HomeMy WebLinkAbout2684Borrower and I,ender covena~t artd ag~ee as folbws:
1. Psyment of Pri~cipal and I~teresl. Bormwer ahall promptly pay when due the principal uf and i~terest on the indebtedneas
evide~ced by the Note, prepayme~t a~d late chargea as provided in the Note, and the principal otand internat un any Future Advancea secured
by this Mortgage.
2. Funds for Tsxee end Ineuranee. Subject to npplicuble law o~ to A wriuen waiver by l.ender, IiuROwe~ ~hnll p~+y tu Ixnder oo the day
monthly installments ot principal and inte~eat are payuble under the Note, until the Note ia paid in full, a sum Ihr~rin "Funda") eyual ta one
twelfth otthe yea~ly ttucea and assesamente which may atlain priority ove~ this Mortgage, and gn-und rents on thr I'ruperty, if ~ny, plua onr
twelRh of yearly premium installmenta for hAZard insurance, plus onetwelfih of yearly premium installments for mortguge inxurnnce, if any,
all as reasonably estimated initially and from time to tirc~e by (xnder un the basis uf atcsexsmen~c and bills and retisonubie extimates thereof.
The fl-nds shall be held in an inatitution the deposita or accounts of which are insured ur guaruntc~ed Ay a Eede~al or State agency
Iincluding l.ender it l.ende~ is such an inatitution). l.ender ahall applv the Funds to pay suid taxes, assesxmente, inaurance premiuma and
Kround rente. l.ender may not charge for eo holding and applying the Funds, analyzing aaid account, ur verifying and compiling said
asaeasmenta and bille, unlese [xnder paya Borrower interest on the F unds und upplicable law peirmitx l.e~der to make such a charge. Borrower
and [.ender may agree in wt~iting at the time of execution of this Mortgage that interest on the Fu~da shal) be puid to fiomower, and unleas
such agreement ia made or applicable law requirea such interest to be puid, I.ender ahall not be required to pay Eiorrower nny intereat or
earninge on the Funde. I.ender ahall give to Bo~rower, withoul charge, an annut~l accounting of the E unda showing creditx and debits to the
Funds and the purpose for which each debit to the Funds was made. The Funds are pledgecl as additional security torthe suma secured by thia
Mortgage.
If the amount otthe Funda held by lxnder, together with the futurn munthly installments of F unds paynble prior to the duedates of taxes,
asaesamenta, insurance pmmiums and ground rents, shall exrred the :imount required to pay said taxea, assessmentx, insurance premiums
and ground rents as they tali due, such excess shali t~e, at E3orrower's oplion, either promptly repaid lo Born~wer or credited b f3orrowe~ on
monthly inatallmenta ot Funds. If lhe amount of the Fu~da held by I.ender ahall not be sufficient to pay taxes, asse~ments, insurance
premiums and ground rents as they fall due, Eiorrower shall pay to I.ender any amount necessary to make up the deficiency within 3o days
fmm lhe date notice ia mailed by I.ender tu 13orrower n~questing pa~ment thereof.
Upon payment in full of all aums secured by this Mortgage, I.ender shall prumptly refund to {3orrowe~ any funds held by l.ender. I(under
paragraph 18 hereotthe Property ia sold or the Property is otherwise acyuired by I.ender, l.ender shall apply, no later than immediately prior
to the sale ef the Property or its acquisition by l.ender, any Funds held by 1 xnder at the time of npplication as a credit against the sums secured
by this Mortgage.
3. Application of Peymenta. Unless applicable law pn,vides otherwise, all paymen~s received by l~ender under the Note and
paragraphs 1 and 2 hereof shall be applied by l.ende~ first in payment of :~moun~~ payable to I.ender by Borruwer under paragraph 2 hereof,
then to intereat payable on the Note, then to the principal ut the N~~te, and then to interest and principal on any F uture Advances.
4. Charges; Liens. Bormwer shall pay all taxes, assessments and nth~~r rharKes, fines:~nd im{wsitiuns attributable to the 1'roperty which
may attain a priority over this MortgaRe, and leasehold p.-yments urKruund rents, if :my, in the mannrr pro~•ided under par~graph 2 hereofor,
if not paid in such manner, by Rorrovecr makinR paym~~nt, when due, dinrth• to the pa}•tr th~•nr,C Rurruwershall prompUy furnish to [.ender
.+11 notices of amounts due under this p:~rakraph, and in the event liorruw•er shall m:~ke payment directly. Iiorn~M•rr shall promptly furnish to
I.ender receipts evidencing such pa~•menls. I~~rruwer sh.~ll promptly discharKr .iny lien which has priorit~ u~~er thi. Atortgage: pm~ ided, that
Fiurrower shall not be rc~aired to discharKe.iny such lii•n su lon~ :~ti RIIRON'Cf tiFl:~ll aKri~c• in writin~; to the p.+ymrnt of thrubliKation securrd by
.uch lien in a manner acceptable to l.ender, or ;hall in ~;rN~ f:~ith iti~nt~wt .ui•h lien by, ~-rdt•fend enfor~rment of such lic•n in, le~;,~l proceedings
w~hich operate to prevent the rnG~rcement uf the lien or furfeitun• ~~f thr Pro{x~rty or am• part thrrw-f.
~. Hazard Insurance. Borrower shall keep the improvements nuw• existinK or hrreafter erected on the Pruperty insured aKainst loss by
fire, hazards included v-ithin the term "extendcY) n~~~eraKr." and tiuch other hazards as la~nder may rryuire and in such amuunts and forsuch
periods ax I.ender may n~quire; proeided, that I.ender shall nut re•yuirr thal thr amount uf such rn~•t•raKe exceed that amount o[coverage
rryuired to pa~• the sums sec•ured b~ this 111urtkaKr.
The insuran~-e c:~rrier pru~•idinK th~~ in.ur:-n~-~• sh:ill !N• ~~h~~srn h~ li~~rn~wi•r sub~~r•t tu appro~•al by L.•nd~•r, pru~•ideyl. that such approval
sh.+ll not be unrea~~n,~bi~ withht•Id. ~VI pmmium. un in.ur:in~•r p~~li~-ir..h:~ll iw• p,ud in th~~ mann~•r pn~~•id~~i under para~;raph'l. hrrt~r-foi, if
nut paid in such manner, b~• It~~rruwer m:ikin~; pa}•m~~nt, w•h~•a rlur, din•ctl}• tu th~• insura~i~•~• c:+rri~•r.
All insurance policies and renew~als thereof ~hall lre in furm a~cceptabl~• tu IA•nder and shall include a standard murtKaKe clause in favorof
and in form acceptable to t.ender. I.ender shall ha~e the ri~;ht U~ hold th~• ~wli~•i~•s and re~rw•al~ ther~~f, and R~~rruw•er shall promptly turnish to
~,ender all renew~al notices and all rec•ripts uf p:iid prrmium~. !n thF~ e~~ent of In.c. Rnrr~~w•er ~hall Ki~•r prom{N nutice to the insurance ~•.irrier
and I.ender. I.ender may make prcH~f of luss if nut m:~de prumptly b~' }~URUN'E•r.
l?nless l.ender and i3~rr~~wer otherK•ice aKrc~ in w•ntinK, incurann• pnK~r~•dc shall tx• appliecl to r~+turation or repair of the f'roperiy
damaqed, pro~~ded such resloratiun nr repair ic t~•nnumi~•ally feasible and the u~c•urit~• of this ~turtKaKP ~s nut thereby impaired. If such
rrstoration or repair is nnt economically f~asible or if th~• sfyunt~• uf this MurtKaKe w•ould FK impaire~f, the insurance prucecds shall beapplied
tn the sums secured by this A1urtKagr, v-~th the ex~es.. ~f am•, paid tu Rorrower. If the I'ropc•rty~ is :+bandoned by f~~rroKer, ur if Korrower faila to
re3pond to [.ender within :i0 days from the datr n~~ti~•e i. mailFri by I.~~ndf•r tu }torruwer that thr insurance camer oCfers to srttle a claim for
insurance benefits, l.ender is authoriz~ tn collw•t and apph• tht• insuran~•e pr~K•t~•ds at I,endPr's optiun either to restoration ~~r repair of the
f'rvperty or the sum~ secured by thic ~tnrtK:iK~•.
Unlrss I.ender and Rorrower otherwise aKnti• in w•ritinK,:~n~• such.~pplic:~tion uf pr~K•crds tu pnncipal shall not c•xtend or p,stpone thedue
date of the monthly installment~g mferreYf tn in par.iKraph+ 1:~nd'l hrnvd ur ch:~nKr the am~~uM of such ~nstaUmen~~c. If under paragraph 18
hereof the Property is acyuired by I.rnder, all riKht, tide and intrrrst uf Rorruw•er in and tu an~ in~ur.inee policies and in and to the proceeds
thereof reaulting from damage t~ Property prinr t~~ the s:~l~~ ur a~~qwsition shnll pa.s to I~c•nder to the extent of the sums secured by thia
:~1ortKage immediately prior to such sale nr acquisition.
6. Preservation and MaintenanceotProperty: t.e~~ceholdti;('onduminums: Planned Unit [)evelopmenta. Borrowershallkeep
the f'roperty in good repair and shall not commit w:~~te ur pe~rmit imp:urmrnl ar dt•terioration of the Proprrty and shal! comply v-~th the
provisiona of any lease if this ~tort~;aKe i~ nn a lea~e~huld. If this \turtK.iKt• ic on a unit in a cvndnminium or a planned unit develupment,
Fiorrower shall perform all of I3orruwer's ubliKations under thF devlarati~~n nreocenants ~~re:~tin~;nr Kovern~nK the conduminium or planned
unit de~elopment, the by-lav-s and reKulations ~,f th~~ c~~nduminium ur planned unit de~elopment. :~nd constituent ducuments. If a
condominium or planned unit de~~rlupmrnt rider is rxE~c•uted b~• li~~rr~~w•rr :~nd rati•~~rdrd toKether Mith this MortgaKe, the eovenants and
aKreementcof~uch ndershall i~rini•ur~i~~rattKl intn:ind ~h:~ll amc•nd :~nd suppf~~m~•nt th~•c~n~en.mt,:~nd aKreemrntsufthis;llortKaKeasifthe
ridrr vrere a part hrnK~f.
T_ Protection ot Lender'e Security. U Borrov-er tails to perfortn the a-.venante and agreemente contained in thie Mortgage, or if any
action or proceeding ie commenced which materially affecte I.ender'a intereat in the ['ruperty, including, but not limited to, eminent domain,
~neolvency, oode enforcement, or arrangemente or pmceedings involving a bankrupt or decedent, then [.ender at Lender'e option,upon
notice to Borrower may make euch appearances, diaburse auch suma and take auch action ae ie neceasary to protect Lender's interest,
including, but not limited Lo, diaburBement of reasonable attorney'a leee and entry upon the Property to make repaire. If Lender required
mortgage inaurance ae a condition of makinq the loan aecured by thi~+ MurtKaKe. E3orrowrr e~hall pay the premiame required to maintain
euch ineurance in effect until euch time ae the requirement for auch ineurance terminates in accurdance v-ith Burrower'e and Lender'e
written agreement or applicable Iaw. Borrower ehall pay the amuunt of all mortKaKe insurance premiuma in the manner provided under
paragraph 2 hereof.
Any amounta dieburaed by I.ender perauant to this par:igraph 7, with interedt therc~m, shall t-ecY-me additional indebtedneee of
Fiurrower secured by thie Mortgage. Unlese Eiortower and [.rnder aECree tn other tertna of payment, such amounte ehall be payable upon
notice trom I.ender to E~rmwer requeeting payment thereof, and ehaU be:ir interest fn~m the date of dixbureement at the rate payeble from
time to lime on outetanding principal under the Note unless payment ~if intereat at such ratr would be rnntrary to applicable law, in which
event euch amounts ahall bear inlereat at the highest rate permixsible under appficable law. Nothing cuntained in this paragraph 7, shall
require I.ender tn incur any e:penee or take any action hereunder.
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