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HomeMy WebLinkAbout2525Bormwer er~d Lender rnvenant and aQree a~ [oUowc 1. Paymeat ot Priacipwl wnd Interest. Borrower shall promptly pay when due t!-e principal of and intereat on the indebted~esa evidenced by the Note. prepayment and late charges as provided i~ the Note. and the pri~cipal of and inteceat on a~y ~Lture Advances stcured by thu Most~a~e. 2. I~Lnds tor Teuce~ a~d Insura~ce. Subjcct to applicable law or to a written waiver by Lende~, Borrower ehall pay to l.ender on the day monthly installments of principal and intereat are payable u~der the Note. until the Note is paid in fuU. a aum (herein "Funds") equal to one- twelRh of the yearly taxes and aseea8me~ts which may attai~ priority ove~ this Mortgage, and ground re~ts on the Property, itany, plus ont twelRh of yearly premium instellmenta for hazard inaurance, plus onelwelfth o[yearly prcmium inatallmenta [or mortgage insurance, i(any. all ae reasonably estimated initially and from time to tiR~e by l.ender on the baais of aseesamenta and bills and rnaaonable estimatea thereof. The Fltnda ahall be held in an inatitution the deposits or accounts of which are i~eured or guaranteed by a Fede~al or State agency (including Lender if Lender is such an institution). Lender shall apply the Funda to pay said texea, aaseaemeots, insurance premiuma and ground renb. Lender may not chary~e tor so holding and applying the Funda, anelyzing eaid account, or verifying and compiling said aesessmente and bills, u~less Lender pays Borrower intereat on the Funda and applicable law permits [,ender to make auch a charge. Borrower and Lender may agree in writing et the time of executio~ ot thia Mortgage that interest on the Funds ahall be paid to Borrower, end unlees auch agreement is made or applicable law requires such intereat to be paid, l,ender ahall not be required to pay Borrower any interest or eamings on the I~Lnde. Lender shall give to Borrower, without charge, an annual ~ccounting of the Funde ahowing credita and debita to the Funda and the purpoee for which each debit b the Funde was mede. The Funds are pledged as additional security for the aume secured by this Mortgage. . , If the amount of the ~Lnda held by Lender, together with the future monthly inetaUmenta of Funds payable prior to the due datee of tauea, assesements, inaurance premiuma snd ground renta, shall excaed the amount required to pay said taxes, asaesaments, ineurance premiums and ground rente as they tall due. euch exceas ahall be, at Bo~rower'a option, either promptly repaid to Borrower or credited to Borrower on monthly inatallments oi ~nds. If the amount of the Funda held by Lender shall not be sufficient to pay taxee, aseeeaments, inaurance premiums and ground rente as they fall due, Borrower shall pay to Lender any amount neceasary to make up the deficiency within 30 daya from the date notice is mailed by I.ender to Borrower requesting payment thereof. ~ Upon payment in full of all sume eecured by thie Mortgage, I.ender ahall promptly refund to Borrower any tunda held by Lender. If under paragraph 18 hereof the Prope~ty ia eold or the Property is otherwise acquired by Lender, l.ender shaU apFly, nu late~ than immediately prior to the sale o! the Property or ite acquiaition by Lender, any Funds held by Lender at the time of application as a credit againat the auma secured by this Morfgage. 3. Application of Payments. Unlese applicable law provides otherwiee, all payments received by Lender under the Note and paregraphs 1 and 2 6ereof ahall be applied by [.ender firnt i~ payment otamounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances_ 4. Chargee; Liene. Borrowershall pay all taxes, assessmenls and other charges, fines and impositions attributable to the Property which may attain a priorityoverthis Mortgage, and leasehold paymentsorgn-und rents, ifany, in themanner provided underparagraph 2hereofor, if not paid in auch manner, by Borrawer making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to [.ender all notices of amounts due under this paraRraph, and in the event Born-wer shall make payment directly, Bormwer shall promptly furnish to Lender receipts evidencing such payments. I3orrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required todischarge any such lien so long as f3~~rrower shall agree in writing to the pay ment of theobligation secured by such lien in a manner acceptable to Ixnder, or shall in gcwd faith cuntest such lien by, or defend enformment of such lien in, legal proceedings which operate to prnvent the enforcement of the lien or forfeiture of the P~operty or any pan thereof. ~ 5. Hazard Inaurance. Borrower shall keep the improvements nuw existing or hereafter erected on the Property insured against loss by fire, hazards included within the term "extended cu~•erage," and such ofher hazards as l.ender may require and in such amounts and for auch perioda as Lender may require; providcd, that Ixnder shall not require that the amount ot such coverage exceed that pmaunt otcove~age required to pay the sums secured by. this MortQage. The insurance carrier pmvidinK the insurance shall t-e chusen by Rorrow•er subject to approval by Ixnder, pmvided, that such approval shaU'not be unreasonably wifhheld. All premium~ on insuramr p~~licic~ shall be pa~d in the mannrr pmvided under paraQraph 'l hereof or, if not paid in such manner, by F~rrower makinK pay mrnt, when due, directly tu the insurance carrier. All inaurance policies and renewala thereof shall be in [orm acceptable to l.ender and shall include a standard mortgageclauae in favorot and in form acceptable to I.ender. l.ender shall have the riQht to hoid the policies and renewals thereof, and Borrower shall promptly furniah to i.ender all renewal notices and all receipts of paid premiums. In the event otloss. E3orruwer shall give prompt notice W the inaurance carrier and Lender. Lender may make proof of loss if not made promptly by E3orrower. . . • Unlesa I.ender and ~3orrower ulherwise agree in writing, insurance proceeds shail be applied to reatoration or repair of the Property damaged, provided such restoration or repair is ec~,nomically (easible and the security of thia Mortgage ie not thereby impaired. If such restoration or repair is not economically feasible or if the security of this MoHgage would be impaired, the inaurance prceeeda shail be applied to the aums secured by this Mortgage, with the excess, if any, paid to B~rrower. If the PrupeRy ia abandoned by Borrower, or if Borrower faila to respond to Lender within 30 days from the date notice is mailed by I.ender to Rorrower that the insurance carrier offere to settle a claim for inaurance benefits, I.ender is authorized to collect and apply the insurance proceeds at I.ender's option either to restoration or repair ot the Pmperty or the auma secured by this Mortgage_ Unlesa Lender and E3orrower otherwise agree in wnting, any such application of pmceeds to principa) ahall not extend or postpone thedue date of the monthly installments referrnd to in paragraphs 1 and 2 l~ereuf or chanKe the amount of such inatallmenta: If under paragraph t8 hereof the Property is acquired by I.ender, all right, title and interest of Bormwer in and to any insurance policies and in and to the proceeda thereof resulting from damage to Property prior to the sale or acqu~sition shall pass to l.ender to the extent ot the auma secnred by this Mortgage immediately prior to such sale or acquisition. 6_ Preservation and Maintenanceof Property; Leaseholds; Condominums; Planned Unit Developmente. Borrowerahall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and ehall comply with the proviaione.of any lease if this Mortgage is on a leasehold_ If this Mortgage is on a unit in a condominium or a planned unit development, Borrower ahall perform all ot F3orrower's obligations under the declaration orn-venants creatinRorgovem~ng thecondominium or planned unit development, the bylawa and regulations of the condominium or planned unit development, and conatituent documente. I[ a condominium or planned unit development rider is executed by Bnrrower and recorded together with this Mortgage, the covenanla and agreements of auch rider shall be incorporated inb~ anJ shall amend and ~upplement the covenants and agreements of this Mortgage as if the rider were a part hereof. 7. Protection ot Lender's 3ecurity. If Borrower faila to perform the oovenanta and agreements contained in this Mbrtgage, or if any aMion or proceeding is rnmmenced whi~ch materiaUy affecte Lender's interest in the Property, including, but not limited to, eminent domain, insolvency, oode enforcement, or arrangemente or proceedings involving a bankrupt or decedent, then Lender at L.ender's option.upon notice to Borrower may make such.eppearances, dieburee auch aums and take such action as ia necessary to proLect Lender'~ interes~ including, but not limited to, disbursement of reaeonable attorney's fees and entry upon the Property to make repairs. If Lenda required mortgage insurance as a condition of making the loan secured by thie Mortgage, Borrower ahall pay the premiums reqnired to maintain euch insurance in eftect until such time as the requirement for auch ineurance terminates in accordance with Borrower's and Lender s written agreement ot applicable Law. Borrower ehall pay the amount of all mortgagNineurance premiums in the manner provided undet paragraph 2 hereoL , My amounts disbureed by Lender pereuant to thie paragraph 7, with interest thereon, ahal) become additional indebtednesa of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment Ehereot, and ahall bear intereat fmm the date of disbursement at the rate payable from time to time on outetending principal under the Note unleas payment ot interest at auch rate would be contrary to applicable iaw, in which event such emounte shall bear interest at the highest ratt permiseible under applicable law. Nothing contained in thia paragrsph ?, shall require Lender to incur any e:pense or teke any action hereunder. ~,o'~ 348 ~~~E 2523 .. ~La. <..t.-~...'^~:-=zz~r.~ ~.:~s:.F.. , .._ . ... ._ sr~~ ~ - ~ .~. ..~~~~