Loading...
HomeMy WebLinkAbout2790 Borrower and lender covenant and agree as follows: 1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note, prepayment and latechargee as provided in the Note, and the principal of and interest on any t'ltture Advances secured by this Mortgage. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "F unda'"? equal to one- twelfth of the yearly taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, i[any, plus one• twelfth of yearly premium installments for hazard insurance, plus one-twelfth otyearly premium installments for mortgage insurance, if any, atl as reasonably estimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency (including (.ender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and Kcound rents. Lender may not charge for so holding and applying the Fonda, analyzing said account, or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law permits !.ender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mortgage that interest on the Fonda shall be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, (.ender 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 are pledged as additional security for theaums secured by this Mortgage. If the amount of the Funds held by (.ender, together with the future motlthly installments of Funds payable prior to the due dates of taxes, assessments, insurance premiums and ground rents, shall excaed the amount required to pay said taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Bo+TOwer's option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Fonda held by Lender ahPlt not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due, Borrower shall pay to (.ender 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, (.ender shall promptly refund to Borrower any funds held by (.ender. If under paragraph IS hereof the Property is sold or the Property is otherwise acquired by (.ender, (.ender shall apply, no 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 of Payments. 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 Nute, and then to interest and principal on any Future Advances. 4. 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 am•, in the manner provided under part+graph 2 hereof or, if not paid in such manner, by Burrower making payment, when due, direc•th• to the payee thereof- Borrowershall 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 (.ender receipts evidencing such payments. FIC?rr+?wer shall promptly discharge arrv lien which hus priority over this Mortgage; provided, that Borrower shall not be required todischarge any such lien w, IonK as Korn?wershall :+{;rcr in writing to the paymentof theobligation secured by such lien in a manner acceptable to Lt•nder, or shall in gc?cx1 faith eontc-st such lien by, ordefend enforcement of such lien in. legal proceedings which operate to prevent the enforcement of the lien or torfeitun• of the 1'n,pert}• ur anv part thercr,f. 5. Hazard Insurance. Borrower shall keep th+• imprc?vements now e•xistinK or hereafter erected on thc• Property insured against loss by fire. hazards included within the term "extendcxl 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 nut n•quire that the amount of such nn•erage e•xcee•d that amount of coverage required to pay the sums secured by this Mortgage. The insurance c•amer pruvidinK the insurance• sh:+ll ta• chosen by Burrower subjcY•t b. appnwal by I.e•nder: providcvl, that such approval shall not be unre:+sc,nably withheld. All premiums un insurance {Nrli+•i+•+.haU tK• paid in the manner pnn•idarl antler par.+graph'L hermfor, if rat paid in such manner, by {i?~rruwer making payment, when due, din•cth• h. the inwrance c:+rrier. All insurance policies and renewals thereof shall he in form acceptable to l.a•nder and shall include a standard mortgageclause in favorof and in form acceptable to Lender- Lendershall have the right to hold the policies and renewals thercc,f, and Borrower shall promptly furnish to +.ender all renewal notices and all receipts of paid premiums. in the event of loss, Burrower shall give prompt notice to the insurance carrier ~ and Lender. Lender may make pnK,f of loss if not made• prumpth• by Borrower. j Unless [.ender and Borrower otherwise agree in writing, insurance proceeds shall tx• applied to restoration or repair of the Property j damaged, provided such restoration or repair is ec•unumic•ally feasible and the securih• of this lllortgage is not thereby impaired- If such ~ restoration or repair is not en~nomically feasible ur if the sec urily of this Mortgage would be impaired, the insurance proceeds shall beapplied to the sums secured by this Mortgage, with the excess, if any, paid to 13c?rruw•er. If the 1'ruperty is abandoned by Borrower, or if Borrower fails to j respond to Lender within 3t1 days from the date notice is m:+ilc•d by Lender to Korn,wer that the insurance carrier offers to settle a claim for j insurance benefits, Lender is authoriu•d to c•ulla•c•t and apply the insurance prcx•ee•ds at Lenders option either to restoration ur repair of the 'r Property or the sums secured by this Mortgage. ~ Unless Lender and Burrower otherwise agree in writinK, any such application of proceeds to principal shall not extend or postpone thedue ~ date of the monthly installments referred to in paragraphs 1 and L herccrf or chanKe the• amount of such installments. If under paragraph 18 hereof the Property is acquired by [.ender, all right, title and interest of Burrower in and to any insurance policies and in and to the proceeds = thereof resulting from damage to Properly prior to the sale ur acyuasitiun shall pass to Fender to the extent of the sums secured by this Uortgage immediately prior to such sale or acquisition. I 6. Preservation and Maintenance of Property; leaseholds; ('ondominums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit w•;aste or permit impairment ur deterioration of the Property and shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is nn a unit in a condominium or a planned unit development, Burrower shall perform all of 13c?rruwer's obligations under the dec•laraiiun or covenants cn•atin{;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 I condominium or planned unit development rider is rxcruted by &?rrower and recorded tuKether with this Mortgage, the covenants and agreements of such rider shall be inrorpor.+tc•d into and shall amend and supplenu•nt thecovenants:mdagreements ofthis 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 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 Lender's interest, including, but not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required x mortgage insurance as a condition of making the loan secured by this 1ltortgage, Borrower shall pay the premiums required to maintain ; t such insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and Lendei a written agreement or applicable law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof. Any amounts disbursed by i.ender persuant to this par.+graph with interest thereon, shall become additional indebtedness of 3 Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from i.ender to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payable from time to time un outstanding principal under the Note unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 7, shall require Lender to incur any expense or take any action hereunder. Re-Record - L •r~Y 3~~ ~~cE 553 ~ ~o~K 318 PacE 27g 4