HomeMy WebLinkAbout0172 a ~T
UNIFORxt raV1aY \NTS. Borrower and Lender cm•en:+nt and agree as follows:
1. Payment of Principal and Interest. Burrower shall promptly pay when due the principal of and interest on the
indebtedness evidenced by the Note, prepayment and late charge. ac provided in the Nate, and the principal of and interest
on any Future Advances secured by this Mortgage.
2. Funds for Tatres and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
to Lender an 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 one-twelfth of the yearly taxes and assessments which may attain priority over this
Mortgage, and ground rents 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
time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
The Funds shall he held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
state agency (including Lender if 1_ender is such an institution). tender shall apply the Funds to pay said taxes, assessments,
insurance preniiunis and ground rents. Lender niay not charge for sa holding and applying the Funds, analyzing said account,
or verifying and compiling said assessments and bills, unless Lender pays 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
;kortgage that interest an 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 pa}• Borrower anp interest or earnings on the Funds. Lender
shall give to Borrower, without charge, an annual aca~unting of the Funds showing credits and debits to the Funds and the
purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured
by this Mortgage.
if the amount of the Funds held by lender, together with the future monthl}• 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 tall due,
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting payment thereat ,
Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Harrower any Funds ,
held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by lender, 1_ender
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. Application of Payrneats. 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 pa}•able to I_endcr 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. Charges; Liens. Borrower shall pay all taxes, assessments and other charges. fines and imlx~sitians auributable to
the Property which may attain a priority over this Mortgage, and leasehold payments ar 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 Burrower 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, ar shall in goad faith contest such lien hy, ar defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property ar any part thereof.
5. Hazard Insurance. Borrower shall keep the improvements now existing ar 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 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 unreasonably withheld. All premiumc 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 tq the
insurance carrier.
' All insurance policies 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 policies and renewals thereof,
and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiumc. in the event of loss,
Borrower shall give prompt notice to the insurance carrier :Ind Lender. tender may make prex?f 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 restoration or repair is not economically 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 h}• Borrower, or if Harrower faas to respond ro Lender within 30 days tram the
date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, 1_ender
is authorized to collect and apply the insurance proceeds at l.ender•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, am• such application of proceeds to principal shall not extend
or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof ar 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 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 immediaiel}• prior to such sale or
acquisition.
6. Preservation and ~taiolenance of Property; Leaseholds; (.'ondominiums; Planned Unit De~•elopments. Borrower
shall kCCp ibC Prvpefiy Itt good rCNatr afid sh811 nvt CAriiiiili svnsfe ~~r permit impairiiic:,i or detcitvratii3i, of iia^, P: v~.Crty
and shall comply with the provisions of any lease if Chic Mortgage is vn a leasehold. li this Mortgage is an a unit in a
condominium or a planned unit dcvelapmcnt, Borrower .hall perform all of Borrower's obhgatians under the declaration
or covenants creating or governing the condominium or planned umt development, the b}•-laws and regulations of the
condominium or planned unit development, and constituent documents. If a condominium or planned unit des•elapment
1 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 covenanh and agreements of this Mortgage as if the Cider
i were a part hereof.
7. Protection of Lenders Security. if Harrower fails to perform the covenants and agreements contained in this
Mortgage. or if any action or pra;eeding is commenced which materialh cttfects Lender's interest in the Property,
including, but not limited to, eminent domain, incolvenc}•, ctxle enforcement, ar arrangements ar pn?ceedings invoking a
bankrupt or decedent, then Lender at Lender's ol+tian. upon notice t.~ Barmw•er, 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
condition of making the loan secured by this Mortgage. Horn,wcr shall pay the premiums required to maintain such
insurance in effect until such pine as the requirement for such insurance terminates in acrnrdance with Borrowers and
• • ~ ''R 327 P~~E 171
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