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HomeMy WebLinkAbout0593 ? t ~ ~ . ' ~ I Borrower and L.ender oovenant and agree aa follows: f 1. Pa?yment of Principal snd latere~~ Borrower ahall promptly pey when due the principal of and interea! on the indebtedneee evidenced by the Note. prepayment and tate chasges as provided in the Note. and the priacipal of and interest on any PLture Advar?cee secured ~ by ehis Mort~age. ~ 2 Ftiuida [or Teuce~ snd lnsuraaoe. Subjeet to applicable law or to a writte~ waiver by t.e~der, Borrower shall pay to Lender on the day monthly installments of principal and interest are payable under the Note. ~aW the Note is paid in full, e sum (herein "Ftinde") equal to one- twelfth of the yearly teuces and asseasments which may attain priority over this Mortgage. and ground rents on the Property, if any, plus ono- tweliih of yearly premiutn inatallments for hazard inaurance. plua onetwelfth of year~yr premium installments for morigage ineurance, if any, all as reoeonably estimatod initial~y and from time to time by I.ender on the basis of easessments and biUa and reasonable eatimates thereoL The Phnda~ shall be held ia an institution the deposit~ or eooounte of which are inaured or guaranteed by s Federal or State agency (including Lender if Lender is such an institution). Lender ehall apply the FLnda to pay seid tases, eseesements. ineuranoe pnmiuma and ground nnts. Lender may not charge for so holding and applying the Plinds. analyzing said account, or verifying and rnmpiling eaid asaesemeats and biW, unless I.ender pays Borrowar interest on the FLnds and applicable law permita L.eader to make such a charge. Borrower and Lender aasy agree in writing at the time of eaecntion of this Mortgage that intereet on the Ftinda shall be paid to Borrower. and unlees iuch ege~eement u made os applicable law requirea such interest to be paid. Lender shall not be required to pay Borrow~ any interes! or earninge on the I~1nds. Lender shall give to BoTrower. without charge. an annual acoounting of the [~nds ehowing credits and debita to the Funda and ~the purpwe for which each debit to the Ftinda waa made. The Funds are pledged as additional security for the sums eecured by thia Mortgage. - If Lhe amount of the fi~nds held by Lender. together with the future uwnthly inetallmeats of Funda payable prior to the due dates of t~es, asseesments. insurance preaniums and ground rents. ahall e~[oaed the amount required to pay eaid taxes. aseesementa, inaurance premiuins and ground rents as they fall due, auch e~ccese shall be. at Bonower s optioa, either prompdy repaid to Borrow~ or credited to Borrower on IDOI1~}I lA6~AUII1QD~8 Of I~~IA(L. If the amount of the P~nds held by Lender shall not be aufficien! to pay laxea. seaesamente, iasurance pnmiums and ground rents as Wey fall due, Borrower ahall pay to Lender any amount neceseary to make up the deficiency within 30 daya from the dete notice is mailed by I.ender to Borrowe~r requesting payment thereof. Upon payment in fi~ll ot aU suma eecared by this Mortgage, I.ender ahall promptly refund to Borrower any funds held by Lender. If under paragtaph 18 hereof the Property ia eold or the Property is otherwise acquired by Lender, Lender ahall apply, no later than immediately prior " to the sale of the Propedy or ite aoquisition by Lender, any ~Lnda held !iy I.ender at the time of application ea a credit agains! the auma secured by this Mortgage. 3. Application oi Payments. Unlees applicable law pmvides otherwise, all paymente received by Lender under the Note and paragraphs 1 and 2 hereof ahall be applied by Lender first in payment of amounte payable to Lender by Borrow~ under paragraph 2 hereof, then to interest payable on We Note. then to the principal of the Note, and then to intereat and principal on any Future Advancea. 4. Chargea; I3ens. Borrower shall pay all taues, aesesamenta and other chargea. fines and impoeitions attributable to the Property which may attain a priority over thie Mortgage, and leasehold paymente or ground renta, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner. by Borrower ma~ing payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all noticee of amounte due under thia paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furniah to L.ender receipta evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower ahall not be required to diacharge any such lien so long as Borrower ahall agree in writing to the payment of the obligation secured by such lien in a manner acoeptable io I.ender, or ahall in good faith rnnteet auch lien by, or defend enforcement of such lien in, legal proceedinga which operate to prevent the enforrement of the lien or forfeiture of the Property or any part thcreof. 5. Hazard Ineurance. Borrower shall keep the impmvemeata now ezieting or hereafter erected on the Property inaured against loss by fire. hezards inclnded within the term "e:tended ooverage.° and auch other hazards as Lender may require and in auch amounta and for auch periods as Lender may requin; pmvided. that I.ender shall twt require such ooverage amount e:ceeding the minimum. as may be required by state or federal regulations governing activitiea of Lender, or that amount of coverege reqaired to pay the suma eecured by this Mortgage, whichever ie the greater. The inaurance carrier providinB the insurance ahall be chosen by Borrower subject to approval by Lender; provided, that such appruval shell not be unreaeonably withheld. Atl premiums on insurance policiea ehall be paid in the manner pmvided under paragraph 2 hereof or, if ~ not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. I All ineurance polici~ and renewala thereof shall be in form acceptable to Lender and ahall include a etandard mortgage clause in favor of i and in form aooeptable to I.ender. Lender ehall have the right to hold the policies and renewala thereof, and Borrower ehall promptly furnish to ~ i.ender all renewal notices and all receipte of paid premiums. In the event of loss. Borrower ehall give prompt notice to the insurance carrier and Lender. I.ender may make proof of loee if not made pmmptly by Borrower. ~ Unlesa Lender and Borrower otherwise agree in writing, insurance proceede ahall be applied to reatoration or repair of the Property ~ damaged, provided such reatoration or repair is economically feasible and the eecuriLy of this Mortgage ia not thereby impaind. If anch ~ restoradon or repair is not economically feaeible or if the security of Lhis Mortgage wonld be impaired, the iasurance pmoeede ahall be applied ~ to the snme secured by thie Mortgage. with the e~cess. if anY. Paid to Borrower. If the Property ie abandoned by Borrower. or if Borrower faila to ~ reapond to I.ender withii? 30 days trom the date notice ie mailed by Lender to Borrower that the insurance carrier ogers to eettle a claim for ~ inanrance beaefits, Lendez is antharized to collect and apply the insurance prooeede at Lender a option eitlier to reetoration or repair of the Property or the auma secured by this Mortgage. Unless Lender and Borrower otherwiee agree in writing, any snch application of proceeds to principal ahall not eztend or poatpone the due date of the monthly inatallments referred to in paragraphe 1 and 2 hereof or change dfe amount of anch installmente. If under paragraph 18 hereof the Property is aoqaired by Lender, all right. title and intereet of Borrower in and to any inaurance policies and in and to the proceeda thereof resulting from damage to Property prior to the sale or aoquisition shall pass to Lender to the ~tent of the aums eecured by thie Mortgage immediately prior to such eale or aoqniaition. ~ 6. Preservation and 1Raintenance of Property; Leaeeholda; Condominums; Planned Unit Developmente. Borrower ahall keep the Property in good repair and ohall not oommit waste or permit impairment or deterioration of the Property and ahall oomply with the provieiona of any leaae if thie Mortgage ie on a leasehold. If thie Mortgage ia on a unit in a condominium or a planaed unit development, Borrower ahall perform all of Borrower's obligationa under the declaration or oovenants creatingor governing the condomini~un or planned unit developmenk the by-laws and regulations of the oondominium or planned unit development, and coastituent documenta. If a condominium or planned unit development rider ia executed by Borrower and recorded together with thia Mortgage. the oovenanta and agreemente of auch rider shall be incorporated into and ahall amend and aupplement the covenanta and agreementa of thie Mortgage as if the rider were a part hereof. ~ 7. Protection of Lender'~ Secnrlt~. If Borro~rer fails to perform the wvenants and agr~eements oontained in this MortBeSe. or if any action or prooeeding is commenoed which materiallY affccts Let?de~'s interest in the Property. including, bat not limited to. emineat domain, insolvency. oode a~forcement, or arraagements or proceedin8~ involving a banlanpt ~ deoedeat, then I.ender at I.endet's option,upon ~ notioe to Borrower may make sach appearances. disbnrse soch sums and take snch action as is neoessary to protect I.ender's inta~ee~ ~ inclnding, but aot limited to, diabnrsemwt of reasonable attorney's fees and entry npon the Property to make repairs. If Lenda required ~ mortgage insurance as a condition of maiung the loan eecared by this Mortgage. Borrower shall pay the prerninms reqaired to maintain ~ such insnrance in effect aatil snch time as the requinment for such inauranoe terminetes in eooordanoe with Sorrowa's and Leader's ~ wsitteu egreemeat or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under ~ Pa~BmPh 2 hereof. My amounta diebnrsed by Lender persuant to this paragraph 7, with interest thereon, shall beoome additional indeMedness of ~ BorrawQ secared by this Martgage. Ualeea Borrower and Lender agree to other terms of payment, auch amounte shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of disbnreement at the rate payable from ~ time to time on ontatending principal ander the Note nnless payment of interest at auch rate would be oontrary to applicable laa. in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing oontained in thie paragraph 7, ehall ~ require Lender to incur any e:penee or talce any action herennder. ~ - - g~e~ - - ~ ° ~ ~7 oA~~ 593 ~ ~ . . - ~ _ - ~