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HomeMy WebLinkAbout2221 - - f. ` UNrlOtal~t COVlNANTa. Borrower and Lender covenant and agree u follow:: 1. lhpttaetN of hinelpal ttttN Itatlerest. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidettoed by tl?e Note, Prepayment and Tate charges ac provided in the Note, and the principal of and inter+at oa soy Future Advances secured by this Mortgage. 2. llttr~is hr Tatrea facet G~wrtrce. Subject to applicable law ar to • written waiver by Lender. Borrawer shall pay to Letrdtr on the day monthly installments of principal and interest are payable under the Note. until the Note is paid in full, a stun (herein "Funds") equal to orte-twelfth of the yearly taxc. and assessments which may attain priority over this Mortgage. and ground rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance. plus one-twelfth of yearly prcmittm inuaflments for mortgage insurance, if any, all u reasonably estimated initially and teem time to time by Lender on the buffs of arse:cmenls and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which arc insured or guaranteed by a Federal of state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments. insurance premiums and ground rents. Lender may not charge for so holding and applying the Ftrnds. analyzing said account. or verifying and. compiling uid assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. •Borrower and LencJer may agree in writing at the time of execution of this Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement a made or applicable law requires such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Fundy and the purpose for which each debit to the Funds wu made. The Funds are pledged u additional security for the sums secured by this Mortgage. . If the amount o[ 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. assaanents, insuratce premiums and ground rents as 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 held by Lender shaft not be sufficieat to pay taxes, assessments, insurance premiums and ground rents as they fall due, Borrower shall pay to Lender any amount ttocessary 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, tender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 18 heron[ the Property is sold or the Property rs otherwise acquired by Lender. Lender ahrtll apply. Ito later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Leader at the time of application as a credit against the sums secured by this Mortgage. 3. Applieatioa of Payttne~ts. 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. d. t barges; Lkas. 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, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Ixnder 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 writrng Io 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 Iten or forfeiture of the Property or any pan thereof. S. Hanrd lasrrtnurce. 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 ro pay the sums secured Eby this Mortgage. The insurance 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 curler. ' All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage j 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 ail renewal notices and all receipts of paid premiums. In the event of loss. Borrower shall give prompt notice to the insurance carrier and tender. Lender may make proof of loss if not made promptly ! by Borrower. I Unless Lender and Borrower otherwise agree in venting, 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 restoratom 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 it Borrower fails to respond to Lender within 30 days from the date rwtice is mailed by Lender to Borruwer 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 Progeny or to the sums secured by this Mortgage. Unless Lender and Borrower other?~ ise 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 Property 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. 6. Prcser.•ation and 111ain1enance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower 7 shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property and shall compl}' with the provisions of any lease it this Mortgage is on a leasehold. if this Mortgage is on a unit in a condominium or a planned unit development, Borrower .hall perform all of Borrower's obGgauons under the declaration l 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 nder is executed by Borruwer and recorded together with this Mortgage, the covenants and agreements of such rider = shall bt 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 fads m perform the covenants and agreements contained in this ' Mortgage, or if any action or proceeding is cummrnced which materially affects Lender's interest in the Property, including. but not limited to, eminent domain. insohenc~. code cn(orcement. or arrangements or proceedings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, rosy make such appearances, disburse such sums and take such action as is necesary to pn?tect Lender's interest. including. but not limited to. disbursement of reasonable auomey's fees and emry upon the Property to make repairs. if Lender rcyuircd mortgage insurance as a condition of m:king the loan secured by this ~lartgage. Borrower shall pay the premiums required to maintain such insurance in affect until such ume as the requirement for ,uch insurance terminates in accordance with Borrower's and f ~~329 Pa~2219