HomeMy WebLinkAbout1196 Ut+troR~t Covst+~rns. 8orm~~ and Lende~ covenant and a~roe u follows:
~M N l~e1Mi a¦i 1~IereM. 8orrower ~sll Pr~Pi~) Wy wheo due the principal of and inte~+at on the
indebtednat evidenoed by tbe Note, ptepayen~nt and late cFwr`e~ a.c ~ovided in the Note. and the principd ot and inte~dt
aa ~uy Futuro Adv~nces securod bq this Mortta~a.
1 Fwi tK Taz~s s~i iar~a~a~e. Sbbject to applicabk law to a written waiver by i.ender, so~o+~ ~u wr
to Le~det on the day montAly iosullments of principal aod in~ctcc~ arr payaMe under tht Note. until the NWe is paid in tull.
• sum (hs~+ein "Fund~'~ equal to onttwelfth ot the yea~l~• taa~~ anJ assess~nents which may attain priority ove~ this
1Nortta~. and jrow~d renes oa tha Propeny. if any. Flus one-twelf~h of yeuly premium installments fo~ hazard insurance.
p1u~ ooe-twel[th of yeulY premium installments tor mortaate insunncc, if sny. all ss ressonabfy estimated initially and trom
time W time by Leuder on tbe basis of assesxmcots and hills and rcasonabk estimata thereof.
{ The Ptinds shall be beld in sn institmic+~ ~he depoa~u or •rccounts of ~rhich arc insured or guannteed by a Fedenl ot
state ascocy (incltdina Lender if Lcnder is such an iostitutionl. 1_ender shall apply the Funds to pay said taza, assasments.
iyturanoe premium= and Sround rents• l.er~der may not cha~ge for u~ holdina and applyioj ~he F~mds. analyzin= said account,
or vetityins aod oomplins uid assasmeots and bilb. unkss I.ender pays Harmwe~ interat on the Funds and applicabk law
pannits Lender to make wch s clur~e. Borrower at~d l.ende~ may agrce in writina at the time ot execution of this
Mort~a~e that iaterat on the Fuads shall be paid to Borrowe~. and uakss such a~oement is made or applicabk law
requira such ioterest to be paid. L.ende~ shall rwt be rcquirod to pay 8orrower any interest or arnings on the Funds. Lender
s6a11 pve W Borrower~ witbout charge. an annual aocountina ot tl~e Funds showinE credits and debits to the Funds and the
purpae for which eae6 debit to the Funds was made. The Funds arc pledged u additional security for the sums securod
by tbis Mortpae.
If t6e amount of tbe Fun~b held by Lender. together with the future monthly installments of Funds payabk prior to
t6e due data of tues, asxssments. inwrance premiums and ground rents. shall exceed the amount required to pay said tua.
sawmeats, i~uunnce premiuau and =round rents u they fall due. such excess shall be. at BoROwer's optioo. either
pcomptly repiid to Horrower or credited to Borrower on monthly installments of Funds. lf the amount of the Funds
6etd by l.eoder shall not be wl6cieat to pay taxes. assasmenu, insurance premiums and ground renta u they fall due.
Botm~?er s6a11 pay to L,euder any artaunt necessary to make up the deficiency within 30 days from the date notice is mailed
by I.ender to Horrowtr requating~ payment thereof.
Upon payd~eat ia full of all wma :ecured by this Mortgage, l_ender shall promptly refu~d to Borrower any Funds
heW by Leuder. If under para`raph 18 hereof the Property is sold or the Propeny ~s othen~rise acquired by l.ender. Leader
shaU appty. ra later tban imnaediately prior to the sak of the Propeny or its acquisition by Lender. any Funds held bv
t.eader at the time of application as a crcdit against the sums secured by this Mongage.
3. A~plkdio~ ot ~eNs. Unkss applicable law provides otherwise. all payment~s„~eived b~r Lender under the
Note and patagaphs 1 and 2 he~eof shall be appliod by Lender Rrst in payment of amounts payable to [.ender by Borrower
under paragraph 2 he~oof. tbea to intcrest payabk on the Notc, then to the principal of the Note. and then to interest and .
priucipal on any Futun Advances. •
4. C6sRe~ Liens. Borrower shall pay all taaes, assessmcnts and other chargu, fines and impositions attributabk to
tbe PropeKy which may attain a priority over this Mortgage, and leasehold payments or ground cents. if any. io the. manner
provided under paragraph 2 hereof br, if not paid in such manner, by Borrower making payment, wheo due, directly to the
payee thercof. Borrowu shall promptly furnish to Lender all notices of amounts due under this paragnph. and io tbe eveat
Bormwer shall m~lce payment directly. Borrower shall promptly fumish to Lender roceipts evidenciog such payments.
Borrower shdl pmmptly discharge any lien which has prionty over this Mongage: provided, that Borrower shall not be
required to dixharge any such lien so long as Borrower shall agree in writing Io the payment of the obligation secured by
such lien in a manner acceptabk to Lender. or shall in good faith contest such lien by, or defenJ enforcement of auch lien in.
legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part theroof.
S. Huard I~rawce. Boaower shall kap the improvements now existing or hereafter erected on the Propeny insured
. agai~ut loss by 6re, hazards included within the term "eatended coverage", and such other husrds as l.ender 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 requirtd to pay the sums secured by this Mortaage.
Tt~e insurance carrier providing the insurance shall be chosen by Bonower subject to apptoval by Lender. provided,
that wch approval shall not be unreasonably withheld. All premiums on insurance policies sha11 be paid in the manner
provided under paragraph 2 hereof or, if not pai~ in such manner, by Borrower making payment, when doe. direcUy to the ~
i insurance carrier. _
4 All insurance policies and renewals thereof shall be in form accep~able to Lender and shall include a standard mortgage
I clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policia and renewals thereof.
~ and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid prcmiums. 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 promptly
~ by Borrower.
~ Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
the Property damaged, prov~Jed such restora~~on 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 appiied to the sums secured by this Mortgage, with the excess. if any. paid
to Borrower. If the Properry es abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
date notice is ma~led by Lender to Borrower that the insurance carrier offers .to settle a claim for insurance bene6ts. Lender
is aut6orized to collect and apply the insurance proceeds at Lender's option either to restoration or repa~r of 1he Propetty
or to t6e sums secured by this Mortgage.
~ Unless Lender and $orrower otherwise agree m writing, any such application of proceeds to principal shall not extend .
or postpone the due Jate of the monthly installmcnts referred to in paragraph~ 1 and 2 hereof or change the amount of
suc6 installmeots. If under paragraph 18 hereof the Property is acquirecl by [.ender, all right, title and interest of Borrower
in and to any ihsurance policia and in and to the proceeds thereo[ resulung trom damage to the Property prioc to th~ sale -
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immtdiately prior to such sak or
acquisition.
~ 6. hesenatbn and Maiotenaace of Property; I,easehulds; Condominiums; Planned Uait Devebpmenls. Borrower
shall keep the Property in good repair and shall not comroit yvaste or permit impairment or deterioration of the Property
~ and sfiall compl~• with the provis~ons of .any lease if this Mortgage is on a leaschold_ If this Mortgage is on a unit in a
~ condominium or a planned unit developmem, Borrower shall pertorm all of Borrower's obligations under the declaratiun
~ or covenants creating or governmg the condominium or planned unit develupment, the by-laws and regulations of the
~ condominium or pla~ned unit development, and constituent documents. If a condominium or planned unit development
~ riekr is eaecuted by Borrower and recorded tugether w~th thi~ Mortgage, the covenants and agreements o( such riJer
r shall be incorporated ~nto and shall amend anJ suppl~ment the covenants anJ agreements of this Mortgage as if the rider
' were a part hereof.
~ 7. Protection of Lende~'s Securfty. I( Bnrrower fa~l. t~~ perform the covenams and agreements contained in this
~ Mortgage, or if any action or proceeding ic commence~l whirh materially~ afiects I.enJer's interest in the Property.
~ includmg. but not lim~ted to, eminent domain. in~olvency, cude cnforcement. or arrangements or proceedings involving a
bankrupt or decedent. then I_ender at I.ender i option, u~n notice to Borrower, ma~ make such appearances, disburse such
sums and take such action as is necescary tu pro~ect Lend~r's ~merest. including. but not limhed to, disbursement of
reasonable attomey'~. (eec and en~ry up~~n the Property to make rcpairs. If I.cndcr rcyuirJ mortgage inwrance as a
~ cond~tion of makmg thc loan secureJ hy this Mortgagc. B~.rroHCr shall pay the premiwns requireJ to maintain such ~
insurance in rfiect until wch ume as the rey~iiremenl for ~uch in~urancr tcrminates in accordanee with Borrower's and ~
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