HomeMy WebLinkAbout0535 UNIFORM COVENAN7's. Borrower and Lender covenant and agree u follows:
1. Pa~yseeet of PeNtclpl arri leterat. Borrower shall promptly pay when due the principal of and interest on the
indebtedness evidenced by the Note. prepayment and late charges as provided in the Note, and the principal of and interest
on nay Future Advances secured by this Mortgage.
3. IBbsri for 71a:aa sswl Irrrmtca Subject to applicable law w to a written waiver by Lender. Borrower shall pay
to Lender on the day monthly installments of principal and interest are. payable under the Note. until the Note is paid in full.
a stun (herein "Fuads'~ equal to one-twelfth of the yearly taxes and asseasrnents which may attain priority over this
Mortgage. and ground rents oa the Property. if nay, plus oaatwelfth of yearly premium installrrtenb for hazard inswance,
plea ate-twelfth of yearly premium installments for mortgages insurancx. if any, all at reasonably estimated initially and from
time to time by Lender oa the basis of assessments and bilk and reasonable estimates thereof.
The FLrrd: :ball be held in an institution the deposits or accounts of which are insured or gturaateed by a Federal or
ernes sgency (including Lander if Lender is such an institution). Lender shall apply the Fnntb to pay said taxes, asseurnents.
insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds. analyzing said account.
or verifying and compiling said assessments and bills, unless Leader pays Borrower interest oa the Funds and applicable law
permits Leader to make such a charge.. Borrower and Leader may agree in writing at the time of execution of the
Mortgage that interest on the FUndf shall be paid to Borrower, and enkss 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 aooounting of the Fund :bowing credits and debits to the Fantle sad the
purpose for which each debit to the Funds wu made. The Funds are pledged as additional security for the sums secured
by this Mortgage.
If the amount of the Fund: held by Leader, together with the future monthly installments of Funds payable prior to
the due dates of taxes, assessments, insurance prcntiums and ground rents, shall exceed the amount required to pay said taxes.
a:sessnaents, insurance premiums and ground rents u 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 Fund:
held by Leader sbaU not be wlBcient to pay taxes, assassrnents. inuurance premiums and ground rents as they fall due.
Borrower shall pay to Leader any amount necessary to make up the deficiency witlria 30 days from the date notice is mailed
by Lander to Borrower requesting payment thereof.
Upon payment is full of all stuns secured by this Mortgage, Leader 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, rto later than immediately prior to the sale of the Property or its acquisition by Leader. nay Funds held by
Leader at the time of application a: a credit against the sums secured by this Mortgage. .
3. A~llcattoa of Payneeb. 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, they to interest payable on the Note, then to the principal of the. Note, and then to interest and
principal oa any Future Advances.
4. Clrssrge~ I.ieea. 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,notioes of amounts due under this paragraph, sad in the event
Borrower shall make payment directly. Borrower stroll promptly furnish to Lender recxipts evidencing such payments.
Borrower shall promptly discharge any lien which ha: 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 aoeeptabk to Lender, or shall in good faith contest such lien by, or defend-enforcement of such lies in,
legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
S. Hazard Ieseraeca Borrower shall keep the improvements now existing or hereafter eructed oo the Property insured
against loos by Sr+e, hazards included within the term "extended coverage". and such other hazards u Lender may require
and in such amounts and for such periods u 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 :ball not be unreasonably withheld. All premiums on insuranee policies shall be paid in the manner
provided under pansgraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
inwrance carrier.
` All inwrance policies sad renewals thereof shall tse in form acceptable to Lender sad shall include a standard mortgage .
clause in favor of and in form accxptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
~ and Borrower shall promptly furnish to Leader all renewal notices and all ra:eipt: of paid premiums. In the event of loss,
Borrower shall give prompt mice to the insurance carrier and Lender. Lender may make proof of loos if not made promptly
by Borrower.
Unlat Larder sad Borrower otherwise agree in writing, inswance proceeds :hall be applied to ratoration or repair of
the Property damaged, provided such ratontion or repair is ernnomically feasible and the security of this Mortgage is
not thereby impaired. If such ratoration or repair is not economically feasible or if the security of this Mortgage would
be impaired, the insurance prooeods 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 inswaace prooeods at Lender's option either to restoration or repair of the Property
or to the sums 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 the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
web irutallmeats. If under paragraph 18 hereof the Property is acquired by Leader, all right, title sad interest of Borrower
in and to nay insurance policies and io sad 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 :neared by this Mortgage immediately prior to such sale or
acquisition.
f. Pratrvadoe aeti Malateeaoce of Property; Leaseholds; Coadomialwss; lfaeeed Unit Dereiop'eats. Borrower
stroll keep the Property in good repair and shall not commit waste or permit impairment or deteraration of the Property
and shall comply with the provisions of soy 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 obUgatiou under the declaration
or covenants creating or goveroing the condominium of planned unit development, the by-laws and rcgulatioas of the
condominitun or planned unit development, and constituent documents. If a condominium or planned unit development
rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
shall be incorporated into and shall amend and supplement the eoveoants and agreements of this Mortgage u if the rider
were a part hereof.
7. Protectioe of Leeder'a Severity. If Borrower fails to perform the covenants and agretarenb contained in this ~
Mortgage, or if any action or proceeding is commenced which materially affects Lender's interat in the Property, 1
including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Larder's option, upon notice to Borrower, may make such appearances, disbtuse such
sums and take such action as is aecxssary to protect Lender's interest, including. but not limited to, disbursement of
reasonable attorney's tees and entry upon the Property to make repairs. If Lender required mortgage insurance as a ~
condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain wch
iwwance in effect until such time u the roquiremeat for wch insurance terminates is accordance with Borrower's sad
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