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HomeMy WebLinkAbout1771 UNttrostr~s Covtet+strrs. Borrower and I.entkr covenant and agree as follows: )ti. liy~wstN et hiodNl anti Ittlaest. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note. prepayment and late charges as provided in the Note, and the principal of and interest on any Fttttue Advances secttrod by this Mortgsge. lYtoi tar'lizas aN Iawmtbet. Stitbject to applicable law ar to a written waiver by Lender. Borrower shall Pay to Lender on the day monthly installments of principal and interest arc. payable under the Note. until the Note is paid in full, a sum (herein "Fttnds'~ equal to one-twelfth of the yearly' tax~y and assessments which may attain priority over this Mortgage. and ground rents on the Propertp, if any, plus one•twelfth of yearly premium installments [or hazard inwrsnce. plus oae-twelfth of yearly premium installments for mortgage insurance, if any, all as ressonably estimated initially and from time to time by Lender on the basis of assessments and hills and reasonable estimates thereof. 'fUe Funds shall be bald in an institution the deposits or accounts of which are insured or guaranteed by a Federal of :fate agency (including Lender if Lender is such an institutionl. Lender shall apply the Funds to pay said taxes. assessments. inwrattce Premiums and ground rents. lender may not charge for so holding and applying the Frtrtds, analyzing uid account, or verifying and compiling said assessments and bills, unless Lender 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 regtura 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 pupose for which each debit to the Funds was made. The Funds arc pledged as additional security for the sums secured by tba Mortgage. If the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to the dare dates of taxes. assessments. itstttranee premiums and ground rents, shall exceed the amount required to pay said taxes, assessments, inaurattce premiums and ground rents as they fall due, such excess shall be, at Borrowers option. either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficiieut to pay taxes. assessments, insurance premiums and ground rents as .they fall due, Borraver shall pay to Lender any amount necessary to make up the deficiency within 30 day's from the date notice is mailed by Lender to Borrower requesting payment thereof. - - Upon payment in full of alt soma ~tBl .(IVs. Mortgage,~ttendpr ;ball promptly refund to Borrower any Fund: held by Lender. If under paragraph 18 hereof t Property is sold or the Property rs otherwise acquired by Lender, Lender abaU apply. no later than immediately prior to the sale at fhC )•rolterfji or its acquisition by Lender, any Funds held by Lender at the tune of application as a credit•tti~airW the sums stxtrred by.this Mortgage. 3. Appiicatioa of Payoctais. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower tender 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 Advances. 4. C6astes; Liests. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable 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 fumish 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 long 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 the lien or forfeiture of the Property or any part. thereof. S. Hazard Iawrawce. Borrower shall keep the improvements now existing or hereafter erected orrtthe 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 require; 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 Mortgage. The 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. ! All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof. I sad Borrower shall promptly [urnish 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 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 Mortgage 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 abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the x date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for ituurance benefits, Lender i 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 postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount o[ such installments. if under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower s in and to 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 wms secured by this Mortgage immediately prior to such sale or acquisition. _ 6. Pc+eservation and Maintenance of Properfy~; Leaseholds; Condominiums; Planned Unit Devebpments. Borrower shall keep the Property in good repair and shall rwt commit yvaste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a - ' condominium or a planned unit development, Borrower shall perform all of Borrowers 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 documenrs. If a condominium or planned unit development s rider is executed by Borrower and recorded together with this 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 if the rider , were a part hereof. 7. Protection of Leader's Security. If Borrower fails t~ perform the covenants and agreements contained in this 3 Mortgage, or if any action or proceeding is commenced which materially affects lender's interest in the Property, ~ including. but not limited to, eminent domain. insi~lvency, cede enforcement, or arrangements or proceedings invoh•ing a - ~ bankrupt or decedent, then Lender at I-ender ~ option, upon notice to Borrower. may make such appearances, disburse such sums and take such action as is necessary to protect Lender's mterest, including, but not limned to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a condition of making the loan secured by thin Mortgage. B~~rmwcr shall pay the premiums required to maintain such insurance in rlfect until such time as the requirement for wch insurance terminates in accordance with Borrower's and y p' 310 1::1769 z J