HomeMy WebLinkAbout0066E3orrower and [.ender covenant and agree as follows:
1. Paymenl ot Principal end Interest. Borrower ehall promptly pay when due the pri~~cipal of and intereat on the indebtedneas
evidenced by the Note, prepayment and late chargea ae provided in the Note, a~d the principal of and intcreat on any F'uture Advancea secu~ed
by this Mortgage.
2. Ftitnds tor Ta:es and lnsurance. Subject b applicuble law or to a writte~ waive~ by Ixnder, {iorrower shull puy to l.ender o~ lhe day
monthly inatallmenta of principal and i~tereat are payable u~der the Note, until the Nute is paid in full, u sum (hereio "M unda") equal to one
twelRh of the yearly taxea and aseeasmente which may attain priority uver thia Mortgage, a~d ~und rents on the F'ruperty, if nny, plus one
twelRh of yearly pmmium installmenta for hazard insurance, plus unetwelfth of yenrly premium instalimrnta for morigi~ge ineu~ance, if any,
all aa reasonably estimated initially and from lime to tirt~e by l.ende~ on the basis of assesxmentx s~nd bills and reasunuble eatimatrx -hereot.
The ~1nds ahall be held in an inatitution the deposita or accounta of which are insured or gunranteed by a Federal or State agency
(including l.ender i[ I.ender ia such an inatitutio~). l.e~der ahall apply the Funde to puy said taxes, asseaxmenta, inaurance premiums and
ground ~ents. l.ender may not charge for so holding and applying the Funds, analyzing said account, or verifying and compiling said
aseeasme~ts and billa, unleae Lender pays Borrower inlerest on the Funds and applicable law permits I.ender to make such a charge. E3orrower
and l.endes may agree in writing at the time ot execution of this Mortgage that intereat un the Funda shall be paid to Borrower, and unleae
such agreement is made or applicable law requirea auch interest to be paid, l.ender ahall not De required to pay Eiorrowe~ any intereat or
earnings on lhe ~nda. Lender shall give to Borrower, without charge, an annual aceou~ting otthe Funde showing credits and debits to lhe
Funds and the purpose [or which each debit to the Funda was ms~de. The M unds are pledged As additional aecurity [or the sums secured by this
Mortgage.
If the amount of the Funda held by l,ender, together with the future monthly instullments uf N unds payable prior to the duedatea ofta:ee,
asaessmenfs, insurance premiume and ground renls, shall excred the amount required lo pay said taxes, assessments, insurance premiuma
and gmund rents as they fall due, auch excess shall be, at E3o~mwer's option, either promptly repaid W E3orrower or credited to fiorrower on
monthly inatallments of Funda. If the amount of the Funds held by I.ender ahal) not be xu[ficient to pay tuxes, assessments, insurance
premiuma and ground renta as they tail due, Eiorrower shall pay to I.ender any amount necessary to make up the deficiency within :30 daye
from the date notice ia mailed by I.ender to Borrower requesting payment thereof.
Upon payment in fuli otall aume secured by this Mortguge, I.ender ahall promptly refund to I3orrower any funds held by I.ender. ltunder
paragraph 18 hereof the Property is sold or the Property is otherwise acquired by I.ender, l.ender shall apply, no later than immediately prior
to the eale af the Property or its acquisition by l~ender, a~y F unds held by l.ender at the time of ppplication as a credit against the sums aecured
by this Mortgage.
3_ Applieation of Paymenta. Unless applicable law provides otherwise, all payments received by Irender under the Note and
paragrapha ! and 2 hereof ehall be spplied by l.ender first in payment of amounts payable to l.ender by Borrow•er under paragraph 2 hereof,
then to intereat payable on the Note, then to the principal of the Note, nnd then to interest and principal on any h uture Advances.
4. Charges: Liens. Rorrower shal) pay all taxcs, assc:ktiments and othrrcharges, fine~ and impositions.~ttributable to lhe Properiy which
may attain a priority over this MortgaKe, and Ie.~Sehold payments ur Kround rents, if any, in thc manner pruvided under paragraph 2 hereof or,
if not paid in such manner, by E3orrower making payment, when due, directly to the p:~yee ther.~c~f. Rormwer sh:~ll promptlp furnish tu I.ender
.~11 notices of amoun~c due under this pnraRraph, aind in th~ e~•ent Korrov-•er shall make payment direY•tly, IturmN•er shall prompUy [urnish to
1 xnder receipts evidencing such paymen~s. li~~rrow•ersh:+ll prumptly disi•harK~• :~m• lien v- hich has priority o~•cr this ;11ortKaKe; pruvided, that
Rorrower shall nol be requirrd to discharKe an~ ~uch lien su IanK :-~ It~~rruw er shal l aKrc~• in writinK tu the payment uf the•~bl iK:~tion secured by
such lien in a manner acceplablr to I.ender, or,r•h.Jl in ~;~HKI L•~ith cunt~wt such li~~n by, urdefr~d t•nfi~n•~~mimt ~~fsw•h li~•n in, le~;al proce~dings
which operate to prevent the enfurcement uf the lien or forft~itur~ of th~• Pru~H~rh~ or an~• part then~~f.
5. Hazard Inaurance. F3orrow er shall keep the impnrvemeMi+ nuv- existinK or hem:~fler erected un the Pmperty insured against loss by
firr, hazards included within the term "extendcd co~•eraKe,° and such other hazards.is I.rnder may rryuire aind in such ~mounls and forsuch
F~riods as I.ender may reyuire: provided, thal (.ender tih:ill not ny~uire that the amuunl of such cYn~eraKe exceed that amc-unt of coverage
reyuirrd to pay the sums serured by this A1ortK:~Kr.
The insurance c.irrier providinK thi• in~uran~r shaU tN• ch~~.~•~~ h~• li~~rruw•rr ,ubj~Y•t to apprm•al b}• 1..•nd~•r, pr~.~•idE~f, th:rt such :~pproval
shall not be unre:~~nably vvithhi~ld. All premium~ ~~n in~unn~•i• ~N~lii•i~•..hall IN• p:~id in thr rnann~•r pruvidwl undi•r para~;rap}i'L hrrrofur, if
nut paid in such manner, by liurrow•er makin~ paym~~nt, w•h~•n dui•. ~lirw•tly t~~ thr i~suran~•~• c:~rri~•r.
All insurance policies and renewals therrof sh.dl t~e in furm accept:~ble tu I.~•nder and shall include a standarcl mortQaKe clause in favorof
and in form acceptable to I.ender. I.endershall ha~•r the riKht G~ hold th~• {N~Iii~iPS and n•newal~ Ihrrt~~f, and Rorruwershall promptly furnish to
~.ender all renewal notices and all receipts of p:+id prem~ums. In the evrnt uf loss, Rurn~w•er shall Kive prumpt nutice to the insurance c:irrier
and I.ender. l.ender may make pr~M~f of Ir~~s if not made prumpth• by finrruw•er.
Unleas [.ender and &~rrower otherv-ircr aKrer in w•rit~nK, insuranci• proccr•ds sh:~ll tm .~pplied to restor:~tion or repair of the F'ruperty
damaged, provided such rEwG-ratiun ur rrpair is crunum~i•.illy feasible and the u~•urity of this 1~turtKaKe is noi thrreby impaired. If such
rrseoration or repair is not economic~lly frasible or if thc• security uf this ~turtgaKrwuuld M• impairecl, the insurance proceeds shall t-eapplied
tu the sums aecured by this MorlKage, vrith the ex~rs~, if:~ny, paid tu Rurruwer. lf the 1'ropert~• is abanduned by Korrower, or if Eiorrc,wer faila to
respond to I.ender within :i0 days from the d:~te noticr is m:+i1Fd b~ IA•nd~•r tu l;orrnwrr that the insurance carrier ofters lo tcettle a claim for
~naurance bene6ts. I.ender is authorizc~l to cull~rt and appl~ -he in~ur:~nce pr~K•tYYls at t.rndNr's optinn either lo restor.~tion or repair uf the
Property ot the sums secured by this MortKaKe.
Unless l.ender and ~rrower otherwise c~Kre~ in writinK, any such applicatiun uf pmrerds tu principal shall not extend or p-stpone thedue
date of the monthly installment~ referred tn in par:iKr.~phs 1:ind `l hertyd ur ~hanKe the amuunt of such inst~~llments. If under paraKraph 18
hereo( the Property is acyuired bt I.ender, all riKht, title and intereRt of Rurrower in and tu any insurance policic~ and in and to the pruceeds
thereof reaulting from damage k~ Property pn~~r lo the sale or acY~w~itiun xhall paKS G~ I~ender to the extent of the sums secured by thie
~tortgaRe immediately prior to such sale or acquisitinn.
6. Preeervation and Meintenance otf'roperty; t.eaxeholds; ('ondominums; Planned Unit Developmente: Borrowerahall keep
the f'roperty in good rep~ir and shall not commit w~:+~te~ or permi/ imp:~irment or detrrioration uf the Property and shall rnmply with the
proviaions of any lease if this !-tortKaKe is on a Irasrhnld. If thic M~~rtKa~;e iti on a unit in a cymduminium or a planned unit de~elopment,
I;orrower shall perform all of Iiorrower's obliKatiuns under the d~•I:~ratinn ur coven:mtti ~~r~ :~t~n~or Kovern~nK lhe cunduminium or planned
unit development, the by-1'aws and reRulatinns of the cunduminium nr plannecf unit de~elopment, and constituent documents. I[ a
~ unduminium or planned unit develupment rider i~ ext~cutEKf by fi~~rrower :ind reY•ordctil t~*ethrr with this Mortqage, the rnvenanla and
aKrcr~men~4 o(such rider chall !~ ~ncorEH~rotecl int~~ and ~hall amrnd and tiuppli~ment theco~•rnants and aKnY•mentsufthis l~tortKaKeas ifthe
rider wem a part hereoL .
7. Protection of Lender'e Security. If I3orrower fails to perfortn the rnvenante and agreemente contained in thie Mortgage, or if any
action or proceeding is commenced which materially aftecte l.ender'e intereet in the F'roperty, including, but not limited to, eminent domain,
ineolvency, oode enforcement, or arrangements or proceedinga involving a bankrupt or decedent; then I.ender at I.ender'e option,upon
notice to Borrower may make such appearancee, diaburse auch auma and take auch action ae ie neceesary to protect Lender's intereat,
including, but not limited to, diebureement of reasonable attorney e fees and entry upon the Property to make repaire. If Lender required
mortgage ineurance as a condition of makinq the loan secured by this Mortqage, &-rrower ahall pay the premiume required to maintain
euch ineurance in etfect until euch time ae the requirement for auch ineurance terminates in accordance with Borrower'e and I.ender'a
written agreement or applicable Law. Borrower ahall pay the amr-unt of all mortgage inaurance premiuma in the manner provided under
paragraph 2 hereof.
Any amounte diabursed by I.ender perauant to this paragraph 7, with intereat thereon, ahall become additional indebtednese of
Fiorrower eecured by thie Mortgage. Unleas E3orrower and l.ender agree to other terms of payment, such amounte shall be payable upon
notice from Lender to Borrower requeatinR payment thereof, and ahall bear intereet from the date of dixburaement at the rate payable from
time to time on outetanding principal under the Note unlesx payment of interest at such rate would be contrary to applicable law, in which
event euch amounta shall bear interest at the highest rate permiseible under applicable law. Nothing contained in this paragraph 7, shap
require I.ender to incur any expenae or take any action hereunder.
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