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HomeMy WebLinkAbout0439 . .rr~ .[:c . UxtroRra Covtrtatrrs.- Borrower and Lender corcnaat and sg:YC as follows: - 1. ti'aymeat of Prladpal sad Interest. Borrower shall promptly pay when due ehe principal of and interest on the indebtedness evidenced by the Note. prepayment and late charges as provided in the Note, and the principal of and inter- eu on any Future Advantxs secured by this Mortgage. ~ tFltads for Taxes and Iasuraace. Subject to applicable Lw or to a written waive by Lender, Borrower shall pay to Lendu oa the day monthly instrJLnents of principal sad intttest are payable undo the Note, until the Note & paid in full. a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which tray attain priority over thin • Mortgage, and ground rents on the Proputy. if say, plus one-twelfth of yearly premium installments Eor hazard insunnoe. plus oaetwelfeh of yearly premium ituulhnenu Eor mortgage insurance. if any, all as reasonably estimated initially and try time to time by Lender on the basis of asxsstnents and bills and reasonable euimata thutof. The Funds shall be held in an irr:titution the deposits or aoeounu of which are inwred or guaranteed by a Federal or ~ state agency (induding Lendu if Lender a wdt an institutions Lends slrall apply the Funt4 to pay said take:. asxssments, insurance premiums and ground rents. Lendu may not drarge for so balding and applying the Funds, analyzing said as count. or verihiag and compiling said assessments and bills, artless Leader pays Borrowu interest on the Fund:. artd sp• pliable law permits Lendu to make sudr a dtarge. Borrowu and Lendu may agree in writing at the time of execution of this Mortgage that interest on the Funds shall be paid to Bosrowu. acid unless wch agreement is made or appliabk law requires wch iatereu to be paid. Ltndu shall not be required to pay Botrowu any interest or earnings on the Funds. Lendu shall give to Borrower. without charge. an annual aorounting of the Funds showing trediu 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 cams secured by this Mortgage. If the amount of the Funds held by Lendu. togetltu with the future monthly inuallments of Funds payable prior to the due data of taxes, asxasments, insurance premiums and ground rents. shall exceed the ataount required to pay said taxes. asrasments, insurance premiums and ground rents as they fall due. wch excess shall be. at Borrowu's option, either promptly repaid to Borrowu or credited to Borrowu on monthly installments of Funds. If the amount of the Funds held by Lender shall not be wifiaent to pay taxes. assessments, insurance premiums and ground rents as they fall due. Botrowu shall pay to Ltndu any amount necessary to make up the defidency within 30 days from the date notice is mailed by Lendu to Borrowu requesting payment thereof. Upon payment in full of all sums secured by this Mortgage. Lender shall promptly refund to BorraRer any Funds held by Lendu. If undo pangnph 18 hereof the Property is sold or the Property is otherwise acquired by Lendu. Lendu shall apply. ito later than immediately prior to the-axle of the Property or its acquisition by Lender. any Funds held by Lendu at the time of application as a txedit against the sums secured by this Mortgage. 3. Applcntion of Paysnenb. Unless appliabk law provides otherwise, all payments received by Lendu undo the Note and pangnphs 1 and Y hutof shall be applied by Lender first in payment of amounts payable to Lendu by Borrower ender paragraph Y hereof. then to interest payable on the Note. then to the principal of the i+iotr, and thru to interest arjd principal on any Futtm Advances. 4. Gbarges; Liens. Borrower shall pay all taxes, assessments and othu chugea, 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 man- na provided undo paragraph 2 hereof or. if not paid in such manna. by Borrower making payment, when due. directly to the payee thereof. Borrowu 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 o~u this Mortgage; provided. that Borrowu shall not be re- quired to discharge any wch lien so long as Borrower shall.agree in writing to the payment of the obligation secured by such lien in a rnannu acceptable to Lender. or shall in good faith contest wch lien by. or defend enforcement of wch lien in. le- gal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Heard Insurance. Borrowu shall keep the improvements now existing or hereafter erected on the Property in- - wred against loss by fire, hazards included within the term "extended coverage", serf. such othu hazards as Lender may zN quire and in wch amounts and for such periods as Lender may require; provided, that Lendu shall not require that the amount of wch coverage exceed that amount of coverage required co pay the sums secured by this Mortgage. The insurance carrier providing the insurance shall be chosen by Borrowu wbject to approval by Lender. provided, ~ that cacti approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manna provided under pangnph Y hereof or, if n_ot paid in such manna, by Borrowu making payment, when due. directly to the insurance arriu. All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mort- gage clause ip fasror of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shill promptly furnish to Lendu all renewal notices and all receipts of paid premiums. In the event of loss, Borrowu shall give prompt notice to the insurance arrier and Lender. Lender may make proof o[ loss if not made pmmpdy by Borrower. Unless Lender and Borrower otherwise agree in writing, inwrance proceeds shall be applied to ratoration or repair of the Property.damaged. provided wch restoration or repair is economirally feasible and the security of this Mortgage is not thereby impaired. If wch ratoration or repair is not economically feasible or if the security of this Mortgage would be im- paired, the insurance proceeds shall be applied to the sums secured by this 1?iortgage, with the excess, if any, paid to Bor- rowu. If the Property is abandoned by Borrowu, or if Borrov?u fails to respond co Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance arrier offer to settle a claim for inwrance benefits, Lendu is authorized to collett and apply the insurance proceeds at Lenders option either to restoration or repair of the Property or to the sums secured by this Mortgage. Unless Lendu and Borrowu otherwise agree in writing. any wch appliation of proceeds to principal shall not extend or postpone the due dace of the monthly installments referred to in paragraphs 1 and 2 hereof or drange the amount of wdr installments. If under paragraph 18 hueof 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 rauleing from damage to the Property prior to the sale or acquisition shall pass to Lendu to the extent of the sums secured by this Mortgage immediately prior to wch salt or acquisition. 6. ~Prpervation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Ikvelopments. Borrowu shall keep the Property in good repair and shall not commit waste or permit impairment or detuiontion of the Property and shall comply with the provisions of any lease if this Mortgage is on a leasehold. IE this Mortgage is on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations undo the dedantion or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the rondo- minium or planned unit development, and constituent documents. If a condominium or planned unit development rider is executed by Borrower and recorded togethu with this Mortgage, the covenants and agreements of wch rider shall be in- corponted into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection of Lender's Secnriq. 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, insolvenry. code enforcement, or amngements or proceedings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make wch appearances, disburse wclr sums and take such action as is necessary to protect Lender's interest, including, but not limited to, disbursement of reasonable attorn s Tea an~entry upon perry to ma-i a repairs-7fTx - er~ requrr mortgage rnsurance as a conditron~f making the loan secured by this Mortgage, Borrower shall pay the pre~Aiums required to maintain wch insurance in eE fee until wch time as the requirement for such insurance terminates in accordance with Borrower's and Lender's written em PIb'E