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HomeMy WebLinkAbout2756 .L. • t~~~: J« i UwiratK Covtartxrns. Borrower and mender covenant and agree as follows: )j. >Mjrmsot of leYtelM1 tttttti Irtlestesf. Borrower shall promptly pay when due the pritcipal of and interest on the ittdebtedtress evidenced by the Not0. prepaytneat and late charges as provided in the Note, and the principal o[ sad interest cn any Futuna Advances secured by this Mortgage. 2. lttttii ter Tataa tterti lnwt~ea Stirbject to applicable law or to a written waiver by Lender, Botrosrtr snap pay to Lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (I?a'eIn "Frurds'~ equal to vae-twelfth of the yearly taz~-c and assestrnenu which tray attain priority over this Mortgage. and gnortttd rata oa the Property, if any. plus one-twelfth of yearllr- premium installtrnnu for hazard insurance. plus one-twelfth of yearly premium installments for mortgage insurance, it any. all as rca:onably estimated initially and trap dine to time by Lender on the basis of assessments and hills and reasonable estimates thereof. 'I1re Funds shall be held in an institution the deposits or accounb of which arc irrwred or gwranteed by a Federal of state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessrrrenu. iawrattce premiums and ground rents. !.ender may not charge for :n holding and applying the Frtttds, analyzing said account, or vatifying_attd compiling said assessmenu and bilk, unless Lender pays Borrower interest on the Funds and applicable law permib Lender to make such a charge. Borrower sad Lender may agree in writing at the turn o[ execution of this Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement is made or applicable law requira such interest to be paid. Lender shall not be regained to pay B~rzower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debiu to the Funds and the purpose for which each debit to the Funds was made. The Funds arc pledged as additional security for the wins secures by this Mortgage. - Tt the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes. ataasmenu, inwrantx premiutru and ground rents, shall exceed the amount required to pay said taxes. assessments, insurance premiums and ground rents as they tall 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 heW by Lender shall not be wheat to pay taxes, assessments, insurance premiums and ground rents as 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 payateat in fuU 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 ~ otherwise acquired by Lender. Lender shall apply. rro later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application az a credit against the sums secured by this Mortgage. 3. A~eatiort of )raymeNs. Unless applicable law provides otherwise, all payments .received by Lender under the Note sad paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower - uader paragraph 2 hereof, they to interest payable on the Note, then to the principal of the Note. and then to interest and principal on soy Future Advaooes. 4. Granges; Liews. 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 shall promptly furnish to Lender all notices of amounts due under this paragraph, sad is the event Borrower shall make payment directly, Sorrower 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 F 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. Hazard las»nrrce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hoards included within the term "extended coverage", and such other hazards as Lender may require sad 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 ~y this Mortgage. The' insuratce 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 i provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment. when due, directly to the inwrance 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 Ions, 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 j not thereby impaired, If such restoration or repair is not economically feasible or if the stcurity 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 abandon~d_by Borrower, or if Borrower fails to respond_ to Lender within 30 days from the } date notice is mailedd 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 tbe 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 iratallmeuts. If under paragraph 187rereof the Proteriy is acquired by Lender, all right, title and interest of Borrower in and to any insurance policies 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. t+. ltrservation sad Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property 1 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 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 Security. 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. inu.lvency. 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 lake: such action a~ 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 t_cnder required mortgage insurance as a $ condition of making the loan secured by this Mortgage. Bcirrawer shall pay the premiwns required to maintain such insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrowers and I s t • 8328 PA~E2755 ~ _