Loading...
HomeMy WebLinkAbout2366 . . ~ Borrower and l.endu oovenant snd a~ree a~ folbw~: 1. P~ymept or Prin~ipal u~d latere~~ Borrower shaU pmmpdy pay when due the principal ot and intereat on the indebtednes~ evidenoed by the Note. prepaymeat and latechar~es as provided in the Note, and the principa! of and intereat on any Fl~ture Advancea secured by Wia Mwt~a~e. - 2. PLnd~ for T~ea and Iaiuranoe. Subject b applicable law or to a written waiver by Lender, Borrower ahall pay to t.ende~ on the day monthly i~utal4nenb of principal ead intered are payable under the Note, unti) the Note is paid in full, a aum (herein "Ftinds") equal to one twelfth of the yee~dy taxes aad a~sewments which may attain priority over this Mortgage, and ground rents on the Prope~?y. if any. plus ona twelfth of yearly p~ennium irstdlmenb for hazard insurance, plus onetwelfth of yearly premium installments for mortgage inaura~ce, if any, all as reasonably estimated initially and irom time to time by l.ender on the basie of assessmenta and billa and reasonable estimatea thereof. '!!ie FLnds shall be held in aa institution the deposits or accounta ot which an inaured or gnaranteed by a Federal or State agency (includin~ Lender if Lender u such sa inatitution): Lender shall apply the Fuads to pay said taxes, aseesamenta. i~aurance premiums and ground e+enb. Lenda may not char~e for w holding and 6~pplying the Funds, analyzing aaid account, or veri[ying and rnmpiling eaid assewnenta and bills. utiless I.ender psy~ Borrower intereat on the FLnds and applicabfe law permits Lender to maka such a charge. Borrower and I.eud~ may sgree in writit~ at the time of execution of thia Mortgage that interest on the Funda ehall be paid to Borrower. and unlaa such as~eeaseat is Qu?de or spplicabk law requires auch interest to be paid, Leader shail not be required to pay Borrower any intereet or earnin~ on the P~nd~. Lender ahall give to Borrower, without charge, an annual accounting of the Funda ehowing credits and debits to the Fnnds and the purpose ior which each debit to the I~nda was made. The Funds are pledged as additional aecurity for the sums eecvred by this Mortgage. If the amount of the I~tnda held by L.ender. together with the future monthly inetal?ments of Funda payable prior to the due datea of ta~ces, assessmepta. insursaoe pnmiums and ground rents. ehall excted the amount required to pay said taxes. asseasmente. insurance premiums and ground repts as they fall due. such e:cess shall be, at Bo~sower s option, either prompdy repaid to Borrower or credited to Bormwer on moathly uutaUments of Ptinds. If the amount of the Funde held by I.ender shall not be eufficient to pay taxea, aseessmenta, insurance premiums and grouad rents as they faU due. Borrower ahall pay t~o I.ender any amount necessary to make up the deficiency within 30 days trom the date notioe is mailed by Lender to Borrower requesting payment thereof. Upon payment in fnq of all suma secured by this Mortgage, Lender ahali promptly refund to f3or~ower any funds held by Lender. If under paragraph IS hen.wf We Property is sold or the Property ie otherwise acquired by Lender, Lender ahall apply, no later than immediately prior to the saleof the Propedy or its aoquisition by Lender. any F~nda held by Lender at the time of application as a credit againat the aums aecured by this Mortgage. 3. Applieation of Paymeats. Unlese applicable law providea otherwise, al) paymenta received by Lender under the Note and paragraphs 1 and 2 hereof ahall be applied by Lender firet in payment of amounta payable to Lender by Borrower under paragraph 2 hereof, then to intereat payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. 4. Charges; Lieae. Borrower ehall pay all taxes, asseasments and other charges, fines and impositions attributable to the Property which may attain a priority ove~t this Mortgage, and leasehold payments or gmund rents, if any~n the manner provided under paragraph 2 hereof or, if not paid in such manner, by Botrower making payment, when due, directly to the payee thereof. E3orrower shall promptly furniah to [.ender a11 noticea of amounts due under this paragraph, and in the e~ent F3orrower shall make payment directly, Borrorrer shnll promptiy fumish to l.ender receipts evidenci~g auch payments. Eiorrower ahall promptly dischnrge nny lien which has priority o~ er this MortgaKe; pmvided, that f3orrower ahall not be required to discfiarge any such lien solung us E3ortowec shall agree in writing to ihe pay ment of the obligation serured by such lien in a manner acceptable to I.ender, or shall in good faith contest such lien by, ordefend enforcement of such lien i~, legal proceedings which operate to prevent the enforcement of the lien or forfeitum of the F'roperty or any part thercwf. 5. Hazard Insurance. Borrower shall keep lhe improvements now existing or hereafter erected on the Pmperty inaured against loss by fire, hazards included wilhin the term "extended coverage," and such uther hazards as l.ender may require and in such amounta and for such periods as Lender may require: pmvided, that l.ender shall not reyuire that the amount of such coveraRe exceed that amount of coverage required to pay the sums secured by this MortgaEte. The insurance carrier providing lhe insurance shall t?e chosen by Borr<~wer subjecl tn appr~n•al by l.ender; pmvided, that such appro~ al shall not be unreasonably withhetd. All premiums on insurance policie~ shall tx~ paid in the mannet pmvidecf under paraKr:+ph `L hereof or, if ~ not paid in such manner, by Fiorrower making payment, when due; direclh to the insurance carrier. Al! insurance policies and renewais thereof ahall be in forn? acceptable to l.ender and shall include a standard mortgage clause in favorof ; and in form acceptable to Lender. I.ender shall have the right to hold the policies and renewals thereof, and Rorrowershall promptly furnish to { i,ender all renewal notices and all receipta of paid premiums. in the event of loss, Borruwer shull give prompt notice to the insurance carrier ~ and Lender. Lender may make proof of loss if not made prompdy by I3orrower. Unlesa L.ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, pmvided such rnstoration 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 Mo~aqe would be impaired, the insurance proceeds ahall be applied ` to the sums secured by this Mortgage, with the excess, if any, paid to Eiorrower. l[the Property is abandoned by E3orrower, or if Borrower faila to respond to Lender within :i0 days from the date notice is mailed by I.ender to i~rrower that the insurance carrier offers to aettle a claim for ~ insurance benefita, Lender is suthorized to collecl and apply the insurance proceeds at [.ender's option either to reatoration or repair of the ' Property or the sums secured by this Mortgage. Unleee Lender and Borrower othena iae agree in writing, any such applicalion of proceeds to principal ahall not extend or poetpone thedue date of the monthly inataliments referred to in paragraphs 1 and'2 hereof or change the amount of such installments. If under paragraph 18 hereof the Property-ia aequired by Lender, all right, title and interest o[ E3orrower in and to any inaurance policiea and in and to the proceeda thereof reeulting from damaqe to Property prior to the sale or acyu~sitiun shall pass to Lender to the extent of the sums secured by this ' ; 1~lortgage immediately prior to auch sale or acquisition. ~ 6_ Preservation and Maintenance of Property; l.easeholds: ('ondominume; Ylanned Unit Developmenta. Borrower s:~all keep the Property in good repair and shall not cummit waste or permit impairment or deterioration of the Property and shall comply with the provisione of any lease if thie Mortgage is on a leasehold. If this MortKage is on a unit in a condominium or a planned unit development, Borrower ahall per[orm all of Borrower'e obligations under the declaratiun or covenants creatinKor governing the condominium or planned ' unit develop"ment, the bylawa and regulations of the condominium or planned unit development, and constituent documenta. If a cundominium or planned unit development rider is executed by I3orrower and recorded together with this Mortgage, the oovenants and agreementes of such rider shall be incorporated into and shall amend ~~nd supplemrnt the covenants and agreements of this Morcgage as if the rider were a part hereof. ~ 7. Protectioa of Lender's Security. [f Borrower fai)a to pertorm the rnvenante and agreemente contained in thie Mortgage, or if any action or proceeding is commenced which rnatetially affecta l.ender's interest in the Property, including, but not limited to, eminent domain. ; ~ ineolvency. oode enforcement, or arrangemente or proceedinge involving a bankrupt or decedent, then Lender at I.ender'e option,upon = ~ notice to Borrower may make such appearences, diaburee auch aume and take auch aMion as ie neceeaary to protect Lender'e interest. ~ including, but not limited to, diebureement of reasonable attorney'a feee and entry upon lhe Property to make repairs. If Leader reqnired ~ mortgage ins~uance aa a condition of making the loan eecured by this Mortgage, Iiorrower ahall pay the premiuma required to maintain euch ineurance in effect until euch time as the requirement for euch insurance terminatee in accordance with Borrower'e and Lender's F written agreement or applicable Law. Borrower ehall pay Lhe amount of all mortgage insarance premiums in the manner provided under ? paragraph 2 hereof. My emounts diebursed by Lender pereuant to thia paragraph 7, with intereat thereon, ahall become additional indebtedneas of : Borrower secured by.thie Mortgage. Unleae Borrower and l.ender agree to other terme of payment, auch amounte ehall be payable upon ~ notice from Lender to Borrower requeeting payment thereof, and shall bear interest trom the date of diabursement at the rate payable from j time to time on outetending principal under the Note unlesa payment of intereat at auch rate would be contrary to applicable law, in which ? event such amounta shal) bear intereat at the higheet rate permiseible under applicable law. Nothing contained in thie paragraph 7, ehall ~ require I.ender to incur any expenae or take any action hereunder. 5~-~x 312 PaGE 2~64 ~ . . ~ ;