HomeMy WebLinkAbout0137 UNIFORM COVENANTS. Borrower and Lender covenant and agree as tottows: •
1. Payment of Principal and Interest. Borrower shalt promptly pay when due the princ+pal of and +merest on the
+ndebtedness evidenced by the Note. prepayment and late charges as provided +n the Note, and the principal of and +merest
on any Future Advances secured by this Mortgage.
2. Funds forTsxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
to Lender on the day monthly +nstallments of principal and interest are payable under the Note, until the Note is paid in full,
a sum therein "Funds"? equal to one-twelfth of the yearly taxes and assessments which may attain pr+ority ovet• th+s
Mortgage. and ground rents on the Property, d any, plus one-Iwettth of yearly premium instattments for f,azard insurance,
plus one-twelfth of yearly preririum installments for mortgage insurance, if any, all as reasaonablyestimated+nitially and from
time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
state agencyiincluding lender it 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 Funds, analyzing said account,
or verifying aihd compiling said assessments and bills. 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 pa+d. 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 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.
II the amount of the Funds held by Lender. together with the future monthly installments of Funds payable prior to
the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount regwred to pay said taxes.
assessments. +nsurance premiums and ground rer:ts 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. 11 the amount of the Funds
held by Lender shall not he sufficient to pay taxes, assessments: insurance nremn,ms and ground rents as they tall due.
Borrower shall pay to lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender 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 Lender. It under paragraph 18 hereof ti-~e Property +s sold or the Property is otherwise acquired by Lender, Lender
shat) apply, no later than immediately prior 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. Application of Payments. Unless applicable taw provides otherwise, all payments received by Lender under the
Note and paragraphs t 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. Charles; Liens. Borrower shalt pay all taxes, assessments and other charges, tines and impositions attributable to
the Property which may attain a priority over this Mortgage. and leasehold payments or gound rents, it any, in the manner
provided under paragraph 2 hereof or. rt 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 Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has pr+or+ty over this Mortgage: provided, that Borrower shalt 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 shalt in good faith contest such I+en by, or defend enforcement of Bitch iien in.
legal Iroceedings 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 herea!ter ere~:ted on the Property insured
against loss by fire. hazards included within the term ~~exlended coverage'. and such other hazards as Lender may require
and ?n such amounts and for such periods as Lender require: provided, that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sum secured by this Mortgage.
The insurance carrier providing the insurance shat! be chosen by Borrower subject to approval by Lender; provided.
that such approval shalt not be unreasonably withheld. All premiums on insurance policies shat! be paid in the manner
provided under paragraph 2 he?eot or. it not paid in such manner. by Borrower making payment. when due. directly to the
insurance carrier.
All insurance policies and rene?vats thereof shaft be in form acceptable to Lender and shaft include a standard mortgage
clause in favor of and inform acceptable to Lender. Lender shalt have the right to hold the policies and renewals thereof.
~ and Borrower shaft 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 career 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
r:^v; ttarra,u~ :^^pai::;d. S::Ct: r~S!Cr3t:^..^. •°~~^.3:• :5 °r^^^^''.tC?.!!1 !83Stti.!e it t!'.°, Se^. L'•;ty ^t !nig AArJrt~3~Q w0al~
be impaired. the insurance proceeds shall be applied to the sums secured by this Mortgage, w+th the excess. if any. paid
to Borrower. If the Property is abandoned by Borrower. or it Borrower faits to respond to Lender within 30 days from the
date notice +s 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 lenders 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 1 and 2 hereof or change the amount of
such installments. It under paragraph 18 hereof the Property +s acquired by Lender. all right, title and interest of Borrower
in arid to any insurance policies and +n and to the proceeds thereof resulting from damage to the Property prior to the sale
o? acquisition shaft pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acgwsition.
6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments.
Borrower shat) keep the Property in good repair and shaft not commit waste or permit impairment ordeterioration of the Pro-
pertyand shall comply with the prov+sions of any lease it this Mortgage is on a leasehold. It this Mortgage is on a unit :n a
condominium or a ptar~ned un+t development. Borrower shalt perform aft 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 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
shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as it the rider
were a part hereof. ,
7. Protection of Lenders Security. if Borrower faits to perform the covenants and agreements contained in this
Mortgage. or if any action or proceeding is commenced which materially affects Lenders interest in the Property.
including. but not I+mited to. eminent domain, insolvency. code enforcement: or arrangements or proceedings involving a
bankrupt or decedent. then Lender at Lenders option. upon notice to Borrower. may make such appearances. disbur,e such
sums and take such action as is necessary to protect Lenders interest, including, but not limited to, disbursements of
reasonable attorney's fees and entry upon the Property to make repairs. If Lender 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 requirement for such insurance terminates in accordance w+th Borrowers and
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