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HomeMy WebLinkAbout1278 - _ ~ Ut+troare Covawatfi. 8orrosver dad Leader covenant and agree ss folbws: >Is Ftpessat et ttd¦efpel N 6tNss+ssl. Borrower :halt promptly pay when due the principal of and intero:< on the irtdebbdnps evideaoed by the Note. prepaynteut snd late charges u provided in the Note, and the principal of and interest oa any Futuro Advaaas secured by this Motrtfa=e. 1 1lriwtls tK Taws ttrtt braaes~es. Subject to applicable law or to a written waiver by Lender. Borrower :ball pay to Leader on Ifre day raartthly installments of principal and interest ~re payable under the Note, until the Note is paid in [uU, a stmt (herein "Fuads'9 equal to one-twelfth of the yearly laze. and assessments which stay attain piicsrity over this Morisage, and tround rona on the Property. if any. plus ono-twelfth of yearly premium installments for hazard insurance. plus ooe•twelRh of yearly prgaittun installments for mortgage insurance, if any. alt as r+tasonabty estimattd initially and fr+oa~t time to time by Lender on the basis of asseuments and hilh and reasonable estimates thereof. 7'he Funds shall be held in an institution the deposits or accounts of trrhich arc insured or gwranttxd by a Federal of stab agetrcy (including Lender if Lender is such an institution). Lender shall apply the Funds to pay uid taxes. assessments, insurance Qr+emiums and around rents. Lender may not charge for ro holding and applying the Funds. analyzins uid account. or verifying.and compilinj said assessments and bilk. unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing at the time o[ exxution of this Mortgat: that interest on the Funds aball bo paid to Borrower, and unless such agreement is made or applicable law requires snclr interest to be paid. Lender shat! not be required to pay Borrower any interest or earnings on the Funds. Lender shall pve to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the ! purpose [or which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by this Mortgage. Tf the amount of the Funds heW by Lender. together with the future nwnthly installments of Funds payable prior to the due dates of taxes assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. assauneats, insurance pretniutns and ground runts as they fall due. such exceu shall be. at Borrower's option. either promptly repaid to Borrower ott credited to Borrower on monthly installment: of Funds. It the amount of the Funds !told by Leader-shall not he t to pay taxes. assessments, insurance premiums and ground rents u they fall due. Borroaer shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed f by Leader to Borrower requesting payment thereof. - Upon payment is full of aU sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds held by I.euder. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender, Lender i shall apply, no later than immediately prior to the sale of the Property or its acquisition"by Lender, any Funds held by ~ Lender at the time of application as a credit against the sums sxur~od by this Mortgage. 3. A~rlieatisw oft IFgareats. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower # under paragraph 2 hereof, rhea to interest payable on the Note, then to the principa! of the Note, and then to interest and'< principal on any Future Advances. t. Charges; 1Lierts, Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and lessehold payments or ground rents. if any. in the manner provided under parsgraph 2 hereo[ or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shell promptly discharge any lien which has priority over this Mortgage; provided. that Borrower steal! not be required to discharge any such lien so long u Borrower steal! agree in writing to the payment of the obligation securrrd by such lien in a manner acceptable to !:ender. or shall in good faith contest such lien by, or defend enforcement of such lien in. legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S. Hazard lnwrarrce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured { against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require I and in such amounts and for such periods as Lender may require; provided, that lender shall not require that the amount of i such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage. i 'I7re insurance carrier providing the insurance shall be chosen by Borrower subject to approves! 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 inwrance carrier. All insurance policies and renewals thereof shat! be in form acceptable to Lender and shall include a standard mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof. and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. 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, 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 by Borrower, ar if Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authorised to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this Mortgage. Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower ~ in and to any Insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale or acquisition shall pus to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. - 6. Pmervation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Properly in good repair and shall not comrgit yvute or permit impairment or deterioration of the Property s~ eh~ll cornpl~ with the provisions of any lease if this Mortgage is on a teaschold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations 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 documents. If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the covenants 'and agreements of such rider shall be incorporated into and steal! 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 (ads t~~ perform the covenants and agreements contained in this y Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, including. but not limited to. eminent domain. insolvency, code enforccmcnt, or arrangements or proceedings involving a bankrupt or decedent. then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums and take such action as is necessary t~ protect Lender's interest, including, but not limbed to. disbursement of reasonable attorney's fees and entry upon rtes Property to make repairs. If f.cnder required mortgage insurance as a coridgion of making the loan secure) by this Mortgage. Barrawer shall pay the premiums required to maintain such insurance in attest until such time as -the requirement for such insurance terminates m accordance with Borrowers and ' j - _ `~{314 ~a~E~.271 ao~K y '