HomeMy WebLinkAbout2766Borrower sad Lendsr rnvenant a~d a~ne a~ iolbwr.
1. Payment of Principal a~d i~tere~~ Borrower shall prompdy pay when due the principal ot and intemt o~ ehe indebtcdneas
evidenced by the Not~ ptepayment and labe char~es ss provided in the Note. and the principal oi and intereaton any Future Advne~ces aecured
by this Mort~eige.
2. Ftinds tor Texes ar~d ln~urenoe. Subject to applicable law or to a written waiver by Lender, Bormwer shall pay to l.endrr on the day
monthly installments of principal and interest an paYable under the Note. until the Note is paid in full, a sum (herein "~uode'') equal to ons
twelRh o[ the yearly taxes and assessmente which may attain priority over this Mortgage. and ground reots on the Pwperty, i~! any, plu~ ona
twelRh otyearly prernium installments for hazard inau~ance, plua ono-twelfth of yearly prrmium installments for mortgage irvurunce, if any,
ali ae reaso~ably eatimated initially and from time to time by l.ender on the baaia of asaeasmente and bills and reasonable eatimates thereof.
, The ~nds shall be hetd in an institution the deposits or accounta o! which are inaured or guaranteed by a Federel or State agency
(including I.ender if I.ender is such an institution). I.ender ehall apply the Funda w pay said taxes, aaeesements, inaurance premiums and
ground rents. Lender may not charge for w holding and applying the Funda, analyzing said account, or verifying and compiling said
asaesementa and bilis. nnless Lendtr psys Borrower intereat on the flinds and applicable law permits l.ender b make such a charge_ Bo~ower
and I.ender mey agree in writing at the time of execution oi thia Moirtgage that intereat on the F'unds shall be paid to 8orrr•r.•cr. and unle~a
such egreement ia made or applicable lew requires such intereat b be paid, Lender shall not be required to pay Borrowtrt ar-y interesi o~
earnings on the Ftinds. Lender shall give to Borrower, without charge, an annual accounting oi the Funde showing credits and debits to the
Funda and the purpose [or which each debit to the ~nds was made. The Fnnda are pledged as additional security for thes~nna eecured by this
Mortgage. ~
If the amount of the Fl~ods held by Lender, together with the future monthly installmenta of Funds payable prior to the d~~e dates of taxes,
asseaemente, insyrance premiums and ground rents, shall ezcted the amount required to pay said taxea, assesamenta, inaurRnce premiumr
and ground rents as they fall due, auch e:ceas ahalt be, at Borrower a opt'son, either pmmptly repaid to Sorrower or cre~c~icd tn Borrower on
monthly inatallmenta of ~nda. If the amount of the Funda held by Lender ahail not be sufficient to pay taxes, ass~eicarnte, insurance
premiwne and ground renta ae they faU due, Borrower ehall pay to Lender any amount neceaeary to make up the deficiency within 30 days
from the date notice is mailed by Lend~ to Botrower requesting payment thereof.
Upon payment in full of all sums secured by this Mortgage, Lender ehaU prompQy refund to Eiorrower any [unds held by ixnder. If under
paragraph 18 hereof the Property ia sold or the Property is otherwise acquired by lender, i.eoder ahal) apply, ~o later thsn immediately prior
to the eale of the Property or its acquieition by Lender, any Funda held by l.ender at the dme of epplication aa a credit agaiuat the suma secured
by this Mortgage. ~
3_ Application of Paymeats. Unlese applicable law provides otherwiee, all paymenta received by Lender uncler the Note and
paragraphe 1 and 2 hereof ahall be applied by l.eader firat in payment of amounts payable to Lender by Borrower undet garagraph 2 hereof,
then to interest payable on the Nofe, then ta tfie principal of the Note, and then to intereat and principal on any Fut:er~ Advancea-
4. Charges: Liene. Borrowershall pay all taxes, assessme~ts and othercharges, f-nes and impositions attributablEt:•?he Property which
may attain a priority over this Mortgage, and teasehold payments or Kround rents, if any, in the manner provideci under pHr~aph 2 hereofor,
if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. BorrowershaU;,rorr+;.i:y ~urnish to Lender
all notices of amounts due under this paragraph, and in the event Borrower sfiall make payment dircetly, [3~rrowe: ~~~.l: c,r~:nptly furnish to
Lender receipts evidencing such payments. E3orrower shall promptly discharge any lien which has priority over t~:is ~41o::gage; provided, that
Borrower shall not be required W discharge any such lien so long as E3orrowershall agree in writing to the payment of tF~ ci~ligation secured by
such lien in a manner acceptable to ixnder, or shall in good faith rnntest such lien by, ordefend enforcement of such lie~~ in. i~al proceedings
which operate to prevent the enforcement of the lien ot for[eiture of the Property or any part thereoi.
5_ Nazard Inaurance. Borrow~er shal) keep the improvements now exiating or hereafter erected on the Property insut~ zgainst loss by
fire, hazards included within the term "extended coverage," and such other hazards as l.ender may require and in such amnur.ts and for auch
periods as Lender may require; pruvided, that l.ender sha{I not require tfiat tfie amount of auch coveraQe exceed that amount ~f rnverage
requ~red to pay the sums secured by this Mortgage.
The insurance carrier providinR the insuranm shall 1-e chosen by fiorrower subjeM to appro~•al by I.ender; provided, that !+uch approval
shaU not be unreasunably withheld. All premiums on insurancr p~.lic~rs shall be paid in the manner prorided under paragraph l hereof or, if
not paid in such manner, by E3orrower making payment, when due, directiy tu the insurance carrier.
All inaurance policies and renewais thereotshall be in form acceptable to I.ender and shall include a standard mortgage clause in favor of
and in form acceptableto Lender. t.ender shafl have the right to huld the Wlicies and renewals thereof, and &-rrower shali promptly (urniah to
i.ender ap renewal notices and all receipts of paid premiums_ In the event of loss, t3orruwer shali give prompt notice w the insurance carrier
and Lender. Lender may make proof of loss if not made promptly by f3orrower.
Unless I.ender and 13orrower otherwise agree in writing, insurance procerds ahall be applied to restoration or repair of the Property
damaged, provided such restoration ur mpair is econumically feasible and the srcurily of thia Mortgage ia not thereby impaired_ If such
reatoration or repair is not economically feasible or if the security o! this Mortga~e would be impaired, the insu~ance proceeds shat! be applied
to the aums aecured by this Morigage, wilh the ezcess, if any, paid W E3orrower. lf the Property ie abandoned by Borrower, or it f3~rrower faile to
respond to Ixnder within :i0 days from the date notice is mailed by I.ender to I3orrower that the insurance carrier ot~era to arttle a claim [or
insurance benefits, I.ender is authorized to coltect and apply the inaurancr prviceeds at Lender's option either to reatosation or repair of the
Pmperty or the auma secured by this Mortgage_
Unleae Lender and Rorrower otherwise agree in writing, any such application of proceeda to principal ahall not eatend or postpone thedue
date of the monthty installments referred to in paragraphs 1 and 21~ereof or change the amount of such instaliments. if under paragraph 18
hereof the Property is acquired by I.ender, all right, title and interest of Borrower in and w any inau~ance paliciea and in and to the psoceeds
thereof resulting from damaqe W Property prior to the sate or acqu~sition shall pass to Lender to the extent of the eume secured by thia
Mortgage immediately prior to such sale or acquiaition.
6. Preeervation and Maintenanceof Property; Leaseholda;Condominums; Planned Unit Developments. Borrowerahall keep
the Property in qaod repair and shall not commit waste or pertnit impairmenl or deterioration of the P*operty ar:d shall comply with the
provisiona ot any lease if this Mortgage is on a leasehold. If this Mortgage ia on a unit in a condominium or u plaoned unit development,
Barrower aha11 perform all of I3oTrower's obligationa under the declaration or covenanta creatinRor governi~g thec~er_.~ore~inium or planned
unit development, the by-lawa and regulationa of the condominium or planned nnit devel~pment, end cons~tuent dxumenta. if a
condominium or planned unit development rider is executed by f3orrower and recurded t~ether with thia Riuriga~ee, ihe covenante and
aqreemenis of such rider shall be incorporated intu and shall amend and supplement thecovenantx and agrcrmentsof thia liortgageas i[the
rider were a patt hereof.
7. Protection ot I.ender's 3ecurity. If Borrower faila to perform 4he oovenenta and agreements contained in thia Mortgage, ar it aoy
action or proceeding is commenced which materially affects l.ender 8 interest in the Property, including, but R~i ti~nited to, eininent domain,
ineolvency, oode enforcement, or arrangemenis or proceedinge involving a bankrupt or deceaeac, inen Lender ai I~nder i option,upon
notice W Borrower may make such appearances, dishurse euch sums and tske such action aa is necxesar~ Lu pr•~t~t.t :.ender's interat,
including, but not limited to., diebursement ot reasonable attorney a teea and entry upon the Properiy to makr repaile. ~i I.ender required
mortgage insurance ae a condition of maiung the loan secured by this Mortgage. Barrower ehaU Fay the preiai::ma rcqcared to maintaia
euch insurance in effect until such time as tht requirement for such ineurance terminates in accardance with iior_~.,~er s and Lrndels
written agreement or epplicable Lew. Borrower ahall pay the amount ot aQ morlgage inaurance p~emiuma en 2'tt~ ttia3ner ~+*ovided under
paragraph 2 hereof.
My amounts diabursed by I.ender persuant to thie ~arsgsaph 7, with interest there~,n, ghaU beeome eac~ipcmal iadrbtedneas ot
Bormwer secured by thia Mortgage. Unleas Borrower and Lender agree to othrr trrms ot pay~nen~ ~uch amour.ta ans~f i~ ~.ayable upon
notice from Lendet to Borrower requeeting payment thereof, and ahall bear interest from the date of d'uburaemPnt et the rste payable trom
time to time on outstanding principal under the Note uniesa payment of intereat at auch rate would be rnntrary W~pplicable law, in which
event such amounte shall bear interest at the highest raie permisaible under applicable law. Nothing coatained in this par~sgraph 7, shall
require Lender to incur any eapense or take any action hereunder.
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