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HomeMy WebLinkAbout2725 . , . + , . UNIFOAM COVENANTS. Borrower and Leader covenant and agree as follows: 1. tsymeat ot trinripal aod lnte~at. Borrower shail ptomptly pay when due the principal of and interest on the indebtednes~ evidenced by the Note~ prepayaxnt aad late charges u provided in the Note, and the principal of and interest on any Future Advmces sxured by this Mortaage. , 2. Ptisds [or Tua aai Iawnsee. Stibject to applicabk law or to • written wiiver by Lender, Borrower shal) paY to Lenck~ on the day monthly installments of principal and interest are payable under the Note. until thc Note is paid in full, a awn (herei~ "Funds'~ equal to one-twelfth of the yeariy taxes and assessments which may attain priority over this Mortgage. aad gmund re~ts on the Property, if any. plus onatwelfth of yearly pcemium installments for hazard insurar~ce. plus oao-tweffth of yearly premium installments tor mortgage i~surance, if any. all as reasonably estimated initially and from time to time by Lender on the basis ot assessments and bills"and reasonable estimates thereof. The Funds shall b~ hetd in ~n institution the deposits or accounts of which are insured or guaranteed by a Fcdaal or state agency (including L.ender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, ssaessroents. insurance pnmiums a~d ground rents. I.ende~ may not charge for so holding and applying the Funds, analyzing said accouot, or verifying and compiling said asscssments and bills. unless I.ender pays Borrower interat on the Fundi and applicable law permits I.ender to make such a charge. Borrower and I.ender may agree in writing at the time of executian of this Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law rcquires such interest to be paid, I.ender 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 purpose fot which each debit to the Funds was made. "ILe Funds are pledged as additional security for the sums secured by this Mortgage.. If the amount of the Funds held by Lender, together with the future monihly installments of Funds payable prior to the due data of taxes. asussments. insurance premiums and ground rents, shall exceed the amount required to pay said taxes, asseasments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower s option. either promptly repaid to Bormwer ur credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Leader shall not be suf6cient to pay taxes, assessments, insurance premiums and ground rents as they fall due. Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of alI sums secured by this Mortgage, I_ender shall promptly refund to Borrower any'Funds held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later than immediately prior t~ the sale of the Property or its acquisition by l.ender, anY Funds held by Lender at the time of application as a credit against the sums secured by this Mongage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender uncler the Note and paragraphs 1 and 2 hereof shall be applied by I_ender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payablc on the.~Iote, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. C6argss; Lkas. Borcower shall pay all ~axcs, assessments and othec 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 manaer provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee the~+eof. Borrower shall promptly furnish to Lender all notices of amounts due undbr this paragraph, and in the event Bormwer shall make payment directly. Borrower shall promptly fumish to l.ender receipts evidencing such payments. Borrower shalt 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 ia a manner ac~eptable 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 ot the lien or forfeiture of the Property or any part thereof. S. Hazard Inseraoce. Borrower shall kcep the improvements now existirtg or hercafter erected on the Property insured against loss by fire, hazards included within the term "extencied coverage", and such other fiazards as l.ender may require wd in such amounts and for such periods as Lender may require; provided, that L.ender shall not require that the amount of such coverage eaceed that amount of caverage required to pay the s«ms 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 'i insurance carrier. i All insurance policies and renewals thereof shall be in form acceptable to Lender and shali 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, ; and Borrower shall promptly furnish to Lender all renewal notices and ali receipts of paid premiums. In the event of loss. Borrower shall give prompt notice to the insurance carrier and Lender. Ler.der may make proof of loss if not made promptly by Borrower. ` Ualess Lender and Borrower otherwise agree in w•riting, insurance proceeds shall be applied to restoration or repair of the Property damaged. provicied such restoration 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 ~ date notice is mailod by Lender to Borrower that the insurance carrier offers to settie a claim for insurance benefits, Lender ~ 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 I and 2 hereof or change the amount of ~ such installments. If under paragraph 18 hereof the Propeny is acyuired by L.ender, all right, title and interest of Borrower ~ 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 sums secured by this Mortgage immediately prior to such saie or z acquisition. ~ 6. Presen~ation and ~taintenance of Property: Leaseholds; Condominiums; Planned Unjt Developments. Borrov?~er shall keep the Property in good repair and shall not commit waste 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 ; coodominium or a planned unit development, Borrower shall per(orm ail 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 = 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 ot 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. - ! 'f. Protection of Ltnder's Security. If Borrower fails to perform the covenants and agreements contained in this ~ Mortgage, Dr if any action or proceeding is commenced which materially afiects Lenders interest in the Property. ' including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings invol~•ing a ~ bankrupt or decedent, then Lender at Lender's option, upon notice ro Borrower, may make such appcarances, disburse such sums and take such action as is necessary to protect Lender s interest, including. but not limited to, disbursement of reasonable attomey's fees and entry upon the Property to make rcpairs. If Ixnder required mortgage insurance as a condition of making the loan secured b} this Mortgage. Borrow~er sh•rll pay the premiums required to maintain such # insurance in eifect until such time as the reyuirement tor such insurance terminates in accordance with Borrower s and , ~ ~ ~ ~ so~~ 311 ~~E 272~ .