HomeMy WebLinkAbout0771 UNIPORM COVBN~NTS. BorrowCr arld LCndlf covenaM and agree as follows:
1. hyment ot Principd and laterest. Borrov?•er shall promptly pay Nhen due the principal o( and mterest on the
indebted~eu evidenced by the Notc, prepayment and late charges as provided in the Natc, and the principal of and intercst
on any Future Advances secured by ~his Mortgage. •
2. F~ads tor Ta:es aed lntaraace. Subject to applicable law or to a writte~ waiver by I_ender, Borrower shal) pay
to Lender on the day monthly installmen~s ot principal and ~ntcre~t are payable under the Note, until the Note is peid in full,
a aum (herein "Funds") cqual to one-twelfth ot the yearly tarec and actessments which may atta~n priority over this
Mortgage, and ground rcnts on the Property, if any, plus one-twrl(ih of ~~early premium installments far hazard insurance.
plus o~e-twelfth of yearly premium installmeols for mor~gage insurancc, it any, all as reasonably estimated initiaUy and trom
time to time by Lender on the basis ot assessments and hills and reasonable estimata thereof.
'il~e Funds shall tx held in an institution the deposits or accounts uf which are insured ~r guaranteeJ by a Federal or
state agency (including Lender if ~eoder is such an institution). l enJer shall apply the Funds to pay said tares, usessments,
insurance premiums and g~ound reots. I_ender may no1 cfiarge (o~ ~o holding and applying the Funds, analyzing said account,
or verifying and compiling said assessments and bills, unless l.ender pays 8orrower interest an the FunJs and applicable !aw
permits Lender to make such a cha~ge. Borrower and 1_ender may agree in wriling at the time ot execution o( this
Mortgage thal interest on the Funds shall 1+e paid to Borrawer, and unless such •rgretnunt is made or applicable law
reyuira such interest ro be paid, !_ender shall not he required t~~ pa}• Bormwer ~n~• interest or earningc on the Funds. l.ender
shall give to Borrower, without charge, an annual acc~~unting of the Funds showing credits and debits to the Funds and ihe
p:irpose for which each debit ta the Funds was made. The Funds are pledged as additional security~ for the sums secured
by this l~lortgage.
If thc amount of the Funds held by l.ender, together with the (uwre monthly installments of Funds payable prior to
the due dates of taxa, assessments, insurance premiums anJ ground rents, shall exceed the amouat reyuircd to pay said taxes,
assessments, insurance premiums and ground rents as they (all due, such excess shall be, at Borrower's op~ion, either
promptly repaid Io Borrower or credited to Borrower on monthly inst:~llmcnts of Funds. If the amount of the Funds
held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rentc as they fall due,
Borrowe~ shall pay to l_ender an~~ amount necessan~ to make up the dcficiency within 30 da~s trom the date notice is mailed
by Lender to Borrower reyuesting paymcnt ~hereoF.
Upon payment in full of all sums stcured by th~s Mongage. I.endcr shall promptly refund to Borrower any Funds
held by l~nder. If under paragraph 18 hereuf the Property ~c tiold or th~ Property is athervvisc acqwrcd b}' Lcnder, l.ender
shall apply, no later than immediatcly prior to the cale of the Propcrty or iis acquisition by I.cnder, any Funds held bp
Lender at the time of application as a crcdit against the sum~ secured by thi~ hiortgage. .
3. Application of Payments. Unlecs applicable law proviJes otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by LcnJer first in pa~•ment o[ amounts payable to t_enJer by Barrower
under paragraph 2 hereof, Ihen to interest payable on the ivute, then to the principal of the Nole, and the~ to~nterest and
principal on any Future Advances.
4. C6arRes; Lkns. Borrower shall pay all taxes, assec~smen~s and other charges, fincs and imEx~sitions attributable to
the Propeny which may attain a priority over this Mortgage, and Ieasehald payments or ground rents, if any, in ihe manner
provided under paragraph 2 hereof or, ii not paid in such manner, by Borrow~r making payment, when due, directly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Borrow~er shall make payment di~ectly, Borrower ~hall promptly furnish to Lender receipts evidencing such payments.
Borrower shall promptly dixharge any lien which has prioriry over thic Mortgage; provided, th~at Borrower shall not be
required to dixharge any such lien so long as Borrower shall agrce in writing ta the payment of the obligation se:ured by
such lien in a manner acceptable to Lender, or shall in gcx~d faith contes~ such lien by, or Jefend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the I~en or forferture of the Property or any part thereof_
S. Huard Insurance. Borrow•er shall keep the improvements no~ existing or hercafter erected on the Properry insured
against loss hy fire, hazards included wi~hin the term "extended coverage", and such other hazards as Lender may reyuire
and m such amounts and (or such periods as Lender may reyuire; provideJ, that Lender shall not require that the amount of
i such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
' The ~nsurance carrier providing the insurance shall be chosen by Borrov?•er subject to approval by Lender; provided.
i 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 Borrov?e: making payment, when due, directly to the
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; insurance carrier.
! All insurance policies and renewals thereof shall be in form acceptable to LenJer and shatl include a uanJard mortgage
; ciause in favor of and in form acceptable to l.ender. Lender shall h~ve the right to hold the policies and renew•als thereof,
~ and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premium~. In the event of loss,
' Borrower shall give prompt notice to the insuran~e carrier anJ Lender. Lender may make proof of loss if not made prompUy
~ by Borrower.
~ Unless Lenckr and Borrower otherwise agree in writing, insurance prcxeeds shall be applied to restoration or repair of
g the Property damageJ, prov~Jed such restoration ur repair is economically feasible and ~he security of th~s Mortgage is
4 not thereby impaired. I( such restoration or repair is not economirall}~ feasible or if the security of this Mortgage would
' be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, whh the excess, if any, paid
~ to Borrower. If the Propertp is abandoned b~ Borrower, or if Borrower fails to respond ro Lender within 30 days from the
~ date notice is mailed b}• Lender to Borrowe~ that the insurance carrier ofiers to settle a claim for insurance benefits, Ixnder
~ i~ authorized to collect and apply the insurance proceeds at I.enJer's option either to restoration or repair of the Property
or to the sums secured b}' this Mortgage.
~ Unlest 1_ender and Burrower otherwise agree in writing, any such application of pnxeeds to pnncipal ~hall not e~tend
~ or p~•stpone the due date of the mon~hly installments referred t~. in paragraphs 1 and 2 hereof or changc the amount of
such installments. I[ unJer paragraph 18 hereof the Property is acywreJ b~ LenJer, all tight, tide anJ interest of Borrower
- ~n and to am insurance policies anJ in and to the proceeds thcreof re~uiting from damage to the Property prior to the sale
~ or acyuisit~on sh:+ll pass to Lender to the extent of the sums secured by this ;~tortgage immediately pnor to such sale or
{ acquisition.
6. Presenation aod ~taintenance of Properl~; Leaseholds; ('ondominiums; Planned Unit Developments. t3orroaer
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shall keep the Property in good repair and shall not commit wastr or permit impairment or deterioration of the Properly
and shall comply with the provisions of any lease if th~s hlurtg~ge iti un •r leasehuld. If Ihis Mortgagc is on a unit in a
conJominwm or a planned unit development, Borrower shall perlorm all ot Borruwer's obligations under the declaration
or covenants creatmg or governing the condommium ar planned unit development, the by-laws and rcgulations of the
conJominium or planned unit development, and constituent documents. I( a cundominium or planned unit development
- nJer is executed by Borrower and recorded together aith this I1lortgage. the covenants and agreements of such rider
's shall be incorporated ~nto and shall amend anJ supplement the co~•enants anJ agreements of th~s Mortgage as if the rider
were a part hereof.
7. Protection of Le~er's Securit}~. I( Borrow•er fails to perform the covenants and agreements contained in this
~ Mortgage. or if any act?on or proceedmg is commenceJ whi.h materiaUy afiects LenJer's interest in the Propert}•,
s~ including. but n~~t I~mited to, eminent domain, insolvenc}', code en(or~ement. or arrangements or prcxeedings invoh~ing a
;,3 bankrupt or decedent, then I_ender at Lender's option, upon notice to Borrower, ma} make such appearances. Jisburse such
F sums and take such action as is necessar}• a~ protect l.ender's ~nterest, including. but not lim~ted to. disbursement of
reasonable attomey's tees and entry upon the Property to make repa~rti. If Lender required mortgage insurance as a
~ condrtion of making the loan secured b}• this Mortgage. BorroKrr shall pay the premiums required to maintain such
insurance in efTect until such time as the reyuirement (or such msurance terminates ~n accordance wrth Borrower's and
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