The URL can be used to link to this page

Home My WebLink About0385 13orrower and l.ender covenAnt and agrre us [ullovra: l. Payment of f'ri~cipal and Interest. Borruwer shi~ll promptly pay when due the principal of nnd interrat un the indebtednesa evidenced by the Note, prepayment and late chargex aa pruvided in the Note, and the p~ncipnl of and inte~rst un eny h uture Advuncea e~ecured by thie Mortgage. 2. ~nde tor Taxea and Ineurance. Subject to appliciible luw or to a writteo waiver hy IAnder, f~,rruw~er shnll puy to I.ender un the day monthly instullmente of principal und intemst are payt?ble under the Note, until the Nute iei paid i~ full, u aum ihrreio "N unda") cv~uai tu une twelQh of ihe yearly taxea und iisaessmenlrz which may nttuin priurity u~ er thia Mortgxge, nnd ~u~d rentx un the Prupcriy, if any, plus onr twelfth of yenrly premium instaliments for hacard inaurance, plusunetwelfth ofyearly pre~nium inatiillmrntx for mortgt~ge insurunce, if any, all as reasonebly estimnteci initially und from time to time hy l.ender on the F?asia of usscezsments aod bills und reasonahle estimr~tea thereuf. The FtinJe ehall be held in an inatitution the depoaita o~ accounta of which are inaured or guaranteed by a Federal or State agency (including l.ender if I.ender ia such an institution). l.ende~ ahall apply the Funda to pay snid txxea, uxseaxmente, insurunce premiums and ground rente. I.ender may not charge for ao holding and applying the Funds, analyzing auid uccount, or verifying and compiling axid asneaameniei and bille, unlese I.ende~ paya Borrower interesl on the Funda and applicable law permita I.ender to makeauch n charge. Fturrower and I.ender may agree in writing at the time of executiun o[ thia Mortgage that intercat un the Funda ahnll be paid to Born~wer, and unleae? auch agreement is made or applicable law tequires such intemat to be paid, I.ender ahall not be required to pay Borrower uny interest or earnings on the ~nde. l.ender shall give to f3or?ower, without charge, u~ nnnual accounting o[the Funds ehuwing credils and debita to the F unda and the purpose for which each debit to the M unda wua made. The Funds are pledged ue tidditional aecurity for the sums secured by this Mortgage. If the amount of lhe F~nda held by I.ender, together with the future monthly inatnlimenta of I~ unda pt+ynble prior to the dued~tes of taxea, assesemenla, inaurance premiuma and gmund rents, shall excred the amount required tu pay anid taxea, assesxmrnts, inaurance premiums and ground rnnte as they fall due, such excesa ahall be, at 13orruwer a option, either promptly repnid to E3orrower or credited to E3orrower on monthly installmenta of Funde. If the amount of the Funds held by l.ender ahall not be aufficient to pay taxes, asaeasmenta, insurance prnmiums and ground rents as they fall due, E;orrower ahnll pay to I.ender any amount neceasary to m~ke up the deficiency within 30 days fmm the date notice is mailed by I.ender to Borrower requeating payment thereof. Upon payment in full of all sums aecured by this Mortgage, t.ender ahall prumptly rnfund to E3~rrower any funds held by l.ender. !f under paragraph 18 hereof the Property is sold or the Prvperty is otherwiae ucquired by I.ender, l.ende~ shail apply, no later than immediately prior to the sale of the Property or ita acquiaition by [.ender, any Funds held by I.ender at the time of application as a credit agt~inst the sums secured by this Mortgage. 3_ Application of Paymenta. Unlesa applicable law provides othervolse, aU payments received by l.ender under the Note and paragraphe 1 and 2 hereof shall be applied by Lender first in pnyment of amounta payable to Lender by I3orrower under paraqrnph 2 herecef, then W intereat payable on the Note, then to the principal of the Note, ~nd then to interest und principal on ~ny Future Advances. 4. Charges; Liens. Korrowerahall pay nll t~xes, assee;smenls and otherrharKes, fines and impositions uttributuble u? thc Property which may attain a priority over this Mortgage, and lea4ehold pnyments or gmund rents, if ainy, in the manner provided under par:iKr:iph'L hereuf or, if nol paid in such manner, by Borrower makinQ pnyment, when due, directly to the payee thereof. Bormwershi~ll promptly Curnish to I.ender all notices otamounts due under this para~aph, and in the event l3orruwer shall make payment directly, Rurn?wer shall prompUy fumish to l.ender rrceipts evidencing such pxyments. I3orrower shall prompUy discharKe nny lien which has priority uver this MortKage; provided, that Eiorrower shall n~~t be required todischurge nny such lien so long:~ N~rrowrrshuU zigree in writinK to the payment nf the obliKation:~ecured by ~uch lien in a manner accept~ble to I.ender, or shnU in K«~d faith cY,ntest such lien by, ordefend enforcrmentofsuch lien in, leE;al pnKCtidinKti which operate to prevent the enforcemrnt of the lien or forfeiturn of the Pruperty or :iny part therc~c~f. 5. Hazard Ineurance. Borrower ehall keep the improvements now exiating or hemafter erected on the Property insured againat luss by fire, hazarda included within the term "extended coverage," and such other hazurds as I.ender may require and in such amounta and for such periods as I.ender may require; provided, that l.ender shall not nquirr such coverage amount exceeding the minimum, as may be required by state or federal regulations governing aclivitiea of Ixnder, or that amount of coverage required to pay the suma secured by this MurtKage, whichever is the qreater. The insurance carrier providing the insurance shall be chosen by Korruwer subject to approv:~l by l.~~nder; PIY)YI(IEYI, that sach upproval tihall not be unrea.gcmably withheld. All prnmiums on insurance prdic~ies shall he paid in the manner pn?vid~rl under parakr.iph l henYdor, if not paid in such manner, by Borrower makinQ payment, when due, directly to the insurance carrier. AU inaurance policies and renewals thereof ahaU be in form acceptable to Lender and shall include a atandard mortgage clause in favor of ; xnd in form acceptable to [.ender. Lenderahall have thrright to hold the policiea and renewals thereof, and Borrower shall promptly furnish to i.ender all renewal noticea and all receipts af paid prnmiums_ In the event of loss, Aorr+uwer shall give prompt notice to the insurance camer ~ and Lendec I.ender may make proof of losa if not made promptly by Borrower. ! Unlesa I.ender and Eiorrower otherwise agree in writing, insuranm proceeds ahall be applied to reaWration or repair of the I'roperty damaqed, provided auch reatoration or mpair ia econ-omically feasible and the security of this Mortgage is not thereby impaired_ If such restoration or repair is not economically feasible or if the security ot this Mortgage would be impaired, the inaurance proceeds shall t?e applied ~ to the euma secured by this Mortgage, with the excess, it any, paid to Borrower. If the Property is abandoned by Borrower, or i[ Eiorrower faila to ~ rexpond to L.ender within 30 days from the date notice is mailed by I.ender to E3orrower that the insurance carrier offers to settle a claim for ~ insurance benefits, Lender is authorized to collect and apply the insurance proceeds at I.ender's option either to restoration or repair of the ~ Property or the auma secured by this Mortgage. ~ Unleas Lender and Borrawer otherwiae aAree in writing, any such application of procreds to principal shall not extrnd or postpone thedue ~ date of the monthly inataUments rnferred to in paraqrapha 1 and 2 hereof or change the amount of such installments. [t under paragr~+ph IR hereof the Property is acquired by Lender, all right, title and inlerest of Borrower in and to any ineurance policiea and in and to the proceeds ~ thereof resulting from damage to Property prior to the sale or acquisition ahall pasa to Lender to the extent of the euma secured by this ~ Mortgage immediately prior to such sale or acquiaition. 6. Preservation and Maintenance of Property; Leaseholds; Condominume; Planned Unit Developmente. Borrower shall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall comply wilh the ~ provisiona of any lease if this Mortgage is on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development, ~ F3orrower ahall perform all of E~rrower's obligations under the declaration orcovenanta cre~tintior governing the condominium or planned unit development, the by-laws and regulalions of the condominium or planned unit development, and constitueni documente_ I[ a ~ condominium or planned unit development rider is executed by Borrower and recorded together with thia Mortgage, the covenants and ~ ~Kreements of such rider shAll be incorporated into and shall amend and supplement thecovenanls and agreementsofthis Mortgage as ifthe rider were a part hereof. ~ 7. Protection ot Lender's Security. If Borrower faila to perform the oovenante and agreemente contained in thie Mortgage, or if any ~ action or proceeding is commenced which materially affecte Lender'e interest in the Property, including, but not limited to, eminent domain, ~ ineolvenry, oode entorcement, or arrangemente or proceedings involving a bankrupt or decedent, then I.ender et Lender'e option,upon - notice to Borrower may make euch appearancee, dieburee such aume and take auch action se ie necessery to protect Lender'e intereat, = including, but not limited to, diebureement of reseonable attorney's fees and entry upon the Property to make repaira. If L.ender required mortgage inaurance ae a condition of making the loan secured by this Mortgage, Borrower ehall pay the premiume required to maintain such ineurance in effect until euch time as the requirement for auch ineurance terminates in accordance with Borrower's and Lender e R written agreement or applicable Law. Borrower ehall pay the amount of all mortgage ineurance premiuma in the manner provided under ~ paragraph 2 hereof. ~ Any amounts disbureed by I.ender persuant to this paragraph 7, with interest thereon, ahall become additional indebtedneae of 5 Aorrower aecured by thie Mortgage. Unleea Borrower and I.ender agree to other terme of payment, euch amounte shall be payable upon notice from Lender to Borrower requeating payment thereof, and ehall bear interest from the date of diebureement at the rate payable from ~ time to time on outetanding princi al under the Note unleea a p p yment of interest at auch rate would be contrary to applicable law, in which event auch amounta ehall bear intereat at the higheet rate permieeible under applicable law. Nothing contained in thie paragraph ehall ~ require L.ender to incur any expenae or take any action he~eunder. ~ u ~ ~ ~ ~ r.- ~ ~ U` kr ~v~ ".~i~: ~:J~ ~ E ~ `~N ` - ~ f ~ -p., r~ _ - . ':a°:'_ :