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HomeMy WebLinkAbout0913 •i r , ~ Untraw GbvenaNrs. Borrower and Lender covenant and agra as follows: 1„ Past ai Puir;1M1 ttM tnlensl. Borrower shall promptly pay when due the principal of and inter+at on the indebtedness evidenced by the Note. prepayment and late charges as provided in the Note, and flee principal of and interest an any Future Advattoes sectued by this Mortgage. 2. F1tni ter Tatrea and irtwranee. Subject to applicable law ..r to a written waiver by Lender. Borrower shall pay to Leader on the day monthly installments of principal and interest arc. payahk under the Note. unfit the Note is paid in full, a sum (hstein •'Ftmds'q equal to orte-twelfth of the yearly ta>,~y and assesstttents which may attain priority over this Mortgage. and ground rents on the Property, if any. plus one-twelfth of yearly premium installments for hazard tnsurance, plus one-twelfth of yearly premium installments for mortgage insurance, it any, all as rcssonably estimated initially and from time to tithe by Leader on the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the depoaita or accounts of which tiro iruured or gwranteed by a Federal of state agency (including Lender if Lender is such an institution). 1_ender shall apply the Funds to pay said taxes. assessments. it»ttranoe premiums and ground rents. Lender may not charge for :n holding and applying the Fttrtds. analyzing said account. or veritying.attd 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 exceution 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 hat 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 as additional security for the sums secured by thk Mortgage. Tf the amount o[ the Fttttds 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 fall due, such excess shall be. at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly inuallments of Funds. if the amount of the Funds held by Leader shaq not be sttfficieat to pay taxes. assessments, insurance premiums and ground rents as they fall due, Bormtrer 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 payateat in full of all sums secured by this Mortgage, lender 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. no 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 off Payttaenh. 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. 1. C6artes; Liens. 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 tinder paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, dittictly 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. _ Hnrrr>,ver chap nmrnntly diaharae env lien which has oriority over this MortRaRe: provided, that Borrower shall not be required to dischargeaany 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. Hanrd Insttrawee. 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. 'ilte 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. All insurance policies and renewals thereof shalt be in form acceptable to Lender and shall include a standard mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, f 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 i( 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 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. Lender is authorized to collect and apply the insurance proceeds at Lender's 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 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 Pro ferty is acquired by Lender, all right, title and interest of Borrower in and to any Assurance 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 a+tent of the sums secured by this Ivtortgage immediately prior to such sale or acquisition. 6. Presen•ation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit Waste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease it thrs Mortgage is on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrowers obligations under the declaration f 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 documents. If a condominium or planned unit development rider is executed by Borrower and recorded 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 rider a were a part hereof. 7. Protection of l~ndtr's Security. If Rr.rn,wer Earls to perform the covenants and agreements contained in this ~ Mortgage, or if any action ur proceeding rs commenced which materially affects Lender's interest in the Property, including, but not limned to. eminent domain. incolvencp. c~xle enforcement. or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, map make such appearances, dishurse such sums and take such action as is necestiary to protect Lender's interest, including. but not limned to. disbursement of reasonable attorney's ices and entry uprm the Property to make repairs. lf. Lender required mortgage insurance as a condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such insurance in effect until uich time as the requirement (of wch insurance terminates in accordance with Borrower's and r - A ` BI)OK J~••~ PdGf 913