HomeMy WebLinkAbout0903ttorruwe~ and l.ender covenant and agree as [ollowa:
I. Payment ot Principal and lntereet. E3orrower shall promptly pay when due the principal of and interrst un the indebtednesa
evidenced by the Note, prepayment and latechargea uaprovided in the Note, and the principal of and intereaton t~ny Future Advuncea secu~ed
by thie Mortgage.
2. Funda for Taxes and Insurancr. Sub}ect to applicable 1;-w or tn ~ written ti•ait~cr by l.ender, liurrc,H•er sh:sll p:-y :o Lenc3er un :hc day
monthly installments of principal and interest are payable under the hulr, until thP Nutr is paid in full, a~um Ihc~ein "h'unds"1 equ~~l tu onc-
twelfth of the yearty t:ixes and aasessments which mny att.~in priurity uver this Mortgage, and KrounJ rcnt+ on the 1'ruperty, if any, plus on~
t~•eifth of yearly premeum installments for haz:~rd insuranm, plus un~ tvvelRh of pcarly premium ~nstallnti~•nts fur murtKuKe insur:~nce, if a~ny,
:~II :~v reusonably estimated initiaUy and frum timr to time by I.ender un !he basis of ussc~sment~ and bilis and reasonabir estimates therec~f.
The ~Lnda shall be held in an inatitutiun the depoaita or accounl.s uf which are insurc~cl ur Kuaranteed by a Federai or titnte aKrncy
i~ncluding I.ender if I.ender is such an institution). l.ender shall apply the Funds to p,iy tiaid tuxes, ussrssmentu, insurance prrmiums and
Kround rents. I.ender may not charge for ao holding and applying the Funds, analyzinR said account, ur verifyinK :~nd coropiling said
.~ssessments and bills, unless l.ender pays Borrower intcrest on the Funds zind appiicable law permits I.ender to make such a charge. Bortuwer
and Gender may agree in writing at the time of execution of this Mortg.+Ke that interest on the Funds shuU t-c paid tu Burruwer, and unleas
yuch agreement ia made or applicable law requires auch interest to be paid. Ixnder shail) nnt ~~r reyuired W p~ty liorruwer uny interest or
~•arninge on the Funda. l.ender ehall gi~~e to B~rmwer, without charKe, .in annu.~1 accounting of the Funds showing crcdits and debits G~ the
h'unda and the purpose for which each debit to the F unds wa~ made. The Funds are pledgrcf us additiun.~l security for the sum4 secured by thie
~lortgage-
If the amount of the N unda held by 1~ender, loKether v-•ith the luture mnnthly inst.illments of Funds payable prior to the due d:~trs of taxes,
.+ssessments, insurance premiums and ground rents, sh:~ll exc,~c~d the amuunl r~uirF~c1 io pay s~id taxes, assessments, insurance prrmiuma
and ground rents us they fall due, such excess shal) be, at E3~nTONer's option, either promptly rep.-id to Rorrow•er or crrdiled to Borruwer on
monthly installments of Funds. If the amount of the F unds held by Ik nder shall not t-e sufficic•nt to puy t:ixes, asseasmrnts, insurance
premiuma and ground rents as they fall due, Born~w•er shall pay tn I.ender an}• amuur.t necessary to m:~ke up.thedeficienc~y v~•ithin 30days
frum the date notice is mailed by I.ender to t3unow•er ri•quc~Nr~K paymf•nt ther~r~f.
Upon payment in fuD of all sums secured by this hlurtKaKe, I.ender shall prumptly refund to Ii~~rruN•er .~ny funds held by (.ender. If under
puragraph 18 hereof the Ymperty is sold or the F'roperty ic ~~therwise acyuircYl by l.ender, ! A~nder tih~~ll apply, no later than immc~ciiately prior
t~~ the sale of the Property orits acyuisition by Ixnder, .+ny Funds held b~• i.rnder at the timf• nf applicatiun as.~ credit a~;ainst the sums scrured
t~g thia Mo~age.
3. Application ot Yaymenta. lJnless applicable law pruvidFS utherw~~e, all payments recei~~ed hy I~nder under the Note and
p~~ragrt~phs 1 and `L hereof shall be applied by l.eoder first in p:~ymrnt of amuun4ti payable tu I.rndt•r by Rurruwer under paragraph Z hereof,
ther~ to interest payable on the Note, then to the principal uf thf~ \ute, :~nd then to interetit .ind princi~-al un :~ny Future Advancrs.
4. Charges: I.iens. Rnrn,w•ershall pay:ill taxe~v, :isst•.sment. and ~~thrr~•h:~r~cs, finE•.:md i~n~H~siUnns attrihutahle tu the 1'ruperty w•hich
m;-y attain a priurit>• o~•er thic MurtKay;e, and I~:+sehuld p.+}•mrnis ur ~;ruu nd n•nt., if an ~•, in thi~ manner pruvi~lt~ under para~,~:iph'l here~,f or.
~f not paid in such manner, b~ Norrow~•r rn.ikin~; pa~•m~~nt. whi~n dur. ~1in•ctl~• t~~ th~• payky tht•rr~d. liurr~~~~~~r ~hall prumpth• furnishtu Lender
~Il notice~ uf amuuntc due under thiz para~raph, and ~n lhr ~•~~~nl lturr~~N•i•r shall nt:+ki• p:-ymi•nt din•i•tlt•. Iiorr~H•~~r ~h:~li pn~mptl>• furnish t~~
(.f•nder receipts e~•idencinK vuch pa>•ment.. IG,rruw•er shalt pnnnptly dis~~har~;F~ an}• 1i~•n w~hii•h h:~. prinritc ~~~ E•rthi~ ~l~~rt~;:ik~~: pn~~•id~d. that
tturrowershall nut berequirtdtod~.i•har~e:~n~~ wch I~t•:i sulun~;:i. f3~~rru~+•~~rsh:~ll :i~;re~~• tn ~a•ritinR t~~ (hep:~ynu•nt ~~fthi•~~hli~;atiun scYUrrd by
.uch lien in a manner acceptabla• tu L~•ndi~r. ~~r shall in ~;u~Ni f:~ith ~•~~ntr:t ~u.•h lirn h~~. ~~rd~~f~~r.d i•nfun e~m~•nt ~~f.u~•h h~•n ~n. l~•~;al pr~N•r~YlinKs
uhi~•h orwrafv t~~ nrveant Ihr ~•nfnrrNmrnf uf th.• i~.•~~ ur f~~rf.•~tu~.• ~~f th~• F'rnn~•rtv nr :~nc nart th~•n+~f
5. Hazard Insurancr. Itorn~c.~er tihall kiyp thc impru~-~~nu~nts nuw~ ~~xist~nk ur h~•rr:~fti~r rrt~•ted ~~n tht• 1'ru~x~rt}• in~urc~1 a~ainst lnss b}•
fire, hazurds inrludec! within the tt•rtn "rxt~~nd~ti1 ruv~•r:i~;~•.~~ and wi•h oth~•r h:v:~rd. a~ Lendi•r m:+}• rryuirt• and in surh :-m~~urts and for su~h
;~sriods as l.euder m.~y n•yu~rr; pr~~~~idal, th.~t Li~ndc•r .h:~ll n~~t ri•yuin• th:~t thr :imuunt ~~f ~u~~h iti~~~~•ra~;~~ rxi•e~eK1 that am~~unt of c~~ceraKe
rtY~uired to pa~• the ~um. ~t•cunY1 6>• th~~ ~1urt~;a~;~•
"The insurance carrirr pn~c~d~ny; th~• ~n,ur:~n~ r.hnll hi~ ~~h~~:rn h}• ii~,m~~-e.r.uh~~•~ t t~, :ippr~~~:~) h~• L~•n~i~•r. {in~~~~~i~•d. th:~t .u~~h appru~~a!
~h:~l{ not Ix unrt•a~~~nabh• w•ithh~dd rV! prrnuuu~s ~~n u~sur.,n~ r p~~lu~i~::.h:ill h~• ~~:uci tin .h~• ~n:~nn~•r pr~~ ~d~•~! un~i~•r p:~e:~~;r:~ph'! hrrt~~f ~~r, if
n~~t paid in such m:-nn~•r. h} f{~~rru~ci~r ~n.~k~n~; p.~}~~ne•nt. ~vh~•n ~1~~•. din~~•tl~ !~, th~• inxur.ui~•~~ ~•:+rn~•r
All insurance pulicies and r~new'als t:tereuf ~hall be in f~~nn .ir~•~•pt:~61~• t~~ I~•ndt•ran~i ~h:~ll in~~ludt~:~.tand:~r~1 mortK.+Ke cl.iuse i~ fa~•orof
:+nd in form accrptahle tu I~•nder- I.rndi•rshall h:+~•f~ th~• ri~iit u~ h~dd th~• pnli~ ~~•.and n•nrw:~l<the•rr~~C.:~nd tinm,wer sh.il) pr~impti~• furni~h tu
~ ~•nder all renrwal :-otic•es and a!1 r~•~~~~~pt. nf p:ud prr~nium~ Ir. th~~ ~•~~.•~~t ~~f 1~~~~. Ii~~rr~~~•t•r .hall ~;~~•~~ pn~mpt nuh~r tu thl• insurancr c.irtier
:~nd I.ender. I.ender may mak~~ pr~N~f nf lus~ if n~~t inad~• pr~~~npth• !n I~~~rruw~•r
(~nless I.ender and I~~rrower othc~rv!•is~• a~;rre in w•r!Ln~;. insur.u~ct• pru~ ~•~•d~ .haU IH• applii•d tu r~•sturation ~}r repair of thf• Propc•rty
damaged, pro~~ded such resturatiun ur rrp:+ir ix ~•c~~n~~rni~•:~11~~ feas~hlr :~nd thr .~Y•unty ~~f thi~ 11r~rt~a~~ iv nnt tht~rt•by impaimd. If such
r~•tiwration or repair is ~ot Pcunum~c:illy~ G•a~~id~~ ~~r ~f thr s~•~•urit~• uf th~s ~lurtKaKru~nul~i bc~ i:npaired, thr insuran~•e pnK•et~ds ~hall ~~eapplicd
a, the sums secured h~• th~s :1t~~rt~;a~;t•. K~ith th~• F•x~•~•.., if :+n.~. {r:+id t~. !t~ ~rr~ ~w e~r. 1 f the• f'r~~p~~rt~- ~s :~b;ind~~neci 6y~ Rnrr~~wer, or if li~~rrow~er f.iils to
rc~;pond to I.ender vvithin :i~~ days fn~m [ht~ ~1ati~ n~~hi~F~ ~x m:u1~.1 b~• 1~~ndrr t~~ F{nrn~Nrr that th~• insurance c:~rrier offt•r~ t~, setdr :~ claim f~~r
insurance benefits. l.ender is :-uthuntttil tn ~•nllr~•1 and applc tht• ~si.urun~•~• pr~~~~•e•~!s at (~•nd~~r's ~~4it~nn either tu rc•st~~ration ~rr mpair uf the
E'roperty or the sums securecl hy thi. ~1nrtK+~K~•
Unless I~ender and f3~~rn~H~er nthf•rw•ise .~~;m~• ~n w~ritink,:~m~ surh:~ppl~raUun n(prircrt•ds tu pnncipal shall nut exte~d or p~~stp+ine thedue
date of the monthly installmenL~ rrfrrre~d u~ in par.~~;raph~ 1:tincl ~~ >~r•n~~d ~~r chanR~~ th~• am~,unt ~rf such installmrnt.. If under par.~Kriph 1K
hereof the Property is acquirrd bt• I,~~nder. :-II riKht, t~tle und int~•rt•st ~~f Fturruwrr ir.:ind t~~ an~ insur.-nce ~dici~•~ and in and t~~ the prucerds
thereof resultinK fr~~m dumaKr to Prupertt• pri~~r tu thr .:ilr ~~r a~•yuisitiun sh:~U p:i~~ tu 1~•ndrr tu the extent ~~f tht~ sums scrured by this
~lurtgaKe immediately prior tu such s..lc• or acyuiviti~~n.
6. Preaervation and Maintenancc•of Propert~•: lxa,t~hulds;('ondominums; Planned l'nit I)rvelopmentq. Korrow-ershall keep
the E'ra~erty in K~x~d rep.iir and shall not comrnil w~a.tt• ~~r p~•r~n~t nnpairmrnt ur de•trrinrati~~n ~rf the Pn~~•rt>~ and shall ~•~~mp{~• w•ith the
F)rll~•ISInOti Q~ an~ lease if thiti 11urtKak~~ is un a 1~•a.i•h~~id. If thi~ ~1nrt~:~~;~• ~~ ~m a unit in a c~~nd~~minium or a pl:~nnrd unit de~~elopment.
Korrow•er shall perform all of 3~~~nuwrr~s ~~hiiK:+tiims un~le•r tht• diK~l:ir:~ti~m ~v ~•nvrnants ~ n:~un~;~~rKu~~rrmn{; thf•conduminium or planned
unit de~•elupment, the bt•-I:iK'ti ar.d rrKul.,iiuns i~f tht• ~•~md~~min~um i~r plann~rl unrt dr~•rlnpmE~nt. :~nd con~tituent d~xument:~. If a
~•~~ndominium or pl.+nn~d unit ~le•crlnpmt•nt ridt~r ~~ f'XPl'U1fYI II~' I~/~R~~N"Pf ;~nd n•~•~~rd~•d t~~~;t•tht•r u•~th this ~1nrtKaKe. the rnven.~nts and
.~Krc~«~ment~ uf su~ h ridi~r shaU hc~ ~n~,~rpnr.rti~d ~nt~~ am! .h:ifl vmrnd :~mi ~up~dr~nrnt the~rnt~n:~nt~:~nd:i~;re~~mrnts~rf this ~tnrt~;:+~;t~asif the
nuer H•ere a part here~~f.
7. Protection of Lender's Serurity. If Borr~~x~er faily t~. ~rfomi thr cti~venanl,g and .~Kreemen~v con!ained in thie Mortgage, or if any
action ur proceeding is commenced w•hich materially affec•tr; t.ender's interePt in the Pruperty, including, but not limited to, eminent domain,
iniu>lvency, code enforcement, or arranqementx nr pmceedinKa invul~~inK a bankrupt ur decedent, then I.ender at I.ender'e option,upon
notice to Borrower may make auch appearancee, disburxe auch yume and take yuch action as ie neceesary to protect [.ender'e intereet,
induding, but not iimited to, diebursement of reaeun.+ble attorney'e feet+ and entry upon the Yroperty to make repaire. If I.ender required
mortgage insurance aF a condition ~~f makinR the loan yecur~~ }~}• this 11nrtKaKe, Korruwer ghall pa~• the premiume required to maintain
euch inaurance in effect until euch time as the rcK~wrement for such insurance terminateA in accordance with Borrower's and (.endei s
w~ritten agreement or applicable law~. $orrow•er ahall pa+y thF• amuant nf all murtKaKe inaurunce premi~ma ~n the mannpr pravided under
paragraph 2 hereof.
Any amounts diabursed by l.ender persuant to this para~raph ~, with ~ntert~st therevn, r;h:ill become additional indebtedneae of
tiorrower aecured by thia Morty~aKe. Unleae Korrow•er f+nd (.ender aKree tn uther terms of payment, yuch amuunta ehall be payable apon
notice hom l.ender to Borr~uer requeatinK payment thereof, ar.d ehall be.ir intereAt frnm the date of dieburtwment at the rate payabie from
:ime to time un outi+tandinq principal under the t~ote unles.4 payment ~~f intereQt at such rate would be rnntrarv to applicable law, in which
event auch amounts Hhall bear intereat at the hiKhest rate permiwyiMP undrr applicahle law. tiuthir~c rnntained in thia paraKraph 7, shall
reguire (.ender tn incur any expense or take any action hPreunder.
~~ox351 ~acF ~Q~