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HomeMy WebLinkAbout1511 y. UNIFOR~1 COVENANTS. Borrower and (.ender a~senant and agree a? follows: 1. Payment of Principal and Interest. Harrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note, prepayment and late charge. as provided ~n the Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Funds for Tsaes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pa}• to lender on the day monthly installments of principal and interest are payable under the Note, until the Nate is paid in full, a sum (herein "Funds") equal to one-twelfth of the yearly tares and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-twelfth of }•early premium installments for hazard insurance, plus one-tw•elith of )•early premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lender on the basis of assessments and hills and reasonable estimates thereof. The Funds shall 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 pa}• said taxes, assessments, insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account, or verif)•ing and compiling said assessments and hills, unless Lender pa}•s 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 an}• interest or earnings on the Funds. lender shall give to Borrower, without charge, •rn annual accounting of the Funds showing credits and dehits to the Funds and the purpose for which each debit to the Funds was made. The Funds arc pledg~i as additional security [or the sums secured by this Mortgage. If the amount of the Fttnds held by Lender, together with the future month)}• 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 ac they fall due. such excess shall be, at Borrower's option, either promptl)• 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 necessar}• to make up the deficienc}• within 30 da}•s from the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all sums secured b)• 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 is otherwise acgwred by Lender, Lender shall apply, no later than immediate)}• 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. Application o[ Payments. Unless applicable law• provides otherwise, all payments received by lender under the Note and paragraphs I and 2 hereof shall be applied by lender first in pa}•ment 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 an}• Future Advances. 4. Charges; Liens. Borrower shall pay all faces. assessments and other charges, fines and impucitions 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. 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 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 Propert}• or an}• part thereof. S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss h}• fire, hazards included within the term "extended coverage", and such other hazards ac Lender ma}• 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 pa}• the sums secured by 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 unreasonabl}• 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 thereat shall be in form acceptable to Lender and shall include a uandard mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. !n the event of loss, Borrower shall give prompt notice to the insurance career and Lender. Lender may make prcx?f of loss if not made pmmpth• 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 restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. if such restoratior. or repair is not ernnomically feacihle or if the security of this Mortgage would. 5 be impaired, the insurance pra:eeds shall be applied to the sums secured by this Mortgage. with the excess, if any. paid ro Borrower. If the Propert} is abandoned by Horroveer..~r it Borrower facts to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance earner offer to settle a claim for insurance benefits, I~nder ~ is authorized to collect and app(}• the insurance proceeds at Lender-s option either to restoration or repair of the Propert}~ or to the sums secured h}• this Mortgage. LJnlesc Lender and Borrower otherwise agree in venting. am such application of proceeds to pnncipal shall not extend ~ or postpone the due date of the monthly installments referred to in paragraph. t and 2 hereof or change the amount of such installments. (f under paragraph 18 hereof the Propert} is acquired h. lxnder. all right, title and interest of Borrower in end 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. Preservation and ~taiotenance of Propert}; Leaseholds; ('ondominiums; Planned Lnit De~-elopments. Borrower • shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Propert}• and shall comp(}' with the provisions of an}' lease it this Mortgage ~s on a leasehold. If this Mortgage is on a unit in a condominium or a planned tiros development, Borrower shall perform all of Borrower's obligations under the declaration 3 or covenants creating or governing the condominium or planned tiros development. the by-laws and regulations of the condominium or planned unit development. and constituent documents. If a condominium or planned tiros development nder 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 were a part hereof. s 7. Protection of Lenders Security. If Borrower fads to perform the covenants and agreements contained in this Mortgage. or if any action or proceeding ~c commenced which materialh affects Lender's interest in the Pmpert}. including. but not hm~ted to. eminent domain. incolyenc). code enforcement. or arrangements or pnceedings im•olving a banknipt or decedent, then Lender at Lender's option. upon notice to Borrc.wer. ma} make such appearances. duhurse such f4 sums and take such action as is necessan to protect Lender's interest. including. but not limited to. disbursement of ~ reasonable attorne}•'s fees and entry upon the Propert~~ to make repairs. If 1_ender 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 such time as the requirement for wch insurance terminates m acrnrdance with Borrower's and r i,~~323 ~ p~~502 f:R ~t;OK 323 P~cE 710