HomeMy WebLinkAbout0820 Borrower and Lender rnvenant and agree as followa:
1. Payment of Pcincipel and Intereat. E3orrower ehull promptly pay when due the principal of and i~tereet on the indebtedneae
evidenced by the Note, prepayment and late charges se provided in the Note, and the principal oI and intereet on any F~ture Advances aecured
by this Mortgage. '
2. ~tnde for Taxes and lnaurance. Subject to appiicable luw or to a written w aiver by I.e~der, Horrower shall pay to l.ender o~ the day
monthly installmenta uf principal and intereat are payable under Ihe Note, until the Note is paid in tull, a aum ~herein "F
unds") equul to ooe
twelRh of the yearly taxes and asseasmenta which may attain priority over this MortKage, and ~und rents on the Property, if any, plua one
twelfth of yearly premium inataltments for hazard insurance, plua onetwelfth of yearly pmmium instAllmenta for mortgage inaurance, if any,
all as reaeonably eatimated initiaUy and from time to ti~rie by Ixnder on the basis of axaesamenta And bills und reneonable es/imates thereof.
The ~nde ahall be held in an inatitution the deposita or accounte of which are ineured or guaranteed by a Federal or Stute agency •
(including l.endrr if l.ender ie euch an inatitution). I.ender ahall apply the Funda to pay said taxes, asseasmente, inaurance premiuma and
ground renta. I.ender may not chnrge tor eo holding e~d epplying the Funda, analyzing said account, or verifying and compiling 8aid
s~aesaments and bills, unlesa Lender paya Borrower intereat on the Funds and applicable law permits l.ender to make euch a charge. Borrower
and Lender may agree in writing at the time of e:ecution of thia Mortgage that interest on the Funda ahall be paid to f3orrawer, and unleas
such agreement is made or applicahle law requirea auch intereet to be paid, I.ender ahall not be required to pay Borrower any interest or
earninga orl the Funds. l.ender shall give to Borrower, without charge, an annual accounting of the Funda ehowing credita und debita to the
Funde and the purpose for which each debit to the Flin~a wae made. The Funda are pledged as additional security for the aums secured by thia
Mortgage.
If the amount o[ the Flinds held by Lender, together with the future monthly installments of Funds payable prior to the due datea of ta:es,
asseesments, inaurance premiuma and ground renta, shall exezed the amount required to pay said tases, asaesamenta, insurance premiuma
and ground rents aa they fall due, such excesa shall be, at E3orrower's option, either prompUy repaid to Borrower or credited to Borrowe~ on
monthly inatailments of ~Lnda. If the amonnt of the Funds held by Lender ahall not be sufficient to pay taxea, assesaments, inaurance
premiums and ground rents aa they fall due, BorrowershaU pay fo I.ender any amount net~eesary to make up the deficiency within 30 daye
fmm the date notice ie maited by (.ender to Borrower requeating payment thereof.
Upon payment in ful) of all auma secured by this Mortgage, Lender shall promptly refund to Borrower any funds held by [.ender. If under
paragraph 18 hereof the Property ia sold or the Property is otherwise acquired by Lender, l.ender ahall apply, no later than immediately prior
to the eale of the Property orits acyuisition by Lender, any Funde held by Lender at the time of application as a credit against thesums secured
by thie Mortgage.
3. Application of Paymente. Unlesa applicable law provides otherwiae, all payments received by l.ender under the Note and
paragraphs 1 and 2 hereof ahall be applied by I.ender first in paymenl of amounts payable to I.ender by Borrower under paragraph 2 hereof,
then to interest payabie on the Note, then to the principai of the Note, and then to intereat and principal on any Future Advances.
4. Chargee; Liena. Borrower shall pay all ts~xes, assessments and other charges, fines and impositions attributable to the f'coperty which
may attain a priority ovet this Mortgage, and leasehold payments orgmund rents, if any, in the manner provided under parafcraph'l hereof or,
if not paid in auch manner, by Eiorrower makinR payment, when due, directly to the payee thereuf. Borrowec shall promptly furnish lo Ixnder
all notices of amounts due under this paragraph, and in the event l3orrower shall make payment directly, E3orrower shall promptly furnish to
[,ender receipts evidencing such payments. Borrower shall promptly discharge any lien which h:is pri~~rity over this Mortgnge; provided, that
Rorrower shall not be required to discharge any such lien so long as Borrower shal! agree in writing to the payment of the obligation securcd by
such lien in a manner acceptable to Lender. or shall in good iaith contest such lien by, or defend enforcement of such lien in, legal proceedings
w hich operate to prevent the enforcement of the lien or forfeiturn ot the Property or any part thereof.
5. Hazard Inaurance. Borrower shall keep the impmvementa now exiating or hereafter erected on the Property insured against losx by
fire, hazards included within the term "extended rnverage," and such other hazards ax Lender may require and in such amounts and for such
periods as Lender may rnquirn; provided, that I.ender ahall not require such coverage amount e:ceeding the minimum, as may be rrquired by
state or federal regulationa governing activities of I.ender, or that amount of coverage required to pay the sums secured by this Mortgage,
whichever is the greater.
The insurunce carrier providing the insurance shall be chosen b~ Borfower subject to appruval by I.ender, pm~•ided, that such approvai
shall not be unreasonably withheld. All prnmiums on insurance policies shalt be paid in the manner provide~l under paraKraph 2 hc•reof or, if
not paid in such manner, by Borrower makinR payment, when due, directly to the insurance carrier.
' All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard m~rtgage clause in favor of
~ and in form acceptable to Lender. I.ender shall have the right to hold the policies and renewals thereof, and Borrower shail promptly furnish to
i.ender all rnnewal notices and all receipts of paid premiuma. In the event of loss, Borrower shall give prompt notice to~the insurance carrier
i and Lender. Lender may make proof ofaoss if not made promptly by Borrower.
f Unlesa Lender and Borrower otherwise agree in writing, inaurance proceeds ahall be applied to restoration or repair ot the Property
i damaged, provided euch reatoration or repair is economically feasible and the security of this Mortgage is not lhereby impaired. If such ,
E restoration or repair is not economically feaeibie or if the security of this Mortgage would be impaired, the inaurance proceeda shall be applied
; to the sums aec~ued by this Mortgaqe, with the excess, if any, paid to Borrower. If the Property is abandoned by E3orrower, or if Borrower fails to
rnapond to Lender within 30 daya from the date notice is mailed by I.ender to Borrower that the insurance carrier offera to settle a claim for
insu-ance benefits, Lender is authorized to collect and apply the insurance proceeda at Lender'a option either to restoration or repair of the
` Property or the sume secuted by this Mortgage_
Unless I~nder and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or poatpone the due ~
~ date of the monthly inetallments referred to in paragraphs 1 and 2 hereof or change the amount of such inatallments. If under paragraph 18
~ hereof the Property ie acquired by Lender, all right, title and interest of Borrower in and to any inaurance policiea and in and to the proceeds
~ thereof reaulting from damage to Property prior to the sale or acquisition ahall pasa to ~.ender to the extent of the eums secured by thia
~ ;Nortgage immediately prior to such sale or aoquisition.
~ 6. Preaervation and Maintenance of Property; Leaeeholds; Condominume; Planned Unit Developmenta. Borrowerahall keep
' the Property in good rnpair and ahall not commit waste or permit impairment or deterioration of the Property and ahall comply with the
~ provisions of any lease if thie Mortgage is on a leasehold_ If this Mortgage is on s unit in a rnndominium or a planned unit development,
~ Borrower ahall perform all of Borrower's obligationa under the declaration or covenants creatingor governing the condominium or planned
§ unit development, the by-lawa and regulationa of the condominium or planned unit deveiopment, and conatituent dceuments. [f a
~ condominium or planned unit development rider ia executed by Borrower and recorded together with thia Mortgage, the covenants and
~ agreements of such rider shal! Le incorporated into and ahall amend and supplement the cuvenants and agreements of this Mortgage as if the
~ rider were a part hereof.
_ 7. Protection of Lender'e 3ecarity. If Borrower fails to perform the oovenants and agreemente zontained in thie Mortgage, or if any
action or proceeding ie commenced which materially affects Lender'e intereat in the Property, including, but not limited to, eminent domain,
- ineolvency. oode enforcement, or arrangemente or proceedinge involving a banicnipt or decedent, then Lender at I.ender'e oprion,upon
notice to Borrower may make auch appearancee, dieburee such eums and take euch action ae ie neceeeary to protect I.ender'e interest,
including, but not limited to, diebureement of reaeonable attorney'e feee and entry upon the Propedy to make repaire. If Lender required
mortgage ineurance se a condition of making the loan secured by this Mortgage, Borrower ehall pay the premiuma required to maintain
such ineurance in effect until euch time ae the requirement for such inaurance terminatea in accordance with Borrower'e and Lender'8
written agreement or applicable Law. BorroweT shall pay the amount of all mortgage inaurance premiums in the manner provided under
paragraph 2 hereof.
My amounte diaburaed by Lender persuant to thia paragraph 7, with intereat thereon, ehall become additional indebtedneae of
Eiorrower eecured by thie Mortgage. Unleae Borrower and Lender agree to other terme of payment, euch amounte ehall be payable upon
' notice from Lender to Borrower requeeting payment thereof, and ahall bear intereat from the date of diebureement at the rate payable from
~ time to time on outatanding principal under the Note unleae payment of intereat st such rate would be cc,ntrary to applicable law, in which
~ event such amounte ehall bear intereat at the highest rate petmiaeible under applicable law. Nothing contained in thie paragtaph 7, ahall
~ require Lender to incur any expenae or take any action hereunder.
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' BJC.~31O ''aL: ~20
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