HomeMy WebLinkAbout2302 Urttpott,nt Covet.srtrs. Sorrawer and Lauder covenant and agree a: fogows:
I. PrUneestt of hMelpal atM Itsfereq. Borrower shall promptly pay when due the principal of and interest oa the
iadebtedneas ovideatxd by the Note. prepaytneat and late charges u provided in the Na0. and the principal of and interest .
at any Pgtttro Advances securod by the Mortgage. -
2. lihtrids for Trios aati Itrarrartce. •Sttbject to applicabk law or to a written waiver by Lender, Borrower shall pay
to Lender on the day monthly installments of principal and interest are payabk.under the Note, until the Note a paid in full,
a stun (herein "Ftrnds'7 equal to one-twelfth o[ the yearly taxes and assessrrteats which may attain priority over the
Mortgage. and ground coats on the Property. it any. plus one-twelfth o[ yearly Premium inuallmattts for hazard insurance,
plus one-twelfth qt yearly preraitem iastallmeata :ar mortgage inwranco, if any, all a reawttably estimated initially and irons
time to-tirtte by Lender oa the basis of assessments and bills and reasonabk estimates thereof. -
71te Funds shall be bold in as institution the deposits or accouats of which are insured or guaranteed by a Federal or
state agency (including Leader it Lender is sttclt an institution). Lender shall apply the Ftutdt to pay said taxes. assessments,
insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing aid acoouM,
or verifying and compiling said assessment: and bills, unless Leader pays Borrower interest on the Funds sad applicable law
permit:~I.entkr to make sud? a charge: Bonowar and Lender may agree in writing•at the time of execution of thk
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement a -made or applicabb law
requires such interest to be paid. ,l~oder shall not be requited to pay Borrower any interest or eaminp op life Funds. Leader
shall give to Borrower, without charge. an annual acxounting of the Funds showing credits and debits to the Ftutds and the
purpose for which each debit to the Funds wu made. '[tte Funds are pledged as additional security for the sums secured
by this Mortgage.
TE the amount of the Fund: hold by Lender. together with file future monthly installments of Funds payabk prior to
the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the aatottnt required to pay said taxes,
s::etaments. insurance premiums sad ground .rents as they fall due. such excess shall be, at Borrower's option, either
Promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount o[ the Fund:
held by Leader shall not be sufficient to pay taxes, assGSSments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Loader any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requiting payment thereof. .
Upon payment in full of all sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. Lender
shall apply, no later than immxdiately prior to the sak of the Property or its acquisition by Lentkr, any Funds held by
Lender at the time of application u a~credit a ainst the sums secured by this Mortgage.
3. ' `'Urikss applicable law provides otherwise. all payments received by Lender under the
Note and paragraphs 1 ar~-~adlaLttY.be applied by Lender first in payment of amounts payable to Lender by Borrower
under a ~Q.i ~tayq¢tp;,p~ the Note, then to the principal of the Note, and then to interest and
principa~di'i~a~i~~'Firtlr vanc~es. g~~
4. C~Ir~nsesis +1d~lq't?~~ C~~i
~It't .r . i s:->.. •
r 9 a all axes, assessments and other chatges. fines and impositions attributable to
the Proper~iti~~'~torA~r'~ii~
"thlS=Mbtfgage, and kasehold payments or ground rents, if any, in the manner
providtd 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 furnish to Leader all notices of amounts due under this paragraph, sad in the event
Borrower shall make payment directly. Borrower shall promptly furnish to Lender receipts evidencing such paymenu.
Borrower shall promptly discharge any lien which hu priority over this Mortgage; provided. that Borrower shall not be
required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
such lien in a manner acceptable 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.
S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
agairut loss by fire. hazards included within the term "extended coverage", and such other hazards as Lender may require
and in such amounts and for such periods u Lender may require; provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
'itte insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
that such approval shall not be unreasonably withheld. All 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 policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
II clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
i and Borrower shall promptly furnish to Leader all renewal notices and all receipts of paid premiums. In the event of loss. -
j Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
j by Borrower. -
Unless Lender and Borrower otherwise agrce in writing, insurance procceds shall be applied to restoration or repair of
the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is
not thereby impaired. If such restoration or repair is not economically fcasiblt or if the security of this Mortgage would
be impaired,-the insurance proceeds shall be applied to the sums secured by this- Mortgage, with the excess, if any, paid
to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
is auttwrized to collect and apply the insurance proceeds at I..ender's option either W restoration or repair of the Property
or to the sums secured by this Mortgage. -
Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend
i or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
€ such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower
i in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
~ or acquisition shall pass to Leader to-the txtent of the sums- secured by this Mortgage immediately prior to such sale or
~ acquisition. -
6. Preservation sad Maiateaaoce of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower
shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
t and shall comply with the provisions of any lease if this Mortgage is on a leasehold. if this Mortgage is on a unit in a .
= condominium or a planned unit development, Borrower shall perform all of Borrowers obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
condominium or planned unit development. and constituent documents. if a condominium or planned unit development
i rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements of such rider
shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
w-ere a part hereof. •
7. Protection of Leader's Security. If Borrower fails to perform the covenants and agreements contained in this i
Mortgage, or if any action or proceeding is commenced which materially affects lxnder's interest in the Property. JJ
including, but not limited to. eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is necessary to protect Lenders interest, including, but not limited to, disbursement of
reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such
insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrowers and
r
_ h~
600K~1JJ I~CE~~ ~~~d~ i