HomeMy WebLinkAbout2754 Borrower and Lender rnvenant and agree as follows:
1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest un the indebtedness
evidenced by the Note. prepayment and Tate charges as provided in the Note, and the principal of and interest on any Future Advances secured
by this Mortgage.
2. Funds for Taxes and Insurance. Subject k? npplif•able low or W a written waiver by Ixnder, liurn,wer shall pay to l.enderun theday
monthly installments of principal and interest are payable under the Nole, until the Note is paid in full, t+ sum Therein "Funds") equal to one,
twelfth of the yearly taxes and assessments which may alt:+in priority over this Plortg:+ge, and ground rent.. on the Property, if any, plus one-
twelfth ofyearly premium installments for hazard insurance, plus onetweltth of yearly premium installments fur murtg:+gr insurance, if any,
all as reasonably estimated initially and from time to time by Lender on the 1?:+sis of t+ssessmrnta and bills and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency
!including Lender if Lender is such an institution). Lender shall apply the Funds to p:+y said taxes, assessments, insurance premiums and
ground rents. !.ender may not charge for so holding and applying the Funds, analyzing said aiY•uunt, ur verifying and compiling said
assessments and bills, unless !.ender pays Borrower intemst on the Funds and applicable law permits Lender to make such a charge. Borrower
and [.ender may agree in writing at the time of execution of this Mortgage that interest un the Funds shall be paid to Borrower, and unless
such agreement is made or applicable law requires such interest to be paid, !.ender shall nf,t be required to pay Burrower any interest or
earnings on the Funds. !.ender shall give to Burrower, without charge, an annual accounting of the Funds showing cmdits and debits to the
Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security fur the sums secured by this
Mortgage.
If the amount ottee Fonda held by Lender, together with the future monthly installments of Funds payable prior to the duedates 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 Bo+TOwer's option, either pn,mptly repaid to Burrower or credited to Borrower on
monthly installments of Funds. If the amount o[ the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance
premiums and ground rents as they fail due, Borrower shall pay to bender any amount ntcestiary to make up the deficiency within :t(?days
from the date notice is mailed by Lender to Borrower requesting payment thereof.
Upon payment in full of all sums secured by this Mortg:+ge, !.ender shall promptly refund to Fturruw•er any funds held by IA nder. If under
paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender sh:+ll apply, no later than immediately prior
to the sale cf the Property or its acquisition by bender, any Funds held by Lender at the time of application as a credit against the sums secured
by this Mortgage.
3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and
paragraphs i and 'l hereof shall be applied by Lender first in payment of amuunt,5 payable to bender by Borrower under paragraph 2 hereof,
then to interest payable on the Note, then to the principal of the Nute, and then to interest and principal on any Future Advances.
4. Charges: Liens. Born+wer shall pay ail taxes, assfssments and uthercharges, tint's and impositions attrihutablr tothr Property which
may attain a priority over this Mortgage, and leasehold payments ur gn,und rent.. if any, in the manner pruvidtd under paragr.+ph'l hereofor,
if nut paid in such manner, by. Burrower making payment, when due, dirt•c•tly to the paye•t• there•+,f. Bgrn,wf•r shat pn,mpth• furnish to i.ender
all notices of amounts due under this paragraph, and in the scent Burn,wer shall m:+ke payment dirrc•th•. Iturrg~eer sh:+ll promptly furnish to
Lt•nder recript_s evidencing such payments. ItC,rruwrr shall prompt!}• discharge am• !ien which ha. prinrih• over this ~lurtgage; pnn•ided, that
Borrower shall not be reyuin•tl todischarge-shy such lien su lung as Bumnver shall c+grer in writing to the payment of theubligatinn sfcurcrl by
such lien in a manner acceptable to Lender, ur shall in gr,c,a faith runtest such li+•n hy, or defend +•nfnrcen+ent of such lien in, legal prc,c•trclings
~chich operate tc? prevent the e•nG,n•ement +~f the lien ur fnrG•iiun• gf the I'mpt•rt>- or :u+y part thertr,f.
5. Hazard Insurance. Korruwer shall ke'l'p tht• improvements now existing or ht•n:+fter en•t•ted un tht• 1'rupe•rty insured against loss by
fire, hazards included within the term "extende•tt coverage," and sut•h other hazards as 1.t•nder ma>• rt•ctuin• and in sut•h amounts and fnrsuch
pt•riods us Lender may require; pn,vidt•d, that Lt•nder shall not regain, that the amount of such cy,verage exct•t•tl that amount of coverage
rt•ctuired to pay, the sums sf•c•un•tl by this Mortg:+g+•.
The insurance carrier providing the inwruu-e ah:+ll hr chosen by Bnrnnver subject tr. approval he Lender: pn,vid+,1• that such appnn•al
shall not tx unreasunabh• withheld. All pn•n+run+s gn +nsursnce pnhcit•s shall ht• p:+id in the manner pn,~idc,l undrr paragr:+ph'~ heny,for, if
nut paid in such manner, by li+,rrgwer m:+king paynu•nt. when due. ,lirc•t•tly to the insurance carri:•r.
All insurance pc,lic•ies and rrnew•als thert•+,f shall },t• in form acceptahlr d, I.tmder and shall include:+standard mortgage clause in favor of
and in form acfrptable to 1.•nder. Lender shall have the right to hold the pghcies and n•newals tht•ni,f. and Rurr+,.ver shall pn,mptly furnish to
I~ r.ender all renewal notices and all ree•eipts of paid premiums. In the event c,f loss. Burroti•er shall give prompt notice to the insurance carrier
i and Lender. Lender may make prc>t,f of loss if nut madt• promptly by Borr+,w-rr.
t?nless Lender grid Fic,rn,wrr otherwise agrtr in writing, insurance pn,ct•t•ds shall I,c• atipli+•ct to h•storation or repair n(the Property
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damaged, provided such rc•stnr.+tiun ur n•pair is tvonnmically fe:+sihh• and the st•c•urih• of this Mortgage i:: not thert•hv impaired. If such
restoration or repair is nut tronumically frasiblr.,r if the aw.•urity of this Mortgage would t,t• impaired, the insurance pn,cee•dsshall tx• applifd
a, the sums secured by this Mortgage, with the excel., if any, p:utlto I~,rn,wvr. If the Pro{x rty is abandoned try Bom,w•er•or if Ilc,m,w•rr fails to
E respond to Lender within all days frnm the date notice is mails! by 1,c•t:drr to Borrower that the insurance carrier offers to settle a claim for
insurance benefits, I.f•nder is authorizt•c1 to colbr•t :uul apph• thc• insurance pn,c•eeds at I ~•nder's option either to n•storation or repair of the
I'n,perty or the sums strurecl by this Mgrtg:+gr.
Unless bender and Burrower otherwise, agn•r in writing, any such application of prrx•er•ds to principal shall not extend or p,stpone thedue
date of the monthly installments n•fern•cl to +n paragraphs ! and'-' hen•nf .,r change the :unount of such installments. If undrr paragraph IK
hereof the Pmperty is acyui:!•d by l.t•nder, :+II right, t+tle and intrn•st .,f Born,we•r in and b, any insurance policies and in and to the pn+cfrds
{ therer,f resulting frnm damage to I'mperty prior to the sale ur acyu+sitiun shall p:+ss (n Lender w the extent of the sums secured by this
~lgrtgage immediately prior to such sale or acyuisitic,n.
6. Preservation and Maintenancc•of Property: Iw•asehulds: ('ondominums; Planned !'nit Developments. Burrowershall keep
the Property in guc,d repair and shall nut commit waste or permit impairment .,r d+•teriur.+tion of the Pr~tx•rty and shall comph• with the
provisions of any least, if this Mortgage is un a leasehold I€ this ~lortgagr is nn unit in a cundgminiurn or a pL•mnrd unit development,
Born,wer shall perform all of Iturrmaer's ohligatn,ns undrr th+• dt•c•laration ur covrnaris crrat+ngur gucernmg the cgndnminium or planned
t unit development, the by-laws and regulations of the, cgndnminium or plannt•d unit development, and constituent documents. if a
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~ ,•undominium nr planned unit development nder is ext•t•utt•cl by 13c,rr~,wrr :+nd nr urdtcl together with this Mortgage, the covenants and
agreements of loth nder shall hr incorpor.+ted into and sh:+ll an+e•nd :+nd supplrnu•nt the covenants and agn•emt•ntsufthis ~lurtgage as if the
rider were a par± hertN,f.
1 7. Protection of Lender's Security. If 13crrrower fails to perform the rnvenants and agreements contained in this Mortgage, or if any
action or pn,ceeding is commenced which materially :+ffects Lender's interest in the i'roperty, including, but not limited to, eminent domain,
insolvency, rnde enforcement, or arrangements or pn,ceedings involving a bankrupt or decedent, then Lender at Fender's option upon
notice to Borrower may make such appearances, disburse such sumB and take such action as is necessary to protect Lender's interest,
including, but not limited W, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required
mortgage insurance as a cond•.tion of making the loan secured by this Mortgage, It+,rrow•er shall pay the premiums required to maintain
1 such insurance in effect until such time as the requirement fur such insurance terminates in accordance with Borrower's and bender's
written agreement or applicable law. Bormwer shall pay, tht• amount of all mortgage insurance premiums in the manner provided under
paragraph 'l herex,f.
Any amounts disbursed by Fender persuant tc, this paragraph with interest therecm, shall become additional indebts_•dnesa of
Borrower secured by this Mortgage- Unless l3c,rn,wer and (.ender agree G, other terms of payment, such amounts shall be payable upon
t notice frnm I:ender tc, Burrower rf•yuesting payment thereof, and shall brat interest from the date of disbursement at the rate payable from
time to time nn outstanding principal under the tiute unless payment of interest at such r+tt• would I,e contrary to applicable law, in which
event such amounts shall bear interest at the highest rate pf•rmissihle undrr applie•ahle law. Nothing contained m this paragraph 7, shall
~ require Lender G, incur any expense or take any action hereunder. •
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