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HomeMy WebLinkAbout1453 .t . ~ i F . ~ ~i UNtlORAt CovttrtAtsis. Borrowet and Leader covenant and agree u follows: . 1. tiq~setN of lslttst~ttl tttN 6tlend. 8orroMrer shall promptly pay when due the principal of and interest on the ittdobtedntas evideuoed by the Note, prepaytttertt and late charges u provided in the Note. and the principal of and interest oa any Future Advances secured by chi: Mortgage. ~ Fri ty 7lattee aN Gwtsrea. Subject to applicahk law ~x to a written waiver by Lender. BornoMrer shad pay ~ to Cattier on the day monthly installments o[ principal and interest arc payabk under the Note. until the Note is paid in full, a sum (herein "Fuads'~ equal to one-twelfth of the yearly tax~~ and a:sessntents which may attain priority over this Motlgage. and =round rents an the Property, it any, plus otte•tweltth of yearly premium installments for hsrard insurance. plus one-twel[th of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lehr on the basis of assessments and hills and rcasonabk estimates thereof. The Funds shall be held in an institution the deposes or accounts of which arc insttted or guaranteed by a Federal of state sgettcy (including Lender if Lender is such an institutionl. 1_ender shall apply the Funds to pay said taxes. assessments. iawt'attce premiums and ground rents. lender may rant charge for ro holding and applying the Funds, analyzing said account, or verifying and compiling said ssseuments and bilk. unku Lender pays Borrower interest on the Funds and appligbk law permits Leader to make such a charge. Borrower and Lender may agree in writing at the time of execution o[ this Mortgage that interest on the Funds shall be paid to Borrower. and uaku such agreement is made or applicabk law retntires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shad 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 wu made. The Funds are pledged u additiogal security for the sums secured by tba Mortgage. if the amount o[ the- Funds held by Lender. together with the future monthly installments of Funds payabk prior to the due dates of taxes, sssessmettts. insurance premiums and ground rents. shall exceed the amount required to paY said taxes. ataes[ments, insurance premiums and ground rents u they fall due. such excess shall be. at Borrower's option. either j promptly repaid to Borrower a credited to Borrower on monthly installments of Funds. If the amount of the Funds hdd by LetxMr shall not be wf6cieat to pay taxes. assessments. insurance premiums and ground rents as they [all due. Borrower shad pay to Leader 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 is full of ad sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by ieoder. If under paragraph 18 hereof the Property is sold or the Property ~s otherwise acquired by Lender, Lender shall apply. no later than immediately prior to the sak 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~lieatiott of lgyaeab. Unless applicable law provides otherwise. all payments received by Lender under the Note and paragraphs I 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 intereu and principal on any Future Advances. - d. Crarges; Liests. Borrower shall pay all taxes. assessments and other charges, tines and impositions attributable to the Properly which may attain a priority over this Mortgage, and leasehold payments or ground rtnts, 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 thecae[. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and is the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which hu priority over this Mortgage: provided, that Borrower shall not be required to discharge any such lien so bag u Borrower shall agree in writing to the payment of the obligation secured by i such lien in a manner acceptable to Lender, or shall in good faith contest such lien by. or defend enforcement o[ such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Properly or any pan thereof. t S. Hazard lasrrra~ce. Borrower shall keep the improvements now existing or hereafter erected on the Properly insured against loss by tire. hazards included within the term "extended coverage", and such other haurds u Lender may require - sad in such amounts and [or such periods u Lender may require: provided, that [.ender shall not require that the amount o[ such rnverage exceed that amount of coverage required to pay the sums secured by this Mortgage. The 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. directly to the ' ~ inwraace 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 loos if not made promptly by Borrower. ~ t Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of t the Properly damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. I[ such restoration or repair is not economically feasible or if the security of this Morlgage would be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid i to Borrower. If the Property is abandoned by Borrower, or it Borrower fails to respond to Lender within 30 days from tht date notice is mailed by Lender to Borrower that the insurance carrier offers to stifle a claim for insurance benefits, Lender is autborizai to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Propene or to the wins 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 monihly installments referred to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 18 hereof the Pro[.eny is acquired by Lender, all right, tick and interest of Borrower in and to any Insurance policies and in and to the procesds thereof resulting from damage to the Property prior to ttia: sale or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. L. If'reservatioo and Maiateaaace of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower } a shall keep the Property in good repair and shall not commit yvute or permit impairment or deterioration of the Properly and shall comply with the provisions of any lease if thu Mortgage is on a leasehold. jf 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 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 o[ This Mortgage u if the rider were a part hereof. 7. Protection of Leader's Sectufly. It Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is cummi:nced which materially affects Lender's interest in the Property. including, but not limited to. eminent domain. insi~lvency. code enforcement. or arrangements or proceedings involving a bankrupt or decedent, then lender at lender i 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's tees and entry upon the Property to make repairs. If Lender reyiiired mortgage insurance as a condition of making the loan secured by This Mortgage. Borrovacr shall pay the premiums required to maintain such insurance in effect until such time as ~hc requirement for such insurance terminates in accordance with Borrowers and X42 p~~E 14~~ - - Q -