HomeMy WebLinkAbout0668 UNtrgtnt COVaNAN77t. Borrower and Lender covenant and agree as [OllOws:
1. ZralyweN d hMe1N1 anti Interaf. Borrower shall promptly pay when due the principal of and interest on the
itrdebtedrttns evidenced by the Note. prepayment and late charges ac provided in the Note, and the principal o[ and interest
an soy FtKure Advances secured by this Mortgage.
lyt+r•ia t`or Tetras a+ei irattttttiee. Subject to appiic;rbte taw err to :written waiver by Lender, Borrower shall pay _
to Lender on the day monthly installments of principal anJ interest arc payable under the Note, until the Note is paid in full,
a awn (herein "Funds'ti egttal to one-twelfth of the yearl~~ tax~~ and assessments which may attain priority over this
Mortgage. and grottnd rents on the Property, if any, plus one-twelfth of yearly premium itutallrmnts for hazard insurance.
plus one-twelfth o[ yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from
tune to tune by Lender on the buffs of asses~mcnts and bills and reasonabk estimates thereof.
The Ftturds shall be bald in an institution the deposits or :recounts of which are iraured or guaranteed by a Federal of
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments.
insurance jrremiutrrs and ground rents. Lender may not charge for so holding and applying the Frrndc. analyzing said account.
or verifying_and compiling said assessments and bills, unless Lendtr 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 o[ this _
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
requira such interest to be paid. Lander 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 u additional security for the sums secured
by tbi: Mortgage.
If the amount of the Funds hNd 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.
ast+eaments, ituurancx premiums and ground rents as they fall due, such excess shall be, at Borrowers option, either
protmptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall trot be strflicieat to pay taxes, assessments, insurance premiums and ground rents as they fall due,
Bottrower shall pay to Lender 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 is full of all sums secured by this Mortgage, !.ender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender, Lender
shall apply, rro later 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. Application of lPaysne~ts. Unless applicable law provides otherwise, all payments received by Lender under the
Note sad 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 Advancers.
4. Charges; Lieas. 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. 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 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 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 Gen or forfeiture of the Property or any part thereof.
S. Hazed lasnrarrce. 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
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.
The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided, ~
that such a rover! shall not be unreasonabl withheld. Ali - " --'a
PP y premiums on insura++Ci poucraa ai-i=+~ .,c t,a:., , ,
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 shall include a standard mortgage
clause in favor of and in form acceptable to Lender, Lender shalt 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 of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwrse 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 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 Es 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 1_ender'a option either to restoration or repair of the Property
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shalt not extend
or postpone the due date of the monthly installments referred to in paragraph. I and 2 hereof or change the amount of
such installments. I[ under paragraph 18 hereof the Property 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 sad :Naiatenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower
shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property
and shail_comply with the provisions of any lease if the Mortgage is on a leasehold. if this Mortgage is on a unit in a
condominium or a planned unit development, Borrower shall per(urm all of Borrower's obligaUOns• under the declaraUun
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
condominium or planned unit development. and constituent dixuments. If a condominium or planned unit development
rider is executed by Borrower and rernrded 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 rifer
were a part hereof.
7. Protection of Lender's Security. If Borrower farts a. perform the covenants and agreements contained in this
Mortgage, or if any action or proceeding rs armmenceci Nhich materially affects fender's interest in the Property.
including, but not limited to, eminent domain. ins,.lvency. cede enforcement. or arrangements or pn~ceedings invoh•rng a
bankrupt or decedent, then Lender at Lender's ++ption, up+•n notice to Borrower, ma} make such appearances. Jishune such
sums and take such action as is necessary t+~ protect tenders interest, inchidrng. but not limned to, disbursement of
reasonahle attorney's fees and entry uprai the Prepare}• tc, make rcparrs. If Lender reyuircd mortgage insurance as a
condrtron of making the hart secured be this M+rrtgate. Il+rfr+~wl'f shall pay the premiums required to maintain such
inuurance in rflect until uich ume as the reyuirrnient for etch rmurance terminates m accordance with Borrower's and
• ~ ....~k ~71 _ _ [~t+rt1