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HomeMy WebLinkAbout0121 ~ . ~ • . UN~FOR~?t CoveH~NTS. Borrower and I.tnd~r cove~ant and agree as follows: 1. Psymeat ot Alncip~d aod lateral• Borrower shall promptly pay when due the principal of and interest on the indebtedneas evidenced by the Note. pcepaytnent and late charges as provided in the Note,~and the principal of and intercst on sny Future Advances secured by this Mortgage. - 2. Fbnds tor T~es aad Iu~urance. Subject to applicable law or to a writtert waiver by l.ender, Borrower shdl pay to Lender on ~he day monthly installments of principal a~d interest are payable u~dcr the Note, until ihe Note is paid in tuU, sum (herein "Funda") equal to one-twelfth of the yearly taxes and assessments. which may attain priority over this Mortgage. and ground re~ts on the Property, if any. plus o~e-twelfth of yearly premium installments for hazard insurancc, plus one-tweltth of yearly premium installments for mortgag~ insurance. if any, all as reaso~ably estimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. 'Il~e Funds shall be held in an institution the deposits or accounts of which are insured or guarantoed by ~ Federal or state age~cy (including Lender if Lender is such an iastitution). Lender shall apply the Funds to pay said taxes. assessments. insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said assessments and biUs. unless Lender pays Borrower interest on the Funds and applicable law pecmiu Lender to make such a charge. Borrower and L.ender may agree in writing at the time of exccution of this Mortgage that interest on the Funds shall be paid to Borrower, and uoless such agreement is made or applicable law requites such interat 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 accou~ting of the Funds showing credits and debits to the Funds and the purpose for which each debit to ttte Funds was made. The Funds are pledged as 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, assessments. insurance premiums and ground rents. shall exceed the amouM 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 Bormwer on monthly installments of Funds. If the amount of the Funds held by Leader shall not be suf~cient 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 wilhin 30 days from the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all sums secured by this Mor~gage, l.ender shall promptly refund to Borrower any, Funds _ held by Lender. If under paragraph 1 R hereof the Property is sold or the Property is otherwise acquired by l.ender. Lender shall apply, no later than immediately prior to the sale of the Property 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. Application of Paymeats. Unless applicable law provides otherwise, all payments received by Lender under the , Note and paragraphs 1 and 2 hereof shall be applied by I.enJer first in payment of amuunts 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 ~ principai on any Future Advances. ' 4. C6arges; Lkas. Borrower shall pay all taxes, assessments and other rharges, 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 manaer provided under paragraph 2 hereof or, if noi 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 mate payment directly, Borrower shall promptly furnish to l.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 ir, writing to the payment of the obligation secured by suc6lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in, tegal proceedings which operate to prevent the en[orcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard lnsuraoce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included withm the term "extended coverage", and such other hazards as C.ender 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. ~ "I~e insurance carrier providing the insura~tice 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 carriEf. T < i c • ~ • All insurance policies and renew~ls thereaf shall be in fam a~eptable•to Lender and shall include a standard mortgage clause in favor of and in form ~icceptable to L.ender.. L.ender,shall have the right to hold the policies and renewais thereof, and Borrower shall promptly furnish'to Lender all renewal notices and atl receipts 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 othen+~ise 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 ~ to Borrower. If the Property is abandoned by Borrower, or iC Borrower fails to respond to Lender within 30 days from the e date notice is mailed by l.ender to Borrower that the insurance carrier ofters to settle a claim for insurance benefits, I.ender ~ is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property q or to the sums secured by this Mortgage. s Unless Lender and Borrower otherwise agree m writing, any such application of proceeds to principal shall not extend i or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of - such installments. If under paragraph 18 hereof the Property is acquired 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. ' ; 6. Presen~atian and :~taintenance of Property; Ixaseholds; Condominiums; Planned Unit Uevelopments. Borrower _ shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property - and shall comp{y 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-laws and regulations of the condominium or planoed unit development, and constituent documems. 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. Proteclion of Lende~s Security. If Borrower fails to perform the covenants and agreements contained in this ~ Mortgage, or if any action or proceeding is commeneed a~hich materia!ly affects Lender's interest in the Property, a including, but not limifed to, eminent domain, insolvency. code enforcement, or arrangements or proceedings involving a ; bankrupt or decedent, then Lender at ~enJer's option, upon notice to Borrower, may make such appearances, disburse such ; sums and take such action as is necessary to protect Lender's interest, including, but not limited to, disbursement o~ ~ reasonable attorney's fees and entry upon the Property to make repairs. If Lcnder required mortgage insurance as a ~ condition of making the loan secured b}~ this Mortgage. Borcower shall pay the premiums required to maint~in such insurance in efTect until such time as the requirement for such insurance terminates in accordance with Borrower s and ary~ 3V~J ~'.1.~: x ~i w ~ ' . _ _ _ . - - ~