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HomeMy WebLinkAbout1439 ,'l . . . UNIFORM COVteNANi3. Borrower and Lender covenant and agree u follows: 1. If'a>•reN of ltrl~clM1 alai ltNerest. Borrower shall promptly pay when due the principal of and interest on the ~ndebtedrtess evidenced by the Note, prepayment and late charges ac provided in the Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Iftintis tote Tea Rai Iasnraece. 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 are payable under the Note, until the Note is psid in Lull, 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. if any. plus one•twelfth of yearly premium installments for hszard insurance. plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and tram time to tune by Lender on the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposes or accounts of which are ituurcd 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 ants. lender may not charge for so holding and applying the Fttndc. 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 he 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 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 this Mortgage. If tht amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes, assessments, insuranct: premiums and ground rents, shall exceed the amount required to pay said taxes. aases:rnents, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's 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 Lender any amount necessary to 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. If under paragraph 18 hereof the Property i~ 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 tune 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 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. 4. Charges; 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 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. Rnrrnw~r chAtt nmmnUv diccharve anv lien which has nnonty over this MortRaRe: 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, ur shaall 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 Insurance. Borrower shall keep the improvements new 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 Eby this Mortgage. The 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 shat) 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 tx 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 earner and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherwix: agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restorauun ur 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 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 m restoration or repair of the Propem• or to the sums secured by this Mortgage. Unless lender and Borrower otherwise agree in wrung, an}~ such application of proceeds to principal shall not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph f 8 hereof the Pro ferry is acywred by Lender, all right, title and interest of Borrower t in and to any Assurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale or acgtusition shall pass to Lender to the extent of the sums secured by this 1`lortgage immediately prior to such sale or acquisition. 6. Presenation and ~taiotenance of Propert}: Leaseholds; ('ondominiums; Planned l~nit Developments. Borrower shall keep the Property in gaxf repair and shall nut commit yvaste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease if this Mortgcigr is tin a leasehold. If this Mortgage is on a unit in a s condominium or a planned umt development, Borrower shall perform all of Borrower's obligations under the declaration or covenants creating or guvermng the amdumimum ur planned umt development, the by-laws and regulations of the condominium or planned unit development: and cunstitucnt documents. If a condominium or planned umt 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 wpplement the covenants and agreements of this Mortgage as if the rider were a part hereof. Y 7. Protection of Lender's Security. If Borrower fads to perform the covenants and agreements contained in this Mortgage. or if any action ur prrxceding is commenced which materially affecK Lender's interest in the Property, ~inciuding. but nut limited to. eminent domain. insohcncy. axle enforcement, or arrangements or pnx:eedings involsmg a bankrupt or decedent then I ender at Lender's option, upim notice to Borrower. may make such appearances, dishurse such sums end take such act:un as 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. If 1-ender rcynired mortgage insurance as a cundmun of making the loan secured by this M~~rtgagr. Born~wcr shall pay the premiums required to maintain such insurance in elfect until such time as the rcyuuenient for such imurance terminates in accordance with Borrower's and ' > E~(NR(3,Z3 PACE j.~~