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HomeMy WebLinkAbout0914 Horrower and [.ender rnvenant and agree se followe: 1. Payment of Peincipal and Interea~ Borrower ahall prompdy pay when due the pri~cipal of and intereet on the indebtedness evidenced by the Note. prepaymert a~d late charges as provided ia the Note, and the principal of and intereat on any F~ture ~'.dvancee secured by this Mortgage. 2. I~tnds for Taxea aad Irtsuranoe. Subject b applicable law or b a written waiver by Ixnder, I3orrower shall pay to [.ender on the day monthly inatallments of principal and intereat are payable under the Note, until the Note ia paid in full, a aum (herein "F~~de") equal to one twelfth o[ the yea~ly taxes and aesesame~ta which mey attain priority over this Mortgage, and ground re~ts on the Property. if any, plua one twelRh of yearly premium inatallments for hazard inaurance, plua onetwelR,h of year~y premium instalimente for mortgage inaurance, if any, aii aa reasonably eatimated initially and from time to time by Le~der on the basis of aeeessmenta and billa and reaeonable estimates thereof. 'IUe I~nds shall be held in an inatitution the deposits or accounts of which are insured or guaranleed by a Federal or State agency (including Lender i! I.ender ia auch an inatitution). Lender shall apply the Ftinda to pay eaid taxea, asaesaments, inaurance premiuma and Qround renta. I.ender may not charge for so holding and applying the Funde, analyzing said account, or verifying and rnmpiling said ' asseasment8 and billa, anleea I.ender pays Borrower intereet on the ~nda and applicable law permite Lende~ to make auch a charge. Borrower and I.ender ma~y agree in writing at the time of e:ecution of this Mortgage that interest.on the Fl~nda shall be paid to Borcower, and unleas such agreement ia made or applicable law requir~ euch intereet to be paid. Lender shall ~ot be required to pay Borrower any interest or earnings oa the FLnds. I.e~der ahall give to Borrower; without charge, an annual acoounting of the Ftinds ahowing credite and debite to the Funds and the purpoee for which each debit to the ~nds was made. The Funds are pledged as additional eecurity for the euma eecured by thie Mortgage. If the amount of the ~nde held by Lender. together with the future monthly inatalimenta of Funds payable prior to the due dates of ta~cee, aesesamenta. ineurance premiume and ground renta, ahall eacozed the amount required to pay said taxes, asseeamenta. insurance premiums and ground rente as they fall due. auch encese ehall be, at Borrower s option, either pmmpdy repaid to Borrower or credited to Borrower on monthly inetallmente of fl~nda. If the amount of the F~nde held by Lender ahall not be aufficient to pay taxes, aaeessmenta, insurance premiume and ground renta as they fall due, Borrower shall pay to Lender any amount neceseary to make up the de8ciency within 30 days from the date notice ie mailed by Lender to Borrower requesting payment thereof. Upon payment in fuU of all aums eecured by this Mortgage, Lender ahall promptly refi~nd to Borrower any funde held by Lender. If under paragreph 18 hereof the Property is eold or the Property is otherwise acquired.by Lender, I.ender ahall apply, no later than immediately prior to the eale of the Property or its aoquiaition by l.ender, any Funde held by Lender at the tirne of application as a credit against the suma eecured by this Mortgage. 3. Applieation of Payments. Unleas applicable law provides othenvise, all paymente received by L.ender under the Note and paragraphs 1 and 2 hereof ehall be applied by L.ender firat in payment of amounta payable to L.ender by Borrower under paragraph 2 hereof, then W intereat payable on the Note, then to the principal of the Note, a~d then to intereat and principal on any Future Advancea. 4. Chargea; Liene. Borrower shall pay all taxea, assesaments and other charges, finea 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 Eiorrower making payment, when due, directly to the payee thereof. Borcower shall promptly furniah to Lender all notices of amounts due under this paragraph, and in the event E3orrower shall make payment directly, Borrower ahall promptiy furniah to Ixnder receipts evidencing such paymenta. 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 shail agree in writing to the payment of the obligation secured by 5uch lien in a manner acceptable to l.ender, or shall in goad faith contest such lie~ by, or defend enforcement of such lien in, legal pra~dings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard Iasurance. Borrower ehall keep the improvemente now existinq or hereafter erected on the Property insuted againet losa by tire, hazarde included within the term "e:tended coverage; ' and such other hazards as Lender may require and in ~uch amounta and for such perioda es Lender may require; provided, that Lender shall not require such coverage amonnt exceeding the minimum, as may be required by etate or federtil regulationa~goveming activitiea of Lender, or that amount of rnverage required to pay lhe aums secured by this Mortqage, whichever is the greater. ~ The inaurance carrier providing the insurance shall be choser_ by I3orrower subject to approva) by Ixnder, proaided, that auch appmval ,hall not be unreasonably withheld_ All premiums on insurance policies shall be paid in the manner provided under paragraph 'l hereof or, if not paid in such manner, by Borrower making payment, vvhen due, directiy to the insurance carrier. All inaurance policiea and renewals thereof ahall be in form acceptable to Lender and shall include a atandard mortgage clause in favor of ' and in form acceptable tu I.ender. Lender shall have the right to hold the policiea and renewals thereof, and Borrowershall promptly furnish to i.ender all renewal noticea and all receipts of paid premiuma. In the event of losa, Borruwer ahall give prompt notice to the ineurance carrier and I.ender. Lender may make proof of loss if not made promptly by Borrower_ i Unlees I.ender and Borrower otherwiee agree in writing, insurance proceede shall be applied to restoration or repair of thc Property ~ damaged, provided such restoration or repair ie economically feasible and the'security of thia Mortgage ia not thereby impaired. If such ~ restoration or repeit is not economically feasible or if the eecurity of this Mortgage would be impaired, the inaurance proceeda ehall be applied to the aums eecured by this Mortgage, with the exceas, Jany, paid to Borrower. If the Property is abandoned by Borrower. or if Borrower faile to ~ reapond to Lender within 30 daye from the date notice is mailed by Lender to Borrower that the insurance carrier offera to settle a claim for ~ insuraace benefite, Lender ie authorized to collect and apply the inaurance proceeds at I.ender s option either Eo restoration or repair of the ; Property or the aums eecured by this Mortgage_ Unleas Lender and Borrower otherwiae agree in writing, any such application of pmceeds to principal ahall not eatend or poatpone the due date of the monthly inatallmente referred to in paragrapha 1 aed 2 hereof or change the amount of such instaUmente. lf under paragraph 18 hereof the Property is aoquired by Lender, all right, title and interest of Borrower in and to any inaurance policies and in and to the proceeda ~ thereof reaulting from damage to Property prior to the sale or acquisition ahall pase b Lender to the eztent of the eume secured by thia Mortgage immediately prior to ench eale or aoquiaition. ~ 6. Preeervation and Maiatenance of Property; Leaseholds; Condominuma; Planned Unit Developmente. Borrower shall keep the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall comply with the proviaions of any lease if this Mortgage is on a leasehold_ If thie Mortgage is on a unit in a oondominium or a planned unit development, Borrower ahall perform all of Borrower's obligationa under the derlaration or covenante creatingor governing the condominium or planned unit development, the by-lawa and regulations of the condominium or planned unit development, and conatituent dce~unents. If a condominium or planned unit deve;opment rider is eaecuted by Borrower and recorded together vKith this Mortgage, the oovenants and agreementa of such rider ehall be incorporated into and shall amend and supplement thecovenanta and agreements of thia Mortgage as if the rider were a part hereof_ 7. Protection ot Lender's Security. If Borrowtr faile to perform the oovenante and agreemente conte.ined in this Mortgege. or if any action or procceding iB commenced which materially affecte Lender a interest in the Property, including, but not limited to. eminent domain, ineolvency, oode enforcement, or arrangemeate or proceedinge involving a bankn~pt or deoedent, then I.ender at Lender's option,upon ~ notice to Borrower may make euch appearanas, dieburee euch eums and take such action es ie neceeeary to pmtect Lender's interest~ ~ including, but not limited to, disbureement of reasonable attorney 8 feee and entry upon the Property to me1~e repaire. If Lender required ~ ~ mortgage insurance ae a condition of mal~ing the loan aecured by thie Mortgage, Borrower ehall pay the premiums required to meintain ~ such inearance in effect until euch tune as the requirement for such inaurance terminatee in accordance with Borrower'e and Lender e . ~ written agreement or applicable I~w. Borrower ahall pay the ainount of all mortgage inaurance premiuma in the manner provided under ' paregraph 2 hereof. ~ ~ My amounte diabursed by Lender perauant to thie paragraph 7, with intereHt thereon, ehall become additional indebtednees of ~ ~ Borrower eecured by this Mortgege. Unless Borrower and Lender agree to other terme of paymeat~ euch amounts ehali be payable upon ~ ~ notice from Lender to Borrower requeating payment thereof, and ehall bear intereat from the date of diebureement et the rate paysble from ~ time to time on outetanding principal under the Nole unleee psyment of interest at euch rate would be oontrary to applicable law, in which event euch amounta ahall bear interest at the higheat rate permiseible under appiicable law. Nothing rnntained in thia paragreph 7, ehall ~ require Lender to incur any expenae or take any action hereunder. ~ ~ au~ix 3~~~ ~at~E ~~2 • , - - - - _ _ ~