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HomeMy WebLinkAbout0712UNIFORM COVENANTS. Borrower and Lender covenant and agree as folPows: 1. Payment of Prlnc{pal and Interost. Borrower shad promptly pay when due the princ+pat of and +nterest on the indebtedness evidenced by the Note. prepayment and late charges as prov+ded in the Note. and the principal of and +nterest on any Future Advances secured by this Mortgage. 2. Funds torTaxes and lnwrsnes. Sublect to applicable law or to a written wavier by lender, Borrower shad pay to lender on the day monthly installments of pr+ncipal and interest are payable under the Note. until the Note +s paid in full. a sum (here+n "Funds''1 equal to one-twelfth of the yearly taxes and assessments which may atta+n priority over th+s Mortgage, and ground rents on the Property, it any, plus one-twelfth of yea-ty premium installments for hazard insurance. plus one-twelfth of yearly premium installments for mortgage insurance. if any, all as reasaonably estimated inmallyand 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 agency including Lender it Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may nol charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law pe-mits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mortgage that +nterest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law requires such +nterest to be paid. 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. +nsurance premiumg and ground rents. shall exceed the amount required to pay said taxes, assessments. +nsurance premiums and ground rents as they tall due. such excess shall be, at Borrower's option, either promptly repaid to Borrower or cred+ted to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shalt not be sufficient to pa~i taxes, assessments. +nsurance premiums and ground rents as they fall due. Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days Irom the date notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of a-1 $ums secured by this Mortgage, lender shall promptly refund to Borrower any Funds herd by lender. If under paragraph t 8 hereof the Property is so-d or the Property is otherwise acquired by Lender, Lender shall apply, no later than immediately prior to the sale ~iit 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 law provides otherwise. all p~y ~e~d by Lender under the Note and paragraphs t and 2 hereof shall be applied by Lender first in pa~~tj~-Oti~aiiiD nts le to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note.~N fdl a prir~~rl ote~rtiduniA~o interest and princ+pal on any Future Advances. o.~ ~t• tad ~0;~`"~'~, ,,~;.hEt' 4. Charges; Liens. Borrower shau pay au saxes, assessments and oth~r'ctiarge~t{ips~hb imposiUOnsarinbutable to the Property which may atta+n a priority over this Mortgage. and leasehold payments or gound rents: it any, in the manner provided under paragraph c^ hercOf vr. if not po+d .r. such n-~ann~er, by Burrower mat:in~ payr~cni. ~n;tten due. dire%itji iii 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 lurn+sh to Lender receipts evidencing such payments. Borrower shall promptly discharge any flee which has pr+ority over this Mortgage: provided. that Borrower shall not be required to discharge any such hen so long as Borrower snarl agree in writing to the payment of the obligation secured by such lien in a manner acceptable to Lender. or shall +n 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 part thereof. 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property +nsured against loss by tire. hazards included within the term "extended coverage', and such other hazards as Lender may require a~ ~C i.. s;:ch arwur-a5 dilii iur such periods as Lertder require: provided. that tender shah 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 shall be chosen by Borrower Sublect to approval by Lender: provided. that such approval shalt not be unreasonably withheld. All premiums on +nsurance poticies'shatt be pa-d in the manner provided under paragraph 2 hereof or ~i riot paid ~n ;uch manner. t,y Borrower niakiny payment, when due. directly to the +nsurance carrier. , Ail insurance policies and renewals thereof shall be +n form acceptable to Lender and shall 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 shall promptly furnish to Lender all renewal not+ces and all receipts of paid premiums. In the event of Toss. Borrower shah give prompt nonce to the +nsurance carver and Lender. Lender may make proof of toss if not made-promptly by Borrower. Unless Lender and Borrower otherwise agree +n wr+ting. +nsurance proceeds shalt be applied to restoration or repair of the Property damaged. provided such restorat+on or repau is econom+catty feasible and the security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or it the security of this Mortgage would be impaired: the +nsurance proceeds shall be applied to the sums secured by this Mortgage. with the excess. it 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 matted by Lender to Borrower that the +nsurance career offers to settle~a claim for +nsurance benefgs. Lender is authorized to collect and apply the insurance proceeds at Lender s opt+on either to restoration or repair of the Property or to the sums secured by ih;; Mortgage. Unless Lender and Borrower otherwise agree +n wnhng. any such appl+cahon of proceeds to pnncipat 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 18 hereof the Property is acquired by Lender, all right, title and +nterest of Borrower in and to any +nsurance policies and in and to the proceeds thereof result+ng from damage to the Property poor to the sale or acquisitcon shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or acgwsiUon. 6. Preservation and Maintenance o1 Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit waste or perm+t +mpa+rment or deterioration of the Pro- perry and shalt comply with the provis+ons of any lease +f this Mortgage is on a leasehold. If this Mortgage is on a unit in a condom+nium or a planned un+i development. Borrower shall perform all of Borrower's obligations under the declaration or covenants creating or governing the condom+nium or planned unit development. the by-laws and regulations of the condominium or planned unit development, and constituent documents. If a condom+nium 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 th-s Mortgage as it the rider were a part hereof. 7. Protection of Lendsr's Security. II Borrower fails to perform the covenants and agreements conta+ned in this Mortgage. or it any action or proceeding is commenced which materially affects Lenders interest +n the Property. +ncluding. but not lim+ted 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, disburse 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; Properly to make repairs. It Lender required mortgage insurance as a condition of making the loan secured by this'Mortgage. Borrower shalt pay the premiums required to maintain such insurance in effect until such t+me as the requirement for such +nsurance terminates in accordance with Borrowers and ,.- ~~- Btl~K J`t 4 FAGE ~1 ~.