Loading...
HomeMy WebLinkAbout1020 UNIPOIIM COVeNANTS. Borrower and Lender covenant and agree as followa: 1. h~nneof ot Priacipsl aud lateresf. Borrower shall protnptly pay when due the principal o[ and interest on the indebtedness evidenced by the Note, prepayment and late charges as provided in the Note, and ~he principai of and interest on say Future Adva~ces secured by Ihis Mortgage. 2. Ronds fo~ Tues aad laeuraace. Subject to applicable law or to a.written waiver by Lende~, Borrower shall pay to Lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full. a aum (herci~ "Funds") equal to one-twelfth of the yearly ~axes and assessments which may at~ain priority over this Mortgage, a~d grou~d rents on the Property, if any, plus one-twel(th of yearly premium installments fot hazard insurance, plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated init~ally and from time to time by Lender on the basis of assessments and hills and reasonable estimatcs thereof. • 'Il~e Funds shall be htld i~ an institution the depcuits or accaunts of which a~e insured or guara~tl~i by a Federal or state agency (including Lender if l.ender is such an institu~ion). l.ender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. l.ender may not charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said assessments a~d bills, unless l.ender pays Borrower interest on the Funds and applicable law permits Lender 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 requires such interest to be paid. Lender shall not be required ta pay Barrower 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 made. The Funds are pleciged as additiunal security for the sums secured by this Mortgage. If the amount of the Funds held by Lender, ~oge~her with the future mon~hly installments of Funds payable prior to the due dates of taxes, assessments. insurance premiums and ground rents, shall exceed the amount reyuired ~o 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 Borrower on monthly installments of Funds. If the amount ot the Funds held by Lender shall not be suflicient to pay taxes, assessments, insurance premiums and ground rents as thcy fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 da}•s from ihe date notice is mailed by Lender to Borrower requesting payment thereo(. Upon paymtnt in full of all sums secured by this Mor~gage, I.endcr shall promptly refund to Borrower any Funds held by I.ender. If under paragraph 18 hereo[ the Property is sold or thc Property is otherwisc acquired by (_ender, I.ender shall apply, no later than imrteediately prior to the sale o[ thr Praperty or its acquisition by I.ender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. Applicatlon of Paymeats. -Unless applicable law provides otherwise, all payments received by Lender unJer the Note and paragraphs 1 and 2 hereof shall be applied by I.enJer 6rst in payment af amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payablc on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Clwrges; Lkns. Borrower shall pay all taxes, assessments and other charges, fines and impositions attrib~table 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 shall promptly (urnish to l.ender receipts evidencing such payments. Borrower shall prompdy 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 in writing ta the payment of the obligation secured by such lien in a manner acceptable to Ixnder, or shall in good faith contest such lien by, or defenJ enforcement of such lien in, legal proceedings which operate to prevent the enforcement of ~he lien or forfeiture of the Property or any part thereof. S. Hazard Insurance. Botrower 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 amounls 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 soms secured by this Mortgage_ 'Il~e 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. ~ Al) insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a stanJard 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 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 Lender. Lender may make proof of loss if not made promptly ' by Borrower. ~ Unless Lender and Borrower otherwise agree in w•riting, 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. It such restoration or repair is not economically feasible or ii 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 g to Borrower. If the Propert~~ is abanJoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date notice is mailed by I.ender to Borrower that the insurance carrier ofTers to settle a claim for insurance benefits, Lender i~ authoriaed to collect and apply the insurance proceeds at LenJer'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 postpone the due date of the monthly installments referred to ir paragraphs I and 2 hereof or change the amount of ~ such installments. If under paragraph 18 hereof the Property i~ acyuired by Lender, all right, title and interest of Borrower in and ~o 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 secureci by this Mortgage immediately prior to such sale or acquisition. 6. Presen~alion and ~taintenance of Property; Leaseholds: Condominiums; Planned Unit Developments. Borrower ~ shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property ~ and shall comply with the provisions o( any lease if this Mortgage is on a leaschuld. If this Mortgagc is on a unit in a condominium or a planned unit development. Borrower shall perform all o( Borrower's obligations under the declaration or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the conJominium or planned unit development, and constituent documents. If a condominium or planned unit de~-elopment ~ rider is executed by Borrower and recorded together with this Mortgage, the coveoants 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 w~ere a part hereof. ~ 7. Protection of Lender's Security. If Borrow•er fails ~o perform the covenants and agreements contained in this ~ ~ Mortgage. or if any action or proceeding is commenced ahich materially affects Lender's interest in the Property, ~ including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a ~ bankrupt or decedent, then Lender at Lender's op~ion, 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 of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a ~ rondition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such ~ insurance in efiect until such time as the requirement for such insurance terminates in accordance with Borrower's and ~ ~ ~ ~;!~r •JV~ ' 1~,c 1019 ~ ~ „~.~-`_',~~;4 - - - ~ _ . „ .=,'~~i+j . _as,^°'~t,r.~ ~EY....:x" '{..Y."e.v ..'„a%~ ~ ' . ' ' ~S'~-E' . .