HomeMy WebLinkAbout0907~ • ~~'~.j ' t~! 1 ~
UNIFORM COVENANTS Boirower and Lender covenant and agree as totlows.
S. Raym~nt ot Pii~-cip~t ~nd int~nst. Sorrower snau promptly pay when due ihe pnnc~pat ol and ~nleresl on Ihe
~ndebtedness ewdenced by the Note, p-epayment and late charges as provided ~n the Note, and the pnnc~pai of and ~~terest
on any Future Advances secu-ed by this Mortgage.
2. Funds forTax~~ and I~sura~c~. Sub~ect to appl~cdble law or to a wr~tten wa~ver by lender. Borrower shall pay
to le~der on the day monthly ~nstatlments ot princ~pal and interest are payabte under the Note, unt~i lhe Note ~s pa~d m tul1.
a sum (here~n ~~Funds") equal to one-twelllh ot the yearly taxes and assessments wh~ch may attam pno~~ty over th~s
Mortgage, and ground rents on the Property, ~1 any, plus one-twelith ot yearly prem~um ~nstaliments lor hazard ~nsurance.
p~us onetwe~tth ot yearly premium ~ns1a11men1s for mortgage ~nsurance, ~t any, a11 as ~easaonabiyest~mated ~nit~ally and from
t~me to t~me by Lender on the bas~s of assessments and bills and reasonable est~mates thereot.
The Funds shall be held in an inst~tution the deposits or accounts oi wh~ch are ~nsured or 9uaranteed by a Federai or
stale agencylmClud~ng Lender it Lende~ ~s such an instrtuUon-. lender shall apply the Funds to pay sa~d taxes, assessments.
+nsu~ance prem~ums anci ground rents. Lender may not chaige tor so holding and apply~ng Ihe Funds, analyz~ng sa~d account.
or venfy~ng and compil~ng Sa~d assessments and b~Ils, unless Lender pays 6orrower mte{est on the Funds and appl+cable taw
perm~ts Lender to make such a charge. Borrower and Lender may agree m wr~t~ng at the t~me ot execut~on of th~s
Mortgage that mte-est on the Funds shall be pa~d to Borrower, and unless such agreement ~s made or appl~cable law
requ~res such ~nterest to be pa~d. Lender shall not be requ+red to pay Borrower any interest or earnings on the F unds. Lender
sha11 g~ve to Borrower, w~thout charge. an annual account~ng of the Funds show~ng cred~ts and deb~ts to the Funds and the
purpose lor wh~ch each deb~t to the Funds was made. The Funds are ptedged ac add~tional security for the sums secured
by th~s Mortgage.
If the amount ot the Funds held by Lender, together w~th the fu[ure monthly ~nstaftments of Funds payable prio+ tp
the due dates ot taxes, assessments. ~nsurance p-em~ums and ground rents, shall exceed the amount requ~red to pay said taxes.
assessments. ~nsurance premiums and ground rents as they fall due. such excess shail be, al 6orrowers opt~on, e~ther
promptly repaid to Bcrrower o~ c~edited to Borrowe~ on monlhty installments o1 Funds 11 the amount ot the Funds
heid by Lender shali not be sutl~cient to pay taxes, assessments. ~nsurance prem~ums and ground rents as they fal! due.
Borrower shall pay to Lender any arnount necessary to make up the def~c~ency w~thm 30 days trom the date n~t~ce ~s ma~led
by lender to 6orrower requesling payment thereot.
Upon paymem m tu11 oi ail sums secured by this Mortgage, Lender shall promptty retund ~o Borrower any Funds
hetd by Lender. If under paragrapn 1$ hereol the Property +s sotd or the Property ~s othenrv~se acqu~red by Lender, Lender
shall app-y, na later than ~mmed~ately pner to ihe sale ot the Properry or ~ts acUu~s~t~on by Lender. any funds held by
Lender at the Ume ol appl~cat~on as a cred~t aga~nst the sums secured by tn-s Mortgage
3. Appllcation of PaymeMs. Uniess appl~cabte taw prov~des otherw~se. all payments rece~ved by Lender under the
Note and paragraphs t and 2 hereof shall be appl~ed by Lender f~rst ~n payment ot amounts payab~e to lender by Borrower
under paragraph 2 hereot, then to ~nterest payable on the Note. then to the p-~nc!pal ot the Note, and then to ~nterest and
pr~nc~pal on any Future Advances.
4. Charses; Ltans. Borrower sha11 pay atl taxes. assessments and other charges. tmes and ~mpositions atinbutable to
the Property wh~ch may attam a pr~or~ty over th~s Mortgage, and teasehold payments or gound rents. ~t any. ~n the mannec
prov~ded under paragraph 2 hereof or, if not pa~d in such manner. by Borrower mak~ng payment. when due. d~rectty to the
payee the+eot. Sorrower shaff promptly turrnsh to Lender a11 noi:ces of amounts due under th~s paragraph. and ~n theevent
Borrower shail make payment d~rectly. Borrovier shall promptly f~~~~sh to Lendec rece~pts ev~denc-ng such payments
Borrower shall promptly d~scharge any lien wh~ch has pnonty over th~s Mortgage. prov~ded. that Borrower shall not be
reqwred to d~scharge any such I~en so tong as Borrower shall agree ~n wr~t~ng to the payment of the obl~gat~on secured by
such I~e~ ~n a manRer acceptabte to Lender. or shall ~n good fa~th contest such -~en by. or defend enforcement of such l~en ~n.
legal ~iroceed~ngs wh~ch operate to prevent the enforcement of the I~en or fo~fe~ture of the Property o~ any part thereot.
5. Hazard tnsu~ance. Borrower shan keep the ~mprovements now ex~st~ng or hereafter erected on the Property ~nsured
aga~nst tass by f~re, hazards -ncluded w~th~n the term ~~extended coverage', and such other hazards as Lender may requ~re
and ~n such amounts and tor such penods as Lender require. p~ov~ded, that lender s~all not reguire thallhe amount ot
such coverage exceed that amount dt ca~verage requ~re~ to pav the sum secured by th~s Mortgage.
The ~nsurance carr~er provid~ng the ~nsurance shaii be chosen by Borrower sut~ect to approval by Lender prov~ded.
that such app~ovat shal~ not be unr~asonab4y w~thhefd. Alt prem~ums on ~nsurance pol~c~es sha11 be pa~d ~n the manner
prov~ded under par~,yraph 2 hereof or. ~f not pa~d ~n such manner. Gy Borrower mak~ng payment, when due. d~cectly to the
~nsurance carner
A11 insurance poti~c~es and renewa-s thereof shafl be m fo-m acceptabie to Lender and shaN ~nclude a standard mortgage
c~ause ~n tavor ot and ~n form acceptable to Lender. Lender sha~1 have the nght to hotd the po~~c+es and renewals thereof.
and Borrower sha-1 promptly furn~sh to Len~er aI1 renewal not~ces and a;l rece~pls of pa~d prem~ums. In the event ot loss.
Borrower sha11 g~ve prompt not~ce to the ~nsurance car: ~er and Lender Lender may make proof of ioss ~f not made-promplly
by Bor~ower.
Unless Lender and Borrower otherw~se agree ~n wr~t~ng. ~nsurance proceeds shali be app4ed to restorat~on or repa+r of
the Property damaged. prowded such restorat~on or repa~- ~s econom~ca~~y leas~bie and the secur~ty ot ih~s Mortgage ~s
not thereby ~mpa~red. tf such restorat~on or repa~r ~s not econofi~caliy teas~bie or ~t the secu.-~ty ot th~s Mortgage wou~d
be ~mpa~red, the ~nsurance p~oceeds shatl be appi~ed to the sums secured by this Morigage. w~ih the excess. ~f any, pa~d
to Borrower. If !he Property ~s abandoned by Borrowe-, or ~f Borrower fa~ls to respond to Lendel W~~h~n 30 days from the
ciate notice ~s ma~Ied by Lender to Borrowe~ that the ~nsurance carr~er olters ro settte a claim tor ~nsurance benehts. Lender
~s authorized to coNect and app!y the insurance p-oceEds al lendei s option e~Iher to restorat~on or repa~r oi the Property
or to the sums secured by this Mo-tgage.
Unless Lender and Borrower o!hervv~se agree ~n wr~t~ng. any such appi~cat~on ot proceeds to pr~nc~pa- shall not extend
or postpone the due date oi the monthly ~nstailmenis referred to in paragraphs t and 2 hereof or change the amount of
such ~nsta~~ments If under paragraph 18 hereot the Property ~s acqu~red by Lender. ai~ r~ght. t~t-e and ~nterest ot Borrower
~n and lo any insurance pohc~es and ~n and to the procee~is thereof resuit~ng trom damage to the Pcoperty pnor to the sale
or acqu~sd~on shall pass to Lender to the extent of the sums secured by th~s Mortgage ~mmed~ateiy pnor to such sale or
acqu-sition.
8. Preservation and Maintenance of Property; Lesseholds; Condominiums; Plsnned Unit Developments.
Borrower shall keep the Property m good repa~r and shall not comm~t waste o~ perm+t ~mpa~rment or detenorat~on of the Pro-
perty and shalt comply with the prov~s~ons ot any lease ~t this Mertgage ~s on a Ieasehold. If this fuSortgage ~s on a un~t m a
condominwm or a{.~anned unit developmenl, Borrower shai~ perlorm alI ot Borrower s obl~gat~ons under the deciarat~on
or covenants creat~ng or govermng the condom~rnum er pfanned urnt development, the by--aws and regulat~ons of the
condomin~um or plannedunit development. and const~tuent documents 1t a condom~n~um or planned un~t development
nder ~s executed by Borrower and recorded together w~t-- th~s Mortgage. the covenants and agreements of such r~der
sha~~ be ~ncorpo-ated ~nto and shall amend and suppfemenl t:~e covenants and agreements ot th~s Mortgage as ~! the r~der
weie a part hereof. .
7. Protection of ~ender's Security. If Borrower fa~is to pe~form the covenants and agreements conta~ned ~n th~s
Mortgage. or it any act~on or proceed~ng ~s commenced wh~ch matenalty affects Lenders ~nterest m the Property.
~nclud~ng, but no! I~mited to, em~nenl doma~n. msolvency. code entorcement, or arrangements or proceed~~gs mvolv~ng a
bankrupt or decedent, then Lender a! Lenders opt~on, upon notice to Borrower, may make such appearances. d~sburse such
sums and take such action as is necessary to protect Lenders interest. ~ncludmg, but not limited to. disbu~sements of
reasonable attorneys fees and entry upon the Property to make -epairs. tf Lender reqwred mortgage insurance as a
cond~t~on oS makmg the loan secured by th~s Mortgage. Borrower shali pay the p-em~ums required to mainta~n such
msurance ~n effect unt~l such bme as the requ~reme~t for such ~nsurance term+nates ~n accordance w~th Borrowers and
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