HomeMy WebLinkAbout1134 Untrww Covtrret~ns. Borrower gad Larder covenant and agroe as tolbws:
~ lhpwett N hMclMl and 1NereM. Borrower shall promptly pay when due the principal of and interest on the
indebtedrtas evideaoei by the Note, prepayment and Tate charges as provided in the Note, and the principal of and interest
as gay Future Advance toectued by this Mortgage.
3. ltteis ler T~araa wl Irtnraace. Subject to applicable law sx to a written waiver by Lender. Borrower shall pay
to Leader on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
a sum (harem "Funds'? equal to onc~twelfth of the yearl~• tax~~ and assessments which may attain priority over this
Mortgage, and ground rents oa the Property. if any, plus one-twelfth of yearlli premium installments [or hazard insurance.
plus ottt:~tweltth of yearly premium installments for mortgage insurance, it any. all as reasonably estimated initially and from
time to lima by Lender oa the basis of assessments and hills and reasonable estimates thereof.
1Le Funds shall be held in an institution the deposits or accounts of which are insured or gwranteed by a Federal or
state agency (including Lender if Lender is such an institutionl. Lender shall apply the Funds to pay said taxes. assessments.
insurance premiums and ground rents. Lender may not charge for so holding and applying the Fttnds, analyzing said account.
or vaifying.and compiling said assessments and bilk, 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
requites such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
shtU give to Borrower, without charge, an annwl 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 o[ the Funds held by Lender. together with the future monthly installments of Funds payable prior to
the due dates of taxes. assessmenb, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
aaatuaeats, irtsurartce premiums snd ground rafts as they fall due, such excess shall be, at Borrowers option, either
promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. It the amount of the Funds
held by [,coder shall not be t to pay taxes. assessments. insurance premiums and ground rents as they fall due,
Borrower sbaU pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Deader to Borrower requesting payment thereof.
Upon payment in full of all twins :octrred by this Mortgage. lender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property a otherwise acquired by Lender. Lender
:ball apply, no later than immediately prior to the ssle of the Property or it: acquisition by Lender, any Funds held by
Larder at the time of applicatan as a credit against the :ums secured by this Mortgage.
3. A~piicatioe of laye¦ts. 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, 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. Crarges; Liens. Borrower shall pay all taxes, assessments and other charges. fines and impositions attributable to
the Property which may attaut 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, gad 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 bng 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 [orfeiture of the Property or any part thereof.
S. Hazard iewrawce. Borrower shall keep the improvements now existing or hereafter erected on the Property imurod
against toss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
wd in such amounts and 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 ituurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender. provided,
tbst such approval shall not be unreasonably withheld. All premiums on insurance policies :hail 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
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insurance carrier.
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,
and 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 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 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 it Borrower fails to respond to Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier oflers 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 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 I and 2 hereof or change the amount of ~ ;
such installments. If under paragraph 18 hereof the Pro ferry 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
~ 6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Veit Developments. Borrower
shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property
gad 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 creating or governing the condominium or planned unit development, the by-laws and regulations of the •
condominium or planned unit development, and constituent documents. If a condominium or planned unit development -
nder 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 covenants and agreements of this Mortgage as if the rider •
were a part hereof.
7. Protection of Lender's Security. If Borrower talc to perform the covenants and agrcements contained in this
Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property.
including. but not limited to, eminent domain. insolvency, code enforcement. or arrangements or proceedings invoking a
bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower. may mrke 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 i fees and entry upon the Property to make repairs. if Lader reyuired mortgage insurance as a
corxl~hon tit making the loan secured by this fltortgage. Bormv?cr shall pay the premiums required to maintain such
insurance in effect until such time as the requirement for wch'insuranee terminates in accordance with Borrov?•er's and
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