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HomeMy WebLinkAbout1923. . . ~ ~ . ~~i :1~ Borrower and l.ender covenent artd agree eu folbwr 1. Payme~t of Priecipal sad intereat. Borrower ahal! p~ompUy pay when due the principal ot and intereat on the indebted~eas evidenced by the Note. prepayment and late charges as pmvided ir1 the Nota, a~d the principel of and interest on any Future Advancee secured by thie Mortgage. 2. I~nds for Taxea and Insurance. Subject to applicable law or to a written waiver by Lender. Borrowe~ ahall pay to I.ende~ on the day monthly inetallments of principal and intereat are payable under the Note, unti! the Note is paid in full, a aum (herein "Flinda"1 equal to one tweltth of the yea~ly taxes at~d aeseaementa which may attain priority over this Mortgage, and ground renta on the !'roperty, if any, plus one twelRh otyearly premium inatallmenta [or hazard inaurance, plua onetwelRh otyearly premium inatallments for mortgage inaurance, i[any, all as reasonably eatimated initially and from time to ti~r~e by l.ender on the basia of asseasments and billa and reasonable eatimates thereof. The F1nds shall be held in an institution the deposits or accounts of which are inaured or guaranteed by a Fede~al or State agency (including Lender if Lender is such an inatitution). Lender shall apply the Funda to pay said taxea. asaesamenta, inau~ance premiuma and ground tents. Lender may not charge for so holdiog and applying the Funds, aoal~rsi~g said account, or verifying and compiling said aeaesaments and bills, unlesa Lender pays Borrower interest an the Funda and appliceble law permite Lender to make such a charge. Borrower and Lender may agree in writing at the time of e:ecution o[ thia Mortgage that interest on the Funds shall be paid to Borrower, and unless auch agreement ie made or applicable law requirea euch intereat to be paid, Le~der sha11 not be required to pay Borrower any interest or earnings on the F~unds. Lender ahell give to Bormwer, without charge, an annual accounting of the Funds showing credite and debite to the Funde and the purpose fo~ which each debit to the Funda was made. The F unda are pledged as additiooal security for the auma secured by thia Mortgage. . If the amount of the ~nda held by Lende~, together with the future monthly inatallmenta of Funds payable prior to the due dates of ta:es. assesements, ineurance premiumw and grnund rrntw, ehall exrzed the amauM required tn pay ~id ts;~, s~ae~ementa, in~urance premiums and ground rents ae they fall due. such exceas shall be, at Bo~TOwer e option, either pmmpdy repaid to Borrower or credited to Borrower on monthly inatallments of Ftinds. If the amount of the Funda held by Lender ahall not be sufficient to pay taxes, asseasments, insurance premiume and ground renta as they tall due, Borrower ahall pay b Leoder a~y amount neceasary to make up the deficiency within 30 days from the date notice ie mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all aums secured by this Mortgage, I.ender ahall promptly refund to Borrower any fuads held by Lender. If under paragreph 18 hereof the Property is aold or the Property is otherwise acquired by Lender, Lender ahall apply, no later than immediately prior to the aale of the Property or ita acquiaition by Lender, any Funds held by I.ender at the time of application as a credit egainat the sums aecured by this Mortgage. 3. Appiication ot Payments. Unlese applicable law providea otherwiae, all paymenta received by Lender under the ~Iote and paragraphe 1 and 2 hereof ahall be applied by Lender first in payment of amounts 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 Future Advances. 4. Chargre; Liena. Borrower shall pay all taxes, assessments and other chargrs, fines and impositions attributable to the Property which ::t:iy :~tiaitz sy p~ioriLy ut cT this:~ltrrtgay;e,lnd lcabehuld gaymcnis ar k:uund rents, if anS.ltt ~Fli' =i1331i3ET ~TDt tilCKf US1CfL: ji~T~jy?3~ff3 2 hercof or, ~f not paid in such manner, by Borrower making payment, when due, directly to the payee thereot E3orrower shall promptly furnish to Lender all notices of amounts due under this paragruph, and in the event I3orrower shall make payment directly, Bormw er shall promptly fumish to l.ender receipts evidencing such paymrnts. I3orrowe~ shall promptly dischargr any lien which has priority over this Mortgaqe; provided, that Korrower shall not be reyuired to discharge any such lien so long as Aorruwer shall agree in writing to the payment of theobligation secured by such lien in a manner acceptable to Ixnder, or shall in Rood faith runtest such lien by, ordefend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lieo ur for[eitur~ of the Property or any part thereof. 5_ Hazard Inaurance. Rorrower shall keep the impmvements now existing or hereaRer erected on the Property insured against losa by fire, hazards included within the term "extended coverage." and such other hazards as I.ender may require and in such amounts and for such periods as [.ender may require; provided, that l.ender shall not reyuire that the amount of such coverage exceed that amount of coverage required to pay the sums secured b~ this Mortgage_ The insurance camer pro~•idinK thr insurance shall tw chusen b~• ik~rruwer sub~ect tn appro~•al by I.ender, proeided, that such approval sha11 not be unreasonably withheld. All prrm~ums on insurancr ~H~licirs sh.~ll br paid ~n the manner pruvidrd undrr paraKraph 2 hereuf ur, if not paid in such manner, by fiorruwer making payment. when due, directh• to the insurance carrier. All insurance policies and renewals thereo[shall be in form acceptable to l~enderand shall include a etandard mortAageclausein favorof and in form acceptable to l,ender. l.ender shall have the right t~ hold the policies and renewals thereof, and E3orrower shall promptly furnish to i.ender all renewal notices and all receip~c of paid pmmiums_ In the event of loss. Korn,wcr shall give prompt notice to the insurance carrier and l.ender. I.ender ma3 make proof of luss if not made promptly by f3orrower. Unless [.ender and E3orrower otherv-ise agree in writing, insurance proceeds shall be applied to reatoration or repair of the Property damaged, provided such restoration or repair is econumically feasible and the security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or i~thr security of this Mortgagewould beimpaired, the insuranceproceedsshall beapplied -n the sums aecured by this Mortgage, w~th the exces.g, if any, paid to E3orrower. Uthe Property is abandoned by E3cirrower, or if fiorrower fails to reapond to Lender with:n :3(- days from the date notice ~s mailPd by t.ender to E3orrower that the insurance carrier offera to settlv a claim fo~ insurance benefita. I.ender is authorized to rnUect ~nd apply the insurance proceeds at l.ender's option either to restoration or repair o[ the Pruperty or the sums secured by this MortKage. Unlesa l.ender and Borrower otherwise aKree in wnting, any such application uf proceeds to principal ahall not extend or postpone thedue date of the monthly installmen~g referrrd to in paraKraphs 1 and 2~~ereof or change the amount o[such instaUmenta. lf under paragraph 18 hereof the Property is acquired by l.ender, all right, title and interest of Bormwer in and to any insurance policies and in and to the proceeda thereot resulting from damage to Property prior to the sale or acqu~sition shall pass to l.ender to the extent of the sume secured by this Mortgage immediately prior to such sale or acquisition 6. Preeervation and Meintenance of Property; Leaseholds: Condominume; Planned Unit Developments. Borrowerahall keep the Property in goa! ~epair and shall not commit waste or permit impairment or deterioration of the Properly and shall comply with the provisions of any lease if thia blortgaKe is on a leaxehold. If this MortgaKe is on a unit in a condominium or a planned unit development, fiorrower shall perform all of 13orrower's obligatiuns under the declaration or cu~enanta creatinKor govern~ng the condominium or planned un~t development, the by-laws and regulationa of the condominium or planned unit development, and constituent documents. If a condominium or planned unit development rider is executed by &-rrovcrr and recorded together with this Mortgage, the oovenanta and aKreemenL4 of such rider shall be incorpor~ted into and shall amend and supplement thecovenants and agreements of this 1~IortqaQe as ifthe rider wem a part hereof. 7. Protection of Lender's 3ecurity. If Bonower fails to perform the rnvenante and agreementa con/ained in thie Mortgege, or if any action or proceeding is commenced which meterially affecte Lender'e interest in the Property, including, but not limited to, eminent domain, ineolvency, oode enforcement, or arrangemente or proceedinga involving a bankrupt or decedent, then Lender at Lender's option,upon notice to Borrower may make euch appearancee, diaburse euch aums and take such action ae ie necessary to protect I.ender's interest, including, but not limited to, disbursement of reasonable attorney e fees and entry upon the Properiy to make repairs. If Lendrr required mortgage ineurance ae a condition of making the loan secured by thie Mortgage, Borrower shall pay the premiums required to maintain such ineurance in ef[ect until euch time aa the requirement for such ineurance terminatee in accordance with Borrower'e and Lender s written agreement or applicable Law. Borrower ahall pay the amount of all mortgage ineurance premiums in the manner provided under paregraph 2 hereof. Any amounte disbureed by Lender pereuant to this paragraph 7, with intereat thereon, ahall become additional indebtedness of f3orrower eecnred by this Mortgage. Unleae Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requeating payment thereof, and shall bear intereat from the date of disbureement at the rate peyable from time to time on outetanding principal ander the Note unless payment o! interest at auch rate would be contrery to applicable law, in which event euch amounts shall bear interest at the highest rate pertnissible under applicable law. Nothin~.containe~ in this paraqraph 7, shall require [.ender to incur any expenee or take any action hereunder. ~~ go~335~0 Pe~Ei921