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HomeMy WebLinkAbout0955 Borrower and l.ende~ covenant and agree as followa: 1. Peyment of Principal end Interest. Borrower shall promptly pay when due the principal of and intereat on the indebtednrss evidenced by the Note, prepeyment and late charges as provided in the Note, and the principal of and intereaton any ~ture Advancea secured by this Mortgage. 2. F~nda for Ta~[ee and lnsurance. Subject to applicable law ur to a written waiver by Ixnder, Borruwer ahall pay to l.ender on the duy monthly inetallments of principal and interest are payable under the Note, until the Nute ia paid in full, a aum (herein "Funds") equal to one- twelfth of the yearly taxea and asaexsmenta which may attain priority o~ er this Mortgage, and qround rentx on the I'ruperty, if any, plus one twelRh of yearly premium installments for hazard inaurance, plus onrtwelfth ofyeariy premium inatallments for murtgage inaurance, if any, all as reasonably eatimated initially and from time to tirne by I.ender on the bpsis of asaeasmerts And bilis and reasonable estimatea ttiereof. The ~nds ehall be held in an inatitution the depoaita ar accounta of which are ineured or guaranteed by a Federal or Slate agency (including I.ender if Lender ie such an inatitution). l.ender shall apply the Funds :o pay said taxes, assesamenta, insurance premiums and ground ~ente. I.ender may not charge for ao holding and applying the Funds, analyzing said account, or verifying and compiling said aeaessments and bills, unlese L.ender paya Borrower interest on the Funda and applicable law permits I.ender to make such a charge. Borrower and Lender may agree in writing at the time of execution oi thie Mortgage that interest on the F~nda ahall be paid to Borrower, and unlesa such agreement ia made or applicable law requirea auch interest to be paid, I.ender ehall not be required to pay Borrower any interest or earnings on the Funde. I.ender ehall give to Borrower, without charge, an annual accounting of the Funde ahowing credita and debita to the Funda and the purpoae for which each debit to the Funda was made. The Funda are pledged as udditional security forthe suma secured by this Mortgage. If the amount of the Funda held by L.ender, together with the future monthly inat+~llments of Funds payable prior to the due datea of taxes, aseeaementa, inaurance premiuma and ground renta, ahall excred the amount required to pay said taxes, asseasments, insurance premiume , and ground rents as they faU due, such exceas ahall be, at I3oiTOwer's option, either prompUy repaid to I3orrower or credited to Borrower on monthly inatallmente of F~nde. If the amount of the Funde held by I.ender ahall not be sufficient to pay taxes, aesesamenta, insurance premiuma and ground rents as they fall due, ~3orrower ahall pay to Lender any amount necesexry to make up the deficiency within 30 days from the date notice ia mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all aums secured by this Mortgage, I.ender shall promptly refund to Borrower any funda held by I.ender. lf under paragraph IS hereof the Property ia sold or the Property is otherwiae acquired by I.ender, I.ender shall apply, no later than immediately prior W the sale of the Property or its acquisition by I.ender, any Funda held by Lender at the time of application as a credit against the suma secured by thie Mortgage. 3. Applieation of Paymente. Unleas applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof ahall be applied by Lender firat in payment of amounts payable to I.ender 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. Chargee; Liena. Borrower sha11 pay all taxes, assessments and othercharges, fines and impositions attributable to the I'roperty 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 Botrower making payment, when due, directly to the payee thereof. BorruN~er shall promptly furnish to Ixnde~ aU notices of amounts due under this paragraph, and in the event F3orrower shall make payment directly, Borrower shall promptly furnish to [.ender receipts evidencing such payments. Borrower shali promptly discharge any lien which hxs priority over this Morlgage; pmvided, that Borrower shall not be required to discharge any such lien so long as Borrowershall agree in writing to the payment of theobligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, ordefend enforrnment of such lien in, legai proceedings w~hich operate to prevent the enforcement of the lien or forfeiture of the Property or any part therc~f. 5. Hazard Insurance. Borrower ahall keep the impmvementa now existing or hereafter erected on the Property insured againat loss by fire, hazarda included within the term "extended coverage," and auch other hazards as I.ender may require and in such amounts and for such periods aa Lender may require: provided, that [.ender ahall not require such coverage amount exceeding the minimum, as may be required by i atate or federal regulations governing activities of I.ender, or that amount of coverage required to pay the sums secured by this Mortgage, ~ whichever is the greater. ~ The insurance carrier providinR the insurance shall be chosen by Korrov?•er subject to approval by i.ender, pmvided, lhat sach approval ! shall not be unre<~sonably withheld. All pmmiums on insurance policies shall be paid in the mannPr pmvidcd under paragraph `L hercr~f or, if ~ not paid in such manner, by F3orrower making payment, when due, directly to the insurance camer. ~ All insurance policies and renewala thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in favor of ; and in form acceptable to Lender. Lender ahall have the right to hold the policiea and renewals thereof, and Borrower shall promptly furnish to 3 i.ender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shail give prompt notice to thP insurance carrier ~ and Lender. Lender may make proof of loas if not made promptly by Borrower. = Unlesa Lender and Barrower otherwiee agree in writing, insurance proceeds ahall be applied to reatoration or repair of the Property ~ 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 aecurity of thie Mortgage would be impaired, the inaurance proceeds ahall be applied ~ to the eums aecured by this Mortgage, with the excess, if any, paid to Borrower. If the Property is abandoned by Borrower, or if E3orrower fails to , rrapond to Lender within 30 daye from the date notice ia mailed by I.ender tn Borrower that the insurance carrier offers to settle a claim for ~ insurance benefits, Lender ie authorized to collect and apply the insurance procEeds at Lender's option either to restoration or repair of the r Property or the suma secured by this Mortgnge. ~ Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principai shail not eatend or postpone ine due ~y date of the monthly installments referred to in paragrapha 1 and 2 hereof or change the amount of auch instailmente. If under paragraph 18 ~ hereof the Property is acquired by l.ender, all right, title and interest of Borrower in and to any inaurance policiea and in and to the prceeeds ~ thereof reaulting from damage to Property prior to Lhe sale or acquiaition ahall pasa to Lender to the extent of the auma secured by this ~ hlortgage immediately prior to such eale or acquieition. 6. Preaervation and Maintenance of Property; Leaseholds; Cundominume; Planned Unit Developmente. Borrower shall keep E. the Property in goud repair and ahall not commit waste or permit impairment or deterioration of the Property and ehall comply with the ~ proviaione of any lease if this Mortgage is on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development, Iiorrower ahall perform all of Borrower'a obligations under the declaration or covenants creatinKor governing the condominium or planned ~ unit development, the by-lawa and regulstiona of the condominium or planned unit development, and conatituent documents_ If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the rnvenanta and ;y agreementa of such rider shall be incorporated into and shail amend and supplement the covenants and agreements of this Mortgage as if the - rider were a part hereof. - 7. Protection of Lender'e 3ecurity. If Borrower faile to perform the oovenante and agreemente rnntained in this Mortgage, or if any =`s action or proceeding ia commenced which materially aftecte Lender'e intereet in the Property, including, but not limited to, eminent domain, ineolvency, aode enforcement, or arrangemente or proceedinge involving a banlwpt or decedent, then Lender at Lender's option,upon Y7 notice to Borrower may make such appearancee, diaburee euch eume and take auch action as is neceasary to protect Lender's intereet, including, but not limited to, diebureement of reaeonable ettorney'e feea and entry upon the Property to make repaire. If Lender required " mortgage ineurance as a condition of making the loan~aecured by thie Mortgage, Borrower ahall pay the premiame required to maintain euch inaurance in effect until euch time as the requirnment for euch ineurance terminatee in accordance with Borrower'e and Lendei s written agreement or applicable Law. Borrower shall pay the amount of all mortgage ineurance premiums in the manner provided under ~ paragraph 2 hereof. ~ ~ My amounte dieburaed by L.ender persuant to thie paragraph 7, with intereat thereon, ehall become additional indebtedneae of ~ ~ Borrower eecured by thie Mortgage. Unleae Bonower snd Lender agree to other terme of payment, snch amounte ahali be payable upon fy notice from Lender to Borrower requeating payment thereof, and shall bear interest from the date of diabursement at the rate payable from -y time to time on ontatanding principal under the Note unlees payment of interest at such rate wonid be contrary to applicable law, in which - event such amounte ehal) besr intereat at the higheet rate permisaible under applicabie law. Nothing contained in thie paragraph 7, shall t.. require Lender to incur any expenae or take any action hereunder. ~ ~ ~ ~,~x 3~~ P~~E 953