HomeMy WebLinkAbout0701Eiurrower and l.ender covenant and a~ree as folbws:
1. P~ymeet ot Principal aad Intere~t. BoROwer shail prompUy pay when due the principal o[ and interesl on the indebtedne88
rvide~ced by the Note. prepayment a~d latechargea as provided i~ the Note, and the principal of and intereston any Fu/ure Advances eecured
by this Mortgage.
2. Ftinde !or Ta:ea and Insurance. Subject to applic~+ble law or to a written waive~ by l.ender, Eiurruwe~ ahall pay to l.ender un the day
monthly installments of principal and inte~est are payable unde~ !he Note, until the (Vote is paid i~ full, a sum Iherein "F unda"1 equa) to one
cweltth otthe yearly taxes and asseasments which mny attain prio~ty over this Mortgage, and Kn-und ren~s on the Propcrty, if any, plus one-
twelRh of yearly premium installments [or hazard insurance, plus onrtwelfth of yearly premium installmrots iu~ mortgage insu~ance, if any,
all as reascnably eatimaled initially and from lime to tin.e by Iroder on the buria of s~saessments and bills and re:~sunuble esti~nutea lhe~eot
The Funds ahall be held in an institution the depuaita or accounta of which are i~sured or gua~anteed by a Federal or titate agency
~ including l.ender if l.ender is such an institution). ltnder shall apply the F unds to pAy said taxes, axsesame~ta, insurance premiums and
Kruund renta. Lender may not charge for so holding and applying the Munds, analyzinq said account, o~ verifying and compiling said
asaessmenfs and bills, unless l.ender pays Borrower intereat on the Funds and applirable law permits 1~ender tu make such a charge. E3onrower
and I.ender may agree in writing at the time of execution of this MortAage that intereat on the F unds shall be paid to I3orrower, and unlese
such agreement is mede or applicable law requirea auch interest W be paid, l.ender shall not be required to pay Borrowe~ any intereat or
earninga on the Funds. I.ende~ ehall give to Borruwer, without charge, an annual accounting o( the N unds showing credita vnd debita to the
Funda and the purpoae fo~ which each debit to the Funds was made_ The F unds are pledged as additio~al ~ecurity fo~ thrauma secured by lhis
Mortgage.
I[ the amount of the Funda held by I.ender, toqether with the future monthly installments of F unds payable prior to the due datea of taxea,
aeaesaments, insurance premiuma and gmund rents, shall e:c~ed the amount required to pay said laxea, axsessmeota, insurance premiume
and ground rents as they fall due, auch e:cess shall be, at f3o~TOwer's option, either prumptly repaid to Iiorruwe~ o~ credited tu f3orrower on
monthly inatallmenta of Funds. If the amount of the Funds held by lender shall nut be suffcient to pay taxes, asaes.vments, insurance
premiums and grou~d rents aa they fall due, Horruwer shall pay to l,ender any am~~unt necessary to make up the deficiency within 3o days
from the date notice is mailed by I.ender to Borrov-er myuestinQ payment thereof.
Upon payme~t in full of all sums secured by this 111ortgage, l.e~dPr shall promptly rrfund to &,rruveer any fundx held by l.ender. lf under
paragraph 18 hetrof the Property is aold or the Pruperty is othervvise acyuire~l by I.ender, I~rnder shall apply, no later lhan immediately prior
tu the sale cf the Property or its acquisition by Irnder, any F unds held by I.endrr at the time of application as a credit againsl the sums secured
by thie Mortgage.
3_ Applieation ot Payments. Unless applicable law procidrs uthervvise, all paymenLs «ti~eived by I.rnder under the Note and
paragraph~ 1 and 2 hereof shall be applied by I.ender first in pa~ ment of amountK pay:ible to I~nder by liorroNer under paragraph 2 hereof,
the~ to intereat payable on the Note, then to the principal of the Nute, and then to interest and principal un siny F uture Advances_
4. Charges: Liens. l3orruwer ahall pay all taxrs. asu~smrnts and uthrr rhar~es, fin~~ :~nd im}N~sitiuns attributablr tu the Property which
ma~• attain a priority over this Atortgage, and leas~hold pa~ mcnts ~~r tin ~und rrnts, i f any, in thF inannNr pm~~idrd under paraRraph 2 hereof or,
if nut paid in such manner, by Korrower makin~ pa>•mrnt, when due. d~rt~•dy to tht• paytr~ therrof. Kurmwrr shall promptly furnish to Ixnder
all noticesotamounLs due under this paraKraph, and ~n the e~•rnt li~~rr~~~+er shall make payment dire~•th•, Korrn~+•er shall prumptly furnish to
I w•nder reeripts evidencing such pa~ ment~c_ I~~rro~-•rr shal! prompd~• d~.~•harKr an~• lu•~ w•hi~•h has pri~~rih• uver thi~ ~1urtK:~Ke; pn,~•ided, that
fi~~rrower shall nut hr required tudischarKr an}• such lirn sulnnK :+. Ii~ ~rr~~w~er shall:~Krt~• ~n w•ritinK tn tiu• pat•tnrnt oCthr ubliKatiun secured by
~uc•h lien in a manner acceptablr tu Ixnder, ur ~hall m R~~wi f:+~th c~~ntr.t ~u~•h I~rn bt. ~~r d~•frnd e•nfi~rc~•~n~•nt.~f ~u~~h li~•n in, l~•~al pmn~edings
~.hich operate tn pre~ent the rnforcrmrnt of thr lir~ ~~r f~~rfr~tur~- ~~f tht• 1'ru{N•rh• nr :~n}• part thrn.~f
5. Hazard Insurance. liorrower sh.ill kt~p the impro~•~•mrnt. nuw rx~st~nK or here:~fter erecttvl un thi~ Pruprrt~ insurrd aKainst loss by
fire, hazards included within the trrm "extrndrd ~-ovrraKr," :~nd wch ~~th~•r hazard. as 1 xnd~•r may rryuin• a~d in such amoun4s:ind fursuch
~riods as I.ender ma~ rrquire: pro~•ided_ th.it Ixnd~•r sh:~ll nut rw~u~rc• that the ;imuunt nf such cti-e.•raKe ex~•t~ that :+mount of rn~•erage
rrr~uired lo pay the sums :cerurwl h~ th~s ~lortx.~Kr.
The insuranm carrier pr~~~•idin~; thr mcuran~•~• .hall }N• ~ h~~..•n h~ fi~~rn~w~•r ~ah~~ti•t U~ :~ppr~.~ al h~• 1.~•nd~•r. pr~~.•idErl, that ~ui•h :~ppru~•a!
.h:-II not be unrea+~m.~bh• x~thhrld :111 prrmium. ~~n ~n~ur.~m~.• ~H~lu i~•.•h:~ll IN• p.ud in thr man~~e•r pr~~nd~~1 und~•r para~r.~ph'~ hrnr~f or, if
rn~t paid in such manner. b~• Ii~~rrou•~•r m:+k~nK pa~~nwnt. wh~•n du~•. ~lir~•~ tl~ t~~ thr in~ur:~n~•e• ~~nrne•r
All insurance q~licies and renewals th~•rw~f ~hall t~r in furns ac-crptablr tu I,rnder and shall includr a.tandard m~~rtKaKeclause in favorof
.,nd in form acceptable to I.rnder. I.rndrr sh:~l! h:+vr thr n~;ht tu h~~ld th.• ~~~I~cu~~ and rt•n~~w al. tht•rr~~f.:ind Kurruw~rr sh:il! prnmptly furnish tu
iknder all renewal nntices and all re~c•eipt. ~~f p:itd premiums. In tht~ t•~-rnt uf I~~+~, ISurr~~w•rr tihall K~~•r prompt nutice G~ thr insur:inc~e carrier
and l.ender. I.ender may make pr~r~f of loss if not m:~d~• prompth~ tr~~ R~~rr~~w•Nr
l'nless Lender and f~~rrov-er otherv-•isr :iKrrr ~n w~ntinK, insurancr pnK•rt•d~ shall ht• app1~~K1 to rrsturation or repair uf the Prnperty
d~imaged, providtd such restoration nr rep.~ir ~s rr-~~n~~mi~•ally fea~~ble and lhr st~•unty of this ~1nrtKaKe is nul thrreby impairrd. lf such
r~su~ratiun or repair is not en,nomicall~ f~•:~~~hlr or J[hr w~•utrty uf thtc ~1urtK:+Kr wuuld F-e i:npa~red, the ~nsuranc•e procreds shall beapplied
t~~ the sumssecured b~ this ~tortKaKe, w~th thPexcr.~. ~f am•. p:~id tu K.~rruNer. If thr Pro~•rty is abandunrd b~ F~rrroNer.or if Borrovver failsto
re::pnnd to l.ender within :~(1 da}•s from thr datr n~~tu•~• is m.-ilyd b~- I.Pndrr to I3~~rr~~w•rr that thr intiurance carrier of~ers to xettle a claim for
~n~;urance benefi~R, I.ender is authunzrci t~, ~-nllw~t and apph• thr ~nwr.+m•r pn~~~~~is at I~rnder'c ~~pti~~n either to resturation or repair otthe
4'r~perty or the sums secured by thi~ ~1uRKaKr
Unless t.ender and ii~rrow•er othrrvr~sr aKrf~ m wnunK. an~ such appLcat~~m uf pnx•t~c~1s tn principal ~hall not extend or pustpnne thedue
date of the monthly installmen4~ rrfrnrd tu ~n par.~Kraphs 1 and'1 t~rrr~~f nr~•hanK~ thr:imuunt+dsuch inst;illments. If under paraKraph 18
hereof the Property is acquircd b~- l.~•nd~~r, :~II nKht, tttl~• and intrrest nf 1{urn~w•rr in and tu am insurancr p-licies and in and to the proceeds
thrreof resulting from damaKe to I'mperty pnor tu the• .:~le ur ai•yw.itiun shall pas. t.~ 1~•nder tu the eatent nf the ~ums sec-urc~ by this
~1~~RKage immediately prior to such sale ur acquiti~t~on.
6. Preservation and :Maintenance ~~f Proprrty: l.~•a~huldti; ('undominums; l'lann~~d l'nit Uevelopmente. I~~rrowershall keep
the f'raperty in g~id repair and chall n~,t commit w:i.tt• or prrm~t imp:~irmt•nt ~~r dF•trnor.~hun of the 1'ro{-rrt~• and shall cY-mply w~th the
pru~•isions of any lease if this ~tuRKaKr i+ un a leasehold if th~. ~1nrtKaKr ~s un :i unil ~n :~ rnndumin~um or a plannc~l unit development,
li~,rrower shall perfurm all of F~~rtuv-er's ~~bhKat~~~ns undrr the d~yI:+ratiun ~~r c•o~•rn:int. ~ n»t~n~;~~r Ku~•Prn~nK the cunduminium or planned
unit development, the by-laws and re~ulatiuns of thF- ~~undnm~n~um ~~r plannrci unit de~•elupmrnt, and constituent documentx. If a
~~undominium or planned unit drerlopmrnt rider is t•r~rutwl by Finrn~wer :~nd rer•orde.i tc.Rethrr w•ith this MortQage, the covenants and
,~~{reements of such nder tihall t~e in~-~,r{N~rate~l intu ar.d ~h;~ll amt•nd and .upplrmrnt lhf•i~~vrnanLti and aKrc~•men~+ofthis!~1ortKaKeasifthe
nder were a paR hereuf.
?. Protection ot Lender's Security. If &-rruwer fails to perf~~rm the rnvenanti+ and a~creemente contained in thie Mortgage, or if any
a~ tion or proceeding ie commenced which materially affecte I.ender'e intereat in the Property, including, but not limited to, eminent domein,
~neolvency, oode enforcement, or arrangements or pmceedinRs involving a bankrupt or decedent, then I~ender at Lender'a option,upon
notice to Borr»wer may make euch appearances, dieburse euch sume and take auch act~on as ia neceasary tn protert Lender s intereat,
including, but not limited to, diebureement of reaeonable attorney's fees and entry upon the i'roperty to make repaire. if Lender required
mortgage ineurance ae a condition of making the loan secured bv thie Murt~age, Rorrower shall pay the premiume required to maintain
Auch ineurance in effect until euch time as the requiremrnt for auch inAUrance terminates in accordance with Borrov-er'e and I.ender s
written agreement or applicable law. Aorrower shall pay the amuunt of all moriKaKe insurance premiums in the manner providrd under
~aragraph 2 hereof. '
Any amounte diebursed by I.ender perauant tu this paragraph 7, with interePt there~m, shall become additional indebtedneae of
Rorrower eecured by thiF lfortgage. Unless E3orrower and I,ender agree to other termP of payment, auch amuunte ehall be payable upon
notice fmm [.ender t~~ I3ormwer requeeting payment thereof, and ahall bear interest frnm the date of dixburaement at the rate payable from
time to time on outatandinK principal unJer the Nate unles.g pay-ment of interest at su~h rate wnuld be contrary to applicable law, in which
event euch amounte ahall bear intereat at the higheat rate permissible under applicable law. Nuthing contained in lhis paraqraph 7, ehall
require I.ender to incur any e:pense or take any action hereunder.
b~~ 34~ P.~f ~,~g
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