HomeMy WebLinkAbout1680UNIPORM COVBNANTS, BOt[OWCf ARd LCf1lIlf COYtI1afl1 ~ilt~ J$Tti dS ~OIIOWS:
l. hyment ot rrfaclpal aoa lwlenst. Borrowe~ shall p~omptty pay when due ~he principal of and intcrest on the
indcbtednest evidenced by the Note, prcpayment snd late charges as provided in Ihe Note, and ~he principal of and interest
on aay Future Advances secured by this Mor~gage.
2. Fe~ads tor Tasq sad Iusun~ct. Subject to applicable law or to a written waiver by l.ender, BoROwer shall pay
to I.ende~ on thc day monthiy installments of p~i~cipal and ~nterest arc payable under the Note, untif the No~e is paid in full,
a tum (hercin "Funds") equal to one-tweltth ot ~he yearly ~a~ces and asussments which may attain priority over this
Morigage. and ground rents on the Property, if a~y. plus one-twel(~h of yearly prcmium installments for hazard insurance.
plus one-twelfth of yearly premium instaffmcots for mortgage insurance. ~i any, all as reau~nably es~imated initially and trom
time to time by ~ender on the basis ot assessmcnts and hills and ~easonable estimates thercot.
The Funds shal) be held in an institwion the deposits ar accounts o( which are insured or guaranteed by a Federa) or
state agency (including Lender if Lender is such an i~stitulion)_ I.ender shall apply the Funds to ~+ay said taxes, assessments,
insunnce premiums and ground rents. Lender may not charge (or s~~ holding and appiying the Funds, analyxing saiJ account.
or veritying and compili~g said assessments and bills, unleu Lender pays Barrower in~erest on the FunJs a~d applicabte law
petmits Lender to make such a charge. Borrawer and Lc~der may agrec in writing at ~he time of execution of ihis
Mongage that interest on the Fu~ds sha11 be paid ta Borrower, and unless such agreement is made or applicable law
rcquircs such interest to be paid, Lender shall not t~e requirai t~ Qay Bo~r~v-es any interest or earnings on the Funds. I.onder
shall give to Borrower, without charge, an annual acc~~unting of the FunJs shawing credi~s anJ Jebits to the Funds and the
purpose for which tach debit to the Funds was made. The Funds are pledged as adJitional security for the sums secured
by this Mort~ase.
If the amount of the Funds held by l.ender, togethcr with the (uture monthly installme~ts ~f Funds payable p~ios to
the due dates of ~ua, assessments, insurance premiums and ground rents, shall exceed the amount reyuired to pay said taxes,
assessments. insurance premiums and ground rents as they Fail due, such excess shall be, at Borrower's optian, either
promptly repaid to Borrower or crodited to Borrowec on monthly installments of Funds. if the amount af the Funds
held by Lender shall not be sufficieat to pay taxes, assessments, insurance premiums anJ ground rents as they fall due,
Borrower sfiall pay to l.ender any amount necessary to make up the Jtficiency within 30 days (rom the date notice is mailed
by Lender to Borrower requesting payment thereof.
Upon payment in full of all sums secured by this Mongage, I.ender shall promptly refund to Borrower any Funds
held by I.ender. If under paragraph 18 hercof the Propeny is soid or thc Property is otherwiu acquircd by l.ender, Lender
shall apply. no {ater than immediately prior !o the sale ot thc Property or i~s acquisition hy I.ender, any ~unJs held by
Lender at the time of application as a credit against the sums secured by th~s Mortgagc. -
- 3. Applicstion of Paymeats. Unless applicable law proviJes otherwiu, all payments received by l_ender Under the
Note and paragraphs I and 2 hereof shall be applied by I.ender 6rst in payment af amounts payable to Lender by Borrower
under patagraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and
principal on any Future Advances.
4. C6ar~es; Lkns. Borrower shalt pay all ~axes, assessmcnts and othcr cha~ges, 6nes and impos:tions atfributable to
the Propeny which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
provided uncier paragraph 2 hereof or, ii not paid in such manner. by Borrower making payment, when due, dircctly to the
payee thereot. Borrower shat! promptly furnish to Lender a!1 notices of amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly (urnish to lxnder receipts evidencing such payments.
Borrower shal) promptly discharge any lien which has priority over this Mortgage; proviJed, that Borrower shall not be
required to discharge any such {ien so long as Sorrower shall agree in w•riting to the payment of the obligation secured by
such lien in a manner acceptable to L.ender, or shall in gocx! taith contest such lien by, or defend eniorcement of such fien in,
legal proceedings which operate to prevent the enforcement of the lien ur [or[eiture of the Property or any part thereof..
S. Hwrd Insurance. Borrower shall keep Ihe improvements now existing or hereafter ercc~ed on the Properry insured
against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
and in such amounts and for such periods as Lender may require: provided, that Len~ier sfiall not reyuire that 1he amount of
such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage ~
The insurance carrier providing the insurance shall be choxn by Borrower subject to approval by Lender, provided.
that such a~provat shall not ~e unreasonabfy witfiheld. AN premiums on insurance policia shall be paid in the manner
provided under paragraph 2 hereof or, if not paid in such q~anner, by Bo~row•er makiog paymen~, when due, directly to tlx
insurance carrier.
All insurance policies and renev-•als thereot shall be in form acceptable to LenJer and shall include a stanJard mortgage
clause in favor o[ and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof.
and Borrower shall promptly furnish to Lender all renewal no~ices and all receipts of paid premiums. In the event of loss,
Borrower shall give prompt notice to the insurance carrier and I_ender. t_ender may make proof of loss if not made promptly
by Borrower.
Unless LenJer and Borrower othetwise agree in writ~ng, insusance procteds shall be app{ied to restoration or repair of
the Property damaged, provickd such restoration or repair is economically feasible and the security of this Mortgage is
not ~hereby impaircd. If such restoradon or repair is not economic-rlly fcasible or if the security of this Mortgage would
be impaired, the insurance proceed~ shall be applied to the sums secureJ by this Mortgage. w~th the excess, if any, paid
to Borrower. If the Property is abandaned by Borrower, o~ it Barrowei tailt to ces~+ond to i.ender within 30 days ttom tht
Jate notice is maded by Lender to Borrower that the insurance carrier ofiers to settle a claim for insurance benefits, I_ender
ia authorized to coflect and apply the insurance Proceeds at }.ender's option either to restoration or repair of the Property
or to the sums sccured by this Mortgage.
Unless l.ender and Borrower otherwise agree ~n wnting, an}~ such application o( Qroceeds to principat shall not extend
or postpone ~he due date of the manthly installme~ts reftrred to in paragraphs 1 and 2 hcrrof or change the amount of
such installmenis. If under patagraph 18 hereof the Property is acywred by Lender, all right, title and interest of Borrower
in and to an}~ insurance policies and in and to the proceeds thereof scsulting from dam•rge to the Property prior to the sate
or acquisition shall pass to Lender to the extent ot the sums secured by this l~fortgage immediately prior to such sale ar
acquisition.
6. Presenation and ~taintenance of Property; Leasehulds; ('ondominiums; Planned Unit Ikvelopments. Borrower
shall keep the Property in good repair and shall not commit wastc ur permit impairment or deterioralion of the Property
and shall comply with the provisions of any lease if ~his :11ortgage ic on a Ic:,schold. If this Mortgagc is on a unit in a
condomimum or a planned uni! Jevelopment. Borrow-er shall perform all o( Borrower's obliga~ions unde~ ~he declaration
ur covenants creating or governing the condominium or pl-rnned un~t development, the by-law~ and regulations of the
conJominium or planned unit development, rnd constituent documents. It a conJominium or planned im~t ~ievetopment
r~der is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such ride~
shali be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as i( the rider
vrere a part hereof.
7. Protection of Ltadec'a Security. If Borrower fails ~o per(arm the covenants and agreements contained in this
Mortgage, or if any action or procetding ~s commenced which materially aBects Lender's interest in the Property.
including, but not I~mited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
bankrupt ot dectdent, ~hen Lender at Lender's option, upon notice to Borrower, may make such appearanca, disburse su~h
sums and take such action as is necessary to protect Lender's interest, including, but not limited to. disbuntment of
reasonable attomey's fees and emry upon the Property to make repair~. If I_cnder rcquired mortgage insurance as a
condition of making the loan xcured by this Mongage. Bormwer shall pay the premiums required to maintain such
insuranee in eftect until such time as the requirement for such msurance lerminates in accordance with Borrower s and
6~'~K 347 P~~E 16`74
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