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HomeMy WebLinkAbout0884 UNIFORM COVENANTtt. Borrower and Lender covenant and agra as follows: 1. Pta>•ewt of PtriaclMl ttrti INerast. Borrower shall promptly pay when due the principal of and interest on the indebtedness eviderttxd by the Note, prepayment and late charges as provided in the Note, and the principal of and interest on any Future Advances secured by this Mortgage. r 2. Ftttttttla for Ttnta ante lrttrs~ca Subject to applicable law ur to a written waiver by Lender. Borrower shall pay to Lender on the day monthly installments of principal and intcrest arc payable under the Note, until the Note is paid in full, a stun (herein "Funds") equal to one-twelfth of the yearly taxers and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly prcmittm installments for hazard insurance, plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lender on the basis of assessments and hills and reasonable estimates thereof. 'the Funds shall bt held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or state agency (including Lender it Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments. insurance premiums and ground rents. lender may not charge for so holding and applying the Funds. analyzing said account, or veri[ying and compiling said assessments and bills, 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 at the time of execution of this Mortgage that interest on the Funds shall he paid to Borrower, and unless such agreement is made or applicbble law requires such interest to be paid. Lender shall not be required to pay Borrower any interest 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 each debit to the Funds was made. The Funds arc pledged as additional security [or the sums secured by this Mortgage. . If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due data of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes, assesuttents, insurance premiums and ground rents as they fall due, such excess shall be, at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sttd6cient to pay taxes, assessments, insurance premiums and ground rents as 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 Lender to Borrower requesting payment thereof. Upon payment in full of all sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Lender. It under paragraph 18 hereof the Property i~ sold or the Property rs otherwise acquired by Lender, Lender shall apply, fro later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. Application o[ Payuteets. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances. 1. Charges; Liens. 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. rf nut 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 shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to drscharge any such lien so long 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 such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the teen or forfeiture of the Property or any part thereof. S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included withrn the term "extended coverage", and such other hazards as Lender may require and in such amounts and for such periods as fender may require; provided, that Lender shall nut require that the amount of such coverage exceed that amount of coverage required to pay the sums secured ~by this Mortgage- The !nsurance 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 shat) be paid in the manner i 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 he 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 Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shall gne prompt notice to the insurrnce carrier and lender. Lender may make proof of loss if not made promptly i by Borrower. ~ Unless Lender and Borrower otherw,u agree in writing, insurance proceeds shall be applied to restoration or repair of the Property Damaged, provrded such restoration or repair is economically feasible and the security of this Mortgage is not thereby imparred. If .tech restoratron or repair is nut 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 rs abandoned by Burrower, or it Borrower fails to respond to Lender within 30 days from the date notice !s mailed by Lender to Borrower that the insurance carrier otters to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this Mortgage. Unless Lcndcr and Burrower others+!se agree m venting. any such application of proceeds to pnnerpal shall not extend or postpone the due date of the monthly inslalhnents .steered to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 1 K hereof the Property is acyutred by Lender, all right, title and interest of Borrower in and to any htsurance policies and in and to the pnx:eeds thereof resulting from damage to the Property prior to the sale z or acquisition shall pass to Lender to the extent of the sums secured b}• th!s Mortgage imrediately prior to such sale or acquisition. 6. Preservation and Maintenance of Property: Leaseholds; ('ondominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease !t this Mortgage rs tin a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower shell perform all of Borrower's obligations under the declaration or covenants creating or g++vermng the ctmdomrmum or planned unit development, the by-laws and regulations of the condominium or planned unit deseiuprnem. end constituent documents. If a condominium or planned unit development rider is executed h}' Borrower and recorded together with this Mortgage. the covenants and agreements of such .rider ~ shall be incorporated into and shall amend and supplement the cosenants and agreements of this Mortgage as if the rider were a part hereof. Y 7. Protection of Lender's Security. If Br+rn,wer fads to perform the covenants and agreements contained in this Mortgage, or tf any action ur .proceeding rs commenced which materially a(tecK Lender's interest in the Property, including. but ma Irmrted to. emurent dom:un. ms,~lvcnc}. c~xlr enforcement. or arrangements or proceedings invulvmg a hankni t or decedent, then Lender at 1 ender'. n Iron, u m notice to Borrower, mad make such a P P fx ppearances, dishune such sums and take such ectiun a. is rases»an t.+ protect Lender's interest, mclnding. but not limned to. dabutsement of reasonahle eth+rney's fees and entry upon the Pmpertc to make repairs. 1t Lender required mortgage insurance as a condition ++f rnakmg the loan secured h} thn Mortgage. ff++rrowrr shall pay the premiunn required to maintain such insurance in effect until such terns .is the reyurrentent for ,uch mwrance terminates m .recordance with Born+wer's and . ~-.''-~Y 3.~8 ~~~F