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HomeMy WebLinkAbout2792 Borrower and Lender covenant and agree as follows: , 1. Payment of Prinelpal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebtedness avldenoed by the Note, pr~psyment and late charges a• provided in the Note, and the principal of and interest on any Futuse Advances secured by this Mortgage. I+ttnda for Tszes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to Lender on the day monthly inatallmenb of principal and interest are payable under the Note, until the Note is paid in full. a sum (herein "Funda'7 equal to ores twelfth of the yeelrly taxes and assessments which may attain priority over this Mortgage, and ground renb on the Property, if any, plus one• twelfth of yearly premium installments for hazard insurance, plus onetwelRh ofyearly premium installments for mortgage insurance, if any, ell as reasonably estimated initially and tkom time to time by Lender on the basis of aseesaments and bills and reasonable estimates thereof. The P'ands ohaq bs held in an iastitntion the deposits or eoeonnts of which are insured or guaranteed by a Federal or State agency (inducting Lender if Lender is such an institution). Lender shall apply the Funds to pay said tares, assessments, insurance premiums and ground rata. Lender may not charge far so holding and applying the F1mds. analysing said account, or verifying and compiling said assessments and bi14, unless Lender pays Borrower interest on the Funds and applicable law permits bender to make such a charge. Borrower and Lender may ogres in writing at the time of execution of this Mortgage that interest on the Inds shall be paid fo Borrower, and unless such agreement is made or appUcable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest os earnings on tTie P1mds. Lender shall give to Borrower, without d?arge, an annual aeoounting of the Fonda showing credits and debits to the Fends and the purpose for which each debit to the Fonds was made. The Fonda are pledged as additional security for the sums secured by this Mortgage. ; If the amount of the I'Lnda held by Lender, together with the futon monthly installments of Funds payable prior to the due dates of lases, aasessmen4, insurance premiums and ground rents, shaA exceed the amount required b pay said tares, assessments. insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly installments of P1~nds. If the amount of the Funds heW by Lender shall not be sufficient to pay lases, asseasmenta, insurance premiums and ground rents as rosy fall dos, Borrower shall pay to Lander any amount necessary to make up the deficiency within 30 days from the date notice is mailed by bender to Borrower requesting payment thereof. Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any funds heW by Lender. If under paragraph 18 hereof the Property is Bold 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. anyrl~nds held by Lender at the tune of application as a credit agaiwt the some secured by this Mortgage. 3. Application of Payments. 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, thro to interest payable on We Note, then to the principal of We Note, and then to interest and principal on any Future Advances. 4. Charge~a; Liens. Borrower shall pay all taxes, seeesaments 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 hereof or, if not paid in each manner, by Borrower making payment, when due, directly to the payee thereof. Borrowerahall 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 overthia 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 good faith rnnteat such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeitare of the Property or any part thereof. 5. Hazard Insurance. Borrower shall keep the improvements now euiating or hereafter erected on the Property insured against loss by fire, hazards included within the term "e:leaded: coverage," and such other hasarda as Lender may require and in such amounts and for such periods as Lender may regnirt; provided, that Lender shall not require sud? coverage amount exceeding the minimum. ae may be required by state or federal regulations governing activities of Lender, or that amount of coverage required to pay the soma secured by this Mortgage, whichever is the grater. The insurance carrier providing the insurance shall be chosen by Borrower subject to approval 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 each manner, by Borrower making payment, when doe, directly to the insurance carrier. All insurance policies and renewals 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 shat: have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish b 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 toes if not made promptly by Borrower. _ Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or npair.of the Property 'i damaged, provided arch 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 world be impaired, We insurance proceeds shall be applied I to the sums secured by this Mortgage, with the ezoess, if any, 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 insurance benefits, Lender is aathorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the saws secured by this Mortgage. Unless bender and Borrower otherwise agree in writing, any arch application of proceeds to principal shall not estend 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 ender paragraph 18 hereof the Property is aegnired by Lender. all right, title and intee+eet of Borrower in and to any insurance policies end in and to the proceeds thereof resulting from 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; Condominnms; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit 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 on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration or covenants creatingor governing the oondomininm or planned unit development, the by-laws and r+egalations 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 shall amend and supplement the rnvenants and agreements of this Mortgage as ifthe rider were a part hereof. ~ 7. Protection of Lender's 8eenrity. If Borrower fails to perform the covenants and agreements contained in this Mortgage, ar if arty action or proceeding is commenced which materially affects Lender a interest in We Property, inducting, but not limited to, eminent domaiq [ insolvency, code enforcement, or arrangements or proceedings involving a bankrupt os decedent, then Lender at Lenders option,npon notice to Harrower may make such appearances. disburse arch sums and tales such action as is necessary to protect Leaders interest, indoding, bat not limited to. disbursement of reasonable attorney's fees and entry upon the Property to make re <s pairs. If Lender required mortgage insurance as a condition of making the loan secured by this Mortgage, Borrows shall pay the premiums required to maintain I each insurance in effect until such time as the requirement for such insurance terminate in accordance with Borrowers and Lenders written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manna provided ender . paragraph 2 hereof. Any amounts disbursed by Lender persuant to this paragraph 7, with interest thereon. shall become additional indebtedneea of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such 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 5rom s time to time on outstanding principal ender the Note unless payment of interest at each rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permiasihle under applicable law. Nothir?g contained in this paragraph 7, shall require Lender to incur any expense or take any action hereunder. ° ao~X3~~ ~acE~ ~oJ _ _