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HomeMy WebLinkAbout0486 Borrower a~d l.e~der rnvenant and agree aa follows: 1. Payment o[ Principwl end Intereet. E3orrower ehall ~promptly pay when due lhe principal of and intereat un the indebted~eea evidenced by the Note, prepayment a~d late charges eis provided in ihe Note, and the principal of and intereat un any Fl~tu~e Advancea aecured by this Mortgege. 2. I~nde tor'faxes and Insuranoe. Subject to applicable law or to a written waiver by l.e~der, Hurrower ehull pay to t.ender on the day monthly inataUmenta of principal end intereet are payable unde~ the Note, unti! the Note ie paid in full, u eum (herein "Funda") equal to one twelRh of the yearly taxes and aeaeaements which may attain priority over this Mortgage, and gruund rents un the I'ruperty, if any, plua one tweifth of yearly premium instalimente for hazard inaurance, plue onetwelfth ofyea~ly premium inatallmenta for mortgage ineurance, if any, all as reasonably estimated initially and from time to time by t.ender on the baeia of easeaaments and billa and reusunuble extimatee thereof. The ~tnde ahaU be hdd in an institution the depoaits or accounta of which are insured or guaranteed by a Federal or Ste!e egency (including I.ender if I.ender ia such an inatitution). Lender shall epply the Funde to pay said ta:ee, aeseesmente, inaurance premiums and ground renfa. I.ender may not charge for w holding and applying the F~nds. analyzing said account, or ve~fying and compiling said assesamente and bills, unlees Lender pays Borrower inter~t on the F`unds and applicable law permits l.ender to make auch a charge. Borrower and l.ender may agree in writing at the time of e:ecution of this Mortgage that intereet on the Funda ehall be paid to Borrower, and unlesa such agreement is made or applicable law requiree auch i~terest b be pxid, Lender shall not be required to pay Borrower any interest or earninge on the F`uc?ds. Lender shall give to Borrower, without charge, an annusl accounting of the Funda ehowing credits and debite to the Funds and the purpoae for which each debit to the Funda waa made. The Funde are pledged as additional aecurity for the auma eecured by thie Mortgage. If the amount of the ~nde held by I.ender, together with the [uturn monthly inetallments of Funda payable prior to the due datea of taxea, aeaeasmente, inawance premiums and ground rents, ahall e:c~zed the amount required to pay said ta:ea, aeaesamenta, inaurance premiuma and ground rente ae they fal) due, euch e:cess ahall be. at Borrower e option, eiiher pmmpdy repaid to Borrower or credited to Borrower on monthly inelaUmenta of Funde. If the amount of the Funds held by Lender ahaU not be eu~cient to pay taxea, aseesemente, ineurance premiums and ~tound renta ae they [aU due, Borrower ahall pay w Lender any amount neceaeary to make up ?he de6ciency within 30 daye from the date notice is mailed by Lender to Borrower requeating payment thereof. Upon payment in full of all sums eecur~ed by thia Mortgege, I.ender ahall prompdy refund to Borrower any funde held by [.ender. If under paragraph 18 hereof the Property ie eold or the Property ie otherwise acquired by Lender, Lender shall apply, no laterthan immediately prior to the eale of the Property or ita aoquisition by Lender, any ~nde held by Lender at the time of application as a credit againet the sums secured by this Mortgage. 3. Application of Payments. Unleae applicable law providea otherwiae. all payments received by [.ender under the Note and paragraphs 1 and 2 hereot ahall be appiied by Lender first in payment of amounts payable to I.ende~ by Borrower undet paragraph 2 hereof,. then to intereat payable on the Note, then to the principal of the Note, and then to inte~eat and principal on any Future Advancea. 4. Charges; Liene. Borrower shall pay all taxea, assessments and other rharges, fines and impositions attributable to the Properly which may attain a priority over this Mortgage, and let?sehold payments or ground rents, if any, in the manner provided unde~ paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, direcily to the payee thereo[. Borrower shall promptly furnieh to [.ender all notices of amounts due under thia paragraph, and in the event Borrower shall make payment directly, Borrower ahali promptly furniah to Lender receipte evidencing such paymente. Borrower ahall promplly discharge any lien which has priority over this Mortgage; pmvided, that Borrower ahall not be required to diacharge any auch lien so long as Borrower shall agree in wriling to the payment of the obligation secured by such lien in a manner acceptable to L.ender, or ahalt in good faith contest such lien by, ordefend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereot 5. Hazard Insurance. Sorrower ahall keep the improvements now exiating or hereafter erected on the Property inaured againat loas by fire, hazarde included within the term "extended coverage," and auch other hazards as Lender may require and in euch amounts and forsuch periods ae Lender may tequire; provided, that Lender ahaU not require auch rnverage amount e:ceeding the minimum, as may be required by state or federal regulatione governing activities of I.ender, or that amount of rnverage required to pay the auma secured by this Mortgage, whichever ie the greater. The inaurance camer providing the inaurance shall be chosen by Korrower subject to approval by [.ender, pmvided, that such approval 3ha11 not be unreasonably withheld. Ail premiums on inaurance policies shall be paid in the manner provided under paragraph 'l hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. ~ All inaurance policies and renewale thereof ahall be in form acceptable to Lender and ehall include a standard mortgage clauee in favor of k and in form acceptable to I.ender. Lender shall have the right to hold the policies and renewala thereof, and fiorrower shall promptly furnish to • ; i.ender all renewal notices and all receipts of paid premiuma. In the event of I~s, Borrower ahall give prompt notice to the inaurance carrier ~ and Lender. Lender may make proof of lase if not made prompdy by Borrower. ~ Unle$a Lender and Borrower otherwine agree in writing, ineurance proceeds ehall be applied to reatoration or repair of the Property ~ damaged, provided auch reatoration or repair is economically [eseible and the eecurity of this Mortgage is not thereby impaired. If auch ; reatoration or repair ie not economically feasible or if the eecurity of thia Mortgage would be impaired, the insurance proceecia ehall be applied ~ to the auma eecured by thia Mortgage, with the excess, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower [aila to ; reapond to Lender within 30 daye from the date notice ia mailed by I.ender to Borrower that the insurance carrier of~era to settle a claim for ~ inaurance benefita, Lender ie authorized to collect and apply the insurance proceeds at Lender s option either to reatoradon or repair of the g Pnnperty or the euma eec~ued by thia Mortgage. ~ Unlees Lender and Borrower otherwiee agree in writinq, ~ny auch application of proceeds to principai ahall not extend or postpone the due date of the monthly inetallmente referred to in paragrapha 1 and 2 hereof or change the amount of auch instalimente_ If under paragraph 18 ~ hereof the Property ia acquired by Lender, all right, title and interest of Borrower in and to any inaurance policies and in and to the proceede ~ thereof reaultin from dam e to Pro ~ g ag perty prior to the eale or acquieition ahall pase to Lender to the extent of the auma secured by this Mortgage immediately prior to such 8ale or aoquieition. 6. Preservation and Maiateaance of Property; Leaseholde; Condominume; Planned Unit Developmente. Bor_rower ehall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with the ~ proviaions of any lease if this Mortgage ie on a leasehold. If thie Mortgage is on a unit in a rnndominium or a planned unit development, ~ f3orrower sha11 perform all of Borrower'e obligations under the declaration or covenante creatingor governing the rnndominium or planned ~ unit development, the by-lawa and regulationa of the condominium or planned unit development, and rnnetituent documenta. If a ~ condominium or planned unit development rider ia executed by Borrower and recorded together with thia Mortgage, the oovenante and ~ agreements of such rider shall be incorporated into and ahall amend and aupplement the covenants and agreementaof this Mortgage as if the ~ rider were a part hereof. ~ ~ 7. Protection ot Lender's 3ecurity. If Borrower fails to perform the oovenante and agrcementa contained in this Mortgage, or if any ~ action or proceeding is rnmmenced which materially affecta Lender'e interest in the Property, including, but not limited to, eminent domain, insolvency, oode enforcement, or arrangemenb or proceedings involving a bankrupt or deoedent, then Lender at Lender's option,upon notice to Borrower may make such appearances, disburee such aume and take such action as ia neceseary to protect I.ender's intereat, ~ including, but not limited to, diabureemeat of reasonable attorney's feee and entry upon the Property to make repaira. If L.ender required ~ mortgage insurance aa a conditiun of making the loan secured by this Mortgage, Borrower ehall pay the premiums required to maintain ~ such ineurance in eEfect until euch time ae the requirement [or such ineurance terminates in accordance with Borrower e and Lender's - writt~en agreement or applicable I.aw. Borrower ehall pay the amount of all mortgage inaurance premiuma in the manner provided nnder ~ paragraph 2 hereof. ~ My amounts diaburoed by Lender pereuant to thia paragraph 7, with interest thereon, ahall become additional indebtedneea of ' i Borrower secured by thie Mortgage. Unleae Borrower and Lender agree to other terme of payment, euch amounte et?ail be payable upon ; notice from l.ender to Borrower requeeting payment thereof, and ehall bear intereat from the date of diebureement at the rate payable from time to time on outatanding principal under the Note unlesa payanent of intereat at such rate would be oontrary to applicable law, in which event auch amounts ehall bear intereet at the highest rate permiaeible under applicable law. Nothing contained in this paragraph 7, shall require Lender to incur any e:penee or take any action hereunder. ~ ~ 30Cr ~V~ +'AGF Y~U ~ ; f i! 3 ~ ~ . ~~Y I b'y . ' ~ ' ' ' _ _ . a ~~n . _ _ . ~a'~