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HomeMy WebLinkAbout0197 ~ i• ~~~t UNtroltM OOVlNet+ra. Horr+ower and Lender covenant and ogres as folkws: L 1<gweM eg lhf~ aatl laNsesl. Borrowu shall promptly pay when due the principal of and interest on the irtdebtednees evidenced by the Note. prepayment and late charges as provided in the Note. artd the principal of and interest as soy Futuro Advances secured ~r this Mortgage. t ltrais fter 'liszea ant Iaeanace. Subject to applicabk law or to a written waiver by Lender. Horr~ower shall pay to Letrder on the day monthly installments of principal and interest arc payable under the Note, until the Note is paid in full. • sum (Itet'ein "Fuads'~ equal to one-twelfth of the yearly tax~~ and assessments which may attain priority over this Mortgage, and ground vents oa the Ptnperty. it any. plus one-twelfth of yearly premium installments [or hazard insurance, plus one-twelfth of yearly premium installments for mortgage insurance, i1 any. all as reasonably estimated initially and from tints b time by Leader on the bass of assessments and hills and rcasonabk estimates thereof. 7Ue Funds shall be held in an institution the deposits or accounts of which are inwr+sd or guaranteed by a Federal of state agency (including lender if Lender is such an institution). Lender shalt apply the Funds to pay said taxes. assesarnerrts. inwranoe premiums and ground rents. lender may na charge for :n holding and applying the Funds. analyzing said account, or verifying and compiling said asseuments and bills, unless Lender pays Borrower interest on the Funds and appligbk law permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mortpge that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicabk law requires such interest b be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give b Borrower, without charge, an annual accounting of the Funds-showing credits and debits to the Funds and the pupttse for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by the Mortgage. . If the amount of the Funds held by Lender, together with the future monthly installments of Funds payabk prior to the due dates of taxes. assessmenb. insurance premiums and ground rents, shall exooed the amount required to pay said taxes. asseeeaotents, insurance premiums and ground rents as they tall due. such excess shall be. at Borrower's option, either pranptly repaid to Hormwer or credited to Borrower on monthly installments of Funds. If the amount of the Funds heW by Lender shall not be sul6cieat to pay taxes. iasessrrrlent:. insurance premiums and ground rents a: they tall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days front the date notice is maikd by I~eoder b Borrower t+egtresting payment thereof. Upon payment in full of all stuns secured by this Mortgage. Lender draft promptly refund to Borrower any Funds heW by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. Lender :ball apply. no later than immediately prior to the sak of the Property or its acquisition by Lender. any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. A~catioa of Pgtrseeb. 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 her~oof. then to interest payabk on the Note, then to the principal of the Note. and then to interest and principal on any Future Advances. Cttarses; 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 ther+cof. 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 shalt 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 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. Berard Inwrawce. 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 rnverage exceed that amount of coverage required to pay the sums secured Eby this Mortgage. I 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 iawrance 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. Tn the event of loss. Borrower shall give prompt notice to the insurance carrier and Lender. 'Lender may make proof of loos if not made promptly by Borrower. - Unless Lender and Borrower otherwise agree-in writing, insurance proceeds shall be applied to restoration or repair of fff the Property 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 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. j 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 1 and• 2 hereof or .change the amount of such installments. If under paragraph 18-hereof the Proferty 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 shat! pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. i 6. Preservation and h'laiotenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or dtterioration of the Property 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 f rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements of such rider s 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 Securlfy. if Borrower fails to perform the covenants and. agreements contained in this Mortgage, or if any action or proceeding ~s 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, disbu en t of reasonable attorney's tees and entry upon the Property to make repairs. If Lender reyuircd morJ~~ itlsOrar~lce as a condition of making the loan secured by this Mortgage. Borrower shall pay the premiums requited to maintain such i t insurance in eBect until such time as the reyuiremem for such insurance terminates in accordance with Bormwer's and F a 11$ s~,nK 335 ~~~E _197 = 3