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HomeMy WebLinkAbout1267 _ i 1 - , i / ~ 4 ~ ~ Ut+ttROUSt C7ovtartxrtrs. Borrower sad Lender covenant and agree a: fdkwvs: li. >hyweat et lriacl~al a~i IMerat. Borrower shall promptly psy when due the principal of sad interest on the intbbtedness evidenced by the Note. prepaytt+tent and Isle charges ac provided in the Note, and the principal o[ sad iater+at oa say Frdute Advance secured by this Mortgage. L >lt+wi ter Tsons toll i~attrtret. SubjeM to applicable Isom ar to a written waiver by Lende?, Horroaer shall wy to Lender on the day monthly installments of prirtcipsl and interest arc. payable under the Note. until the Note is paid ia, fuU, a soar (herein "Fuads'~ equal to oaatwelfth of the yearly tsx~~s and assessments which may strata priority over this Mortgage, and groturd rents nit the Property. if any, plus one-twelfth d yesrty~ premium itrstalltnents for hazard insurance. plus oaatwelfth of yearly premium installments for mortgsge insurance, if any, all as r+essonably estimated initially and from time to time by Leader on the basis of assessments and hills and reasonable estimates thereof. 'Ilre Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal otr state agency (including Leader if Lender is such an institution!. !.ender shall apply the Funds to pay said taxes, assessments. iawraace premiums and ground rents. Lender may not charge far sa holding and applying the Frrnds, analyzing said account, ' or verifying.artd compiling said assessments and bilk. unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agree in writing -al the time of execution of this Mort~aga that interat on the Funds shall be paid to Borrower, -and unless such agreement is made or applicable !aw regalia strclt interest to be paid, Lender stall not be required to pay Borrower any interat or earnings on the Funds. Lender shall give to Borrower; without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which ae6 debit to the Funds was made. The Funds arc pledged as additional security for the sums secured by this Mortgage. Tf the amount o[ the Fuada held by Lender, together with the future monthly installments of Funds payable prior to s the dae dates of tsxe~s, asseaameats, insurance premiums and ground rents, shall exceed the amount required to pay said taxes, as+eatmeata, imucarroe premiums and ground rents as they tall due, such excess shall be, at Borrower's option. either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds 6dd by Leader shall not be sufBcieat to pray taxes, assasmcnts, insurance premiums and ground rents m they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Leader to Borrower requesting payment thereof. Upoa payment lit fuU of all somas secutod by this Mortgage, Lender shall promptly refund to Borrower any Funds held by Lander. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender, Lender shall apply, no later than immediately prior to the ask of the Property or its acquisition by Lender, any Funds held by Leader at the time of-applicatioa as a credit against the sums secured by this Martgsge. 3. A o[ Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shalt be applied by Lender first in payment of amounts payable to Lender by Borrower - uttder paragraph 2 hereof, then to interest payable on the Note.-then to the principal of the Note, and then to interat and principal on any Future Advances. - 4. Ciargfs; Elites. Borrower shall pay all taxes, assessments and other charge, fine and impositions attributable to the Property which may attain a~priority over this Mortgage, and leasehold payments or ground ;tots. if any. in the manner t provided under paragraph 2 hereof or, if not paid in such manner, 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 in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shat! promptly discharge any lien which has priority over this 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 accxptable 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 [orfeiture of the Property or any part thereof. S. lffassrd lastrrttatree. Borrower shall keep the improvements now existing or hereafter erected on the Property insured - ~ against loss by fire, hazards included within the term "extended coverage and such other hazards as Lender may require and in such amounts and for such periods as Lender may require; provided, that Lender shall not esquire that the amount of such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage. ~ 7Tx 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 such manner, by Borrower making payment, when due. directly to the insurance carrier. All insurance policies and renewals thereof shall be in form acceptable to Lender and shat! include a standard mortgage clause in favor of and in forth acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shat! give prompt notice to the insurance carrier and Lender. Lender may-make proof of hiss if not made promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to relocation or repair of the Property damaged, provided such 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 would. be impaired, the insurance proceeds she!! 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 from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authoriztd to collect and apply the insurance procteds at Lender's option either to restoration or repair of the P~openv 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 l8 hereof the PreF,erty is acquired by Leader. all right, title and interest of Borrower in and to any Insurance 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. 1Preservatioa sad Maintenance of Property; Leaseholds; Condominiums; Planned Unit Devekpments. 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 Borrowers obligations under the declaration i or covenants creating or governing the condominium or planned unit development, the by-laws and regulations o: the condominium or planned unit development, and constituent d~uments. 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 covenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection of Lender's Seeurlty. If Borrower fails tc. 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 appearance, disburse such sums and take such action as is necessary to protect Lenders interest, including, but not limited to, disbursement of reasonable attorney's fees 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 eBect until such time as the requirement far such insurance terminates in accordance with Borrowers and 8U~3i7` p~cE1~~65