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HomeMy WebLinkAbout2550 UNIlORM Covet+anrs. Borrower and Lender covenant and agree u follows: 1.. Tgtaeat of lrri~ciNl ttrtl INeresf. Borrower shall promptly pay when due the principal of and interest on the ittdebtetlness evidenced by the Note, prepayment and late charges ac provided in the Note, and the principal o[ and interest as any Future Advances secured by this Mortgage. Frai tort Ttteaa atati lawraaca. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to bender on the day monthly installments of principal and inttrest ire payable under the Note. until the Note is paid in full, a tram (herein "Frr~rrds'7 equal to one-twelfth of the yearly taxc. and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly premium installrents for hazard insurance. plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from ti to time by Lender on the buffs 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 guaranteed by a Federal or to agency (including Lender if Lender is such an institution. Lender shall apply the Funds to pay said taxes, assessments. rnsuranoe mrums and ground rents. Lender may not charge for so holding and applying the Funds. analyzing card account. or verifyin rid compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law permit: Le r to make such a charge. Borrower and Lender 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 rcquira 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 esch debit to the Funds was made. The Funds arc pledged u additional security for the sums secured by this Mortgage. If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes, assessmenu, insurance 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~ 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 sufficient 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 mailed by Leader W Borrower requesting payment thereof. Upon payment in full of all awns secured by this Mortgage, Lender shall promptly refund to Borrower any Funds held by Lender. If under puagraph l8 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 Leader at rho time of application as a credit against the sums secured by this Mortgage. 3. A~plicatiow of Paymetats. Unless applicable law provides otherwise, all payments received by Lender under the Note sad paragraphs 1 and 2 hereof shall be applied by [_end~r first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the N te, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Charges; Liens. Borrower shall pay all taxes, assessments and other charges, tines 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. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower s all promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which h priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long as Borrowe shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in faith contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the Iron or forfeiture of the Property or any part thereof. S. Hazard Insurance. Borrower shall keep the improvements now existing ur hereafter erected on the Property insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may reyuire and in such amounts and for such periods as Lender may reyuire; 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. tender 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 loss, Borrower shall give prompt notice to the insurance carrier and fender. Lender may make proof of loss if not made promptly by Borrower_ Unless Lender and Borrower otherw•iu; 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 nut ca?nomicaliy 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 ~ to Borrower. If the Property is abandoned by Burrower, 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 - or to the sums secured by this Mortgage. Unless Lender and Burrower otherwise agree in w•nting, any such application of pnxeeds to principal shall not extend or postpone the-due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of i such installments. If under paragraph Iti hereof the Property is acywred 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 Mortgage immediately prior to such sale or acquisition. a 6. Ptreservation and Maintenance of Property: leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit ysaste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease if this Mortgage is tin a leasehold. If this Mortgage is on a unit in a condominium or a planned unit devclupment. Borrower shall perform all of Borrower's obligations under the declaration or covenants creating or governing the condominium ur planned amt development, the by-laws and regulations of the condominium or planned unit developmem, and constituent dixuments. If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements ~ such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rifer were a part hereof. 7. Protection of Lender's Security. If B++m+wer f:uh to perf<+rm the covenants and agreements contained in this 3 Mortgage, or if any action or proceeding is commenced which materially ,itfects Lender's interest in the Property, ' including, but nut limited to, eminent domain. insol+cncy. c+xfe enforcement. or arrangements or pnxeedings invoking a bankrupt or decedent. then Lender at Lender's option, ulx+n notice to Borrower. mss make such appearances, disburse such j sums and take such action as is necessary to protect Lender's interest, including, but not limited tu, disbursement of reasonable attorney's fees and entry up+m the Property to make repairs. It (.ender reyuircd mortgage insurance as a `s condition of making the loan secured by this Aortgage. Born+wer shall pay the premiums required to maintain such inurance in rtfect until such time as the requirement for such insurance terminates m accordance with Born+wcr's and 3U7 =ac:2549