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HomeMy WebLinkAbout0062 ' ; i,. Urrtrolut Cbvst+ants. llosmwrr and Leader covenant and agree ss follows: ' L Tuymwt et TtieMl tttatt IttAereet. Bore~owsr shall promptly pay when due the principal of std interest oa the indebtedrrae evidenced bt? the Note, ptutpaynreat aril late charges as provided in the Nola. aed the prirrtdpal of aril inlereq • oa gay Future Adv~aoea secured by this INortgap. - 3. >l~tnie 1K~'lbalae all teerea~e._ Subject to tipplicabk law or to • written waiver by Ltmder. Bonoersr trhaU pay lD 1!.eader oa the day montMy installments of principsl and interest are. psyabb under the Note. trMil the Note a paid m full. a twat (Itarein "Fturds'~ egwl to~ one-twelfth of the yearly taxes and asstntments which taay attain priority over the Morlage, and gratrtd testa oa the Property. it any. plus one-tweltth of yesrt~i' pr+eitbium irf:ullrnena for hazard instusaoe. ' plus ooe•twdtth of yearly preatium installments for anortgsge instrnnoc. if any. all ss reasonably estimated initially and tram lima tD time by Leader an the basis of sssossments aril hilh; and reasonable estimate: thereof. 7be Funds shall ba held in ao institwion the deposi4 or accouna of which are Insured or guaranteed by a Federal or stall agency (iadtding Idptder iElrarder is wch an institution). Lender:lrall apply the Futile to pay said taxes, assaanrena. iaptnooe ptetMtttta gad grand rents. Laden may not charge for so holding and applyins the Frtnds, analyzing said aoeouM. or verityiag_aad oompilitrg said assastrrent: and trills. unless larder pays borrower interest oa ine Fuinis grid applicaldc law petunia Lender to make such a charge. Borrower gad Lender may agree in writing at the time of execution o[ this Mortgage that interest oa the Fund: shall be paid to Borrows. and unless such agreement is made or applicable law requires such intaest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender :halt give to Borrower, without char>De. an annual aooouritinj of the Funds :!towing credits and debits to the Futrds gad the purpose for which esch debit to the Funds was made. 'ilre Funds are pledged as additional security for the wms stecurod by this Morfpta. , 1;E-the antoertt of-tire 1Puads-held by Lender. togeber..with th4 future taoathly installments"ot_Fynd~payabk prior to _ the due dates of taxes, asaeurneats. irrsuranoe premiums and ground rents, shall exceed the amount required to pay said taxes, rwseesraeaa. 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 oa monthly installments of Funds. if the amount of the Funds heW by I.eadershall test be auBicieot to pay taxes, ass~unents. irnurarroe premiums and ground rents as they fall due. Hort+o~wer shall pay to Larder any amount aetxssary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower regtratins paliment thereof. Upon payaent is fuU of aU tangs secured by this Mortgage. lender :hall prompay refund . to Borrower any Funds held by Leader. If trader paragraph 18 hereof the Property is soW ce the Progeny n: otherwise acquired by Lender. Lender shalt apply, no later than imarediatdy prior to the sale of the Property or its acquisition by Lender, any Funds held by Leader at the time of spplicstion ss a crodit agaiast.the sums secured by this Mortgage. 3. _A~licathn_ ~t_l~reab,_ Unless _spplicable Isw provides_otherwise, all payments received by Lender under the Note gad paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower" troder paragraph 2 beeof. then to interest payable oa the Note. then to the principal of the Note, and then to interest and principal on any Future Advaooes. _ _ _ - 4, Granges; 1Lieas. 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 hereof or. if not paid in such manner, by Borrower making payment, when due. di to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, gad in the event Borrower shall make payment directly. Borrower shall promptly furnish fo Lender receipts evidencing such payments. Borrows' :>>all-pr~mptl~-a;:charges-,ray-ti~a-wh;~h_h>:_prort~o,~r._th;s ~ortgags~p~do~.~ttat_>~m~~ shall race b~ t+oquired to discharge any such lien so bug as Borrower shall agree in writing to the payment of the obligation secured by - such lien in s manner aceeptabk to Lender. 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. lfl<azard Iawta~ce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by Ere. hazards included within the term "extended coverage". and such other hazards ss Lender may require gad in such amounts and for such periods as Lender may require; provided. that Lender shall not require that the amount of such coverage exceed that amount of coverage required to pay the sums secured ~y this Mortgage. • The inwranoe carrier providing the inwrance shall be chosen by Borrower subject to approval by Lender, provided. - that such approval shill not be unreasonably withheld. All premiums on insurance policies shill be paid in the manner provided under paragraph 2 lrercof or, if not paid in such manner, by Borrower making paymatt, when due, directly to the E itnurance carrier. AU insurance policies and rennewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in favor of and in form tncoeptabk to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to Lender a{I renewal notices and all receipts of paid premiums. In the event of Mss. Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make pt~oof 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 ratoration or repair is economically feasible and th4 security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or i[ 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 u 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 itisut'arnce benefits, Lender r is authorized to collect and apply the insurance proceeds at Lender's option either to restoration of 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 I and 2 hereof or change the amount of such installments. If under paragraph t8 hereof the Property is acquired by Lender. all right, title and interest of Borrower in and to any Auurance pdicies and in and to the proceeds thereof resulting from damage to the Property prior to tlx: sale or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. - f. lreserva8on asd Maittteoance of Property;. Leaseholds; Condomioiumsy Planned Uoit 1Devebpmtals. Borrower shall keep the Property in good repair aril shall not comrpit yvaste or permit impairment or deterioration of the Property gad 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 creating or governing the condominium or planned unit development, the by-laws and regulations of the condominium or planned unit development. and constituent documents. I[ a condominium or planned unit devebptnent 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 covenants and agreements of this Mortgage as if the rider were a part hereof. Protection of Leader's Secnrtty. If Borrower fails to perform the covenants and agreements contained in this 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 enforcement, 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 to protect Lenders interest, including, but not limited to. disbursement of reasonable attorney's tees and entry upon the Property to make repairs. If Lender required mortgage insurance as a condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such - - insurance in effect until such time as the requirement for such ins~~uiirance terminates in accordance with Borrower's and ' BOO~~~U PAGE 62 .