HomeMy WebLinkAbout2703UNIlORM COYBNANTi. Bomowu and Leode~ coveoant and as~te as tollows:
I. ~t ot hMc1Ni a~i 1ate~at. Borrower shall promp~l~ pay when due the principal of and intercst oo the
indebtedness evidenced by the NotR P~WY~nt and late charge~ ac provided in the No1e, and the principal of and interat
on my Futuoe Advances secured by this Mortaase.
2. Fti~i tor Tua ~i l~wrasee. Subject to applicabk law ..r to a writteo waiver by Lender. Borrowe~ shal~ PaY
to Lender on the day mo~thly inslallments ot principal aoJ inic~ca are payable unde~ the Note. until the Note is paid in full.
a:um (herei~ "Funds") eqwl to one-twelfth of the yearly ta~c. and assessments which may attain priority over this
Mort~aje. and ~mund rena on the Propeny, if any, plus one-tweltth of yearly prcmium i~stallments for huard insurance.
plus oae-tweltth of yearly premium i~stallments tor mortgage insurancc, it any, all as rcasonably estimated initially and trom
time to time by Lender on the buis ot assessmcols and hills and reasonable alimata ihereof.
'Che ~nds shall be held in an institution the depo~ia o~ accounts of which are iniured o~ guannteed by a Federal ot
stata agency (including Lender if Lender is such an institution)_ I_ender ahall apply ~he Funds to pay said taxa. assessme~ts.
insurance premiums and ground rcnts. I.ende~ may no~ cha~ge to~ so holding and applying the Fundc. analyzing caid account.
or verifyin~ and comqlioa said assessments and bills, unless Lender pays Bonower interest on the Funds aod applicable law
petmits Lender to make such a charge. Borrower and Lender may agrce in writing at the time of execu~ion of this
Mortgaae that interat on the Funds shall be paid to Borrower, and unlas such agreemene is made or applicable law
requira wch interat to be paid. Lender shall no~ be rcquirod to pay Borrower any intercst or earnings on the Funds. Lender
shaU give to Borrower~ without charge, an annual accounting of ~he Fu~ds showing credits and debits to the Funds and the
purpose [or which each debit to the Funds wu made. The Fur-ds are plodged as additional security for the sums socured
by this Mortpae.
If the amou~t of the Funds held by Lender, together with the future monthly inslatlments of Funds payable prior to
t6e due data of taxa. assessments. insurance prcmiums and ground rents, shall exceed the amount required to pay said taxa.
a:saunents. insurance premiums and ground rents as they (all due, such excess chall be. at Borrower s option, either
pranptly repaid to Borrower or crodited to Borrower on monthly installments of Funds. If the amount o( the Fu~ds
held by Leoder shall not be sufficieat to pay uxes. assessments, insurance premiums and ground rents u they fall due.
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by I.eoder to Borrower rcquating payment thereof. ~
Upoa paytnent ia full of all sums secured by this Mortgage, t.ender shall promptly retund to Borrower any Funds
heW by Lender. If undet parsgraph 18 hercof thc Property ia sold or the Property ~s otherwisc acquircd by Lender, Lender
s6d1 apply, no later than immediately ptior to the sak o( the Property or its acquis~tion by Lender, any Funds held bv
l.eader at the time of application as a credit against the sums secured by ~his Mongage.
3. Ap~licMlm of !'aymeots. Unless applicable law provides otherwise, all payments received by Lender under the
Note aad paragnphs 1 and 2 hereof shall be applied by l.ender first in payment of amounts payable to Lender by Borrowe~
under paragraph 2 hercof, then to interest payable on the No~e, then to the pri~cipal of the Note, and then to interest and
principal on any Future Advances.
~. ChsrEes; Lie~. Borcower shall pay all tares, acscssmcnts and othcr cha~ges. fines and impositions attributable to
tbe Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
provided under paragraph 2 hereo( or, if not paid in such manner, by Borrower making payment, when due, directly to ihe
payee thereof. 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 Leneier receipts evidencing such payinents.
Borrower shall promptly discharge any lien which has priority over thic Mongage: provided, that Borrower shall not be
required to discharge any such lien so long as Borrower shall agrce in wnting to the payment of the obl~gatiun secured by
such lien in a manner accep~able to Lender, or shall ~n good faith contea such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the I~en or torfeiwrr of the Property or any part thereof.
S. Hazard Ins~rance. Borrower shall keep the improvements now eiisting ~-r hereafter erected on the Propcrty insured
against lou by fire, hazards included within the term "eatended coverage", and such other hazards as Lender may reyuire
wd in such amounts and [or such periods as Lender may require; provided, that I_ender chall not require ihat the amount o[
such coverage exceed that amount of coverage required to pay-the sumt secured by ~his Mortgage.
'[l~e ~nsurance carrier providing the insurance shall be chosen by Borrower subject ta approval by Lender; provided,
that such approval shall not be unreasonably withheld_ All premium~ on insurance policies shall be paid in the manner
provided under paragraph 2 hereof or, ~f not paid in such manner, by Borrower making payment, when due, dircctly to the
insurance carrier. ~ -
All insurance policies and renewals therrot shall be in form acceptable to Lender and shall include a standard mortgage
clause in favor of and in form acceptable to Lender. 1_ender shall have the right to hold ~he policia and renewals thereof.
and Borrower shall promptly furnish to Lender all renewal nouces and all receipts of paid premium~. In the event of loss.
Borrower shall grve prompt notice to the insurance carner and l.ender_ LenJer may make prcx~f o[ loss if not made prompUy
by Borrower
Unless Lender and Borrow~er othcrw~sc: agree in v-rit~ng, incurance proceeds shall be applied to restoration or repair of
the Property Jamaged, prov~ded such rc+torat~on or repair ~s economically (easible and the security of this Mortgage is
not thereby impa~red. It such restorabon or repair is not cconamicall~• feasiblc or if the security of this Mortgage would
be impaired, the insurance proceed~ shall be applied to the sums secured by this Mortgage. wuh ~he excess, if any. p3id
to Borrower. If the Propert~~ is abandoned by Borrower, or it Borrower fads to respond to 1_ender within 3~ days from the
date notice is mailed by Lender to Borrower that ~he insurance carrier otTers to settle a claim for insurance benefits, Lender
is authoriud to collect anJ apply the insurance proceeds at Lendcr's option either to restoration or repaer of lhe Propen~
or to Ihe sums sccured by this Mortgagc.
Unlesc Lender and Borrower otherv-i,e :~gree m a•nting. any such application c.f proceeds to pnncipa) shall not extend
or postpone the due date of the momhly installmcm~ referrcd to in pa~agraph~ 1 and 2 hereof or change the amount o[
suc6 installments. If under paragraph I8 hereof the Property ~s acyuued b~ Lcnder, ali nght, title and interat of Borrower
in and to any Insurance policies and in and to thc pra:eeds thereot resulung from damage to the Propeny prior to th~ sale
or acquisition shall pass to Lender to the extent of the sums ~ccured hy this ~fortgagc immediately prior to such sale or
acquisitian.
6. Prrsenation aod ~taintenance of Property; I.easehulds; ('ondominiums; Planned Unit Developments. Borrower
shall kcep the Property in good repair and shall not comro~~ 3+~aste or permit impairmen~ or deterioration of the Property
and shall comply with the provisions ot any lease ~f th~~ Mungage i~ on a lcaschold. If this Mortgage is on a unit in a
condominium or a planned unrt development, Borrov-'er sh:+ll per(orm all of Borrower's obl~gations under the declaratiun
or covenants creatmg ar governmg ~he condominium or planned umt development, the by-laws and regulations af Ihe
condominium or planned unit Jevelo~,ment, and consiituent Jcx:umentti. I( a conJominium or planned unit development
rider is executed by Borrower and rernrdcd tage~hcr wi~h th~c Mortgagc, ~he covcnants and agreements ot such ridcr
shall be ~ncorpotated mto and shall amend and supplement the co~enants anJ agreements ot thic I~torlgage as it the ri~er
v-ere a part t~ereof.
7. Protertion of i.enders Secu~ity. If Borru~er fa~l. t~• ~xrf~~rm the covenants and a~reements contained in this
Mor~gage, or if any action ur proceeding ~~ r~~mmence.l wh~~h materiall} a(Trctc Lender's interest in the Propertp.
includ~ng, but n~~t limited to. eminent domain. in~e.l~~ency, cixle en(~~rremrnt, ur arrangements or proceedings invoking a
bankrup~ or decedem. then l.enJer at Lender'~ ~plion, upon ne~hce t~~ Borrower, ma~ make such appearances, Jisburse such
sums and take such acuun a~ ~s necetitiary t~~ pmtec~ Lender's in~crest: incl~i~ling. but not limited to, disbursement ot
reasc~nable auomey't f4es and entry u~xm the Pmperi~ lo make repairti. I( L~nder reyuired mortgage •in~urance ac a
cond~twn uf mak~ng thc loan ~ccured b} Ihis Alungagc. Borrr.HCr shill pay Ihr prcmiums req~ureJ to mai~+ta+n such
inwrance in cttecl unl~l wch time as Ihe rcyuirement for wch m~uran.e terminates ip accordanee with Bormwer's and
'`R~46 p~~~2698
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