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HomeMy WebLinkAbout1158 . UNIPO~M COVltrANi'~. Bomowu and Lender covenant and agree as follows: 1. >rs~tweat N 1TtitrclNl M ItMer+nt. Borrower shall promptly pay when due the principal of and interest on the irtdebtodttess evidepped by the Note. prepayment and late charges as provided in the Nde, and the principal of and interest art .ay FWura Advances secured by this Mortgage. llrrais for Tattea artd laarraace. Subject to applicable law ar to a written waiver by Lender, Betrayer Shan wy to Lender on the day monthly installments of principal and interest arc payable under the Note. until the Note is paid in full. a sum (herein "Funds"), equal to one-twelfth of the yearly- faze. anJ assessments 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 oartwelfth of yearly premium installments for mortgsge insttrancc, if any. all as reasonably estimated initially and from tirrte to time by Lender on the basis of asxsxmcnts and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits orrccounts of which are insured or guaranteed by a Federsl otr state agency (including Lender if Lender is such an institution). 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 Frtnds. analyzing said account, or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applica$le law permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mortgage that interat 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 required to pay Borrower any interest or earnings on the Funds. Under 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 arc pledged as additional security for the sums soured by this Mortgage. If the amount of the Funds heW by Lender, together with the future monthly installments of Funds payable prior to the due dates o[ taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. asaesanents, insurance premiums and ground rents 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. If the amount of the Funds heW by Lender shill not be auifcient to pay taxes. assessments, insurance premiums and ground rants ss 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 Leader to Borrower requesting payment thereof. Upon payment in [ull of all stuns secured by this Mortgage, lender shall promptly refund to Borrower any Funds heW by Lender. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender. Lender sbdl apply, rro later than immediately prior to the sale of the Property or its acquisition by Lender. any Funds held by Leader at the tune of application as a credit against the sums secured by this Mortgage. 3. A of Prty.tetts. Unless applicable law provides otherwise, all payments received by Lender under the Note sad paragraphs 1 and 2 hereof shall be applied by !_ender Brat 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 interat and principal on any Future Advances. Charges; Lkss. Borrower shall pay all taxes. assessments and other charges, firtes 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 thet+eof. Borrower shall promptly furnish to Lender al! notices of amounts due under this paragraph, sad 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 Chic Mortgage: provided, that Borrower shall not be s required to discharge any such lien so long as~Borrower shall agree in writ,ng to the payment of the obligation secured by such lien in a manner acceptable to Lender, or shall in goad faith contest such lien by, or defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the I,en or forfeiture of the Property or any part thereof. S. Hasard learrawet. Borrower shall keep the improvements naw 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 require sad in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount o[ 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, 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, ,f not paid in such manner, by Borrower making payment, when due, directly to the 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 g,ve prompt notice t~. the insurance earner and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower otherw,vr agree in wntmg. insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restorahun or repa,r is economically feasible and the security of.this Mortgage is not thereby impaired. If such restoration or repair is nest 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. 1f the Property is abandoned hy- 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 olTers 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 ;n writing, any such application of proceeds to principal shall not extend or postpone the due date of the mamhh~ installments referred to in paragraphs I and 2 hereof or change the amount of such installments. If under paragraph 18 hereof the Property is acyuired by Lender, all right, title and interest of Borrower in sad to any ttrsurance policies and in and to the pra:eecls thereof resulting from damage to the Property prior to thr sale or acquisition shaft pass ro Lender to the e~trnt of the wins secured by this Mortgage immediately prior to such sale or acquisition. 6. Presenation sad ~t,riatenance of Property; leaseholds: Condominiums; Planned Unit Devebpments. Borrower shall keep the Property in good repair and shall not comruit yvaste or permit impairment or deterioration of the Property and shall campl}- with the provis,ons of any lease it the Mortgage n on a leasehold. If this Mortgage is on a unit in a condominium ur a planned umt development. Borrower shall perform all of Borrowers obligations under the declaration or covenants creating or governing the condammn,m or planned unit development, the by-laws and regulations of the condominium or planned unit develai,ment, and constituent dcx:umcnts. If a condominium or planned unit development rider is executed by Borrower and recordrd together wqh this Mortgage, the covenants and agreements of such rider shall be incorporated ,nto and shall amend and supplement the covenants and agreements of this Mortgage as if the rider were a part Fereof. 7. Protection of Lender's Security. If Borrower f:uls t,~ perform the covenams and agreements contained in this Mortgage, or if any action ur proceeding n commrncrd which materially affects Lender's interest in the Property, including, but nut Gmued to, rm,nent domain. onohrncy. ccxlr enforcement. or arrangements or. proceedings involving a bankrupt t,r decedent, then Lender at Lender's option, upon nmice to Borrower, ma} make such appearances, disburse such sums and take such action ac is necesvary to protect Lender's interest, including. but not limned to. disbursement of reasonable attorney's trey an8 entry upem the Pmpert}• to make repairs. If Lender reyuired mortgage insurance as a cond,tiirn of making the loan seuired by this Mnrtgagr. Born:wer shall pay thr premiums required to mai~itain such insurance in elkct unhl• wch t,me as the rryuirrntent for .uch ,n;uran:e termmatrs m accordance with Borrower's and - s: