HomeMy WebLinkAbout1740Uxt~dt~t ~~~eNrs. 8otrowtr and Leuder covensnt and sjree ss tollows:
1~ ~41'~N oI hl~tf/~1 ~i INerad. Botrower shall promptl) paY when due the principal of and ioterost on the
~ndebtednas evidenccd by the Note, ptepayment and Iste chargec ac provided in the Note, and the principal ot and inte~est
on any Future Advances s~cured by this Mottgage.
_. Ftia~it tor T~a ~ i~ara~ee. Subject to applicablc law ur to a written waiver by [.ende~. Borro~ver shall pay
to I.ender on the dsy monthly installments of principal and intercc~ arc payaMe under the Note. uotil the Note is paid in tull.
~ sum (hercin "Fu~~'~ equal to one-tweltth o! the yea~l~ ta~c. anJ assessments which may attain pno~ity over this
1Nortjaje. and ground nn4 on the Pt+ope~ty. if a~y, plus one•iwclt~h ot yearly premium insaltments Ew hazard i~surance.
plus one-tweltih af yearly prcmium insta!lments tor mongago insunncc. if any, all as rcasonably es~imated initially and from
time to time by Lender on the buis ot asustmcnts and hills and reawnable tstimata thercof.
71~e Funds shall be held in an institution the depos~n or ~ccounls of which arc insurcd o~ guanntted by a Feden! ot
ttate agency (including Lende~ if Lcnder is such an institution/. I.ender ahall apply the Funds to pay uid taxa. assessmenis~
irauranoe premiums and ground rents. 1 ender may not charge lor u~ holding and applying ~he Fundc_ analyzing said accuunt.
or verifyiet aed compling said asxssments and bills, uoless Lender pays Borrower interat on the Funds and applicable law
pecmits Lender to make such a charge. Bonower and [.ender may agree in writing at the time ot execution ot this
Mori~ae that interat on the Funds shall be paid to Borrower, and unlas such agreement is made o~ applicable law
requira such interest to be paid. Lender shall no~ be requircd to pay Bor~ower any interest or carniogs on the Funds. I_ender
shall ~ive to Sorrawer, without charge, an annual accounting of the Funds showing credits and deb~ts to the Funds and the
purpoae for whirh eacA d~bit to the Funds wu made. The Funds arc pledged u additional security for ~he sums secured
by this Mort~e.
If tl~e amount o[ the Funds held by Lender, together with the future monthly installments af Funds payable prior to
t6e due data of taxes. assessmeats. insurance premiums and ground rcnts, shall excecd the amount requircd ~o pay said taxa,
a:spiments. insunncs premiums and ground rents as thcy (all due, such eacess shall be, at Borrower's opt~on, either
promptly rcpaid to Bormwer or crodited to Borrower on monthly ins~aUments o[ Funds. If the amount of ~he ~unds
held by l.eodet shall not be sufficieat to pay taues. assessments, insurance premiums and ground rents u tAey tall due,
8omoaer shall pay to Lender any :mount necessary to make up ~he de6ci~ncy within 30 days trom the date notice is mailed
by Lende~ to Borrowe~ requatin8 paYmen~ ~hereof.
Upon paymeat in full of all sums socurcd by this Mortgage, t.ender shall promptly rcfund to Borrower any Funds
held by I.ender. If under puagraph 18 hercof the Property i, sold or the Property +s otherwist acquircd by Lender. Lender
sball apply. no later than immediately prior to the sale of the Propeny or its acquis~tion by Lcnder, any Funds held bv
I.eoder at the time of application u a crcdit against the sums secured by this Mortgage.
3. Appticatios of paymesta. Unless applicable law provides otherwise, all payments received by I_ender under the
Note and paragraphs 1 and 2 hercof shaH be apptied by I_ender 6rst in payment ot amounls payable to Lender by Borrower
under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and
principal on any Futurt Advances.
4. Cdar~es; Lieas, BOffCW~£F StiQ~~ ~ay a!~ ~axec. a~cet~ments and olher charges, finec and ~mposinons attnbutabk to
tbe Property which may attain a pnority over th~s Mortgage, and leasehold payments or ground rcnts, if any, in the manner
provided under paragraph 2 hereof or. it not paid ~n such manner, by Borrower making payment, when due, dirccdy to the
payee the~eof. Bormwer shall pr~mptly furn~sh to Lender all notices of amounts due under this paragraph, aad i~ the event
Borrower shall make payment directly, Borrower shall promp~ly furmsh to Lender receipts evidenc+ng such payments.
Borrower shall promptly discharge any lien which has pnonty over th~s Mortgage; prov~ded, that Borrower shall not be
requircd to discharge any such lien so long as Borrower shall agree in wrrt~ng li~ th~ payment ot the ob6gation secured by
such lien ro a manner acceptable to Lender, or shall ~n g~tid faith contect such iien by, or defend enforcement o! such tetn in,
legal proceedings which operate to prevent the enfurcement of thr l~ert ar (orfeuure of the Property or any ~art thereof-
S. Hszud Insnranee. 8orrowe~ shall keep the ~mprovement. nc-w e~ating ~,r hereafter erect~d on the Properiy ~nsured
against loss by firc, hazards included withm the term "crtcnded coverage", a:~d such o~her hazardt as Lender may reyuire
wd in such amounts and for such periods ax Lender may reyuire; provided, that LenJer shall not rcquire ~hat the amouni o[
such coverage eaceed that amount of coverage required to pay the tium~ secured ~by this Mort6age.
Tlx insurance carrier providing the insurance shall be chosen by Bormwer sobject to approval by Lender; provided,
that such approval shall not be unreasonably withheld. All premwmc on insurance policies shatl be paid ~n the manner
provided under paragraph 2 hereo( or, it not pa~d in tuch manner, by B~rrower maicmg payment, when due, d~rcctly to the
insurance carrier.
All i~surance policiec and renewals therrof shall be in form acceptable to Lender anJ shall ~nclude a standaid mortgage
clauu in favor of and 'en form acceptable to Lender. Lender shall have the right to hold the policies and renewatc thereof,
and Borrower shal( promptty [arnish to l.ender all renew•at not~ces and all receipts af paid premiumc. In the event of 1ass.
Borrower shatl g~ve prompt ~otice to the insurance carner and l.ender. I_ende~ ma} make pr~i of Icns if not made pramptly
by Borrower. -
Unless Lender and Borruwer othen+i.~: agree in wnhng, imurance proceeds shall bc applied to restoration or repair of
the Property clamaged, prov~eMd auch re~toratron or repau is economicalh~ teasible and the security of th~s Mortgage is
not thereby impa~red. If su~h restoration or repair is not rcon~~mically (casible or if the secunry of this Mortgage would
be impaued. the insurance proceeds shall be applied to the sums se~ured by this Mortgage, w~th the excess, if an~•, paid
ro Borrower. If the Property is at:andoneJ hy Borrower, or ~t Bormwer fails to respond to !_endcr within 3U days trom the
date rtoiice es maeled by I.ender to Borrower that ~he ~nsurance carrier otTers io settle a cla~m for insurance benefits, Lender
is authorized to colkct and apply the in~urance proceeds at Lend~r'~ option either to restaration or repaer of the Pr~pert~•
or to the sums secureci hy this Mortgage.
Unless I_ender and Borrower otherK~se egree m wr~trng, an}~ such application i~f pr~xeeds Io pnnc~pal shall not extend
or postpone the duc date of the monthh imtallmentc refcrred to in paragraph~ 1 and 2 hereof or change the amount of
suc6 installments. lt under paragraph IS hereof the Propert~ u acyu~reJ b~ Lender, ali nght, title and interest of Born•wer
in and to any tnsurance poficies and in anJ to thr proceeds th~reo( resultmg from damage to the Property prior to thr aale
or acquisition shaN pass to l.ender to the e.~tent ot the sum> >ec~red b} ~h~s ~tortgage immediately pr~or to such sale or
acqoisition.
6. Presenation aod ;~faiatenance of Property: I.easeholds; Condominiums; Planned Unit De~•elopmenls. Horrower
shall kcep the Property in good repair and shall not comrpit r aste or permit impaument or deterioration ot the Property
and shall comply with the provisions of any lease ~f th~s Mortgage ~t un a leascb~~ld. If this Mortgage is on a umt m~
condominium or a planned unrt cievclopment. Borrower shall perform all of Borrower's obligations under the declaratam
or coveoants creaung or governing the condomm~um or planned umt developmenl, the by-laws and regulationc of the
condominium or planned unit development, end constituent dekumenr~. If a can~ominium or planned unrt devel~pment
ruier +s execu~cd by 8orrower and recorded 1~~gelher with ~hi~ M~rtgage, thc rnvenants and agreemenls o( ,uch ridcr
shall be ~ncorporated into and shall amend and sup~lcment the co.enams and agreements of this Mortgage as ~f the n~icr
werc a part fereof
~. Protection ot l.eader's Securfty. i( Bc.rroKer fa~i. t~. ~xrt~~rm Ihe covenantc and agreements ccmtaincd ~n this
Mortgage, or if any act~on ur prexeedrng ~ti cummrnced whicn matrnallti .~Iiertti ! en~fer't mterrst in the PmExrn~.
includ~ng. but n~t Iimiled to. eminent domam. m~al~enc~, r~~Je cnf~•rcrment. ~~r :,rran~rmcnts or pri-ceedings imol~~ng a
bankrup~ or deceJent, then Lender at I.ender'~ option, u~x-n notice a- Bnrre,wer, n~a~ make wch appearance~, di~hurse wch
sums and take such actiun a~ is necestiary n. pratect i.ender ~ i~trrest. inctuii~ng. hut nat lim~ted t~-. J~sbursement ~~f
reasonable allome)•'c fres• and entry uM~n the Proper~} tc. m.~l~c repe~n. It (.rnder rcynircd mar~gage inturance a~ a
condrtion ~~( mak~ng Ihe Ioan ~ecureJ hy ~hi~ Alurtgage. B~~nr.Hir sh.~ll pa~- thr prem~ums reyinreJ to maiutam tiuch
~n~urance ~n et(ect umd such Ume as ~he reyuirement tur ~uch in•,uran:e ~rrminatr. in arc~,rdanee w~~h B~~rr~~wer'. and
~ ~~ ~x 350 ~~~E . . - , . . . • .
'IK ~ ~~