HomeMy WebLinkAbout1653: 4 .~ ' ,~ ~ ~~ ~ t
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Borro~ aad Lend~ oovenant aAd asree eu lolbrw:
1. Psyaaeat of Peiaclpal Rnd Interea~ Horrower ahall pwmptly pay when due the pri~c~al of and interest on the indebtednep
widenoed by the Note. p~epaymert and late char~e~ a~ pmvided in the Note. and the principal of aad inteseat on aey F1~tuce Advanee~ aecurd
by thiu Moe~tsa~e.
2. I~nda [or Taue~ and Ituuraaoe. 3ubjed b applicable law or to a written waiveT by Leoder, BoROwa shal! pay to Lender on the day
monthly icuWlmenta of principal and i~terest are payable under the Note. until the Note is paid in fuU, a sum (hereio "~nds'7 equal to one:
twelRh of the yair~y taxes and aasasaaenta which may attain priority over this Mortga~e, and ground re~ee o~ the Pwperty, i[any. plw oAa
tweltth of yearly premium installme~~ts fo~ hazard insurance, plus onetwelfth of yearly premium installme~ts for moctgage insurance, if eny,
all as reasonebly estiaaated initially and irom time to tirae by Le~der on the basis of asaessments and billa and reasonable estimates thereof.
Tbe F1~ad~ ~hall be held ia en inditutio~ the deposits or accounta of which are insured or guaranteed by a Federal or State a~ency
(includin~ I.ender if Leader is such u~ institution). Lender shall apply the Funda to pay said ta:ea. asseasments. i~suranoe premiuma aad
~ound rents. Lender may not chuge fot so holding and applyin~ the I~Lnds, analyzing esid scoount~ or verifying and compiling said
aneamenta and bills. unlaa Leader pays Borrower interest oa the Ftinds and applicable law permits Lender to make such a chuge. Borro~rer
aad I.ender may a~rae in writias at the time of euecntion of this Mortgage thet intenat on the I~nds ahall be paid to Borrower. and unlw
~nch agreeanent is made or appiicable law reqnires such interest to be paid. I.ender shall not be required to pay Bos~ower any intere~t or
esrning~ on the fi~nd~. I.ender shall give to Bonower. without charge, an annual acoounting of the F`nnda ahowing credita and debita to the
P~nds and the parpoee for which each debit to the ~nds ryaa made. The Runda are pledged as additional security for the sums sccured by this
Moitgage-
If tbe amount of the Plunds held by I.ender, tagether with the future monthly installmenb of Funde payable prior to the due dates of ta~ces,
rusauneats. insurance praniums and ground renta. ahall e:c2ed the amonnt required b pay said ta:ea. asaeasments. insurance preminnu
and grouad rents as Wey fall due. such excess ahaU be. at Borrower's option. eithe~ pmmptly repaid fA Borrower or credited to Bormweton
monthly instaUments of Pbnda. If the amouat of the Funds heW by I.ender ahall not be sufficient to pay taxes, asseasments. insuranoe
premiums aad gronnd senta as they fall due. Borrower ahall pay to Lender any amount necessary to make up the deficiency within 30 day~
fiom the date aotiae i~ mailed by Lender to Borrower requesting payment thereof.
Upon payanent in fuU af all wuu secnred by this Mortgage, L.ender ahall prompdy refund to Borrawer any funda held by I.ead~. If under
paragraph 18 htreof the Property ia sold or the Property is otherwise acqnired by L.e~der. Lender ehall apply. no later than immediately priot
to the sale of We Property or ite aoquisition by I.ender, any I~nda held by Lender at the time of application as a credit againat the sums ~ecnred
by thu Matgage.
3. A~licat~on of Papmenb. Unless applicable lawr pmvidea otherwiee, all paymente received by Lender under We Note a~
paragraplu 1 and 2 hereof shaU be applied by Lender firat in payment of amounts payable to Lender by Borrower under paragraph 2 hereo~
then to intereat payable on the Note. then to the principal of the Note, and then to intenst and principal on any Futun Advanoa.
4. Chargee; I.tens. Borrower shall pay ali taxea, assesements and other rhargea, fines and impositions attributable to the Property which
m$y 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 auch manner, by Borrower making payment, when due, directly to the payee thereo! Borrower ahall promptly fi~miah to Lenda
all noticea of amounts due under this paragraph, and in the event Borrower shall make payment directly, Borrower shall promptly furniah to
Lender reoeipta evidencing such payments. Borrower ahall promptly discharge any lien which has priority over thia Mortgage; pmvided. that
Borrower ahall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of theobligation secured by
such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement oCsuch lien in, lega! proceedings
which operate to prevent the-enforcement of the lien or forfeiture of the Property or any part thereof.
5. Hazard Insnrance. Borro~rer shall keep the improvements now exiating or bereaRer erectad on the Property inaured againat luss by
firG hazards included within the term "extended coverage," and such other hazards as Lender may require and in auch amounts and fa snch
periods as Lender may require; provided, that Lender shall not requirn that the amount of such rnverage exceed that amount of coverage
reciuired to pay the sums secared by this Mortgage.
11-e insurance carrier providing the insurance shail be chosen by Korrower subject to approval by I.ender, provided, that sueh appmval
shaU not be unreasonably withheld. All premiuma on insurance policies shall be ps~id 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.
AU insaranee policiea and renewals thereof shall be in torm acceptable to l.ender and shall include a standard mortgage clause in favor of
aad in farm acceptable to Lender. Lender shal! have the right to hold the policies and renewals thereot, and Borrower ahall promptly furnish b
iender all renewal notices and all receipts of paid pmmiums. In the event of loss, Born~wer ahall give prompt notice to the insurance carrier
and Lender. Lender may make proof ot loss if not made promptly by Borrower_
Unless Lender and Borrower otherwiae agree.in writing, insurance proceer~ shall be applied to reatoration or repair of the Property
damaged, provided auch reatoration or repair is economically feMsible and the~security of this Mortgage is not thereby unpaired. If snch
restoration or repair is not economically feasible or if the security ot this Mortgage would be impaired, the inaurance pmceeds ahall be applied
to the auma secured by thia Mortgage, with the excess, if any, paid to Borrower. If the Property ia abandoned by Borrower, or if Borrowa fails fo
re8pond b Lender within 30 daya from the date notice ia mailed by Lender to Borrower that the insurance carrier offero to aetde a claim for
insunnce benefite, Lender is authorized to collect and apply the insurance proceeds at l.ender's option either to restoration or repair ot the
Proptrty or the suma secured by this Mor4Bage.
Unlesa Lender and Borrower otherv~-ise agree in writing, any such application of proceeda to principal shall not e~ctend or postpone thedne
date of the monthly inataliments refernd to in paragraphs 1 and 2 hereof or change the amount of euch installmenta. If under paragraph 18
hrreof the Propetty ia aoquired by Lender, all right, title and interest of Borrower in and to any insurance policiea and in and to the procxed~
thereof reeulting from damage to Property prior to the sale or acquisition shail pass to Lender to the eatent of the eums secured by this
Mortgage immediately prior to such eale or aoquisition. ~
6. Preservation and Maintenance of Property; Leaseholds; (:ondominums; Planned Unit Developmenis. Borrowerahall keep
the Property in good repair and ahall not commit waste or permit impairment or deterioration of the Property and ahall oomply with the
provisions of any lease it this Morigage ia on a leasehold. If this Mortgage ia on a unit in a condominium or a planned unit development,
Borrower ahall perform all of Borrower's obligations under the declaralion or covenanta creatingor governing the rnndominium or planned
unit development, the by-laws and regulations ot the condominium or planned unit development, and rnnaatuent documenta. If a
aondominium or pianned unit development rider ia e:ecuted by Borrower and recorded together with this Mortgage, the wvenante and
agreementa of such rider shall be incorporated into and shall amend and supplement thecovenants and agreementa of this Mortgage as ifthe
rider were a part hereoL
7. Pe~otection of Lender's Security. If Borrower fails to perform the oovenanta and agreemente contained in this Mortgage. or if any
action or proceeding ia commmoed which materiaUy affecte Lender'e interest in the Property, including, but not limited to, emineat domain.
insolvency, oode enfor~cement, or arrangements or proceedinge involving a bankrupt or deccdent, then Lender et Lendd~ option.upon
notux to Borrower may make auch appearanoes, diebnroe euch euma and take euch action aa ia necessary to protect I.endet'~ inteses~
inclnding, bat not l~nited to, disbursemCnt of reasunable attorney'e fees and entry upon the Property to ma1~e repai». If I.a~der reqnired
mor~gage insurance as a condition of making the loan eecured by thie Mortgege, Borrower shall pay the premiunu reqnired to maintain
~nch insurance in effect ontil ench time as the requirement tor auch ineurance terminates in accordance with Borrower'~ and Lendd~
~vritten egnement or applicable Law. Borrower shall pay the amount of all mortgage insurance premiume in the manner provided unde:
paragrsph 2 hereo!
My amounte disburaed by Lendrr penuant to thia paragraph 7, with intrreat thereon, shall become additional indebtednew oi
Borrower secured by thia Mortgage. Unlees Borrower and I.ender agree to other terms of payment, such amounta ~hall be payabk npon
notioe troin Lender to Borrower requesting payment thereof, and ahall bear interest from the date of d"ubursement at the rate payabk from
time to time on outatanding principal under the Note unlese payment of intereat at auch rate would be contrary to applicabk law. in which
event such amounts shall besr intrrest at the highest rate permiaeible under appiiceble lew. Nothing,cp~~iqth~p paragraph 7. ~hall
require Lender to incur any eupense or take any action hereundrr. ' ' ~
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