HomeMy WebLinkAbout2590 UNIFORM COVENANTS. Borrower and l.enJcr covenant and agree as follows:
I. Payment of Principal sad Interest. Borrower shall promptly pay when due the principal of and interest on the
inJebtednets evidenced by the Nutr, prepayment and late charges as provided in the Note, and the principal of and interest
on any Future Advances secured by this Mortgage.
2. Rnads [or Taxes and lasurtttnce. Subjec} to applicable law or to a written waiver by Lender, Borrower shall pay
to Lender on the day monthly installments of principal and interest arc payable under the Notc, until the Note is paid in full,
a sttm (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
Mortgage, and ground rents on the Properq•, if ally. plus one-twelfth of yearly premium installments for hazard insurance,
plas one-twelfth of yearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and from
time to time by lender on the basis of assrssntents and hills and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments,
itsurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account,
or verifying and compiling said assessments and hills, Unless lender pays Borrower interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
requires such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
shall give to Borrower, without charge, an annual acrnunting of the Funds showing credits and debits to the Funds and the
purpose for which rash debit to the Funds was made. The Funds are pledged as additional security for the sums secured
by this Mortgage.
if the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes.
assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrowers option, either
promptly repaid to Borrov?•er or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall not be sufficient to pay taxes, assessments, insurance prer.)iums and ground rents as they fall due,
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting 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. immediately prior to the salt of the Property or its acquisition by Lender, any Funds held by
1_ender at the time of application as a cn:dit against the sums secured by this Mortgage.
3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to I_endrr by Borrower
under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Notr, and then to interest and
principal on any Future Advances.
~i. t'harRes; Liens. Borrower shall pay all taxrs~ assessments and other charge,. finer anJ impositions attnhutahle to
the Property which Wray attain a prrority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
provided under paragraph 2 hereof or, if nut paid in such manner, by Borrower making payment, ~+hen due, directly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Boriuwer shall make payment directly. Borrower shall promptly furnish to Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
required to dixharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
such I~en in a manner acceptable to Lender, or shall in gaud faith contest such lien hy, or defend enforcement of such lien in,
legal pro~ccdings which operate to prevent the en[urcemcnt of the lien or forfeiture of the Property or any part thereof.
5. Hazard Insurance. Borrower shall keep the improvement. now existing or hereafter erected on the Property insured
against loss by fire. hazards included within the term "extended coverage". and such other hazards as Lender may reyurre
anJ ?n such since:nts and for su.h periods as l.endcr may nyuirc: provided, that Lender shall not reyrrire that the amount of
such .:overage exceed that amount of rnverage required to pay the wins ucured ht' this Mortgage.
The insurance carrier providink the insurance shall be chosen by BOrrUwcr subject to approval'hy Lender, provided,
that such approval ,hall nut be unreasonably withheld. All premiums on insurance policies shall tk paid in the manner
provided under paragraph 2 hereof ur. if not paid in such manner, by Borrower making payment, when due. directly to the
insurance carrier. "
All insurance polities anJ renewals thereof shall Ik in form :)ecept.?bte to Lender anJ shall include a standard mongag~
j clause m favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof.
! and Borrower shall prompth• furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss.
Borrower shall give prompt notice to the insur,~nce carrier and Lender. Lender may make proof of loss if nut made promptly
by Borrower. -
Unless Lender and Borrower othcrw•ix agree in writing, insurance proceeds shall be applied to restoration or repair of
the Property damaged, provided such resturatrun ur repair is economically feasible and the security of thts Mortgage is
not thereby impaired. If such restoration or repair is not economically fcasihle or if the security of this ~lortgagr would
be impaired, the insurance proceeJ. shalt be applied to the sums secure) h}' this Mortgage. with the excess. if any, paid
F to Burrower. If the Proper[}' is ahaodoned Ly Borrower, or iC Borrower fails to respond to Lender within 30 days from the
date notice is mailed by Lender to Bc~rmwer that the insurance earner offers to settle a claim for insurance benefits, Lender
8 ~s authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
ur to the sums secured by this Mortgage.
Unless I.erder and Borrower othenvisc agree in wasting. any such application of pr+xeeds to principal shall not extend
~ ur postpone the due date of tl;e- month{}• installment, referred to in paragraphs 1 and ? hereof or char)tc the amount of
such installments. If under paragraph 18 hereof the Property is ac.yuircd by [.ender, all right, title and interest of Borrower
~ in and to an} rnsurance policies and in and to the proceeds thereof resulting from damage to the Property pnor to the sale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition.
6. Preservation and Maintenance of Properly: Leaseholds; Condominiums: Planned l-nit Developments. Borrower
shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
and shall comply with the provisions of any lease if this Mortgage is un a leasehold. If this ;Mortgage is on a unit in a
condominium ur a planned unit de:•elupment, Borrower shall perform all of Borrower's obligations under the declaration
- or covenants creating or governing the rnndominium or planned unit development, the by-laws and regulations of the 4
condomrnium or planned unit development, and constituent documents. if a condominium or planned unit development
nder isexecuted by Borrower and recorded together with this Mortgage. the covenants and agreements of such rider ;
~ shall be n)corporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
were a part hereof.
r 7. Protection of Lender's Security. If Borrower fads to perform the covenants and agreements contained in this i
~ Mortgage, or if any action ur proceeding is commenced which materially affects Lender's interest in the Property,
including. but not limited to. eminent domain. insolvency, cvxfe enforcement, or arrangements or pnxeedings involving a
bankrupt or decedent. then Lender at lender's option, upon notice to Borrower, may make wch appearances, disbut•x such
sums and take such action as is necessary to protect Lenders interest. including. but not limited to, disbursement of
reawnahle attorney's fees and entry ulx~n the Property ro make repairs. If Lender required mortgage insurance as a
condu?on of m:d:ing the loan secured bs this Mortgage. Borrower shall pay the premiums required to maintain such
insurance in etTect until such time as the rryr:irement for such insurance terminates in accordance with Borrowers and
r.'
gooK ~4 ~ac~z~8~
_
_
_
- Y