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HomeMy WebLinkAbout1458 t.- } ~ Untroaat Oovat+at+n. Hoct+owsr and lender covenant and egret as follows: >ntgcrraM tt hladNl anti liakreM. Borrower shall Promptly pay when due the principal o[ and interest on -the ;ndebtedaea evidenced by the Note, prepayment and late charges as provided in the Nora, and the principal of sad interest an any Ftcture Advance sttctured by this Mortgage. lkrnis fier Tttsee anti Iancraaet. Subject to applicable law •x to a written waiver by Lender. Bort+ower shall pay to Leader on the day monthly installmenu of principal and intcreq are. payable under the Note. until the Note is paid in full, a stem (herein "Funds'ti equal to one-twelfth of the yearl~• tax~~ and asssssrrtertu which may attain priority over this Mortgage, and ground coats on the Properly, it any, plus one-twelfth of yearly prcatium iauallmenu [or hazard insurance, plus one-twelfth of yearly premitun installments for mortgage insurance, if any, all as reasonably estimated initially and from tune to time by Lender oa the buts of assessments and hills and reasonable estimates thereof. 71te Funds shall be held in an instituticat the deposits or accatnta of which arc insured or guaranteed by a Federal of start agency finchrding Lender if Lender is such an irtstitutioni. I~nder shall apply the Funds to pay said taxes. assesstttents. insurance premiums and ground renu. lender may not charge for so holding and applying the Funds. analyzing said account, or verifying_and compiling said sssessmenu and bilk, unless Lender pays Borrower interest on the-Funds and applipbk law permiit ie.~ider 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 sorb agreement is made or applicable law ..:y:::.w:.t~: i.;t~! t!+!+e paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall live to $orrvwer, witboui charge, an annual accounting of the Funds showing credits and debits tS the Funds and the purpose for which tech debit to the Funds was made. The Funds are pkdgtd as additional security for the sums secured . by the Mortgage. U the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes. assasmenu, insurance premiums and ground rcnu, shall excetti the amount required to pay said taxes. ss>asesents, iruut~anoe premiums and ground rcnu as they tall due, such excess shall be. at Borrower's option, either prompuy repaid to Borrower or crodited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lendershall not be strificieat to pay taxes. assessments, insurance premiums and ground rcnu as they fall due. 'Borrower shall pay to Lender any amount rtecesury to make up the deficiency within 30 days from the date~notice is mailed by Leader to Borrower retluesting payment thereof. - Upoo payment in fuU of all stur>s secured by this Mortgage, Lender shall promptly refund to Borrower any Funds held by Leader. If under paragraph 18 hereof the Property is sold or the Property u otherwise acquired by Lender. Lender shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lander, any Funds held by Lender at the tune of application as a credit against the :ums secured by this Mortgage. 3. A~catlon of lqy~eats. Unless applicab:e law provides otherwise, all payment= received by Lender under the Note~and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounu 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. C`arges; I.ieas. 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 shah 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 az 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 Property or any part thereof. S. Hazard lawrawce. Borrower shall kcep the improvements now• 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 az 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 by this Mortgage. 'I'Ire insurance carrier providing the insurance shall be chosen by Borrower subjcet 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 policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage j 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 shat! 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 carrier and Lender. Lender may make proof of loss if not made promptly by Borrower. j 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 ii 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 to the sums secured by this 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. if under paragraph I8 hereof the Property is acquired by Lender, all right, title and interest of Borrower in and to any huurance policies and in and to the proceeds thereot resulting from damage to the Property prior to the sale I or acquisition shah pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. 6. Prssenation and Maintenance of Property; Leaseholds; Condominiums; Planned Uait Devebpmeals. Borrower shall keep the Property in good repair and shall not comrpit yvazte or permit impairment or deterioration of the Property 1 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 Borrowers obligations under the declaration" or covenants creating or 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 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. 7. Protectioe of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action ur proceeding is commenced which materially affects Lender's interesP in the Property, including, but not limited to, eminent domain. insolvency. code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Lender at i.ender s option, upon notice to Borrower, may make such appearances, disburse such sums and take such action 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 Lender required mortgage insurance as a v condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such- ' inuurance in efixt until such time as the requirement for such insurance terminates in accordance with Borrower's and r ~ t _ t'!~ „ g .d BOOK 3~ t~~~~~ t