HomeMy WebLinkAbout1257UHt~o~ CoveH~-rm. Homowe~ and l.ender covenant and sjree u tallows:
1. ~eat ~ Td~c~l a~i INenA. Borrowe~ shal) promptly pay when due the p~incipal ot and interest o~ the
~c~edna. evidenad by the Nae. P~epayment and late chargec aa p~ovidcd in the Note, and 1he principsl ot and ietercs~
on my Future Advances secured by this Mortgage.
2. l+tiMs [or Tua+s wl i~wraee. Subject to applicahfc law ~~r to a written waiver by Lender, Borrower shall pay
to Leeder on ~he day monthly mstallments ot principal and intero« rrc paysAk unde~ the Note, until the Note is paid in tul1,
a=um (herein "Foods") eqwl to one-tweltth o( the yearl~~ u~-c. anJ acsasments which may atuio pnority ove~ this
Mo~aje• and ~round rents on the Pmperty. if any, plus ooe-~we1Rh of yea~ty prcmium installments for hazard ;nsurance,
plus oa~-twelfth of yearly prcmium installments tor mongsge insurancc. if any, all u rcuonably estimated initially and trom
time to time by Lender on the buis of asxscmcnts and hills and reasonable estimates thereof.
The Funds shall be held in an ies~itution the depouts o~ accounts of which are insured or gua~anteed by a Federal ot
state ageacy (iecludina Lerider if Lcnder is such an institutionl. I.ender shall apply the Funds to pay said uxa, asseume~ts.
insunnce ptemiums and ~round rents. l.eoder may nat ¢harge tor so holding and ap{+lying Ihe Fundc. analyzing caid account,
or v~rifyin~ and complina said assessments and Aills, uNess l.ender pays Borrower interest oo the Funds and applicable law
permits t~~der to make such a charge. B~rrower a~d l.ender may agree in writing ai ~he time o( eaecution of this
Mortgage thst interat on the Funds shall !~c paid to Borrower, and unless such agrcement is made or applicable law
requira such i~terat to be paid. Lender shall nat be rcquired to pay Borrower any interat or ea~nings on the Funds. l.ender
shall aive to Borrower, without charge. an annual accounting of ~he Funds showi~g crodits and debus to the Funds and thc
pterpose for whicA eaeh debit to the Funds wu made. The Funds are plodged u additio~al ucurity tor ~he sum~ .ucured
by tAis Mott~e.
If the amount ot the Fur~ds held by Lender, toge~her with the future monthty installments of Fu~ds payable prio~ to
tbe due data of taaa, uuuments. insura~ce premiums and ground rents, shaU excced the amount required to pay said ~axes,
aiswintnts, insurance prcmiums and ground rents as they fall dut, such excess shall be. at Borrower s opt~on, euher
pranptly repaid to Botrower or credited to Bortower on monthly installments af Funds. If the amount of ~hc Funds
held by Lende~ sh~ll not be sufficieat to pay taxa. assessments, insuraoce premiums and grourtd rents u they fall due,
Bormw~er shall pay to l~t~de~ any amount necess~ry to make up the deficiency within 30 days f rom the date notice is ma~led
by l.eader to Bormwer requesting payment thereof.
Upoa paymeat ia full of all sums securcd by this Mortgage, 1_eoder shall p~omptly rctund to Borrower any Funds
held by Lender. If under puagtaph 18 hercof the P~opetty i~ sold or the Property ~s aherwix acquircd by l.ender. I.ender
shall spply. no later than immediately prior to the sale of the Propeny ar its acquisition by l.cnder, any Funds held bv
L.ender at tha time o[ application u a crcdit against the sums securcd by this Mortgage. •
3. Appiic~tio~ of Paymenfs. Unless applicable law provicies otherwix, alt paymenls reccived by t.ender uoJer th~
Note and paragraphs t and 2 hereof shall be applted by I.ender 6rst in paymen! of amounts payable to l.ender by Borrower
under par~graph 2 hereof. then ta intercst payable on the No~e, then ~o Ihe principal of the Note, and then to interest and
ptincipal on any Future Advances.
4. C6ar~es; Lkas, Borrower shall pay aU ~axee. assessments and other charges. 6net and ~mpocitions attnbutable ta
tLe Property which may attain a pr~ority over this INortgage, aRd leasehold payments or g~ouna rents, if aoy, in the manner
provided under pa~agraph 2 hereof or, i[ not paid in such manner, by Barrower making payment,'~hen due, directly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Borrowtr shall make payment d~rectly, Bo~rower shall promptly (umish to I.ender receipts evidencmg such payments.
Borrower shall promptly dixharge any lien which has pnonty ~ver thic Mortgage; provided, tha~ Borrower shall not be
required to d~xha~ge any such iien so long as Borrower shall agree io wnting to ~he payment of the obligauon secured by
such lien in a manner acceptable to Lender, or ~hall ro g~x~J faith contest such (ien by, or defend enforcement of such lien in,
Iegal procecdings which operate to prevent the enfurcement of thr leen or [orfenure of the Property or any part thereof.
S. Hazud Insunwce, Borrower shall kcep the impmvements now eaist~ng or hereatte~ erected on Ihe Property insurcd
against Ioss by firc, hazards includai wi~hm ~he term "extended coverage". and such other hazards as Lender may reyuire
and iu such amounts and for such periods as Lender may require: provided, that Lender shall not rrquire that the amount of
such coverage exceed that amou~t of coverage requrred to pay the siims secured ~by this Morlgage.
"Il~e insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided.
that such approval shall not be unreasonably withheld._ All premiumc on insurance. policies shall be paid ~n the manner
provided under parag~aph 2 hereof or, ~f not paid in tiuch manncr, by Borrower makmg payment, when due, drrcctly to the
insurance carricr.
Al! insurance polic~es and rene~als thenot shall be in form acceptable to 1_enJer anJ shall i~clude a ctandard mortgage
claux in favor of and in form acceptable to Lender_ Lender shall have the right tn hotJ the policies and renewats thereof,.
and $orrow~er shaft promptly forn~sh to I_ender alt renewal notrces and all receipts of paid premiumc. In the event of loss,
Borrower shall g~ve prompt notFCr to the ~n~uran~e carncr and l.ender. Lendcr ma} maAe pr~i of locs if not made promptly
by Borrowcr. •
Unless LenJer and Borrower othcrw,u agree in wnhng, in+urance procecJc shalt bc applied to restoration or repair ot
the Property damaged, provided surh re~toratum or repair u cconomically (easible and ~he securiry of this M~rtgage ~s
not thereby impai~ed. If such restoration or repair is nut cc~-ni~m~caliy (easiblc or i( the securiry of th~s Mortgagc aoulJ
be ~mpaired, the insurance proceeds shall be applied to the sums secured by this Mortgage. wrth the eacess, if an}•, paid
to Borrower If thc Property is abanJaned hy Borrawer. or il Borrower fads to res~nd to Lender within 30 days irom tbe
Jate notict ~s ma~led by i.ender to Fiorruwer that ~he ~nsurance carrier otien to seule a claim for insura~ce t~enefits, Lender
is authonzed tu collect and apply the imurance proceeds at Lender'~ optwn either to restoration or repa~r of the Pr~pem~
or to the sum~ secured bp ~his Mortgagc
Unlesc l.r:~de~ and Borruwer ulherw+~e ugree m wnting, any such application i.f prekeeds to pr~nc~pal shall not ettend
or postpc:ne the due date of the momhl}~ installments rcierred ti~ in paragrapM I and 2 hereof or change the amount of
such installment~. If under paragraph IK hereof the Yrof.ert} ~s acywreJ b~ I~nder, aU nght, tide and interest of [iorn,wer
in and te an} tnsurance pulicies and in and to thr prcxeeds thereut resulbng from damage io the Property prior to thr aale
or acquisiuon shal! pass to Lender to the extent of the ~um~ secured by th~~ Mortgage immediately prior to ~uch sate or
acqwsition.
6. Presenation ~od ~taiolenance of Property: I.easehulds; ('ondominiums; Planned Unit Dt~•ebpments. Borroucr
shall keop the Property in g~wd repair and shall nvt cumroit yvaste c~~ permrt impa~rment or deterioration o! the Property
and shall cornp)y with the provicions of any lease it this ~1.rrtgage ~~ un a Icaseh~~ld. If this Mortgage is on a umt in a
condominium or a planned unit de~clupmcn~, Burrou~er chall pertorm all o( Borruwer's obl~gaUons under the declarah~~n
ur covenams creatmg or governing she conduminium or planned umt develuprr,ent, the by-laws and regu(ati<~nc of the
co~dominium ar planned unit Jevel~pment. .~nd constituent d~xument~. 1( a cunJominium or planned umt Jetielopment
nJet ~s executed by I3arruwer and rec~~rded t~~ge~her v-~th th~~ N~~rtgage, Ihe covenants and agreements o( such n~lrr
shall be ~ncorporated ~nto and shall emend anJ supplrment the co.enantti anJ agreements of this Mortgage as ii the n.ier
Kere a part F~ereof. .
7. Protation of Lender's Security. If H~.rm~er f:ul~ tu ~rt~~rm the covenantc anJ agreements contained in thi~
Mor~gage, or if an) acUnn ~~r pr~xeedmg i. rummrnce.l Mh~cii matenall} .~f~ect~ LenJer's interetit in the Pr~~peni.
including, but n~~t Lmued to. eminent dumain. inW~henc~, c~xJc rnl~~rcemcnt_ ~ir :,rr:,nRemrm~ or pruceedin~s invoh~ng a
Aankrupt or de~edent. then Lender at I ender'~ upl~on, u~rn ni~tice to Borrow•er, ma~ m;,ke such appearanceti, d~tihune ~uch
sums and tai:e such art~un a~ is necee~ar~ to pratect l.ende~ c interest, mcludinE. but not limitec! tv, ditibursemeM ~-(
reasonahle auomey't t~e~ anJ emry u~~n ~he Propert~ tc, make repairti. It Lcnder rcyuircd m~.rtgage in~~irance a~ :~
condiuun ~~t mak~ng thc loan ~ccure.l M this ~t~~rtFagc. N„ir~:Nrr ih.~ll pa~• thc premiums requ~re.l to mai~ue~n wch
~nsurancc in rfiec~ umil tiuch timc a~ thc rcy-nrcmcm f~r ~ach in;uran.-c tcrmmatr. in :rc:ordancr with Bc•rr.•wcr'. and
;'~ ~K •
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