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HomeMy WebLinkAbout0943 ~'f~ r UNIFO1tM COVENANTS. Borrowet aad Leader covenant a~d agree u foUows: 1. Paymeat ot Princlpl asd lsterat. Borrower shall promptiy pay when due the principal o[ a~d interat on the indebtedness evid~nced by the Nott, prepayment and late charges as provided in the Note. and the principal of and inta+est ; on any Futurc Advances secured by this Mortgage. l 2. I+ti~ [or Tues aad Ioser~oce. Subject to applicable law or to a written waiver by Lender. Borrowe~ shall pay ~ to Lender on the day monthly instaliments of principal and interest are payabk under the Note. until the Note is paid in full. a sum (herein "Funds") equal to one-twelfth ot the yearly taxes and assessments which may attai~ priority over this Mortgage, and ground nnts on the Pt+operty. if a~y, plus om-twelfth of yearly pre!!~ium instalime~ts for hazard insurance. plus one-twelf•h of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initialiy and f[om time to time by Lender on the basis of assessments aod bills and reasonable sstimata thereof. The Funds shall be held in an institution the deposits 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 taxes, asuuments, insnrance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said accoun~ s or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable Iaw ~ permits I_ender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this i Mortgage that interest on the Funds shall be .paid ~to Borrower, and unless such agreement is made or applicable law ~ rcquires such interest to be paid. Le~der shall not be required to pay Borrower any interest or earnings on 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 the Funds was made. The Funds are pledged as additional security for the sums secured ~ by this Mortgage. ~ If the amount oE the Funds held by Lender, together with the future monthly installments of Funds payable prior to ~ the due dates of taxa, assessments, insurance premiums and ground rents, shall cxceed the amount required to pay said taxes. • assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower s option. either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by Leader shall not be sufticient 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 ~lortgage: l_ender shall promptly refund to Borrower any Funds held by Lender. If under paragraph 18 hereof~the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later ttian immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. ApplicMlon of Payments. Unlecc applicable law provides otherwise.~ all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hercof, then to interest payable on the Note, then to the principa{ of the Note, and then to interest and principal on any Future Advances. . 4. C6arges; Liens. Borrower shall pay all ta~es, assessments and ather charges, fines and impositions attributable to the Propecty which may attain a priority over thi~ Mortgage, and leasehold payments or ground rents. if any, in the manner provided u~der 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 undcr this paragraph, and in the eveat . Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments. Borrower shall premptly 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 acceotable 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 thc lien or forfeiture of the Property or any part thereof. S. Hazard lasnrance. Borrower shall keep the improvements now existing or hereafter erccted on the Property insured against loss by 6re, hazards included within the term "extended coverage". and such other hazards as Lender may require and in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of 3 such coverage exceed that amount of coverage required to pay the sumc secured by this Mortgage. ~ 'I7~e insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, providod, f i that such approval shall not be unreasonahly 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 making payment, when due, dircctly to the ~ ~ insurance carrier. ~ a All insurance policies and renewals thereof shall be io form •rcceptable to l.ender and shall include a standard mortgage ~ clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, ; € and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss, ~ Borrower shall give prampt notice to the insurance carrier and Lender. Lender may make proof of loss if not made Promptly by Bonower. Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged. provided such restoration or repair is economica!!y feasible and the security of this Mortgage is . not thereby impaired. If such restoration or repair is not economically ieasible or if the security of this Mortgage would be impaired, the insurance p~oceeds shall be applied to the sums secured by this Mortgage, wi~h the excess. if any, paid to Borrower. If the Propert~• is abandoned by Borrower, or if Borrower tails to respond to Lender within 30 days from the date notice is mailed by I.ender to Borrower that ~he insurance carrier ofiers to settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option eiiher to restoration or repair of the Property or to the sums secured by this Mortgage. ~ Unless Lender a~d Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right. tide and interat of Bonower ~ in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sak or ~ acquisition. • 6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Uuit Devebpments. Borrower ti shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Properiy ~ 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 ~ condominiem or planned unit development, and constituent documents. If a condominium or planned unit development ; rider is executed by Borrower and recorded together with this Mortgage, the covenants and agrceme~ts 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. ~ 7. Protectioa of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this ~ Mortgage, or if any action or proceeding is commenced which materially affects Lender's interut in the PropeRy, ' including, but not limited to, eminent domain, insolvency. code enforcement, or arrangements or proceedings involving a . ~ bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances. disburse such sums and take such action as is necessary to protect Lender's interest, including, but not limited to. disburaement of reasonable attomey'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 $or~wer; sh~ll pay the premiur~~ required to maintain such insurance in eHect until such time as the requirement f~ such insut~ce terminates in aceordance with Bomowet's and ~ ~q 4~ P^~~ 942 Y , - 9t33l~ ~ . ~ ~ . ~ ~ . . _ _ _ - - , - ~ ~ b ,.~.3~.-