HomeMy WebLinkAbout2488UNIPORid COVBNAIiTS. Borrowe~ and l.eude- covenant and sgree u tollows:
1. !y^~t ot hMcl~l a~i IdenM. Borrower shall promptly pyy when due the principal ot and intercst on the
~ndeb~edneu evidenad by che Nae. prepayme~t a~d late cFwrgc~ a~ p~ovided in the Note, and the principal ot aod interest
on any Future Advances securod by this Mort~age.
2. Ih~ir tor TuM ~i I~wn~cc. Subject to applicat+k law or to a written waiyer by l.ender. eoRO~~ ~n.i~ wr
to L.ende~ on the dsy monthly installments ot principal aod intcrcu arc payable under the Note, until the Note is paid in tull.
a sum (heteiri "Funds") eqwl to one-tweltth of the yea~l)~ ~ taa~~ anJ assessme~ts which may attain priority over this
Mortsaje. and gmund rents on the Property, if aoy. plus ooe-twelfth of yearly prcmium installments for hazard insurance.
plus oae-twel[th of yearly premium insullments tor.moMgage insurancc, it any, all as rcuonably estimated initially and trom
time to time by Lender on the basis of assa~mcnts and hills and reawnable eslimata thercof.
Tln Funds shall be held in a~ institution the deposus or accounts ot which arc iosured o~ guannteed by a Fedenl ot
:tate aaency (including Lender if Lcnder is such an ins~itution). 1_ender ahall apply the Funds to pay said uxes. assessme~ts:
insurance premiums and ground ~ents_ l.ender may not charge lo~ so holding and applyiog the F~mdc. analyzing caid account.
or verifying aod compiling said asussments and bills, unless Lender pays Bonower intercst on the Funds and applicable law
pecmits Lender to make such a charge. Borrower a~d Lender may agrce in writing at the time of execution ot this
Mortgase that ioterat on the Funds shall be paid to Borrower, and unlas such agreement is made o~ applicable law
rcquira such i~terest to be paid. Lender shall not bc required to pay Borrower any interest or earnings on the Funds. Lender
shall aive to Borrower~ without charge, an annual accounting of Ihe Funds showing credits and dcbits to the Funds and the
purpose [or which each debit to the Funds was made. The Funds are pledged u addi~ional xcurity for ~he sums secured
by this Monsage. ~
If the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to
the due data of tues. assessments. insurance premiums and ground rcnts, shall excecd the amount requircd to pay said taxes.
stses~ments. insurancx prcmiums and gtound rents as they fall due, such excess shall be, at Borrower s option, either
promptly e+epaid to Borrower or credited to Borrower o~ mon~hly installments of Funds. I[ the amount o( the Funds
Aeld by Lender shall not 6e sut6cient to pay taxa. assessments, insurance peemiums and ground rents u they fall due,
Bono~rer shall pay to Lender any amount nocessary to make up ~he deficiency within 30 days from the date notice is mailed
by Leader to Bonower ~+equtsting paymen~ thereof.
Upon paymeat in full of dl sums secured by this Mor~gage, I_ender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property i~ sold or the Propeny ~s otherwiu acqwrcd by Lender, Lender
shdl apply. no later t6an immediately prior to the sale of the Property or its acquis~tion by l.ender. any Funds held bv
Leoder at the time of application u a crcdit against the sums securcd by this Mortgage.
3. Applicatioe ot Paymeets. Unless applicabl~ law provides otherwise, all payments received by Lender under the
Note and paragnphs 1 and 2 hereof ahall be applied by I.enJer first in payment of amounts payable to Lender by Bo~rowe~
under paragraph 2 hereof. tben to interest payable on the No~e, then to the principal of the Note, and then to interest and
principal on any Future Advances.
~. Char6es; Lkas. Borrower shail pay all taxes. assessmcnts and othcr cha~ges, 6nes aod impositions attributable to
the property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any. in the manaer
provided under paragraph 2 hereof or. if not paid in such manner, by Borrower making payment, when due, dircctly to the
payee thcroof. Borrower shall promptly furnish to LenJer all notices of amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly furnish to Ixnder receip~s evidencing such payments.
Borrower sha11 promp~ly discharge any lien which has pnonty over thtc Mortgage: provided. that Borrower shall not be
required to discharge any such lien so long as Borrower shall agree in vanl~ng to ~he payment of the obligation secured by
such lien in a manner acceptable to Lender, or shall ~n good (aith contet~ such lien by, or defend enforcement of such lien in,
ttgal proceedings which operate to prevent the enforcement o( ~h~ lien or torte~ture of the Property or any part thereof.
S. Hazard /nsurance. Borrower shall keep the ~mprovementc now cxisting or hereafter erected on the Property insurod
against loss by 6rc, hazards included withm the term "extendeJ coverage". and such other hazards as Lender may require
and in such amounts and for such periods as Lender may require: provided, that I_ender sfiall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured ~by this Mort6age.
71~e ~nsurance carrier providing the insurance shall be chosen by~ Borrower subject to approval by Lender, provided.
that such approval shall not be unreasonahly withheld. All prem~ums on insurance policies sha11 be paid in ~he manner
provided under paragraph 2 hereof or. ~f not paid in such manner, by Borrower making payment, when due, dircctly to ihe.
insurance carrier.
AU insurance policies and renewals thereo( shall be in form acceptable to Lender and shall include a standard mortgage
clause in favor of and in form acceptable to Lender_ Lender shall have the right to hold ~he policies and renevval~ thereof,
and Borrower shall promptly furnish to Lender all renew•al notices and all receipts of paid premiums. In the event of loss,
Borrower shall give prompt not~ce to ~he insurance carrier and l.ender. 1_ender may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borroxer othervv~k agree in wndng, imurance proceeds shall be applied to restoration or repair of
the Property damaged, prov~ded such restorattoo or repau is economically feasible and the security of this Morigage ic
not thereby impaired. I( such restorat~on or repa~r is not rc~nomically teasible or if the securiry of this Mortgage would
be impaired, the insurancc proceeds shalt be applied to the sums secureJ by this Mortgage. with the excess, if any, paid
to Borrower. If the Properry is abandoned by Borrower, or il Bormwer fa~ls to respond to Lender within 30 days from the
date notice is mailed by Lender to Borrower that the insurance carrier ofien to settle a claim for insurance benefits, Lender
is aut6orized to collect anJ apply the insurance piuceeJ~ at l.ender's option either to restoration or repaer ot the Propertv
or to the sums secured by th~s Mortgage.
Unless Lender and Borrower olherv-ise agree in wntmg, any such application c~f prcx:eeds to pnncipal shall not extend
or postpone the due date of Ihe monthly installmentc refcrred tc~ in paragraph~ 1 and 2 hereof or change the amount of
suc6 installmeots. I( under paragraph 18 hereot thc Property a acyuired hy 1.cnJer, ali nght, tiUe and interest of Borrower
in aod to any tnsurance policies and +n and to thc proceeds thereof result~ng (rum damage to the Property prior to thc sale
or acquisition shall pass to Lender to the extent of the ~ums secured by th~s :1lortgage immediately prior to such sale or
acquisition.
6. Preservation ~nd ~tainten~nce of Properly: l.eacehulds; ('ondominiums: Plsnned Unit Devebpmenfs. Borrowcr
shall keep thc Propcrty in good repair and shall not comro~~ ~astc e~r permit ~mpairment or deterioration af the Property
and sh~ll comply with the provisions of any lease ~t ~h~. Murtg~gc i~ on a Icaschald. It this Mortgage is on a~mit in a
condominium or a planned unit devclopment, Borrower shall ~xrtorm alt of Borrowers obl~gations under the dedaration
or coveoants creating or govern~ng the condominwm or planned unit develupmcnt, the by-laws and regulationc of the
condominium or planned unit developmen~. and cons~ituent documentti If a conJominium or planned unit Jevelopment
nder is executed by. Borrower and recorded rogether w~th th~~ Mortgage. the covenants and agreements of such rider
shall be incorporated into and shall amend and supplement the covenants anJ agreements of thit Mortgage as if the .rider
were a part t~ereof.
7. Proteciian of Lender's Securfty. If H~rro.+cr f:,~l, u~ ~nrt~~rm the covenants and agreements contained in thic
Mor~gage, or if any ac~ion ~~r proceed~ng i~ a~mmcnce~l Nhich ma~criallj• .~tfrcts Lender'c ~n~erest in the Pmperty.
includmg. but not I~mited tv, rminent domain. ~n~~lvcnc}, u-dc rnfi,rccment. or arrangemcnts or pr~xeedings invol~•ing a
bankrupt or decedent. then I.ender at I.ender's opuon, uEx~n notice to Borrowrr, ma} m:~ke such appearances, disbu~se such
sums and take such ac~iun ac is nece«ary ~a pn.tect LenJer'c mterest. including. hut not IimiteJ to, Jisbursement ot
rnsonable auorney's feet and emry u~•n ~he Proper~~ to make repau~. I( I.~nJer reynireJ mc~rtgage in~urance ac a
cond~twn o( makmg thc loan cecurcJ by th~ti :11~-rtg.~~r. Hnrrr•v.cr tl~ ~II pa~~ thr prcm~ums rcquired to mai~tta~n such
~nsurance in rt(ect unlil such Ume as Ihe reyuiremenl for .uCh in;uren:r tcrminatr~ in aecordance whh Borrc•wer's and
~ B0~'K 346 PacE 2484