HomeMy WebLinkAbout1372UNIFORM COVEN.~NTS. BOffOWt~ anJ l.cnJrr cuvcnant :~nJ agrre as follaws:
1. PaymcM of Prtacipsl aad Interesf. Horruwcr shaU promplly pay whcn due thc princip•rl of a~d interest un the
inckbtedr~ess evidenceJ by the Notc, prcpaymcnt and latc charg~~ ac p~avidcd in the Natc, and Ihc principal of and interest
on any Futurc Advancec securecl by this Mortgagc.
2. Fuads for Tanes and latursace. Subject to applirablc law or to a written waivcr by I.cnder. Borrowcr shall pay
to l.c~der o~ ~he Jay monthly installmcnts of principal and ~ntc~ect arc payable under the Nate, until the Note is paid in (ull,
a sum (herein "FunJs") equal to une-twelfth ot the ycarly ~axes and ~sussments which may attain prioriry over ~his
Mortgagc, and ground rents on thc Pmperty, if an~•, plt~s onc-iwelf~h of ycarly prcmium installments for hatard insurance.
plus one-twelfth of yearly premium installments tar mortgage insurancc, if any, all as reasonably estimated initially and from
timc to timc by Lender on the basis of assescmcnts and bills and reasunable estimates thereof.
'Tl~e Funds shall be held in an in~titutiun the depositx or accounts of which are insurecf or guaranteed by a Federal or
state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
insurance premiums and ground rcnts. I.ender o~ay not charge (ar ~o holding and applying ~he Funds, analyzing said accaunt,
or verifying and compiliog said assessments and hills, unless l.ender pays Borrower interest on ~he Funds and applicable law
permits Lender to make such a charge. Borrower and l.ender may ;~gree in writing at thc time o[ execulion of ihis
Martgage that interest o~ the Funds shall be paid ta Borrower, and unless such agreement is made or applicable law
requires suc:~ i~terest to be paid. Lender shail not he requirecl to pay Borrower any interest or earnings on the Fu~ds. [.ender
shall give to Barrower, without charge, an annual accounting of the Funds showing c~edits and debits to the Funds and the
purpose for which each debit to the Funds was rnade. The Funds are pledged as additional security for ~he sums secured
by this Mortgage. .
lf the amount of the Funds held by Lender, toge~her wi~h thc future monthly installments of Funds payablc prior to
the due dates of taxes, assessmenls, insurance premiums and ground rents, shall exceec! the amount reyuired to pay said taxes,
assessments, insurance premiums and gmund rents as they fall due, such excess shall be, at Bor~ower's option, either
promplly repaid to Borrower or credited to Borrower on monthiy installments of Funds. If the amount of the Funds
held by Lender shall not be sufficient to pay taxes, assessments, insur•rnce premiums and ground rents as they fall due,
Borrowe~ shall pay to Lender any amount necessary• ta make up ~he deficiency within 30 da}s from the date notice is mailed
by Leoder to Borrower requesting payment therco(.
Upon payment in full of all sums secured by this Mor~gage, l.ender shall promptly refund to Borrower any FunJs
held by I.encler. If under paragraph 18 hereof thc Propcrty is-sold or thc Propcrty is othervvisc acquired by Lender, 1_ender
shall apply, no later ihan immediatcly prior to thc salc of thc Propeny or its acquisition by 1_ender, any Funds helJ by
Lender at the time ot apprcation as a creJit against the sums secured by Ihis Mortgage.
3. Application of Payments. Unless applicable law provides o~herwise, all payments received by [.ender under the
Note and paragraphs I and 2 hereof shall be applicd by I.ender first in payment of amounts payable to Lender by Borrower
under paragraph 2 hereof, then to interest payable on thc Note, thcn to thc principal of the Notc, and thcn to interest and
principal on any Future Advances.
4. C6arges; [,kns. Borrower shall pay all taxcc, atiscs~mcnis and olhcr charges, fines and impositions attributable to
the Property which may attain a priority over this Mortgage, and leasehold payments or gro~nd rents, if any, in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
payee•thereof. Borrower shall promptly furnish to Lender all_notices of amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shal) promptly furnish to Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has priority over this Mortgage: provicied, that Borrower shall not be
required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obliga~ion securecl by
such lien in a manner acceptable to Lender, or shal) in good faith contest such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
S. Hazard I~unrance. Borrower shall kcep ~he improvements now• existing or hereafter erected on the Propcrty insured
against loss by fire, hazards included within the term "cxtended coverage", and such other hazards as Lender may require
and in such amounts and for such periods as Lender may rcyuire; provided, that 1_endcr shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured by Ihis Mortgage.
The insurance'carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided.
that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
provided under Qaragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to ihe
insurance carrier.
All insurance policies and renewals ihereof shall be in form acceptable to I.e~Jer and shall indade a standard mortgage
clause in favor of and in form acceptable to Lender_ t_ender shall have the right to hold the policies and renew•als thereof,
and Borrower shall prompUy furnish to Lender all renewrl notices and all receipts of paid premiums. In the event of loss,
Borrower shall give prompt notice to the inaurancc carrier and I.ender. Lender ma)~ make proof of loss if not made prompdy
by Borrower_
Unless Lender and Borrower othen+~isc agree in w•riting, insurance proceeels shall be applied to restoration or repair of
the Property damageJ, proviJed such restoration or repair is economically feasible and the security of this Mortgage is
not thereby impaired. I( such restoration or repair is not economically feasible or if the security of this Mortgage would
be impaired, the insurance proceeds shall be applieJ to the sums secured by this Mortgage, with the excess, if any, paid
to Borrowcr. If the Properry' is abandoncd by Borrowcr, or if Borrower faits to respond ro Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier otTers to settle a claim for insurance benefits, Lender
is authorized to collect and apply the insurancc proceeds at I_enJe~'s option either to restoration or repair of the Property
or to the sums secured by this Mortgage.
Unless l~nder and Borrower otherwise agree in writing, any such application af proceeds to principal shail not extend
or postpone the due date of the monthly installmcnts rcferrcd to in paragraphs I and 2 hereof or change the amount of
such installments. If under paragraph 18 hereof the Property is acyuired by [.ender, all right, title and interest of Borrower
in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
or acquisition shall pass. to L.ender to the extent of the sums secured by this rlortgage immediately prior to such sale or
acquisition. '
6. Preservalao and ~iaintenance of Properiy; [.easeholds; ('ondominiums; Planned Unit Developmenls. Borrower
shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
and shaU comply with the provisions of any lease it this Mortgage is oa a leasehold. 1( this Mortgage is on a onit in a
condominium or a planned unit clevelopment. Borrower shall per(orm all of Borrower s obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of ihe
condominium or planned unit development, ~nd constituent documents. If a condominium or planned unit development
rider is executed by Borrower and recorded together w~ilh this Mortgage, the covenants and agreements of such rider
shall be incorporated into and shall amend rnd supplement the covenants anJ agreements of this Mortgage as iF the rider
were a part hereof.
7. Protection of Lender's Security. If Borrow•er fails ro per(orm the covenants and agreements contained in this
Mortgage, or if any action or proceeding is commenced w~hich materially afiects Lender's interest in the Property,
including, but nM limited to, eminent domain, insolvency. ccxie enforcemeM, or arrangements or proceedings invoh•ing a
bankrupt or decedent, then Lender at Lender's option, upon notice to I3orrower, may make such appearances, .disburse such
sums and take such action as is necessary to protect Lender s interest, irtcluJing, but not IimiteJ to, disbursement of'
reasonable attorney's fecs and entry upon thc Property to makc rcpairs. If Lcnder requircd mortgage insurance as a
condition of making the loan secured by this Mortgage. Borrower shall pay the premiums required to maintain such
insurance in efiecl until such time as the reyuirement for such insurance terminates in accordance with Borrowers and
BOOK J~~ PaGt ~c~t1;7 -
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