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HomeMy WebLinkAbout0955 i UNtFORnt CoveN~N'rs. Borrower and Lende~ covenant and ag~ee as follows: 1. hymeat ot Principd and loteresl. Borrower shall promptly pay when due the pri~cipal of and interest on the indebtedneas evidenced by the Note, prepayment a~d late charges as provided in the Note, and the principai of and interest on aay Futurc Advances secured by this Mortgage. 2. Fbads for 7~uea aad Iaauraoce. Subject to applicable law or to a written waiver by Leoder. Borrower shall pay to Lender on the day monthiy instaliments of pri~cipal and interest are payable unde~ the Note, until thc Note is paid in full, a aum (herei~ "Funds") equal to o~e-twelfth of thc yearly taxes and assessments which may attain priority over this Mortgage. and ground rents on thc Property. if any. plus one-twelfth oC yearly premium i~stallments for hazard insurance, plus onc-twel[th of yearly premium installments for mortgage insurancc, if any, all as reasonably estimated initially and fmm ~ time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. - The Funds shall be held in an institution the deposits or accounts of which arc insured or guaranteed by a Federal or state agency (including L.ender if Lender is such an institution). I.ender shall apply the Funds to pay said tazes. assessments. insurance premiums aad ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account, , or verifying and compiling said assessments and bills, unless Lender pays Borrower intarest on the Fu~ds and applicable law permits Lende~ to make such a charge. Borrower and l.ender may agree in writing at the time of execution uf this Mortgage that interest on the Fu~ds shall be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender . shall give to Borrower, without charge, an an~ual accounting of Ihe Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pleclged as additional security for the sums secured by this Mortgage. If the amount of the Funds held by l.ender, together with the future monthly installments of Funds payable prior to the due dates of taxes, asseuments. insurance premiums and ground rents, shall exceed the amount required to pay said taaces. assessments. insurance premiums and ground rents as they fall due, such excess shall be. at Borrower's option, either pranptly repaid to Borrower or credited to Borrower on manthly installments of Funds. lf the amount of the Funds held by Lender shall not be sutiicient 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 all sums secured by this Mortgage, l.ender shall promptly refund to -Borrower any Funds . held by i.cnder. If under pazagraph 18 hereof the Property is sold or thc Property is otherwise acquired by Lender. Lcnder shall apply. no later than immediately prior to the sale of thc 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 Mortgage. 3. Applicatioa of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by t_endcr firs[ in payment of amounts payable to Lender by Borrower under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Charges; Liens. Borrower shall pay all taxes, assc:ssmcnts and othcr charges, fines and impositions attributable to the Property which may attain a priority over this Mortgagc, 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 payce thereof. Borrower shall promptly furnish to l.encier all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to L.ender 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 Borrow~er shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in good ~faith contest such lien by, or defend enforccment of such lien in, legal proceedings which operate to prevent the enforcemcnt of the I~en or torfeiturc ~f the Property or any part thereof. S. Haurd Insurance. E3orrower shall kecp the improvemems now existing or hercaftcr erccted on the Property insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender 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. 'Il~e 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 carrier. ~ All insurance policies anJ renewals thereof shall be in form acceptable to I.ender and shall include a standard mortgage ~ clause in favor of and in form acceptabie to I~nder. Lender shall have the right to hold the policies and renewals thereof, ! and Borrower shall promptly furnish to Lender all renewal notices anJ aq receipts of paid premiumc. 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 pmmpdy i by Borrower. ~ ~ Unless l_ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of , the Propeny damaged, provided 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 hy Borrower, or if Bormwer fails to res~nd to I.ender within 30 days from the date notice is mailed by l.ender to Borrower that Ihe insurance carrier ofTers to settle a claim for insurance benefits, l.ender ~ is authorized to collect and apply the insurance proceeJs at Lender's uption either to restoration or repair of the Propetty ~ or to the sums secured by this Mortgage. _ Unless Lender and Borrower otherrvise agree in w~riting, any such application of proceeds to principal shall not extend ~ or postpone the due date of the momhly installmcnts referred to in paragraphs 1 and 2 hercof or change the amount of such installments_ If under paragraph I8 hereof the Property is acquired h~~ Leoder, all right, title and interest of Borrower ° in and to any insurance policies and in and to the prc~ceeds thereof resulting from Jamage to the Property prior to the sale or acyuisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. ~ 6. Preser~•atfoo aod 1ltaintenance of Propertv; I.easeholds; Condominiums; Planned Uni! Developmenls. Borrowcr shall keep the Property in good repair and shall not comrnit waste or permit impairment or deterioration of the Property ~ and shal) comply with the provisions of any lease it this Mortgagc i~ on a Ieaschold. If this Mortgagc is on a unit in a ~ condominium or a planned unit development, Borrower shall perform all of Borrower's obligalions 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 documentz. If a condominiom or planned unit development ~ rider is executed by Borrower and recorded together with Ihis Mortgage, Ihe covenants and agreements of 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. ; 7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is commenceJ which materially aBects I_ender's interest in the Pmpert~, including, but not limited to, eminent domain. insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, ~hen l_ender at Lender's option, upon notice to Borrower, may make such appearances, dishurse such sums and take such actiun as is necessary to protect I_ender's interest, including, but not limited to, disbursement of ~ reasonable attorney's fccs and entry upon the Property to make repairs. If Lender required mortgage insurance as a ~ condition o( makipg the loan secureJ by this Mortgage. Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower s and ~ ~ ' ~ ~;.,r~,K~~.~ ~~acF ~5~ " ' ~ _ _ _ . - -