Loading...
HomeMy WebLinkAbout0751 UH~FOert CoveN~r~rs. Bor~ower a~d Lender covcnant and agrec as follows: 1. tiyment ot Priacipd aod lole~est. Borrower shall promptly pay when due the pri~cipal o[ and interut on the indebtedneu evidenced by the Note, prepayment and late charges as pravided in the Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Fbnds tor Tua aad Iawraoce. Subject to applicable law or to a written waiver by I.ender. Borrower shall pay to i.ender on the day monthly installmcnts of principal and interest are payable under the Note, until the Note is p~id ie full, a aum (herein "Funds") equal to ono-twelfth oI the yearly taxcs and assessments which may ,ttain priority over this Mortgage, anJ ground rents on the Property, if any. plus one-twel(th o[ yearly premium installmcnts fo~ hazard insurance, plus one-twelfth of yearly premium installments tor mortgage insurance, if any. all as reuonably estimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which are i~sured or guaranteed by a Federal or state agency (including L.ender if Lender is such an institution). t_ender shall apply the ~nds to pay said taues. assessments, insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account. or verifying and compiling said ~ssessments a~d bills, unless ~ender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrowa and Lender may agree in writing at the time ot execution of ihis Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law rcquires such interat to be paid. I.ender shall not be required to pay Borrower any interest or earaings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the FunJs showing credits and debits to the Funds and the purpose for which each 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 ~axes, assessments, insurance premiums and ground rents, shall exceed the amount roquired to pay said taues. assessments, insurance premiums and 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 of the Fu~ds held by Lender shall not be sutficient to pay taxes, assessments, insurance premiums 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. 1_endcr 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 sale of the Property or its acquisition by i.ender. any Funds held by Lender at the time of application as a credit against the sums secured b~~ this Morlgage. 3. Applieatlon of Pay~ments. Unless applicable law~ proviJes otherwise, al! payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by t_ender first in payment ot amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, anJ then to interest and principal on any Future Advances. 4. Charges; Lk~. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priotity over this Mortgage. and leasehold payments or ground rents, if any, in the mancer provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, diroctly to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly. Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien w•hich has priority over this Mortgage; provided, that Borrower shall not be required to dixharge any such lien so long ~s 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 enfonement 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 impro~~ements now existing or hereafter erccted on the Property insured against loss by fire, hazards included within the term "e~tended coverage", and such other hazards as Lender may require ~ aad in such amounts and for such periods as Lender may reyuire: provided, that Lender shall not require that the amount of such coverage e~ceed that amount of coverage required to pa~~ the sums secured by this Mortgage. 4 The insurance carrier providing the insurance shall be chosen by Borrower sobject tu 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. I All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage ; clause in favor of and in form acceptable to Lender_ Lender shall have the right to hold the policies aad renewals thereof. ~ and Borrower shall promptl~~ furnish to Lender aU renew•al notices and all receipts of paid premiums. In the event of loss. f BorroHer shall give prompt notice to the insurance carrier and L.ender. Lender may make proof of loss if not made promptly ~ by Borrower. ~ Unless Lender and Borrower otherwise agree in writing, insarance proceeds shall be applied to restoration or repair of ; the Property Jamaged, 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~ feasible or it 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 g to Borrower. lf the Propertt• is abandoned b~~ 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 ofters to setUe a claim for insurance benefits, I,ender t is authoriud to collect and apply the insurance proceeds at Lender's optiun either to restoration or repair of the Property ~ or to the sums secured by this Mortgage. Unless Lender and Borrower otherw~ise agree ~n writing, any such application of proceeds to principal shall not extend ~ or postpone the due date of thc momhl}• installmcnts referred t~ in paragraphs I anJ 2 hereof or change the amount of such installments. !f under paragraph 18 hereof the Property is acquired by I.ender, all right, title and interest of Borrower in and to any insurance policies and in and to the proceeds thereot resulting from damage to the Property prior to the sale ~ or acquisition shall pass to Lender to the extent of the sums secured by this 1~lortgage immediately prior to st~ch sale or a acquisition. 6. Presenation and Alaintenance of Property; Leaseholds; Condominiums; Planned Uoit Devebpments. Borrower ; shall keep the Property.in good repair and shall not commit waste or petmit impairment or deterioration of the Property and shail 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 Borrower s obligations under the declaration or covenants creating or governing the condom~nium or planned unit development, the by-laws and regulations of the ;r condominium or planned unit development, and constituent documents. If a condominium or planned unit development = rider is executed by Borrou~er and recorded together w~th this Mortgage, the covenants and agreements of such rider ~ shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider wcre a part hereof. 7. Protection of Ixnder's Security. If BorroH•er fails to perfarm the covenants and agreements contained in this `tortgage, or if any action or proceeding is commence~ w~hich materially afiects Lender's interest in the Property, including. but not limited to, eminent domain. insolvenc~•. code enforcement. or arrangements or proceedings involving a bankruPt or decedent, then Lender at Lender's option, upon notice to Borrower, ma~- make such appearances. disburse such ~ sums and take such action as is necessary to protect Lender's interest. including. but not limited to, disbursement of ~ reasonable attorney's fces and entry upon the Praperty to make repairs. If Lcnder rcquired mortgage insurance as a condrtion of making the loan secured by this 1?lortgage. Borro~cr shall pay the premiums required to maintain such insurance in efiect until such time as the reyuirement for such ~nsurance terminates in accordance with Bortower s and ~ 3 ?rl,r 3{~5 ~ ~ ~ 50 ~ ~ ~