HomeMy WebLinkAbout1455 UNIFORM COYF.N~NTS. Borrower and Lender covenant and agree as follows:
1. Psymeat of Prlacipd and lateresl. Borrower shall prompt)}• pay when due the principal o[ 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. Fhads for Ttutes attd lnsuraace. Subject to applicable law or 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 sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessrents which may attain priority over this
Mortgage, and ground rents on the Property. if any, plus one-twelfth of yearly premium installments for hazard insurance.
plus one-twelfth of yearly premium installments for mortgage insurance, if any. all as reasonably estimated initially and from
time to time by 1_endcr on the basis of assessments and hills and reasonable estimates thereof.
The Funds shall be held in an institution the depruits or accounts of which are insured or guaranteed by a Federal or
state agency (including Lender if Lender is such an institution). 1_ender shall apply the Funds to pay said taxes, assessments,
insurance premiums and ground rents. Lender nta}• not charge for so holding and applying the Funds, analyzing said account,
or verifying and compiling said assessments and hills, 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 applicable law
requires such interest to be paid, lender shall not be reyuirr~l 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 anJ 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 o! 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 the}• fall due, such excess shall be, at Borrowers 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 sulTicient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount necessan° to make up the deficiency within 30 days from the date notice is mailed
by Leader to Borrower requesting payment thereof.
Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
held by 1_cnder. 1f under paragraph 1K hereof the Property is sold or the Property is otherwise acquired by lender, Lender
shall apply, no later than immediate)}• prior to the sale of the Property or its acquisition b}• Lender, any Funds held by
Lender at the time of application as a credit against the sums secured by this Mortgage.
3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs I 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.
4. Charges; Liens. Borrower shall pay all taxes assessments and other charges. fines and imlxnitions 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 notices of•amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly furnish to Lcndcr receipts evidencing such payments_
Borrower shall promptly discharge an}• lien which has priority ua•er this Mortgage; .provided, that Borrower shall nut 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 acceptable to Lcndcr, or shall in grxxl faith confect such lien by, or defenJ enforcement of such lien in,
• legal prucec:dingc 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 crectril on the Property insured
against loss by fire, hazards included within the term "e~tende.l coverage". and such other hazards ac Lcndcr may require
:rod in such amounts and for such pcriocfs as Lcndcr may require; provided. that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the wms secured M' this Mortgage. •
The imurance carrier providing the insurance sh:dl tx: chosen by BOrrOwef subject to appro~•al by 1_ender: provided,
that such approval shall not tx: unreawnably withheld- All premiums on insurance policies shall be paid in the manner
II 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 tx~ in form acceptable to t_en.ier and shall include a stanJard mortgage
~ clause in favor of and in form acceptable to Lcndcr. Lcndcr shall have the right to hold the policies and rencwak thereof,
' anJ 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 Burrower.
Unless Lcndcr and Borrower othcrwix agrcc in writing, insurance proceeds shall be applied w restoration or repair of
the Property damaged, provided such restoration or repatr is economically feasible and the security of this Mortgage is
not thereby impaired. If wch restoration or repair is not economically feasible or if the security of this Mortgage would
be impaired. the insurance proceeds shall be applied fo the sums ucured 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 Lcndcr within 30 days from the
drte notice is mailed by Lender to Borrower that the insurance carrier oHen to settle a claim for insurance benefits. Lender
~s authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
ur to the sums secured by this Mortgage.
Unless Lender and Burrower otherwise agrcc in writing, any such application of proceeds to principal shall not extend
or postpone the due date of tlx; monthly installments referred to in paragraph, 1 and-? hereof or change the amount of
wch installments. If under paragraph l8 hereof the Property is acquired by ).ender, all right, title and interest of Borrower
in"and to any insurance policies :rod 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
i acquisition.
} 6. Presen~ation and Maintenance of Propetrty; Leaseholds; Condominiums; Planned Unit Ikrelopments. Borrower I
~ shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
end shall comply with the provisions of any lease it this Mortgage is un a Ierxhold. If this Mortgage is on a unit in a :
condominium or a planned unit development.- Borrower shall perform all ri( Borrower's obligations under the declaration
ur covenants creating or governing the condominium or planned unit development, the •by-laws and regulations of the j
~onduminium 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
p shall be incorporated into and shall amend and supplement the covenants and agreements of Chic Mortgage as if the rider ~
~ were a part hereof.
I 7. Proleclioa of Lenders Security. If Burrower folk to perform the covenants and agreements contained in this
Mortgage. ur if an}• action or proceeding is commenced which materially affects Lender's interest in the Property,
including. but not limited to. eminent domain. insolvency, aide enforcement, or arrangements or proceedings involving a
banknipt or decedent. then Lender at Lender ~ option, upon notice to Borrgwcr, may make such appearances. disburse such
sums and take such action ac is necessary to protect Lender's interest. including. but not limited to. disbursement of
~ reasonable attorney's fees and entry ulx~n the Property Io make repairs. If Lcndcr 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 flee requirement for such msuranee terminates in accordance with BorruK•er's and
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