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HomeMy WebLinkAbout2688 . • Unrnotus Covttrtetvrs. Borrower and Lender covenant and agree as follows: 3. >TywsM sd hLelwl ttrtt Iales+af. Borrower :hall promptly pay when due the principal of and interest on the irtdebtedrress evidprroed by the Notes, prepayraeat and Tate charges as provided in the Note. and the principal of and interest as say Futuro Advances sxured by this Mortgage. >Etiwi tatr 7taaaa trot I~ee. Subject to applicable law ~x to a written waiver by Lender, Borrower shall pay to Lender on the day monthly installments of principal and interest arc payable under the Note. until the Note is paid in toll, a sum (ht+'un "Fturds'y equal to onatwelRh of the yearly taxc. and assessments which may attain priority over this Mortgage, and ground rent on the Property, it any, plus one-twelfth of yearly premium installments [a harsrd inwrarrce. plus one-twdith o[ yearly premium installment: for mortgage inurrarrce. it any, all as reasonably estimated initially and trout time to time by Leader oa the basis of ssses~mcnts and hills and reasonable estimates thereof. The Fturds shall be held in an institution the deposiq or accounts of which are insured or guaranteed by a Federal of Wee agency (including Lender it Lender is such an institution). Lender sMll apply the Funds to pay said taxes, assessments, imuraaoe premiums and ground tents. tender may not charge for so holding and applying the Funds. analyzing said account, or verifying-snd compiling aid assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law t • permits Leader to make such a charge. Borrower sad Lender may agree in writing at the time of tzecution of this 1 Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement a made or applicable law i requires suede interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shaA 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 the sums secured by this Mortgage. TE the amount of the Funds held by Lender. together with the future monthly installments of Funds payable prior to the due dates of taxes, auessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. aaespneat:, ituurattce premiums sad ground rents as they fall due, such excess shall be, at Borrowers option, either promptly repaid to Borrower a< credited to Borrower on monthly installments of Funds. If the amount of the funds heW by Lender shall not be wl6cieot to pay fazes. assessments. insurance premiums and ground. rents ss 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 [uU. of all sums stxured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Lender. It under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender. Lender shall apply, rro later than immediately prior to the salt of the Property or its acquisition by Lender, any Funds held by Lender at the time of application a: a credit against the sums secured by this Mortgage. 3. A~ikatiorr of lrpraeds. Unless applicable law provides otherwise, all payments received by Lender under the Note sad paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 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 Advances. 4. Charges; Lkas. 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 leasehold payments or ground rents, if any. in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due. directly to the payee thereof. Borrowu 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 which has priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so bng as 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 enforcement of such lien in, r legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S. Hazard Irrsanwce. 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 !or 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. The insurance carrier providing the insurance shall be chosen by Borrower subject to 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. 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 and renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all rtxeipts of paid premiums. In the event of loss, 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. If such restoration or repair is not economically feasible or if 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 s to Borrower- If the Property is abandoned by Borrower, or if Borrower (ails 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 or to tbe sums secured by ihis 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 ot- r such installments. It under paragraph 18 hereof the Proferty is acquired by Lender, all right, title and interest of Borrower r in and to any Insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale s or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or l acquisition. 6. Prestrvatlon and Maintenance of Property; Leaseholds; Condominiums; Planned Unit lkvebpmeats. Borrower ~ shall keep the Property in good repair and shall not commit 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. 1f this Mortgage is on a unit in a j 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. If a condominium or planned unit development f rider is executed by Borrower and recorded together wvlh 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 Leader's Security. If Borrower fa~l~ to perform the covenants and agreements contained in this Mortgage, or it any action ur proceeding i. commenced which materially aftccts Lender's interest in the Property, including, but not limited to, eminent domain. inu.hency. axle enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, mac 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 tees and entry upon the Property to-make repairs If Lender required mortgage insurance as a ; cond~tiun of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such insurance in retest until such ume as the requirement fur arch insurance termin:Ucs m accordance with Borrower's and t , aooK 3U6 Qar,EZS$4 's ~ ~i2 r -H~F~' L jL 1A _ s ~4 :s' {