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HomeMy WebLinkAbout0981 UN~FORAt CoveN.,NTS. Borrower and l.en~er c~~venant and agrre as foll~~ws: 1. Payment of Principal and Interest. HorruN•cr shall promptiy pay ~hcn ~iuc thc prinripal of ~nd intrrest on the indebtedneu evidenceJ by the Note, prepayment and latc rhargeti a. pruvi~led ~n the Note, and the prinripal uf and interest on any Future Advances secured bp this Mortgage. 2. Fuads tor Taxes and Insurance. Subject to applicablr law or to a~•ritten w~aiver by Lender, Borrowcr thall pay to L.ender on the day monthty installments of principal and intrrr.t are pa~~aMc under thc Note, until the N~~te i, paid in lull, a sum (hercin "Funds") equal to one-taelfth ot the yc:irly ta~e. ;~n~i ac~cssment~ which ma~~ auain pri~~rity over this Mohgage, and ground rents on the Property, if any, plus onc-t~~elfth of ~~arlp premium installments f~,r harard ~nsurancc, plus one-twelfth of }~early premium installme~ts for m~~rtgage ~nsuranr~. if :~ny, all as rcasonahl~~ c~timatcd initially an~1 from time to time by Lendcr on the basi~ of auessm~nts and hill~ and reawnahl~ estim:?tes thereof. 'i~e Funds shall he heW in an institution the deEx~sit~ or a~r~~unts uf w•hi~h are insured or guar.~ntecd by a Federal or state agency (including Lender if I.ender is such an institutionl. I cnder ~hall appl}~ the Funds to pa~~ said ta~es, assessment~, insurance premiums and ground rents. I.ender ma~• not charge for ,o hoiding and applt~ing the FunJs, analyring sai~i account, or verif~~ing and compiling said assessments and bills, unless Lender pa~~ Borrower interest c~n the Funds and applicable law permits l.ender to make such a charge. Borruwer and Lender m:?~ agrec in w•riting at the time uf rxerution of this ~tortgage that interc~t un the Funds ~hall he paid to Borruwer, and unle~s such agnemen~ is mad~ or applicahle law rcyuires such interest to he paid, Lcnder shall not tx reyuired t~~ pa~ B~~rrower any intcrest or carnings an the Funds. Lendcr shall gi~'e to Borrower, Nithout charge. :~n annu.?I accuuntir~g ~~f thr FunJ, .h~~«ing crcdils and dehits to thc Funds and the purpose f, r which each debit to the Fund. «•as madc. ~I~he Fund~ are pl~~lged a~ a~i~litiun~l securil~• for the sums secured hy thi~ 1lortgage. lf thc amount of the Funds hcld b}• l.cndcr, t~~gcthcr Hith thc future monthl~- in~tallmcnth of FunJti pa~:iblc prior to the due dates of taxes, assessments, insur~nce premiuma ~i~d ground rents, shall c~cced the amount reywred to p:?~ said taxes, assessments, insurance premiums and gruund rentc as the~• (all duc, such exre,s shall be, at Burruwer's opd~~n, either prompU~~ repaid to Borrower or credited tu Borrower on monthl~• imtallmcnts of Fund~. If the :?mount uf the Funds held by Lendcr shall not be sufl~icient to pay taxcs, assessments, imurancc prem~umc anJ gmund rents ac the~~ fall due, Borrowcr shall pa}• to 1_ender an}• amount necessan~ to n~ake up the d~tirirnc} within i0 d:~~s from the date notice is mailed by Lender to Borrower reyuesting pa~~mcnt therrof. Upon pa)•ment in full of all sums sccured by this Mortgagr. Lrnder shall promptly refund to BormNer any Funds held by I.ender. If under paragraph 18 hereo( the Propeny ~c ,uld or thc Propert~~ is otherwisr aryuirrd by Lender, Lender • shall apply, no t~ter than immediately prior to the tiale of th~ Property or its acquis~tian b}' !_ender, an}~ Funds held b}' Lender at the time of appliration as a cre~it against ~he sum~ sccured b~• th~~ 1lortgag~. 3. Application of Payments. Unless applicable law• pro.~i~ies other«ise, :~fl payments receiced by Lender un~ler the Note and paragraphc 1 and 2 hereof shall be applied by Lendcr first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest payablc on the Notc. then to the principal of the Notc, and then to intcrest and principal on any Future Advances. 4. Charges; Liens. Borrower shall pa~' all taxes, a~scs~mcnts ~nd ~~ther ch:irges, fines anu impositions attributable to the Property which may attain a priority over this Mortgage, and leaschold payments or ground rents, if any, in the manner provided unJer paragraph 2 hereof or, if not paid in such manner, b~~ Borrower making aayment, when due, directly to the payee thereof. Borrower shall promptly furnish to Lender all notices of ~mounts due under this paragraph, and in the event Borrow•er shall make payment directly. Borro~~er shall promptly furnish to Lender receipts evidencing such payments. Borrower shall prompdy discharge any lien which has priority over this Mortgage; provided, that Bnrrower shall not be required to discharge any such lien so long as Borrow•er shall :~grec in ~riting to the papment of the obligation secured by such lien in a manner acceptable to Lender, or shall in gcx~d faith contest such lien by, or defenJ enforcement of such lien in, , legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof_ 5. Hazard Insurance. Borrower shall keep the improvemcnts noH existing or hercaftcr ercctcd on the Propcrry insured against loss by fire, hazards included withm the term "extende.i coverage", and such other hazards as Lender may reyuire and in such amounts and for such periods as Lender may reyuire; provided, that Lender shall not reyuire that the amount of ~ such coverage exceed that amount of co~~erage required ro pa~• the sums secured b}~ this Mortgage. ' "il~e insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided, ~ that such approval shall not be unr~asonably withheld. All prcmiums 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, directly to the insuraoce carrier. All insurance policies and renewals thereof shall be in form arcept~ble to Lender and shall include s standard mortgage = clause in favor of and in form acceptable to Lender. Lender shall ha~•e the right tn hold the policies :~nd renewals thereof, # and Borrow•er shatl promptly furnish to Lender al! reneµ~al notices and all receip~s of paid premiums. In the event of loss, Borrower shall gi~•e prompt notice to the insurance rarrier and Lender. Lender may make proof of toss if not made prompdy ` by Borrower. linless Lender and Borrower otherW ise agrec in writing, insurance proceeds shall be applied to restoration or repair af the Property damaged, provided such restoration or repair is economically feasiblc and the securit}• of this Mortgage ~s not thereby impaired. I[ such restorat~on or repair is not econi~micalt}' feasihle or if the security of this Morlgage 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 Propert~ is abandoned hy Borrower, or if Borrower fail~ to respond to [_ender w~thin 30 days from ihe ~ date notice is rnailed by Lender to Borrower that the insurance carrier o(iern ta settle a claim for in5urance benefits, I_ender i~ auth~~ieeJ w culiect an~ apply the in~wancr p~uceeJ~ at Lender's uptirn either to restoration or repair of the r~o~ny~ or to thc surr~s sccured by this Mortgage. ' Unless Lender and Borrower other~ise ~gree in writing, an? such application ~~f proceeds to principal shall not extend ~ or postpone the due date of the monthly installments referred ta in paragraphs I and 2 hcreof or change the am~unt of ; such installments. If under paragraph f 8 hereof the Property is acyuired b~ Lender, :iU right, ~itle and interest of Borrower in and to an} insurance policies and in :~nd to thc proceeds thereof resulting from damage to the Propert}~ prior to the sale or acyuisition shall pass to Lender to the e~tent of the sums secured by this Tfurtgage immediatel~• prior to such sale or ~ acquisition. - 6. Presenalion and ~taintenance of Propert}: I.easehulds; Condomini~ms; Planned Unit De~elopmeMs. Borrowcr ~ shall keep the Property in good repair and shalf not commit waste ~~r permit imp~irment or deterioration of the Property and shall compl}' with thc provisions of any lease if this ~turtgage is un a Icasrhuld. If this Mortgage is on a unit in a - condominium or a planned unit development, Borrow~er shall perform all c~t Borr~w~er's obl~gations under the declaration - .ir covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the - cenJominium or planned unit development, and constituem ciocumems. If a condominium or planned unrt de~elopment n~er is executed by Borrower and recorded tugether with this M~~rtgage, the co~~enants and agreements of such rider shall be incorporated into and shall amend and supplement the co~enants and agreements of this Mortgage as if the rider = were a part hereof. l ' 7. Protection of Lender's Secu:ity. If Borroaer fa~ls to perfc~rm the covenants anel agreements contained in this ' blortgage. or if any action or proceed~ng is commence~ ~hich materiaUy affects Lender's interest in the Property. including, but n~~t limited to, eminent domain, insolvency~, code en(orcement, or arrangements or proceedings invol~~ing a bankrupt or decedent, then l.ender at Lender's option, upon notice to Borrower, ma} make such appearances, disburse such sums and take such action as is necessary to protect l.ender's ~nterest, including. but not limited to. disbursement of reasonable attorney's fces and entry upon thc Propcrty to make repairs. If Lcnder rcquired mortgage insurance as a condrtion of making the loan secured b}• thic Mortgage. BnrruHrr shall pay the premiums required to maintain such ~ insurance in efiect until such time as the reyuirement for such insurance terminates in accordance with Borrower's and QOr:K ~J7 P.~~E 9~~ :~a, ~ ~ .~.rsas - g: .