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HomeMy WebLinkAbout1550~•~ i j >T"~~~t1 UNIFORM OovtaNANTtt, Borroww sad I.eade- covenant and agree ss follow:: 3. fipneM at IreiacfMl ant 1tMerpl. Borrower shall promptly pay when due the principal of and interest on the iadebtednas evidetnoed by the Note. prepayment and late charges ac provided in the Note, and this principal of and interest ore say Futuro Advances secured by this Mortgage. 2. ltNi tK Tattas anti Ianra^t.~e. Subject to applicable law or to a written waiver by Lender. Borrower shall pay. to Lettdw on the day monlhty installments of principal and interest arc payable under the Note. until the Note is paid in full, a tsturt (herein "Funds'y equal to one-twelfth of the yearly taxes and assessments which may attain priority over this Mortgage, and ground rents on the Property, it any, plus one-twelfth of yearly premium installments for hazard insurance. plus oae•twelfth of yearly premium installments for mortgage insurance. if any, all as reasonably estimated initially and from time to time by Linder oa the basis of assessments and hills and reasonable estimates thereof. The Funds shall be held in an institution the deposits or accounts of which arc insured or guaraatud by a Federal or state agency (including Lender if Lender is such an institution). 1_ender shall apply the Funds to pay said taxes. sssesstnents. iasurattoe premiums and ground rents. Lender may not charge for sn holding and applying the Fttnds. analysing said account. or verifying and compiling said assessments and bilk, unless Lender pays Borrower interest on the Funds and applicable law permit: Lender to make such a charge. Borrower sad Len~r may agree in writing at the time of execution o[ this Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement a made or applicable law requires such interest 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 arc pledged as additional security for the sums secured by this Mortgage. TE the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the due dates of taxes. sssessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes. asseatrtents, insurance premiums and ground rents as they fall due, such excess shall bt. at Borrowers option, either promptly repaid to Borrower or credited to Borroww on monthly installments of Funds. If the amount of the Fund: htdd by Leader shall not be wtfieieat to pay taxes. assessments, insurance premiums and ground renu as they fall due. Bono~rer shall pay to Leader any amount necessary to make up the deficiency within 30 days from the date notice is mailed by Lsader to Borrower requesting payment thereof. Upon payaxat is full of all sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Leader. If under paragraph 18 hereof the Property is sold a the Property rs 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 Leader at the time of application as a credit against the sums secured by this Mortgage. 3. A~licatiart of PayasetNs. 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 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 interest and principal on any Future Advances. . 4. Charges; ffJetst. 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, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. 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 has priority over this Mortgage: provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in w•ritrng 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 tht Property or any pan thereof. S. Hazard Ins>tranee. Borrower shall keep the improvements now existing or hereafter erected on the Property insurod against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require and in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of 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 insurance 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. tender 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 loss if not made promptly by Borrower. Unless Lender and Borrower otherwrse agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would be impaired, the insurance procceds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid to Borrower. If the Property is ahandoned by Borrower, or it Borrower fails to respond to Lender within 30 days from the date notice is marled 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 Propene or to the sums secured by this Mortgage. Unless 1_ender and Borrower otherwise agree in 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 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 Properly prior to ttt~ 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. Praenatioa and 1laiatenance of Property: Leaseholds; Condominiums; Planned Unit IDevebptneats. Borrower shall keep the Property in good repair and shall not comrpit y~•aste or permit impairment or deterioration of the Properly and shall comply with the provisions of any lease rf this Mortgage is on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development. Borrower shall perform all of Borrower's obligations under the declaration or covenants creating or governing the condominium or planned- unit devclopmcnt, the by-laws and regulations of the condominium or planned unit develoi,ntent, and constituent documents. If a condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrcements 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. Protection of Lender's Security. If Borrower fads to perform the covenants and agreements contained in this Mortgage, or if any action ur proceeding is commenced which materially affects lender's interest in the Property. including, but not limited to, eminent domain. insolvency. axle enforcement, or arrangements or proceedings invoh•ing a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, mad make such appearances, dishurse such sums and take such xtiun as is necessary to protect Lender's interest. including. but not limned to. disbursement of reasonable auomey's fens apd entry upon the Property to make repairs. If Lender required mortgage insurance as a cond~Non of making the loan secured by this Mortgage. Born:wer shall peg the premiums required to maintain such insurance in ~tfect until such time as the requirement for such tnsurance terminates ~n accordance with Borrower's and 344 p:~Ei5~0