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HomeMy WebLinkAbout2124 Borrower and Lender covenant and agree as folbws: 1. Payment of Prlneipal and InteresR Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by We Note, prepayment and late charges u provided is the Note. and the principal of and interest oa any I~tun Advances secured by flue Mort~aga 2 Fbnda for Ts~es and Insurance. Spbject to applicable law or to a written waiver by Leader, Borrower shall pay to Lender on the ley monthly instalimuts of priadpal and interest are payable under the Note, until the Note is paid in full. a sum (herein "Fhnds'~ equal to one• twelfth of the year),r taxes and assessments which may attain priority over this Mortgage, and ground rents on We Property. if arty, plw one• twelfth of yearly premium installments for hazard insurance. plwone-twelfth ofyearly premium installments for mortgage insurance, if any, all u reasonably estimated initially and from time to time by Lender on the basis of assessments and bilb and reasonable estimates thereof That Fhads shall be held is as iastitntioa the deyosits or aeoounts of which an insured ~ guaranteed by a Federal or State agency (iaduding Leader if Ludes is sash an institution). Leader shall apply the Funds to pay said truces, assessmuts, insurance premiums sad ground rents. Ludes may not diarge for so holding sad applying Ws Funds, analyzing said account, or verifying and compiling said - assesameateand bills. unlea Ludes pays Borrower interest on the Fends sad applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing et the time of ezecutioa of this Mortgage Wet interest on the P~rnds shall be paid b Borrower, and naleu such agreement is made or applicable law eegnires each iatecest to be paid, Lender shall not be required to pay Borrows: any interest or earnings on We Ptimds. Lender shall give to Borrower. wildcat drarge, an anaueJ accounting of the Funds showing credits and debits to the } Funds and the purpose for which each debit to We Funds wu roads. The Funds are pledged u additional security for We sums secured bythis - Mortgage. If the amount of We P1mds held by I.uder. togeWer wild We futon monthly installments of Farads payable prior to the dw dates of fazes. assessments, iruoraaca premiums and ground Hats, shall exceed We amount regnired to pay said tesea, assessments. iaanrance premiums and groaad rents as they fall dw, such ezoen shall be, at Borrower's option, eiWer promptly repaid to Borrower or credited to Borrower on monthly installments of Fonds. If We amount of We Inds held by Leader shall not be au~ciut to pay fazes. assessments, inanraace premiums and ground rota u they fall due, Borrower shall pay to Ludes any amount necessary to make up We deficiency within 30 days from We date notion is mailed by Lender to Borrower requesting Payment Wereof. . Upon payment in full of all sums secured by this Mortgage. Lender shall promptly refund to Borrower any funds held by Leafier. U~ader paragraph 18 hereof the Property is soM or the Property is oWarwiae abquired by Ludes, Leader shall apply, ao later than immediately prior to the sale of We Property a its acquisition by Ludes, any Funds held by Lender at the time of application u a credit against We soma secured by this Mortgage. - 3. Ap+plk~ation of Payments. Unless applicable law provides oWerwise. all payments received by Lender render We Note and paragraphs 1 and 2 hereof shall be applied by Lender first is payment of amounts payable to Leader by Borrower ender paragraph 2 hereof, Wen b interest payable on We Note. Wen to We principal of the Note, and Wen to interest and principal on any Ftirtan Advances. 4. Charges; Liens. Borrower shall pay all taxes, aaseesmuts and older charges, fines and impositions attributable b the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any. in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly famish to Lender all notices of amounts due Hader this paragraph. and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidendng such payments. Borrower shall promptly discharge any lira which has priority over Win Mortgage; provided, W at Borrower shall not be required to discharge any such lien eo long as Borrower shall agree in writing to the payment of the obligation secured by such lien is a manner acceptable to Lendei. or shall in good faiW rnntest each lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent We enforcement of the lien or forfeitnn of the Property or any part Wereof. 6. Aasasd Insurance. Borrower shall keep the improvemuts now e:iat~ing or hereafter erected oa the Property insured against loss by fire, hazards inducted within the term "extended coverage," and each other hazards u Leader may regain and in such amounts and for such periods u I.uder may require; Provided, that Lender shall not require each coverage amount ezceeding We minimum, as may be required by state or federal regulations governing activities of Leader, or Wat amount of coverage required to pay We sums secured by this Mortgage, whichever is We greater. The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided, that such ap-proval shall not be unreasonably withheld. AU premiums on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. All insurance polices and naewals Wereof shall be in form aooeptable to Lender and shall iadnde a standard mortgage claws in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals Wereof, and $oaower shall promptly furnish to i.ender alireaewal aotioes and all receipts of paid premiums. In We event of loss, Borrower shall give prompt notice b the insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. ~ I Unless Lender and Borrower otherwise agree in writing, .insurance proceeds shall be applied to restoration or repair of the Property 1 'i damaged, provided such restoration or repair is economically feasible and We security of this Mortgage is not thereby impaired. If such i restoration err repair is not economically feasible or if We security of this Mortgage would be impaired, We insurance proceeds shall be applied l to the sums secured by this Mortgage,with the ezcess, if any. paid to Borrower. If We Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender b Borrower Wat We insurance carrier oftere to setae a claim for E insurance benefits, Ludes is anWarized b collect sad apply We insurance proceeds at Lender's option either to restoration or repair of the Property or We soma secured by this Mortgage. Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone the due g date of We monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of arch installments. If under paragraph 18 ' hereof We Property is acquired by Lender, all rigbt, title sad interest of Borrower in and to any insurance policies and in and to the proceeds Wereof reeultiag from damage to Property prior to We sale or acquisition shall pass to Lender to We extent of the sums second by this Mortgage immediately prior to such sale or acquisition. . 6. Preservation and Maintenance of Property; Leaseholds; Coadominums; Planned Unit Developments. Borrower shall keep We Property is good repair and shall not commit waste or permit impairment or deterioration of the Property sad shall comply wild We ' ` provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a nail is a condominium or a planned unit development, Borrower shall perform ail of Borrower's obligations under the.dedaratioa or ooveaaats creatingor governing We condominium or planned unit development, We by-laws sad regulations of We rnadominium or planned snit development, and oonstitneat documents. It a g condomiainm or planned Wait development rider is a:seated by Borrower and recorded togeWer wild this Mortgage. We oovenanta and agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage w if the rider were a part hereof. 7. Protection of Lender's Security. If Borrower tails to perform We eovenanta end agreements contained in this Mortgage, or if any- _ action or proceeding is aed which materially affects I.uder's interest in We Property. indnding, bet not limited to, eminent domain, insolvency, code enforcement, or arrangemeat~ or proceedings involving a bandQnpt ~ decedent. Weer Leader at Lender's option,npon notice to Borrower may males such appearances. disbane each soma and take such action u is necessary to protect Leader's inisr+est, inducting, but not limited to. disbursement of reasonable attorney's fees and utry neon the Property to make repairs. If Lends required g mortgage insurance u a condition of making the loan eecnred by this Mortgage, Borrower shall pay the pr+eminms required to maintain snrh insurance in effect aatil such time u We regnirement for snit insurance terminates in accordance wild Borrower's and Leader's written agreemut or applicable Law. Borrower shall pay We emonnt of all awrtgage insurance premiums in We manner provided render paragraph 2 hereof. Aay amounts disbursed by Lends persuaat to this Paragraph 7, wild interest Wereoa, shall become additional indebtedness of Borrower severed by this Mortgage. Unless Borrower and Lender agree to older terms of payment, such amounts shall be payable npoa notice from Leader to Borrower requesting payment Wereof, and shall bear interest from We date of disbnrsemeat at We rate payable from time to time on outstanding principal render We Note nnlea payment of intered at sack rate would be contrary to applicable law, in which evut each amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained is this paragraph 7, shall regain Lender to incur any ezpense or take any action hereunder. ' t BOGK 303 t~AGE 2120. ~ ~ -