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HomeMy WebLinkAbout2873 UNIFORM COVENANTS. Borrower and Lender covenant and-agree as follows: 1. PsymeM of Prinolpal and Inbe+sst. 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 this Mortgage. 2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shat l pay to Lender on the day monihtyinstallmenis otprincipal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, it any, plus one•tweltth of yearly premium installments for hazard insurance, plus one-twelfth Otyeary premjum installments for mortgage insurance, if any, all as reasaonablyestimated initially and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. The Funds shalt be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or state agency including lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. lender may not charge for so holding and applying the Funds, analyzing said account, or verifying 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 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 o1 the F ands showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by This Mortgage. It 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 shalt not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due. Borrower shall pay to Lender any amount necessary io make up the deficiency within 30 days from the date notice is mailed by Lender 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. It under 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 Lender, any Funds head by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. Apppcatlon W Payments. Unless applicable law provides otherwise, all payments received by lender under the Note and paragraphs t 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 onyhe Note, then to the principal of the Npte, and then to interest and principal on any Future Advarces. 4. Ctrarges; Wns. Borrower shall pay all taxes, assessments and other charges, fines arxf impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold payments or gound rents, if any, iri the manner provided under paragraph 2 hereof or, it 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 shalt 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 !o 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. 3. Hazard Insurance. Borrower shalt keep the improvements now ewsting or hereafter greeted on the Propery 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 require: provided, that Lender shall not require that the amount o! such coverage exceed that amount of coverage required to pay the sum secured by this Mortgage. i The insurance carrier providing the insurance shall be chosen by Botrowet subject to approval by Lender, provided. that such approval shall not be unreasonably withheld. Ail premiums on insurance policies shaft 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 shall include a standard mortgage clause in favor of and in Corm acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, ~ and Borrower shall promptly famish 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 toss if not made-promptly by Borrower. Unless Lender and Borrower otherwise agree in writing, +nsurance 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 riot economically feasible or if the security of this Mortgage would Ue +mpaired. the insurance proceeds shall be applied to the sums secured by this Mortgage. with the excess, it any, pa+d 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 +s authorized to collect and apply the insurance proceeds ai Lenders option either to restoration or repair of the Property or to the sums secured by this portgage. - Unless Lender and Borrower otherwise agree +n writing, any such application of proceeds to principal shad not extend or postpone the due date of the monthly installments referred to in paragraphs t and 2 hereof or change the amount of such installments. tf 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. Pnservatlon and Maintenance of Property; Leaseholds; Condomintums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Pro- party and shall comply with the provisions of any lease it this Mortgage is on a leasehold. If this Mortgage is on a unit in a condominium or a planned urnt development. Borrower shall perform all of Borrowers obligations under the declaration or covenants creating or governing the condominium or planned unit development. the by-laws and regulations of the condominium or planned urnt development. and constituent documents. If a condominium or planned amt development rider is executed by Borrower and recorded together w+th th+s Mortgage, the ccvenants and agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as it the rider 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 Lenders interest in the Property. +nclud+ng. but not limited to, eminent domain. insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent. then Lender at Lenders option, upon notice to Borrower. may make such appearances. disburse such sums and take such action as is necessary to protect Lenders interest, including, but not limited to. disbursements of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a condition of making the loan secured by this Mortgage, Borrower shalt pay the premiums required to maintain such insurance in effect until such time as the requirement for such insurance terminates in accordance w+th Borrowers and .$~~32z PA~F28b5