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HomeMy WebLinkAbout2988 ~i UNrt<otttw tAYENANJTa. Borrower and Lender covenant and agree u follows: )b h~weat o~ hioelpal aM 1Menst. Borrower shall promptly pay when due the principal of and interest on the irtdebtedneu evidettoed by the Note. prepayment and fate charges ac provided in the Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Ftitois for Tuna aai Ittwrattee. Subject to applicabk law ar to a written waiver by Lender. Borrower shall pay to Linder on the day monthly installments of principal and interact .ire payabk under the Note. until the Note is paid in full, a sum (herein "Funds' equal to one-twelfth of the year)}~ taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly premium instaNments for hazard insurance, plus one-twelfth of yearly premium installments for mortgage instrrancc, if any, all as reasonably estimated initially and from tithe to time by Lender on the buffs of assessments and hills and reasonable estimates thereof. 'Ilia Funds shall be held in an institution the deposes or accounts of which are insured or guaranteed by a Federal or state agency (including Lender i[ Lender is such an institution). Lender shall apply the Funds to pay said taxes. tuaessments, insurance premiums and ground rents. lender may not charge for so holding and applying the Frtnds. analyzing said account, or verifying and compiling said assessments and bills, unless Letxler 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 bt 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 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 wu made. The Funds arc pledged u 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 tall 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 sufScieat 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 thetYOf. Upon payment is fujl of all sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise sequin-d by Lender, Lender shall apply, no Tatar than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by Leader at the time of application as a credit against the sums secured by this Mortgage. 3. Appiicatioe of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note sad paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, tben 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. Borrower shall pay all taxes, assessments arts 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, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower steal! promptly furnish to Lender all notices of amounts due under this paragraph, sad 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 shalt 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 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 en[orcement of the lien or forfeiture of the Property or any part thereof. S. Hazard Iasrtrtrace. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by Ere, hazards included within the term "extended coverage", and such other hazards as Lender may require sad in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of such coverage exceed that amount of coverage required to pay the sums secured ~by this Mortgage. 7lte 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 shalt include a standard mortgage clause in favor of artd 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 give prompt notice to the insurance carrier and Lender. Lender may make proof o[ loss if not made promptly by Borrower- Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration 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 nut economically feasible or if the security of this Mortgage would be impaired. the insurance proceeds shaft 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 it 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 authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Pmpertv or to the sums secured by this Mortgage. Unless 1_ender and Burrower 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 ProFerty is acyuired by Lender, all right, title and interest of Borrower in and to any Assurance 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. Presen•ation sad ~taiatenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not comrpit y+~aste or permit impairment or deterioration of the Property artd shall comp!}' 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 Borrower's obligations under the declaration or covenants creating or governing the condominium or planned unit development, the by-taws and regulations of the condominium or planned unit development, and constituent documents. 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 Security. If Borrower fa~lc tx• perform the covenants and agreements contained in this Mortgage, ur if any action ur proceeding ~c commenced which materially afTects Lender's interest in the Property. including. but nut limited to. eminent domain. incuhenc>•, code enforcement. ur arrangements or proceedings invoh~ing a bankrupt or decedent. then Lender at Lender's option, open notice to Burrower. may make such appearances, disburse such sums and take such action ac is neceuary to protect fender ~ miscast. including, but nut limited to. disbursement of reasonable attomey'c tars and entry ufxm the Prupert}• to make repairs. If Lender reyuircd mortgage insurance as a condition of making the loan secured h}• Ihu Mortgage. Bormv?er shall_pay the premiums required to maintain such insurance in etTect until such time as the requirement fur etch insurance terminates ~n ac.ordance with Borrower's and BD7K~~c7 PaeE29`75