HomeMy WebLinkAbout0637
UN~FOatit CovEN~HTS. Borrower and Le~der covena~t and agr~ as tollaws:
1, Payment ot Principd wd Intctest. Barruwer shail promp~ly pay when duc !he ptincipal o( and interest on the
indebtedneu evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interost
on any Future Advances secured by this Mongage.
2. Funds to~ Taaes aed Iasunnce. Subject to applicable law ar to a v~rritten waiver by t.ender, Borrower shall pay
to l.ender an the day mon~hly installments of principal and inte~ect are payable unde~ ~he No1e, u~til the Note is paid in tull,
a sum (herein "Funds") equal ~a one-twelhh of the, yearly ~aties anJ asscssments which may attain pri~rity over this
Mortgage, and ground rents on the Property, if any, plus one-tv-~clfth of yearly premium inslallments for hazard insurance.
plus one-twelfth of yearly premium installmeots [or mortgage i~surance, if any, all as reasonably eslimated initially and trom
time to time by l.ender on the basis o( ascessmentt and bills a~d rea~onable atima~es thereot.
The Funds shall he heW in an institution the deposits ar accounts at which are insured or guaranteed by a Fede~al or
s~ate ~gency (including Lender if I.ender is such an institution). I.ender shall appty the Funds to pay said taxes, assessments,
insurance premiums and g~aund rents. I.ender may nat charge for ~o holding and appl}•ing the Funds, analyzing said account,
or verifying and compiling said asse~sments anJ bills, unless l.ender pays Borrawer interest an the Funds and applicable law
permits l_ender to make such a charge. Borrower and l_enJer m-ry agree in wnting at ~he time o[ execution of this
Morlgage ~hat interest on Ihe Funcis ~hall he paid lo Borruwer, and unless such agreement is made ar applicable law
reyuires such ~interest ro be paid, I.ender shall not t~e required to pay Borrower any interest or earnings on the Funds. I.e~der
shall give to Borrower, without charge. an annual accounting of the Funds showing credits and Jebits to the Funds and the
purpose for which each debit to the F=unds v-•as made. The Funds are pledged as additional security tor the sums secured
by this \1orlgage.
If the amount of the Funds hcld by Lender, ~i-gether with ~hc future monthly inqallmcots of Funds pay~ble prior to
the due dates ~-f taxes, as~essments, insurance premium~ anJ ground rents, shall exreeci the amount required to pa}• said taxes,
assessments, insurance premium~ and gmund rent~ as ~hey fall due, such ercets shall be, at Harrow•er'~ option, either
promptly repaid to Borrow~er or credited ro Bo~rower an mc~n~hly ~n~!allments of Funds. I( the amoun~ of the Funds
held by Lendrr shall not be sutTicient to pay taxes, assecsments, imurancc premiums anJ ground rents as they fall due,
Borrower shall pay to Lender any amount necessar~• to make up the deficicncy within 30 Jays from the date notice is mailed
by Lender to Borrower requesting payment ~hereo(.
Upon payment m ful! ot all sums secureJ by thic M~-rtgage. 1 ende~ shall prompUy retunJ to Borrower any FunJs
held hy7.ender. If under paragraph 18 herrof the Pro{xny ~~ tio1J or ~hc Prapcrty ~s otherwi~c acqinred by l.rnder, I.ender
shall apply, no later than immediatcly prior a. the ~ale ~-f ~he Prdpeny ar its acyu~s~tion b}' Lender, any Funds held by
Lender at ~he t~me of application as a creJit against thr sum~ ~ecured h~ thi~ Mortgage.
3. Appliration of Payments. l,'nlrcc applirahle law proviJes MherNi~e, all payment~ received by Lender unJer the
tiutc and paragrapht 1 and '' hcrcol sh.~ll bc appl~eJ by I cndrr fr~t in pa}mcnt uf amounts p~yablc tu Lcndcr hy Bormwer
under paragraph 2 hereof, then to inlerest payahlc on the Nul~, thrn ~u thr principal a( the Note, .~nd ~hen t~~ interest and
pnncipal on any Futurt Advanccs.
4. CharRes; Liens. Borrower ~hall pa}~ all te~«. a~~eti.mcnts and rthrr chargr~. fineti :,n~ im~~sitions attnbutable ta
thc Propert; xhich may at~ain a pnority aver th~s Aturtgagc, and Icatieholi1 paymcnts or ground rents, if any, in thc manner
provided under paragraph 2 hereof ;or. ~f nat paid m cuch mannrr. M Bc~rrower m~king payment. when due. JirecUy to the
payee thcrcof. Borrower shalt promplly furn~sh to Lendcr ail nuUcrti uf ~muunts duc under ihis paragraph, and in th~ event
Borruwer shall make payment Jirectl}. Dormwrr ~hall promptl} furnitih tc. Lender receipts evidencing such paymentc.
Borrower shall pmmptly discharge any lien ~hich hrs pnont~~ ~~.~rr thi~ Murtgage: pmvided, that Borrower shall not be
reqwred to d~scharge any~ such lien u~ long as BorroNC~ ~hal! agre~ in ~~iUng to the paymen! o( the obhgalion secured by
such lien in s manner accep~able ro I_ender, or shall in g~xxl faith contetit such lien h~~, or defend entorcement of such lien in,
legal pnxeeding~ v-•h~ch oper~te to prevent thc cnforcrmcnt u( ~hr I~rn or (orfeitur~ of the Propcrty or an~~ parl thereof.
5. Hazard Insurance. Borrower tihall keep ~he ~mpra.•rmrntti no~ e~i~~ing ~•r hereatter erected on the Pr.~Fxrty incured
aeainst loss hv fire. haza:ds included withm the term "r~tenJeJ coverage'~, and such other tiazards a~ I_ender may reyuire
and ~n such am~:~~ts and for wch peri«ic as Lender m:-y reyuire; pr~~e~ideJ, that l.ender shall nat reywre that the amount o[
such ravcrag~ crcecd that amuunt c-t cmcragc rcquucd ~~~ pa} thc wm~ +ccured b?• this Mor~gagc.
The insurance carrier providing the inturance ~hall be rhosen by~ Borrouer subject to approval by I.end~r: provided,
that such appro~~al tihall not be unreasonahly withheld. All prcmium~ an insurance policies shall tx~ paid m the manner
provided under paragraph 2 hercof ur. ~f not pa~d in such manner, by B~~rrower mak~ng payment, wHen due, direct~y to the
insuran:e carrier_
All insuranre pali~ie~ and renewals therec~t shall tx in form acceptable to I.enJer and shall include a titandard morlgage
clause m favor e~( and m form arceptahle iu Lender. 1_rndcr .h~il ha~e the right tu hu1J the poliries :ind renewalc thereot,
..nd Borr<~wer tihall promp~l~~ furnish to I.ender all rencwal nouces anJ all receipts of paid premium~. In the e~ent ot loss,
Bormwer ~hall gi~•e prompt not~ce to the ~nsurance ~a:ner and I.ender. 1_en~rr ma} m:~l~e prcx~t af loss if not made prompdy
b)' Borrowcr.
Unless 1_endc~ and Borrower other~~u agrec in Nrihng. in~urance pnxeed~ shall be ~pplied to restoration or repair of
the Property damageJ, proviJed such retitoraUon or repair is ernnnmicaUy feasible and the tecurity of this Mortgage ~s
not thereby impa~red. I( such restoration or repa~r is not cconomic:~lly feasihle or if the securit}• of this Mor~gage would
be impa~red. the insurance proceeds shall be applieJ to thc tums secured by this Mongage, with the excess, if any, paid
to Borrower. If the Property is abanJoned h~. Bormwer. or ~t Borrower failti t~~ res~nd to I.ender within 30 days from the
Jate notice is mailed by Lender to Borrower that the msuran~e rarner ufTers to settle a claim for insurance benefih, I.ender
u authorized tu collect and apply the insurance pr+~ceeds at Lender's oPh~~n either to restoration or repair ot the Property
or to the sum~ ~ecured hy this Mortgage.
Unles~ Lender and Borrower othervrice agree ~n writing, any such a~plica~ion ~~f proceeds to pnnc~pal shall not eztend
or postpone the due date of the mon~hly installmcnts rcferred to in paragraphc ,1 and 2 hereof or change the amount of
such ~nstaLments. It under paragraph 18 hereof the Propert~~ is acyu~rcd by I.endcr, ali right, title and interest of Borrower
in and to an}• insurance policies and in and to the pru~:eeds ~hereo( resulting trom damage to the Property prior to the sale
or acquisition shall pass to Lender to the extent o[ the sums secured by this I~1ortgage immediately prior ta such sale or
acquisition.
6. Presena~ion ~od ~taiotemnce of Property; I.easeholds; ('ondominiums; Planned Unit Developments. Horrower
shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
and shall comply with the provis~ons of any lease it this Mortgagc iti on a Icaschold. If this Morlgage is on a unit in a
condomimum ur a planned un~t development. Borrc~~er shall perfa~m all of Borrower's obligations under ~he declaration
or covenants crcaUng or governing the condominium or planned unrt development. Ihe by-laws and regulations of the
conJominwm or planned unit development, and constituen~ documents. If a condominium or planned ~init Jevelopment
nder is executed by Borrower and recorded together with th~ti Mortgage, the covenants and agreements o( such rider
shall be ~ncorporated into and shall amend and supplement the cu~enan~s and agreements o( th~s Mortgage as it the rider
were a part hereof.
7. Proleclion ot Lender's Sccurity. I( Bortower fads to per(orm the covenanls and agreements contained in this
Mortgage, or if any action or proceeding is commenced v-h~ch materially affects 1_ender's interest in the Property,
including, but not I~mited to. eminent domain, incolvency, code enforcement, or arrangements or proceedings involving a
bankrup~ or decedent, then Lender at t_ender's option, upon notice ~o Borrower, may makc such appearances, disburse such
sums and take such ac~ion as is necessary to protect Lender's interest, including, bat not limited to, disburument of
teasonable atromey's (ees and entry upon the Properry to make repairs. It Lender required mortgage insurance as a
condition of mak~ng the loan xcured by ~his M~rtgage. Borrower shall pay the premiums required to mainta~n such
insurance in effect until such time as the requirement for such msurance ~erminates in accordance with Borrower s and
6RnK 34~7 P~GE ~c38