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HomeMy WebLinkAbout0079 . ~ ~ . , ~ . . ~ . ,R i UNtFOxnt CoveN~Nrs. Borrower and Le~der covenant and agrec as follows: ` ti l. Payment ot Principal aod laterest. Borruwer shall promptly pay when due the principal of and i~terest on the indebtedness evidcnced by the Note, prcpayment and latc charges as provided in the Note, and the principal of and interest ' on any Future Advances secured by this Mortgage. ~ 2. Fn4ds [or Taxa aad Iusurance. Subject to applicable law or to a written waiver by l.ender, Borrower shall Pay to Le~der o~ the day monthly instalimeots of principal and interest arc payable under thc Note. until the Note is paid in [uU, a aum (herein "Fundt") equal to onatwelfth of the yeariy taxcs and assessments which may attain. priority over this Mortgage, and ground re~ts o~ the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance, plus one-twelfth of yearly premium instalf~ents for mortgage insurance. if any. all as reuonably estimated initially and from ~ time to time by Lender on the basis of assessments and bills and roasonablc estimates thcreof. + The Fu~ds shall be_ held in an institution the deposits or accounts of which are insured or guaranteod by a Federal or ~ , state agency (including Lender if Lender is such an institution). Lender shall apply the Fu~ds to pay said taxes. asseuments, insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzi~g said accoun~ or verifying and compiling said assessments and bills. unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and l.ender 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 rcquited to pay Barrower any interest or earnings on the Funds. l.ender 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 socurity for the sums secured by this Mortgage: ~ i If the amount of the Funds held by Lr_nder, together with thc future monthly installments of Funds payable prior to the due dates o~ taxes. assessments. iacurance 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 Borrower s option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shalt not be suflicient 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 maiied by L.ender to Borrower requesting payment thercof. = Upon payment in full of all sums secured by this Mortgage, l.ender shafl promptly refund to Borrower any Funds held by I.ender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by l.ender, Lender shall apply. no later than immediatcly prior to the sale of the Properiy or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. Applicatioa 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 1_ender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof. then to interest payablc on the Note, then to the principal of the NMe. and then to interest and principal on any Futtue Advances. 4. Charges; Lkas. Borrower shall pay all taxes, assessmcnts and other charges, fines and impositions attribulable to ' the Property which may attain a priority over this Mortgage. and leasehold payments or ground rents, if any. in ihe manner provided under paragraph 2 hereof or, if not paid in such manner. by Borrower making payment, when due, directly to the payce thereof. Bonower shall promptly furnish to L.ender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to I,ender 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 long 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 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. 5. Hazard Insurance. Borrower shall keep the improvements now exisiing or hercafter erected on the Property insured against loss by fire, hazards included within ihe 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. 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, direcdy to the insurance carrier. _ Alt insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage t ; clause in favor of and in form accepta6le to Lender. Lender shall have the right to hold the policies and renewals thereof, ' j and Borrower shall promptly furnish to I.ender all renewal notices and all receipis of paid premiums. In the event of loss. ' Borrower shall give prompt notice ro the insurance carrier and Lender. Lender may make proof of loss if not made prompdy j by Borrower. I Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of I the Property damaged, provickd such restoration or repair is economically feasible and the security of this Mortgage is E not thereby impaired. If such restoration or repair is not economically [easible or if the security of this Mortgage would s be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, wilh the excess. if any, paid ~ to Borrower. If the Property is abandoned by Borrower, or i[ Borrower fails to respond to I_ender within 30 days from the ~ Jate notice is mailed by Lender to Borrower that the insurance carrier otTers 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 the sums secured by this Mortgage. ~ ~ Unless I.ender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend ` 5 or postpone the Jue date of the monthiy 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. tide 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 l.ender to the extent of the sums secured by this Mortgage immediately prior to such sale or ~ acquisition. e 6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Devdopmeots. Borrower ~ shall keep the Property in good repair and shall not commit wa?ste 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-Iaws and regulations of the condominium or planned unit development, and constituent documents. If 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. Protectioa of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this f Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, = including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a ` bankrupt or decedent, then Lender at Lender's option, upon notice ro Borrower, mag make such appearances, disburse such ~ ~ sums and take such action as is necessary to protect Lender s interest, including. but noi limited to. disbursement of ~ ~ reasonable attomey's [ees and entry upon the Property to make repairs. If Ixnder required mortgage insurance as a ~ condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower s and ~ . ~ SCRr ~O~ FAGE ~ ~ • , : ~ _ ~ ~ v . _ .