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HomeMy WebLinkAbout0979 ~ c . • Urt~atta CovaN~t~n's, Borrower at~d I.eade~ rnvenant and agra as fa!'ows: t ~ i 1. Paymeut of P~Iactpd aod Interat. Borrow~r shall promptly pay when duc the principal of and interest on the ~ iadebtadnesa evidtnced by !he Note. pnpayment and late charges as provi~ied in the Note. and the pri~cipal of and interest ; on aay Future Advances socund by this Mortgage. 2• I+~nds [or Tues sad I~ra~ce. Subject to applicable law or to a written waiver by I.ender~ Borrowe~ shall pay to I.ender on the day monthly installments of principal and i~terest are payable uader the Note. until the Note is paid in full. ~:um (herein "Funds") equal to orte-iwelfth of thc yeariy taxes and assessments which may attai~ priority over this ~ Mortgage. and ground rents on the Property. if any. plus oae-twelfth of yearly premium instaltments for hazard insurance, pfus ono-twelfth of yearly premium installments fo~ mohgage insurance, if any, all as reasonably estimated initially and from time to time by I.eader on the basis of assessments and bitis and reasonable estimates thZreof. Tl~e Funds shaU be held in a~ institution the depasits or accounts of which are insur~ed or guarac?tced by a Fedenl or state agency (including I.ender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessmeats. insuraace premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said acoount, or verifyi~g and compiling said assessments a~d bilis. unless Lende~ pays Borrower i~terest on the Funds and applicable law permits Lender to make such a charge. $orrower and I.ender may agree in writing at the time of execution of this ~ Mortgage that interest on the Funds shall be paid to Borrower, and unless such agrcement is made or applicabie law requires such interest to be paid, Lender shall not be required to pay Borrower a~y interat or ear~ings on the Fuads. Leadcr shaq give to Borrower, without charge, an annual ac~ounting of the Funds showing cr~dits and debits to ihe Funds aad the purpos~ for which each debit to the Funds was made. The Funds are plodged as additional security for the sums secured by this Mortgage, ~ If the Amount of the Funds held by I.ender, together with the future monthly installments of Funds payable prior to t6e due dates of taxes~ assessmeats. insurance premiums and ground re~ts. shall exceed the amount required to pay uid taxes, ~ assessments, insurance premiums and ground rents as they fall due, such excess shall be. at Bonower's option. either ~ prompdy repaid to Sormwer or credited to Borrower on monthly installments of Funds. lf the amount of the Funds ' held by I.eader shall not be suf6cient to pay taxes. assessments, insurance premiums and gmund renis as they fal! due. ~ $orrower shail pay to Lender any amount aocessary 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 Martgage, l.ender shall promptly refu~d to Borrower any Funds ~ held by I.ender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender sball appty, no later than immediately prior to the sale of the Property or its acquisition by I.ender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. 3. A~ikatioa of Paymeots. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender fiist in payment of amounts payable to Lender by Borrower under paragraph Z hereaf, then to interest payable on the Note. then to the priocipal of the Note. and then to interest and principal on any Future Advinces. CY~es; Lk~s. Borrower shall pay a!1 taxes, assessments and other charges, fines and impositions attributable to tLe Property which may attain a priority over this Mortgage, and leasehold payments or g~+ound renta, if any. in the manaer provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, direcdy to the payce the~+eof. Borrower shall prompUy furnish to I.ender all notices of amounts due umkr this paragraph, and io t6e tvent Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such paymeats. Bonower shall promptly discharge any lien which has priority over this Mortgage; provided, ihat Borrower shal! not be required to discharge any such tien so long as Borrower shalt agree in writing to the payment of the obligation secured by suc6 lien in a manner acceptable to I.ender, 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 fodeiture of the Property or any part thereof. S. Hazard Iasnrance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire, hazards included within 16e term "extended coverage", and such ofher hazards as I.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 Mortgage. 'ILe insurance carrier providing the insurance shall be chosen by Bonower subject to approval by Lender, provided. that such approval shall not be unreasonabty withheld. All ptemiums on insurance policies shall be paid in the m~nner ~ provided uader paragraph 2 hereof or, if noi paid ia such manner, by Borrower making paymeat, when due, dinctly to the insuraace carrier. All iqsurance policies and renewals thereof shall be in form acceptable to Lender and shalt incTude 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 furniah to Lender aU renewal notices and all receipts of paid premiums. In thc event of loss, F Borrower shall give prompt noticc to the insurance carrier and Lender. Lender may make proof of loss if not made promptly ~ by $orrower. ~ ~ Unless L.ender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of ; the Property damaged, provided sueh r~.,toration 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 excess, if any, paid ~ to Borrower. If the Propeny is abandoned by Borrower, or if Borrower faits to respond to Lender within 30 days from the date notice is mailed by I.ender to Borrower that the insurance carrier ofiers to settle a claim for insurance benefits. Lender is aut6orized to collect and apply the insurance proceeds at Lender's option either to restoration or r~pair of the Properiy or to the sums secured by this Mortgage. . Unless Lender and Borrower otherwise agree in writing, any such appl'+cation 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 sucb installments. lf under paragraph 18 hereof the Proper'ty is acquired by L.ender, all right. tide and interest of Borcower 3 in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale s ~ or acquisidon shall pass to i.ender to the extent of the sums secured by this Mortgage immediately prior to such sak or E acquisition. 6. Preservaljoa aad Mainteaance of Property; I.easeholds; Condominiums; Planned Uoit Developrneafs. 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 covenarets creating or governing the condominium or planned unit development, the by-laws and regulations of the con~ominium or planned unit development, and constituent documents. If a condominium or planned unit development rider is ezecuted by Borrower 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. 7. Protectfon of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is commeneed which materially aftects L.ender's interest in the Property, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, then Leuder at L.ender'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, disbursement of reasonable attomey's fees and entry upon the Property to make repairs. If I.ender required mortgage insuraace as a condition of making the loan secured by this Mortgage, Borrower shall pay the premiums reyuired to maintain such insuraace in ef[ect until seech time as the requirement for such insurance terminates in accordance with Borrower's and ~ ~o~ 43fi Pa~E 980 _ .v~.,~,~, ~:~~~.~;~s ~