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HomeMy WebLinkAbout1061 ..rw lt,~. ~ ~ , . Borrower and lender ooveaaat and agree as folbws: 1. Payasent of Principal and Intereut. Borrower shall promptly pay when due the principal o[ and interest on the indebtednea ~.:3sz~ bj the Id:.ta, pr"r..;,-r.,ont su3lata char:: y:~•rdsd iu L'sc Notc, and the psinapa! of a.-sd itttczcs! on any Fu:::,~ Adz a.'i:.o:.s~. ii~ by this Mortgage. PLads for Tares sad Iaawraaoe. 3ubjed to applicable law or to a written waiver by Lender, Borrower shall payr to Lender on the day monthly installments of principal and interest are payable under the Note. until the Note is paid in full, a sum (herein "Funds")equal to ons• twzlf#h of tht yz~erly tsars and ~--~a^rzt;a erhi~ rosy attain Fr:ur'sty aver this Martgs~~e, any! gmncl renia en t!sr Prop-slY. 3tsRY. Fly twelfth ofyearly premiaminstallments fa: hasardinsurance.plus one•twelfth ofyearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and hoax time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. 1Le Phnds shall be held is an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency (including Lender if Lender is such as institution). Lender shall apply the Funds to pay said taxes. assessments, inaunurce premiums and ground rents. LendeR may twt charge for so holding and applying the Fonda. analyzing said account, or verifying and compiling said assessments and biW. unless Lender pays Borrower interest oa the Flmda and applicable law permits Lender to make such a charge. Borrower and Leader may agree is writing at the time of execntioa of thin Mortgage that interest on the Funds shall be paid to Borrower, sad noises such agreement is made or appUcable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Pbuds. 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.'11~e Funds are pledged as additional security for the sums secured by thin Mortgage. if the amount of the fiends held by Lender, together with the future monthly installments of Funds payable prior b the due dates of tares, aaseesments, insurance premiums and ground rants, shall sassed the amount required b pay said taxes, assessments, insurance premiums and ground routs as Way fall due, such excess shall be, at Borrower s option. either promptly repaid to Borrower or credited to Borrower on monthly installments ~ fitnds. If We amount of the Funds held by Lender shall not be sufficient b pay taxes, assessments, insurance i premiums and ground rents as Wey fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency wiWin 30 days from We date notice is mailed by Lender to Borrower requesting Payment thereof. j Upon payment in frail ~ all sums secured by Win Mortgage, Lender shall promptly refund to Borrower any funds held by Lender. If under I paragraph 18 hereof We Property is sold or the Property is oWerwise acquired by Lender, Lender shall apply, no later Wan immediately prior to We sale of the Property ~ its aequisition by Lender, any lends held by Lender at the time of application as a credit against the soma secured by this Mortgage. 3. Application o! Payments. Ualesa 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 We Note, Wen to We principal of the Note, and Wen 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 Wia Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph thereof 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 bender 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 Borrowershall agree in writing to the payment of the obligation secured by such lien in a manner acceptable to [.ender, or shall in good faith contest such lien by,ordefend entorcementofsuch lien in,legal proceedings which operate to prevent We enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard Inswance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against toes by fire, hazards included within the team "extended coverage," and such other hazards as Lender may require and in such amounts and forsuch periods as Lender may require; provided, that Lender shall not require that the amount of such coverage exceed that amount otcaverage required to pay the sums secured by this Mortgage. f j The insurance carrier providing the insurance shall be chosen by Borrower subjeM to approval by Ixnder, provided, that such approval ff! 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. t All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in favor of ~ and inform acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to ~ tender 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 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 f restoration or repair 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 WiaMortgage, 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 We insurance carrier offers to settle a claim for insurance benefits. Lender is authorized to collect and apply the insurance proceeds at Lenders option either to restoration or repair of the ~ Property or We sums secured by Wia 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 1 and 2 hereof or change the amount of such installments. U under paragraph 18 hereof the Property is acquired by Lender, all right, title snd interest of Borrower in and to any insurance policies and in and tc the proceeds ~ 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 aequisition. i 6. Preservation and MaintenanceotProperty; Leaseholds; Condominuma; Planned Unit Developments. Borrowerahall keep the Property in good repair and shall not rnmmit waste or permit impairment or deterioration of the Property and shall rnmply with We 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 rnvenanta creatingor 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 thin Mortgage, We covenants and ~ agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreements otthia Mortgage as if the rider were a part hereof. 7. Protection o! Leader's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceedingu commenced which materially affects Lenders interest in the Property, induding, but not limited to, eminent domain. insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, Wen Lender at Lender's option,npon i notice to Borrower may make such appearances, disburse such auras and take such action as is necessary to ported Lender's interest, p including, but not limited to, disbursement of reasonable attorney's foes and entry upon We Property to make repairs. If Londe: required mortgage insurance as a condition of making the loan secured by thin Mortgage. Borrower shall pay the premiums required to nraiatein each insurance in effect until such time as We requirement for such insurance terminates in accordance wiW Borrower's and Lenders written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in We manner provided under paragraph 2 hereof. ~ Any amounts diabnrsed by Lender pen?uant to Wia paragraph 7, with interest thereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice hom Lender to Borrower requesting payment Wereof, and shall bear interest from We date of disbursement at We rate payable from time to time on outstanding principal under We Note unless payment of interest at such rate would be contrary to applicable law, is which event such amounts shall bent interest at We highest rate permissible under applicable law. Nothing contained is Wis paragraph 7, shall - ~ require Lender to incur any expense or take any action hereunder. 8~~~ P~Fio~ 1 -