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HomeMy WebLinkAbout0102 ' , ~ i . . ; ~ ~ i , ~ Borrower and I.ender covenant and agree as foUows: j 1. Payment of Princlpal and Interest. Borrower ehall promptly pay when due the principal of and intereet on the indebtedneea i evidenoed by the Nots, prepayment and lete charge8 ae provided in the Note, and the principat of and i~tereat on any Fl~ture Advancee eecured ~ by chis Mort~age. ~ 2. Pltnds tor Ta=es sad Insusence. 3ubject to applicabie Ir?w or to a w-ritten waiver by l.ender, l3orrower ahpll pay to Ixnder on the day i monthly installmeots of principal and interest are payable under the Nute. until the Note ia paid in full, a aum (herein "Funda") eyual to one a twelRh of the yearly tauea and asseasmenta which may attxin priority over thiB Mortgage, and ground rentei on the Pruperty, if any, plus onr ! twelfth o[yearly premium installments for hazerd inaurance, plus onetwelfth ofyearly premium instaUmenta for mortgage inaurance, if any, ~ all as reasonably eetimated initially and ttom time to time by I.ender on the baais of asaessmenta and bills and reasunable estimates thereof. i The I~nds shall be hdd in an institation the deposits or accounte of which are inaured or guarantced by a Federal or State agency ~ i . (including Lende! if l.ender is auch an inatitution). Lender ehal) apply the F unds to pay said taxea, asaeaements, insurance premiuma and ' ground renta. Lenda me~y not charge for so holding and applyinq the Ftinds, analyzing said account, or verifying and compiling eaid 3 aeaessmenta and biile, unleas Lender peys Borrower intereat on the ~nda and applicable law permite [.ender to make such a charge. Borrower ; and Lender may agree in writing at the time of e:ecution of thie Mortgage that intereat un the Ftindx ehall be paid to E3orrower, and unleas ~ such agreement ia made or applicable law tequiree such interest to be paid, [.ender shall not be required to pay E3orrower any intereat or earninga oa the flinds. Lender shall give to Borrower, without charRe, an annual accouoting of the Funde showing credite and debits to the { Funde and the purpore for which each debit to the E~'unda wxa made.'I1~e Funda are pledged as additional aecurity for the aums secured by thia iliortgege. ~ If the amount of the F unda held by I.ender, together with the future monthly installmenta of Funda payable prior to the due datee of taxes, ~ eaeeeamenta. insurance pmniame and ground renta, ehall e:ored the amount uired to = req pay said taxea, aseessmenta, ineurance premiums s and ground rente as they fall due. auch ezceea ehall be. at Borrower's option, either promptly repaid to $orrower or cmdited to Borrower on ; moathly installmenta of Flinde. If the amount of the Funde held by I.ender ehall not be aufficient to pay ta:ee, asaesaments, inaurance ~ premiums and grourid rente as they fall due, Borrower shnll pay to Lender any amount neceseary to make up the deficiency within 30 days E from the date notice is mailed by [.ender to Borrpwer requeating payment thereof. Upon payment in fuU of all euma secured by lhie Mortgage, I.ender shali promptly refund to &~rrower any funda held by I.ender. If under paragraph 18 hereof the Property ia eold or the Property is otherwiae acquired by Lender, Lender ahall apply, no later than immediately prior ` to the sale of thaProperty or ita aoquisition by [.ender, any Funds held by T.ender at the time of application ae a credit againat the sumb yecured s by this Mortgage. 3. Application of Peynteats. Unlesa applicabie law providee otherwiae, al) payments received by Irnder under the Note and - paragraphs 1 and 2 hereof ehall be applied by Lender firat in payment of anwunte payAble to Lender by fiarrower under paragraph 2 hereof, then to intereat.payable on the Note, then to the principal of the Note, and then to interest and principal on any i~uture Advances. 4. C6arges; Liens. Borrowershall pay all taxea, assesamenta and other charKes, fines and impu~itiune uttributable w the F'roperty w•hich may attain a priorityover this Mortgage, and leasehold paymenta or ground rents, if ~~ny, in'the manner providcd under paragraph'L hereof or, if not paid in auch mar.ner, by Borrower making payment, when due, directly to the payee thercof. iiormw•er shall promptly fcrniah to Ixnder all notices of amounta due under thia paragraph, and in the event E3orrower shali make payment directly, Rorrc.wer 9hall prumptly furnish tu ~ L.ender reoeipts evidencing such paymenta. Borrower shall promptly discharge any lien which has pri~,rity uver this Mortqage; provided, that ~ RotrowerahallnotberequiredtodischargeanysuchliensolongasI3orrowershallagreeinwritingtothepaymentoftheohiigationsecuredby 6 such lien in a manner acceptable to I.ender, or shall in g«xi faith rnntt~t such lien by, ordefend en forcement of such lien in, leqal procecdinKs which operate to prevent the enforcement of the lien vr forfeiture of the Property or any part thereof. 5. Hazard Insuraace. Borrower ahall keep the itnprovemenLe nuw existing or hereafter erected on the 1'roperty insured against losa by fire, hazards inclnded within the lerm "e:tended coverage," and auch other hazards aa Lender may require and in such amounts and tor ~uch periods ae Leader may require; provided, that l.ender ehall not require such rnverage amount ezceeding the minimum, as ma~• be required by state or federal regulatione goveming activitiea of Lender, or that amount of covetage required to pay the sums secured by this MortKage. whichever ie the greater. The insurance carrier providing the insurance ahall be chosen by E3orrower subject to approval by I.ender, pru~~id~Ki, that such appru~~al ahal) not be unrram~ahly withhvlr#. A~I ^TPinl~llTla ~n 1!19l2it2llL'P ~?I!!'!!'~ ~~28~~ tiE' +^.8!~ !S! ~tlP m~nnQr QT41•i.lsv~ _n.ls.. t.s..~^.,~ri; {.t': N`f:::, not paid in such mapner, by Borrower making p:~yment, when due, directly to the inFUrance carrier_ All ina~uance policiea and renewals thereof snall be in form acceptable to Lender and ahall inc{ude a standard morlqaKe clause in favor of and in form acceptabk to Lender. l.endershall have the right to hold the policies and renewale thereof, and Borrower shall promptiy furnish to i i.ender all renewal notices and aU receipts of paid prnmiuma. In the event of loss, Borrower ahall give prumpt nutice ta the inaurance carrier j and Lender. Lender may make proof of loes if not made proroptly by Bormwer. I Unlesa Lender and Borrower otherwiee agree in writing, inaurance proceeds ahall be applied to reatoration or repair of the Property f damaged, provided such reatoration or repair is economically feasible and the eecurity of this Mortgage ia not thereby impaired_ If such ~ reatoration or repair is ~ot economically feseible or if the security of thia Mortgage would be impaired, the insurance proceeda ehall be applied to the suma secured by thia Mortgage, with the e~ceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to I.ender wilhin 30 daye from the date notice ia mailed by Lender to Borrower that the insurance carrier oti'era to settle a claim for ~ inaurance benefifs, Lender ia authorized to collect and apply the ineurance proceeds at Lender'e option either to restoration or repair of the ~ Property or the sums eecured by ehis Mortgage. ~ Unleas Lender end Borrower otherwise agree in writing, any euch application of proceeda to principal ahall not extend or poatpone the due ' date of the monthly inatallmente referred to in paragraphs 1 and 2 hereof or change the amonnt of such inatallmente. If under paragraph 28 z hereof the Property is aoquired by Lenda, all right, title and intereat of $orrower in and to any inenrance policies and in and tn the proceEds ; ~ chereof resulting from damage to Prop~ty prior io the eale or aoquieition ahall paaa to Lender to the extent of the ewna secured by thia ~ Mortgage immediately prior to auch aak or aoquiaitien. ~ ; ~ 6. Preservatioa and MaintenaaceolProperty; I.eaee6olda; Condominums; Planned Unit Developmenta. Borrower ahall keep ~ the Property in good repair and shall not rnmmit waste or permit impairment or deterioration of the Property and shaU comply with the ~ provieione of any leaxe if thia 111nrtgage is on a leaeehold. If thie Mortgage is on a unit in a condominium or a planned anit devetopment, ~ F3orrower ahall perform all of Borrower e obligations under the declaration or covenante creatinRor goveming the condominium or planned ; unit development, the bylaws and regulatiune of the rnndominium or planned unit development, and constituent documenta. If a ' condominium or planned unit development rider ie executed by Borrower and rerorded together with thes Mortgage, the oovenanta and ' aRreements of such rider shall be incorporated into and shul l amend and aupplemeut the covenants and agreementa of thia Mortgage as if the rider were a part hereoL ~ ~ Protedion ot Lender'~ Security. If Borrower fails to pertorm the wvenants and agreements contained in this Mortgage, or if eny ° action or proceeding is commenoed which mataially affecte Lender s intereat in the Property, including, but not limited to, eminent domain, ~ insolvency. uode enforcement, or arrangements or prooeedings involving a bankrapt or decedent, then Lender at Lender's option,upon ~ ~ notice to Borrower may make euch appearances, disburee auch eums and take euch action as is neceseary to protect Lender's intere~t, including, bnt not limited to, dieb~rsement of reaaonable atiorney'a [ees and entry upon the Property to make npairs. If Lenda required i mortgage inearance aa a condition of making the loan eecured by thie Mortgage, Iiarrower ahall pey the preaniums required to maintain ' euch insarance in effect until euch time aa the requirement for such inaurance terminetea in aocordance with Borrower's and Lender's ~ written agrcement or applicable Law~. Borrower shaU pay the amount of all cnortgage inaurance premiuma in the manner provided under ~ paragraph 2 hereof. • My amoante diebureed by I.ender perauant to .thia paragraph 7, with interest thereon, shell become adclitional indebtednees of ' £ E3orrower secured by thie Mortgage. Unleas Borrower and I.ender agree to other terme of paymc-nt, such amounte shall be payable upon f notice from Lender to Borrower requeeting payment thercof, and shall bear interest from the date of diabursement at the rate payable &om ? time to time on outstanding principal under the Note unlesr payment of interext at such rate would be o~ntrary to applicable law, in which event auch amoante ehall bear intereat at the highest rate permiseible under applicable law. Nothing contained in this paregraph 7, ehall ' ; require Lender to incur any e:pense or take any action hereunder. ~ _ ' - ° p `~11 ~ n~ ~ - an~ . .