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HomeMy WebLinkAbout0309 r UNtPORM GoveNxt~s. Borrower and Lender covenant and agree u follows: 1. l~ytrteal of hinefM! aril ItMeral. Borrower shall promptly pay when due the principal of and interest on the indt~tedness tvidentxd by the Nott. prepayment and late charges as provided in the Note, and the principal of and interest on soy Future Advances sxured by this Mortgage. 2. for Ta:M tmi Iwnr:ee. Subject to applicable law or to a written waiver by Lender. BotTOwer shall pay to Lender on the day monthly installments of principal and interest art payable under the Note, until the Note is paid in full, -r a sum (herein "Funds' equal to one-twelfth of the yeari}' tax~~ and assessments which may attain priority over this Mortjase, and ground rend on the Property. if any, plus one-twelfth of yearly premium installments for haurd inwrance. plus one-twelfth of yearly premium installments for mortgage instrrancc, if any, all u reasonably estimated initially and from time to time by Lender on the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which arc ituurtd or guaranteed by a Federal or start agency (including Lender if Lender is such an institution). 1_ender shall apply the Funds to pay said taxes. assessments. insurance premiums and ground rents. lender may not charge for sa holding and applying the Frtnds. analyzing said account, or verifying and compiling uid 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 Mortgage that interat on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law :s requires such interest to be paid. Lender shall not be required to pay Borrower any interat or earnings on the Funds. 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 wu made. The Funds are pledged u additional security for the sums secured by this Mortgage. If the amount of the Funds held by lender, together with the iuturc monthly installments of Funds payable prior to the due dates of toes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes, assemtents, insurance premiums and ground rtnts u they fall due, such excess shall be, at Borrowers option, either promptly repaid to Borrower or credited to Borrower on monthly inuallments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insgrAn~e; premiums and ground rents u they fall due, Borm~ver shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Leader to 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 rs otherwise acquired by Lender, Lender shall apply. rto later than immediately prier to the sale of the Property or its acquisition by Lender, any Funds held by Leader at the time of application as a credit against the sums secured by this Mortgage. 3. A*plicatiow of Prtyrdttaa. 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 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 Futtrre Advances. 4. Chuges; 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 paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower rltall 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 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 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. Halrsrd lasurawce. Borrower shall keep 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 as 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. 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 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 premiums. In the event of loss, E Borrower shall give prompt notice to the insurance earner 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 restoration or repair is not economically feasible or if the security o~f this Mortgage would be impaired, the insurance proceeds shall be applied to the stuns secured by this Mortgage, with the excess. if any, paid to Borrower- If the Property is abandoned by Borrower, or it 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. ~ (;niess Lender and Borrcv:er otherwise ague in writing, any such application of proceeds to principal sha!! not extend or postpone the due date of the monthly installments referred to in paragraph; 1 and ?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 ftisurance policies and iii and to the proceeds thereof resulting from damage to the Properly prior to the sale . or acquisition shall pass to Lender to the extent of the sums secured by this hortgage immediately prior to such sale or acquisition. r' 6. Preservation and !~trriatenance of Property; [.easeholds; Condominiums; Planned Unit Devebpments. Borrower shall keep the Property in good repair and shall not commit yvaste 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 condimiiiliiiti~ or a ~.iair'icd uriii dC~cla.pment, 8.^.rrL`:+~! +hsll perform a!! of Borrower's 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 constiturnt 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. Protection of Lender's Security. If Borrowrr fads to prrform the covenants and agreements contained in this Mortgage, or if any action or proceeding commenced which materially aBrcts Lender's interest 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 Lender's option, upon nonce to Borrower, may make such appearances, dishurse such sums and take such action as is necessary di protect Lender's interest, including. but not limited to, disbursement of . reasonable attorney's (ees and entry upon the Property to make repairs. If Lender rcyuircd mortgage insurance as a condition of making the loan srcure.l by this Mortgage. Borrower shall pay the premiums required to maintain such insurance in effect until such time as the reyuiremeiit for such insurance Terminates in accordance with Borrower's and e (I 327 ear 3t18 - -