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HomeMy WebLinkAbout1411 • , I3orrower and I.ender cuvenanl and agree as followa: 1. Payment of Pripcipal and Intereet. F3orrower ehNll promptly pay when due the principal ot and iniereet on the indebtedneea evidenced by the Note. ptepayment a~d late charges aa provided in the Note, and the principnl of and interest on any Future Advenres aecured by thia Mortgage. ' 2. Fl~nds for Ta=es and Insurance. Subject b applicable Inw or to a written waiver by I.ender, F3orrower ahall pay to l.end~ on the day monthly installments of principal and interest are payable under the Note, until the Notc ia paid in full, a sum (herein "Ptinda") equal to one twelfth of the yearly taxes and aeaesamente which may attain priority ove~ this Mortgege, and ground re~ts un the Froperty, if any, plue oae ; twelfth of yeariy pmmium inatallmente for hazard insurnnce, plus onetwelRh of yearly premium inetallmenta for mortgage inaurance, if any, all ae rnasonably eatimated initially and from time to tirne by l.ender on the basia of aseexamenta and biUa nnd masonuble estimatea thereof. The ~Lt~ds shall be held in an institution the deposite or accounta oI which are insured or guaranteed by a Federal or State agency = (including L.ender if I.ender is auch an inatitution). L.ender ahall apply the Funde to pey aaid taxes, asaeaamenta, insurance premiums and ~ ground renta. I.ender may not charge for so holding and applyirig the H~nda, analyzing said account, or verifying and compiling said ~ aeeeeamente and bills. u~lese Lender pays Borrower intereat on the Funda and applicable 1aw permita l.ender to make auch a charge. Born,wer ~ aad Lender may agree in writing at ihe time of e:ecution of thie MortgaEte that intereat on the ~nds ahall be paid to Borrower, and unlesa ~ such agreement ie made or applicable law requires such interest to be paid, Lender shall not be required tu pay Borrower any intereet or earninge on the Funde. I.ender shall give to Borrower, without charge, an annual aeoounting of the Funda showing credita and debits to the Funda and the purpoae for which each debit to the Funda wxs made. The F unda~are pledged as additional security for the euma eecund by this ' Mortgage. i If the amount of the fi~nda hetd by I.ender, together with the futum monthly inatallmente of Funda payable priorto the dwdates of taxea, ~ aseeasmenta, insurance premiums and ground renta, ahall e:cYed lhe amount required to pay said tu:es, aase,iaments, iasurance premiuma ~ and ground rents as they fall due. such exceea shall be, at Bonowei s option, either prompdy repuid to Borirower or credited to Borrower on monthly inetallments of Funde. If the amount of the FundA held by l.ender shall not be aufficient to pay taxea, aseessmenfa,'inaurance prn~niuma and ground rente as they fall due, Borrower ahall pay to Lender any amount necessury to make up the deficiency within 30 days from the date notice ia mailed by Lender to I3orrower requeating payment thereof. Upon payment in full of all suma eecured by this Mort~age, Lender ehall promptly refund to Rorrower any funds held 6y I.ender. If undcr paragraph 18 hereof lhe Property ia sold or the Property is otherwise acquired by I.ender, I.ender shall apply, no later than i mmediately prior to the sale of the Property or ita aoquisition by l.ender, any ELnda held by Lender at the time of application as a credit against the suma secured by this Mortgage. 3. Application of Paymente. Unlesa appticable law provides otherwise, all payments recei~ed by I.ender under the Note and paragraphs 1 and 2 hereof shaU be applied by I.ender firat in pt~yment of amounta payable to Lehder by Iiorrow er under paragraph 2 hereof, ihen to interest payable on the Note, then to the principal of the Note, and then to inLereat and principal on any Futurn Advancee. 4. Chargea; Liens. Born~wershall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which ~ may attnin a griority over this Mortgage, and lensehold payments or gmund rents, if any, in the manner provided under parugraph'l hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. E~orrower shall promptly furnish to i.ender all noticea of amounts due under this paraECraph, and in the event Borrower shall make payment directly, Bormw~er ahal! promptly furnish to I.ender receipts evidencing such payments. Borrower shall promptly discharge any lien which has prioritp over ihis hfortRuge; provided, that Borrower ahall not be required to dischurge any such lien so IonR.is Rorrawrr shtell nKree in writinK to the payment of the obliKation secumd by such lien in a manner acceptable to I.ender, or shall in g~x~d faikh contest auch lien by, ur defend enformment of such lien in, irgal proceedings which operate to prevent the enforcement of the lien or forfeiture of the F'roperty or ~ny part thermL - 5. Hazard InBUrance. Borrower ahall keep the improven~enla now existing or hereafter erected on the I'roperty insured against loss by fire, hazards included within the term "e:tended cocerage," and auch other hazards as Lender may requirr and in such amvuntx and for such perioda as I.ender may require: provided, that I.ender shall not requirn such coverage amount exceeding the minimum, as may be required by xtate or feder~l regulations governing activitiea of l.ender, or that amount of coverage required to pay the sums secured by thia MortKage, whichever is the greater. 7'he insurance carrier providing the insuranm shall be chcwgen by Korrow•er suhject tc, appro~•al by IAnder; pmvided, that such approvaf shall not be unre.~sonably withheld. All premiwns nn insurance policies sha~l be paid in the manner pm~•ided under par~Rraph herc~?f or, if not paid in such mi~nner, by E3~rrower muking p:?yment, when due, directly tn the insur.ince ci~rrier. All ineurance policirs and renewals thereof shall be in form acceptable to Ixnder and shall include a atandard mortgage clause in favorof I, and in form acceptable to I.ender. [.ender shall have the riqht tu hold the policiea and renewals thereof, and Borrow-erahaU promptly furnish to ~ i.ender all renewal noticee and all receipta of paid pmmiums. ln the event of loss, Borruwer shali ~ti~~e prompi notice to the inaurance c:irrier j and Lender. t.ender may make proof of loss if not made promptly by E3orrower. E L'nleas Lender and Borrower otherwise agree in writing, ineurance proceeds shall be applied to restoration or repair of the Property ~ damaged, provided such restoration or mpair is economically feasible and the aecurity uf thie 111ortgage is not thereby impaired. If auch restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the inaurance proceeda shall be applied ~ to the sums aecured by this 4lortgage, with the excess, if any, paid to E3orrower. If the I'roperty is abandoned by Borrower, or if Borruwer faila to reapond to Lender within 30 days fmm the date notice is mailed by [.ender to Eiorrower that the insurance carrier offers to settle a claim for E inaurence benefits, Lender is authurized to collect and apply the inaurance proceeds at l.ender's option either to reatoration or repair of the Ptnperty or the sums aecured by this Mortgage. Unless Lender and Borrower otherwise agme in v~ riting, nny such appliration of proceedsl.o principal shall not extend or poatpone the due date of the monthly installments referred to in para~?phs 1 and 2 nereof or change the amount of such installments. If under paragraph 18 hereof Lhe Property ie acquired by Lender, alt right, title and interest of Borrower in and to any inaurance policies and in and W the pro~~eeda thereof resulting from damage to Property prior to the sale or acquisition ahall pass to I.ender to the extent of the auma secured by thia :Nortgage immediately prior to such sale or soquisition. 6. Preeervation and Maintenance of Property; l.easeholds; Condominuma; Plenned Unit Devclopmente. F;orrowershall keep the Property in good rnpair and ahall not commit vcaste or permit impairment or deterioration of the Property and ahall comply with the provisions of any lease if thie Mortgage is on a leasehold. If this Mortgagc is on a unit in ~ condominium or a planned unit developmerit. E3orrower ahall perform all of I3orrower'e obligatiuns under the declaration or covenanta crcutin~;or governing the condominium or planned unit development, the by-laws and regulationa of the condominium or planned unit development, and constituent documents. If a condominium or planned unit de~•elopment rider is executed by I3orrower and recorded together with this Atortgage, the oove~iants and ~ agreements of such rider sh~ll be incorporz~tecl into und sha11 amend and supplement the cuvenantx and agreements of this Mortgage as ifihe rider were a part hereof. 7_ Protection of i.ender'e Security. If Borrower faile to perform the oovenanta and agreements contained in this Mortgage, or if any ~ action or proceedinq is commenced which materially affecta I.ender'a intereat in the Property, includinq, but not limited to, eminent domain, ~ ineolvency, oode enforcement, or arrangements or proceedings involving a bankrupt or deaedent, then Lender at Lender'e option,upon ~ notice to Borrower may.make auch appearancee, diaburee such aums and take auch action as ie neceeaary to protect Lender's interest, including, but not limited to, diebureement of r~sonable attorney'e feea and entry upon the Property to make repaire: If I.ender reyuired ~ mortgage inaurance ae a rnndition of making the loan eecured by thie Mortgage, Borrower ahall pay the premiums required to maintain : ~ such inaurance in effect until such time ae the requirement for snch ineurance terminatee in accordance wi:h Aonowei e and I.endei s written agreement or applicable Law. Borrower ahall pay the amount of all mortgage inxurance premiume in the manner provided under ~ paragraph 2 hermf. ; My amounte diaburaed by I.ender pereuant tn this paragraph 7, with intereat thereon, shall become additional indebtedneae of f ~ Borrower eecured by thie Mortgage_ Unlees Borrower and [.ender agree to other terma of payTnent, auch amounte ehal! be payable upon ~ notice from Lender to E3orrower requesting payment thereof, and ahall bear intereet from the date of diebursement at the rate payable from ~ time to time on outAtanding principal under lhe Note unlesa payment of intereat at such rate would be contrary to applicable law, in which ~ event euch amvunta'Ahall bear intereet at the higheat rate permissible under appiicaDle law. Nothing contained in thie paraqraph 7, ehall ~ require I,ender to incur any expenee or take any action hereunder. ~ ~ ~ `~~31~ E14(~9 - - - __~.,.~~x