HomeMy WebLinkAbout0182 • t ~
I.JNtPORM (AVENAtiTS. Borrower and Lender covenant and agree ss follows:
Th lywsnt of ftrie}el aoi Lter+est. Borrower shall promptly pay when due the principal of turd interest on the
:ttdtdttedrte~ svidentxd by the Note. prepaynxnt and late charges ac provided in the Note,.and the principal of snd interest
oa any Fwure Advances sectrrod by this Mortgage.
2. >Ptwit ftK Tua acct ItwrYCe. Subject to applicable law ur to a written waiver by Leader. Borrower shall pay
to Lender on the day monthly installments of principal and intcrect ire payshk under the Note. until the Note is paid in full,
a sum (herein "Funds") equal to one-twelfth of the yearl~~ taxc. and assessments which may attain priority over this
Mortgage. and ground rents on the Property, if any, plus one-twtlith of yearly premium instailrrtents for hazard insurance.
plus one-twelfth of yearly premium installments for mortgage insurance. if any, a!I as reasonably estimated initially and from
time to time by Lender on the basis of assessments and hills and rcaaonable 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 institutionl. Lender shall apply the Funds to pay said taxis. assessments,
irtsurttnce premiums and ground rents. i.ender may not charge for so holding and applying the Fttndc. analyzing said account,
of verifying and rnmpiiing 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 o[ execution of this
l4!ort~~ that inter+e~t on the Funds shall be paid to Borrower. and unless such :grctment is made or applicable law
requires such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Futtids, 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. The Funds arc pledged as additional security for the sums secured
by this Mortgage.
If the smount of the Funds held by Lender, together with the future monthly 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.
assesatnents, ittsunnee premiums and ground rents as they fall due, -such excess shall be, at Borrowers option, either
pranptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall not be sutEicient to pay taxes, assessments, insurance premiums and ground rents as they fall due.
Bortro~rer shall pay to Lender any amount rteeessaty to make up the deficiency within 30 days from the date notice is mailed
by Linder to $orrower requesting payment thereof.
Uport payment in full of all surtts_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. no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
[,ender at the time of application as a credit against the sums secured by this Mortgage.
3. ArpUcatios of Paymetfs. Unless applicable law provides otherwise, all payments received by Lender under the
Note sad paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by $orrower
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.
Charles; Lletas. Borrower shat! 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 shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
$orrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evide_ racing such payments. ,
Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that $orrower shall not be
requited 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 Iren or forfeiture of the Property or any part thereof.
3. Hazard Inwntrrce. 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 Ihis Mortgage.
'Itte ituurance 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.
Ali tnsiitancc policies acid ren~warls thereof she!=. ~ in fern uecep!able 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 a!I 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 otherwrx: 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 it
not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
bt 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 rexpond 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 I and 2 hereof or change the amount of
such installments. If under paragraph I8 hereof the Proferty is acywred by Lender, all right, title and interest of Borrower
in and to any insurance policies and in and to the proceeds thereo[ resulting (coin damage to the Properly 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
acquisition.
6. PtYSenation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit IJevebpments. Borrower
shall keep the Property in good repair and shall not comtpit yvaste or permit impairment or deterioration of the Property
and shall comply with the provisions of any tease if thn Mortgage i~ on a leasehold. If this Mortgage is on a unit in a
condominium or a planned unit development. Borrower shall perform all of Borrower's obligations under the declaration
or covenants creating or governing the condomrmum or planned unit development, the by-laws and regulations of 'the ;
condominium or planned unit development. and constituent documentti. If a condominium or planned' unit development
• ndet is executed by Borrower and recorded together wuh thrti 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 Br,rroHCr fair to perform the covenants and agreements contained in this
Mortgage, or if any action ur proceeding r~ commenced which materially affects Lender's interest in the Property.
including. but nut 6mrted to. em?nent domain. imolsenr~. arcle' enforcement. or arrangements or proceedings invoh•ing a
bankrupt or decedent, then Lender at Lender's option, upon nonce to Borrower. may make such appearances, disburse such
sums and take such acyion a? is recce«ar} 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 f.cnder reyuircd mortgage insurance as a
condition of making the loan tiecured by this Mortgage. Burn:wer shell pay the premiums required to maintain such
insurance in erica until such time .:rs the requirement for .uch m~urance terminates in accordance with Borrower's and
~
.r
lIK ~~~~pp
• 8~~?O PACE ~82