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HomeMy WebLinkAbout0195 UN!lOR1~1 COVlNANT~. Homower and Lender coveoant and aaree u foliows: . 1 h~~e~N ot T~i~dpl a~i IMersst. 8otrower shall promptly pay when due the pri~cipal ot and intere~t on t1~e ~ndebtedness evidenoed by the Note. ptepayment and late chargec ac p~ovided in the NWe, and the priecipal of and intet+est on aoy Futuoe Advances secured by this Monaa~e. Z. F~i tor T~~s asi iwn~ee. Subject to applicabk law ur to a written waiver by Lende~. BoRO~ver shall MY to Ltnder on the day monthly iestallments of principal and intcrcct rrc payable under the Note. until the Note is paid io full. a sum (hercin "Funds") eqwl to one-twelfth of the yea~l~~ ta~?c. and assasments which may attain priority ove~ this Mo~aje. and `round rents on the P~nperty. if any, plus one-twelfth of yearly premium iestallments for Aazard insurance. plus one-twelfth of yearly premium installments for mongage insurar~cc. if any, all as rcasonably estimated initially and h+o~n time to time by l.et~der on the basis ot assescmcnts and hills and reasonabk estimata thereof. 7be Funds shal! be held'in an institution the depos~u or accounts of which are insured or guaranteed by a Federal ot ttate a~ency (includina Lender if Lcnder is such an ins~itutionl. I.ender shall apply ~he Funds to pay said taxes. assessme~ts. insurance premiums and ground rcnts. 1_ender may not charge for so holding and applying the Fundc. analyzing uid actount, or verifyin~ aad compling uid assessments and billa, unless Lender pays Borrower interat on the Funds and applicable I~w permits Lender to make such a charge. Bo~rower and Lender may agrce in writing at the time of execution o[ this Mottgaae that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law tcquires such interest to be paid. Lender shall not be rcquircd to pay Borroiver any intertst or earnings on the Funds. Lender shall ~ive to Borrower~ without charge, an annual accounting of the Funds showing credits aod debits to the Fu~ds and the purpoae for which each debit to the Funds wu made. The Funds arc plodged as additional. security tor the sums secured by this Morttaae. lf the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to tLe due data of taxes. assessments. insurance premiums and ground rcnts, shall excced the amount required to pay said taxa. assaanents, insu~ance premiums and ground rents as they tall due, such excess shall be. at Borrower s op~ion, either pmmptly rcpaid to Borrower or ctodited to Borrower on monthly i~tallments of Funds. If the amount of the Funds beia by c.~~ ~n~i ~o~ ~ sWS~;eot to wy ~ua, assessments, insurance prcmiums and ground rents as they fall due, Bort+oaer shall pay to L.ender any amount necusary to make up ttie deficiency within 30 days (rom the date notice is mailed by I.eoder to Borrower requesting payment thereof_ Upon payment in full oE dl sums secured by this Mortgage, l.ender stiall promptly refund to Borrower any Funds held by L.ender. If under puagraph 18 hereof the Propeny i~ sold or the Propeny ~s otherwise acquircd by Lender. Lender sLall apply. no later than immediately prior to the sale of the Property or its acquisition by [.endcr. any Fundc held bv I.eader at the time of application as a credit against the sums secured by this Mortgage. 3. Applicatbo of Pqotats. Unless applicable taw provides otherwise, all payments received by Lender under the Note and paragnphs 1 and 2 l~ereof shall be applied by Lender 6rst in payment of amounts payable to Lender by Borrower under paragtaph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Futurc Advances. - C6staa; Lkas. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to tbe Property which roay attain a priority aver this Mortgage, and leasehold payments or ground rents. if any. in the manoer provided under paragraph 2 herco[ or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender al! notices of amounts due under this paragraph, and in the event Borrower shall make payment directly. Borrower shall promp~ly furnish to l.ender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mongage: provided, thal Borrower shall not be required to discharge any such lien so long as Borrower shall agree in wriling to the payment of ihe obligatiun secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enfo~ement of such lien in. legal proceedings which operate to prevent the enforcement of the lien or forfeiwre of the Property or any part thercof_ S. Hazud lnwrance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by 6re, hazards included within the term "extended coverage", and such other hazards as Lender may require wd tn 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 requir~d 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 shal4 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 carricr. ' • All insurancr 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. Lender shall have the right to hold the policies and renewals thereof, ~ and Borrower shall promptly furnish tc+ Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borcower shall g~ve prompt notice to ~he insurance carrier and Lender_ Lender may make proof of loss if not made promptly by Borrower_ i ~ Unless Lender and Borrower othervvisc agree in writ~ng, insurance proceeds shall be applied to restoration or repair of ~ the Property damaged, provided such restora~ion or repair is economically feasible and the security of ihis Morigage is ~ not thereby impaired. It such restoration or ~epair is not economically fcasible or if the security of this Mortgage would i be impaired, the insurance proceeds shall be applied to the sums secured bp this Mortgage, with the excess, if any, paid ~ to Borrower. If the Property is abandoned by Borrower, or i( Borrower fails to respond to Lender within 30 days from the ~ date notice is mailed by L.ender to Borrower that the insurance carrier ofTers to settle a claim for insurance benefits, Lender ~ is authorized to collect and apply the insurance proceeds at LenJer's option ei~her to restoration or repa~r of the Propen~ or to the sums sccured by this ~iottgage. ~ Unless Lender and Borrower otherwis~ agree m writing, any such application of pro~:eeds to principal shall not extend ~ or postpone ~he due date of the monthly installments rcferred ~o in paragraphs I and 2 hereof or change the amount of ~ such installments. If under paragraph 18 hereof the Pro f,erty is acyu~re~i by Lender, aU right, tide and interest of Borrower in aod to any insurance policies and in .and to the proceeds thereo( resulting from damage to the Propeny prior to thc sale ~ or acquisition shall pass to Lender to the e~tent of the sums secured by this Mortgage immedialely prior to such sale or - acquisition. . y 6. Presen~alioa and htstintenance of Property; Leasehulds; Condominiums; Planned Unit Developments. Borrowcr ~ - shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property ~ and shall compl}' with the provisions of any lease if th~s Mortg~ge ic on a Icaschold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower shall ocrform all of Borrower's obligations under the declaration or covCnanls creating or governing 1he condommium or planned unit development, the by-laws and regulations of the condominium or planned unit development, and constituent ~ocument~. If a condominium or planned unit development ~ rider ic executed by Borrow~er and recorded together w~th thi~ Mortgage, the covenants and agreements of such rider ~ shall be in~orporated into and shall amend and supplement thc co~~enants and agreements of ~his Mortgage as if the riJer were a Part hereof. 7. Protection of I.enders Securfty. If Borrower failc t~• perf~rm the covenants and agreements contained in this ; Mortgage, or if any action ur proceed~ng ~t cummence~i ~.hich materially aBects Lender's interest in the Property, 3 ineluding, but nat limited to, em~nent domam. insolvenc~~, cocle enforrement. ur arrangements or proceedings invol~•ing a ~ bankrupt ur decedent. then Lender at LenJer's option, up~m notice to Borrow•er, ma} make such appearances, disburse such ~ sums and take such action ac is neces~arp t~~ protec! Lendes'c m~erest, incliiJing. but not limrted to, disbursement of ~ reasonable auomey's (ces an~ entry upc~n the Propcrt~• to m•rke repain. If LenJcr reyuircd moregage in~urance as a condition of mak~ng the loan ~ecure~l b}' Ihis Mortgagc. B~~rrower shall pay thc premiums reqinreJ to mainta~n such ~ insurance in ct~cct until such timc as ~hc rcyuircmcnt for .uch ~nsurancc tcrmmatc~ in ac~ordancc with Bormwcr's and $L'C~'r ~oU ?aCE 195 ~ • ~ ; , . . , . _ .