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HomeMy WebLinkAbout1058 .i ` e UNIFOtt,Atl COVaNANTi. Borrower and Lender covenant and egret: u follows: 1W. IMyttaeaf at triaelral aai lateresl. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note. prepayment and late charges as provided in the Note, and the principal of and interest ors any Future Advances ttcttred by this Mortgage. 2. Ihnis for Tabtos anti Utwrattca 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 ere payable under the Note. until the Note is paid in full, a sum (herein "Fund:' equal to ot?c•twelfth of the yearly ta>,c. and assessments which may attain priority over this Mortgage. and =round rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance. plus oae•twelfth o[ yearly premium installments for mortgage insurance, it any, all as reasonably estimated initially and from limo to tune by Lender on the buffs of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits orrccounts of which are insured or gwranteed by i? Federal of state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessrnenls, irtsurartoe premiums and ground rents. lender may not Charge for sn holding and applying the Funds. analyzing said account, or verifying artd 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 o[ 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 Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing crtdits and debits to the Funds and the purpose for which each debit to the Funds wu made. The Funds arc pledged as additional security for the sums secured by Chu 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, atseatnents, insurance premiums and ground rents as they fall 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 htdd by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents u 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 Lsoder to Borrower requesting payment thereof. Upon payment in full of all :ums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Lender. if under puagraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender, Lender 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. A~piicatioa of Paytmeats. 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 Note, and then to interest and principal on any Future Advances. I. Charges; Lkrts. Borrower shall pay all taxes, assessments and other charges. fines and impositions attributable to the Property which may attain a priority over this Iortgage, 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, wad 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 tht obligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien hy,.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. Harard Insurance. 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. '[lte 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 Ii 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. !.ender shall have the right to hold the policies and renewals thereof, E 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 otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restoratron or repair is economically feasible and the security of this Mortgage is not thereby imparred. 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 rs 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, 1_ender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Pmpem• or to the sums secured by this Mortgage. 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 I8 hereof the Property is acyurred by Lender, all right, title and interest of Borrower in and to any insurance policies and in and to the pnxeeds 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 Devebpments. 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 rf th?s Mortgage is on a leasehold. 1( 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 g~werning the condominium or planned unit development, the by-laws 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 a~gether with this Mortgage, the covenants and agreements of such rider s shall be incorporated intn and shell .emend and supplement the covenants end agreements of this Mortgage as if the rider were a part hereof. 7. Protection of fenders Security. If Bi~r*ower faih a• perform the covenants and agreements contained in this Mortgage, or if any action or prcx:eeding is commenced which materially affects Lender's interest in the Properly. including, but not hin=ted to, eminent domain. inW.lvenc~, c~xfe enforcement. or arrangements or proceedings invoh•ing a bankn?pt or decedent. then Lender at 1 ender's i~ption, upon nonce to Borrower. may make such appearances, disburse such sums and take such action'as a necessary t~~ protect Lender's interest, including. but riot limbed to, disbursement of reasonable attorney's fees and entry upi~n the Property to make repair. If Lender reyuircd mortgage insurance as a condition ~~f making the loan secured by this Mrulgagr. &~rr~~wcr shall pay the premiums required to maintain such insurance in effect until such rime as the reynirernent tr~r such rnsurancc terminacs m accordance with Borr.~wer's and ~~K 321 PaCE 1O5?