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HomeMy WebLinkAbout1545Borro~rsr and Lender oove~u~t and a~res u tolbrw: 1. Pq+meat o! Priacipal and laten~~ Borrower ~haU promptly My whee due the principal o! and interest on the indebeednew evidenced by the Note. prepayment and I~ta ch~es ss provided in the Note. and the principal of and interat o~ any Fluture Advancee ~ecused by thu Mort~~e. 2. i~nd~ for Tue~ and Ia~ur~nce. 3ubject to ~pplicable law or to a written wsiver by Lender. Borrower shall pqy to L.ender on the day mo~thly installme~b ot principal and intc~eat aro pe~yable under the Note. unW the Note is paid in tuil, a sum (hereia "~nd~") equal w ons twelfth of the yea~ty taxes and asseasments which may attain p~iority over thie Mortgage, and ground rents on the Property. itany. plus ons twelRh olyearly premium inatallments for hatard inaureu~ce, plus on~twelfth olyearly premium i~stallments for mortga~e insurance. if any. all as reasonably estimated initially and fmm time to time by I.e~der on the basis of assessmenta and bills and reasonable estimatRS thereof. 'Ilie P1-nd~ shal! be heW ia an in~titution the deposits o: accounts oi which are insured or guaranteed by a Federal or State a~ency (including I.ender if l.ender ia such an uutitution). I.ender shali epply the Fundi to pay said laxes, assessmenta, insurance premiums and ground nnt~. Leader may not charge for w holdinQ and applying the ~nds, anslyzinQ said accoun~ or verifying and compiling ssid asse~emepts and biU~. unie~s Lender pay~ Borrower intereet on the flinda and applicable law permita Lendu to make such a char~e. Bocrower and I.euder mny agree in writing at the time ot execution ot this Mortgage that intere~t on the ~-nds ~ha11 be paid to Borrower. and unlew ~uch agrcement is made or applicable law requires such interest b be paid, Lender shall not be required to pay Borrowet any interest os earnings on the F~nds. l.ender ihall give to Borrower, without charge, an annual accounting of the Funds showing c~edits and debits b the Funds and the purpose for which each debit to the I~`~nds was made. The Fu~ds are ptedged aa additional security for the sume secured by thi~ Mortgage. If the amount of the F~nds held by Lender, together with the future monthly installmente of Funds payable prior to the duedates of ta~cn. assessments. ineuranee premiu~a and gmund rents, shall eacaed the amount rcquired to pay eaid taxea. siaeaaments. insurance pnmiums and ground nnls as they fall due, auch ezoas ahall be, at Borrower's option. cither piompUy repaid W Borrower or cndited to Borrower on monthly insfaUmente o! F~nds. If the amount of the Funds held by Lender ahall not be sufficient to pay ta:d, assessmenLs, inautance premiums and ground nnts as they fall due, Borrower shail pay to Lender any amount neceasary to make up the deficiency within 30 day~ from the date notice ia mailed by Lender to Borrowrr requeating payment thefeof. Upon payment in full of aU sua~s secured by thia Mortgege, Lender shall promptly nfund to Borrower any tunds held by Lender. If under paragreph 18 hereof the Property ie sold or the Property is otherwiee acquired by Lender, I.ender shall apply, no latcr than immediately prior to the sale of the Property or ita acquisition by Lender, any F~unds held by Lender at the time of applicatio~ as a credit against the aums secured by thia Mortgage. 3. Application ot Payments. Unleas applicable law providea otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof ahall be applied by Lender first in payment of amounta payable to Lender by Borrower under paragraph 2 hereof. then to intereat payable on the Note, then to the principal of ihe Note, and then to interest and principal on any Future Advancxs. ~. Charges; Liena. Borrower shall pay all taxea, assesaments and other charges, Snes and impasitions attributable Lo the Property whicfi may attain a priority over this Mortgage, and leasehold paymenta or ground rents, if any, in the manner provided under paragraph Z hereofor, if not paid in auch manner, by Borrower making payment, when due, directiy to the payee thereot Borrowershall prompdy fumiah to Lender all notices oi amounts due under this paragraph, and in the event tiorrower shall make payment directly, Borrower ahall promptly furnieh to [.ender receipts evidencing such paymente. Borrower shall promptiy discharge any lien which has prio~ity over this Mortgage; p~ovided.that Borrower shal) not be required todischarge any such lien so long as Borrower shall agree in writing to the payment of thpobligation secured by such lien in a manner acceptabte to Lender, or shall in good [aith contest such lien by, ordefend enforceme~t of such lien in, legal proceedings which operate to prevent the enforcertent of the lien or forfeitum of the Property or any part thereot. 5. Hazard Inaurance. Borro.ver ahall keep the improvements now exiating or hereafter erec~ted on the Property inaured against laea by fire, hazarda included within the term "extended coverege," and auch other hazards ae I.ender may require and in auch amounta and forauch periods as Lender may require; provided, that l.ender ahali not require Ihat the amount of euch eoverage exceed that amount of coverage required to pay the sums secured by this Mortgage. The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by I.ender; pmvided, that such approval shall not be unreasonably withheld. All prefiiums on insurance pa{icies shall be paid in tfie manner provided under paragraph 2 hereof or, if not paid in such manner, by F3orrower making payment, when due, directly to the insurance carrier_ All insurance policies and renewals thereof shall be in form acceptable to Lenderand ahall include a atandard mortgage clauae in favorof and in torm acceptabie to l.ender. l.ender aha11 have the right to hold the policies and mnewals thereof, and Borrower shall promptly furniah to i.ender all renewal notices and all receipts of paid premiuma. (n the evec-t of loss. Borwwer ahall give prompt notice b the inaurance carrier and [.ender. Lender may make proof of loss if not made promptly by Borrower. Unlesa Lender and Borrower otherwiee aRree in writing, insurance proceeds ahall be applied W restoration or repair of the Property damaged, provided such reatoratyon or repair ia econamically feasible and the aecurity of thie Mortgage ia not thereby impaired. If such reetoration or rnpair is not economically leasible or if the aecurity of this Morigage would be impaired, the inaurance proceeda shall be applied to the auma secured by this Morigage, with the eacess, if any, paid to Borrower. Itthe Property ia abandoned by Borrower, or if Borrower feils to respond to i.ender within 30 days frum the date notice ia mailed by l.ender to Borrower that the ineurance tarrier of'fere to aettle a claim for ineurance 6enefite, Lende~ is authorized to collect and apply the insurance proceeds at [.ender s optiot~ either to restoration or rnpair of the Property or the suma secured by this Mortgage_ Unless I.ender and Eiorrower otherwise agree in writing, any such applicat~on of prooeeds to principal shall not extend or poetpone the due dste of the monthly installmenta referred to in paragraphs 1 and 2 tureof or change the amount o[such inatallments. If under paragraph 18 hereo! the Property is aequired by Lender, all right, title and interest o[ Bonower in and to any insurance policies and in and to the procceds thereof resulting from damage to Property prior W the aale or acquisition shall pass to I.ender to the extent ot the auma secured by thia Mortgage immediately prior to euch eale or aoquisition. 6~ Preservstion and Maintennnce of Property; Leasehofds; Condominums; Planned Unit Developments. Borrowerahall keep lhe Property in good repair and ahal) not commit waste or permit impairment or deterioration ot the Property and shall rnmply with the proviaions of any lease if this Mortgage is on a leasehold. If this Morigage ia on a unit in a rnndominium or a planned unit development, E3orrower sha11 perfotm sit of Borrower'a obligationa under the declaration or covenanta creatingor govrrning the rnndominium or planned unit development, the by-lawa and regulatione of the condominium or planned unit development, and rnnstituent documente. if a condominium or planned unit develapment rider is ezecuted by Rorrower and recorded together with this Mortgage, the oovenante and agreements of auch rider ahal) be incorporated into and shall amend and supplement the rnvenanta and agreementa of thia Mortgage as i[the rider were a part hereof. 7. Protection ot Lender's 3ecurity. It Borrower fails to perform the c~ovenanes and agreements cootained in this Moctgage, or if any action or proceeding is rnmmenced which meterially aftects L.ender's intereat in the Properey, including, but not limited to, eoninent domain. insolvency, oode enforo~nent, or arrangementa or proceedings involving a baniwpt or deoedent, then I.ender at Lender s option,apon notice to Borrower may malce such appearanc:cs, disburse such siuns and take ruch action as is neoe~sary to protect Lender's interat, including, but not limited to, diabursement of reasonable attorney's fees and entry npon the Property to make repain. If Lendet tequired mortgage insurance as a condition of making the loan secured by this Mortgage, Bormwer shal) pay the premiuma required to maintain ench insurance in eftect until such time as the requirement ior such insuranoe terminates in accordance with Borrower's and [.mdd~ written agreement or applicable Law. Borrower ahall pay the amount o[ a1l mortgage insarance premiums in the mann~ provided nnda paragraph 2 hereof. My amounts disbureed by Lender persuant to thia paragraph T, with intereat thereon, shall beoome additional indebtednew of Borrower secured by this Mortgage. Unless Botrower and Lender agree W other terms of peymen~ such amounts shail be payabk npoa notice firom Lender to Borrower requesting payment thereof, and shall bear intereat En~m the date of d'ubursement at the rate payabk ho~a time to time on outstanding principal under the Note unless payment of interest at such rate would be contrary to aDDlicable law. in which event such amounte sha11 bear intereat at the highest rate permiwible undrr applicable 1aw. Nothing contained in thiu paragraph 7, ahall require Lender to incur any eupense or talce sny sction hereunder. ~~~~348 PAGE1545 ~ . . . s ~ _ - __ _ -~~~ _~:~ ~ __ . t :~~~;~:.~ _~ y _-. .~