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HomeMy WebLinkAbout1975 _ " ~ ' ~j t j i Borrows and Loader covenant and agrw u folbws: 1. Payment of Principal sad Interest. Borrower shall promptly pevy when des the prindpd of and interest oa the indsbtedaea avWenod by the Note, prepayaneat and late charges as provided in the Note, and the prindpd land interest on any Eaters Advaaoes secured by this Maetgage. Plinds for Tares and Iasuranos. Snbjed to applicable law or to a wdttea waiver by Lender, Borrower shall pay to Lender on the day moathiy irsetallmeata of principal sad interest are payable under the Note. until the Note is paid in full. a sum (herein "Fhnds'~ equal to ons• twelfth of We yearly lass sect assessments which may attain priority over this Mortgage. and ground Hats on the Property. if any, glee ona• twelRh of yearly premium inetallsaeats for hasard irsenraace, pins onstwdith of yearly premium installnnerits for mortgage iruuranoe. frsay. all v reasonably estimated initidly and from time to time by Leader on the basis of saeamerits and biW and reasonable estimates thereof TM Fonds shall bs held is an iastitntioa the deposits or aoconnts of whirls are insured or guaranteed by a Federal or State ageaq (iadading Leader it Leader;. such an institution). Leader shall apply the Fends to pay said fazes. assewmsnta, iruaranee premiums sad ground rants. Lends mqr not charge far so holding and applying the Fonds. analysing said soonest, or verifying and compiling said assessments and bills, unless Lender pays Bsrower interest on the Fends and applicable law permits Leads to make such a charge. Borrower and Lender may ogres in wilting at the time of s:ecntion of this Mortgage that interest on the Fends shall be paid to Borrower, and Helen such agnsmsut is made or appiia~bls law regnires such interest to be paid, Lender shell not be required to pay Borrower any interest or earnings on the Fends. Erects shall give to Borrower, without charge. sn annual aooounting of the Fends showing credits and debib to the Fends sad the purpose for which each debit to the Funds was made. The Fends are pledged sa addidonal secm3ty for the enrol secured by this Mortgage. Uthe amoant of the Funds hdd by Leader, together with the Eaters monthly installments of Funds payable prior to the due dates of lases, assesomwb, innaaace premiums and ground rents. shall e:oeed the amount required to pry said tales, assessments. insareusoe premiums and gronad rents w they fall due. such a:Dees shall be, at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Fends held by I.snda shall not be suffident to pay tares, asaessanerits. insurances premiums and ground rents as they fall due, Borrower shall pe~}? do Leader aqY amount nedbpary to imalce rep the defideacy within 30 days from the date notice is mailed by Lender to Borrower requesting payment thereoL - Upon payment in fell of sU sums secured by this Mortgage. Larder shall promptly rpiw?d to, a~? funds held by Lender. If ender paragraph 18 hereof the Property is sold or the Property is odserwise aoquiied by Lander. Leader' ~ sppljr, no later than immediately prior to the sale o[the Property or its aogniaition by Lender, any Fnndshdd by Leaderat tht{tie~e ofappli~alioh as a credit against the sums second by this Mortgage. . 3. Application of Payments. Unless applicable law provides otherwise. all payments received by Lauder ender the Note and panigraphs 1 sad 2 henaf shall be applied by Leader first in payment of amounts payable to Lender by Borrower ender paragraph 2 hereof they to interest payable on the Note, then to the. principal of the Note, and then to inteceet and principal on any Fatare Advaneee. 4. Charges; Liens. Borrower dull pay ell tares, assessments and odser charges. fines and impositions attributable to the Property which may attain a priority ova this Mortgage, and leasehold payments err ground rents, if any. in the manner provided ands paragraph 2 hereof or. if not paid in each manna. 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 is the event Borrower shall make payment directly. Borrower shall promptly famish to Lends receipts evidencing such payments. Borrows shall promptly discharge any lien whid? has priority over this Mortgage: provided, that Borrows shall not be required to discharge any such lien so kung 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 contest each lien by, or defend enforcement of such Gen in, legal proceedings which operate to prevent the enforcement of the Gen or forfeiture of the Property or any part thereof. 5. Hasard Irusrranoe. Borrows shall keep the improvements now esiating or hereaRes erected on tbe Property insured against toes by fin; hazards indaded within the term "extended coverage," sad such other hasarda as Lender may require and is such amounts and for such periods as Lender may nq~ Provided, that Lender shall not require such coverage amount a:seeding the minimum. as may be required by state or federal tegnlations governing activities of Lender, ar that amoant of coverage required to pay the sums secured by this Mortgage, whichever is the greater. The insurances carrier providing the insurance shall be chosen by Borrows subject to approval by Lender. provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid is the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrows making payment. when due, directly to the Insurance carrier. All insurance policies and renewals thereof shall be in form aeceptable to Lender and shall inducts 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 ~ i.ends all renewal notices end all receipts of paid premiums. In the event of lass, Borrower 41sa11 give prompt notice to the insurance carrier E and Leader. Lends may make proof of loss if not made prompdy by Borrower. Unless Leader and Borrower oWswise agree in writing, inanranoe 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 sot thereby impaired. If such restoration err repair is not economically feasible or if the security a[ this Mortgage would be impaired, We insurance proceeds shall be applied to the sums secured by thin Mortgage. with the esoess, if any. Paid to Borrower. Hthe Property is abandoned by Borrows. orif Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that We insurance carrier offers to settle a daim far insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair aT the Property or the same secnr+ed by this Mortgage. Unless Lender and Borrower otherwise agree is writing, any anch application of proceeds to principal shall note:tend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change dse amount ad each installments. Tf Hader paragraph 18 hereof the Property is acquired by Lender, sD right, title and internal of Borrower iu and to any inanrauce policies and in and to the proceeds thereof resdting frrom damage to Property prior to the sale or sogaisition shall pass to Lauder to the aslant of the sums secured by this Mortgage immediately Prior to such sale or aognisitian. 6. Prerervsdon and Maintenance of Property; Leasehohis; Condominnms; Planned Unit Developments. Harrower 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 say lease if this Mortgage is on a leasehold. If this Mortgage is on a unit ins a condominium or a planned unit development, Borrower shall perform all of Borrows's obligations under else declaration or covenants creatingor governing the condominium or planned Wait development, the by-laws and regulations of the condominium or planned unit development, and constitnarit documents. If a oondominiam err planned unit devebpmeat rider is e:ecated by Borrower and recorded together with this Mortgage. the covenants sad agreements of each rids shall be incorporated into and shall amend and snpplenuent the covenants and agreements of this Mortgage w if the rider were a part hereof 7. Pe+otedion of Lender's Seenrity, Tt Borrows fails to psfarm the covenants and agreements contained in this Mortgage, or ff any action or proceeding is ooaam~soed which materially affects Leader's interest in the Property. inducting. bet not limited to, eminent domain, insolvency, code enforoeonent, or arrangements or proosedirsgs involving a bankrupt or decedent, then Lender at Lender's option,apon no~tioe to Borrower many make such appearances. disburse each same and take such action as i. necessary to protect Lender's interest, iadnding, but not limited to. disbarseaseat of reasonable attorney's fees end entry upon the Property to make npsirs. If Lender required mortgage inenranoe a. a condition of making the loan secured by this Mortgage; Borrower shall pay the premiums required to maintain each inenraaoe in affect natil such time w the regaireesent for such insurance laminates in sooordanoe with Borrower's and Lauder's written agreement or applicable Law. Borrower shall pay the amount of all mortgage iasaranoe premiums in the manna provided ands paragraph 2 hereof. Any amounts disbursed by Lends pennant to this Paragraph 7, with interest ther+eon, shall become additional indebtedness of Borrows secured by this Mortgage. Unless Borrows and Lender agree to other lama of payment, each amounts shall be payable upon notice from Landes 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 ands-the Note nukes payment of interest at each rate would be contrary to applicable law, in which event sash amonnb shall bear interest at the highed rate permissible nods applicable low. Nothing contained in this paragraph 7. shall regmre Leader to incur any ezpense or take any action berarmder. - g~»x 315 PA~E1972 ~ ~