Loading...
HomeMy WebLinkAbout0965 : . . • w ~ UN~FOUtN CoveN~rtTS. Borrower and Lender coveoant aod agree as follows: 1. Paya~eat ot Pdacipal ard taterest. Borrower shall promptly pay when due the principal o[ and interest on the indebtedneu evidenced by the Note. prepaymeM and late charges as provided i~ the Note, and the pri~cipal o[ and i~tercst on aay Futurc Advances secured by this Mortgage. 2. Fbads ~or Tua aad iuwnnce. Subject to applicable law o~ to a writteo waiver by Lender. Borrower shall pay to [.ender on the day monthly irtstallments of principal and intcrest arc payable under the Note. until the Note is paid in full. a sum (herein "Funds") equal to onatwelfth of the yea~ly tax~s and assessmcnts which may attain priority over this Mortgage. and ground rents on the Pt+operty, if any. plus onatwelfth of yearly premium instaliments for hazard insurance. plus one-twel[th of yearly premium installmeots for mortgage insurancc. if any, all as reawnably tstimated i~itially and from time to time by Lender on the basis of assassments and bills and reasonablc atimates theroof. 'il~e Funds shall be held in an institution the depoaits or accounts of which are insured or guaranteed by a Federal or state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taces. assessments. insuranoe premiums and ground rents.: Lender may not chargc tor so holding and applyi~g the Funds, analyzing said account, or verifying and compiling said assessme~ts and bills. unlas Lender pays Borcower i~terat on the Funds and applicable law permits Lender to make such a charge. Borrower and I.ender may agree in writing at the time of execution of this Mortgage that interest an the Funds shall be paid to Borrower. and unless such agreeme~t is made or applicable law requires such interest to be paid. Lender shall not be requireci to pay Borrower any interest or eamings on ihe Funds. l~ender shall give to Borrower, without charge, an an~ual accounting of the Funds showing credits a~d debits to the Funds and the purpose for which each debit to the Funds was made. The Fun~is are pledged as additional sa.urity tor the sums socured by this Mortgage. ~ ~ If the amount of the Funds held by Lenckr. together with the future monthly installments of Funds payable prior to the due data of taxes, assessments. insurance premiums and ground rents, shall exceed the amount required to pay said taxes, assessments, insurance premiums and gmund nnts as they fall due. such excess shall be. at Botrower s option, either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of thc Funds held by Leader shall not be sufficient to pay taxes, assessments, 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 notice is mailed by Lender to Borrower requesting payment thereof. Upon payment in full of all sums secured by this Mortgage, I_ender shall promptly re(und to Borrower any Funds held by L,ender. If under paragraph 18 hereof the Froperty is sold or the Property is othervvisc acquired by [.ender, Lender shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lcnder, any Funds held by i.ender at the time of application as a credit against the sums secured by this Mortgage. 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by I_ender first in payment o[ amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payable on the Note, then to thc principal of the Note, and then to interest and principal on any Future Advances. - 4. C6arges; Lkns. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payroent, when due, directly to the payee thereof. Borrower shall promp~ly furnish to l.ender aU notices of amounts due under this paragraph. and in the event Borrower shall make payment directly. Borrower shall promptly fumish to L.ender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Mortgage: provickd, 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 stcured 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 proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof. S. Haurd I~uraace. Borrower shall keep the improvements now existing or hereafte~ erected on the Property insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require and in such amounu and for such periods as Lender may require; provided. that Lender shall not requirc that the amount of such coverage eacxed that amount of coverage required to pay the sums secured by this Mortgage. ~ 'ILe insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, providcd, that such approval shall not be unreuonably withheld. All premiums on insurance policies shall be paid in the manner ! provided under paragrdph 2 hertof or, if not paid in such manner, by Borrowu making payment, when due, direcdy to the i j insurance carrier. { All insurance policies and renewals thereof shall be in form acceptable to Lenckr and shall include a standard mortgage ~ clause in favor of and in fortn acceptable to Lender. Lender shall have the right to hold ihe policies and renewals thereof. ; and Borrower shall promptly furnish to Lender all renewal notices and all receipta of paid premiums. In the event of loss, i Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly ; ~ by Borrower. ` ~ Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of ' , the Property damaged, provided such [estoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If such ratoration or cepair is not economically feasible or if the socurity of this Mortgage would ~ ~ be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid i to Borrower. lf the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from ihe ~ ` date notice is mailed by Len~r to Borrower that the insurance carricr ofiets to uttle a elaim for insurance bene8ts. Lender ~ is authorized to colkct and appiy the insurance procceds at Lender's option either to restoration or repair of the Property ~ or to the sums securod by this Mortgage. ~ Ualess Lender and Borrower otherwise agree in writing, any such apptication of procads to principal shall not extend ~ or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof or change the amount of ~ ~ suc6 installments. If under paragraph 18 heroof the Property ic acquired by Lender. all right. tide and interest of Borrower a in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Pmperty prior to t6e sale ~ or acquisition shall pass to i.ender to the extent of the sums secured by this Mortgage immodiately prior to such sale or : ~ acquisition. 6. Preservation and Maintenance a~f Pmpecty; Leaseholds; Condominiums; Planned Unit Devdopments. Borrower ? shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property _ 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 unit development, the by-laws and regulations of the ; condominium or planced unit development, and constituent documents. If a condominium or planned unit development rider is executed by Bonower 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 if the rider were a part hereof. R 7. Proteciion of Lende~s Security. If Borrower fails to perform the covenants and agrcements contained in this , ~ Mortgage, or if any action or proceeding is commenced which materially afiects Lend~r's interest in the Property. ~ including, but not limited to, eminent domain, insolvency, cade enforcement, or arrangements or proccedings involving a c bankrupt or decedent, then Lender at Lender's option, upon notice to Borrowe~. may make such appearances, disburse such ~ sums and take such action as is necessary to protect Lender s interest, including, but not limited to. disbursement of t reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a % condition of making the loan secured by this Mortgage. Borrower shall pay the premiums rcquired to maintain such ~ insurance in effect until such timt as the requirement for such insurance terminates in accocdance with Borrower's and s~ 397' P~~E 964