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HomeMy WebLinkAbout1018 Borrower and l.ender rnvenant and agree ae follows: 1. Ppyment of Priacipal end lnterest. E3orrower shell prompUy pay when due the principal of and intereat on the indebtednesa evidenced by the Note, prepayme~t and late chargea aa provided in the Note, and the principal of and iaterest on any FLture Advances secured by this Mort~age. 2.1~1nds [orTa~[ee and Ineuraace. Subject b applicable luw or to a writte~ waiver by I.ende~, E3orn~werahall puy to lxnderon theday monthly inetallments of principal and interest are payable under the Nute, until the Note ia paid in [ull, a eum (herein "Funda"1 equal to one twelRh of the yearly taxea and aeae8sments which may attain priority ove~ this Mortguge, and ground renta on the I'roperty, if any, plus on~ twelfth of yearly premium instalimenta for ~azard inaurance, plua onetwelfth ofyearly premium inatallments for morlgage insurance, if any, ail aa reaeonably eetimated initially and from time to time by I.ender on the basis ot aissesamenla and billa ~nd ~easonable estimates thereot. The ~nds shall be held in an institution the depoeite or accounta of which are ineured or guaranteed by a Federa) or State agency 4ncluding l.endet if I.ender ia auch an institution). Lender shall apply the Funda to pay eaid taxea, assessmente, ineurance premiuma and ground rente. Lender may not charge for e~ holding and applying the ~nds, analyzing said account, or verifying and compiling said asaeeemente and bille, unlese Lender paya Borrower intereat on the F'unds and applicable iaw permite I.ender to make auch a charge. E3orrowe: and Let~der may agree in writing et the time of execution of thie Mortgage that intereat on the FLnda shail be paid to Borrower, and unlesa such agrcement ia made or applicable law requires auch intereat b be paid, I.ender ahall not be required to pay Borrower any interest or earnings on the FLnds. I.ender shall give to Borrower, without charge, an annual accounting of the F'nnda showing credita and debits to the Funde and the purpose for which each debit to the Funda was made. The Funde are pledged as additional eecurity for the auma eecured by this Mortgage. If the amount of the 1~Lnde held by Lender. together with the future monthly inatallments of Funda payable prior ta 1he due datea of tazee, aseessmenta, inaurance premiums and ground renta, ahall e:caed the amount required to pay said taxea, seseeamente, ineurance premiuma and ground rents as they fall due, such e:cees ehall be, at [io~TOwer's option, either promptly tepaid tn Botrower or credited to Bortower on monthly inetallments of ~nda. If the amount of the Funds held by Lender ehall not be eufficient to pay taxea, aesesamenta, ineurance premiums and ground rents aa they fal) due, Borrower shall puy to Lender any amount neceaeary to make up the deficiency within 30 dxye from the date notice ie mailed by l.ender to I3orrower requesting payment thermf_ Upon payment in full of all suma eecured by thia Mortgage, Lender shall promptly refund to Bonower any funds held by I.ender. If under paragraph 18 heteof the Property is sold or the Ptoperty is otherwise acquired by Lender, t.ender sl~all apply, no~ater than immediately prior to the sale of the Property or ita acquisition by Lender, any Fund~ held by I.ender at the time of application ~s a credit againat the sums secured by this Mortgage. 3. Application of Peyments. Unleas applicable Iaw provides otherwise, all payments received by Lender under the Note and paragrapha 1 and 'l hereof ehall be epplied by Lender firnt in payment of amounta payable to Le~~der 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 Advancea. 4. Charges; Liens. Borrowershal! pay xl! taxes, assessmentx and othercharges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold payments or ground rnnts, if any, in the manner pruvided under paragraph 2 hereof ur, if not paid in such manner, by E3orrower makinq payment, when due, directly to the payee thereof. Borrower shall promptly fumish to l.ender all noticea of amounte due under this paragraph, and in the event E;orrower shall make payment directly, Borrower shall promptly furniah b [.ender receipts evidencing such payments. Rorrower shall promptly discharge any lien which has priority over thia Mort{;age; pmvided, that Borrower shall not be required to diacharge any such lien ao long as E3orrower ahnil agree in writing to the payment of the obligation secured by such lien in a manner acceptable to [.ender, or shall in good faith conteat such lien by, or defend enforcement of auch lien in, lrgal proceeclings which operate to prevent the enforcement of the lien or forfeiturn of the Property or any part thereuf. 5. Hazard Iasurance. Borrower ghall keep the improvementa now exieting or hereafter erected on the Property insured againat losa by firn, hazarde ineiuded within the term "e:tended coverage," and auch other hazards ae l.ender may requi~ and'en xuch amounts and fo~ such periode as I.ender may require; provided, that I.ender shall not require such coverage amount exceeding the minimum, as may be required by state or federal regulations governing activities of Lender, or that amount of coverage required to pay the auma secured by this Mortgage, whichever is the greater. . The insur$nce carrier providing the insurance shall be chagen by E;orrower suhject tn appro~•~l by I.ender, provided, that such approval shall not be unreasonabty withheld_ All premiums on insur~nce policies shall be paid in the mt?nner pmvidcKl under paragraph 'l hereof or, if not paid in such manner, by E3orrower making payment, when due, directly to the insurance carrier. All insurance policiee and renewals thereof ahall be in form acceptable to Lender and ahall include a standard mortqage clauae in favor of and in form acceptable to Lender. Lender ahall have lhe right to hold the policies and renewals thereof, and Borrower shalt promptly furniah to i..ender all renewal notices and all receipts of paid pmmiuma. In the event of loss, Borrower ahull give prompt notice to the insurance carrier and Lendet_ Lender may make proof of loss if not made promptly by Borrower_ ! Unleae I.ender and Borrower otherwiee agree in writing, inaurance prooeeda ahal) be applied to restoratiun or rnpair of the Property ~ damaged, provided euch reatoration or repair ia economically feasible and the eecurity of this Mortgage is not thereby impaired. If such restoration or repair is not economicaliy feasible or if the security of this Mortgage would be impaired, the insurance proceeda shall be applied ti to the aums eecuced by this Mortgage, with the excese, if any, paid to Barrower. If the Property is abandoned by Borrower, or if Borrower fails to ~ respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offere to settle a claim for f inaurance benefite, Lender is authorized to collect and apply the insurance proceeds et Lender's option either to metoration or repair of the g Property or the auma eecured by this Mortgage. ~ Unlesa Lender and Borrower otherwise agree in writing, any auch application of proceeda to principal aha11 not extend or poatpone thedue ~ date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of auch installmente. If under paragraph 18 ~ hereof the Property is aoquired by Lender, aU right, title and interest of Borrower in and to any ineurance policies and in and to the prooeeda ~ g g perty prior to the sale or a pasa to I.ender to the extent of the euma secured by this ~ thereof reaultin from dama e to Pro cquiaition ehall ~ Mortgage immediately prior to auch aale or acquieition. ~ 6. Preaervation and Maintenance of Property; Leasel;olds; Condominume; Planned Unit Deveiopmente. Borrower ahall keep the Aroperty in good repair and ahsll not commit waete or permit impairment or deterioration of the Property and shall rnmply with the ~ proviaions of any lesae if this Mortgage ia on a leasehold. If thie Mortgage ie on a unit in a condominium or a planned unit development, ~ E3onower shall perform al! of Borrower a obligationa under the declaration or covenants cTeatingor governing the condominium or planned ~ unit development, the by-laws and regulations of the condominium or planned unit development, and constituent documrnte. If a ~ condominium or planned unit development rider ia executed by Borrower and recorded together with thie Mortgage, the covenants and agreements of such rider shall be incorporated intn and ehall amend and supplement the covenants and agreementa uf this Mortgaqe as if the ~ rider wern a part hereof. ° 7. Protection ot Lender's 3ecurity. If Borrower faile to perform the oovenanta and agreemente contained in thia Mortqage, or if any action or proceeding ie commenoed which materially affecte L.ender'a interest in the Property, including, but not limited to, eminent domain, ~s insolvency~ oode enforcement, or arrangemente or proceedinge involving a bankrupt or dccedent, then Lender at Lender's option,upon notice to Borrower may make euch appearances, disburee such eums and take auch action as ie necessary to protect Lendei e interest, ~ inclnding, bnt not limited to; disbureement of reaeonable attorney'e feee and entry upon the Property to make repairs. If Lender required ~ mortgage ineurance aa a condition of making the loan aecured by thia Mortgage, Borrower ehall pay the premiume required to meintain such inearance in effect until auch time as the requirement for euch ineurance terminatee in accordance with Borrower'e and Lender's . ~ written agreement or applicable Iaw. Borrower ehall pay the amount of all mortgage inaurance premiume in the manner provided under ~ paragraph 2 hereof. } My amuunte disbureed by I.ender pereuunt to thie paragraph 7, with intereet thereon, ahaU beoome additional indebtedneea of F~ Borrower secured by thia Mortgage. Unleee Borrower and Lender agree to other terma of payment, such amounta ehall be payahle upon ~ notioe from [.ender to Borrower requeeting payment thereof. and ehall bear interest from the date of diebureement at the rate payable from ~ ~ time to time on outetanding principal under the Note unlees payment of intereat at euch rate would be contrary to applicable law, in which event such amounte ahall bear intereet at the highest rate permiaeible under applicable law. Nothing contained in thia paragraph 7, ahall ~ uire Lender to incur~ an ex " ~ req y pense or take any artion hereunder. ~ ~ ~ „ ~ . 310 :.1018 ~