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HomeMy WebLinkAbout0004 r _ t _ a!i!: "1 ~ ' ~ - ~ ~ 'j UNItrORld ()ov>da~?tsts. Borrower sad Ltxtder caveaant and ogres s: fOUows: h, )tiprtrrsy d ghdaellgd atN IaNrM. Borrower shall pron?Ptiy PaY whZn due the principal of aril interest on the indebtedness evidetroed-by the Note, ptepaytaeat and late charges as provided in the Note. and the principal of and interest on any Future Advance: sttetrred-by this Mortgage. i llri ter 1Ltw ari Itt~aaet. Stirbject to applicable law sir to a written waiver by Lender, Borrower chap Pay to Leader on the day monthly installments of principal and interest arc. payable under the Note, until the Note is paid in toll. a soot (herein "Ftrads'~ equal to ortc-twelfth of the yearly taxes and assastnatt: which may attain priority over this -Mortpge, and gn~ougd rents on tht: Property. if any. plus one-twelfth of ytiarlli.prcmium instalments for heard insurance. plus one-twelfth of yearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and from- d_irte to time by Leader oa the basis of assessments and hills and reasonable estimates thereof. 1Le Fund shall be held-in an institution the deposia or accounts of which arc itaucad or guaanteed by a Fsderal otr slate agency (including Cruder if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assasmatts. irs~uaaoe peerniums and ground rents. i_ender may not charge for so holding and applying the Flrnds. anatyting said account, or verity'rng_srrd corrrpiliag said assessments and bilk, unless Leader pays Borrower interest oa the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agt+ee in writing at the time of execution o[ this Mortgage that iotetat on the Ftrads shall be paid to Borrower. and unless such a~roement is made or applicable law roquttes such interest to be paid. Under shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual aooounting of the Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the wms secured - this M ~ TE the amount of the Funds heW by! Lender. together with the future monthly installments of Funds payable prior to the due dates of taxes, assessments. imurantx premiums and ground rents, shall exceed the amount required to pay said taxes. saemments. iasuraooe premiutm and ground rents as they fall due. such excess shall be, at Borrower's option. either prempNy repaid to Borrower a credits! to Borrower on monthly installments of Funds. If the amount of the Funds bdd by I.ardershall not be wtficdeat to pay tortes, assesstrrratts. insurance praaiums and ground rents as they fall due, Bonvwer:bap pay to Leader any arnouat necessary to make up the deficiency within: 30 days from the date notice is mailed by Leader to Borrower requesting payment thereof. - Upon payment in fop of ap sums secured by this Mortgage. Lender -:hall promptly refund to Borrower any Funds heW by Leader. If under paragraph 18 hereof the Property is sdd or the Property u otherwise acquired by Lender. Lender shall apply, no later than immediately prior to the :ale of the Property or its acquisition by Larder. any Funds held br Lauder at the time of application a a credit against the sums securer) by this Mortgage. 3. A~iitatiga d Iayreala. Unless applicable law provides otherwise. all payments received by Lender under the Note sad paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower ' under paragraph 2 hettof: rhea to interest payable oa the Note. then to the principal of the Note, sad then to interest and prinapal oa nay Future Advances. 1. Cranes; Liens. Borrower shall pay all taxes, assessments and other charges. fines and impositions attributable to the Property which tnay attain a priority over this Mortgage. and leasehold payments or ground rents, if any, in the manner provided under puagraph 2 hereof or, if not paid in such manner. by Borrower making paymatt, when due, directly to tht: payee thereof. Borrower :ball promptly furnish to Lender all notices of amounts due under this paragraph, sad is 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 sill not be required to discharge any such lien so bog 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 rnntest such lien by. or defend enforcement of such lien iq legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S. Hmra Iwraiee. Borrower shall keep the improvements now existing or hereafter eructed on the Property iawred , against loss by fire, hazards included within the term "extended coverage", and such other ho=ards as Lender may require sad in such amounts and for wch periods as Lender may require, provided. that Lender shall not require that the amount of ~ such rnverage exceed that amount of coverage required to pay the sums secured Eby this Mortgage. f "Ilea incurat~ce carrier providing the insurance shall be chosen by Borrower subject to approve! by Lender; provided. that such approval shall not be unreasonably withheld. All premiums on inwrance policies shill be paid in the manner provided under paragraph 2 hereof or. if -not paid in such manner, by Borrower making payment, when due, directly to the inwraace 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 shall have the right to hold the policies and renewals thereof, and fforrowcr shall promptly furnish to 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 loss if nut made promptly by Borrower. _ Unless Lender and Borrower otherwise agree in writing.snsurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restoration or repair is economically feasible and_the security .'f this Mortgage is - not thereby unpaired. If such restoration or repair is not economically feasible or if 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 is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days fr:.-n the date notice is mailed by Lender to Borrower that the insurance carrier-offers to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance procceds at Lender's option either to restoration or 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 1 and 2 hereof or change the amount of ~ such installments. If under paragraph 18 hereof the Property is acquired by Leader, all right, title and interest of Borrower id sad to any Itrsurance policies and in and to the proceeds thereof resulting from damage to the 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. rreserralio~ and fWaintenaace c?f Property; Laa9eholds; Condominiums; Planned. Unit Devdopmeats. Borrower shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property aqd 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 chat) 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. If a condominium or planned~trnit de+elopment rider s executed by Borrower and recorded together with :his 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. 7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage. or if any action or proceeding is commenced which materially affects Lenders 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 Lendei s option, upon notice to Borrower, may make such apptarances, disburse such . sums and take such action as is necessary t~~ protect Lenders interest. including, but not limited to, disbursement ~f reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as r condition of making the -loan securPJ by this titortgage. Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such insurance iermtnates in accordance with Borrower's and • s• t ~ _