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HomeMy WebLinkAbout1504 • - i, ' UNtratat OovBrrst+ttt. Borrower and Lender covenant and agree as follows: Ftpwtewt e/ ><riwe4sl tttati Iwknd. Borrower shall promptly pay when due the principal of and interest on the irtdebtedetess evidenced by the Note, prepayment and late charges ac provided in the Note. and the principal of sad interest an any Future Advances secured by this Mortgage. ~ 1 lltwtls fir Taws ttM Iwwnwt~e. Subject to applicable law rx to s written waiver by Lender. Borrower :hall pay to Leader on the day monthly installments of principal snd internal arc. payable under the Note, until the Note is paid in full. a sum (herein "Fuads'7 equal to one-twelfth of the yearly tax~~a and assessrrrents which may attain priority over this Mortgage, and ground rents on the Property, it any. plus orte-twelfth of yeatiy~ premium itWallrntents for hazard iraurarrce. plus ooo-twd[th of yearly premium installments for mortgage inurrant:e. if any. all as reasonably estimated initially and from time to tune by Lender on the basis of assessments sad hills and reasonable estimates thereof. The Furls shall be held in an institution the deposits or accounts of which are intsuted or guaranteed by a Federal at ~ state agency (inchding bender if Lender is such an institution). -I~nder shall apply the Funds to pay said taxes, assessments. tnwrsnoe premiums sod ground rents. i_ender may not charge for se holding and applying the Funds. analyzing said account. a verifying.aad compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and appiigbk law permits Lender to make such a charge. Borrower sad Lender may agroe in writing at the time of execution of this Mortgage that interest on the Funds shall be paid to Borrower. and unless such agroertrerrt is made or applicable law regwres sutdt interest to be paid, Lender shall not be required to pay Borrower any interest or arnings on the Funds. Lender shall give to Borrower, without.cbarge, an annwl accounting of the Funds showing crodits aril dtbits to the Funds and the purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the wens secured by this Mortgage. 8 the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes, asse:ments, inwrance premiums and ground rents, shall exceed the amount required to pay said taxes. assasrwents, iwunnoe premiums and ground rents ss 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 hNd by Lender shall not be wfficient to pay taxes, anessrrtents. iruuranue premiums and ground rents ss they fall due, Borrower 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 [ull of aU sums secured by this Mortgage, Lender shall promptly refund to Borrower any Furl: ' heW b7? Lender. If under paragraph 18 hereof the Property is soW or the Property a: otherwise acquired by Lender, Lender shall apply, no later then immediately prior to the sale of the Property or its acquisition by tender. guy Funds held by Lewder at the time of application as a credit against the :urns secured by this Mortgage. ~ AllBcatisw et lgmenlr. Unless applicable law provides otherwise. all payments ~receivod by Lender under the Note and paragraphs l and 2 hereof shall be applied by Lender first in payment of amount: 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 Advanrces. . 1. Cdrges; Likws. Borrower shall pay all taxes, assessments and other charges, tines and impositions attributable to ~ the Property which pray 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 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 bng as Borrower shall agree in writing to the payment of ibe obligation secured by such lien in a manner atxeptabk to Lender, or shall in good faith contest such lien by, or defend enforcement of :uch lien in, - kgal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or-any part thereof. S. Htaard Iwrawee. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by tire, hazards included within the term "extended coverage", and such other hazards ss Lender may require awl in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of such rnverage exceed that amount of coverage required to pay the sums secured by this Mortgage. The imurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided, that such approval shall not be unressonably withheld. All premiums on insurance policies shill 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. Al) inwrance 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 rcrtewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. in the evenf 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 Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If such restoration of 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 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 ~I stub installments. If under paragraph 18 hereof the Pro ferry is acquired by [.ender, all right, title and interest of Borrower in and to any lhsurance policies and in and to the procceds thereof rewlting 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. - f. Prwerratlow awl Maintenance of Property; Leaseholds; Condominiums; Plawned Uwit Devdormewts. Borrower shall keep the Property in good repair and shall not comroit_ yvaste or permit impairment or deterioration of the Property and shall comply with the provisions of any lease i[ 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 condominium or planned unit development, and constituent 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 Sectirily. If Borrower fails to perform the covenants and agreements contained in this 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 insurance. in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and ef;iK 3~$ P~cE~.rj04