Loading...
HomeMy WebLinkAbout2441 i Borrower and Lender covenant and ages as follows: 1. Paysaerrt o[ PrinMpal and Interest. Borrower shall promptly pay robes due the principal of sad interest on the indebtednew ~ evidenced by tM Note, prepayment sad late charges as provMed in the Note, and the principal of and interest on any Ftirture Advances secured by this Merfgags. - t Z.1PLnda [or Taxes and linsuraaos. Subject to applicable law or to a written waiver by I.ender, Borrower shall pay to Genderon the day monthly installnrenta of principal and interest are payable under the Note. until the Note is paid in full. a sum (herein "Funds'? equal to one twelfth of the yearly lazes and assessments whidr may attain priority over this Mortgage. and ground rents on the Properly. if any, plw one• ~ twelfth of yearly premium indalhnents for heard insurance. plus one•twelfth of yearly premium installments [or mortgage insurance. if any. all a. reasonably estimated initially and from time to time by Lender an the basis of assessments and bills and reasonable estimates thereof: TM Pltads shall be held in an iastitniion the depodts a: aopounts of which are insured or guaranteed by a Federal or State agency (including Lender if Lander is such an institution). bender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground r+enta. Larder may rest charge for so holding and applying the Fends, analysing said account, or verifying and compiling said asaessanents and bills, unless tender pays Borrower interest on the Farads and applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing at the lime o! execution of this Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreeanent is made or appUcable law requires Ouch interest to be paid, Lender shall not be required to pay Borrower any interest or eaminp on the Funds. Lendee shall give to Borrower, without charge, an annual sooounting of the Funds showing credits and debila to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the Bums secreted by this ~ . Mortgage. - . Tf the amount of the Fends held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes, assessments, insarance preminma and ground rents. shall exceed the amount required to pay said taxes, assessments, insurance premiums - and ground runts as they fall due. such e:eas shall be. at Borrower's option, either promptly repaid to Borrower or credited to Borrower on t monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as Wey fall due. Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days j from the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all sums tecnred by this Mortgage, Lender shall promptly refund to Borrower any funds held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender 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 s credit against the sums secured by this Mortgage. - 3. Appllcatlon of Payments. Unless applicable law provides otherwise, _ all payments received by Lender under the Note and paragraphs. l and 2 hereof aball be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. ~ Charges;Liens. 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 leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereofor, if not paid in arch 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 shall promptly discharge any lien which has priority over this Mortgage; provided. that ~ Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in goad faith contest such lien by, ordefend 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. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by 8-e, hazards included within the term "extended coverage." and such other hazards as Lender may require and in such amounts and for each periods as Lender may require; provided, that Lender shall not require that the amount of such rnverage exceed that amount of rnverage required to pay the sums secured by this Mortgage. The insurance carrier providing the insurance shall be chosen by Borrower subjeM to approval by Ixnder, 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 1 not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. - All insurance policies and renewals thereof shall be in form acceptable to !.ender and shallinclude a standard mortgage clause in favor of ! and in form acceptable to Lender. Lendershall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to i,enda all renewal notices and all receipts of paid premiums. In the event of loss, Borruwec 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 ernnomically feasible or if the security of this Mortgage would be impaired, the insurance proceeds shall be applied to the soma secured by thin Mortgage, with the excess, itany, paid to Borrower. If the Property is abandoned by Borrower, or 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 inanranee benefits. Lender is authorized to rnl1eM and apply the insurance proceeds at Lender s option either to restoration or repair of the Property or the sums secured by this Mortgage. t Unless Lender and Borrower otherwise agree in writing, any such a pplication of prreeeda to principal shall not extend or postpone the due date of the monthly inataUments 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 tiom damage to Property prior to the sale or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. ' 6. Preservation and Maintenance of Property; Leaseholds; Condominums; Planned Unit Developments. Borrower shall keep ~ the Property in good repair and shall not rnmmit waste or permit impairment or deterioration of the Property and shall comply with the ~ provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is nn a unit in a condominium or a planned unit development, f I Borrower shall perform all of Borrower a obligations under the declaration or covenants creatingor governing the rnndominium or planned unit development, the by-laws and regulations of the condominium or planned unit development, and rnnstituent documents. If a ~ condominium or planned unit development rider is executed .by Borrower and recorded together with this Mortgage, the covenants and t agreements otsuch rider shall be incorporated in to and shat l amend and supplement the covenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection of Lender's $ecurity. If Borrower fails to per[orm the oovenante and agreements contained in this Mortgage. or if eny E action or proceeding is commenced which materially affcrts Lender s interest in the Property, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option,npon notice to Borrower may make such appearances, disburse such sums and*take such action as is necessary to protect Leader's interest, including, but not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage inanrance as a condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such insurance in effect until each time as the requirement for such insurance terminates in accordance with Borrower's and Lender's written agreement or applicable Law. Borrower shall pay ~ the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof. ( My amounts disbursed by Lender persuant to this paragraph 7, with interest thereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, ouch amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payable from time to time on outstanding principal under the Note unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing rnntained in this paragraph 7, shall require Lender to incur any expense or take any aMion hereunder. a~~K 314 PacE 2434 _T~ - -