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HomeMy WebLinkAbout1973 j is l ~ ~ ~ ~ . ~ Borrower and Lender oovsnant and ague u folbws: ~ . 1. Palratent of Priakipal and interest. Borrows: shall promptly pay when dne the principal of and irfbred on the indebtedness evidenod by the Note. pnpaymatt and late charges v provided in the Note. and the principal of and interest on any Plrturs Advances secwrsd by this Mortgage. 2 Funds for Ta:ea dad Insurance. Subject to applicable law or b a written waiver by Lender, Borrower shall pay to Lender on the day monthly installment of principal and interest are payable under the Note. until the Note is paid in full. a sum (herein "Funds'? equal to oae• twelf W of the yearly taxes and assessment which may attain priority over this Mortgage. and ground rents on the Property. if any. plus ons• twe1M of yearly premium installments for hasard insurance. plus one•twelfW of yearly premium installments for mortgage insurance, if any. _ all as reasonably estimated initially and from time to time by Lender on the basis of assessment and bills and reasonable estimates thereof. The Funds shall be held is an institution the deposits or accounts of which are insured or guaranteed by a Federal or Stab agency (including Lender ff Lender is such an institution). Lender shall apply the Funds b pay said taxes. assessments, insurance premiums and ground rmrt. Leader may mot charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said assessment and biW, unless Lroder payr Borrower interest on the Funds and applicable law permit Lender b make such a charge. Borrower and Lender may agree in writing st We time of execution of this Mortgage that inbrest on the Funds shall be paid to Borrower, and unless snch agreement is made or applicable law requires such interest to be paid. Lender shall not be required to pay Borrower any inbred or earnings on the Funds. Lander shall give to Borrower. without charge, an annual accounting of the Funds showing credits and debits to the Eructs and the purpose for which cacti debit to We Funds was made. The Funds are pledged as additional security for the sums secured by this Mortgage. If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes. assessment, insurance prmniums and ground rent, shall exozeci the amount required to pay said to:es, assessment, insurance pnminms and ground rent as they fall due, such excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly instsllment of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessment. insurance premiums and ground rent a• they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the dab notice is mailed by Lender to Borrower requesting payment Wereof: Upon payment in full oaf 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 is otherwise acquired by Lender, Lender shall apply, no lata~ than immediably prior to We sale at We Property or it acquisition by Lender. any Funds held by Lender at the time of application as a credit against the soma secured by this Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payment received by Lender under We Nob and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amount payable to Lender by Borrower udder paragraph 2 hereof, Wen to inbred payable on the Nob, then to the principal of the Nob, and Weq to inbred and principal on any Future Advances. 4. Charges; Liens. Borrower shall pay all to:es, assessment and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold payment 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 amount due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipt evidencing such payment. 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 Weobligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcementof such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of.the Property or any part thereof. 5. Hazard Insurance. Borrower shall keep the improvement 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 end in such amount and for snch periods as Lender may require; provided, that Lender shall not require that the a_ mount of such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage. The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by [xnder, 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 carrier. All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in favorof and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to - ~ render all renewal notices and all receipt of paid premiums. In the event 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. ~ - f 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, 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 benefit, Lender is authorized to collect and apply the insurance proceeds at Lender s option either to restoration or repair of the Property or the sums secured by this Mortgage. Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall notextend or postpone Wedue date of the monthly installment referred to in paragraphs 1 and 2 hereof.or change the amount of such installment. If under paragraph 18 hereof the Froperty 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 Property prior to the sale or acquisition shall pass to Lender to the extent of the soma secured by this Mortgage immediately prior to such sale or acquisition. 6. Preservation and Maintenance otProperty; Leaseholds; Condominuma; 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 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 Borrower's obligations under the declaration or covenant creatingor governing the condominium or planned unit development, the by-laws and regulations of the rnndominium or planned unit development, and rnnstituent document. If a condominium or planned unit development rider is executed by Borrower and rernrded together with this Mortgage, the covenant and agreement of such rider shall be incorporated into and shall amend and supplement the covenant and agreement of this Mortgage as if the ~ rider were a part hereof. 7. Protection of Lender's Security. If Borrower fails to perform the covenant and agreement contained in this Mortgage, or if any 1 action or proceeding is commenced which materially affect Lender's inbred in the Property, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangement or proceedings involving a bankrupt or decedent, Wen Lender at Lender's option,npon notice to Borrower may make such appearances. diabunx snch 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 We Property to make repairs. If Lender required mortgage insurance as a condition of making We loan secured by this Mortgage, Borrower shall pay We premiums required to maintain such insurance in effect until such time as We requirement for such insurance terminates in accordance wiW Borrower's and Lender's written agreement or applicable Law. Borrower shall pay We amount of all mortgage insurance premiums in We manner provided under paragraph 2 hereof. My amount disbursed by Lender persuant to Wia paragraph 7, wiW interest Wereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to~oWer terms of payment, such amount shall be payable upon notice from Lender to Borrower requesting payment Wereof, and shall bear interest from We date of disbursement at We rat payable from time to time on outtanding principal under We Note unless payment of interest at such rate would be contrary to applicable law, in which event such amount shall bear interest at We highed rat permissible under applicable law. NoWing contained in this paragraph 7, shall require Lender to incur any expense or take any action hereunder. 60~ c~5 P~GE~~ . ~