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Home My WebLink About0945 Borrower a~d Lender covenant and agree as followr 1. Psyme~t o! Pcincipa! and l~terest. Bormwer shall promptly pay when due the princi~al of and interest on the indebtedneM evidenad by the Note, prepayment and late charges as provided in the Note, and the principal of and i~terest on any Future Advancee secured by this Mortgage. 2. blu~ds torTa=es and Insurance. Subject to appiicable law or to a written waiver by L.ender, Borrowershall pay tol.enderon theday monthly inatallmenta of principal and i~tereat are payable under the Note, uotil the Note is paid in full, a aum (herein "Funds") equal to one twelRh of the yearly tanee and aeaesamenta which may attain p~ority over this Mortgage, and ground renta on the Properly, if any, plus o~t twelfth of yearly premium inataltmenta tor hazard insurance, plus onetwelfth oiyearly premium inatallments !or mortgage insurance, itany. all as reaeonably eatimated initially and from time to tirr~e by l.ender on the basis of assessmenta and billa and reasonable estimates thereol. The Funda shall be held in an inatitution the deposite or accounta of which are inaured or guaranteed by a Federa! or State agency (including I,ender if I,ender is such an institution). Lender shaU apply the Funda to pay said taxea, aaseasmenta, inaurance premiums and ground renta. L.ender may not charge for so holding and applying the Funde, analyzing said account, or veritying and rnmpiling eaid aseeasmente and billa, u~less Lender paye Borrower interest on the Funda and applicable law permits Lender to make euch a charge. Borrower and Lender may agree in writing a! the time of execution of this Mortgaqe that interest on the Funda ahall be paid to Borrower. and unleas such agreement is made or applicable law requires such intereat to be paid, Lender ahall not be required to pay Borrower any interest or earninga on the Phnds. Lender shall give to Borrower. without charge, an annual accounting of the Funde ahowing credite and debits to the Funda and the purpoee for which each debit to the ~nds vyas made. The Funds are pledged as additional aecurity for the auma eecured by this Mortgage. If the amount of the fl~nde held by Lender, together wilh lhe future monthly inetallments of Funda payable prior to the due datea of tauts, asaeasments, ineurance premiuma and ground rents, shaU excred the amount required W pay said taxee, aesessmenta, inaurance premiume and ground renfa as they fall due, auch excesa ahall be, at E3o~TOwei s option, either promptly repaid to Borrower or credited to Bonoweron monthly installmente of ~nde. If the amount of the Funde held by I.ender ahall not be sufficient to pay taxea, asseasmente, ineurance premiume and ground rente ae they fall due, Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice ie mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all auma ~ured by this Mortgage, l.ender shall promptly refund to Borrower any funds held by Lender. If under paragreph 18 hereot the Property ia sold or the Property is otherwise acquired by Le~der, I.ender ahal l apply, no later than immediately prior to the sale af the Property or its aequisition by Lender, any Funds held by Lender at the time of application as a credit against the auma eecared by this Mortgage. 3. Application of Paymenta. Unless applicable law provides otherwise, all paymenta received by l,ender under the Note and paragrapha 1 and 2 hereof shall be applied by [.ender first in payment of amovnta payable to l.ender by Borrower under paragraph 2 hereof. then to intereat payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advanoea. 4. Chargea; Liens. Borrowershall pay all taxes, assessments and other rharges, fines and impositions attributable to the Property whi+ch may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, iri the manner provided under paragraph 2hereofor, if not paid in such manner, by Borrower making payment, when due, directiy to the payee thereoL Bormwer shall promptly furnish to Lender all notices of amounis due under this paragraph, and in the event Borrower shall make payrnent directiy, Borrower shall promptly furnish to [.ender receipts evidencing such paymenL4. E3orrower shall prompily discharge any lien which has priority over this Mortgage; provided, that ~ Borrower ahall not be required todischarge any such lien so long as E3orrowershall agree in writing to the payment of theobligation secured by such lien in a manner acceptable to Ixnder, or shall in Rood faith contest such lien by, or defend enforcement of such lien in, legal proceedinge which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. 5. Hazard Insurance. Borrower shall keep the impmvements now existing or bereaftererected on the Property inaured againatlose by fire, hazards included within the term "extended mverage," and such other hazards as i,ender may require and in such amounts and for auch periods as Lender may require; provided, that [.ender shall not require that the amount of such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage. The insurance carrier pro~~iding the insurance shall t?r chosen by R~~rrower subject to appro~~al by l.ender; pmvided, that such approval ~ shall not be unreasonably a•ithheld. All premiums on insurance p~~licirs shall l~e paid in the manner provided under paraqraph 2 hereof or, if i not paid in such manner, by E3orrower making p:~yment, when due, dire~e•th• to the insurance carrier. ~ All inaurance policies and renewals thereof shall be in form acceptable to l.ender and shall include a standard mortgage clause in favorof and in form acceptable to Lender. I.ender shall have the right to hold the policies and renewals thereof, and E3orrower ahall promptly turniah to ; i.ender all renewal notices and all receipts ot paid premiums. In the ever~t of loss, Korrower shall give prompt notice to the insurance carrier ' and Lender. Lender may make proof of loss if not made promptty by BorroK•er. ° Unleas Lender and Borrower otherwise a in writin insurance rocee~i: shall be a I~ed to restoration or re air ot the Pro rt ~ BT'~ K. P PP P P~ Y ~ damaged, provided such restoration or repair is econumically fe5sible and the~secunty ot this Mortgage ia not thereby impaired. If auch j restoration or repair is not economically feasible or if the security~ of this MortgaKe would be impaired, the insurance proceeds aha11 be applied j to the aums secured by this Mortgage, with the excess, if any, paid to Rorrower. lf the Yroperty is abandoned by Borrower, or if Borrower taila to reapond to l.ender within 30 days from the date notice is mailed by I.ender to E3orrower that the insurance carrier offers to settle a claim for ~ ineurance benefits, Lender is authorized to cullect and apply the insurance proceecfs at l.ender's option either to restoration or repair of the ~ Property or the sums secured by this MortRaQe. = Unlese Lender and E3orrower otherwise agree in w•ritinK, any such appliration of pr«•eeds to principal ahall not extend or postpone thedue ~ date ot the monthly installments referred to in paraKraphs 1 and 2 hereof or change the amount of auch installments. If under paragraph 18 's hereof the Property is aequired by I.ender, all right, title and interest ot F3ormwer in and to any insurance policies and in and to the proceeda ~ thereof reaulting from damage to Property prior to the sale or acyu~sition shall pass to I.ender to the extent of the sums secured by this ~ Atortgage immediately prior to such sale or acquisition. ; 6. Preeervation and Maintenancc of Property; I.easeholds; Condominums; Ylanned Unit Developmente. Bonowerahall keep ; the Property in good repair and shall not commit wasle or permit impairment or deterioration of the Property and shal) comply with the ~ proviaions of any lease if this Mortgage is on a leasehold. If this hlurtgaKe is on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration or covenants creatinKor governing the condominium or planned ~ unit development, the by-laws and regulations of the condominium or planned unit development, and conatituent documents. If a ~ condominium or planned unil development rider is executed by Borrower :~nd recorded toKether with this Mortgage, the rnvenanta and ~ agreements of such rider shall be incurporated into and shal I amend and supplement the cuvenants and agreements oCthia Mortgage as i[the ~ rider were a part hereuf. T. Protection of Lender'e Security. If Borrower faile to perform the eovenante and agreementa contained in this Morigage, or if any ~ action or proceeding ie commenced which materially affecte Lender'e intereat in the Property, including, but not limited to, eminent domain, g insolvency, oode enforcement, or arrangemente or proceedinga involving a bankrupt or decedent, then Lender at I.ender's option,upon = notice to Borrower may make such appearancee, diaburee euch aume and take euch action ae is neceaeary to protect Lendei s interest, i including, but not l~mited to, diebareement of reasonable attorney's fees and entry upon the Property to make repairs. If I.enda required ~ mortgage ineurance ae a condition of making the luan aecured by this Mortgage, Borruwer ehall pay the premiums required to maintain auch ineu~ance in efiect until auch time as the requirement for such ineurance terminatee in accordance with Borrowei s and Lender e ~ written agreement or applicable I.aw. Bormwer ahall pay the amount of all mortgage inaurance premiuma in the manner provided under paragraph 2 hereof. Any amounte dieburaed by Lender perauant to thie paragraph 7, with interest thereon, ahall become additiona! indeM~ednees of ! Borrower aecured by thie Mortgage. Unleae Borrower and I.ender agree to other terma of payment, auch amounte shall be payable upon ~ notice from L,ender to Borrower requeating payment thereof, and s~. all bear interest from the date of dieburaement at the rate payeble trom time to time on outetanding principal under the Note unleas payment of intereat at auch rate would be oontrary to applicable law, in whic6 ~ event euch amounta ehal) bear intereat at the highest rate permisaible under applicable law. Nothing contained in this paragraph 7. shall ~ require Lender to incur any expense or take any aMion hereunder. ' s~'- t~~° ~ E . . - ao~x~55 ~~cE 945 e } ~ . ~ 3 . ~ >~~'i~,.~~s~,~ _ - ~