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HomeMy WebLinkAbout0356 , I 6orrowes and Leader oovenaat and agra as follows: . 1. Payment of Priaclpal and Interest. Borrower shall prompNy pay when dw the priadlpal of and intred on the indebtedaew evidenced by the Note, prepayment sad late charsa a. provided in the Note, and the principal of and interest on any Future Advances secured by thin Mortgage. Ftiada for Taxes and Insurance. Subject to applicable law or to a written weaver by Lender. Borrower shall pay to Lender on the day monthly installment of prindpal and interest are payable under the Note, until the Note b paid is rill!, a sum (herein "I~ads'~ equal to oae- twelRh ofthe yearly taxes and assessments which may attain priority over this Mortgage, sad ground recta on.the Property, if any, plw oa? twelkh of yearly premium installments for hazard inuurance, plus one•tweltth of yearly premium installments for mortgage insurance, if say. all as reasonably estimated initially and !from time to time by Lender on the basis of asseament and hilt and reasonable estimates thereof. The Funds shall be held iri as institution the deposits or account of which are insured or guaranteed by a Federal or State agency (iacluding_Lender if Leader i. such as institudon). Deader shall apply the Funds to pay said taxes, assessments, iasuranee.premiums sad ground recta. Lender may not charge for ao hokliag and applying the Funds, analysing said account. or verifying and compiling said assessment and bills. ualew Lander pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrowee sad Erodes may agree is writing at tM lima of execution of this Mortgage that interact oa the Funds shall be paid to Borrower, and nalsss sorb agreement is made or appUpble law regnires such interest to be paid, Leader shall not be required to pay Borrower say interest or earniap on the Funds. Lender shall give to Borrower. without charge, an annual accounting of the Fnnds showing credits and debits to the Funds end the purpose for which each debit b We Ptitnds vyas made. The Funds are pledged as additional security for the sums secured by thin Mortgage. If the amorist of the Fonda held by Lender. together with the future monthly installment of Funds payable prior to the due data of taxes, ' ~ assesement. insmanos premiums and ground seat. ahaU exored the amount required to pay said fazes. assesameat. insurance preaunnu? sad ground seats a. they fall due, such areas shall be. at Borrower's option, either promptly repaid to Borrower of credited to Borrower on monthly iwtaUment of Funds. U the amount of the Funds held by Lender shall not be sufficient to pay taxes, aesasments, insurance premiums and ground recta a. they fall due. Borrower shall pay to. Leader any amount necessary to make rep the deficiency within 30 days from the date nodoeu mailed by Lends to Borrower requesting payment thereof. . Upon payment in full of all sums sscnred by this Mortgage. Lender shall promptly refund to Borrower any funds held by Lender. If render paragraph 18 hereof the Property b sold or the Property b otherwise acquired by Lender, Lender shall apply, no later than immediately prior to the sale of the Property a its aognisidoa by Lender,any Funds held by Lender at the time of application s• a credit against the sums secured by Ibis Mortgage. 3. Applteatba of Payments. Unless appUcable law provide otherwise. all payment received by Lender under the Note and paragraphs 1 and 2 hereof shall be appUed 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 Advaaon. I. Charges; Liens. Borrower shall pay all taxes, assessments and other charge, 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 is 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 fnrniah to Lender receipt 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 such Uen is a manner acceptable to Lender, or ahpil in good faith contest such lien by. ordefend 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. 5. Hazard Insurance. Borrower shall keep the improvements now existing os hereafter erected on the Property insured against loss b9 fire, hazards included within the term "extended coverage," and such other hazards as Lender may require and in such amounts and forsach 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 by 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, hereof or, if - not paid in ouch manner, by Borrower making payment, when due, directly to the insurance carrier. ' AU insurance policies and ienewab thereof shall be in form acceptable to Lender and shall include a standard mortgageclause in tavord and in form aeoptable 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 receipt of paid premiums. In the event of low, Borrower shall give prompt notice to the insurance carrier III and Leader. Lender may make proof of law if not made promptly by Borrower. Unless Lender and Borrower otherwise agree-in writing, insurance proceeL~ shall be applied to restoration or repels of the .Property M damaged, provided such restoration or repair is economically feasible and the~security of this Mortgage is not thereby inipeired. If such r+atoration or repair b not economically feasible or if the security of this Mortgage would be impaired, the insurance proceeds shall be applied to the sums eecuebd by this Mortgage, with the excess, if any, paid to Borrower. If the Property is abandoned by Borrower. or if Borrower fait 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 tar inanranoe benefit, Lender is authorized to rnllect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the sums secured by thin Mortgage. Unless Lender and Borrower otherwise agree in writing. any such application otproceeds to principal shall not extend or postpone thedne dot of the monthly instilment referred to in paragraphs 1 and 2 hereof or change the amount of such instilment. V under paragraph 18 hereof the Property b 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 paw to Lender to the extent of the sums secured by fhb Mortgage immediately prior t such sale or acquisition. ~ - 6. Preservadon and Maintenance of Property; Leaseholds; Condominuma; Planned Unit Development. Borrowwshall 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 condominium or planned unit development, and constituent documents. It a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the covenant and agreement of such rider.ehall~e,incorporated into and shall amend and supplement the rnvenant and agreement of this Mortgagees itthe rider were a part hereof. 7. Protection of Leader's Security. If Borrower fails to perform the covenant end agreement contained in fhb Mortgage, or U ar~? action or proceeding is oommenoed which materially effects Lender s intrest is the Property, including. but not Umited to, eminent domaiq insolvency, code enforeernent, or arrangement or proceedings involving a bankrupt or decedent, then Lender at Lender's apdon,upon notice to Borrower may make such appearances. disburse such sums and take such action a. b necessary to protect Leader's interest, including. brat not lfTmited to. dubursemeat of reasonable attorney's fen and entry upon the Property to make repairs. If Iwnder ragnirad mortgage insurance w a condition of making the loan accused by this Mortgage, Borrower shall pay the premiums regaird to maintain such iruuraace in effect natal such time as the requirement for such inuurance terminates in accordance with Borrower's sad Lendsls written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof. My amount disbursed by Lender persuant to- this paragraph with interest thereon, shall become additional indebtednew of Borrower secured by this Mortgage. Unlew Borrower and Lender agree to other terms of payment, such amount shall be payable upon notice from Lends to Borrower requesting payment thereof, and shall bear interest from the dot of disbursement at the rat payable (from time to time on outstanding principal under the Note unlew payment of interest at such rate would be contrary to applicable law, in which event such amount shall bear interest at the highest rate permiwible under applicable law. Nothing contained in this paragraph shall require Lender to incur any expense or take any action hereunder. ~ ~ ~ ~ - _ - ' tea. _1 ~ _ -.3 3