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HomeMy WebLinkAbout0947 . ~ ~ ~ E . Borrower aAd Lender covenant and aseee aa folbws: 1. Paymeat of Principal aad latere~~ Borrower ahall promptly pay when due the principal ot and intend on the indcbeed~ew evideaoed by the Note. prepayment and late chsrges as provided in the Note, and the principal of and iaterest o~ any P~uture Advance~ ~ecurad by thi~ Mort~ase. 2. Ptinds for Tue~ and iasuraaoe. Su~jec: :o applicable law or to a written waiver by l.ender, Borrower ahaU pay to Lender on the day monthly uutallmenb of principal and intereat are payable under the Note, until the Note ia paid i~ full. a aum (herein "~~ds") equal to on~ tweltth of the yearly eaxes and assessme~b which mey attain priority over this Mortgage. and ground rents on lhe Prpperty, if any, plus o~e- t~1relRh of yearly premium installmenta tor hazard inaura~ce, plua onetwelRh of yearly premium instellmenta for mortgege insurance, if any. ~ all as reasonably eatimated initially and from time to time by Lender on the baaia oi asaessmenta a~d bills and reaaonable estimates thereo! k The I~Lnds shaU be held in an institution the deposita or accounta of which are inaured or guaranteed by a Federal or State agency (including La~dar if Lender is such at~ institution). I.ender ahall apply the Fur?ds to pay said taxea, aaseasments, insurance premiums and ground renb. Lender may not charge for so holding and applying the Funds. analyzing said account, or verifying and compiling said aescesmenta and bilb, unleea Leader paya Borrowe~ intereat on the Flinda and applicable law permils I.ender to make such a charge. Borrower and Ld~der may agree in writing at the time of execution of thia Mortgage that~ intereat on the F1nda shaU be paid to Borrower, and unlces auch agreement is made os applicable law requiree such interest to be paid, Lender ehail not be required to pay Borrower any interest or ~ earnings on the FLnda. Lend~ ehall give to Borrower, without charge, an annuai accounting otthe F~1nde ehowing credita and debits to the Funds and the purpoee for which each debit to the Ftinda wae made. The Funda are pledged as additional security [or the auma secured by this Mortgage. ' If the amount of the Ftinds held by Lender. togethe~ with the future monthly installments otFunda payable prior to the due datea of taxe~. aaeeesments. inaurance premiume and gmund renta, ahall excred the amount required to pay said taaes, asaeasments, inaurance premiums and ground nnta as they fall due, euch eacesa shall be, at Bo~TOwer a option, either prompUy repaid to Borrower or credited to Borrower on monthly installmenta of ~nde_ If the amount ot the Funds held by Lender ahall not be aufficient to pey taxea, asseeamente. inaurance • premiums and ground rents as they faU due, Borrower shall pay to l.ender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by l.ender to Borrower requesting payment thereof. . Upon payment in full of all sums secured by this Morigage, Lender shall promptly refund to Borrower any funds held by Lender. If under paregraph 18 hereof the Property is aold or the Property is otherwise acquircd by I.ender, Lender ehall apply, no later than immediately prior to the sale a! the Property or its aoquieition by Lender, arey Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. ~ 3. Application of Paymente. Unleae applicable law provides otherwiae, all payments received by Lender under the Note and paragraphs 1 and 2~ereof ahaU be applied by Lender first in payment of amounts payable to I.ender by Borrower under paragraph 2 hereof, then to interest payabte on the Note, then to the principal of the Note, and then to interest and principal on any Future Advancea. 4. Charges; Liens. Borrower ahall pay ail taxes, assessments and other rharges, 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 pmvided under paragraph 2 hereof or, if not paid in auch manner, by Borrower making payment, when due, directly to the pavee thereof. Borrower shall promptly furnish to L.ender all noticea of amounts due under this paragraph, and in the event Borrower shall make payment dinrtly, Borrower shall promptly furniah to Lender receipta evidencing such payments. Borrower shall promptly discharge any lien which has priority oqer this Mortgage; provided, that Borrower shall ~ot berequired to discharge any such lien so long as Burrowershall agree in w~iting to the payment of theobligation secured by such lien in a manner acceptable to l.ender, or shall in ~ood faith n~ntest such lien by, ordefend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the f'roperty or any part thereof. 5. Hazard Insurance. Borrowrer shall keep the impmvements now existing or hereafter erccted on the Property insured against loea by fire, hazards included within the term "extended coverage," and such other hazards as l.ender may require and in such amounts and for such periods as Lender may require; provided, that Lender shall not_require that the amount of such coverage exceed that amount of coverage required to pay the sums secured by this MortRaKe_ The ins~rance carrier providing the insurancr shali I~r chusen bv Korrower subject to approval by I.ender, provided, that such approval shall not be unreasonably withheld. All premiun?s on insurance pulicies shall be paid in the manner pmvided under paragraph 2 hereof or, if not paid in such manner, by Borrower makinR payment, whrn due, directly to the insurance carrier. . ' All insurance policies and renewals thereo! shall be in form acceplable tu I.ender and shall inclnde a standard mortgage clause in favor of j and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furniah to ~ i.ender all renewal notices and all receipts of paid premiums. In the everit of loss, Borrvwer shall give prompt notice to fhe insurance carrier ~ and L.ender. Lender may make proof of loss ii not made promptly by Borrower. ! Unless Lender and Borrower otherwise agree in Writing, insurance proceeds shall be applied to reatoration or repair of the Property ! damaged, provided such reatoration or repair is economically [easible and the security of this Mortgage is not thereby impaired_ If such restoration or repair ie not economicaliy feasible or if the security of this Mortgage would be impaired, the inaurance proceede shall be applicd to the euma eecured by this Mortgage, with the exceas, if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower faila to respond to L.ender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or the sums secuted by this Mortgage. Unless Lender and Borrower otherwise agree in wnting, any such application of proceeda to principal shall not eutend or postpone the due date of !he monthly installments referred to in paraECrapha 1 and 2 hereuf or change the amount of such inatallmenta. If under paragraph 18 hereof fhe Pmpetiy ia aoquired by Lender, all right, title and interest of Borrower in and to any insurance policiea and in and to the procceds thereof resulting from damage to Ptoperty prior to the sale or acquisition shall pass to I.ender to the e:tent of the auma secured by this Mortgsge immediately prior to auch sale or acquisition 6. Preservation and Maintenence of Property; Leaseholds; Condominuma; Planned Unit Developments. Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall rnmply with the provisions of any leaae if this Mortgage is on a leasehold. If this Mortgage is on a unit in a condominium or a planned unit development, Borrower ehall perform all of Borrower's obligations under the declaration or covenants cre~tingor governing the rnndominium or planned * unit development, the by-laws and regulations ot the condominium or planned unit development, and rnnatituent documenta. If a ~ condominium or planned unit development rider is executed by Borrower and recorded together with this Mortgage, the covenante and agreemente of such rider shall be incorporated into and ,hall amend and supplement the covenants and agreements of this Mortgage as if the nder were a part hereof. 7_ Protection of Leader'e 3ecurity. If Borrower faile to perform the covenante and agreementa rnntained in this Mortgage, or if any ~ action or proceeding ie commenced which materially affects Lender'e interest in the Property, including. but not limited to. eminent domain, ~ inaolvency, oode enforcement, or arrangemente or proceedinge involving a bankrupt or decedent, then Lender at Lender's option,upoa ~ notice to Borrnwer may make such appearaneee, diaburse euch aume and take euch action aa is neoessary to protect I.ender s intue~t, including, but not limited to, diebursement of reaeonable attorney's feee and entry upon the Property to make npairs. If I.~der required morLgage insurance as a condition of making the loan eecured by thia Mortgage, Borrower shall pay the pre~niums required to maintain auch insurance in e!fect until auch time se the requirement for euch ineurance terminates in accordance with Borrower'e and I.endd~ written agreement or applicable Law. Borrower ahall pay the amount of all mortgage ineurance premiums in the manner provided unde~ paragraph 2 henof. My amounts disburaed by ~I.ender perauant to thie paragraph vrith interest thereon; ahall become additional indebtedness ot Borrower secured by thie Mortgage. Unleae Borrower and Lender agree to other teime of payment, euch emounts ehall be payable upon notice from Lendcs to~Ba~rm~e~rsqueeting payment thereof, and ahall bear interest from the date of diabureement et the rate peyable 5~om ~ time to time on outetanding principal under the Note unleas payment of intereat at auch rate would be contrery to applicable law, in which event such amounte eha11 bear interest at the higheet rate permiseible under applicable_law. Nothing contained in thia paragraph 7, shall require Lender to incur any e:penee or teke any action hereunder. ~,~rr~10 Pa~E 947 ~ ~ . . ~ ~ ~ ; _ s - ~ . _ - . ~x~.-~