HomeMy WebLinkAbout29778orrower and Lendee oovena~t and a~ u folbw~:
1. P~yment ot P~riacip~l aad latere~~ Borrower ~hall pmmptly p~y when due the principa) ot s~d intereat o~ the indebtednew
evidenced by the Note. ptepsymeot and late chuQe~ as provided in the Note, and the pri~cipal o[and i~te~t on any Future Advance~ iecurod
by thiu Mo~rtsase:
Z. Ftiuad~ tor Tauar and Ie~uranoe. Subject w appliceble law o~ to a writte~ waiver by Lender, BoROwer shall pay to I.ender on the day
monthly irutallmenta of principal and inter~at are pe~yable under the Note, until the Note ia paid in tull. a sum (henin "~nds") equal to ons
twelEth of the yearly taue~ and a~~es~menb which may attain priority over 1hi~ Mortgage, a~d ground ~ents on the Pmperty, if eu~y. plw ont
twelRh oiyearly premium inatallments fos hasard insurance, plus onetwelfth of yearly premium i~stallmenta for moct~age inaurance, iteny,
all eu reawnably atimated initially and from time b time by l.ender on the basia ot asaeuments and bilb and reasonable eatimatea thereoL
The I~nd~ shall be held in eu~ institutioa the depwits or accounta of which are iruured or Quaranteed by e Federal or State agency
(it~cludin~ Gender i! Lender is such an in~titution). I.ender ~hall apply the Funds to pay said taxe~, a~seasment~, insu~ence premium~ end
ground re~ta. Le~der mey not char~e !or ~o holding and applying the FYind~, analyzin~ said account, or veri[ying and compiling said
assessmeata and bill~, unla~ Lender pay~ Borrower interest on the Funds and applicable taw permits Lender to make such e charge. BoROwer
and I.ender may a~ree in ~vritin~ at the time o! e:ecution of thi~ Mortgage that intereat on the ~ndi ahall be paid to Burrower. a~d unk~s
such agreement is made or appUcable law requiree such intereat b be paid, LendeT shali not be requind eo pay sorrowe~ any intenat or
earnings on the Ftind~. l.ender ihali give to Borrower. without charge, an annual accounting of the Funds showing credits and debita to the
Fundi end the puspose for which each debit to the Funds was made. The F unda are picdged aa additional security tor the sums secured by thia
Mort~age.
If the amount of the Funda held by l.ender, together with the tuture monthly inataUmenta o[Funds payable prior to the due datea ottaxes,
assessments, insurance premiums and ground rents. shall e:cxd the amount required to pay ~aid taxes, asseasments. inaurance premiums
and ground rents as they fall due. such excesa shall be, at Borrower's option, either pmmpdy repaid to Borrower o~ credited eo Borrower on
monthly installments of P1~nds. lf the amount ot the Funds held by Lender shaU not be sufficient to pay taxea, asseasmenb, insurance
premiums and ground rents es they fall due, $orrbwer shail pay to l.ender any amount neceaaary to make up the deficiency within 30 days
from the date notice is mailed by Lender to Borrower requeating payment thereof.
Upon psyment in full of aU suans secured by this Mortgage, I.ende~ shall promptly rrtund to Borrower any funda held by I.ender. lf under
paragraph 18 hereof the Pmperty ia sold or the Property is otherwise acquired by l.ender, Lender shall apply. no later then immediately prior
to the sak of the Property or its aoquisition by Lender. any Funds held by I.ender at the time of appiication as a credit against the sums aecured
by thia Mortga~e.
3. ApplieaUon of Ps~rmeab. Unleas applicable law provides otherwiee, all paymenta received by Lender under the Note aod
paragraphs 1 and 2 hereof shall be applied by Lender firet in payment of amounta peyable to Lende~ by Borrower under paragraph 2 hereof,
then to intereat p~yeble on the Note, then to the principa! of the Note, and then to intereat and principal on any Future Advancea.
~. Chuges; Lie~s. Bormwer ahall pay all taxea, asaeasments and other chargea, finea and impositions attributable to the Property which
may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereotor,
if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. E3orrowerahall promptly furnish to Lender
all notices of amounta due under this paraqraph, and in the event Borrower shall make payment directly, f3orrower ahall promptly furniah to
LendeF ceceipta evidencing auch paymenta. Burrower ahall promptly dischargr any lien which has priority over this Mortgage; provided, that
Borrower ahall not be required to discharge any such lien so lonq as E3orruwer shaU agree in writing to the paypnent of the obligation aecured by
such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal proceedings
which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereo(.
5. Hazard lneurance. Borrowrer ahall keep the improvements now existing or hereafter erected on the Property inaured againat loa8 by
fire, hazarda included within the term "extended coverage," and auch other hazards aa l.ender may require and in such amountsandlorauch
perioda aa Lender may require; provided, that I.ender shaU not require that the amount of auch rnverage exceed that amount of coverage
required to pay the auma secured by this Mortgage.
The insurance carrjier providing the insurance sh:~ll t-e chusen by Ii~-rn~wer subject to approval by I.ender; pruvided, that such approval
s}~all not be unreasonably withheld. All premiums un insurance polici~ sh:~ll bP G~aid in the m:+nner provided under paraRraph 2 hereof or, i[
not paid in such manner, by F3ocrower making payment, when due. directly to the inaurance carrier.
Al) inaurance policiea and renewals thereof ahall be in form acceptable to l.ender and ahall include a atandard murtgage clause in favorof
and in torm acceptable to I.ender. I.enderahall have the right tn hold the policiea and renrwals thereof, and Borrower ahall promptly furnieh to
i.ender all nnewal noticea and all receipta ot paid premiums. In the event of loss, Borruwer shall give prompt notice to the inaurance carrier
and L.ender. Lender may make proo[ of loss if not made promptly by &-rrower.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds ahall be applied to restoration or repair ot lhe Property
damaged, provided such restoration or repair is cronomically feasible and the eecurity of thie Mortgage is not thereby impaired. If auch
reetoration or rtpair ie not economically teasible ur if the ~ecurity of this Mortgage would be impaired, the ineurance proceede ahall be applied
to the aume secured by thia Morigage, with the excess, if any, paid to E3orrower_ If the f'roperty is abandoned by Borrower, or if Borrower tails to
ree~pond to [.ender within 30 daye from the date notice is mailPd by I.ender tv I3orruwer that the insurance carrier offera to aettle a claim (or
inaurance benefits. I.ender is authorized to collect and apply the insurance proceeds at l.ender'a option either to restoration or repair of the
Property or the sume eecured by this Morigage.
Unleas Lender and f3orrower otherwiae agree in writing, any auch application otproceeds to principa) ahall not extend or poatpone thedue
date of the monthly installments referred tn in paraKraphs 1 and 2 hereof or change the amount otauch inatallmenta. If under paragraph 18
hereof the Property is acquired by l.ender, all right, title and interest of Borrower in and to any inaurance policiea and in and to the proceeda
thereof reaulting from damage to Property prior to the sale or acqu~sition shall paas to l.ender to the extent of the suma secured by this
Morlgage immediately prior to such sale or acquiaition.
6. Preservation and MaintenanceotProperty; Leaseholds: Condominums; Planned Unit Developments. Borrowershall keep
the Property in goo~l repair and shall not commit waste or permit impairment or deterioration of the Property and shal) rnmply with the
provieions of any lease if thie Mortgage ie on a leasehold. If thia Martqage is un a unit in a rnndominium or a plenned unit development.
Borrower ehall perform all of E3orrower'e obliqationa under the declaration or covenante creatinRor govern~ng the rnndominium or planned
unit development, the by-laws and regulations ot the condominium or planned unit development, and rnnstituent documents. If a
condominium or planned unit development rider ia executcd by E3orrower arid recorded lugether with ihie Mortgage, the wvenants and
agreementa of such rider shall be incorpurated into and shall amend and aupplement thecovenanta and agreementa of thia Mortgageas ifthe
rider were a part hereoL
7. Protection ot Lender'~ Security. !f Borrower tails to perfornn the oovenante and agreements rnntained in thu MortgaQe, or if any
ection or procceding is commenoed which materially affects I.ender's intereat in the Property, including, but not limited to, eminent domain,
insolvency, aode entorcement, or arrangemenb or prnceeding~ involving a bankrupt or decedent, thm Lender at Lender'~ option,npon
notice to Bormwer may make such appearancES, disburse such sums end take such action as u neoe~sary to protect Lender i interert,
including, but not limited to, di~bursement of reasonable ettorney's fees and entry upon the Property to meke repain. I[ Lender required
mortgage ineurance as a condition ot making the loan secured bjr this Mortgage. Borrower shal) pay the premiumi required to maintain
such insurence in efteM until such time as the requirement for such insurance terminatea in accordence with Borrower i and Lmdd~
written agreement or applicable I~w. Borrower shall pey the amount of all mortgage ineurance premiums in the manner provided under
paragraph 2 hereof.
Any amounts disbuned by Lender persuant Lo this paragraph 7, with interest thereon, shaU become edditiona) indeMednw of
Borrower secored by this Mortgage. Unleas Borrower and Lender agree to other terms of payment, such emounb ~hell be Qeyable upoa
notice trom Lender to Borrower requating peyment thereof, arid shall bear intereat from the date of d'uburse~nent at the rate payabk imm
time to time on outatanding principal under the Note unless payment of interest at such rate would be rnntrary w appGcsbk law, in which
event such amounts ~hall bear interest at the highe~t rate pem-issible under applicable law. Nothing contained in thia paragraph T, ~haU
require Lender to incur any e:pen~e or take any action hereunder.
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g~~ 34? P,~E ~7~
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