HomeMy WebLinkAbout2897 UNl>rOl<M COVlNAtV'ttl. BOrr+Owet and Lender covenant and atroe ss follows:
6 iittytttt~t et Psittc*al M IttMsvst. Borrower shall promptly pay when due the principal of and interest on the
irtdebtednps evidtaoed by the Note. propaytstent and late charter as provided in the Nose. and the ptpncipal of and interest
oa soy Futuro Advaaoes secured by thK Mortgage.
1 llri filar 71satN sad Ittwsree. Subject to applicable law cx to a written waiver by Lender. Borrower shall pay
to Leader on the day monthly installments of principal and interest are payable under the Note. until the Note is paid in full,
a sum (heroin "Funds'q equal to ortt-twelfth of the yearl~~ tax~~. and assessments which may attain priority over this
Mortgage. and ground twits oa the Property, it any. plus one-twelfth of yearly premium installments for hazard insurance.
plus one-twelfth of yeuly premium installments for mongage instrrancc, if any, all as twuronably estimated initially and from
time to tithe by Lbrtder on the basis of assessments and hills and reasonable estimates thereof.
7Le Funds shall be beW in an institution the deposits or accounts of which are iroured or gwranteed by a Federal of
state agency (incltding Leader if Ltrtder is such an institution). Lender shall apply the Funds to pay said taxes, assessments.
inwraace premiums and grottnd rents. 1_ender may not charge for so holdint and applying the Frrrtds. analyzint said account,
or verifyinsand compling aid assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
pernnits Lender to make sttch 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
requires 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 each debit to the Funds was mad[. The Funds arc pledged as additional security for the sums secured
by this Mortgage.
U the arttottnt of the Fuadt 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 amount required to pay said taxes,
assessments, irauraace 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 Leodar shall not !>e wl6cient to pay tugs, pssessmenu, insurance premiums and ground rents as they fall due,
Borrower shall pay to Leader any amount necessary to makeup the thli~iMlyAflthSprSO days from the date notice is mailed
by leader to Borrower regttesting payment thereof. . • . ,
Upon payment is full of all strtas secured by this Mortgage, I.ettriet; shall romptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the'propttf~Obi1R'~pise acquired by Lender, Lender
shall apply. no later than immediately prior to the salt of the Property or its:ttrcgttis~{1oRj~y,~Lender. any Funds held by
Lender at the time o[ application as a credit against the sums secured by this Mortgage.
3. A~Ikatiow of I•gateats. Unless applicable tiro provides otherwise, all payrt~r~~`~ceived by Lender under the
Note sad 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 payable on the Note, then to the principal of the Note. and then to interest and
principal on any Future Advaaoes.
4. Charges; Liens. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to
the Properly 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 shall promptly furnish to Lender 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 bog 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 enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of tht hen or torferturt of the Property or any part thereof.
S. Hazard Inwrraaee. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
against loss by fire, hazards included within the term "extended coverage", and such other hazards as lender may require
and in such amounts and for such periods as Lender may reyuirc; provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured Eby this Montage.
'tire 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
li provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
insurance carrier.
f All insurance policies and renewals thereof shall be in form acceptablt to Lender and shall include a standard mortgage
clause in favor of and in form acceptablt to Lender. Lander shall have the right to hold the policies and renewals thereof,
F and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of Ions.
Borrower shall give prompt notice to the insurance carrier and Lender. Lertcter may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwrst agree in writing, insurance proceeds shall be applied to restoration or repair of
the Property damaged, provided such rcstoratron 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 Mongage 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 abandcned by Borrower, or it borrower fails to respond to [.ender 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 Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend
~ or postpont the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
~ such installments. It under paragraph 18 hereof the Pro ferty is acquired by Lender, all right, title and interest of Borrower
in sad to any Insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the gale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition.
6. !reservation soil Maintenance of Property; Leaseholds; t.'ondominiums; Planned Unit Devebpmenls. Borrower
shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property
and shall comply with the provisions of any lease rf tha Mortgage n 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 planned unit development, and constituent dorumenn. If a condominium or planned unit development
rider rs executed by Borrower and recorded together with thn 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 rf the rider
were a part hereof. ,
7. Protection of Leader's Security. If Borrower farts to prrtorm the covenants and agreements contained in this
Mortgage, or if any action or proceeding rs commenced which materially affects Lender's interest in the Property,
s including, but not limned to, eminent domain. irnolvency. axle en(orcement. or arrangements or proceedings invoh•ing a
I bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower. may make wch appearances, disburse such
sums and take such action as is necessary ar protect Lender's interest. including. but not limned to, disbursement of
reasonable attorney's fees and entry upcm the Property to make repairs. 11 Lender required mortgage insurance as a ,
condition u( making the loan secured by this Murtgagt. BorroNCr shall pay the premiums rtyurred to maintain such
' insurance in effect until such time as the reyuirenrent tqr wch rnwranc4 terminates in accordance with Borrower's and
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