HomeMy WebLinkAbout2601fiorrawer and I.ender covenant and a~ree ~s follows:
1. f'ayment of f'rincipal and lntereet. Rurrawer shall promptly pay when due the pnncipal uf and intereat on thr indebtednexs
evidenced by the Note, prepayment and latecharges ~a pn,vidc~i in the Note, and the pnnripal of and i~~terest on any F uture Advancea aecured
by thia Mortgage.
2. Funde for Taxes and InaurancY. tiubject to upplic.~ble law or tc~ n writtrn waivrr by l.ender, fi~~rrc~wer ahall pay tu l.ender u~ the day
monthly installmentH of prencipal and interest are payable under the Niite, until the NotP is paid m fuU, a sum (hercin "F unda°- er~u~l to onP
twelfth oi the yrarly taxes and asseasments which mt~y at2ain priunty uvrr !t-is hlorig.~tie, and ~uunJ renGc on the 1'roperty, if any, plus une
twelRh of yearly psrmium installmrnts for hazard ~nsuroncr, plus ont-twelfth uf yearly prrmium ~nst.iliments for mortgag~ insurance, if uny,
all as rr;-sunahly rstimatecl initiaily und frum time tu tin~r by t xnder un the basis uf asx~:tismrnt~ ~ind b~lls and reasun.ible rstimatrs thereof.
The Funds shall be held in nn institutiun the depusits ur accounGs uf which t~re insured or guaranteed by a Ftderal or State agency
iiocluding l.ender if I.e~der iR such an institution). l~ender shall apply thr Funds to puy xaid taxes, assessments, insurance premiume and
gruund renta. I.ender may not charge for eo hold~ng and applyinK -he Funds, analyzing suid account, or verifyinK xnd compiling said
asae=usme~ts and biils, unlesa l.ender pays Borrower interest on thr Funds:~nd applicable law permitx I.ender tu muke such a charge. Borruwer
and l.ender may agree in writing at the time of executiun ~~f thia MortK.~Ke that intcrest on the F unds shall be paid to Burrower, and unlesa
auch agrerment is :nade or applicable !aw req~~ires such interrst to be paid, I.rnder shall nut t,e reyuired to pay F3orrower any interest or
rarninge on the F unds. l.ender ahall Qivr to Born~wer, w~tho~t charge. an annuxl acc•ountinK of the F unds showinK crrdits and debita to the
Fu~ds and the purpoKe for which earh debit u~ the Funds was made. The Funds are pledKec! as additiunal security for the aume secured by thie
MortK~tge.
If the amount of the Funds hetd hy l.ender, tuKether with the futun• monthiy inst:illments uf F unds payable pr.ar to the duedates of taxea,
aseessments, ~naurancr premiums and gr~,und rrn~s, shaU rxcre~cl the amu~nt reyuired to p~y s~i~1 taxeF, ~ssrssments, insurance premiuma
:~nd gruund rents as they fall due, such excess shul) be, Tt E3uirowrr's option, either prumptly repaid to Borruwer ~r credited to Borrower on
monthly installmenta o( Funds. If the amuunt of the F unds held b~• l.ender shall not be sufficient to pay taxPa, assessments, insurance
premiums and grou~d rents as they fall due, Rurrower shall p:-y to I.ender any amuunt n~•essary to make up thedrficiency v~~ithin :i0days
from the date notice is mailed b>• I.~•nder to Fiurtuwrr n~yuest~nK payment thert~,f.
Upon puyment in full of all sums secured by this MortKuKe, l.eoder shall promptly refund to fi~erruwe: any tunds held by Ixnder. If under
pxragraph 1R hereof the Pr~perty is suld ur the F'ruperty is uther..•ise xcyuirc-d by (.ender, i.~ndrr sh:+ll apply, no later than immediately prior
tu the sale of the Propertv or its acquisitiun by IA~ndrr, anti• Funds held by I.~•nder at thr time nf appliration as a credit aKainst the sums secured
by this Mortgage.
3. Application ot Paymenls. l'nless applic.~ble law pru~•ides uthrrw~~se, all F:-ymrnts nreived b~• I,ender under the Note and
paragrapha 1 anJ 2 hereof shall be applied by l,ender first in p.iymE•nt ~~f amuunGti payahle to t,endrr by Korruw•er under paragraph 2 hereof,
then to interest payable on the Note, then tu the princip:~l ~~f thP \~~tr, and then to ~ntrrect and principal on any Future Ad ~ances.
4. CharRt~; Liens. }~o; ruwrr shall p;~~• all t.+xr~. a.~~~s.m~•iits and ~~tht•r ~~h.ir~;e•c. ~inrs .ind imputiuium attnl:utable to the Property which
ma~• auain a priorih• ~~~~er this \turtK:~Ke•.,~nd 1~•.~.~•hr~ld p:~}•mrnts ur kruund r~•nts, if anr. ~n tht• manne~ pru.•~dec1 under paragraph'lhereofor,
~f nut paid in su~•h manner, b~• Rum~wrr mak~:i~; p:»~m~~nt, whe•n dur. d~nY•tly t~~ th~• p:n•~~• thi•rer,f li~~rre>w•f•r vh.ill prumptly fomish to [.ender
,+II noticr~ nf ,imuunts dut~ undrr thiti p;ua~raErh. :~nd ~n th~• rvrnt l;~~rn~vci•r •h;~ll mak~• p.~~~m~~nt ~isn•ctl~~. 1{~~rru~~•r sh:-I) prumptiy furnish lo
Lendrr reY~e~pts e~viden~~~n~; .w•h p:i~ mc•nt. IA~rr~:~,•e~r chall pn~~nptlc ~i~.~•h,~rk~• :+na li~•n w•tuch h:~. pnunt~~ u~ ~•r th~s \1urt~aKr. pruvidrd, that
F3(IRI~K'f'I tiFlall n~H hr re~~uvrd tu d~~~~l~ar~;t• anc w~~h 1~+•n .~~ lun~ :~. f~~~n~ ~w~~~r .h:~ll :~y;r~•c• ~n w~ntiri~ t~~ thr pa~~rnt•nt ~~f the nbliK,ition secured by
wch lirn ~n .i m:~nnrr a~•crpt:~hl~• t~~ L~•ndf•r, ~~r sti:~li ~n ~;~~~~~i f:~ith r~~ntr~t .u~~h h~•n h~. ~~r~j~•f~•n~1 i•nf~~rc~•mrnt~~f su~•h I~t~n ~n. Ir~;al pn~cetdinKs
u•hich operate t~r pre~•t•nt tl~r ~•nCurce•me•nt ~rC th~• l~rn ~~r furfr~tun• ~~f tl~r 1'rnprrty ~~r :~n~• p:~rt thrn~~f
:~. Nazxrd Insurance. Korn~wNr sh:~U kE•~•p thr ~mpr~~~•rnu~nl~ m~w ~~x~stin~; ur he•rr•afte~r c~rerted on th~• I'roprrly ~nsurc~ aK:iinstlos,g by
tire, hazards inrludt•d w•ith~n thr tf~rm "rxte•nd~~c1 i•uvrrake•,~~ and such uthrr h:~zard~ ;+s l.rndt~r m.iy rt~yuire and in such amounts and forsueh
prriud. :~S Ler?~Irr ma~~ rrywrr. pn~~ ul~~1, th;~t L~•nd~•r .hali n~~t rrqu~n• ttiat the• amnunt ~~f such ~•uve•r:eKr ex~•rtvi that amuunt of coveraKe
rcr~wrf*~ tu pac tht• ~um~ vc~•ureti~ h~ [hi~ ~~urt~:~K+•
The insuranrr r:irn~•r pn~~ ~d~n~ thr in~ur.~nrr ..h:~ll h~~ ~ h~~.~•~: I~~ fi~~r•~~ti~rr whJ~~~ t t~~ appruc.~l h~~ le•n~1~•r. pr~~vt~1~•d, th:~i such appruc:~l
;hall n~~t i~r unt~ :~.~~n.~hh N ~thhrl~! :~ll pn•mtum~ ~~n ~n..ur.~nr~• p~,in ~~•..t~.~l! i~.~ ~~,ud in th~• ~nnnn~•r pnn ide~d undrr pa+rakraph '' hFnr~f ur.~f
n~~t p:~i~i in sui•h mannt•r. bc fiU~~~NYf Ill:1~I[1~ ~/.I17111•Il(. N IlPTI ~lu~• ~tin~~ th t~~ th~• ~n.ur:~n~•e• ~.~rnt~r
All insurance p~~hi~~f•s and re•n~•w:~3. tut•r~•~~f,h~~ll h~• ~n f~~rm :~~•ct•pt;~l~lr tn l,e~ndf~r:~nd shali ~netudi•:i st:~ndcud murtK,-Keciausein fa~~orof
and in form i1CCfPI~ible tr~ 1~•ndi•r I.~~ndrr.h.~ll h.~vr thr n~;ht :u h~~ld th~• p~~h~ u•. and re.n~•wal. thrrc•~~L und iiurrr.r~ershall pn~mptly furnish tn
i.rnder all rrnrv~•al nr~uce~ aind all re~~e•~pt. ~~f pa~~1 ~irF•m~u~n~ !n th~• ~•vr~~t ~~: I~~~s. K~~rr~~ur•r sh.ill k~~r ~rumpt nuhcc• u~ thF• in.uranre ~arrier
and I.ender. I.ender ma}~ makr pr~~~f r~f l~~.s if n~~t made• prumptl}• h}• fi~~rruKt•r
[.'nless I.endrr and li~,rn~wrr UC}1PfN'j11' :~Kff'f' 1^ w•r.t~nK. insur.~ncr pru~•i•~~ds shaU tk• appLed tu rf•sturatiun or rep:-ir of tne F'roperty
~iamakrd, pruridcd ~u~~ti rrstnr:~ti~m ~~r n•p:ur ~. r~ ~~n~nnu~ally fi:~.~bl~• and tht• st~~~unty ~rt this tiL~rtKa~e is nut thrrrbt• impaired. If such
rrsG~ration ~~r r~•p.+ir ~. n~~t Fv~ununu~~:~li•: f~•:~vhl~• ~~nf thr .w•unt}• ~~f th~s ~iurtK:~Kr w~~ulri trecnp:i~rrd, thrinsuranrc•pr~~crc~clsshall i-eapplicY3
tu thesum~ ~ec•ured h~~ th~.lli~rtk:1`;Y. N'7211 (`iY1•\~ ~'>~ ~f :~n~. paul t~~ fi~~-i~rtvt•r I(t}~r I'r~~p~•rt} is ahandnnerl ~ry finrr~~wc~r.~~rif li~~rru~~er faiisto
respond tu I.Fnder w~thin :tii d:~~• fr~~rn ch~• d.~tF• n~~tu~.• is m:t~i~-~i h~• I~•nd~•r u~ fii~rr~~NV•r that th~• ~n~urancr camrt offrr. tu sritle a claim for
intiurance }rc~nefit~. I~~ndF•r :s auth~~ni~~! t~~ ~+~Il~, t and :~pE~l~ th~• ~muranc~• pr~H~~•ed~ at I~ ndrr'~ ~rpt~~m r~ther to restoratiun ur rt~pair nf the
!'roperty or the sums ,rcurev~ t;~• thi. \1urt~;.i~;~~
l,'nless l.ende.• and IG~r. ~~w-e•r ~~th~~rw :~~~ a~; r~•r ~n w~ru~n~;.:~n ~~u~•h apph~ atinn -,f pr~~crrds tu pnncin:il sh:ill not extend or p~stpone thedue
date of the monthl~ intitallmrnt~ n~fe•n~•d tn ~n p:~r.~~;r.~ptt. i;+nd 'L hrrru(~~r ~~hanK~• th~~ amnunt ~rf such tnstal{mrnts. If under paraKraph lb
hereof the Pn~perty~ is acyuirrd b} [.e•nd~•r, atl nKht. tttlr :,nd int~~rt•st ~~f IiurrnH~i•r in .ind tn an~• ins~rance E~r)icie~s and in and to the proceeds
there~~f resultinK fn~m damxKP t~r Yr=~prrt}• pnnr tu tht~ s;~l~• ~~r .+~•yw~~tiun shall p:~ss tu l.c•ndrr tu the extent of the sums securcd b~• this
~toRKaKe immediately pnor to su~h sa1~• ~~r a~•yuisitinn.
5. Mreser~•ation and 1laintc•nanct•of Yruperty: Lea+~•hold~:('anduminums; 1'lenne•d l'nit 1)evelopmentt~. Rorrower;hall keep
the Pruprrty~ in K~NNI re•pair and-~hail nut c•ummit wa.t~~ ~~r prrrnit ~mp:urm~•nt ~~r de•tF•nnrat~~~n ~~f the PruE~r~rt} and shall cumpi~• w~th the
pru~•is~~~ns uf :~ny leasc• ~f t6~~ ~i~~rt~;:iKc• ~s ~~n :+ !~•a~:•h~~ld if th~s ~i~~rt~;:~~;t• i. :~n a unit in a i•nnd~~m~nium ~~r .~ plannrd unit deveiopment,
fturruw•er shall perform :~II nf (iurruwe~r~s ~~trliy;at~~~n~ un~le•r thr~ dtti•lar:iti~m nr <-~~~rnaint~ ~ rratin~ur ~u~•ern~nK thecondominium nr pianned
unit decelupment, the hy-I.+w~c and r~•KulaU„n~ ~~( th~• r~~n~i~~ininium ~~r pl.innt~~ unit drerl~~pmetri. :~nd cnnstituent ducuments. If a
~•undum~n~um nr pl:~nn~•d un~t d~•v.•I~~{rim•nt ndrr i. ~•xr~~ut~•d h} li~~rn~~at•r .+nd r~n ~~rdrd t~~~t~t-it•r with th~s M~~rtgaKe, the n~venantu and
aKn•t•nu~nls ~~f ~uch ndrr ~h:~ll tk~ in~ ~~rp~rr.~tr~1 lnt~~:~s~~~ .h;~ll :~~r,~•n~1 :u,~l .uppl~•!n~•nt th~•r~~~~•n:uit. ar.da~;r~•F•i~ic~nts~~fth~s ~1ortKaKeasifthe
ndrr w•t•rf• a part hrreuf.
7. f'roteMion ot Lender'e SPCUrity. If I3o: r„w•er [aiiv t~~ perlurm th~~ cti~vt~nantA and aKrermentx contained ~n this MoRgage, or if any
actiun or proceeding ea commenced which materialh• affectu l.ender'e+ interest in the I'ruperty, including, but not limited to, erninent domain,
ins~~ivency, rnde enforcement, or arrangemente nr pnherdinKs ~nvolvinR e bankrupt or decedent, then'l.ender at I.ender'e option,upun
notice to Borrower may make euch appearancee, disburRe euch aume and take auch,action ae ie- neceasary to protect I.ender's intereet,
including, but not iimitpd to, diebureement of :easr~nable attorney'H trea and entry upon the Property to make repaire. If Lender required
mortgage ineurance as a condition of making thP loan yecured by th~s MortKaKe, Rc~rrower sha!I pay t:~e premiume required to maintain
~uch ineurance in effect until euch t~me aA the reyuiremrnt fnr auch inRUrance tesminatea in accor~lance vvith Borrower'e and I.ender e
written agreement or applicable l.aw Borrow•er ahall pa~• tht• am~~um of all m•~rtKaKe ~nsurance premiume ~n the maaner provided under
paragraph 'l hereof.
Any amnunte dieburard by t.ender pereuant lii th~s paragraph 7, with intereet therron, ahall become additional indebtedneee of
Kurtower aecured by thie MortKaKe. l'nlesa Rorruwer and [.ender aKree to other terma uf payment, such amounta ahall be payable upon
notice from I.ender tn Bormwer requeating payment thermf, and ahall bear interent from the datr of diaburaement at the rate payable from
time to lime un outetandinQ principal under thr Nute un:eas payment of intereet at such r~te would t-e conttary to applicable law, in which
even2 auch amoun~q ahall bear intereat at the hiRheat rate perm~sa~bie undPr applicable law. Nuthing contatned in this paragraph 7, ehall
requ~re l.ender U~ ~ncur any expense or take any activn hereunder.
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