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HomeMy WebLinkAbout0982 ~ , ' ~ ~ ~t~~~ ~ , t3L ~ UNIFORM COVENANTS. BoROwer and Lender covenant and agree as follows: 1. Paym~nt of PNncfp~l and I~t~nst. Bo?rower shall promptly pay when due the principal ot and interest on the indeb:edness evidenced by the Note, prepayment and late charges as provided in the Note, and the principal 01 and inlerest on any Future Advances secured by this Mortgage. Funds tor Tax~s a~d Insuranc~. SubjeGt to applicable taw or to a wrilten waiver by Lender, Borrower shall pay to Lender on the day monthly instatltnents ot principal and intetest are payable under the Note, until the Note is paid in tull. a sum (herein "Funds'~ equal to on~twelfth of the yea~ly taxes and assessments which may ariain priony over this Mortgage, and ground rents on the Prope?ty, it any, plus one~Mrelfth ot yearly premium inslallments tor hazard insurance, plus one-tweltth ot yearly premium installments for mongage insurance, if any, all as reasaonablyestimated initially and from time to time by Lender on the basis ot assessments and bills and reasonable estimates thereof. ~ The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or state agencylincluding Lender if Lende~ is such an institution). Lender shall apply the Funds to pay said taxes, assessments, insurance premiums and ground rents. le~de~ may not charge tor so holding and applying the Funds, analyzing said account, or veniying and compiling said assessments and bills, unless Lender pays Borrower inte~est on the Funds and applicable law ' permits Lender to make such a charge. Borrower and Lender may agree in writing at ihe time of execution ot lhis Mortgage that interest on the Funds shall be paid to Borrowe~, and uNess such agreement is made or applicable taw ~ requires such interest lo be paid, lender shall not be required to pay Borrowerany interest orearnings on the Funds. Lender ~ shall give to BoROwer, without charge, an annual accounting ot the Funds showing credits and debits to the Funds and the purpose tor which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by this Mortgage. It the amount ot the Funds held by lender, together with the future monthty installments of Funds payable prior to the due dates of taxes, assessments, insurance premiums and ground rehts, sha11 exceed the amount required to pay said taxes, assessments, ins~~rance premiums and grou~d rents as they fa~l due, such excess shall be, at Borrowets option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Lender shall not be sufticient to pay taxes, assessments, insurance premiums and ground rents as they fal! due. Borrower shall pay to Lender any amount necessary to make up ihe deticiency within 30 days from the date notice is mailed by lender to Borrower requesting payment thereof. Upon payment in full ot all sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds held by Lender. It under pa~agraph 18 hereot the Property is sold or the Property is otherwise acquired by Lender, ~ender - shall apply, no later than immediately prior to the sale ot the Property or its acquisition by Lender, any Funds held by Lender at the time of applicat~on as a credit against the sums secured by this Mortgage. 3. Application of Paym~nb. Uniess applicable Iaw provides othervvise, all payments received by Lender under the Note and paragraphs 1 and 2 hereot shall be applied by Le~der tirst in payment of amounts 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. Charpos; Usns. Borrower shait pay all taxes, assessments and other charges, fines and impositions anributable to the Property which may attain a prionty ove~ th~s Mortgage, and leasehold payments or gound rents, if any, in the manner provided under paragraph 2 hereot or, if not paid in such manner, by Borrower making paymenl, when due, directly to the payee thereoi. Borrower shall promptty~furnish to Lender all notices ot amounts due under this paragraph, and in the event Borrower shalt make payment directly, Borrower shatl promptly furnish to Lender receipts evidencing such payments. Borrower shail promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be required to discharge any such lien so long as Borrower 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 su~h lien by, ordefend enfo?cementof such tien in, , legal proceedings which operate to prevent the enforcement oi the lien or forieiture of the Property or any part thereof. 5. Hazard Insurance. Borrower shat~ keep the improvements now exisling or hereafter erected on the Property insured against ioss by fire, hazards included withm the term "extended coverage", and such other hazards as Lender may require and in such amounts and tor such pe~iods as lender require; provided, that Lender shall not require that the amount of such coverage exceed that amount of coverage required to pay the sum secured by this Mortgage. The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies ~hall be paid in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurance carrier. - ~ Alf insurance policies and renewats the:eof shall be in form acceptable to Lender and shall include a standard mortgage ! clause ~n favor of and in torm acceptable to Lender. Lender shall have the right to hold the poticies and renewals thereof, and Borrower shall promptly furnish to Lender ail renewal notices and all receipts of paid premiums. In the event of loss, ! Borrower shall give prompt notice to the insurance car?ier and lender. Lender may make proof of Ioss it not mad~promptly ; by Borrower. ; Unless Lender and Borrower otherw~se agree in writ~ng, insurance proceeds shall be applied to restoration o~ repair oi ° the Property damaged, provided such restorat~on or repa~r ~s economicaity feasible and the se~urity of this Mortgage is ~ noi ihereby ~mpa~red. II such restorahon or repair is not economically feasible or if the security oi this Mortgage ~nrould € be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, ii any, paid { to Borrower. If the Property is abandoned by Borrower, or if Borrower tails to respond to Lender within 30 days from the ~ date notice is mailed by Lender to Borrower that the insurance carrier oiters to settle a claim tor insurance beneiits, Lende% i ~s authorized to collect and apply the insurance procee~s at lenders option either to restoration or repair ot the Property ~ or to the sums secured by this Mortgage. ~ Uniess Lender and Borrower otherwise agree in writing, any such applicat~on of proceeds to pnnc~pal shall not exiend ~ or postpone the due date of ihe monthly ~nstallments referred to in paragraphs 1 and 2 hereof or change the amount of _ ~ such ~nstallments. If under paragraph 18 hereof the Property ~s acquired by Lender, alI right, title and interest of Borrower ~ in and to any insurance policies and in and to the proceeds thereof resulting irom damage to the Property prior to the sate ~ ~ or acquisition shall pass to Lender to the extenl of ihe sums secured by this Mortgage immediately prior to such sale~or ' acquisit~on. 6. Preservation snd Malntensnce of Propsrty; Lssssholds; Condominiums; Ptanned Unlt Devslopments. Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deienoration oi the Pro- perty and sha11 comply with the provisions of any tease if this Mortgage is on a leasehold. It this Mortgage is on a unit ~n a condominium or a planned unit development. Borrower shall pertorm all of Borrowers oblig~tions under the declaration or covenanls creating or governfng the condominium or pla~ned unit development, the by-laws and regulations of the condom~nium or planned unit development, and constituent documents. If a condominium or planned unit development rider is executed by Borrower and recorded together wilh this Mortgage, the covenants a~d agreements of such rider shall be i~corporated into and shall amend and supplement the covenants and agreements of this Mortgage as ~f the rider were a part hereof. _ i 7. Protectlon of Lende~s Security. It Borrower fails to perform the covenants and agreements contained in this 3 Mortgage. or if any action or proCeeding is commenced which matenally affects Lenders interest in the Property, ~ ~ncluding, but not limited to, eminent domain, insoivency, code en(orcement, or arrangements o~ proceedings involving a - ~ bankrupt or decedent, then Lender at lenders opt~on, upon notice to Borrower, may make such appearances, disburse such € sums and take such action as ~s necessary to protect Lenders interest, including, but not limited to, disbursements ot reasonable attorneys fees and entry upon the Property to make repairs. Ii Lender required mongage ins~~rance as a ` cond~tion oi mak~ng the loan secured by this Mortgage. Borrower shall pay the premiu~•r~~1y~~~ aintam such ~ insurance ~n effect until such time as the requirement for such insurance terminates in acGo~t~t~~vYitl~6orrowers and ` ~ ~ ~ .