HomeMy WebLinkAbout0996 i
UNIFORM C'ovFM1~NTti. BOffONCf .?nd l.en.lcr cuvenan~ ~nd agree follows:
I. Payment of P~inclpa! and lnterest. Hurr.~wer shail prumpU~ pay Khen Juc the principal of and intercst on ihe
indebtedness evidence~l by the No~r, prepayment and late chargeti a. pruviJed ~n the Note, and the pnncipa) of and ~ntereu
on any Future Advancec secured by ih~. Mortgage.
2. Funds tor Taxes and Imuraace. Subject to applicable law or ro a writtcn waiver by l.ender, Horrower shall pay~
to l.ender an the day monthly installmems of ptincipal and interest are payahle under the Note, until the Note is paid in full,
a sum (herein "Fundi') equal tu on~-t~elfth of the yearly taxet and ascessments which may attain pnority ovcr ~his
Mortgage, and ground rents on the Pmperty, if any, plus one-twclfth of ~•early premium installments for hazard insurance,
plus one-~welfth of yearly premium installments for mortgage insurancr, if any, all as reasonably ts~imated initially anJ from
timc to time hy Lender on the basis of assessments and bills and reasonable es~imates thereof.
The Funds shall he held in an institution the deposits or acrounts of which are insured or guaranteed b~• a Federal or
state agency lincluding Lender if I.ender is such an institution). 1_ender shall apply the Funds to pa}• said taxes, assessments,
insur2nce premiums and ground rents. Lender may not charge fc~r ~o holding and applying the Funds, analyzing said account,
or verifying and compiling said asse~sments an~f bills, iinless Lender pays Borrowe~ interest on the Funds and applicable law
permits Lender to make such a charge. Borrower and Lender may rgree in writing at the time o[ execution of this
Alortgage that interest on the Funds shall he paid to Borrower, and unless such agrecment is made or applicahle law
requira such interest to be paid, I.ender shall not he required to pay Borrower any interest or earnings an the Funds. l.ender
shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
purpose for which each debit to tht Funds was made. The Funds are pledged as additional security for the sums secured
by this Mortgage.
1f the amount of the Funds held by l.ender, together Nith the future monthly installments of Funds payable prior to
the due dates of taxes, assessments, insurance premiums ~nd ground rents, shall e~eceed the amount required to pa}• said taxes,
assessments, insurance premiums and ground rents as they (all due, such e~cess shall be, at BorroN•er's option, either
promptly repaid to Borroa~er or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall not be sul~'icient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount necessar}~ to make up the deficiency within 30 da~•s fro~r the date notice is mailed
by Lender t~ Borrower reyuesting payment thereof.
Upon payment in full of all sums secured by this Mortgage. Lender shall promptly refund to BorroHer any Funds
held by Lender. If under paragraph I8 hereof the Propertv sold ar the Property is otherwise acquired by Lender. Lcnder
shall apply, no later than immediately prior to the sale of the Property or its acquisition b}~ I_ender, any Funds held by
Lender 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 b~~ I.ender under the
Note and paragraphc 1 and 2 hereof shall bc applied by I.ender first in payment o[ amounts payable to Len~fer by Borrower
under paragraph 2 hereof, then to interest payable on the tiotr, then to thc principal of the Note, and then to interest and
principal on an}• Future Advances.
4. Charges; Lknc. Borrower shall pay all t~re~, a~tiessmrnts and other chargec, fines and impusitions attributabte to
the Property which may attain a priority over this Mortgage, and leasehc~ld payments or ground rents, if any, in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment. when due, directly to the
payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Borrower shall make payment direcU~•, Borrower shall promptlp furnish to l.ender receipts evidenc~ng such payments.
Borrower shall ~romp~ly discharge any !ien which has pnariry over this Mortgage: provided, that Borrower shall not be
required to discharge any such licn so long as Borrower ~hall agree in writing tii the pa}•ment of the obligation secured by~
such lien in a manner acceptable to Lender, or tihall in gcx~d faith conteu such lien by, or defend enforcement of such lien in,
tegal proceedings which operate to prevent the enf~~rcement of the I~en ~r tor[eitur~ of the Property or any part thereof.
S. Haiard Insurance. Borrower shall keep the ~mpro~ement~ now exicling ~~r hereafter erected on the Property incured
against loss hy fire, hazards included wi~hin the term "e~tende~l coverage", and such other hazardc as I_ender may reyuire
and in such amounts and for such periods as I_ender may reyuire; prc~~ided, that I.ender shall not reyuire that the am~~unt c~f
such coverage exceed that amount of crnerage required to pa}~ the sums ~ecured '~y th~s ~1or~gage.
; The insu,-ance .arrier providing the insurance shall be chosen by Borrower subject to approval by Lender; prcivided,
that such approval sha11 not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower mak~ng payment, when due, ~iirectly to the
insurance carrier.
~ All insurance policies and renewals thereof shall be in form acceptable to Len~ier and shall include a standard mortgage
~ clause in favor of and in form acceptabie to Lender. Lender ~hall h:,~e the right tu hold the policies and rene~~alt thereof.
; and Borrower shall promptly furnish to Lender all renewal notices ~n~l all receipts of paid premium.. In the erer.t of lo«,
~ Borrower shali give prompt notice to the insurance carner and I.enJer. Len~rr ma} make pro~f of loss if not made pmmpth
by Borrower.
= Unless I_ender and Borrower otherwise agree in writing, in~urance proceed~ shall be applied t~ re~roration or repair of
~ the Property damaged, prov~sed such restoration or rep3ir is economic~ll}~ feasible and the tecurity of this htortgage i~
: not thereby impaired. If such restor~tion or repair ~s not ~conumi~all}• feasihle vr if the secunty~ of this !~lortgage would
~ be imFaired, the insurance proceeds shall be applied to thr sums secure~i b~ this Mortgage. w~th the e~cecs, if sn}~, paid
to Borruwer. If the Property is abandoned h} Borr~wer, c~r It BOff(~N'CT ~ii:I1 tu respond tc~ l.ender within 30 da}s from the
~ Jate noUce is mailed by Lender to Borrower that the insurance rarrier ofTers to settle a claim for insurance benefits, I.ender
is authorized to collect and apply the inwran~e proceeds at Lender's ophun either to restoration or repa~r ot the Propeny
or to the sums secured by this Mortgage.
Unless I_ender and Borrower otherwise agree in writing, any such application ~~f pn•ceeds ro puncipal ~h~ll n~t extend
or postpone ~he due date of ihe monthly instaliments re(erred tu in paragraph. 1 an~i 2 here~~f or change thc amount of
sucfi installments. 1( under paragraph IK hereof the Propert} ~s acyuired hy Ixnder; ali nght. Utle and interest of Borrc~uer
~ in ~nd to an} insurance policies and in and to the pnxeeds thereof resulhng from damage to the Property pnor to thc sale
~ or acyuisition shall pass to Lender to the e~tent of the sums ~ecured by this Atortgage immediately~ prior te~ such sale or
~ acquisition.
~ 6. Presenation and 1laintenance of Propert~; I,easeholds; Condominiums; Planned l,'nil De~elopments. Borrowcr
shall keep the Property in good repair and shall not commit waste ~~r perm~t impairment or deterioration of the Propcrt}~
and shall compty with the provisions of any lease th~~ !~tortga~~ on a Icasehnld. If this ;1ort¢agc is on unit ~n a
~ condominium or a planned unit Jevelopment, Borrower ~hall perfc,rm ali uf Borrower's ~~bligal~ons under the declarahrn
~ or covenants creating or governing the condammium or pl.,nned unit devel~~pment, ~he b}'-laus and rrguiation~ of the
~ condominium or planned unit development, and conslinient .locuments. If a rondominium or planned unit ~ietiel~~~ment
nJer is executed by Borrower and recorded t~gether Hith th~~ Mortgage. the co~•enants and agreement, ~~f ~u~h r~der
~ shall be incorporated into and shall amend and supplement the co~enants an~i agreements of this Mortgage as thc rider
~.+ere a part hereof.
~ 7. Prolection of I,ender's Security. If Borrower fa~l; t~ per(orm the covenants and agreements c~~ntained in thit
~ Mortgage, or if any action c~r proceeding ic rommence~l which materiall~ afiecls LenJer's interest in the Pr~pert},
including, but n~t limited to, emincnt domain, insol~enc}, c~~de enf~~r~ement, ~r ~rrangements or proceedings invol~ing a
~ bankrupt or decedent, then Lender at Lender's oph~n, upon notice t~~ Borrower, map make such appearances. d~shurse such
~ sums and take such artion as is nece«ary tu pr~tect Lender's intere~t. including. but nat limited to. di~bursement ~~f
reasonable attorney's tces and entry upon the Propeny to make repairs. If Lcndcr required mortgage insurance as a
~ conJrtion o( ma~iing the loan secured hs thit ~lortgage. Bt~rmwcr shall pa~• the premiums required t~ maintain such
~ insurance in efiect until such time as the reyi.irement for wch insurance terminate~ ~n accrrdan~e w~ith Borrower's and
~
~ b~'~ 4t13 994
~
r
. ~
~