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HomeMy WebLinkAbout0973 UNIPO~M COVENANTS. Bomower aad Leader cove~ant and agra as ~ollowa: ~ l. lqwed ot P~lacipl aad interaf. Borrower shail promptly pay when due the principal of and interest on the iadabtednes~ evideaced by the Note. prepayment a~d late charges as provided in the Note, and the principal of and interest o~ any Future Advances socumd by this Mortga~e. - 2. F~d~ !or Ta=a aoa Ianua~ce. Subjoct to applicabk law or to a written waiver by Lender. Botrower shall pay to Lender on the day monthly installments ot principal and interest are payabk u~der the Note, until the Note is paid in full. a tum (herein "Fundt'7 equal to one-twelfth of the yea~ly taxes and assasments which may atiaio priority over this Mort~age. and ground ren~ on the Pmperty. if aay. plus oae-tweltth of yearly premium installments for hazard insurance. plus on~-twelfth of yeuly prcmium iastallmenta for mortgage i~:urance, if any, all as reasonably estimated initially snd from , time to time by Lender on the basis of assessments and bills and reasonabk eatimates thereof. ~ The Fuads a6a11 be held in an i~stitution the deposits or accounts of which are insured or guaranteed by a Federal o~ atate agency (iqcluding Lender if L.ender is such an institution). Lender shall apply the Funda to pay said taxes~ assessments, insunacx pnmiums apd ground rents. Lender may not charge for so holding and applying the Funds. a~alyzing aaid account, . or verifying and compiling said assessments and bills, unless Le~der pays Borrower interest on t~~e Funds and applicable law permits Lender to make such a charge. Borrower and Lender may agrce in writing at thc time of execution of this Mortgage that interest on the Fuads shall be paid to Borrower. and unless such agreement is made or appticable law requires such interest to be paid. Le~der shaU not be required to pay Borrower any interat or earnings on the Funds. Lender sha11 give to Borrower. without charge. an annual accounting of the Funds showing crcdita and debits to the~Funds and the purpose for which each debit to the Funds was made. The Funds arc pledged as additional sa:urity for the sums secured by this Mortgage. If the amount of the Funds held by Lender, together with the future monthly inslallments of Funds payable prior to the due dates of taxes. assessmeats. insurance pnmiums and ground rents. shall excoed the amount nquired to pay said taxes. asseastnents, in:urance premiums and ground rents as they fall due. such exccss shall be. at Borrower's option. either pranptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funda held by L.ender shall not be sutTicieot to pay taxes. assessmenta. insurance premiums and ground rents aa they fall due. Borrower shall pay to Lender any amount nece3sary to make up the deficiency within 30 days from the date notice is mailed ' by L.eader to Borrower requesting payment thereof. ~ Upoa payment in full of all sums securcd by this Mortgage, l.ender shall promptly refund to Borrower any Fun~ held by L.ender. If under puagraph 18 hereof the Propeny is sold or the Property is otherwise acquired by I.ender. Lender shall apply. no Iater than immediately prior to the sale of the Property or ita acquisition by Lender. any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. ~ 3. Applicatbs of Py~meats. Unless apPlicable law provides otherwise. aU payments received by Lender under the Note and paragtaphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 heceof, then. to interest paysble on ihe Note, then to the principal of the Note, antl then to interat and principal on any Future Advanoes. 4. C6arZe~ Lkos. 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 grounS rents. if any, in the msnaer pr~vided und~r paragraph 2 hereof or, if not paid in such manner. by Borrower making payment. when due. directly to the payee thec+eof. Bonower shall promptly furnish to Lender all notices of amou~ts due under this pacagraph, and in the event Bormwer shall make payment directly, Borrowe~ shall promptly turnish to L.ender receipts evidencing such payments. Borrower shall pt~ompdy discharge any lien which has prioriry over this Mortgage; provided, that Borrower shaU not be roquired to discharge any such lien so long as Borrower shall agree in writi~g to the paycnent of the obligation secured 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, iegal proceedings which operate to prevent the enforcement of the lien or forfeiture of•the Property or any part iheeeof. S. Hazard Iasurance. Borrower shall ketp the improvements now existing or hereafter erected on the Property insurod again:t loss by-fire. 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 Lende~ shal! not require that the amount of such coverage exceed that amount of coverage required to pay the sums secure2l by this Mortgage. ~ 'Ibe iasurance 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 shall be paid in the manner provided uader paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, direcdy to the • insurance carrier. j All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage 4 clause in favor of and in form acceptabte 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 prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly by Bonower. Ualess Lender aad~Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property damaged. provided such restoration or repair is economically feasible and the security of this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would be impaired. the insurance proceeds shall be applied to .the sums secured by this Mortgage, with the excesa. if any. paid to Borrower. ]f the Propeny is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the ~ date notice is mailed by Lender to Borrower that the insurance carrier ofiers to settle a claim for insurance benefits, Lender is authorized to collect and apply t6e insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this I?iortgage. Unless Lender and Borrower otherwise agrce 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 patagraph IS hereof the Property ic acquired by Lender, all right. tide and interest of Borrower in and to any icu~trance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale ~ or acquisition ahall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sak or acquisitioa. 6. Preserratbn and Maintenance of Property; Lease6olds; Condominiums; Plsnned Unit Devdopments. Bormwer shall keep the Property ia good repair and shall not commit waste or permii 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 cavenants creating or governing the condominium or planned unit development, the by-laws and regulations of ihe - ; condominium 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 agreements of such rider ~ aba11 be incorporated into and shall amend and supplement the covenants and agrcements of this Mortgage as if the rider ~ were a part heroof. ~ 7. Protecttoa of I.ender's Securily. If Borrower fails to perform the covenants and agrcementa containcd in this Mortgage, or if any action or proceeding is eommenced which materially aHects I.ender's interest in the Property, iacluding, but not limited to. eminent domain, insolvency. code enforcement, or arrangements or proceedings involving a bankrupt or daxdent. then Lender at Lender's option, upon notice to Borrower, may make such appearancac, disburse such swns and take sach action as i: necassary to protect Lender s intereat. including, but not limited to. disbursement of ~ reasonable attomey's feas and entry upon the Pmperty to make repairs. If Lender required . mortgage insurance as a condition of makiag tne loan secured by this" Mortgage. Borrower shall pay the premiums required to maintain auch ~ i n s u r a n c e i n e H ce t u n t i l s u c h t i t n e a s t h e r e q uirement for such insurance terminata in accords~nce with Borrower's and ~ ~ B0~ PbGE ~74 ~ ~ ~ ~ - - - - :