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Home My WebLink About0991 r t3orrower and Lender covenant and agree ae followa: 1. Payraenl of Principal and Intereat. Bonower ahall promptly pay when due the principal of and interest un the indebtedneas evidenced by the Note, prepayment and late chargea as provided in the Note, and the principal oC and intereat on any Future Advances eecured by this Mortgage. - 2. Funds tor Tazes and lneurance. Subject to applicable law or tu a writlcn waiver by I.ender, Borrower shall p~y tu I.ender on the day monthly inatallmenta of principal and interest are payable under the Note, until the Note is paid in full, a eum (hercin "F unde"1 equal to one twelfth of the yearly taxes and aaseasmenta which may attain priority over this MortgaQe, and ground rents on the Property, if any, plua one twelfth otyearly premium installments for hazard insurani~e, plus unPtwelfth of yearly premium installmentes fur mortgnge inaurance, if any, ,~Il as reasonably eatimated initially and from time ta tin~e by l.ender on the basis of assessments t~nd biils and rrnsunable estimatess thereof. The Funda ahall be held in an instituaon the deposita or uccounts of which are insured or guaranteed by a Fedaral or State agency (including Lender if Lender ie auch an inetitution). Lender ahall apply the Funda to pay said taxea, aaseasmenta, insurance premiums and ground renta. Lender may not charge for eo holding and applying the Funds, analyzing said account, or verifying and compiling said nsaesamenta and billa, unleea [.ender paya Borrower interesE on the F'unda and applicable law permits I.ender to make auch a charge. Borrower und L.ender may agree in writing at the time of execution of this Mortgage thut interest on the Funds shall be paid to Borrower, and unlese such agreement ie made or applicable law requires auch interest to be paid, l.endPr ahall not be required to pay Horrower any intereat or earninga on the Funda. Lender ehall give to Borrower, without charge, an annual accounting of the Funds showing credita and debite to the Funde and the purpoae for which each debit to the Funda was made. The Funds are pledged as additional security for the sums aecured by thia Mortgage. If the amount of the Funds held by Lender, toRether with the future monthly instaliments of Fund~ payable prior to the duedales of taxee, aaseasments, ineurance premiums and gmund rents, shall excred the amount required to pay said taxea, assessments, insurance premiuma and ground rents as they fall due, auch exceas shall be, at BotiTOwer's option, either promptly repaid to I3orrower or credited to $orrower on monthly installmenta of Funds. If the amount of the Funds held by I.ender shall not be sufficient to pay taxea, assesaments, insurance premiume and ground rents aa ihey fall due, E3orrower sha11 pay to I.ender any amount necessary to make ~p the deficiency within 30 daye irom the date notice ia mailed by Ixnder to E3orrower requesting payment thereof. Upon payment in fuli of all auma secured by this Mortguge. I.ender shall promptly refwid to Borrov?er any funds held by l.ender. If under _ paragraph 18 hereof the Property is sold or the Property is otherw•ise acquired by [.endcr, I.ender shall apply, no later than immediately prior io the sale of the Property or ita acquisition by Ixnder, any Funds held by l.ender at the lime of application as a credit against the sums secured by this Mortgage. 3. Applieation of Paymenta. Unless applicable 1aw provides otherw•ise, all payments received by I.ender under the Note and paragraphs 1 and 2 hereof shall be applied by l.ender first in payment of amounts payahle to I.ender 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 Advancea. ~ 4. Charges; Liena. Borrowershatl pay all taxes,.isscssments and ~~therrharKes, fines.ind impositions attributableto the Yroperty ~chich ma~• attain a priority over this hiortgage, and teasehuld payments or Kmund rents, if anp, in the manner provided under paragraph 2 hereofor, ~f not paid in such manner, by Borrower making pa>•ment, when due, dirrctly tu ihe pa~~ee thereot. Bormwer chall promptly furnish to l.ender ali notices of amounts due under this paraKraph, .~nd in the e~•ent Korruv~•er sh.?ll make payment directly, Bcirru~+•er shall promptly furnish to I.ender receipts evidencing such payments. F~rruwer shall prumptl}~ dicchar~;e any lien N•hich h,is priorih~ ~n•er this 11ortKage; provided, that fiorrower shall not be required to discharge any such lien su IunK :~s fi~~rruw•er shal! aKree in writinK tu thE~ p:~ymrnt of the ubliKation secured by ~uch lien in a manner acceptable to Lender, or shull in ~,ooc! faith cont~•st ~uch lien hy, urde(end enforcement of such hi•n in, leKal proceedings .a hich operate to prevent the enforcemrnt of thc• lien i~r forft•iturr uf tht• f'rup~•rty or an~~ part thereuf. i. Hazard Insurance. [;orrow~er shali keep the irr~pro~•rments n~iw exi~tinK or hereafier erected on the Property insured against loas by fire, hazards included w•ithin the term "extended ro~•eraKt•," and ~uch ~~fher haze~rds as I.ender may require and in such amountx and for auch periods as [.ender may reyuire; proeided, that Lender shull not reyuire that the amount of such co~•eraRe exceed that amount of coverage ` re~quired_to pay the sums securcd b~• this MortkaKr. The insurance carrirr pru~•idink th~~ insuranc~• shall hi• c•h~~.~•n hy~ ti~~rruw•i•r .uhji•it U~ appru~•:il by [,ender, pr~~~•idecl. that such approval shall not be unreasunably withhetd. AU premiwn~ un ~n~uran~ puliri~~~ .hall tw~ p.iid in tht~ m.~nnc•~ pr~~~ idc~1 undrr p:iraKraph 2 herrc~f or, if not paid in such manner, h~~ Fiorrux~er makinK p.~~'~m•nt, vche~ri due•. ~lir~•~•tlc tu th~• imurance carrier. All insurance policies and renewals thereof ~hall he in furm :uY~eptahle tu I.rnder and shall include a standard mortgaKe clause in favor of and in form acceptable to I.ender. l.ender shal] haac the ri~;ht tu huld thr policies and renew~als thereof, and Rorrower sha11 promptly fumish to i ixnder ail renewal notices and all receipts of paid prrmium~. In thi• c•~•ent uf l~~ss, ti~~rr~~N~er.hall Kive prompt rotice to the insurance camer and I,ender. l.ender may make pruof of loss if nut made promptly b}• I3urrow•er. i Unleas l.ender and &~rrow•er other~+~ise aKree in WritinK, insurince pnx•ceds shail be ~~pplied to resturation or repair of the Property f damaged, provided such restoratiun or repair is E~•un~;mically feasible and the sc<~unh• of this MurtKaKe is not thereby impaired. If such i rrstoration or repair is not economically feasible ur if the secarit~• of this MurtKaKe wuuld t~ impaired, theinsurance prc~ceeds shall be applied to the sums secured by this 1tortKilqP, K'1LFl I}1P PXCE~ss, iCany, paid to fi~~rruw~er. If the F'ropert~• is ahandoneci by Borrorcer, or if Borrower fails to i re3pond 2o Lender within :i0 da}•s from the datr nntice is mailNCl b~• I.endPr tu F~orrr.wrr that the insurance carrier offers to settle a claim for . € insurance benefits, [.ender is authorized tu collrct and apph• the insurance pr+x•eeds at ixnder's uptinn either tu rest~~ration or repair of the ~ Yroperty oi the sums secured by this htortKaKe. Unless I.ender and Borrower otherwise aKrEY in wntinK.:~nt• such .+pplic~+tion uf prcx~eeds to principal shall not extend or postpone the due date of the monthly instaliments referred tu in paraKr.~phs I and 'Z hereof nr chanKe the amount of such instailmen~s. If under paragraph 18 hereof Lhe Property is acquired b~• I~ender, all riKht, title and interest of E~orn~w•er in and tr~ any insurance policies and in and to the procpeds ~ thereof reaultinR from damage to Property prior to the sale ur acqu~sition shall pass to I,ender to the extent ~f the sams secured by thie ~ :~lortgage immediately prior to such sale or acquisition. ~ 6. Preeervation and Maintenance of Property; Ixxscholds; Condominuma; Planned llnit Developmente. BorroK•ershall keep the Property in good repair and sh:ill not commit u•astt~ ur permit irnp<+irmrnt ~~r deterioratiun of the Property and sha11 comply w~th the ~ p:o~•isiona of any lease if this ~1ort~;aKe is on a leatieh:~ld. If this ;1turtKaKe is un a unit in a condominium or ~i planned unit development, ; Borrower shall perform all of Borrower's ubliKationc under Eht• dec•laratiun or cu~-enanGti ~~reatin~or Ko~•erninK the condominium or planned ~ unit development, the by-laws and reKulati~fns of th~• c~mduminium ur planned unit development, and constituent documenta. If a ~ condominium or planned unit de~•elopment rider is rxecutecl hp F3~~rruw~e•r and rei~urded toKether w-ith this Mortgage, the covenants and a~reemenGs of such rider shall hr inc~~rp~~r.~ted int~~ .md .h:~ll anu~nd :~nd ~upplc~ment tliec~~~rnants and aKreements of this MortKaKe as if the ncier w•ere a part hereof. 7. Protection of Lender's Security. If Barrower fails u~ perform the rnvenanta and agreemente contained in thie Mortgage, or if any action or proceeding ie commenced which materially affecte I.ender's interest in the Yroperty, including, but not limited to, eminent domain, ~ ineolvency, code enforcement, or arrengements or proceedinga involving a bankrupt or decedent, then Lender at Lender'e option,upon ; notice to Borrower may make euch appearancee, disburse euch auma and take such action ae is neceeAary to protect Lender'e intereat, ~ ~ including, but not limited to, disbursement of reasonable attorney's feea and entry upon the Property to make repaira. If Lender required mortgage inaurance as a condition of making the loan aecured by thie Mortgage, Borrower shall pay the premiume required to maintain euch inaurance in effect until euch time as the reyuirement far auch ineurance terminatea in accordance with Borrower's and Lendei e written agreement or applicable I.aw. Borrow~er ehall pay the amount of all mortKaKe ineurance premiume in the manner provided under uaragraph 2 hereof. Any amounte diaburaed by l.ender perauant to this paraRraph with interest thereon, ahall become additional indebtedneaa of Rorrower secured by thie Mortgage. linlesa FZorruwer and I.ender aKree to other terms uf payment, such amounts ehaU be payable upon ` notice ftom Lender to Borrower requeating payment thereof, a~d ahall bear interext from the date of diAbursement at the rate payable from ~ time to time on outstanding principal under the tiote unlees pa~•ment of intereet at such rate would be rnntrary to applicable law, in which ~ event a~ch amounts ahaU bear intereat at the highest rate permissible under c~pplicable law. tiothinq contained in thie paragraph 7, ehall ; require I.ender to incur any expenae or take any action hereunder. ~~~K •~66 P~~E ~88 : : ~ ~ ~