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HomeMy WebLinkAbout2951 , R`, t,. ~ t Borrower and Lender covenant aad agree as folbws: j 1. Payment of Principal sad Intesest. Borrower shag promptly pay when due the principal of and interest on the indebtedness evidenced by the Note. prepayment and late charges as provided is the Note, and the principal of and interest on any Future Advances secured by this Mortgage. r 2 Fonda for Taxes aad Insurance. 3ubjed to applicable law or b a written waiver by Lender. Borrower shall pstiy to Lenderon the day monthly inatalUaeata of principal and interest are payable under the Note. until the Note is paid in talk a sum (herein "Funds'? equal to oae• twelfth of the yearly taxes and assessments whids may attain priority over this Mortgage, and ground rents on the Property. if any, plus one- twelfth ofyearly premium installments for hazard insurance, plus oae•MelRh ofyearly premium installments for mortgage insurance, if any, all as nasonabljr estimated initially and from time to time by Lender on the basis of aasesameats and bills and reasonable estimates thereof. 'ills Pbnda shall be held in an institution the deposits or aooonats of which are insured os guaranteed by a Federal or State agency (inducting Lender it Leader is such an institution). Lender shall apply We Funds to pay said taxes, assessments, insurance premiums and ground rrnts. Lender may not charge. for so holding and applying the Phnds. analyzing said account, or verifying and compiling acid assessrasnts and bills. ndess Leader pays Borrower interest on We Funds aad applicable law permits Lender to make such a charge. Borrower and Lender may agree is 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. Leader shall not be required to pay Borrower any interest or ' earnings on the PY~nds. Lender shall give to Borrower. without charge, as annual accounting of the Funds showing credits and debits to the Funds aad the purpose for which each debit to the finds was made.'ll~e Funds an pledged as additional security for the sum. secured by this Mortgage. If the amount of the ~nda held by Lender, together with the future monthly installments of Funds payable prior to the due dates ottaxee, assessments, insurance premiums and ground rents. shall exoaed the amount required to pay said taxes, assessments, insurance premiums and ground recta as they fall due, such excess shall be, at Borrower a option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Fonda. If the amount of the Fonds heM by .Leader shall not be sufficient to pay lases, assessments, insurance ~ premiums and ground rents ce they fall due, Borrower shag pay to Lender any amount necessary to make up the deficiency within 30 days i from the date notice is mailed by Leader to Borrower requesting payment U?ereof. i Upon payment in fall 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 sale of the Property or its acquisition by Leader, any Funds held by Lender at the time of application as a credit 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 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 interact payable oa the Note, then to the principal of the Note, and then to interest aad principal on any Future Advances. 1. Charges; Liens. Borrower shall pay all taxes, aseceamente and other charges, fines and impositions attributable to the Property which may attain a priority over thin 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. Borrower shall promptly furnish to Lender ' all notioce of amounts doe 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 eo long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to I.ender, or shall in good faithoontest 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. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards inducted 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 each coverage amount exceeding the minimum, as may be required by state or federal regulations governing activities of Lender, or that amount of coverage required to pay the sums secured by this Mortgage, whichever is the greater. , 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 aeceptabk to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower ah all promptly famish to i.ender s1I renewal notices and all receipts of paid premiums. In the event of lass, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of lose if not made promptly by Borrower. Unla~s Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property I''; damaged, provided each restoration or repair is economically feasible and the aecuri of this Mo ty rtgage is not thereby impaired. If such restoration or repair is not economically feasible or if the eecnrity of this Mortgage would be impaired, the insurance proceeds shall be applied to the soma secured by this Mortgage, with the excess, if any, Paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 3D days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for 'r insurance benefits, Lender is authorized to rnllect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the sums secured by this Mortgage. , Unless Leader and Borrower otherwise agree in writing, any such application otproceeds to principal shall not extend or postpone the due F I date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of ouch installments. If under paragraph 18 't hereof the Property is acquired by Lender, all right, title aad intercet of Borrower in and to any insurance policies and in and to the proceeds thereof resulting firom damage to Property prior to the sale or aequiaitioa shall pass to Lender to the eztent of the sums secured by this Mortgage immediately prior to such Bale ce aognisition: ~ 6. Preservation and Maintenance of Property; Leaseholds; Condominums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not connaut waste or permit impairment or deterioration of the Property and shall comply with the ~ provisions of any lease if this Mortgage is oa 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 creatingor governing the eondomininm or planned s unit development, the by-laws and regaletiona of the condominium or planned snit development, and constituent documents. If a ( s condominium or planned Wait development rider is executed by Borrower and recorded together with this Mortgage, the oovenanta and r agreements of such rider shall be incorporated into and shall amend and supplement the cvvenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is oommeaoed whidr materially affects Lenders interest in the Property, indnding, bat not limited to, eminent domain. insolvency, code enforcemart, or arrangements or proceedings involving a bankrupt or deoedeat, they Lender at Lenders option,apon notice to Borrower may make anch appearances, disburse sadr sums aad take such action as is necessary to protect Leaders interest, indnding. but not limited to, dubarsemeat of reasonable attorney's fear and entry upon the Property to make repairs. If Leader required . mortgage insurance as a condition of making the loan eecared by this Mortgage, Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such insunrnae terminates in accordance with Borrower's and Lenders written agreemart or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under Paragraph 2 hereof. Any amounts disbursed by Lender persuaat to this paragraph 7, with interest thereon, shall become additional indebtedness of ' Borrower secnr+ed by this Mortgage. Unless Borrower aad Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payablefrom rims to time on outstanding principal ands the Note unless payment of interest at such rate would be contrary to applicable law, in which t event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph shall require Linder to incur any expense or take nay action hereunder. l • BOOK ~ PACEz947 { - } ~x ~ _ - -