HomeMy WebLinkAbout1472 UNtu~oaw Covetuttts. •ortowar and lender covenant and agree ss follows:
L FtparstN at !rslac~ral stall laiesest. Borrower shall promptly pay when duo the principal of and interpt on the
irtdebtedrrpa evidersoed by the Note, prepayment and late charger as provided in the Note. and the principal of and interest
on say Future Advanca socw~ed by this Mortgage. .
2. fYri hr 7Lotea ttad 1~+a. Subject to applicable law or to a written waiver by Lender Borrower shag pay
to Lender on the day monthly installments of principal and interea are payable under the Note. until the Note is paid in [ull.
• sum fl~arein "Funda'y egwl to one-twelfth of the yearl)• tax~~ and asstssrrrertts which may attsin priority over this
Mortgage. and gtrottrrd teats on the Proptuty, it any. plus one-twelfth of yarhi• premium inualltnenb [ot hazard insurance.
plus one-twelfth of yearly premium installments for mortgage iruttrancc, if sny, all ss reasonably estimated initially and tram
time to time by Lender oa the basis of assessments and hills and reasonable estimates thereof.
The Funds shall be held in an institutirwi the deposiu or accounts of which are iratrred or gwranteed by a Federal of
state agency (inchding Lender if Lander is such an institution). Lender shall apply the Funds to pay said taxes. assessrrtertts.
iuwranee premiums and ground rents. Lender may not charge for so holding and applying the FLtrrdt. analyzing said account,
or verifying_aod compiling said assessments and bilk, 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 interat on the Funds :hall be paid to Borrower, and unku such agreement is made or applicable law
regains such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
:!tall pve to Borrower, without charge, an annwl accounting of the Funds showing credits and debits to the Funds and the
purpose~or which each debit to the Funds was made, The Funds are pledged u additional security for the sums secured
)U the amount of the Fusels heM by Lender. together with the future monthly installments of Funds payable prior to
the due dates of taxes. assessments, irt:uraLroe premiums and ground rents, shall ezooed the amount required to pay said taxes.
assasments, insurance premiums and ground rents u they fall due. such excess shall be, at Borrower's option, either
promptly tepald to Borrower or credited to Borrower on monthly installments o[ Funds. If the amount of the Funds
held by Lader shall not be stsf6cient to pay taxes, assessrrtent:, insurance premiums and ground rents as they tall due, ~
Borro~ner 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 paymatt in full of alt auras notated by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Lender. If under parag.~aph l8 hereo[ the Properly is sold or the Property Ls otherwise acquired by Lender. Lender
shall 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. A~Ycatiaw of lgLtaeds. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amount: 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. '
Ciarges; L3ews. 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. it any, in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment; what due. diroetly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amount: 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 pranptly discharge any lien which has priority over this Mortgage; provided, that Borrower shag 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 pan thereof.
S. HaaaN IasLrrance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
against loss by Ere, hazards included within the term "extended coverage", and such other hazards u 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
such coverage exceed that amount of coverage required to pay the sums secured ~y this Mortgage.
The iawrance carrier providing the inwrance 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
F iawrance 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 proLrlptly [urnish to Leader all renewal Latices and all receipts of paid premiums. In the event of Ions,
~ Borrower shall give prompt notice to the insurance .,artier and I.en_ der. Lender may make proof of loss if not made promptly
by Borrower. _
Unless Lender and Borrower otherwise agree in writing, insurance procceds shall be applied to restoration or repair of
f ttLe Property damaged, provided such restoration or repair is economically feuible and the security of this Mortgage is
i not thereby impaired. It such restoration or repair is nat. economically feasible or it 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 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 Properly
ar to the wins secured by this Mortgage.
Unless Lendsr and Borrower otherwise agree in writing, any such application of proceeds to principal shalt not extend
or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
web installments. If under paragraph 18 hereof the Property 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 from damage to the Property prior to thy: 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. Prsservatioe noel Maintenance of Property; I.easebolds; Condominiums; Planned Udt Developments. Borrower
shall keep the Property in good repair and shall Lwt comrpit ri+ute or permit impairment or deterioration of the Property
° snd shall comply with the provisions of any lease it this Mortgage is on a leasehold.. It 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 of this Mortgage as if the rider
! were a part hereof.
7. Prottetioa of Leader's Security. If Borrower tails to perform the covenants and agreements contained in this
Mortgage, ~r it any action or proceeding ~s commenced which materially affects Lender's interest in the Property, !
including, but not limited to, eminent domain, insolvency. code enforcement, or arrangements or proceedings involving a !
bankrupt or decedent, .hen Lender at Lender's option, upon notice ro 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 attomey'c tees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
condition u( making the loan secured by this Mortgage. Borr~~wer shall pay the premiums required to maintain such
insurance in effect until such time u the requirement for such insurance terminates in accordance with Borrowers and
~ ~ eoro~~~ PAGE#, ~ ' . L
~i
_ _