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HomeMy WebLinkAbout1511 Borrower and Lender covenant and agree ae follows: 1. Payment of Principal and Interest. Borrower shall promptiy pay when due the principal cf a :d on t::e i :d~bt;w css evidenced by the Note, prepayment and latechargea as provided in the Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by lxnder, Kurrower shall pay tolxnder un the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds"1 equal to one- twelfth ofthe yearly taxes and assessments which may attt+in priority over this Mortgage, and ground rents on the Property, if any, plus one twelfth of yearly premium installments for hazard insurunce, plus unPtwelllh of yearly premium installments for morigi+ge insurance, if any, :w}as reasonably estimated initially and from time to tine by lender un the b:+siR of assessments :+nd bills and reasonable estimates thereof. The unds shall be held in an institution the deposits or accounts of which tare insured or guaranteed by a Federal or State agency (including Lender if 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 acc•uunt, or verifying 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 be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Fonda. 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 pledgfrd :+s additional security for 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 dates of taxes, assessments, insurance premiums and ground rents, shall exceed 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 Burrower or credited to Borrower on • monthly installments of Funds. If the amount of the Fonda held by Lender shall nut be sufficient to pay taxes, assessments, insurance oremiutna and ground rents as they fall due, Born,wer shall pay to bender uny amount necessary to make up the deficiency within 30 days from the date notice is mailed by lxnder to Borrower requesting payment thereuf- Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Burrower any funds held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by lxnder, bender shall apply , no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by lxnder at the time of application as a credit against the sums secured by this Mortgage- 3. Application of Payments. U+lless applicable law provides otherwise, all payments received by lxnder under the Note and paragraphs 1 and 2 hereof shall be applifd by lxnder first in p:+yment of amounts payable to lxnder by Itorruw•er 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. 4. Charges; Liens. Borruwershall pay all taxes, assfssments and uthen•harges, f nf•s and img,usitiuns attributable to the Properly which may attain a priority over this Mortgage, and leasehold p:+yme•nts ur [;round rents, if any, in the manner pnn•idfYl under paragraph Y hereof or, if nut paid in such manner, by Borrower making; payment, when due, directly to the paytf• therfYlf- Rurn,wer shall pn,mpth• furnish to lxnder all notices of amounts due under this par:graph, :rod in the agent Burrower shall make payment din•t•tly. Burnlwer sh:+ll promptly furnish to Lt•nder receipts evidencing; such payments. Itclrnlw-er shall pnlrnpth• discharge un}• lien which h:+s priority m•er this Mortgage: provided, that }inrruwer shall not be required tudischarga• any wch lien su lung: a~ Fturnlwer shall z+gref• in H riling; to the p:+ynient of theubligatiun sf•cured by .uch lien in a manner acc•yptat,le to I.c•nder, ur shall in good f:+ith cuntfwt wch li+•n by, ur defend enforcement of such lien in, legal prlx•ytYiings which operate to prevent the ynfon•f•ment of the lien or forfeiture of the !'roperty .Ir am` p:+rt then~,f. i- Hazard Insurance. Korrower shalt ket•p the IfaglruYelllt•Ilts IwN" rA+Sting or hcmafter erf•cted un the Property inwrtd against loss by fire, hazards included within thc• term "extend+Y1 tY,yeragy," and wch other hazards as I.t•nder may nfguire and in such amuuntti and fur such periods as lxnder may rt•cguin•: procidtYl. that Lendf•r shall not requim that the :+muunt of such cY,yer+ge exc•fr•fl that amount of coverage regaireYl to pay tht• sums st•t•urtd by this \lortgagt•. The insurance carrier providing; the inwr.+nce ah::!1 llf• chosen he Kurrrnver .uhjw•t to approval by Lender: pnn•idwl. that wch approval ~ shall nut t,e unryasonabh• withheld- _111 pn•miuma un Insuranc+• policies shall Ilt• pawl u+ the m:uuu•r pruvid?YI wutf•r paragriph herf~,f ur, if I, nut paid in such manner, by Itllrnncyr making: p.+yment- when due- dirw•th• to the Insur-.uu•e earner. All insurance policies and renewals therfyrf shall lw• in form acceptable to I w•ndyr and shall include a standard mortgageclause in favorof and in form acceptable to lxnder. lender sh:+11 have the right to hold the ga~hciys and renewals thf•rtsd. and Burrower sh:+Il promptly furnish to bender all renewal notices and all n•c•yipts of paid pmmiums. In the went of loss, Burrower shall give prompt notice to the insurance carver and lxnder- lxnder may make prfMlf of loss if not made prumpth• by Korn,wer. Unless lxnder and }iorn,w•er otherwise agra• in writing!, insurance prl,t•f•t•d~ shall ?x• :?ppliyd to restoration ur repair of the Property damaged, proyidtd such restoration ur n•pair is fY•unomicalh• feasibly and the se•f•urity of this Mortgage is not thereby impaired- If such restoration or repair is nut ecunumicalh'feasih!f• or ifthe sf•t•urity of this Mortgage would Fx• impaimd, the inwranct• pn/cetds shall beapplied to the sums secured by this Mortgage, with thf• excess, if am-. paid to Korn,w•er. If tht• Pruperl>• is abandoned by Borrower, or if Burrower fails to s re;pund to [xnder within au days from the date notice is mailf•d in- I,f•ndyr to Borrower that the incur:+nce carrier offers to settle a claim for insurance benefits, lxnder is :+UthUrlltYl t/l C/IIhY•t and apph• the inwr.+nce pr„ceed. at l.f•nder ti Upt1U0 elther t1, retitllriitlOrl I,r repair of the Property or the sums secured by this Mortgage. + Unless lxnder and Rurruwer uthyrwi:e agnr in writing;, any such application of prcx•f•eds to principal shall not extend ur postpone thedue date of the monthly installments referrtYl to in par.+giraphs 1 :+nd hereof or change thc• amount of such installments- If under paragraph 1K herf~of the Property is acquired by lxnder.:+II right, fitly and intf•rest of Burrower in and to :uly insurance policies and in and to the proceeds thereof resulting from damage to Property prior to the sale ur acyulsitiun shall p:?ss to 1.1•nder to the extent of the sums secured by this ~torigage immfrcliately prior to such salt' or acquisition. 6. Preservation and;?taintenanceof Property: Leaseholds:('unduminums; Plt+nncd boil Developments. Borrowershallkeep the Property in good repair and shall not commit wants or gr•rrnil impairment .Ir dyterioratn,n of the I'ruperty and shall comply with the provisions of any lease if this Mortgage is on It•asehold. If this ~lurtgage is on a unit in a condominium or a planned unit development, Borrower shall perform all of Iiorn,wyr's ub6gatiuns under thedtY•lar-.+tionorcuvenants cn:+tuig;urgoyerning thecunduminiumorplanned unit development, the by-laws and regulations of the condominium or plannf•d unit development, and constituent documents. If a ~ onduminium or planned unit development ridt•r is excrvtcYl he Ii„rnlwer :+nd nrunltYl together with this Mortgage, the coyenantti and /greemynts of such rider shall hf• incurporatt•d into and shall amend and supplement thecocenants and agrt•yments of this Murtgageas if the a rider were a part hert•of. 7- ProteMion of Lender's Security. if Burrower fails U, perform the rnyenants and agreements contained in this Mortgage, or if any action or proceeding iti commenced which materially affects I.ender'a interest in the 1'rupyriy, including, but not limitfd to, eminent domain, insolvency, rnde enforcement, or arrangements ur proceedings involving a bankrupt or decedent then lxnder at Lender's option,upon notice to Borrower may make such appearances, disburse such sumo and take ouch 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 mortgage insurance as a condition of making the loan stcurfd by this Mortgage, Il{,mlwer shall pay the premiums requirfd to maintain such insurance in effect until such time as the rf•quirement fur auc•h insurance terminates in accordance with Borrower's and Lender's ~ 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 Lender perauanl tc, this par:graph 7, with interest thereon, shall ben,me additional indebtedness of Borrower securfd by thin Mortgage- Unless Borrower and [.ender agree to other terms of payment, such amuuntti shall be payable upon notice from lxnder to Borrower reyuetiting payment therf~c,f, and shall tx•ar interest from the date of disbursement at the rate payable from time to time on oatatanding principal under the Note unless payment of inten•st at such rate would be rnntrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible under applicable law. tiuthing contained in this paragraph 7, shall require lxnder W incur any expense or take any action hereunder. 319 P~~E 15[18