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HomeMy WebLinkAbout1092 UNINORM OOVlNANTa. BOrr+ower and Lender covenant and agree as Edlows: U lyp~tswtN of hinelNl a~i ItMeretA. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note, prepayment and late charges ss provided in the Note. and the principal of sad interest oa any Future Advance: aecurod by this Mortgage. lllrrsi fter'lyttse anti ltte~ce. Subject to spplicabk law sx to a written waiver~by Lender, Bon+ower shall wy to Letter on the day monthly installments of principal and interest arc payable under the Note. until the Note is paid in tuU. a stten (hteein "Fuads'9 equal to ortatwelfth of the yearly tax~~ .and assessments which may attain priority over this Mortgage, and ground rents on the Property. it any, plus one-twelfth of yearly pretnitun installments for hazard insurance. plus one-twelfth of yearly premium in~allment: for mortgage inutrance. if any. all as reasonably estimated initially and from time to time by Leader on the basis of assessments and hills and reasonable estimates thereof. The Funds :hall be bald in an institution the deposits or accounts of which are ittwred or guaranteed by a Federal of state agency (including Loader if Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments. • irtsuranea premiums and ground rents. lender may not charge for so holding sad applying the Fends. analyzing said account. or verifying~ttd compiling said sssessments and bilk, unless Lender pays Borrower interest on the Funds and applicable law pecmib Lender to make such a charge.. Borrower and lender may agree in writing at the tuna 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 required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower. withottt charge, an annual accounting of the Funds showing credits aitd 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. H the amount of the Funds held by Lender. together with the future monthly installments of Funds payable prior to the due dates of texas, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. aapsments, insurance premiums and ground rents as they tall due. such excess shall be. at Borrower's option. either promptly repaid to Borrower air credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be wtCicieat to pay taxes. assessments, 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 Leader to Borrower requestin8 payment thereof. Upon payment is full of all soma :ectrred 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 u< otherwise acquired by Lender. Lender :ball apply. no later than immediately prior to the sale of the Property. or its acquisition by Lender. any Funds held by Loader at the time of application as a credit against the sums secured by this Mortgage. 3. A~licatioia ai Thp~taeab. Unless applicable law provides otherwise, all payments received by Lender under .he Note and paragraphs 1 sad 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 Advarkes. 4. CWrge:: Ijerrs. 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 thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph; sad in the event Borrower shall make payment directly, Borrower shall promptly fumish 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 [aith 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. Hazard Iawraace. Borrower shall keep the improvements now existing or hereafter erected on the Property insured agairt:t 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 of I' such coverage exceed-that amount of coverage required to pay the sums secured by this Mortgage. ~ The inwrance comer providing the insurance shall be chosen by Borrower subject to approval by Lender, providod, - that such approval shall not be unreasonably withheld. All premiums on insurance policies shill be paid in the manner provided under puagraph 2 hereof or, if not paid in such manner, by Borrower making payment. when due. directly to the I inwrance 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, f and Borrower shall promptly [urnish 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 if Borrower fails to respond to Leader within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers 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 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 1 and 2 hereof or change the amount of such iruWllmeats. If under paragraph 18 hereof the Proterty 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 [rom 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. lr+eaervatlos and Maintenance of Property; Leaseholds; Condomioiunu; Planeed Uait Hevelopmeats. Borrower 1 shall keep the Property in good repair and shall not commit yvaste or permit impairment or deterioration of the Property } and shall comply with the provisions of any lease if this Mortgage is on a leasehold. -If this Mortgage is on a unit in a g 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 unit development. the by-laws and regulations of the # condominium or planned -unit development. and constituent documrnts. 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 shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider f were a part hereof. - 7. Protection of Lender's Security. If Borrower fails t~ perform the covenants and agreements contained in this Mortgage, or if any action or. proceeding is commenced which materially affects Lendei s interest in the Property, including, but not limited to, eminent domain. insi?Ivency, cede enforcement, or arrangements or proceedings involving a ~ bankrupt or decedent, then Ixnder at I.enefer a option, upon notice to Borrower, may make such appears~~ss,, djsburse such sums and take such action as is necessary to protect Lender's interest, including. but not limited• td.'dlsbtirsement of rlasonable auomey's fees and entry upon the Property to make repairs. If tender 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 reyuircment for such insurance terminates in accordance with Borrowers and i . BdO1~E~ PaGE~ t . g~ - _ - :,~,.::_r