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HomeMy WebLinkAbout0236 Borrower and Lender covenant arid agree ai follows: 1. Psymeat ot Princlpal wnd [aterea~ Borrower ahall pmmpdy pay when due the principal of and i~tereat on the indebtedness evidenced by the Note. prepayanent and late chaiges as provided in the Note, and the principal of and interest on any ~ture Advaacea secured by this Mortgage. . 2 I~l~nda for Taues and Ineurance. Subject to applicable law or to a written waiver by I.rnder, t3orrower ahall pay to l.ender on the dey monthly installments of principal and intereat are payable under the Note, until the Note is paid in full. a sum (herein •'1~'unde'~ equal to one twelRh of the yearly ta:es and asseasments which may attain priority over thia Mortgage, and ground renta on the Property, if any, plua one- twelRh of yearly premium installments for hazard insurance. plue onetwelRh of yearly premium inatallmenta for mortgage insurance, if any. all as reasonably estimated 'u?itially and firom time to time by I.ender on the basie of asaeeements and bills andteasonable eatimates thereot. 11~e Pbnda shall be heW in an inatitution the deposits or aocounts of which are insured or guaranteed by a Federal or 3tate agency (including I.ender if I.ender is such an inatitution). Lender ahall apply the Runde to pay eaid taxes. aseeeamenta, insurance premiums and ground renfe. Lender msy not charge for so holding and applying the 1Lnde, analyzing eaid account, or verifying and rnmpiling said assessmenta and bills. unless Lender pays Borrower intereet on the ~nda and applicable law permita I.ender to make such a charge. Borrower and Lender may egree ia writing at the time of e:ecution ot this Mortgage that interest on the F~nds ahall be paid to Borrower, and unless such a~roement is made or appUcable law reqnires such interest to be paid. Lender ahall not be required to pay Borrower any interest or earnings on the FLnds. Lender ahaU give to Borrower. without charge. an annual aooounting of the fi~nda ahowing credite and debite to the Funds ead the parpoee for which each debit to the FLnde wae made. The ~nda are pledged as additional eecurity for the snms eecured by thie Mortgage. If the amo~u?t of the F~nds held by I.ender. together with the future monthly inetallments of Funds payable prior to the duedates of t~es, aeaeeementa, insuranoe premiums and ground rente. ehall excxed the amount required to pay eaid taxea. aeeeasments, inaurance premiums and ground rente as they fall due. such e:ceae ahall be, at Bormwer's option, either pmmpdy repaid to Borrowez or credited to Borrower on monthly installments of Flinds. If the amoant oi the Funds held by Lender shall not be aufficient to pay taxes. aeeeeamenta, inaurance premiume and ground cante as they fall due, Borrower shall pay td I.ender any amount necesaary to make up the deficiency within 30 days from We date notice is mailed by I.ender b Borrower requeating payment thereof. Upon payment in full of aU euma secured by thie Mortgage, Lender shall promptly refund to Borrower any funda held by I.ender. If under paragraph 18 hereof the Property is sold or the Property ia otherwiee acquired by Lender, Lender ahall apply, no later than immediately prior to the eale of the Property or its aoquiaition by Lender. any ~nda held by L.ender at the time of applicetion as e credit againat the aums eecured by thia Mortgage. 3. Applk~ation of Paymenta. Unleaa applicable law providee otherwiee, all paymenta received by Lender under the Note and paragraphs i and 2 hereof ehall be applied by I.ender first in payment of amounta payable to Lender by Borrower under paragraph 2 hereof, then to intereet payable on the Note, then to the principal of the Note. and then to interest and principal on any Future Advancea. 4. C6arges; Liena. Borrower ahall pay all taxea, aeseaements and other charges, fines and impoaitiona attributable to the Property which may attain a priority ov~ thie Mortgag~ and leasehold payments orground renfs. if any, in the manner pruvided under paragraph 2 hereotor. if not paid in such manner. by Borrower making payment, when due. directly to the payee thereoL Borrower ahall prompdy fumish to i.ender all noticea of amounte due under thia p~ragraph. and in the event Borrower shall make payment directly, Borrower ahall pmmptly furnish to Lender receipta evidencing such paymenfs. Borrower ahall promptly discharge any lien which has priority over this Mortgage; provided. that - Borrower shall not berequired to dischcirge any such lien ao long as Borrowerahall agree in writing to the payment of the obligation secured by such Uen in a manner aeceptable to Lender, or ahall in good fnith rnnteat such lien by. or defend enforcement of such lien in, legal proceedings which operate to prevent the enforoement of the lien or torfeiture of the Property or any part thereof. 5. Hazard Insurance. Borrower ehall teep the improvemeate now exieting or hereafter erected on the Property insured againat losa by ~ fire, hazarda included within the term "e:tended coverage," and auch other hazards as Lender may require and in such amounts and for such periode aa Lender may require; provided, that I.ender ahall not require auch ooverage amount exceeding the minimum, ae may be required by state or federal regulatione goveming activities of I.ender, or that amount of coverage required to pay the sums aecured by thia Mortgage, whichever ie !he greater. _ The insurance carrier providing the inaurance ahall be choaen by I3orrower subject to appmval by Lender, provided, that such approval . shall not be unreaeonably withheld. All premiums on insurance policies ahall be paid in lhe manner provided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directiy to the insurance carrier. ' All insurance policiea and renewale thereof ahall be in form acceptable to Lender and ahall include a atandard mortgage clause in favor of and in form accepteble to L.ender. Lender ahall have the right to hold the policies and renewala thereof, and Borrower shall promptly furniah to i,ender sll renewal noticee and all receipta of paid premiume. In the event of lose, Borruwer ehall give prompt notice to the insurance carrier ; and Lender. Lender may make proof of loas if not made prompdy by Borrower. ~ Unlese Lender and Borrower otherwiee agree in writing, inaurance proceeda ehall be applied to restoration or repair of the Property F damaged, provided such reatoration or repair is economically feaaible and the eecurity of this Mortgage ie not thereby impa'ued. If auch 4 reatoration or repair ie not economically feasible or if the security of this Mortgage would be impaired, the insurance proceede ahajl be applied ~ to the aums eecured by this Mortgage, with the eucesa, if any, paid to Bormwer. If the Property is abandoned by Borrower, or if Borrower [ails to ' reapond to Lender within 30 days from the date notice ie mailed by Lender to Borrower that the ineurance carrier of~ers to setde a claim for ~ insurance benefits, Lender is authorized to collect and apply the inaurance proceede at i,ender's option either to reatoration or repair of the Property or the eums eecured by this Mortgage. Unleea Lender and Borrower otherwiee agree in writing, any such application of proceede to principal ahall not eatend or poatpone the due date of the monthly inatallmenta referred to in paragraphe 1 and Z hereof or change the amount of auch inetallmenta. If under paragraph 18 hereof the Prope~rty is aoquired by Lender. all right, tide and interest of Borrower in and to any insarance policiee and in and to the proceeda thereof reeulting from damage to Property prior to the sale or aoquieition ehall pase to Lender to ~he e:tent of the aume secured by this Mortgage immediately prior to auch sale or aoquiaition. 6. Preeervadon and Maintenance otProperty; I.easeholde; Condominums; Plenned Unit Developmente. Borrower ahall keep the Properiy in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall cbmply with the proviaions of any leaee if thia Mortgage ia on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower sha11 perform all of Borrower's obligationa under the declaration or covenants creatingor governing the condominium or planned unit development, the by-lawe and regulationa of the rnndominium or planned unit development, and conatituent dceuments. If a ~ condominium or planned unit development rider ia e:ecuted by Borrower and recorded together with thia Mortgage, the oovenants and agreementa of auch rider ahall be incorporated into and ahxll amend and supplement thecovenante and agreementa of thia Mortgage as ifthe rider were a part hereof. _ Protection ot I.ender'~ Security. If Borrower fails to perform the aovenante and agreements oontained in this Mortgage, or if aay ~ action or praseeding is commenced which materially affects Lender s interest in the Property, including, but not limited to, eminent domain, ' insolvency. oode enfoeremenk or arrangementa ot proceedings involving a bankrupt or deoedent, then Lender at Lender s option,upon ~ notioe to Bonower may make such appearences, disburee such sums and ta1~e such action es is aeoessary to protect Lender'a interest, ~ inclading, but not limited to, diebursement of reasonable attomey'a fees and entry upon the Property to make npairs. If Lender reqnired ~ ~ mortgage insurance as e condition of making the loan secured by thie Mortgage, Borrower ahall pay the premiums required to maintain such insurance in effect until such time as the requirement for euch ineurance terminatee in accordance with Borrower'e and Lender'e ~ written agreement or applicable Law. Borrower ehall pay the amount of all mortgage insurance premiume in the menner provided under ' ~ paragraph 2 hereoL ~ ~ My amounts diabureed by Lender pereuant to thia paragraph 7, vrith interest thereon, shall beoome additional indebtedneee of ~ Borrowa eecured by thie Mortgage. Unleas Borrower and Lender agree to other terma of payment, auch amoante ehall be payabl.e upon ~ notice from L.ender to Borrower requesting payment thereof, and shell bear interest from the date of diaburaement at the rate payable from time to time on outatanding principal under the Note unless payment of intereat at auch rate would be oontrary to applicable law, in which , event such amounte ahall bear interest at the highest rate permiaeible under epplicable law. Nothing contained in this peragreph ahall ' require Lender to incur any expenee or take any action hereunder. ' ~ ; ;,,kK 312 ~s 236 _ _ _ _ - _