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HomeMy WebLinkAbout2059 • ' ~l ~r- ' ~ - - Borrower sad Leader ooveaaat sad agree a. follows: 1. Pad?meat o[ Ptietcipal tad Iatered. Borrower shall peompt~y pay when due the principal of and iatereat oa the indebtedness evidenced by the Note, prepayment and late c1?eugea as provided is the Note, and the priacipsl of sad interestoa say PLture Advances ascnred by this Mortgage. - 2. Fw?ds for Tazes tad Insurance. Subject to applicable law or to r written waiver by Lender, Borrower shall pqy to Lender on the day monthly instalbneats of principal sad interest are payable under the Note, until the Note is paid in full, a sum (herein "F1mda"1 equal to oae- twelfth ofthe yeaeytaxes and sasasamenta which may attain priority over this Mortgage, and ground rents on the Property, if any. plus ona• - twdtth of yearly premium itiatalhneats for hasard insurance, plus onatwelRh of yearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and from time b time by Lender on the basis of assessments and bills and reasonable estimates thereof The Funds shall be held is an iaeditution the deposits or accounts of while are insured or guaranteed by a Federal or State agency (iacluding Lender if Leader is such an institution). Lender shall apply the Funds to pay said taxes. assessments. insurance premiums and ground recta, Leader may cwt charge far so holding sad applying the Fuada, analyzing said account, or verifying sad compiling said assessments and bills, unless bender pays Borrower interest on the Funds and applicable law permits Leader 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 oaks each agreement is made or applicable law regnires such interest-tu be paid, Lender shall not be required to pay Borrower any'interest or earnings on the ~wds. Leader shall give to Borrower, without charge. as annual accounting of the Funds showing credits and debits to the Funds sad the purpose for which eacl•. debit to the Rtierids was made. The Funds are pledged as additional security for the sums secured by this Mortgage. If the amount of the Feeadb held by Lender. together with the future monthly installments of Funds payable prior to the due dates of takes, aaseeamenta, insurance premiums and ground rents, shall exozed the amount required to pay said fazes. assessments, insurance premiums and ground recta as they fall due. such excess shall be, at Borrower s option, either promptly repaid b Borrower or credited to Borrower on monthly installments of Fiends. U the amount of the Funds held by Lender shall not be sufficient to pay- fazes, assessments, insurance - premiuma and ground rents as they fall due. Borrower shall pay to Leos ~ pessary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requesting paymentereo ` ' - . Upop payment in full of all sums secured by this Mortgage, Lender shell ~~o$tiptl~ffand to Borrower any funds held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwese acquired ~iIaRarjerrf„eader shall apply, no later than immediately prior to the ask of the Property or its soquisition by Lender, any Funds held by Lendera~tl~t~e pf application as a credit against the sums secured by this Mortgage. - _ 3. Application of Payments. Unless applicable law provides otherwise, all • payments rexeived by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by bender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then •.o 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 paragraoh 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrowershall promptly furnish to Lends all noticece of amounts due under this paragraph, and in the event Borrower shall make payment directly, Sorrower shall pra~,ptly furnish to - Lenderreceipts evidcmcingsuch payments. Borrower shall promptly discharge any lien which has pr_ority 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 otsuch lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. ' 5. Hazard Ioaurance._Borrower shat! keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within theterm-"extended rnverage," and such other hazards as Lender may require and in each amounts and forauch periods as Lender may require; provided, that Lender shall not require that the amount of such rnverage 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 polities shall be paid in the manner provided under paragraph 2 hereofor, 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 mortgageclause in favorof and inform acceptable to Lender. Lender shall have the rightto hold the policies and renewals thereof, and Borrowershall promptly furnish to fender all renewal notices and all receipts of paid premiums. In the event of lass, Borrower shall give prompt notice to the insurance carrier ~ and Lender. Lender may make proof of lass if not made promptly by Borrower. - Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of tl~e Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If such ~ restoration or repass is not ernnomically 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 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 is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the sums secured by this Mortgage. Unless Leader and Borrower otherwise agree in writing, any such application of proceeds to principal shall notextend or poatponethe doe - date of the monthly installmentb referred to'in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in and to any insurance policies and inand to Weproceeds- thereof resulting from damage to 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 Maintenance of Property; Leaseholds; Condominums; Planned Unit Developments. Borrowersha117eeep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with We - provisions of any lease if this Mortgage is on a leasehold. If this Mortgage iw on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower a obligations under the declaration of covenants creatingor governing the rnndominium or plat.ned unit development, the- by-lawn- and regulations of the condominium or planned unit development, and constituent documents. If condominium or planned unit develapmPret rider is executed by Borrower and rernrde.I together with this Mortgage, the oovenanta and agreements of such rider shall be incorporated into and shall amend and supplement thernvenants and agreementsofthis Mortgageasifthe e rider were a part hereof. 7. Protection of Lender's 9t~ceerity. If Borrower fails to perform the covenants and agreements contained in this Mortgage. ar it any action or proceeding is commenced which materially affexts Lender a interest in the Property, induding, but not limited to, eminent domain, ~ insolvency, code enforcement, or arrangements or proceedings involving a banitreept ar decedent, then I.ender-at Leader's option,npoa notice to Borrower may make ouch appearances. disburse such soma and take s~_ch action as is aeexESary to protect Leader's interest, including, bat not limited to, disburaemeret of reasonable attorney's tees and entry upon.tbe Property to make repairs. If Lender required mortgage instetaace as a condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain each insurance is effect until arch time as the requirement for such insurance terminates in aeoordance with Borrower's and Leader's written agreement a applicable Law. Borrower shall pay the amount ofall mortgage insurance premiums in the meaner provided Hader paragraph 2 hereof. Any amounts disbursed by Lender perauant to this Paragraph 7, -with interest thereon, shall become additional indebtedness of Borr+awer secured by this Mortgage. Unless Borrower-and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof. and shall bear interest from the date of disbursement at the rate payable from time to time on outstanding principal under the Note unless payment of interest at such rate world be azn~ cry b applicable law. in which ev~mt arch amounts shall 'Dear interest et the highest rate permissible under applicable law. Nothing eoatdned in this paragraph 7, shall . require Lender to incur anq expense or take any action hereunder. S - . 324 P~~ - -