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HomeMy WebLinkAbout2784 . , ,t Ut+traw CovanAtm. Borrower and Larder covenant and agree u follows: 1,. PayreN at ttietcipat atsi 1Mesest. Borrower shall promptly pay when due the principal of and interest on the ittdebtodrtw evideaood by the Note, prepayment and Tate charges a~ provided in the Note, and the principal o[ and interest oa any Future Advsntxs tttxurod by the Mortgage. 2, 11+a~Iia tes Taws ttttsi iaaaraen~e. Subject to applicable law or to a written waiver by Lender. Borrower shall Pay to Lender on the day tt?onthly inualtments of principal and interest are payable under the Note. until the Note is paid in full, a suer (herein "Fttttdt'7 equal to one-twelfth of the yearl}~ tax~~ and assessments which may attain priority over this Mortgage, and ground rents oa the Property. if any, plus one•twelfth of yearl}i~ premium installments [or hazard insurance. plus oae•twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Leader oa the buts of assessments and hills and reasonable estimates thereof. The flntds shall be Geld in an institution the deposits or accounts of which are insured or guaanteed by a Federal of state agency (including Lender if Lender is such an institution}. fender shall apply the Funds to pay said taxes. assessments, iasuraaoe premiums and ground rents. Lender may not charge for sc+ holding and applying the Frtndc. analyzing said account, . or verifyins.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 interat on the Funds shaft be paid to Borrower, and unless such agreement a made or applicable law regains such interat 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 annwl 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 are pledged u additional security for the sums secured by this Mortgage. If the amount o[ the Funds held by Lender, together with the future monthly itstallments of Funds payable prior to the due dates of rues, assessments, insurance prcmiuttu and ground rents, shall exceed the amount required to pay said taxes. a»eaments, insurance premiums and ground rents u they fall due. such excess shall be. at Borrowers option, elther promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. if the amount of the Funds ht:id by Lelotder shall not be sutficdeat to pay -taxes. assessments, insurance premiums and ground rents as they fall due. Horroa?er shall pay to Leader any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Leader 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. If under puagnph 18 hereof the Property is sold or the Property Is otherwise acquired by Lender, Lender shall apply. rto later than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by Laadec at the time of applicatan u a credit against the sums secured by this Mortgage. 3. Applicatloe of PatyaserNs. Unless applicable law provides otherwise, all. payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by [.ender 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. Cbar=es; Lktts. Borrower shall pay a!1 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 tents. if any, in the manger 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 unflet this paragraph, and in the event ~ Borrower shall make payment directly, Borrower shall promptly furnish to _lxnder receipts evideaCing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided. that Borrov~r_ 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 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 lien or forfeiture of the Property or any part thereof. S. Hazard Inlnratue. 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 require that the amount of such coverage exceed that amount of coverage required to pay the sums secured .by this Mortgage. The 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. f All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage I claust 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 Leader 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 of loss if not made promptly by Borrower. a Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of s the Property damaged, provided such restoratton 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 shall 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 authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Properi~• or to tbe sums secured by this Mortgage. a 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 18 hereof the ProE,erty is acquired by Lender, 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. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Devebptttents. 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 if thls Mortgage is un a leasehold. If this Mortgage is on a unit in a n 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-laws and regulations of the d condominium or planned unit development, and constituent documents. If a condominium or planned unit development cider is executed by Borrower and recorded together with phis 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 rifer were a part hereof. _ 7. Protection of Lender's Securfty. If Borrower fails m 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. insc.lvency, axle enforcement. or arrangements or proceedings Involving a j K 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 ices and entry upon the Property to make repairs. If Lender reyuircd mortgage insurance as a condlNon of making the loan secured h}' this Mortgage. BnrraWCr shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such insurance terminatcs In accordance with Borrowers and x 6~~KJ2V PsGE2~80