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HomeMy WebLinkAbout0165 Borrower and Lender rnvenant and agree as follows: 1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the indebtedness evidenced by the Note, prepayment and late charges as provided in the Nate, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Funds for Ta:es and Insurance. Subject tc, applicable law ur to a written waiver by i.ender, Itarruwer shall pay to Lender on theday monthly installments of principal and interest are payable under the Nate, until the Note is paid in full, r~ sum Ihernin "F unda'") equal to one twelfth of tine yearly taxes and assessments which may attain priority ever this Mortgage, and ground rents on the Prolx•rty, if any, plusone- twelRh ofyearly premium installments for hazard insurum•e, plus unrtwelfth ofyearly premium installments for mortgage insurance, if any,, all as reasonably estimated initially and from time to time by !.ender un the basis of :?ssessments and hills and re:?sun?+ble estimates thereof. The Funds shat) be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or State agency (including [.ender if Lender is such an institution). Lender shall apply the Fonda 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 and compiling said aaseasments and bills, unless Lender pays Borrower interest on the Funds and applicable law permits Lender W make such a charge. Borrower and Lender may agree in writing at the time of execution of this 111ortg:+ge that interest on the Fonda shall be paid to Borrower, and unless such agreement is made or applicable law requires such interest W be paid, lender shall not be required to pay Borrower any it?trreet or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Fonda and the purpose for which each debit to the Fonda was made. Thr Fundy are pledged as additional security for the sums secured by this Mortgage. 1[the amount of the I•lrnds held by Lender, together with the future monthly installments of F unda payable prior to theduedateaoftaxes, assessments, insurance premiums and ground rents, shall excxd the amount reyuirfd to pay said taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Bo?rawer's option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Fonda. If the amount of the Funds helfl by !.ender sh:+ll not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due, Borrower shalt pay to Fender any amount necessary to make up the deficiency within 30days from the date notice is mailed by lender to Borrower mquesting payment thereof. Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Barrawer any funds held by Lender. if under paragraph 18 hereof the Property is sold or the Property is otherwise acyuirf•fl by bender, Lender shall apply, nr? later than immediately prior to the sale of the Property nr its acquisition by Lender, any Funds held by 1 xnder at the time of application us a credit against the sums secured by this Mortgage. 3. Application of Payments. Unless applicable law prr?vid+•s otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Ixnder 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 ~Irrte, :+nc1 then to interest and principal on any Future Advances. 4. Charges; liens. Borrower shall pay all taxes, assessments and utherchargf•s, fines and im{xrsitiuns attributable U, the Property which may attain a priority over this Mortgage, and leasehold payments or gnwnd rf•nts, itany, in the manner provided under paragraph 2 hereofor, if not paid in such manner, by Borrower making payment, when due, dirf•c•tly !a the payf•e therfr;f. Borrower sh:+U promptly furnish to Lender all notices of amounts due under this paragraph, and in the event Bom,?ver shall make payment directly. Burnrx•er shall promptly furnish to !.ender receipts evidencing such payments. I3crrruwer shall promptly, discharg+• :+ny lien which has pnunty aver this Mortgage; provided, that Borrower shall not be ref{aired tudischarge any such lien su long as Borrower shall agree in writing to the payment of theobligation secured by such lien in a manner accepG+ble to Lender, ar shall in grxxl faith contest sur•h lien hy, onirff•nd enfunrment of such lien in. legal proceedings which operate to prevent the enforcement oC the lien or forfeiture of the 1'nrperh• or any part themuf. 5. Hazard Insurance. Borrower shall keep the improvements now existing or h+•reafter erected un the Property insured against loss by fire, hazardq included within the term "extended coverage," and such ether hazards ay Iw•nder may ref{airs and in such amountx and forauch periods :+s lender may require; provided, that Lender .hall not require that the amount of such crn•erage exceed that amount of coverage required to pay the sums secured by this Mortgage. The insuranm carrier pnn•iding the insur-.+nce shall tx•+•hosen ir.• Knrrower subjf•ct h, approval by Ixnder, providfd, that such approval shall not be unreasrmabiy withheld All premiums r,n insuruu•f• {,r,luvf•. shall Iw• pain m the rnanner pn,vicbd under par-<?gr.+ph'l hereof or, if not paid in such manner, by liomrwer makir?g p:+yrnr•nt. when due, din•rtly to the rnsurance carrier. All insurance policies and renewals the•revrf shall lx• in form :+cceptable to 1 xnder:+nd shad includ?• a standard mortgagedause in favorot and in form acceptahleta Lender. t.endershall have the right to hold the pulicu•s:?nd n•newals thereof, and Rorrowershallpromptly furnish to i.ender all renewal notices and all receipts of pa+d premiums. In thr• event of lr~~s. Knrrowf•r shall give prompt notice to the insurance carrier ~i and Lender. Lender may make prcx?f of loss if nut made promptly, be Bom,wer. Unless (.ender and &,rrower otherwise agrfrrn writing, incur:+noe pn,cecri: sh:+ll tx• applied to restoration or repair of the Property f damaged, provided such resGrratiun ar repair is tc•onomir~ally fi•bsiblf• :tort thf•'su•.~unty of this Mortgage is eat thereby impaired. If such ~ mstoration or repair is eat economically feasible ur if the sfr•urity of this ylurtgagr would ire impaired, the insurancepracerdsshall beapplied to the sums secured by this Mortgage, with the c >icess. if any, p:+id to Bom,wer. ! f the 1'nr{x•riy is abandoned by Burrower, or if Borrower fails to respond to !.ender within 311 days from the date nutirf• is mailed by I.f•nder in Korn•wer that the insurance carver offers to settle a claim for 9 insurance benefits, bender is authunrfd trr collf•r•t and apph• the in~ur:+nce• pnw•fvds at Le•nds•r's option either to restoration or repair of the I Property or the sums secured by this Mortgage. Unless [.ender and Itorn,wer otherwise agn•e in wnting• :ury such a pplir:+tum of pnx•f•f•ds G, principal shall not extend ar postpone thedue .',ate of the monthly installments rrferrefl to in paragraphs t :u?d hereof nr ch:+nge the amount of such installments. If under paragraph 1H hereof the Property is acquired by Lender, all right. Utle and mten•st of Borrower in and to any insurance policies and in and to the proceeds thereof resulting from damage to Property prior to the sale ur ar•qursition shall pass G, Lf•nder to the extent of the sums secured by this I Mortgage immediately prior to such sale ar acquisition. 6. Preservation and Maintenanceof Property: Iw•s+seholds; ('or?duminums: Planned Unit Developments. Borrowershall keep the Property in g«xl repair and shalt not commit w:+tite or pf•nmt tin{t:+irnu•nt err deterioration of the Property and shall comply with the F provisions of any leaxe if this Mortgage is on a leasehold. If th+s Mortgage is an a unit in a condominium or a planned unit development, Borrower shall perform all of liornrwer's obligations under thf• df•claration u-c•uvenants cr+:+tu+gur governing thecondominium ar planned unit development, the by-laws and regulations of the rondurmnrum or pL•+nnc•fl unit development, and constituent documents. If a condominium ar planned unit d+•velupment rider is exr•c•utfd try Itr,rn,wer and n•curdfd together with this Mortgage, the covenants and agreements of such rider shall bf• incorpur+tfd into and shall sensor! and supplenu•nt thecacenants and agrf•ementsof this Mortgage asifthe rider were a part hen•+,f. 7. Protection of Lender's Security. If Borrower fatly tr, perkrrm the covenants and agreements contained in this Mortgage, or if any 3 action or proceeding is commenced which materially affects Lender's interest in the Property, including, but not limited to, eminent domain, ~ insolvency, code enforcement, or arrangements ar proceedings involving a bankrupt or decedent, then Lender at Lender's option,upon notice to Borrower may make such appearances, disburse such gums and take such action as is necessary to protect Lender's interest, t including, but not I~mited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance r?s a condition of making the loan securfd by this Mortgage, Bfrrruwer shall pay the premiums required to maintain each insurance in effect until such time as the requirement fur such insurance terminates in accordance with Borrower a and Lender's a written agreement or applicable Law. Borrower shall pay the, amount of all mortgage insurance premiums in the manner provided under t paragraph 2 hereof. ¢ Any amounts dishurserl by !.ender persuant tfr this par:?gr:+ph 7, with interest thereon, shall trecome additional indeMedness of Borrower secured by this Mortgage. Unless Burrower and bender agrf•e W other terms of payment, such amounts shall be payable upon notice from [.ender to Borrower requesting paymee+t thereof, acrd shall tx•ar interest from the date of disbursement at the rate payable from time to time on outstanding principal under the Nate unless payment of interest at such r:+te would he contrary to applicable law, in which event such amounts shall bear interest at the highest rate perm+ssible under applicable law. Nothing contained in this paragraph 7, shall require Lender to incur any expense or take any action hereunder. • ~G7X 343 PSGf ~,~5