HomeMy WebLinkAbout1399E3orrower and L.ende~ covenant end agree as follows:
1. Payment ot Principal and Interest. Borruwer aha11 promptly pay when due the principal of and intereat on the indebtednese
evidenced by the Note, prepayment and late chargee as prvvidrd in the Note, and the principal of and intereat o~ aoy Futu~e Advances secured
by this Mortgage.
2. Ftirtds for Taxee and Ineurance. Subject to applicable law or tu a writtrn waiver by Ixnder, E3orrowe~ shall pay to l.ender on the day
monthly inatallmenta of principal and intereat are payable under the Note, until the Note is paid in full, a sum Ihetein "h unds"1 equal to one-
twelfth of lhe yearly taxea and easesamenta which may attain priority over this MoRRage, and ~round rents on the Property, if any, plus one-
tNelfth of yearly premium installmenta for hazard insurance, plus onrtwelfth ofyearly premium inst:~llmente for murtgage inRUrance, if any,
all as reasonably estimated initially and from time to tin~e by I.ender on the basis of assessmentx and bills ~nd reasonable estima/rs thereof.
The ~~ds ehall be held in an inatitution the de{wsile or accounta ot which are insured or guaranteed by a Federkl or Stute agency
lincluding l.ender it l.ender ia such an institution). l.ender ahall apply the h'unda to pay said taxee, asaesamente, inaurance prrmiuma and
Ecround renta. l.ender may not charge for eo holding and applying the Funds, analyzing said account, or verifying and compiling yxid
asseaemente and bills, unleas Lender paye Borruwer intereat on the F unds and applicable law permits Lender to make auch a charge. Borruwer
and l.ender may agree in writing at the time of execution of thia Mortgage that interest on the Funds ahail be paid to Borrower, and unlese
euch ag~eement is made or applicable law reyuirra such interest to be paid, L,ender ahall not be required to pay 13orrower any intereet or
earninge on the Funds. Lender ehall give to Borwwer, without charge, an annual accounting of the F unds showing credita and debite to the
Funda and the purpoae for which each debit to the Funds w~s made. The Funds are pledqed as additional security for thr aums secured by this
Mortgege. ,
If the amount of the Funda held by I.ender, together with the future monthly installments of Funda payable prior to the due dates of taxee,
asaeasme~ta, insurance premiums and ground rents, ahali excred the amount required to pay aaid taxes, assesxments, insurance premiuma
xnd ground renis ae they fall due, such excess shal) br, at Bo~rower's option, e~ther promptly repaid to B~rrower or credited to E3orruwer on
monthly inatallments of Funda. !f the amount of the Funds held by l.ender shall not be sufficient tu pay taxea, aesexsments, insurance
premiume and ground renta as they fall due, Ru~wer shall pay to Ixnder any amount necexsary to make up the deficien~y within :iU days
from the date notice ia mailed bY Lender to Borrower requesting payment thereof.
Upon payment in full of all sums aecured by this Mortgage. Ixnder ahall promptly refund to F3orrower any (unds held by l.ender. ltunder
paragraph IS hereof the Property ia sold or the Property is otherwise acyuired by I.ender, l.ender shall apply, no later than immediately prior
tc the aale ot the Property or its acquisition by [.ender, any F unds held by l.ender at the time of application as a credit against the sums secured
by thie Mortgage.
3. Application of Paymenta. ~!nless applicable law provides otherw~se, alt payme~ts re~•eived by Lender under the Note and
paragrapha 1 and 2 hereof ahall be appiied by I.ender first in payment of amounts payable to [.ender by Borrower under paragraph 2 hereof,
then to interest payable on the Nute, then tu the principal ot the Ne~te, and then to interest and principa! o~ any Future Advances.
4. Chargea; Liens. Borruw•ershxil pay all taxrs, assrssments and uthrr charKes, fines and imp~~sitiuns attnbutable W the Property which
rnay attain a priority o~•er this MurtKa~;c, and lea~rhuld p.i~•mrnts ur Kround rents, if anp, in the m:~nner provided under parograph'l hereof or,
if not paid in such manner, by Borruv-•t~r mak~nK payment, u•hen dur, directly tu the pa>~ec• thrrr.~C Rorrow•er shall prumptly furnish ta I,ender
all notices of amour.~i due under thiti paraKr.iph, ~nd in the et~rnt I~orruwer shall make payment dire~~tiy, Rorruwer shall prumptly furnesh to
l.ender receipts r~•idencinK such paymen:s. f~~rruwer sh:~ll ptumptl}• d~scharE(r am• lien w•hich has priurity over th:s 1~1ortKaKe: pro~•ided. that
fiorr~wer shall not he rryu~red to discharKr any such lit•n .o lunK :~s fi~ ~rtuvct•r sh.ill ~i~;ree in wnt~nK tu the p.-yment uf the ubGKatiun secured by
.~~ch lien in a mannrr accept.iblr tu 1.•ndrr, ur shaU ~n ka~ci taith ~•nntest such hrn bp, ordefrnd enfurce>~n~•nt uf suc•h lirn ~n, IrKal procrr~lings
which operate to prevent the enforremrnt uf th~• I~en ur forfe•iturt• ~~f tht- I'n~{x•rt~• ~~r ;~m• part thrrtr~f.
5. Hazard 1 naurance. Kurrower shall krt•p th~• ~mpruvrments nuw• ex~+t~nK nr hereafter Prectrd on thr Proprrh• insurrd aK.iinst loss by
fire, hazards included within the t.•rm "extrndcd co~~rr:~Kr," and ~uch uthrr h:~u+rds as Ixnder ma>• rrquire :.nd in such amounts and for such
~eriods ~s l.endc•r m:i~• reyuirr: pn~~~idi~cl, that I~ ndt•r shall nut re•yuire that thr ~muunt uf such cYn•er:+Kr rxcrfrl that amuunt of coverage
rt~yuired to pa>• the sums srt•urt~c! b~• this ~turtK.iKe.
The insurance carrier pn~~•~din}; thr ~nsur.~n~~~• sh:~ll h~• i•hu.rn h~~ knrruw~~r,utr~er•t t~~:~ppn~~•:+I by (,c~ndrr, pr~n ~dt~i, that ,~ch appru~~al
~hall not t-e unrt•a~~~nahl~• w•~thhrld. All prern~ums ~m ~rsur.ui~ c p~~li~ ~r. shal! Ix~ p:u~1 in thr mann~~~,>T~,. „it~i ~~~i,•r p:~r.~~r.~ph Y hrrt~~f or, if
nut paid ~n such man~~er, hy 1i~~RUN'er makn~K p:it•ment. when du~•, dirr~•tlp b~ th~~ ~nsurance c~irn~~r.
All inaurance policies and renrw•al~ thrreuf shall I~e in form acceptable tu I.ender and shall include a standard mortgaKe c iause in favor of
and in form acceptable to I.endrr. [.rnder sh:~ll hai~•P thf• n~ht tn hnld lhr {~~hc~r~ and rrnt•w•:~Ic therc~~f, and R~rrru~aer shall prompth• furnish G~
~~ender all renrw•al nuticrs and all re~~eipts uf p:i~d premiums. In thr.~crnt of lu.., li~~rr~~wrr shall g~ce prun~pt nui~ce G~ the ~nsurance carrier
::nd I.er.der. l.ern~er map m:~ke pr«,f ~~f loss if nut madr prumpth• b}• Korrow~er.
l~'nlesa I,ender and F3orruwer otherwisr aKrrc• in wnt~nK, insuranct~ procreds shall be applied to restoratiun ~~r repair of thr Property
damaged, pru~-idcd such restor.iti~~n ur repai.- is ~•un~~mic.~lly fra,ible and the srcunty of ihis :1lortgaKe is not thereby imp:+irrd. If such
reatA~ration or repair is not ecunumicall~• lras~hle ~,r if th~• cfrunty uf th~s i lurtg:~Kr w~uuld be impaired, the insurance procecds shall be applied
to the sums secured by this ;~inrtKaKe, w•ith thr exi•r.s, if a~c, paid to Finrruw•er. If lhP :'ru~rtp is abandoned by Rnrruwer.or if li~~rrow~er fails tQ
re~pund to I.ender within :i1~ d:~~ s trum thr d:~te nuti~~c~ is ma~lFd b~ I.endrr tu I~~~rr~,N~er that the insurance camer offers to srtde a claim for
insurance benefits, I.ender is authuriziYl tn collw•t and apply th~• ~nsurance pr~~ceed~ at I.ender's uptiun rither to restoration or repair of the
Proper:y or the sums necured by this MuRKaKe. -
Unless lxnder and F3urtuwer ~~thrrwise aKre~ in wnUnK..iny such applicatiun of proc-erds to pnncipal shall nut extend or postpone thedue
date of the monthly ins::~!lmrnts referrrri to m par.iKra~~hs 1 and 'L hf~reof :~r ~•hanKe thr amuunt of surh inst~illmenta' If under parugraph !R
hereof the Property is acquired by~ la•nder, all riKht, title and interest nf Iturruw•er in and to any insur~nce pnlicies and in and to the procerds
thereof reaulting from damaKe to Prupe~rty pnur to the ,ale or acyu~sitiun shall p.iss to I,ender to t~e extent of the sums secured ~~• this
1~lortgage immediateh prior to such sale vr acqwsition.
6. Preeervation and 1'laintenanceof Property; lxast~holds;('ondominuma: Plenned Unit De~elopmente. E3~rrowershall keep
the Property in g«~d repair and ~hall not cummit w~a~tr ~~r ~rm~t impa~rmrnt or dFten~,rahun uf the Property and shall comply w~th the
procisions of any lease if this MurtKaKe ~s un a It•:isehnld. (f thic ~1urtKaKe ic ~~n a unit in a cundumin~um or a planned unit dev~•lopment,
Borrower shall pertorm all of Rorruwer'Q obliKat~~~ns undc•r tnr declaratiun or c~•vrnanls ~•rratin~;ur Ro~•ermng thecondominium or planned
unit development, the by-laws and reKulaUuns of the cundominium or planned unit develnpment, and conatituent documents. If a
condominium or pianned un~t drvrlupmrnt ridrr is t'7(fY'UIf'lI F~~' RORUN'er .Ifld ~fY'1/i(~/YI IOF(F[flPf w~i.h this MortRaKe, the covenants and
.iKrrements of such rider shal~ l~e inr„rp~,ratt~J ~nt~~ an~1 .h:~ll amc•nd and wppleme•nt th~~~-u~~rn.~n~~ and ay~reementsof th~s ~tortKaKe as if the
ridc•r were a part herrof.
7. Protection of Lender'e Security. If Korrower fa~ls to pertorm the n~venants and agreementa contained in thie Mortgage, or if any
action or proceeding ie commenced wh~ch materially a:lecte l.ender's intereat in the Property, including, but not limited to, eminent domain,
ineolvency, code enforcement, or arrangemente or procePriinge ~nvolving a bankrupt or decedent, then Lender at Lender'e eption,upon
notice to Borrower may make euch appearancee, disburae euch auma and take auch action ae ie nereaaary to protect Lender'e interest,
including, but not limited to, diabureement of reaeonable attorney's fees and entry upon the Property t~ make repaire. If Lender required
mortgage ineurance ae a condition of making the loan aecured by ihea Mortgage, Borrower ahall pay the premiuma required to maintain
euch ineurance in eftect until euch time as the requireme~t for euch ineurance terminatea m accordance v~nth Borrower'e and I.ender's
written agreement or applicable l.aw. Borr~~wer ehall pay the amount of all mortgage inaurance premiume in the manner provided under
paragraph `L hereof.
Any amounla diebursed by Lender pereuant to thie paragraph 7, with intereet thercr~n, ehaU become additional indebtedneae of
E3orrower eecured by thie Mortgage. Unlesa 13errower and I.ender agree to other terme of payment, auch amounte ehali be payable upon
notice from Lender to E3orn,wer requeating payment thereof, and ahatl bear interest from the date of diebarsement at the ratc payable from
time to time on outatanding prirtcipal under the Note unleac+ payment of intereat at such rate would be contrary to applicable law, in which
event euch amounte ehall bear intereet at the higheet rate permiss~ble under applicable law. Nothing contained in thie pardgraph 7, shall
require I.ender to incur any expense or take any acti_~n hereunder.
~~j'~~351 j~~GE1395