Loading...
HomeMy WebLinkAbout0647 Borrower and !.ender rnvenant and agree as follows: 1. Payment of Principal and Interest. Borrows 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 any Future Advances secured by this Mortgage. • 2. Funds for Ta:ea and Insurance. Subject to applicable law or to a written waiver by tender, Borrower shall pay to Lender un the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds"? equal to one, twelRh olthe yearly taxes and asaeasmenta which may attain priority over this Mortgage, and ground rents on the Property, it any, plus one- twelRh otyearly premium installments for hazard insurance, plus one-twelRh 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 assessments and bills and reasonable estimates thereof The Fonda shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency (including !.ender if !.ender is such an institution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. !.ender may not charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said aeaeasments and bills. unless Lender pays Borrower interest on the Funds and applicable law permits !.ender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, !.ender 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 Funds and the purpose for which each debit to the 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, assessments, insurance premiums and ground rents. shall exceed the amount required to pay said taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Bo+rower a option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, aaeessmenta, insurance premiums and ground rents as they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all soma secured by this Mortgage, Lender shall promptly refund to Borrower any funds held by Lender. [fonder paragraph 18 hereof the Property is sold or the Property is otherwise acquired by [.ender, !.ender shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by !.ender at the time of application as a credit against the sums secured by thin Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by !.ender first in payment otamounta payable to !.ender 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 Advances. 4. Charges; Liens. Borrowershall pay all taxes, assessments and other~harges, fines and impositions attributable W the Property which may attain a priority overthis Mortgage, and leasehold payments orgre,und rents, ifany, in the manner provided under paragraph 2 hereofor, if not paid in such manner, by Borrower making payment, when due, directly to the payer thereoL Borrower shall promptly furnish to [.ender :+11 notices of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furnish to [,ender 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 Borrower shall agree in writing to the pay ment of the obligation secured by ,such lien in a manner acceptable to Ixnder, or shall in Rood f:+ith n,ntest such lien by, ordefend enfor+•rment ofsuch 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 against loss by fire, hazards included within the teen "extended coverage," and such other hazards as [.ender may require and in such amounts apd for such 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 Iw chosen by Korn,wer subject to approval by Ixnder, provided. that such approval shall not be unrelwnably withheld. All premiums on insur:mm policies shall t,e paid in the manner pn,vid+•d under paragraph Y herer,f or, if not paid in such manner, by Borrower making payment, when due, direrth• to the insurance carrier. All insurance policies and renewals thereof shall be in form acceptable W !.ender and shall include a standard mortgage clause in favorof and in form acceptable to I.ender. [.ender shall have the right to hold the policies and renewals thereof, and Born,wer shall promptly furnish to ?.ender all renewal notices and all receipts of paid premiums. In theevent otloss. Iiorruwer shall give prompt notirn to the insurance carrier II and Lender. Lender may make proof of loss if not made promptly by Borrower- Unleas [.ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property ' damaged, provided such restoration +,r repair is economically feasible and the security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible +,r if the security otthis Mortgage would l,e 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 it Borrower fails to respond to Lender within 3t1 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, !.ender is authorized to collect and apply the insurance proceeds at bender s option either to restoration or repair of the Property'or the sums secured by this Mortgage- Unleas Lender and Borrower otherwise agree in writing, any such applir.+tion of proceeds to principal shall notextend or postpone thedue date of the monthly installments referred G? in paragraphs 1 and l l+ere+?f or change the amount of such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Burrower in and to any insurance policies and in and to the proceeds thereof resulting from damage to Property prior to the sale or acgwsition shall pass t+, [.ender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. 6. Preservation and MaintenanceotProperty; I.easeholds;Condominums; Planned Unit Developments. Borrowerahall 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 covenants creatingor governing the condominium or planned unit development, the by-laws and regulations of the. condominium or planned unit development, and conatiluent documents. [f 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 covenantsand agreementsotthis Mortgageas ifthe rider were a part hereof 7. Protection of Lender'e Security. If Borrower fails to perform the rnvenanta and agreements rnntained in this Mortgage, or itany action or proceeding is commenced which materially affects [.ender s interest in the Property, including, but not limited to, eminent domain, # insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedemt, then Lender at Lender's option,upon ~ 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's fees and entry upon the Property to make repairs. If Lender required ~ mortgage insurance as a rnndition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such insurance in effect until each time as the requirement for such insurance terminates in accordance with Borrower's and Lrndei s ~ written agreement or applicable-Law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof. ' Any amounts disbursed by [.ender persuant to this paragraph 7, with interest thereon, shall become additional indebtedness of Borrower secured by this Mortgage. Unless Borrower and [.ender agree to other terms of payment, such'amounte shall be payable upon notice from [.ender to Borrower requesting payment ther~f, 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 would be contrary to applicable law, in which event etlch amounts shall bear interest at the highest rate permissible under applicable law. Nothing rnntained in this paragraph 7, shall require Lender to incur any expense or take any aMion hereunder. ~ CR BGpRwt7 P~GF -