HomeMy WebLinkAbout2500UNttaw CovEt+~rits. Botmwer snd Lender covenanl and saree u follows:
1~ h~^~a~t ot hMclNl W 1Menst. 8orrower shall promp~l~ pay when due the principal ot and inte~st oo the
indebtednw evideaoed by th~ Note. Prepayme~t and late charges ac provided in the Note, and the principal of ~nd inter~est
oa anr Future Advsnces secured by this Mortgaae.
2. FNi tor Tues ui i~whace. Subject lo applic~hk law ~~r ~o s written waiver by Lender. Botrawer shall pay
to Lender on the dsy monthly installmsnts ot principal and iatcrc~~ arr payahle under the Note, until the Note ia p~-id in tull,
a sutn (herein "Fundt'1 oqual to one•twelfth ot the yea~t~ taa~~ anJ ~ssessments which may attain priority over this
Mortsaje. and ~mund rents on the Pmperty. ~if any, plus one-~weltth of yearly prcmium installmeots for hazard in:uraoce.
plus oae-twelftb of yearly premium installments tor mortgage insurancc. if any, all as reasonably es~ima~cd initially and trom
time to time by Lend~r on the buis of assescmcnts and hills and rcaaonable atimata thercof.
The Funds shall be held in an inslitu~ion ~he depoxiu or accounts of which are insucrd or guannteed by a Fedenl ot
ttate aaency (includi~g Lender if Lcnder is such an institutionl. I.ender ahall apply the Funds to pay said uxes. assessments.
insurance ptemiums and ground rcnts. 1_ender may no~ ebarge ior so holding and applying Ihe Fnndc. analyzing xaid account.
or verifyin~ snd compilin6 said assessments and bill~, unless t_eode~ pays Borrower intercst on the Funds and applicable !aw
permitt Lender to make such a charge. Borrower and Ltnder may agrce in wriling at ~he time ot execution ot this
Mongaae that intetat o~ the Fum1s shall be paid to Borrower. and unless such agreement is made or applicable law
requires such intercst to be paid. Lender shall not be rcquired ta pay Borrower any intercst or earnings on tht Funds. l.ender
shall give to Bo~rower~ without charge, an annual accounting of the Funds showing credits and debits ta the Funds a~d the
purpoae for which eaeh debit lo the Funds wu made. Tlx Funds arc pledged as additional security tor the sums securcd
by this Monaage.
If the amount o[ the Funds heM by Le~der, toge~her with ~he future monthly installments of Funds payable prior to
the due dates of taxes, assessments. insurartce prcmiums and ground rents, shall exceed the amount requircd to pay said taxes,
a:seume~ts. insurance gremiums and ground roots as they fall due, such excess shall be, at Borrower's option, either
ptanptly repaid to Borrower or credited to Borrower on mo~thly installments o[ Funds. I[ the amount o( ~he Funds
held by i.ende~ shall not be suflicieat to pay taxes. assessmenu, insunnce premiums and ground rents as they fall due.
Bormwtr shaU pay to~l.ender any amount necasary to make up the deficiency within 30 days from the date notice is maited
by Lender to Borrower requesting payment thereof.
Upon paymeat in tull of dl sums securcd by this Mor~gage, I.cnder shali promptty rcfund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property i~ sold or the Propeny is othcnvix acquircd by Lender, Lender
shall apply, no later than immediately prior ~o the sale of the Property or its acquisition by Lender. any Funds held bv
I.eoder at the time of applicatiot~ u~ credit against the sums securcd by this Mortgage.
3. Appikatios o[ paymenls, Unless applicabte law provides otherwise, ali payments received by Lertder under the
Note aad paragnphs 1 and 2 he[eof shall be applied by I.enJer 6rst in payment o( amounts payable to Lender by Borrower
under paragraph 2 hereo(, then to interest payable ~n the Note, then to the principal of the Note, and then to interest and
principal on any Future Advances.
1. Chat~es; Lkas. Bocrower shall pay all taxcs, asscssments and othcr chargcs. 6nes and ~mpositioos aitributable to
tlie Property which may attain a priority over this Mortgage, and leasehold payments or grouna rcnts, if any, in the manner
provided under paragraph 2 he~eo( or, if not paid in such manner, by Borrower making payment, when due, dircctly to the
payee thereo(. -Borrower shall p~omp~ly furnish to Lender all notices of amounts duc under this paragraph. and in tha event
Borrower shalt make paymtni directly, Borrower shall promptly fum~sh to Lender receipts evidencing sueh payments.
Borrower shall promptly discha~ge any lien which has pnonty aver ~hic Mortgage: provided, that Borrower shall not be
requirtd to discharge any such lien so long as Borrower shall agree in writing t~ ~hc payment of the obl~gation secured by
such lien in a manner acceptable to Lender, or shal( in good faith conte~t ~uch lien by, or defend enforcement of such lien irt.
kgal proccedmgs which operate to prevent the enforcement ot the lien or torte~~ure of the Property or any part thereof.
S• Hazard In~urann. Borrower shall kcep the ~mprovcmcros naw c~isiing or hercafter erec~ed on the Property insurod
against loss by fire, hazards included with~n the term "extended coverage", ar~d such other hatards as 1_ender may reyuire
aad in such amounts and for such periods as L.ender may reyuirc; provideJ, that l_ender shall not require that the amount of
such coverage eaceed that amount ot coverage required ~o pay the sums secured ~by ~his Morlgage.
The ~nsurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender. provided,
that wch approval shall not be unreasonably withheld. All premwmc on insurance policies shall be paid in the manner
provided under paragraph 2 hereof or, if not pai~ in such manner, by Borrower mak+ng payment, when due, dimtly to the
insurance carrier.
All insurance policieti and renewals therrof ~halt be in torm accep~ablr to LenJer anJ shall include a standard mongage
claux in favor of and in form acceptahle ~o Lender. [_ender ihall have the right to hold the policies and renewals therrof,
and Borrow•cr shal! promptl}~ furmsh to Lender a!! rrnewal noucec and all reccipts of paid prem+ums. In the event of loss,
Borrower shall grve prc.mpt noUCe to the insu~ance carner and l.ender. Lender may make prooi of loss if not made promptly
by Borrower.
Unless 1_ender anJ Borrower otherwi,e agree in w-rit~ng, inwrance proceeds shall be ap~-lied to restoralion or repair of
!he Property damaged, proviJed such re~toralion or repa~r is economically ieasible and the seevrity of th~s Mortgage is
not thereby impa~red. 1f sixh restora~ion or repair is nut ca~nnm~call}• fcasiMc or it the security of this Mortgage would
be impaired, the insurance proceeds shall be applied to the sums secureJ by this Mortgage. with Ihe eacess, if aay, pa~d
to Borrower. IF the Ptoperty is abandoned by 8otrower, or ~t $orrower fa~ls to re~(tt>nd ta 1_ender within 30 days (rom the
date noLce ~s ma~led by Lender to Borrower ihat the insurance carrier ofTen to seule a claim for insurance benefits, l~nder
is aut6orized to collect and spply the insurance proceeds at I.cnJcr'~ optwn either to restoration or repa~r of. lhe Pmpert~
or to the sums secured by this Mortgage. ,
Unless l.ender and Borrower otherv-ue ~gree in wnting, any wch applicauon ~~f proceeds to pnncipal shall not extend
or postpone the duc date of thc monthly installmcnt~ refcrred ta in peragraph~ I and 2 hereof or change the amount ot
such installmenls. If under paragraph 18 hereof thc Pro~,erty u acquued by I.endcr, :~II right, title and interest of Borrowcr
in and to any it~suran:e pol~cies and in and to thr proceeds thereuf residt~ng trom damage to !he Property prior to thc sale
or acquisition shall pass to Lender to the extent of the wms ~ecured by fhi~ :~lortgage immediately prior to such sale or
acquisition.
6. Piresenation and 1laintenance of Property: I.easehulds; Condominiums; Planned Unit Developmenfs. Borrowcr
shali keep the Property in good repair and shall not comrpit Kastc or perm+t impairment or delerioration of the Property~
and shall compl~• with ~he provis~uns ot any lease if thi~ Mortgagc i~ on ~ Icas~hold. If this Mortgagc is on a unit in a
condominwm or a planned un~t de.•clopment. Borrower sh~ll ~r(orm all of Borrower's obl~gations under the declaratwn
or covenants creat~ng or governing the condc.minwm or pl:+nnrd un~t development, the by-taws and regulations of the
condominium or planned unit development. :,nd c~nstitucnt d~xumcmti It a condominium or planned uni~ dcvel~pment
nder is executed by Borruwer and recarde~l ~oge~her with ~hic M~rtgage, the covenants and agreements of uich rider
shali be mcorporated into and shall amend and supplcment the co~enams and agreements of ~h~s Mortgage as ~f thc riJcr
were a part Fereof.
~. Protation ot Lende~'s Security. N 8orrower fa~l, t~~ ~crt~~rm thc rovenantc and agreemenls rn~lained in lhis
Mortgage, or if any act~on ~~r proceed:ng i~ commrnce.i Hhicn m~terially alirctc I.ender'ti mteretil in the Propeny.
includmg, but n~.t limued to, eminent dumain, in~~lvencv, cude rnforcemcnt. „r arrangementc or pmceedings mvolvmg a
bankrupt or deredem. then t_ender at I.ender'~ op~~on, u~~n n~~tice ~o Horrowcr. ma~ make such appearances, dishurse such
sums snd ~ake such acuun ac is nece~sary tn pmtcct Lendcr's intcrest. mrludin~. but not lim~ted to, disbunement of
reasonable attomey's tceti and emry u~-n thr Propcriy to makc rcpa~r,. If Lcndcr reyuired mortgage inturance as a
cunditwn of mak~ng thc loao sccurc.l b}~ thn :~longagc. B~~rrr.NCr sh.~11 ~ay thr p~cmituns rcqi~ired to maintam such
iruurance in rliect unlil such timc at thc rcyuircmciil f~r ~~i~h mcur~n;c tcrm~n:itc~ ~n .~,cordancc w~i1h Borrowcr's and
aa~x •
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