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HomeMy WebLinkAbout0729 • - ' _ t Utrtratas Covat+atns. Homower snd Lender covenant and agree ss fellows: L >ngmsM e>t Ihltte*al tttsi IahraA. Borrower shall promptly pay when due the principal of and interest on the iadebtedaess evidenced by the Note. prepayment and late charges ac provided in the Note, and the principal of and interest oa any Ftrtttre Advances secured by this Mortgage. >Erais fitr'I'aaa ttM lanstrce. Stitbject to applicable law ~x to a written waiver by Lender. Borrower shall pay to Leader on the day tttonthly installments of principal and interest arc. payable under the Note, until the Note is paid in full. a start (herein "Fuads'q equal to one-twelfth of the yearll• tax~~ and assessments which may attain priority over this Mortgage. and ground trouts on the Property, it any, plus one-twelfth d yeatiy~ premium installments for hazard insurance. plus oae•twelfth of yearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and from time to time by Leader oa the basis of assessments and hills and reasonable estimates thereof. 'ILe Fttttds shall be bald in an institution the deposiu or accounts of which are insured or guaranteed by a Federal of state agency (including Fender if Lender is wch an institution). Lender shall apply the Funds to pay said taxes, assessments. iuwr~rnoe premiums and ground rents. lender may not charge for sa holding and applying the Funds, analyzing said account. or vtxitying acrd compiling said sssessments and bills, unless Lender pays Borrower interest on the Funds and appligble law permit: Lender to make wch a charge. Borrower and Lender may agree in writing at the time of execution of this Mortgage tbat interest on the Funds shall be paid to Borrower. and unless such agreement is made or applicable law roquires such interest to be paid. Lender shall not be required to pay Borrower any interest or grnings 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 eacb debit to tl~e Funds was made. The Funds are pledged as additional security for the wms secured by tha Mortgage. If the amount o[ tba Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of lases, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. aaesaoents, irtsuraaoe premiums and ground rents as they fall due, such excess shall be, at Borrower's option. either promptly repaid to Borrower or crodited to Borrower on monthly installments of Funds. If the. amount of the Funds 6eid by Lender shall not be suit to pay taxes. assessments. insurance premiums and ground rents as they fall due. Borrower shall pay to Lender any amount nocessary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requesting payment thereof. . Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Fund: held by [.coder. If under paragraph 18 hereof the Property a sold or the Property rs otherwise acquired by Lender. Lender shall apply, no later than immediately prior to the sale of the Property or it: acquisition by Lender, any Funds held by Lender at the time of application at a credit against the sums secured by this Mortgage. 3. A~larr of ~ 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 Future Advances. 4. C<targes; 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 thetrof. Borrower shall promptly furnish to Lender all notices of amount's due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly fumish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage: provided, tha} Borrower shall not be required to discharge any such lien so brig as Borrower shall agree in writing to the payment o~ 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 liar in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S. Hazard Innraace. Borrower shall keep the improvements now existing or hereafter eructed on the Property iawrcd 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. 'I]te insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender. provided. that wch approval shall not be unreasonably withheld. All premiums on insurance policies shad be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner. by Borrower making paymatt. when due. directly to the inwrance carrier. All insurance policies and renewals tbereof 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 policiet and renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all roaipts 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 otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Properly 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 by Borrower, or if Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrowenthat 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 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower t in and to any Insurance pdicies 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 immediately prior to such sale or acquisition. - 6. Trerervatioo and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Devebpmeats. Borrower shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property t 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 ! :ondominium or planned unit development, and constituent documents- If a condominium or planned unit development d rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements 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 Leader's Security. If Borrower fads to perform the covenants and agreements contained in this I Mortgage, or if any action or proceeding is commenced which materially affects 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 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 condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such inuurance in effect until such time as the requirement for such insurance terminates in accordance with Borrowers and ' - 6G'~(~ PAGE I~c