HomeMy WebLinkAbout1066liorrower and l.ende~ covenant and agree as follows:
1. Payment of Pri~tcipal and I~teres~ BoROwer ahall pmmptly pay when due the p~ncipal oI and intereat on the i~debtednese
evidenced by the Note, prepayment and late chargea as pcovided i-- the Note, and the principal of and interest on any Future Advancee secured
by this Mortgage.
2. ~tnde [or Taxee and Insurance. Subject to applicuble law or to a writte~ waive~ by l.e~der, E3uRUwr~ shull pay tu Ixnde~ on the day
monthly installments of principal and intereet a~e payable under the Note, until the Notr ia paid in full, n aum Iherein "Funda") cqual to one~
twelfth otthe yearly taxes and aeaeasments which may attain priority over this Morlguge, and ~ound reots on the 1'roperty, if any, plua one~
twel(th of yearly premium inatallmenta for hazard insura~ce, plus onelwelfih ofyen~ly premium instullments for mu~rtguge inaurc~nce, if any,
vll as reasoeably estimated ioitially a~d firom time to tiR~e by I.ender on the basis of assrsxmenla und biUa and reusunabie cutimates thereot.
The F~nda ehsll be held in an inatilution the deposita or accouots of which are inaured or guars~nteed by a Federal or State agency
tincluding Lender if l.ender is auch an institutionl. l.ender shall apply lhe Funda to pay said laxee, assesamenta, insurance premiums and
Kround rents. l.ender may not charge for eo halding and applying the Funds, analyzing said acc~unt, o~ verifyinq und compiling eaid
aRaeasments and bille, unleea l.ender pays Bortower intereat on the F unda and applicable law permits I.ender to make auch a charge. E3orrower
and l.ender may agcee in writing at the time of execution ot this Mortgage thpt intereat on the Funds shall be paid to f3orruwer, and unlesa
auch agreemeqt ia made or applicable law requirea such intereat to be pnid, l.ender ahall not be required b pay E3orrower any intemet or
rarninga.on the Flmds. I.ender shall give to Borrowe~, without charge, an xnnual acruut-ting of the Funda ahowing credits and debifs lo the
r unda and the purpoae for which each debit to the F unds w~x made. The I~ unds are pledged as additional secunty for thesums secured by this
htortge~ge. '
If the amount o[the Fl~nda held by l~ender, together with the futurn monthly installments of Funds payable prior to the duedates ottaxea,
asseasmenta, inaurance premiuma and ground renls, shall excred the amount required to pay said taxea, assessmenta, insurance prnmiume
and ground reota as they fall due, such excesa shsll be, at E3o~n~wer's option, either promptly rnpaid to Borrower or credited to I3orroweron
monthly installmenta of Funds. If the amount of the Munds held by I.ender shall not be sufficient to pay taxes, assesaments, insurance
premiume and ground renta as they tall due, Borrower shnll pay to l.ender any amuunt necessary to make up the deficirncy within 3o days
Crom the date notice is mailed by l.ender to Borrower requesting payment thereof.
Upon payment in full of all aums secured by this Murtgage, I.ender shull promptly refund to Iiorrower any funds held by l.ender. Itunder
paragraph 18 hereof the Properly ia sold or the Property is otherwise ncyuired b~ I.ender, l.ender shall apply, no later lhan immediately prior
to the sale ef the Prope~ty or its acquisition by l.ender, any Funda held by I.ender at the time of application as a credit againat thesums secured
by thie Mortgage.
3. Application of Payments, l~nlesa applicable law provides otherwise, all payments received by l.ender under the Note.and
paragrepha 1 and 2 hereof shall be applied by I~ender firxt in payment of amounts payi~ble to I~ender by t3orrow•er under paragraph 2 hereof,
then to interest payable on the Note, then to the principal ot the Note, and then to interest and principal on any Future Advances.
-1. Chargea: I.iens. Korrower shail pay nll t:~xes..-sses~me•nL~ and uthi•r char~;rs, finex and impositiuns attribut.~ble to the Propetty which
may attain a priority over this lltortg:-ge, and leaschnld paymrntti or ~;ruund rent~, if:~ny, in the manner providcrf under paragraph 2 hereofor,
if not paid in such manne~, by Fiorrov-er m.~kinK p:+yment, when dut•, dirri•th tu the p.~y~~r th~•reoC Rurn,wrrshall prompUy furnish to l.ender
.+II notices of amoun4t due under this para~raph, :~nd in thr t•~~ent li~~rruwrr shall make payment dinrtly. Korrua•er shail prompUy furnish to
1_e~nder receipts evidencing such paymrnLs. li~-rtuw•rr shall prompUp ~IischarKc~ any lien w•hich has priurih• over this A1ortK:~Ke; provided, that
It~~rrower shall not herequired todischarKe any ~ui•h lii~n su Inn~; :~~ li~~rruwer.hall :~}crc~• in writin~; tu th~• p:~}•mrnt of theubliKation secured by
~nt•h lien in a manner xcceptable to Ixndrr, ~~r.h:Jl in ~;iN~ faith i•~~nt~•.t sui•h lir~ h}•, ord~•fen~3 i~nfurr~~mF•ot of w~•h lirn in,1~~Ka1 proceedings
N hich operate to prevent lhe enfurrnm~nt uf thr lien ur Curfeitur~• ~~f ihr 1'roprrh• ~~r :~ny part therir-f.
:i. Hazard lnsurance. Rorrower shall keep the impm~•rments nuw exi~tinK nr herexfter ereMed on the Propertr inaured aKainst loss bp
tirf~, hazards includecl vvithin the term "extended ~Y-vera~~~." and sui•h nthrr hazards as I.ender m:~y re~c~uire and in such amnunts and forsuch
pt•riods :u: (xnder may reyuire; pro~idcrf, that Ixndrr shall not n~c~uire th:+t the amount of wue•h iti-veraKe ex~•rc~c1 th~t amuunt of coverage
rt~c~uirrd to pay the sums sec•ureci b}• this A1~~rtK.~K~•.
The insurance c:~mrr pru~ idi~K the insuran~ti• sh:ill br ~•h~~.rn hy tt~~rr~~w•~•r sub~ir•t t~~ appru~•:~! b~• 1 a•nd~•r, pr~~~•~dtYl, that such approval
sh.ill not be unre.uunabh• withheld. All pre~miums ~m ~n+ur.~nrr {H~li~•i~~. ~h:~u tK• ~~:~~~i ~~~ ~r.~~ manm~r pn~c~d~r1 und~•r paraKr:~ph'l hrrcK-f ur, if
nut paid in such manner, by Fiurrnw•er mak~nK p:+ym~•nt. K'he•n dur, ~1irw•tly tn th~• ~n~ur:~nrr ~•c~rri~~r.
All insurance policies and renewals thenY~f ~h:~ll t~ in form accrptabli• tn 1 A•nde~r:~n~i tihall includr a standard murtK~iKecl~iu.ie in favorof
a nd in form acceptable to Irnder. I.rndersh.~ll have the n~ht u~ h~~ld th~• ~N~lu~u~~ and rt•n~•wals there~~f, and IA~rruwer shall promptly furnish to
i.ender all renewa) notices and all receipts nf p:ud pmmium.. In thr ~•~•~~ut uf lusc. Itnrn~wrr xh:ill Ki~•e prompt nutice to the insurance camer
and I.ender. l~ender may make pnN~f of loss if n~~t made prumpih• hc linrtuw•er
Unless l~ender and 1~-rrowcr otherw~w aKrc~e in w•ntink, in~urance pnK•~~Y1~ .h:+li tk~ :ipplird tu ~estor.+liun or repair of the 1'roperty
damaged, provided such msu~ratinn or mp:-ir is t~-~~numi~•all~ feaxiblr and the se~~unh• uf this 11ortKaKe is nut thereby impaired. If such
rrstoration or repair ia not economically f~asihle r~r if th~• tit~•urit~• uf thi~ :1lortKage w•uuld t-rirnpairc~, the insuran~e pr6ceeds shall be applied
tu the sums secured by th~s:ltoRgaKv, v-~th thc• Nx~•~•.s. if any, p:+id tu li~~rrooa•er. If the !'ro{x•rt}• is abandoned by Borrower, or if &~rrow•er faila to
reapond to I.ender within :f0 days frnm the datc• n~di~•i• is mail~d b~• IA~nder tn fi~~rruvrer that the insurance carrier offers to settle a claim for
~nxurance benefits, I.ender is ilU~F10i1Zf~I ~O CIII~fY'I :~nd apply th~• insurance pr~K•rt•ds at [~•nder's optinn either to restoration or repair of lhe
I'roperty or the sums secured by this hlortK~+K~
Unless l~ender and Burruwer otherw~se aKrE~r in v~•ritinK.:+ny sui•h .~ppli~•ation of pnK•e~c~1s to principal si~all not exter-d or postpune thedue
date of the monthly inst~~llment~s referrt~cf tu in p:~r.+~;rapfis I and'l hrn•uf ~~r ~•h.~nKe th~~ umuunt otsuch insG~llmenLg. If under parsgraph IR
hereof the Property is acquired b}• I.ender, all riKht, tide and inlen•st nf Rurmw~r in and t.. am• insurance policies .ind in and to the proceeda
thereof resulting from damaKe to Property priur tu the sale or acqwsitiun sh:ill pass ti~ lmnder to the extent of the sums sc~ured by this
1lortgaRe immediately pnor to s~ch sale or acquisitinn.
6. Preeervation and Maintenance of 1'roperty: La~awehuid~; ('ondominums: I'lanned Unit Developments. I3orrowersh:~11 keep
the I'roperty in good repair and shall nut cummit wa~t~• ur ~rmit ~mp:~irmrnt ur drterioration of the Property and shall comply wi-h the
pru~isions of any lease if this M~~rt~;aKe is on a le:isc~hnld. If th~s ~1oriKaKt~ is un a unit in a cundumin:um or a planned unit development,
Korrower ahaU perform all of fi~,rruwer's ubliKati~~n. under thP dc~c•laratiun ur cu~•i•nants ~•rratin~; ur KuvernmK the condominium ur planned
unit development, the bylavcs and rr~culations uf the c~~ndominium ur pl:~nnecl unit de~•elopment, und constituent documenta. If a
; undommium or planned unit de~•elopment ridrr is c•xerutid by linrtuw-er and reti•nrded t~ethrr with this Mortgage, the cuvenants and
,~Kreementsof such rider sh:~ll Ix• incurpur:~ti~ ~ntu:~nd ~hall :~m~~nd .~nd supplrm~•nt thecu~•rnants and aKrcv~ment~so[this ~iurt}~aKeasifthe
rider were a part hereof. ~
~. Protection of Lender'e Security. [f ~rrower taila to perform the crvenante and agreemente contained in this Mortgage, or if any
action or proceeding ie commenced which materially affecte t,ender's interest in the ['roperty, including, but not limited to, eminent domain,
ineolvency, oode enforcement, or arrangemente or proceedinge involving a bankrupt or decedent, then (.ender at I.ender's option,upon
notice to Borrower may malce auch appearancea, disburse auch eume and take auch action ae ie neceaeary to protect Lender's intereet,
~ncluding, but not limited to, diebureement of reasonable attorney e fees and entry upon the Property to make repaire_ If Lender required
mortgage inaurance ae a condition of making the loan secured by thie Mort~caqe, F3orrower ehall pay the premiume required to maintain
euch ineurance in effect until euch time as the requirement for auch insurance terminatee in accurdance with Borrower's and Lendei e
written agreement or applicable [.avv. Aorrower shall pay the amuunt nf all morlKage inxurance premiume in the manner provided under
paragraph 2 hereot.
Any amounte diabursed by I.ender pereuant tt- this par:~graph ?, with intrreat thereon, ahall ixrome additiona) indebtednese of
Rorrower eecured by thie Mortgage. Unless I3orruwer and I.ender agrear to uther terme of payment, such a~nounte ehall be payable upon
notice from [.ender to Rorrower requeeting payment thereo(, and ahall bear intercat from the date of diwbureement at the rale payable froro
time to time on outetanding principal under the Note unlesa payment of interei+t at auch r~te would be contrary to applicable law, in which
event such amounta ehall bear intereAt at the higheat rate permieaible under applicahle law. Nothing contained in this paragraph 7, shall
require I.ender b incuY any expenae or take any action hereunder.
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