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HomeMy WebLinkAbout0662UNtt=oRnt CoveN~rvTS. Borrower and !.ender covenrnt and,agree as-follows: 1. Payment of Principal sod 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 Note, and the principal of and interest on any Future Advances secured by this Mortgage. 2. Funds for Tatra and Insurance. Subject to applicable law or to a written waiver by lender, Borrower shall pay to Lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance. plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lender on the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which are insured ar guaranteed by a Federal or state agency f including Lender if lender is such an institution ). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. 1_ender may not charge for su hohling and applying the Funds, analyzing said account, or verifying and compiling said assessments and bills, unless !.ender p:+ys Borrower interest un 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 he paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, Lender shall nut be required to pay Burrower any interest or earnings on the Funds. Lender shall give to Burrower; 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 arc pledged as additional security fur the sums secured by this Mortgage_ If the amount of the Funds held by Lender, together with thy future monthly installments of Funds payable prior to the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes, assessments, insurance premiums and ground rents as they tall due, etch excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premrtrms and ground rents as they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 daps from the date notice is mailed by Lender to Burrower requesting payment thereat. Upon payment in full of all sums secured by this Mortgage. 1 ender shall promptly refund to Barrower any Funds held by Lender. It under paragraph 18 hereof the Property rs sold or thy Property a otherwise acyurryd by Lender, Lender shall apply, no later than immediately prior yo the sale of thy Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against thy sums secured by this Mortgage. 3. Application of Payments. Unless appticahly law provides otherwise. all payments received by Lender under the Note and paragraphs I and 2 hereof shall be apphyd by Lender first rn payment of amounts payable to Lender by Barrower under paragraph 2 hereof, then to interyst payable r~ thy tiuty, then to the principal of the Note, and then to interest and principal an any Future Advances. 4. Charges; Liens. Barrower shall pay all lases, assessments and other charges. fines and imlxniuuns attributable to the Property which may attain a priority aver this Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof or. if not pail in such manner. M• Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly tarnish to Lender all notices of amounts due under this paragraph, and in the event Borrower shall make payment diryctt•. liorruwyr shall prumpay furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any :•r. which has priority over this Murtgagy: provided, that Barrower shall nut be regwred to discharge any such liyn so !~.•,~, as Borrower shall agree in wrrhng to the payment of the abligatian secured by such hen in a manner acceptable to Lyn~ier, ur shall in g~xxi faith contest such (iyn by, or defend enforcyment of such lien in, legal pro.cydrngs which operate tr. pre•.ynt thy entorcyment ut thy Iryn or furferture of the Property or any part thereof. S. Hazard Insurance. Burrower shall keep the rmpn-vements nos e~isung ar hereafter erected on the Property insured against loss by fire. hazards included within the term "yuyndyd coverage", and such other hazards as Lender may require and in such amounts anJ far ,arch periods as Lender may require: provided, that Lender shall nut require that thy amount of arch covyragy exceed that am+amt of coserage required to pay the sum, secured by this Mortgage. The insurance carrier p:ovidirg the insurance shall be cl-usen by Borrower subject to approval by Lender, provided, that such approval shall n+~t be ur.reau+nably withheld. All premiums on insurance policies shall t-e paid rn the manner pros•rded under paragraph . •~~-~~+t ~~r.•rf not paid in such manner, by Barrower making payment, when due, directly to the insurance carrier. All insurance policies and renewals thereof shall tx in farm acceptable to Lender and shall rncludy a standard mortgage clause rn favor of and in farm acceptahle to Lender. Lender shall havy the right to hold the policies and renewals thereat, and Barrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrawyr shall gyve prompt noticy to thy ursur,utcy carriyr and Lender. Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower othcrwrsy agree in writing. inwrance proceeds shall tx applied to restoration ar repair of the Property damaged, provided such restorauun ur repair rs ernnamically feasibly and the security of this Mortgage is not thereby imparted. It such restoraUun or repair is not economically feasibly ar it the security of this Mortgage would be impaired. the insurance proceeds shall be applied to the sums secure) by this Mortgage, with the excess, if any, paid to Burrower. If thy Property is :rhandrnyd by Barrawyr, ar it Borrower fait to respond to lender within 30 days from the date noticy is mailed by Lender to Borrower that the insurance carrier ofTen to settle a claim for insurance benefits, 1_ender is authorized to collect and apply the insurance proceeds at Lyndyr's option either to restoration or repair of the Property or to the soma secured by this Mortgage- Unless Lender and Borrower otherwise agree rn 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. If under paragraph I S 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 tram damage to the Property prior to the sale or acquisition shall pans to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acquisition. 6. Presenalion and Maintenance of Property; Leaseholds, Condominiums; Planned Unit Developments. Burrower shall keep the Property in good repair and shall not commit waste ur permit impairment or deterioration of the Property and shall comply with the provisions of any lease if this Mortgagy rc on a Iyaschold. If this Mortgagy is un a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obhgations under the dyclaraUon or covenants creating or governing she condominium ar 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 recordyd together with thn Mortgage, thy covenants and agreements at such rider shall be incorporated into and shill amend and supplement the covenants and agreements of this 1liortgage as if the rider were a part hereof. 7. Protection of Lender's Security. If Barrower fails to perform the covenants and agreements contained in this Mortgage, or if any action ur proceeding rs commyncyd which materiallyrBycts 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, then Lender at Lender's option, upon nonce to 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 attorney's tees and entry upon the Property to make repairs. If Lender regrired mortgage insurance as a condition of making the loan secured by this Mortgage, Borrower shall pay Ihy premiums required to maintain such. insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrowers and f -- ~ _ - s~~344 ~~E ©6~ . ~.