HomeMy WebLinkAbout1010Borrowe~ and I.ender cove~ant and agree as follows:
1. Payment of Principal and l~terest. Borrower ahall promptly pay when due the principal of and intereat on the indebtecineas
evidenced by the Notc. prepayment and latecharges as provided in the Note, and the principal of and inte~rat on any hbture Advancea aecured
by this Mortgage.
2. FLnds for Ta=es and Insurance. Subject to applicable law or W a writtrn waiver by l.ender, E3urrowrr sh:+ll p~y to ixnder on the day
monthly installmenta of principal and intereat are puyuble under the Note, until the Note is p~-id in full, a sum (he~ein "M unds") equal to one~
twelRh of the yearly taxea and assessments which may attnin priurity over this Morigi~ge, und ~ound rent~+ on the !'ruperty, if uny, plua one-
twelRh of yearly premium inatallments for hazacd i~sura~ce, plus onPtwelfih of yenrly premium insta+llmenta for mortg¢+Ke insu~ance, if any,
aH aa reasonably eatimated ioitially and from time to tirr~e by l.ender on the f-nsis of ~t+sexsments and billx ~nd reuaunuble estimatex therrot.
The F1i~de ahall be held in at- institution the deposita o~ accounta of which are inaured or guun~~teed Ly a Federa) or State agency
lincluding I.ender if Lender is euch an institution). L.ender ahall apply the hunds to pay saiid tAxes, assexeimrnta, insuranee p~emiums and
Kround rente. l.ender may not charge for so holding and applying tfie I~unds, ~nalyzing xaid nccoun/, or verifying :ind compiling said
aseeeements aod bills, unless Lender paye Borrowe~ intereat on the Funda and applicable Iaw permits (.ende~ to make aurh a charge. ~~rrower
and Lender may agree in writing at the time of execution of lhis Mortgage that intereat on the Funds shall be paid to l3orrvwer, and u~leea
auch agreement ie made or applicable law requires auch interest to be paid, [.ender ahall oot be required to pay Borrower any intereat or
rarninge on the Ftinde. I.ender shall give to Borrower, without charge, an annuAl Acc~-untinK of the h unds showing credita and debita to the
!~ unda and the purpose !or which each debit to the Funda wua made. The F uods are pleclged as additional security forthe aums secured by this
Mortgage.
If the amount otthe Funds held by l.ender, together with the future monthly installments of M unds pHynble prior to the duedatea of taxee,
asseasmenta, inaurance premiuma and grnund rnnls, ahall excted the amounl reyuirc~i to pny said taxea, asseaxmeals, insurance premiuma
and grou~d renta as they fall due, auch exceas shall be, at Horrower s option, either promptly repaid to l3orrower or crediteci to E3orrower on
monthly i~atallments of Ftinds. If the amount of the Funds held by I~ender ahall not be sufficient to pay taxes, assesamenta, insurance
premiums and ground renta as the~ fal) due, Borrower shall pz+y to I.ender any amount necesssiry to make up the deficiency within 30 days
from the date notice is mailed by l,ender to I3orrower rcquestinK payment thereof_
Upon payment in full of all sums secund by this Mortgc~ge, l.ender shall promptly refund to fiorrower any funds held by I.ender. lf under
paragraph 18 heteof the Property is sold or the E'roperty is otherwise acyuired by I.ender, I.ender shali apply, no later than immediutely prior
to the sale of the Property oritsacquisition by I.ender, any M unds held by I.ender at the timr of applicalion as a credit against the sums secured
by thia Mortgage.
3. Applicalion of Paymenta. Unleas applicable law providex otherv-ise, all payments received by Lender under the Note and
paragraphs 1 and 2 hereot ahal) be applied by I.ender first in p~~•ment of amounts payable to I~ender by i3orruwer under paragraph 2 hereof,
then to interest payable on the Note, then to the principal of the Note, ~nd then to interest i~nd principal un Tny Nuture Advances.
4. Charqea; Liens. ~rrnKershall p.~~ all taxiw, asce:~cments und ntht•rcharKc~, fincw and imFH~sitiuns.~ttributable tu the 1'mperty which
may attain a priurity over this 111ortKaKc, and leaschuld paymrnts or ~;round rents, if am , in th~• m.inner pru~•ided under p:iragrnph'l hereof or,
~f not paid in such manner, by li~,rruK•er makinK p:+~ ment, w hen duc, dircvth• tu the pay~Y• th~•nrd. Rurmwershall promptly furnish to I.ender
.~ll notices of amounts due under this paraKraph, :~nd in the e~•ent Korruw~er shall make payment dircY•tl~. Rorro~~~er sh:~ll prumpdy furnish to
Lender receip44 evidencinK such p~yments. liorruw~~•r sh:+ll prumpth• di«•harK~• :~n~ lien whir•h has prioritc o~•~•r thi. ~1urt~;:~ge; providecl, that
fiurrower shal) not be reyuirrcl tu discharKi•:~m• wch lii~n su IunK :~~ Itorn~wer shall aKrw• in w•ritin~; tn the p:n•~nt~nt of th~~i~hli~;:-tiun secured by
such lien in a manner acceplabtr to I.ender, or shall in ~;~Nxi faith ~•~~nt~~t .uch li~~n hy. urde•G•nd t~nfor~rm~•nt uf vu~•h li~•n in, I~~~;al pnx-eEdings
w•hich uperate to prevent the en[orcrment of the Iirn ur fnrft~iture uf th~• Pr~~FH•rh• ur :~m• p:-rt then.~f.
5. Nazard Insurance. Rurrow•cr ~h.~ll k~ti•p the impro~~i~ments nuw• existinK ~~n c~re.~Rer ere~c•ti~c1 un th~• 1'ro~•rty insured aKainst luss by
fire, hazards included within the term "extendid i•uveraKe," and su~•h uther har.ards as I.ender may n~uire and in such .~moun4~ and forsuch
Ex•ricxls as I.ender may reyuirr: pru~•id~r1, that la~nd~•r .hall nnt nY~uin• that the :~muunt ut such cti~ei~raKe excr~d that amuunt of cnverage
reyuired to pay lhe sums secvrcd b~~ thi~ ~tort~;a~t•.
•.
7'he insurancr carrier pru~•idin~; th~~ in.ur:uu•~• vh:~ll Ire• ~-h~~~~•n b~• K~~rr~~w~•r sub~~Y•t t~~:~ppn~~•:+1 by 1 a•nd~•r. pn~~•id~r1. th:~t such :~ppru~•.il
shall not 1-e unrea,unably w•ithhidd. All premiwns ~~n ~n•ur.~n~•r ~Ndi~~u~..hall Iw• p:~id in th~• m:~nn~•r pruc~d~v1 und~•r paraKrap6'~ hefkYl{Uf. 1~
not paid.in such manner. tn• fi~~rr~~v-~~•r m:ikin~; p:~~•nu•nt. Hh~•n du~•. dir~~~•th t~~ th~• ~n~ur:m~-~~ ~•:~rn~~r.
All insurance policies .ind rE~neN.+ls thrn~~f sh:~ll t~r in furm a~•c~•ptabl~• to 1 ~•ndt~r and ahail ~nclude a.tandanl mortK:~Keclau.Ke in favorof
~~nd in [orm acceptable to I,ender. lxndrr shall ha~•r th~• riRht to huld th~• pulu•ic•s and rt•n~•w•aiti tht•rt~uf, and Knrr~~w~er shall promptly furnich u~
i,ender all mnewal notices and aU rrceiptc of paid premiums. In the• i•vi•ut of In.c, li~~rruwer sh;~ll Ki~•~~ prnrn~-t nutice G~ the in~uran<~e carrier
.~nd l.ender_ I.ender may make pnN~f ~~f luss if not made prompth• M• R~~rrow•rr.
Unless I.ender and Iiorr~,wer othrrx•isc• aKrre in w•ritin~, insuran~•i• pr«~er•Jc ~h:~il tH~ .~ppliPd to rf~st„r:~liun or repair of the Yroperty
damaged, provided such testryratiun or n•pair i. e~~nnurni~:+lh• fe:~vi61~• and the ~~•unh of this 111ortKaKe ii not thereby imp.iired. If such
rrstoration or repair is not economically fea~iblf• ur if th1• ticrunh• nf thi~ ;11ortKaKe wuuld Ik~ impaired, thr insurance pruc-redsshall beapplied
tr~ thesumssecured by this M~,rtKage, w~th thr t•x~•~•.,. if am•, p:~id to fi~~rruwer Ifthr f'ru{x•rty is abandoned by F3ortuwer, orif I~-rrower fails u~
re;pond to I.ender within :i(- da~~s from thF dat~ n~rti~~~• iti madwl by Iw•ndrr tu fturr~~wer th~t thr insurance camer offers to settle a claim tor
insurance benefits, I.ender is authorizeci to coll~Y•t :~nd apph~ tht• insur:~nct• }-r«•~~cvis at 1 w•n~ier's optiun either to resturalion or repair uf the
f'roperty or the sums secured by this MnrtKaK~•.
Unless (.ender and i3orroNer otherw•isc~ a~;ree in writinK. any such applicati~m uf E-nx~cr~clv to principal shall not extend or postprme thedue
date of the monthly inatallments referrc~ tu in paraKr.~phs 1 and'L lu~nti~f or chanKe thi• amuunt of such insG~llments. If under paraQraph IS
hereof the Property is acquired by l~ender, al) riKht, title and intere~t uf Kr:rruw•er in and to ane inxuran~r ~~licies and in and to the proceeds
thereof reaulting from damaKe tr- f'roperty prinr to thc~ s:+le ur acqwsitiun sha^ pa~.ti to l~~nder to the extent of the sums secured bp this
~lurtgage immediately prior to such sale or acquisition.
6. Preeervation and 1~faintenanceof 1'roperty; lxx~e~holdw;('ondominums: l'lanned Unit De~elopmente. F~rrowerahall keep
the Properiy in good repair and sh:~ll n~~t cummit K:~~ti~ ur {-e•rmit ~mp:~irme•nt or det~~rioraciun of the Property and shall comply with the
pruvisions of any lease if thix MortKa~Ke is on a l~•asrhold. If this :11ortKaKe ~c ori a un~! in :~ c-~~nduminium or t~ planned umt development,
Fiorrower ahail perform all of I~,rruwer's ubli~;:~tiuns under the d~~•I:~r.itiun or co~•enantr~ ~•rr:~tin~;ur governmK the cundominium or planned
unit development, the by-IaK•s and reKul~tions uf the cnnduminium ur plann~~cf e~nit de~•rlopment, and constituent documents. If a
~•~~nd~~minium or planned unit devel~~pment rider is f~x~~•utrd b~~ li~~rrnw~•r and rF~•urdcYl tuKetht•r with this MortgaKe, thr covenants and
:~Kret•ments.~f tiu~h rider shal) t-c incnr{H~rat~Kl int~~ and .hall ;~nu•nd :uid ,upplem~•nt th~• ~•~ ~~•~•naots and aKrFY•ments uf this 11nrt~aKe as if the
nder wPre a part hereof.
7. Protection of I.ender'e 3ecurity. If E3~rtower fails to perform the rnvenantx and agreemente contained in this Mortgage, or if any
action or proceeding ie commenced which materially affecte~ I,ender'e interrst in the I'roperty, including, but not limited to, eminent domain,
~neolvency, code enforcement, or arrangemrnte or pn,ceedinga involving a bankrupt or decedent, then l.ender et l.ender'a option,upon
notice to Borrower may make auch appearancee, diaburee euch aume and take auch action ae ie necessary to protect I.endei e interest,
including, but not limited to, diebureement of reasonable attorney's feee and entry upon the Property to make repaire. If I.ender required
mortgage ineurance as a condition of making the losin acrured by this Mnrt~aKe, &-rrr,wer ehall pay the premiume required to maintain
euch insurance in effect unti) such time ae the requirement for euch inaurance terminatee in s~ccordance with Borrower's and [.ender s
written agreement or applicable I.aw. F3ormwer xhall pay the :~mounl of all mortKuKe ineurance premiume in the manner provided under
paragraph `L hereot. ~
Any amounte dieburecd by I.ender pereuant t~- thia paragraph 7, with intereNt there~m, ahall become additional indebtedneee of
Rorrower eecured by thie Mortgage. Unleae Borrower and I~ender agree to other tertna of payment, auch amounte ahall be payable upon
notice from i.endrr to E3ormwer requeeting payment thereof, and ehell bear interest fn,m the dale of diabureement at the rate payable from
time to time on outetanding principal under the Note unleas payment of intereet at such rate would be contrary to applicable law, in which
event eueh amounta ahall bear interest at the hiKhest rnte permian~ble undPr applicable law. Nothing contained in thia paragraph 7, ehal)
require I.ender lo incur any expenee or take any actiun hereunder.
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