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HomeMy WebLinkAbout1781 R 7 J { UNIFORM CuVBNANYS. Borrower and Leader covenant and agree as fo?tuv?a: 1. >falrneat of Peieielpt and leterest. Borrower shall promptly pay when due the princlps) of and interest on the indebtedness evidenced by the Note. preliayment turd late charg,~ as provided in the Note, aad the principal of and interat on aay Future Adva:ces sscuted by th;s Mortgage. 2. >Etitsds for Tiuca tisi Irwtzance. Subjet:t to applicable law ;v a written waiver by Lender. Borruwsr shall pay to Lender on she day monthly installments of principal and interest arc payable under the Note. until the Note is paid in full. a sum (herein "Fur:ds") equal to one•twelfth of the yearly taxes and assessments which may attain priarity over this ~ Mortgage, and ground rent: on the Property. if any, plus one-twelfth of yearly premium installments for hazard insurance, plus one-twelfth of yearly premium installments for mortgage insurance; if any, all as reasonably estimated initially and from ti time to time by Leader on the basis of assessments and bilk and reasonable estimates thereof. } The Funds shall be held in an institution the deposits or accounts of which arc insured or guaranteed by a Federal or state agency (including Lender if Lender is such an institution). Lender shall apply the rands to pay said taxes, assessments. ~ 1 insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account, r or verifying and compiling said assessments and bills, unless Lender. pays Borrower interat 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. lew - requires such interest to be paid, Lender shall not be required to pay Borrower anx interest or earnings on the Funds. Lender shag 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. 'Iho Funds arc pledged as additional security fur the sniffs sacursd by this Mortgage. - If 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 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 Lenderto 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 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 held by Lender at the time of application as a credit against the, sums secured by this Mortgage. _ 3. Applicmloa of PaYt+aeats. 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 Ba-e+nwer under paragraph 'L hereof, then to interest payable on the Note, then to the principal of the- Note. and then tc interest 'and - principal on any Future Advances. - - ~ 4. -Charges; Lieos. 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 payce thereof. Borrower shall ptonnptly 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 arty -such lien so long as Borrower shall agree in writing to the payment of the obligation secured by snob lien in a manner acceptable to Lender, or shall in good faith contest such lien by,.or defend enforcement of such lien iu, t legal proceedings which operate to prevent the enforrement of the lien or forfeiture of the Property or any part thereof. _ S. Hmrd Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured agairitt 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 t_he amount of such coverage exceed that amount of coverage required to pay 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 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 pdicies and renewals thereof shall 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 pdicies and renewals thereof, - and Borrower shall promptly furnish to Lender all renewal notices and all receip!s of paid premiums. In- the event of loss,- - Borrower shall give prompt police to the insurance carrier and Lender. Lender may make puroof of k?ss if not made promptly 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 restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the insurance proceecic shall be applied to the sums secured by this Mortgage, with the excess. if any. paid- to Borrower. If the Property a abandoned by Borrower, or if Borrower fails to resprfnd tv Lender within 30 days from the date notice is mailed by ixnder to Borrower that the insurance carrier offers to settle a claim for insurance benefit;, 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 sur?u secured by this 1Vlortgage. - Unless Lender and Borrower otherwise agree in writing, any such application of procceds to principal shall not extend or postpone the due date of the monthly installments referred to in paragraphs l~ and 2 hereof or change the amount of .iii such installments. If under paragraph 18 hereof tbe Property is acquired by Lender, a;l right, title and interat 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 sum secured by this Mortgage immediately prior. to s,ich sale or acquisition. - E. Preservation and Maintetance of Property; Leaseholds; CondomFniuri~ .Planned Unit Developments. Borrower ~ shall keep the Property ir. good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease if this 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 Borrower a obligations. under the declaration or covenants creating or governing the condominium- or plannrd unit development, the by-laws and regulations of the condominium or planned unit development. and constituent documents. If a condominium or planned unit development i ~ rider is executed by Borrower and recorded together with this Mortgage. the covenants and agreements of such rider ~ shaU be incorporated into and shall amend and supplement the .covenants and agreements of this Mortgage as if the rider ~ were a part hereof. - - -7. Protection of Lenders Security. If Borrower .fails to perform the covenants and agreements contained in this - ~ Mortgage, or if any action or proceeding is commend which materially aftects Lender's interest in the Property, including. but not fimited 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 such action as is necessary to protect Lenders interest, including, but not limited to, disbursement of - . - reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a condition of malting the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such - insurance in ef_tect until such time as the requirement for such insurance terminates in accordance with Borrower's and - 6~~~24 ~~~778 - - ~ _ - - _