time by Lender on the basia of asseeame~ts and biUa and reasonable estimates thereof. ~ Ths P1usd~ shall be held in an institutioa the depo~ita or aooounts of which are iasurod or guaranteed by a Federal or State agency } (including I.ender if Lender is such an inatitutioa). Lender shaA epply the Funds to pay said ta:es, asaeeamenta, insuranoe premiuma and ~ ground rents. Lender m~y not charge for so holding and applying the ~Lnds, analyzing said account, or vrrifyiag and rnmpiling eaid ' aseessraenta and billa. unless Lender pays Borrower interest on the FLnda and applicable law permite I.ender to make such a charge. Borrower ! end Lender may agree in writing at the time of execution of thii Mortgage that intereat on the ~nds ehaA be paid to Borrower. and unlees such agreement ia made or applicsble law requiree 0uch intereat to be paid. Lender ahall not be required b pqy Bonroaer any interest or , earnings on the PLnds. Lender ahaU giva to Borrower. ~vithoat charge. an annual accounting of the Funde showing credits and debita to the Fnnds and the purpose for whi~h each debit to the ~nds was made. The Funds are pledged as additional security for the eums aecured by this ~ Mortgage. • ~ ~ If the amount of the FLnds held by Lender, together with the futun monthly inetallments of Funds payable prior to the due datea of t~ea. eaa~ameats. inearanoe premiums and ground rents. ahall exazed the amount required to pay eaid taues. aseessments. inaurance premiums and ground rents as they fall due. auch exoeea ehall be. at Bo?rower a option, either pmmpdy repaid to Borrowez or credited to Borrower on - monthly instaUmenta of I~nds. V the amount of the Funds held by Lender ehall not be euPficient to pay ta:ea, aeeesaments. ineurance premiume and ground rents ae they fall due. Borrower ehaU pay to Lender any amount neceseary to make up the deficiency ~ithin 30 days from the date notice ia mailed by Lender to Borrower requeating p~rment thereaf. . Upbn payment ia full of all sums secured by thie Mortgage, l.ender ehall promptly refund to Bormwer any funda held by Lender. Uunder paragraph 18 hereof the Property ie sold or the Property ia otherwise acquired by Leader, I.ender shaU apply, no later than immediately prior ~ to the eale of the Property or its aoqaiaition by Lender, any ~nda held by Lender at the time of application ae a credit againat the sums aecured by this Mortgage. 3. Applicadon of Paymente. Unless applicable law pmvidee otherwiee. all paymente reoeived by I.ender under the Note and paragrapha 1 aad 2 hereof ahall 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, thea to the.principal of the Note, and then to intereat and principal on any Future Advancea 4. C6argea; Liene. Borrower ahall pay all ta:ea, aeeesements and other chargea, finea and impoeitiona attributable to the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, itany, in the manner pmvided under paragraph 2 hereof or, if not paid in auch mann~. by Borrower making paymen~ when due, directly to the payee thereof. BorrowershaU promptly fi~rnish to I.ender all notices of amounts due under thia paragraph, and in the event Borrower shall make payment directly, Borrower ahall promptly furnish to Lender receipts evidencing such payments. Borrower ahall promptly discharge any lien which has priority over thia Mortgage; provided. that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the paymentof the obligation aecured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, ur defend enforcement of sach lien in, legal proceedings which operate to prevent the enfomement of the lien m forfeiture of the Property or any part thereof. • 5. Hazard Insurance. Borrower ahall keep the improvements now ezieting or hereafter erected on the Propedy insured sgainat loea by fire, hazsrds included within the term "Pactended rnverage," and such other hazards ae I.ender may require and in such amounte and for auch periode as Lender may require; pmvided, that I.ender ehall not require such aoverage amount e:ceeding the minimum, aa may be require~ by state or federal regulationa governing activitiea of Lender, or thaE amount of rnverage required to pay the aums secured by thie Mortgage, whichever ia the greater. The insurance carrier providing the insurance sha11 be chosen by Borrower subject to approval by L•ender, pmvided, that such approval ahall not be unreasonably withheld. All premiums on insurance poticies shall be paid in the manner provided under paragraph 2 hereof or, if not paid in such mannar, by Borrower making payment, when due, directly W the insurance carrier. All inaurance policies and renewals thereof shaU be in form accepteble to Lender and ahall include a standard mo~rtgage clauee in favor of and in form aoceptable to Lender. I.ender ehall have the right to hold the poliriea and renewals thereof. and Borrower shall promptly furniah to i,ender.all renewal notioes and allzeoeipta of paid ptemiume. In the event of loes, Borrower ahall give promp! notice to the ineurance carrier ' and Lender. Lender may make proof of loas if not made promptly by Borrower. ; Unlesa Lender and Borrower otherwiee agree in writing, inaurance prooeeda shall be applied to reetoration or repa'u of the Property ' damaged, provided auch reatoration or repair ia economically feasible and the security of this Mortgage is not thereby impaired. If such ~ ieatoration or repair is not eoonomically feaaible or if the security of this Mortgage would be impaired the inaurance proceeds ahall be applied ~ to the auma secured by thia Mortgage, with the excesa, if any. paid to Bormwer. If the Property is abandoned by Borrower, or if Borrower faile to respond to Lender within 30 days from the date notice ia mailed by Lender to Borrower that the insurance carrier offers to eetde a clai.m for ~ inenrance benefite, Lender is autharized to rnllect snd apply the insurance proceeds at Lender s option either to reatoration or repair of the Property or the aums secured by this Mortgage. ~ Unlese Lender and Borrower otherwiee agree in writing, any auch application of proceeda to principal ahaU not e:tend or poatpone the due date "of the monthly instaUmente referred to in paragrapha l and 2 hereof or change t6e amount of snch installmente. If under paragraph 18 i hereof the Property ia aoqaired by Lender, aU right, title aad intereet of Borrower in and to any insurance policies and in and to the proceede thereof reaulting fmm damage to Property prior to the sale or acquiaition shall pass to Lender to ihe eztent of the euma eec~red by thia Mortgage immediately prior to auch sale_ or aoquisition. • 6. Preaervation and Maintenance of Property; I.easeholde; Condominums: Planned Uait Developmente. Borrower ahall keep the Property in good repair and ehall not commit waste or permit unpairment or deterioration of the Awperty and ahall comply with the provisiona of any lease if this Mortgage is on a leasehold. IPthia Mortgage ie on a unit in a oondominium or e planned unit development, Borrower shall perfonn all of Borrower's obligationa under the declaration or covenanta creatingor governing the rnndomini~un or planned unit development, the bylaws and regulationa of the condominium or planned unit development, and oonatituent documents. If_ e ~ condominium or planned unit development rider ie e:ecuted by Borrower and recorded together with thia Mortgage, the oovenante and ~ agreementa of aucli rider ahall be incorporated into and ahall amend and aupplement the covenants and agreements of this Mortgage as if the - rider were a part hereof. 7. Protection ot Lender's Security. If Borrower faile to perform the ouveaanta and agreements oontained in this Mortgage, or if any action or prooeeding is oommenced which materially effects I.ender'a interest in the Property. inclnding, but not limited to. eminent domain, ~ inaolvency. oode enforoement, or arrangementa or p~ings involving a banimipt or decedent, then I.ender at Lender's option,apon notice to Borrower may make such appearances. diaburee such eums and take such action as is neoesaary to protect Lender s in~~ ~ indnding, but not limited to, diabursement of reasonable attomey's feee and entry upon the Propedy to maice npairs. If Leader required ~ mortgage inaurance as a oondition of making the loan secnred by thia Mortgage. Borrower ahall paq the preaniams reqnired to maintein ~ rnch insurance in effect until anch titne as the requirement tor sucli inaurance terminates in aocordance with Borrower's and Leadet's ~ written egreemeat or applicable Law. Borrower ehall pay the amount of all mortgage inaurance premiums in the menner provided nnder paragraph 2 hereof. ~ My amounts diebureed by ~.eader persuant to this paragraph 7, with intereat thereon, shall beoome additional indebtedness of ~ Borrow red thia Mo e. Unlees Borrower and I.ender a to other t~erms of payment, such amounte ehall be payable npon er eecu by rtgag g*ee notice from Lender to Borrower requeeting payment thereof, aad ahall bear interest from the date of diabureement at the rate payable from time to time on outstanding principal under the Note unleas payment ot interest at sach rate would be oontrary to applicable law, in whic6 event such amounte ahall bear interest at the highest rate permiaeible under applicable law. Nothing oontained in this paragraph 7, shall reqaire I.ender to incur any e:penee or talce any action hereunder. • ~ ~ ~ ~ g~oK303 rA~E1028 ~ . - _ . _ . - _ ;~_.:~'~r. . _ - = - _ . . - T ~Vw.~ a.,~,~,a