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HomeMy WebLinkAbout1944 UNttrouat (AVHNANTa. HotroMer snd Lender covenant and agree ss follows: )k ~ at hinelpltl aai IMetnsl. Borrower shall promptly pay when due the principal of acrd interest on the indebtedriess evidenced by the Note, ptrepayment and late charges ac provided in the Note, and the principal o[ and intertest on any Futtire Advances secured by this Motrtgage. 3. ihrni for Tastes ttttsd Iwranee. Subject to applicable law i~r to a written waiver by Lender. Botrrower shall pay to Linder on the day monthly installments of principal and interest arc payable under the Note. until the Note is paid in full, a rum (herein "Funds`ti egtul to one-twelfth of the yearly tare. and assessments which may attain priority over this Mortgage. and ground rents on the Pt~operty, if any, plus one•twtlfth of yearly premium installments for hazard insurance. plus nix-twelfth of yearly premium installrmnta for mortgage instiranct:. if any, all as reasonably estimated initially and from _ tints to time by Lender on the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which are insured or gttaranteed by a Federal or state sgency (including Lender if Lender is such an institution). 1_ender shall apply the Fuitds to pay said taxes. assessmxnts, iustirance premiums and grotrtd rents. lender may not charge for sn holding and applying the Funds. analyzing said account. j or verifying and compiling said assessitxnts and bilk, 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 the Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement is made or applicable law requites 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 accounting of the Funds 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 ills sums secured by the Mortgage. U the amount of the Funds heW 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, astauments. insurance premiums snd ground rants as they fall due, such excess shall be, at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be wfficiieat to pay taxes. assessments, insurance premiums and ground rents as they [all due, i Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed i by Leader to Borrower requesting payment thereof. Upon payment in full of all soma 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 sale of the Property or its acquisition by Lender. any Funds held by Lender at the time of application as a credit agaiiut the sums secured by this Mortgage. 3. Atpiicatioa of lsrwett~s. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs l and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under parsgraph 2 hereof. then to interest payable on the Note, then to the principal of the Note. and then to interest and principal on any Future Advaricat. 4. Charges; Liens. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to ~ the Property which may attain a priority over this Mortgage, and leaSeho~d payments or ground rents, if anyi in the manner provided under paragraph 2 hereof or, if not paid in such manner, yr~Bortower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notice wits due coder. thiSLparagraph, and in the event Borrower shall make payment directly, Borrower shall promptly urnish to Lender receipts evidencing 'stxfi payments. Borrower shall promptly discharge any lien which has 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 ac~-eptable 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. Ha:ard Insurance. Borrower shall keep the improvements 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 require and in such amounts and for such periods as 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. 'Ills insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender. provided, tbat 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. E All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage , }I clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, € and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of Ions. ~ Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds 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. 1f such restoration or repair is not economically feasible or if the security of this Mortgage would l 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 it 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 authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property t 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 or postpone the due date of the monthly installments referred to in paragraphs I 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 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 Lender to the extent of the sums secured by this hortgage immediately prior to such sale or acquisition. 6. Preservation and Maintenance of Propert~•; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property 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 Borrower's 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. I(a condominium or planned unit development rider is executed by Borrower and recorded together with 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 were a part hereof. 7. Protection of Lender's Security. If Burrower talk to perform the covenants and agreements contained in this Mortgage, or if any action ur proceeding cummencecl which materially affects Lender's interest in the Property, including. but not Gm+ted to, eminent domain. imolvency. code enforcement. or arrangements or proceedings invoh•ing a - bankrupt or decedent. then lender at Lender's option, upon notice to Borrower, ma} make such appearances, dishurse such sums and take such action as is necessary to protect Lender's interest, including, but not limned to, disbursement of - reasonable attorney's fees and entry upon the Property to make repairs. if Lender reyuired mortgage insurance as a cond+tion of making the loan secured by this Mortgage. Burn?wer sh:+ll pay the premiums req+nreJ to maintain such _ insurance in effect until such time as the requirement fur such insurance term+nates in accordance with Borrower's and • "t ~U5 . _ 1940