HomeMy WebLinkAbout0976 UN1F(MM COVL~NAN73. Borrower and Ltnckr covenant and a~ree ss foUows: '
l. ~aytaewt ot Prlacipl ~i lattrest. Borrower shall promptly pay when due the principal of and interest on the
indebtedness evidenced by the NWe, prepayment and late char~a as provided in the Note, and ike principal of a~sd intercst
on aay Futurc Advances secured by this Mortgage.
2. Faads for Tua aai lawra~ce. Subject to spplicabk law or to a written waivet by Len~er. Borrower shall pay
to Lender on the day monthly installme~ts o[ principal and intercst are payable under the Note, until the Note is paid in tull.
a sum (iurein "~unds") equa! to one-twelfth of tht yearly taxes and assessments which rnay attain priority over this
Mo~tgagc, and ground rcnta on the Property, if any, plus oae-twel[th of yearly premium installments for hazard insurance,
plus one-twelfth of ysuly premium installments for mortga~e insurance. if any, al! as reasonably atimated initially and from
time to time by Lender on the basis of assessments and bills and reasonabk estimata thert~f.
The Funds shall be held'in an institution the deposits or accounts of which are insured or guaranteod by a Federal or
state agency (including Lender i[ Lender is such an inatitution). L.ende~ shall apply the Funds to pay said tua, asseasments,
insursnre premiums and ground rents. Lender may not charge for so holding snd applyeng the Funds, analyziag said account,
or verifying and compiling said assessments and billt, unleu Lender pays Borrmver interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and L.ender may agree in writing at tht time of execution of this
Mortgage that interat on the Funds shall be p~id to Bonower, and unless such agretment is made oc ap~licable lavK
requires such interest to be paid, Lender shall not be requited to pay Borrower any interest or earnings on the Funds. Ixnder •
shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and tht
ptupose for which each debit to the Funds waz made. The Funda arc pledged as additional security for the sums securcd
by this Mortgage.
If the amount of tl~e Funds held by Lender, together with the future monthly installments of Funds payable prior to
the due dates of taxos, assessments,. insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
assessments, insurance premiums and ground rents as they tall due, such excess shall be, at Borrower's option, either
protnptly repaid to Borrower or cndited to Botrower on monthly installments of Funds. If the amount of the Funds
held by I.ender shall not be sufficient to pay taxes, assessrnents, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date n~tice is mailed
by Lender to' Borrower rcquesting payment ~hereof. '
Upon payment in full of aU sums secured by this Mortgage, l.ender si~all promptly refund to Borrower any Funda
held by [:ender. If under paragraPh 18 hereof thc Property is sold or the Property is othenvise acquired by Lender, Le~der
shall apply, no later than immediately prior to the sale of the Property or its acquisition by L.ender, any Funds held by
Lender at the time of application as a credit against the sums secured by this Mortgage.
3. Applkatfon of Paymeats. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereof sha1J be applied by Lender first in payment of amounu payable to Lxnder 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. C6arEes; Lkns. Borrewer shalt pay all taxes, assessments and other charges, fines and impositions attributable to
j the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in tht manner
, provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
payce thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this•paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly fumish to Lender receipts evidencing such payments.
Borrower shall promp~ly discharge any lien which has priority o~er this Mortgage; ~rovided, that Borrower shall not be
required to discharge any such lien so long as Borr4wer shall agree in writing to the payment of the obligation secured by
such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in,
legal proc~edings which operate to prevent the enforcement of the I~en or forfeiture of the Properiy o-r any pa.rt thercof.
S. Hazard lnsurance. Borrower shall kcep the improvements now existing or hereafter erected on the Property insured
against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lsnder may require
I and in such amounts and for such periods as Lender may reguire; provided, that Lender shall not requirc that the amount of
~ such coverage exceed that amount of coverage required. to pay the sums securcd by this Mortgagt.
' 'It~e insurance carrier providing the insurance shail be chosen by Borrower subjtct to approeal by Lender; provid~d,
that se~~h approval shall not be unreasonably withheld. All premiums on insurance policiu shall be paid in the manner
~ provided under paragraph 2 hereof or, if not paid in such manner. by Borrower making payment, when due, dircctly to the
insurance carrier. '
' All insuranEe policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
' daux in favor of and in form acceptable to Lender. Lender shall have the right to hold the p~licies and renewals thereof,
, aad Borrower shall promptly furnish to Lender all renewal notices and all receipta of paid prcmiums. In ihe event of lou,
Borrower shall give prompt notice to ihe insurance carrier and Lender. Lender may make proof of loas if not made promptly
i by Borrowcr.
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall he applied to restoration or repair of
E the Properry damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is _
~ not thereby impaired. If such restoration or repair is Roi economically feasible or if the security of tMs Mortgage would
j be impaired, the insurance proceeJs shall be applied to the sums secured by this Mortgage, with the excess, if any, paid -
to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
date notice is mailed by L.ender to Burrower that the insurance carrier oRers to settle a claim for insurance benefits, I.ender
is authoriud to collect and apgly t6e :nsurance proceeds at Lender's option either to restoration or repair of the Property
~ or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in writing, any such applica!ion of proceeds to principal shall nat extend
~ or postQone the due date of the monthly installments referred to in paragraphs I and 2 hereaf or change the amount of
~ ~ such installments. If under paragraph 18 hereof the Property is acquired by L.ender, all right, title and interest of Borrower
~ in and to any insurance polici~s and in and to the proceeds thertof resut~ing from damage to tht Property Prior to ihe sale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgago immediately prior to such sale or
i acquisition.
~ S. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit De~elopments. Borrower
shall kteD the Proceriv in ¢ood re~air and shall n~r rnmmit wactr nr rwrmir ~m.,a~rrr,P~r n~ .i~rP.;~.~~~~., „f ~h. Prne~rtv
~ _ . . ~ . . . . - - - r -•-r---------- "-r-'v
and shall comply with the provisions 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 shall perform all of Borrower's obligations under the declaration
or covenants creating or governing the condominium or planned un:t devetopment, the by-laws and regulations of the
coniiominium or planned unit development, and constituent decuments. If a condominium or planned ~~nit devetopment
rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as i[ the rider f
were a part hereof. ~
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, 7. Profectfoa of Leader'a Security. If Borrower fails to perf~rm the covenants and agreements conta+ned in this ~ ~
Mortgage, or if any action or proceeding is commenced w•hich materially aftects Lender's interest in the Property, ~
~ including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or procetdings involving a
~ bankrupt or decedent, then Ltnder at Lender's option, upon notice to Borrower, may make such appearances, disburx such ~
~ sums and take such action as is necessary to protcct Lender's interest, including, but not iimited to, disbursement of
' reasonable attomey's fecs and entry upon the Property to make repairs. If Lender required mortgage insurance as a ~
condition of making the Ioan secured by this Mortgage, Borrower shall pay the premiums required to maintain such
insurance in efiect until such time as thc requirement for such insurance terminates in accord~nse with Borrowers and ~
. : ~R~g p~~ 974 ~ .
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