Loading...
HomeMy WebLinkAbout1239 + i ~ ~ f~~ 'i ~ Borrower sad Leader oovanant and agree at follows: 1. Pgrwsnt of Principal sad Intered. Borrower tihall protaptlj? pay when dw tM principal of and interest on the indebtedness evidsrtosd by the Note, peepaymeut sad late dtarga a. provided is the Note, sad the principal of and interest oa any Faturs Advances secured by this Mortgage. Z. Frtrtda for Ta:ea and Insurance. Subject to applicable law or to a written waiver by Leader, Borrower shall pay to Lender on the dq montNy irtstalhnents of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds'q equal to oas. twelfth othee yearly taxes and assessments which may attsin priority overthis Mortgage. and ground rents oa the Property. if any, plus oa? twelfth otyearly premium installments for hazard insurance. plw one•twelf th ofyear~y premium installments for mortgage iaauranos. itany; all a. reasonably estimsted initially and kom time to time by lender on the basis of assessments and bills and reasonable estimates thereob The Fends shag be heW in ere institution the deposits or accounts of which are insured or guaranteed by a FederjJ or State agency (iadndinl bender U Leader i. such as institution). Leader shall apply the Funds to pay said taxes, assessments, insuraaoe.premiums and ground rents. Leader may not du~rte far so. holding sad applying the Funds, analyzing said aononnt, or veri$ring sad oompiW~g said assessments sad bills, unless Leader pays Borrower interest oa the Fends and applicable law permits Lender to make such a charge. Borrower and Leader may agree in writing at the time of execwtioa of this Mortgage that interest on the Funds shall be paid to Borrower, sad nnlesti - snch agreement is made or applicable law regnires such interest to be paid, Lender shall not bei required to pay Borrower any intered oe earnings on the Inds. Lender shall give to Borrower, without. charge. as anneal acoonnting of the Farads ahowir?g credits and debits to the Funds and the purpose for which each debit to the PLnda vyas made. The Funds are pledged as additional security for the sums secured by this Mostgage. If the amount of the Funds held by Leader, together with the future monthly installments of Funds payable prior to the due dates of tars. assessm~ts. iasroranoe premiums and ground rents. shall exrzcd the amount required to pay said taxes, assessments, insurance premiums . and ground rents w they fall due. such exoea shall be, at Boerower's option. either promptly repaid to Borrows or credited to Borroweron monthly installments of Funds. U We amount of the Fonda heW by lender shall not be sufficient to pay taxes, assessments, insurance premiums sad groand rents a• they fall dne, Borrower shall pay to Lender any amount necessary to make up the deficitacy within 90 days from the date notice is mailed by Lender to Borrower requesting Payment thereof. . Upon payment in Poll of all wms secured by this Mortgage. Lender shall promptly refund to Borrower say funds held by Lender. Unndar paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later than immeduWy prior to the sale of the Property or its aoquisitioa by Lender, any Inds held by Lender at the time of application as a credit against the sums aecs»d by this Mortgage. 3. Appiicatbn of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note sad _ paragraphs 1 sad 2 hereof shall be applied by Leader fi»t in payment of amounts payable to Lender by Borrower under paragraph Z herao~ then to intered payable on the Note, then to We principal of the Note, and then to interest and principal on any-Itnre Advaaoes. 4. Charles; Liens. Borrower shall pay all taxes, assessments and other charges, fines and impoaitiona 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, direNly to the payee thereof. Borrower shall promptly furnish to Leader 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 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 wch 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. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured againstlossby fire, hazards included within the term "extended coverage," and such other hazards as Lender may require and in such amounts and [orwch periods ere Leader may require; provided, that Lender shall not require that the amount of such coverage exceed that amount of oovera~ge regained 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 wch 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 shell 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 hoW the policies and renewals thereof, and Borrower shall promptly furnish to i.ender all renewal notices and all receipts 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. Unless Lender and Borrower otherwise agree-in writing, insurance-proceetw 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 wch ~ restoration or repair is not ernnomically feasible or if the security of this Mortgage would be impaired, the insurance proceeds shall beapplied to the sums secured by this Mortgage, with the excess, if any, paid to Borrower. Lithe Property is abandoned by Borrower, orif Borrower fails to respond to Leader 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 pra~eeda at Lender a 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 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. Uunder paragraph 18 hereof the Property 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 some secured by this Mortgage immediately prior to such sale or acquisition. 6. Preservation and Maintenance of Property; I.easeholda; Condominums; Planned Unit Developments. Borrowerehall keep the Property in good repair and shall not commit waste or permit impairment or deterioration o! 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 nail development, Borrower shall perform all of Borrower's obligations under the declaration or rnvenants creatingor governing the condominium or planned unit development, the by-laws and regulations of the condominium or planned unit development, and oonatitnent documents. If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the oovenaats and agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider were a part hereof. t T. Protection of Ltnder's Security. If Borrower fails to perform the covenants and agreements oantained is this Mortgage, or;tagp action or proceeding is commenced which materially affects Lender's interest is the Property. including. bet not limited to, eminent domain, insolvency, code enforcement, or srrangements or proceedings involving a bankrupt or decedent, then Lender at bender's optioo,apon - notice to Borrower may make such appearances, disburse such sums and take wch action as is necessary to protect Lender's interest, ~ including, bat not l~inited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender regnued - mortgage insurance as a ooadition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to meiataia such insuru?ce is effect until wch time as the requirement for adch insurance ferminatea in accordance with Borrower i and Lendets ~ written agreement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided ruder paragraph 2 hereo! Any amounts disbursed by Lender pe»uant to• this paragraph with interest thereon. shall become additional indebtedneu of Borrower secured by this Mortgage. Unless Borrower and Lender agree to. other teens of payment, wch amounts shag be payable upon notice from Leader to Borrower requesting payment thereof, and shall bear interest from the date of disbursement at the rate payable from time to time on outstanding principal under the Note unless payment of interest at such rate woold be oontrarjr to applicable law, in which event wch amount shall bear interest at the highest rate permissible under applicable law. Nothing.oDSt~gec~ lh $~is paragraph 7, shall _ require Lender to incur any tzpense or take any action hereunder. I 8~~ P1GF~ 1 - ~