HomeMy WebLinkAbout2378UN~FOR~-t CovEH~NTS. Borrower and I.cnJe~ c~~ven•rnt and agree a~ tallows:
1. P~yment oE P~rinclpd aad Iate~al. Bor~ow•e~ shali p~omptly pay v--hen due the priocipal o( and interest on the
ir-debtedness evidenceJ by the Nole, prepayment and late cha~ges as provided in the Nate, and the prinripal ot and imeres~
on any Future Advancec secured by this Mortgage.
2. Fuads to~ Tues snd Insuraace. Subject to applirable law or to a written waiver by l.ender, Borrower shall pay
to l.ender an ~he day monthly installments of principal a~d ~~tere~t are payahle under the Nate, until the Nate ic paid in full,
a sum (herein "Funds") equal to one-tweltth at ~he yearly tatiec and accessmenls which may a~tain priority over this
hlortgage, and ground rents on thc Property, if any, plus ~~ne-twel(th ot yearly premium iostallments [or hazard insurance,
plus one-~welf~h of yearly premium installments for mortgagc insuraoce, i( any, all as reasonably estimated initially and trom
timc to ~ime b~• l.ender on the basis ot asscssmentS and bills anJ rea~onable estimates thereot.
The Funds shall he held in an institu~ion the deposits or aca~unts ot which are insured or guaranteed by a Federal or
state agency (including Lender if Lender is such an institution). I.ender sh•rll apply the Funds to pay said ~axes, assessmenh,
insurance premiums a~d graund renls. I.ender may nat charg~ far u~ holding and apply+ng the Funds, anal~~ting said account,
or verifying and compiting said asse~~ments and bills, unless l.ender pa~~ Borrowcr intere~t on the Funds and applicable law
permits Lrnder ta make such a cha~ge. Bor~ower and Lender may agree in wnting at the time o( execu~ian o( this
Mortgage that interest on ~he Funds ~hall he paid to Borrower, and unless such ~greement is made ar applicable law
reyuira such interest to be paid, 1_ender shall not he reyuircd t~ pa~• Borrower any intcrest ar earnings on the Funds. 1_e~iJer
shall gi~•e to Borrower, without charge, an annual accountiog af ~he 1=unJs tihowing credits and debits to the Funds and the
purpo~e far which each debit t~~ the f=unds wa~ made. The F=unds are pledged a~ additional securit}• for the sums secured
by this 1-tortgage.
If the amount of the Funds held by Lender, tugether Nith the future monthly in~tallmcMs o( Funds pa~•able prior to
the due dates ~~f ~axes, assess~nents, insurance pre~niums anJ grounJ rentc, shall exceed ~he amount reyuired ~o pa~• said taxes,
assessmen~t, ~nsurance premiums and ground rents as ~hey fall due, cuch excec~ shall be, a1 Borrowe~ c apti~~n, either
prompdy repaid to Borrower or credi~ed to Borrower on monthly ~mtallments of Fundc. If thc ~moun~ of thc Funds
held by l.ender chall not be suf6cient to pay taxes, assecsments, imurancc prem~um~ and gmund rentc as they lall due,
Borrower shall pay to l.ender any amount necessary to make up ~he drficirnr~• within ;0 da~s from the date natice is mailed
by Lender to Borrower rcques~ing paymrnt ~hereof.
Upon payment ~n full of all sums secured b}• th~c Mortgagc. I.cndrr shall promptly rct~md to Borrower any Fu~Js
hetd by Lender. If under paragraph 1R herraf ~hc Propen~~ ~c ~oW ~~r thr Pmpcrt~ u othcrwitc acquircd bj• Lcndcr, 1-ender
shall apply, no latcr than immediatrly prior u~ thc ~alc of ~hc Pro~x:rty or itx :icyuis~t~on h~• 1_cndcr, any Fundc hcld by
Lender at ~he ume of application as a creJit againc~ thr sum~ ~ecured b~ thi~ ~tortgagr.
3. Application of PaymeMs. Unlccs appl~cahlc la~~ pr~~~ ~~es i~~herw iu. all papmentc reccivcd by Lender unJer the
Notc and paragraphs I and 2 hereof shall be apphed b~~ I.rnJ~r fint ~n pa~menl uf ~mounts pa}'aMe to 1 en~cr hy Borrower
under paragraph 2 hereot, then to imerest payablc on the tiute. ~hen to ~hr principal of the Note, and then ~c- intrrest and
pnncipal an any Futurc Advances.
4. Ch~rges; Liens. Borrowcr ~h:dl pay all ta~c.. :~••eti~mants and other chargc~. finc+ anJ imM.tiitii~nc attnbut:~ble to
the Propertp which may attain a pnority aver thi~ :1lortgage. and Ieaceh~~W payments u~ ground rents, if an}•, in the manner
provided unJcr paragraph 2 hereof or. if not paid :n wch manner, h~ B~~rrower making payment. w~hen due, JirecNy to ihe
payee thcrcof. Borrower shall prompily furnish to Lender all noticcs ot amounts duc under th~s paragraph, and in the event
Borrower shall make paymenl d~rec~ly, Borrowrr ~hall prompUy (urnitih tu l.ender rereipts r~•idencing wch payments.
Borrower shall prompily discharge any lien ~hich has pnont~• aver thi. Mortg:~ge; pruvided, that Borrower ~hall not be
reqwred to dixharge any such lien so long as Borrower shall agrrc in ~n~~ng t~~ the pa~ment o( the ob6gatiun secured by
wch lien in a manner acceptable to Lender, or tihall i~ gocxi faith cc.ntev wch lien by, or defenJ enforcement of such lien in,
legal prcxeeding~ which operate to prevent the enforcemrnt of Ihe li.n or (orfeiture of the Property or an~• par~ thcreof.
S. Hazard Insurance. Borroarr shall keep ~hr impro~rment~ ne~w e~icting or hereatter erec~eJ on Ihe Property ~nsured
against loss b~• fire, haza:dc incluJed within ~he term "~~irnded coveragc". anJ such other hazards ac Lender ma~• reyuire
a~xi in wrh amaunts anJ for such pcrialc at I.ender map reyuirc; pr~~~~ided, that I_cnJer ~hall not rcyuire thai thc :+m~nmt of
such co~~erag~ erceed that amount uf co~erage reyuired to pa~ Ihe uim. ~erured M• th~t Mortgage
The insurance carrier providing ihc insurance ~hall be rhuun hy Borrower subject to appro~•al by I_ender, provided,
that such appro~•al ~hall not be unrea«~nably withheld. All premuim~ on insurance policies ~hall F+r paid ~n the rh~nne~
provided unJer paragraph 2 hereof or. ~f not paid in such manner, b~ B~•rrouer making payment, when due, d~rectly ta the
~nsurance carrier.
All insurance policie~ and renewats thereM shall tx in form accepi.-blr tu I.ender and chal) include a~tanJard mor~gage
dause in faw-r c.f and ~n form ar~ep~able tu L~ndcr. Lrndcr ~hall ha~c the right ta hold the p~~lic~cs and reneual~ thercof.
and Borrower .hall promptl}~ furnish t~~ Lender all rencw~i noures and all rcceipts of paid premium~. In the e.~cnt of loss,
Borrower ~hall gi~•e pmmpt notice to the in~urance rarner and 1_enJer. I_endrr ma}• make prcx.t uf loss if not made promptly
b)' Borrower.
Unlcss I.ender and Borrower other~~tic agrre in wnhng. inwrance pnxecJ~ shall be applied..to restoratirn~ or repair of
thc Properly damaged, prov~Jed such retitorat~on ~~r rcpair ~s economirall~~ feasiblc and the security of this Mor~gage ~s
not ~hereby impaued. If such resturation or repa~r is n~.t ernnumically fcavhle or if the security of this Mortgage would
be impa~red, the msurance proceeds shall be :+pplied ta the sums secureJ b~• this ~`fortgage, wqh the excecs, if any~, paid
to Borrower. If thc Propert) is abandoned by Borruwer, or ~t Bormwcr ta~ls ti~ responJ to (_endcr within 30 da}'s ftom the
date notice is mailed by Lender to Borrower th~t thc ~nsurance carner otTer. to settle a claim for insurance benefitti, I_ender
is authorized ~o collect and apply~ the insurance proceeds ~t i.ender'S optiun e~ther to restoration or repair of the Property
or to the sums secureJ by ~his Mortgage.
Unless Lender and Borruwer othen+ise aeree in writing, any such application of proceeds to principal shali not extend
or postpone the due date of the monthly installmen~c referred to in paragraph~ I and 2 hereof or change the amount of
such installment~_ !f under paragraph 18 hereof the Property iti acyuired b} Lende!, all right, title and interest of Borrower
in and to an}• inwrance policies and in and to the prckeeds thereof resulting from damage to the Property prior to the sale
or acqui~ition shall pass to Lender to the extent of the sums secured by this ~1ortgage immediately prior to Such sale or
acquisition. .
6. Presenalion and 1laioten~nct of Propert~; l.easeholds: ('ondominiums; Planned Unit Des~elopments. Borrower
shall kcep the Property in goud repair and shall not commit waste or permit impairment or deterioration of the Property
and shail comply with the provisions o( any lease if thi~ ~tortgage ic on a leasehold_ If this Mortgag~ is on a unit in a
condominium or a planned unit development. Borrower shall per(orm all of Borrower's obligations under the declaration
or covenants creating or governing the condom~nium or plannrd un~t development, the by-laws and regulations of she
conJomimum or planned unit development. and consti~uent documems. It a condominium or planned un~t development
nder is executed by Borrow~er and recorded together K•ith thiti Morlgage, ~he covenants and agreements o( wch nder
shall be ~ncorporated into and shall amend and supplement Ihe co~enanls and agreements of Ih~s Mortgage as i( the rider
were a part hereof.
7. Protection of Lender's Securify. If Borrower failc to pcrform the cavenants anJ agreements contained in this
Mortgage, or if any acUOn ~or proceedmg is commeneeJ v-h~ch ma~erially afiecls I.ender's interest in thr Properly,
induding, but not limited to, eminent domain, insolvency, code cnforcement, or arrangements or proceedings invoh•ing a
bankrupt or decedent, then l.ender at Lend~r's option, upon notice ~o Borrower, may~ make such appearances, d~sburse such
sums and take sueh ac~ion as is necessary to protect l_ender's interest, ~ncluding. but not limrted to, disbursement of
reuonable attomey's tees and entry upon the Property to make repairs. It Lcnder rcquired mo~tgage inwrance as a
conclition of making the loan secured by this Mortgage. Borrower shatl pay the premiums requireJ to maintain such
insuraqce in efiect until such time as the requirement for such insurance terminates in accordance with Borrower s and
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