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HomeMy WebLinkAbout1715 Borrower sad Lender covenant sad agrw u folbws: 1. Payment of Priaeipal sad latere~st. Borrower shiU.promptly pay when dw the principal of and interest on the indebtedness evMenoed by the Note, p»payment sad late chargss u provided in the Note, and the principal of and interest on any Ftitture Advances secured by this Moetgaga Z. l~tads for Taxes sad lwuraaoe. Subject to applicable law or to a written waiver by Lender. Borrower shall.pay to Lender on the day monthly installments of principal sad interest are payable under the Note, until the Note is paid in full, s sum (herein "Funds'h equal to o~~- twelf W ofthe yearly taxes and assesamenta which may attain priority over this Mortgage. and ground rents on the Property. if any. ptw one twelRh of yearly premium instdhnenb for hazard insurance, plus one•twelfth of yearly premium installments for mortgage insurance. if any, sU u nasonab~y estimated initiaU,y and from time to time by Lender on the basis of assessments and bills and reasonable estimates thereof. The Funds shall be held in an insiJitntion the deposits or accounts of which are insured or guaranteed by a Federal or State agency (including Lender if Leader iasuch as institution). Lender shall apply the Funds to pay said taxes. assasanenb, insurance premiums and - gronnd rests. Lender may not charge foe w hokjine and applying the Funds. analyzing said account, or verifying and compiling said assessments and biW, unlace leader pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lerld~ mqy agree in writing at the time of a:ecutioa of this Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law requirei 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 11mds and the purpose for which each debit to the Funds was made. The Funds are pledged u additional security for the awns secured by this Mortgage. ' If We amount of We Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of tares, 1 assessments. iwuranoe premiums and ground rents, shall exc+xd the amount required to pay said taxes, assessments, insurance premiums and ground rents u they fall due, such esoess shall be, at Borrower's option, either promptly repaid to Borrower or credited b Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents u Way fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days i from the date notice is mailed by Lender to Borrower requesting Payment Wereof. Upon payment in full of all sums secured by Wis Mortgage. Lender shall promptly refund to Borrows any funds held by Lender. If under ' paragraph 181sereof the 1'ropedy is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later Wan immediately prior to We sale of the Property ~ its acquisition by Bender. any Paredes held by Lender at the time of application as a credit against the soma secured by Wier Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under We Note and paragraphs 1 and 2 hereof shall be applied by Lender firs[ in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, Wen to interest payable on We Note, Wen to We principal of We Note, and Wen-to interest and pr:ncipal on any Future Advaneea. 4. Charges; 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 thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in We event Borrower shall make payment directly, Borrower shall promptly furnish to Ixnds receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, Wat Borrower shall not berequired 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 We enforcement of the lien or forfeiture of the 1'roperiy or any part thereof. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "eztended rnvsage,"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 We amount of such coverage exceed that amount of coverage required to pay We sums secured by this Mortgage. The insurance carrier. providing the insurance shall be chosen by Borrower subject to approval by Ixnder, provided, that such approval- ' shall not be unreasonably withheld- Atl premiums on insuranrn 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 carrier. All insurance policies and renewals Wereof shall be in form acceptable to Lender and shalt include a standard mortgage clause in favorof and in form acceptable to Lender. Lendsshall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to Lends all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shall give prompt notice to the insurance carrier t and Lender. Lender aLay 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 or repair is not economically feasible or if the security of this Mortgage would be impaired, Weinsurance proceeds shall be applied to We soma secured by this Morigage,wi W the excess, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender wiWin 30 days from We date notice is mailed by Lender to Borrower Wat We insurance carrier offers to settle a claim for insurance benefits, Lender is authorized tb collect and apply Weinsurance proceeds at Lender a option either to restoration or repair of the Property or We same 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 We monWly installments referred to in paragraphs 1 and 2 hereof or change We amount of such installments. If render paragraph 18 hereof We Property is acquired by Lender, all right, title and interest of Borrower in and to any insurance policies and in and to We proceeds thereof resulting from damage to Property prior to We sale or 9cquisition shall pass to Lender to We extent of We soma secured by Wig Mortgage immediately prior to such sale or acquisition. 6. Preservation and Maintenance of Property; Leaseholds; Condominums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply wiW We provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a rnndominium or a planned unit development, Borrower shall perform all of Borrower's obligations under We declaration or covenants creatingor governing We condominium or planned unit development, We by-laws and regulations of We condominium or planned unit development. and constituent documents. If a condominiwn or planned unit development rider is executed by Borrower and recorded together wiW Wier Mortgage. We covenants and agreements of such ridershall be incorporated into and shall amend and supplement thecovenants and agreementsof this Mortgagees ifthe rider were a part hereof. 7. Protection of Lender's $ecarity. If Barrows fails to perform We covenants and agreements rnntained 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 enforoanent, or arrangements or proceedings involving a bankrupt or decedent, Wen Lender at Lender's option,npon 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 a fees and entry upon We Properly to make repairs. If Lender required mortgage insurance as a condition of making We loan secured by Wis Mortgage, Borrower shall pay We premiums required to maintain such insurance in effect until such tirpe as We requirement for such insurance terminates in accordance wiW Borrower's and Leader's - written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in We manna provided under paragraph 2 hereof. Any amounts disbursed by Lends persuant to this paragraph 7, wiW interest thereon, shall become additional indebtedness of Borrows secured by Wis Mortgage. Unless Borrower and Lender agree to oWa terms of payment, such amounts shall be payable upon notice from Lends to Borrower requesting payment Wereof. and shall bear interest from We date of disbursement at We rate payable from time to time on outstanding principal ands We Note unless payment of interest at such rate would be contrary to applicable law, in which event such amounts shall bear interest st We highest rate psmissible undo applicable law. Nothing contained in Wis paragraph 7. shall require Lends to incur any expense or take any action herennds. . saw 335 P~~E1 TOS