HomeMy WebLinkAbout1915 Borrower and Lender covenant and agree as folbws:
1. Payment of Principal sad Interest. 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 on any Future Advances secured
by tbid'Mortgage.
2. FLnds for Taws sad lasurance. Subject to applicable law or to a written waiver by I.en,Ier, Borrower shall pay to Lender on the day
monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds")equal to one-
twelfth ofthe yearly taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-
twel[th ofyearly premium installments for hazard insurance, plus one•twel(th of yearly premium installments for mortgage insurance, itany,
all as reasonably estimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
'tire Funds shay) be held is an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency
(including Leader if Lender is such an itutitution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and -
ground rents. Lender may sot charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said
ass ~arrrenta and bills, unless Lender pays Borrower interest on the Funds and applicable law permits Ixnder to make such a charge. Borrower
and Lender may agree is writing at the time of execution of thin 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 ch>91rge, 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.l7re Funds are pledged as additional security for the sums secured by this
Mortgage.
If the amount of the Funds held by Lender, together with the future monthly inatatlmenta of Funds~ayablyprior to the duedates of taxes,
asaeaamenta, insurance premiums and ground rents, shall exceed the amount required to pay said tares, asaesamenta, insurance premiums
and ground rents as they fall due, such excess shall be, at Borrower a 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 sufficient to pay taxes, assessments, insurance
premiums and ground rents as they fall due, Borrower shall pay to I~nder any amount necessary to make up the deficiency within 30 days
from the date notice is mailed by Le•nde: b Borrower requesting payment thereof.
Upon payment in full of all soma secured by this Mortgage, lender shall promptly refund to Borrower any funds held by Lender. Ifunder -
paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later than immediately prior
to the sale of the Property or its acquisition by !.ender, any Funds held by Lender at the time of application as a credit against the sums secured
by this Mortgage.
3. Application of Payments. 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.
4. Charges; Liens. Borrower shall pay all taxes, assessments and othera•harges, fines and impositions attributable W 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 hereofor,
if not paid in such manner, by Borrower making payment, when due. directly to the payee thereof. Borrovicershall promptly furnish to Lender
! all notices of amounts due under this paragraph. and in the event F3c,rrower shall make payment directly, Borrower shall promptly furnish to
[.ender receipts evidencing such payments4. Born,wer shall prompt h• di•;charge arty lien which h;is priority over this Mortgage; provided, that
ti~~rrowershallnothereouirwltndccharvvanvcu.•61ier,cnlnnaa~tL..r....•o.~h~lla.,.o..:....•.:E:....,,.,ti ............._•~h4....a.c.__•c_____-._..,a_
such lien in a manner acceptable to Lender. or shall in g+,c,d faith contra such lien by, urdefend enforcement ofsuch lien in.legal proceedings
'i which operate to prea•ent the enforcement of the lien or forfeiture of the Pn,pe•ny ur am• part thereof.
S- Hazardlnsurance_ &,rruwer shall keep the improvements now, existing or hereafter erected on the Property insured against loss by
fire, hazards included within the term "extended rna•erage." and such other hazards as Lender may require and in such amounts and forsuch
periods as Lender may require; provided, that Lender shall nut require that the amount of such rnverage exceed that amount of coverage
re•yuired to pay the sums secured M• this Mortgage.
I
The insurance carrier pn,ciding the insur,en+-c• shall M• chosen i,\' Ii,.rrc,K-er sub)tY't Ir, appruc:d tn• IxndPr• provided, that such approval
! shall nut be unreas+mabh• withheld. All premium. un incur.+nce p„hc-i+-.shall t,E- i,aid in the manner pn,~•tdrel under paragraph l here+?f ur. i(
not paid in such manner, h} It.,rn,wer making pa~•me•nt. when due- din•+•tlc to the inwrarn-e carrier.
All insurance policies and renewals thereof shall he in form acceptable to Lender and shall include a standard mortgagedause in favor of
and inform acceptable to Lender. !.ender shall have the right to hold the p„licies and renewals thereat-and Borrower shall promptly furnish to
,.ruder all renewal notices and all receipts of paid premiums- In the went of l+~cs, linrn,rver shall give prompt notice to the insurance carrier
and Lender. Lender may make proof of loss if not made promptly b~• Borrower.
Unless Lender and Burrower otherwise agree in writing, insurance proceeds shall t,e applied.to restoration or repair of the Property
damaged, provided such restoration or repair is ee•unomically feasible and the security of this Mortgage is not thereby impaired. If such
restoration or repair is nut economically feasible or tithe se•a•unty of this Mortgage would F,e impaired, the insurance proceeds shall be applied
to the sums secured by this Mortgage. with the excess, if any, paid to Ft+,rn,wer. If the Property i,?abandoned by Borrower, or if Borrower fails to
respond to Lender within :;tl days from the date notice, is mailed by Lender t•• I3+,rn,wer that the insurance carrier offers to settle a claim for
insurance benefits, tender is authorized to c+dlert and apph• the insurance pn,aeeds at Lender's option either to restoration or repair of the
F'ruperty or the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in writing. arc such application of pmaeeds to principal shall not extend or postpone thedue
date of the monthly installments referred u, in paragraphs 1 and'L hereof or change the amount of such installments- Ifunder paragraph 18
hereof the Property is acquired by Lender, all right, title and interest of &,rn,wer in and to any insurance policies and in and to the proceeds
thereof resulting from damage to Property prior to the, sale or acyursitiun shall pass tr, Lender to the extent of the sums secured by this
Mortgage immediately prior to such sate or acquisition.
6. Preservation and Maintenance otProperty:Leaseholds:('ondominums; Planned Unit Developments. Borrowershall keep
the Property in good repair and shall not commit waste ur permit impairment or deterioration of the Property and shall comply with the
pn,visiona of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a mndominium or a planned unit development,
Korrower shall perform all of Borrower's obligations under the declaration ur covenant_. c•reatrngor governing the condominium or planned
unit development,. the by-laws and regulations of the condominium or planned unit development, and constituent documents. If a
~nndominium or planned unit development rider is executed by Borrower and re+-orded together with this Mortgage, the covenants and
al; reement.~: of such rider shall he incurp+,rated ?nto and .boll :emend and supplement thecncenantsand agreements of this Murtgageasifthe
nder were a part hereof.
7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any
action or proceeding is commenced which materially affects l.ender'a interest in the Property, including, but not limited to, eminent domain,
insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option,upon
notice to Borrower may make such appearances, disburse such sums and take ouch action ere 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. It Lender required
mortgage insurance as a rnndition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain
such insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower i and Lender s
written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under
paragraph Z hereof. ~
Any amounts disbursed by [.ender perauant iA this paragraph with interest thereon, shall become additional indebtedness of -
Rorrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon
notice from Lender to Borrower requesting payment thereof, and shall bear interest from the date of diabursertient at the rate payable from
time to time on outstanding principal under the Note unless payment of interest at such rate would be contrary to applicable law, in which
event each amounts shall bear interest at the highest rate permrsHible under applicable law. tiothinq contained in this paragraph 7, shat!
regrtire Lender to incur any expense or take any action hereunder.
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