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HomeMy WebLinkAbout0841 ~ t~ ci+~;~ Ut+uotus Covtu+at~ns. 6orrowsr and leader covenant and agroe az fellow:: ~ ~ N~InNtnM. Borrower shall promptly pay when due the principal of and intereN on the by prepayment and late charges ss provided in the Note. and the principal of and interest as any Fta<ure Advances aectirod by this Mortgage. >EhMt ter 1~Sea alai itaetirMee. Subject to ttpplicabk law or to a written waiver by lender, Borrower Shan pay to Lender on the day monthly installments of principal and interest ua payable under the Note, until the Note is paid in full, a sura (Mrein "Fuada'~ equal to are-twelfth of the yearl~• tax~~ and assasrrrarts which- may attain priority over this Matgage, and around rents oa the Pt+openy, if any, plus one-twelfth d yearly premium installment: for hazard insurance. plus one-twelfth a< yearly premium installments for mortgage inurrance, if any. all as reasonably estimated initially and from time to time by Leuder on the bass of assessments and hills and reasonable estimates thereof. TDe Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal of state sgency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments. inaurattce premitirrq and ground rrnts. lender may not charge for so holding and applying the Frrrrds, analyzing said account. or verifying.and compiling said assessments and bills. unless Lender pays Borrower interest on the Funds and applicable law permits Lender 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 spplicabk -law retprir+m stick interest to be paid. Lender shall not be required to pay Borrower any interest or earrings on the Funds. Lender Shan 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 arc pledged as additional security for the sums secured by this Mortgage. - TE the amount of the Funds bt:ld by Lender. together with the future monthly installments of Funds payable prior to the due dates of taxes. a:sasments, insurance premiums and ground rents, shall extend the amount required to pay said taxes, aaaeesmeMs. inwrarrce premiums and ground rents u they tall 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 Funds hold by Lender shah not be sufficient to pay•taxes, anessrnents. 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 header to Borrower requesting' payment thereof. Upon payment is full oaf all soma secured by this Mortgage, lender shall promptly refund to Borrower any Fund: held by Lender. If under paragraph 18 hereof the Property u sold or the Progeny r otherwise acquired by Lender. Lender :ball apply, no later than immediately prior to the sale of the Property or it: acquisition by Lender, any Funds held by Lender at the time of application ss a credit against the sums secured by this Mortgage. 3. A~lieatlaa of Priyme~a. Unless applicable law provides otherwise, all payments received by Lender under the Note sad paragraphs 1 and 2 hereof shall be applied 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 Advances. 1. Crarger Luis. 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 thtr+eof. Borrower shall pranptly furnish to Lender 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 brag as Borrower shall agree in writing to the payment of the obligation secured by such 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. S. Ns:ard Iasnrarrce. Borrower shall keep the improvements 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 rcquirc and in such amounts and for such periods u Lender may rcquirc; provided, that Lender shall not rcquirc 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 2 hereof or, if not paid in such manner, by Borrower making payment, when due. directly to the • insurance carrier. i All insurance policies and renewals thereof shall 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 hold the policies and renewals thereof. noel Borrower shall promptly furnish to Lender 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 proceeds shall be applied to restoratan or repair of the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. I[ 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 otters to settle a claim for insurance benefits. Lender @ is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Propem or to the sums secured by this Mortgage. Unless Lender and Borrower otherwise agrx 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 I and 2 hereof or change the amount of such installments. If under 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 the Property prior to the sale or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. f. Pr+eaenatlon and Maintenance of Property; Leaseholds; Condominiums; Planned Uwit Devebpnients. Borrower g - shall keep the Property in good repair and shall not comtpit Waste or permit impairment or deterioration of the Property • and shall comply with the provisions of any lease if this Mortgage is on ~ leasehold. !f this Mortgage is on a unit in a ` condominium or a planned unit developrttcnt, Borrower shall perform all of Borrowers obligations under the declaration or covenants creating or governing the condominium or planned unit development, the by-laws and regulations o[ the condominium 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 agraments of such rider shall be incorporated into and shall amend and suppicment the covenants and agreements of this Mortgage as if the rider were a part hereof. E 7. Protection of Leader's Security. If Borrower tails to perform the covenants and agreements contained in this ~ Mortgage, or if any action or proceeding ~s commenced which materially aftrcts Lender's interest in the Property. including, but not limited to, eminent domain, insolvency. code enforcement, or arrangements or proceedings involving a bankrupt or decedent, 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 tees and entry upon the Property to make repairs. 1f Lender required mortgage insurance as a condition of making the loan secured by this Mortgage. Borrower shall pay the, premiums required to maintain such insurance in effect until such time as the reyuirement for such insurance terminates in accordance with Borrowers and ~ 8001f ~ PdGE t