HomeMy WebLinkAbout2976 Utvttraaw Covawarrss. Borrowu and Lender covenant and agree as follows:
L ~ d hi¦clMl tttati ltNeretM. Borrower shall promptly par when due the principal of and interest on the
indebtedness evidetuood by the Note, prepayment and late charges ac provided in the Note, and the principal oI and interest
on any Future Advattoes ttecured by this Morlga~e.
L !>wi tote Tazee ttmti Irtwrtret. Subject to applicabk law or to a written waiver by Lender, Borrower trhall pay
to I.ettdu on the day monthly installments of principal and interest are payahk under the Note, until the Note is paid in full,
a arum (herein "FttndP~ equal to one-twelfth of the yearl)~ taxi. and assessments which may attain priority over this
Mortgage, and ground rend on the Property, if any, plus one-twelfth of yearly premium instsllments for hazard inwrance.
plus oue-twelfth of yearly premium installments for mortgage insurance. if any, all as reasonably estimated initially and from
time to time by Leader on the basis of assessmcros and hills and rcasonabk estimates thereof.
'ILe Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal of
state agency (including Lender if Lender is such an itrstitutionl. Lender shall apply the Funds to pay said fazes, assessments.
iawranoe premiums and grourd rents. Lender may not charge for so holding and applying the Frrnds. analyzing said account,
or verifying seed compiling uid assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
permits Leader to make such a charge. Borrower acrd Lender may agree in writing at the time of exceution of this
Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement is made or applicabk law
requires such interest to be paid. Lenckr shall not be required to pay Borrower any interest or earnings on the Funds. Lender
tthaU pve to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
purpose for which eater debit to the Funds was made. The Funds arc pledged as additional security for the sums secured
by tha Mortgage. '
if the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to _
the due: dates of toes, assessments. inuurance premiums and ground rents, shall exceed the amount required to pay said taxes,
asseaaneats, inuurance premiums and ground rents as they tall due, such excess shall be, at Borrower's option, either
pranpily repaid to Borrower or crodittd to Borrower on monthly installments of Funds. if the amount of the Funds
held by Lender shall not be wtficiwt to pay toes. assessments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount rrxessary to make up the deficiency within 30 days from the date notice is mailed
by Lwder to Borrowu requesting payment thereof.
Upon payment in full of all stuns secured by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Lender. If utrder puagraph 18 hereof the Property is sold or the Property rs otherwise acquired by (.ender, Lender
shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by
Lender at the time of application a: a credit against the sums secured by this Morlgage.
3. A~lieatioa of Payttaetats. 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
ruder paragraph 2 hereof, their to interest payable on the Note, then to the principal of the Note. and then to interest and
principal on any Future Advances.
4. Clartes; Liitus. Borrower shall pay all taxes, assessments and other charges, floes 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 theroof. Borrower shall promptly furnish to Lender all notices of amounts dtx under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly furnish 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 [aith contest such lien by, or defend enforcement of such lien in,
kgal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Progeny or any pan thereof.
S. Hazard Inwrrtuace. Borrower shall kcep the improvements now existing or hereafter erected on the Progeny insured
against loss by fire, hazards included within the term "extended coverage;', and such other hazards as 1_ender 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 'by 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 curler.
All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
cl:use in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
i 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
E 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 restoration or repa+r 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 Mongage. with the excess, if any, paid
t to Borrower. If the Property is abandoned by Borrower, or it Borrower fails to respond to Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
5 is authorized to collect and apply the insurance proceeds at tender'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 venting, any such application of proceeds to principal shall not extend
5 or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
such installments. (f under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower
in and to any Rtsurance policies and in and to the proceeds thereof resulting from damage to the Progeny prior to the sale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
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a acquisition.
~ 6. rresenation and Maintenance of Properly; Leaseholds; Condominiums; Planned Unit Devebpments. Borrow•cr
shall keep the Property in good repair and shall not comn7it 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. 1f this Mongage is on a unit in a
~ condominium or a planned unit development. Borrower shall perform all of Borrower's obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the y
condominium or planned unit development, and constituent documents. If a condominium or planned unit development
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 supplrmrnt the covenants anJ agreements of this Mortgage as if the rider
. were a part hereof.
7. Protection of Lerder's Security. It Borrower f:uls a+ perform the covenants and agreements contained in this
Mortgage, or if any action ur proceeding is a+mmcnced which materially selects Lender's interes* in the Property,
including. but not limited to. eminent dv:nain. insohency, axle enforcement, or arrangements or proceedings invoking a
bankrupt or decedent, then lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is necessary to pn?tect Lender's interest, including. but not limited to, disbursement of
~ reasonable attorney's tees and entry upon the Property to make rcparn. If Lrndcr required mortgage insurance as a
condition of making the loan secured by this MortFagr. Borrower sh:dl pay teal premiums required to maintain such
insurance in effect until such time as the rryuiremrnt for such insurance tcrminatrs in accordance with Borrower's and
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