HomeMy WebLinkAbout2972tioROwe~ and Lende~ covenaot and agree as folluws:
1. Paytnent ot Principel and Interest. E3orrower shall promptly pay whrn due the principal of aod inirreat on the indrbtednexe
evidenced by the Note, prepayment and late cha~ges a8 providrd in the Note, and the principal uland intereeton any Future Advancea secu~ed
by this Mortgage.
2. Funde for Te:es and Inewance. Subject to applicublr law or 1u a writtrn waiver by I.ender, Burruwrr ahall puy to I.rnder un the day
monthly inatallmeote of ptincipal and interest are payable under the Note, until the Note ia paid in fuil, a sum Iherein "F unde"1 equal to une
~Welfth o[the yearly taxea and asaesamente which may attnin pnority over thia Murtgage, and ground renta on the Yruperiy, if any, plua one
twelfth of yearly premium inatallments !or hazard insurance, plusunetwelfth otyearly p~emium inatallmrnta for mortgage insurs~nce, if any,
all aa reaeonably eatimated initially und from time to tiR~e by I xndrr on the busis of asse_sxments and bills and reawnable rstimates thereof.
The flrnds shaU be held in an inatitution the de~wsits or accounts o( which are insured or guaruntred by a Federal or State agency
lincluding l.ender if l.ender ie auch an inetitution). [.ender ahall apply the Funda to pay nuid taxea, ~e~sesements, insurunce prrmiums and
qround rents. Lender may not cha~ge for eo holding and applying the Funda, unalyz~ng said account, or verifying a~d compil~ng aaid
aeaeeaments and bille, unlese Lender pays Borrower i~tereat un the Funda und applicable law permits l.endrr to make euch a charge. Borrow er
and I.ender may agree in writing at the time of execution o[ thia Mortgage that intereat on the Funds ahall be paid to l3orrower, and unleae
such agreement ia made or applicable law requires auch interrat w be puid, l.ender ahall not be reyuired lo pay E3orrower any intereat or
earnings on the F~nda. Lender ehall give to Borruwer, without charge, an annual accounting of the F unds showing credits and debite to the
Funde and the purpose [or which each debit to the Funds was ms~de. The Funds are pledged as additionai security for the sums scrured by thie
Mortgage.
If the amount of the F unda held by l.ender, together w~th the futurr monthly inatailmentx of Funds payable priur to thr due datea o[taxee,
asaeasmente, inaurance premiums and ground renta, ahall excred the amount requirrd to pay said taxea, ae~sresments, insurance premiums
and ground renta as they fall due, surh excesn shall be, at I3orrower's uption, either promptly repaid to I3orrower or credited to $orrower on
monthly inatallmenta of Funde. 1f the amount of the ~ unds held by l.ender shall not be sufficient to pay taxea, asaeasmenta, insurance
premiume and ground renta as they fall due. Borrower shall pay to l.ender any amount necessary to make up the deftciency within :30 daye
from the date notice is mailed bv Lender k~ Fio~row~er rrquest~nK payment thereof.
Upon payment in full of all aums aecured by this MortgaKe, l.ender ahail promptly refund to Borirower any funds held by I.ender. If under
paragraph 18 hereof the Property is sold or the Property is otherwise acyuirrd by I,ender, l~nder shall apply, no later than immediately prior
to the eale of the Properiy or its acquisitiun by l.ender, a~y Funds hrld by t.ender at the time of application ~s a credit aga~nst the sums secured
by thie Morigage.
3. Application ot Paymenta. Unless applicable law pn,~•ides uthPrvvise, .ill payments received by I.ender under the Note and
paragraphe 1 and 2 hereof ahall be applied by l.ender fir:it in payment of amounts p~yable to I,ender by E3orruwer under paragraph 2 hereof,
then to intereat payable on the Note, then to the principal of the Nutr, and then to intereat and pnncipal on any F uture Advancea.
4. Chargee; Liens. Borro~+er shall p:iy all taxrs, assi•ssmenGs and nth~•r~•har~;es, finrs and imW~s~tiuns attributablr w the Property which
may attain a priority over this MortK.iKr, and le•asehuld paytnrnts or xruund rents, if any, in the mannPr pruvided under p:~ragraph'L hereof or,
if not paid in such manner, by Rorrower m;~kinK paymi•nt, w•he~n dur, d~rectly to the p:iyre thrrr~~f Kurr+~wrr.h.~ll prumptly furnish to I.rnder
aii notices of amounts due under this p:~ra~;r.-ph. :+nd in the e•ve•nt 13urruw•rr shc~ll makE• p:~~•mrnt direK•tly. liurr~~w~er sh;~ll promptly furnish to
I.ender receipts evideni•inK such p.i~•mt•~ets. li~~rruw•er sh.~ll prutnptly discharK~• an~~ I~en w•hii~h has pri~~rity ucrr this MortKaKr: pro~•ided, that
Rorrower shall not be reywrwl tu disch:+rKr am~ such I~rre su lun~ .1~ RuRuK'er shal! aKrec• in w•nt~nK tu th~• pa~•mrnt nf thr ~~b1iK:iti~~n secured by
such lien in a mannrr acceptahle tu Lendrr, ~~r sh.~ll in Ku~~ faith c~~nte~~t wch Gen b}•, ~~rdtd~•nd enfurcrm~~nt uf wc•h I~rn ~n. Ir~;.il prurre~iings
u•hich operate to prevent the ~•nfurcemrnt uf the I~rn or furfr~tur~~ ~~f tht• PrupE•rty ur :~n~~ part thc~r~~~f.
5. Hazard Insurance. Korrow•rr shall kecp the impruvert:i•nt+ nuw~ ex~st~nK ur h~•reafter ~•rre•trd un tht~ F'ruperty intiured uKainst loss by
fire, haZards includrd w•ithin the terni "extr•ndtY1 cu~•er:~Ke.° anci surh utht•r h:izards as Ixnder ma>• rryuirr and ~n euch amounts und (ur such
Ex•riods :lR l.endrr may re~~uirt•; pro~•idc,i. th:+t Lend~~r ~hall nnt rrywrr th:~t the amuunt uf tiu~•h n,cer.~Ke ~x~~rt~c1 theit ~imuunt of coveraKe
rrquired to p:~}~ the sums tiF•cur~~ci h~• th~s ~1~~rtKaKf•.
'I'he insurance camrr pn~cidinK tht• ~nvur:~n~~t• ,h:~ll h~• ~~h~..~•n fn fiurr~~w~e~r xub~evt lu:~ppru~.il b~• Iw•nd~•r. pn~~~~d~•d, that surh appru~•al
shall not be unrrasunably w•~thhrld. All pn•mium. ~~n in.ur:~n~~r p„h~~u•.,h:~ll tx• p:u~i ~n eht• mann~•< <,~~~.•~~i,.i U„~i,•r p,~r.~Kraph'L herfrifor, if
nut paid in such manner. M• Fi~~rruwer m:~k~n~; p:~cm~•nt. ~+•h~•n ~1ur. Jin~~ th tn th~• ~n~ur:-nce~ r:~rrit•r
All insurance poGcirs and rrnewals there~~f tihall t~• in fnrm ac~•eptablF• U~ 1.~•nder and shall ~ncludr a standard murtgaKecl.~use in favorof
and in form acceptable tn I.ender. (.rnder.hall haae thf• n~;ht t~~ hnld ttit• p~~l~~~u•s and r~•nrw.ilc there~~f, and fi~~rrow•er ~hall promptly furnish t~~
i.ender all renewal nut~cr~ and a!1 rrce-ptc uf patd prrrn~um~ In th~• r~~r~et uf I~~.s, Iiurn~K•E~r sh:-II K~~•e prompt nutic~• !v the intiur:~nce c~:irrier
and I,ender. t.ender may make pr~H,f ~~f los~ ~f n~rt madr prumptly b~• It~~rruvcrr.
C`nless (.ender and }3~~rruwer othrrwis~• :~Kn~c• ~n wnt~nti, insur:+ncc~ pr~x•rr~~s shall ix• appl~rd tu resturateun ~~r repair uf the F'roperty
aa~aged, pra~id~d sn. h resi:.r,iti„n „r rt•p:+~r ~s rcun~~mir:~ll~• f~:i.ibl~> and ihF sr~ urity~ ~~f this 11r.rtKaKr iti n~d lhereby impa~red. If such
rrstoration or mp~ir is not c~unumirali}• G•:~s~}d~• ~~r if thE~ s~~c~unh~ uf this ~1~eriKaKr wuuld t~ ~mpaired, the insurance pnx~rcds shall beapplied
to the sums secured by th~s MortK:~Kr, w~th thr ~•xi rs., ~f :~ny~, paid t~~ li~~rr„w•.•r- If thF~ I'rupc•rty is ab.indone~d bp Rorrower, or if fi~~rrower fails to
re~pund to I.ender with~n :i~~ da~ ti fmm the dat~~ n~~ti~•r ~~ m:ult,i b~• l.~~nder t~~ Korruwi•r that thr insurance camer offPrs to setde a claim for
~nsurance benefits, I.ender is :iuth~~n~e~! tu ~~~,ll~•~ t:~nff apph~ the• msur+n~~r pr~K-reds at 1,~•nder'~ ~~pt~~~n either to restorauon ur repa~r of the
Property or the sums secured by th~~ ~1urtK:~Kr.
Unless Ixnder and &muwrr uthrrw~~sf• aKre•r tn w•nt~nK, ant' sui~h applicat~un uf pr~x•rrdstu pnncipal shall notextend or p~atpone thedue
date of the monthly~ inst:~llmen~~ rt•frrr~d t~~ in p:~r.~Kraph. 1:~nd'~ hrrrnf ur ~•hanKr thr :~mount ~rf such installmf~nts. If under paragr~ph 1H
herer~f the Property is arquireil bp I.ender. :+11 nKht, utlr :~nd inte~rc•st r~f li~~rruwe•r in and tu any ~nsurance p,lic•ies and in and to the pr~x•eeds
thereof resulting frum damaKe tn Yroperty pnur tu the salc• ~~r .i~•yui.~tiun sh:1l~ ~JSS ~O I.rnder to the extent of the sums secured br• this
Mortgage immediately prior to such yale or acyws~t~un
6. Preaervation and Neintrnance of Property; lxatiehulds; ('ondominums; Planned l`nit 1)evelopmente. }~,rruw•er vhall keep
the F'roperty in Kood repair and shall nut cumm~t wa.te ur pc•rm~t ~mp:nrmt•nt ur drteriurat~on of the Property and shall nrmply ~+~th the
provisions of anV leaRe if th~5 ;11urtKage i~ un :~ Irasrhnld if thi~ ~1urtKaKt• ~~ nn a unit in a condum~nium or a plannrd unit development,
tiorrower ahall perform :~11 of R~~rr~~w•er's +~bliKat~~~ns undrr thr ~ltriaraUun ~~r ~~~cenant. ~ rratin~; ur Ku~•ern~nK the conduminium ur planned
unit development, the hV-~:3K'S and rrKulat~~~n~ of th~ ~•undomimum or plannrcl un~t de~•elupment, .~nd cunstituent documente. If a
cundominium or plannc~ un~l dr~•rlupmrnt rider i~ rxeruted bp Fi~,rrnw~•r .+nd n~-urdr~l tuKether w~th this MortgaKe, the covenants and
aKrerments of such nder shall br in~ ~~rp~~rat~•d ~nt~~ :~nri .h:~ll am~•nd :~nd supplr~n~•nt tht• i•~nrn.intti and aKrrrmrnts nf th~s 11urtKaKr:~s if the
nder were a part hereof. ~
7. Protection of Lender'e Security. If Korruwer faila to perfurm the cv~venante and aRreemente contained in thie Mortgage, or if any
action or proceeding ie commenced which materially affecte I.ender's intereat in the I'roperty, including, but not tim~ted to, eminent domain,
ineolvency, code enforcement, or arrangementa or proceedings ~nvolving a bankrupt or decedent, then Lender at Lender'e opqon,upon
notice to Bormwer may make euch appearancee, diaburee euch aume and take auch action ae ie necessary to protect l.ender's interest,
including, but not limited to, diebureement of reaaonable attorney's [eee and entry upun the Yroperty to make repaire. If I.ender required
mortgage ineurance as a condition of making the loan secured by thia MortgaQe, E3orrower ahall pay the premiuma required to maintain
auch ineurance in effect until euch time as the requirement for Auch ineurance terminatee in accurdance with Borrower'e and Lender's
written agreement or applicable I.aw. Borrower shall pay thN amount of all mortKaKe in~surance premiume in the manner provided under
paragraph 'l hereol.
Any amounte diebursed by [.ender pereuant tc~ thie par:igraph 7, with interrat thrre~~n, ahall i~ecome additional indebtednese of
E3orrower eecured by thie Mortgage. Unlese F3orrower and I.ender agree to r~ther terme of payment, auch amounte ehaU be payable upon
r.otice from l.ender to Borrower requeating payment therer~f, and ehall bear intereat f.-om the date of diebureement at the rate payable from
time to time on outetanding principai under the Note unlra9 paymrnt ot ~ntereat at such rate would t-e contrary to applicable law, in which
event euch amountn ehall bear intereat at the h~ghest rate pertnie~aible under applicable law. Noth~ng contained in thie paragraph 7, ahall
require I,ender to incur any expenae or take any acti~-n hereunder.
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