HomeMy WebLinkAbout1047 t
UNtt'OR1/ Oovartstrts. Borrower and Leader covenant and agree as tolbws:
L 1Tsgw~tN~ at lsietipal arsti IaNreaf. Borrower :hall promptly pay when due the principal of and interest on the
utdttbtednas evidertood by the Note, prepayment and late charges as provided in the Note, and the principal of and interest
oa any Futuro Advances secured by this Mortgage. •
11'tiaetis free Taws atsi tewnnee. Subject to applicable law .x to a written waiver by Lender, Borrower shall pay
to Lender on the day monthly installments of principal and intcrcct ~rc paysbk under the Note. until the Note is paid .in toll,
a start (herein "Fttnds'~ equal ~ to one-twelfth of the yearly tax~~ and assessments which tnay attain priority over this
Mortgage, and ground tents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance.
-plus oaatwel[th o[ yearly premium installments for mortgage insurance, it any, all as reasonably estimated initially and from
lima to time by Leader on the bass of assessments and hills and reasonable estimates thereof.
'I1te Funds shall be held in an institution the deposiu or accounts of which are insuttd or gtunnteed by a Federal otr
:fate agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay :aid lases, assessments,
inwranoe premiums and ground rents. lender may not charge for sa holding and applying the Funds. atulyzin~ said account.
oc veritying.artti compling said sssessmentt: and bills, unless Lender pays Borrower interest oo the Fonds and applicable law
permits Leader to make such a charge. Borrower rind Lender may agree in writing at the time of ezceution of tha
Mortgage that interest on the Funds shall be paid to Borrower. and unless such agreement a 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
shall give to Borrower, without charge, an annual accounting of the Fund 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 tha Mortgage.
U the amount of the Funds held by Lender, together with the tuturc monthly installments of Funds payable prior to
the due dates of rases. assessments, imurance premiums and ground rents, shall esceed the amount required to pay said taxes.
asseasraents, irt:uranoe premiums end ground rents as they fall due, such excess shat! 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
held by Lender shall not be wlficiieat to pay~tases. assessments, insurance premiums and ground rents ss they fall due,
~eorrower 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 of all wens secured by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Leader. If under paragraph 18 hereof the Property is sold or the Property ~s otherwise acquired by Lender. Lender _
shall apply, rw later than immediately prat to the sale of the Property or its acquisition by lender, any Funds held by
Lender at the time of application as a credit against the sums secured by this Mortgage. ~ -
3. A~pfiicatio~ of Pa~y~earts. Unless applicable law provides .otherwise, all payments received by Lender under the
Note and paragraphs I and 2 hereof shall be applied by Lender Best 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.
Charges; Liens. Borrower shall pay ail taxes, assessments and other charges. Bnes and impositions attributable to
the Property which may attain a prarity over this Mortgage, and leasehold payments or ground rents. if any. in the manner
provided under paragraph 2 hereof or, i[ 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 dircetty, Borrower shall promptly furnish to Lender receipts evidencing such payments.
Borrower shill promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not 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 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. Hatrard laseuaace. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
agairut loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
nerd in such amounts and far such periods as Lender mar 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.
-'lie 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, dirtxtly to the
III insurance curler.
~ All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
statue 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,
I Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proat 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 restoratton or repair is economically feasible and the security of this Mortgage is
not thereby impaired. It 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 niters 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 Propene
or to the sums secured by this Mortgage.
Unless Ixnder 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 Proferty is acquired by Lender, all right, title and interest of Borrower
in and to any Auurance 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.
6. Preservation erect Maintenance of Property; Leaseholds; Condominiums; Planned Unit Devebpmeats. Borrower
shall keep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property
I and shall comply with the provisions of any lease ~t 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 Borrowers obligations under the declaration ~
or covenants creating or governing the condominium or planned trait development, the by-laws and regulations of the
condominium or planned unit development, and constituent documents. It a condominium or planned unit development
rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements of such rider
j shall be incorparated iota and shall emend and supplement the covenants and agreements of this Mortgage as if the rider ~
E were a part hereof.
P 7. Protection of lender's Security. If Borrower fails to perform the covenants and agreements contained in this
i 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. ins~.lvcncy. code enforcement. or arrangements or proceedings involving a }
t bankrupt or decedent, then Lender at Lender's option, upon native 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 audmey's tees and emry upon the Progeny to make repairs. It 1_cnder rcyuired mortgage insurance as a j
condition of making the loan secured by this Mortgage. Bornjwer shall pay the premiums required to maintain such
insurance in rltect untif such time as the requirement far hush insurance terminates ~n accordance with Borrowers and
• 3lJlX34i PSGE~~~.~