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HomeMy WebLinkAbout0979 r . ~ . . . . i ~ ~ • ' ~ ~ . ~ . ` ~ • 1s ~ _ .1 . . UNIFOR~t COV~N!!NTS. Ba~mwer and l.ender covenant a~d ~grec as &illows: 1. PAyment ot Pdnclpa! ap~i Interest. BOi'fOwer shall pr~~mptly pay when due thc principal of and interest on the indebtedness evidenced by the Nate, prepayment nnd late charges as provided in the Note, and the principal of and interest on any Future Advances sec~~ed by this Mor~gage. . 2. Funds for T~ues and Iasuraace. SuLject to applicuble law or to a written waiver by Lender, Bortower shail pay t~ Lxnder on the day monthly instaltm~nts of principal and interest are payable under the Note, until the Tvote is paid in full, a sum (herein "Funds") equal to one-tH~efft!~ of the yearly taxes and assessments which may attain priority over this ~ Mortgage, and ground rents on the P~operty, if ;=ny, plus onc-twelfth of yearly prcm:um installments for hazArd insurnnce, plus one-tweltth of yearly prcmium installmenls~for mortgage insurance, if any, atl us reasonably estimated initiall,v and from time to time by Lender on the basis of assessmcnts and bills and reasonablc estimates thcreof. . The Funds sh~ll be held in an instituti~n the deposits or accounts of which are insured or guaranteed by u Federal or ` state agency (including Lender if Lender is such an institution). 1_ender shall apply tlie Funds to pay said taxes, assessments, ~ insurance premiuni~ and ground rents. l.ender may not charge far so I~oldi~g ~na applying the Funds, analyzing said account, or verifying and compiling said ussessments and bills, unless Lender pays Borrower interest on the Funds and applicable law permits Lender to make such a c'.ar~•:. Borrower and I.ender may agree in writing at the time of execution of this Mortgage that interest on Ihe FunJs shalt bc paid to Berrowcr, an~ unless such a~reement is made or applicable law requires sucti interest to bc paid, L.end~r shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Eorrower, wilhout charge, an annual accaunting of the Funds showing credits and debils 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 r4ortgag~. !f the amount of the Funds held by Lender, :ogether with the future mnnthly installments of Funcis payable prior to ~ the due dates of taxes, assessments, insurance premiums and ground rents, shafl exceed 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 8orrower on monthly installments af Funds. lf the amount of the Funds . held by Lender shall not be suffici.ent to pay taxes, assessments, insurance ptemiums and ground rents as they faU due, ' Borrower shall pay to Lender any amount necessary to make up thc deficiency within 30 days from the date notice is mailed - by Lender to Borrower requcsting payment thercof. - Upon payment in full of all sums secured by this Morlgage, 1_endcr shall promptly reEund to Borrow~er any Funds . held by Lender. If under paragraph 18 hereof the Property is s~~ld or the Property is othenvise acquired by Lender. Lender shall apply, no later than immediately prior to the sale of the Properly or its acquisition by I_er~der, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortgage. ~ 3. Applieatlon of Payments. Unless applicable law~ provides otherwise, all payments receive~d by Lender under the Nate and paragraphs 1 and 2 hereof shall be applicd by I.enclcr first in payment of amounts payable to Lcndcr by Borrower under paragraph 2 hereof, then to int~rest payablc on thc Note, then to the.principal of thc Natc, and then to interest and principal on any Futurc Advances. ~ ~ ~ 4. Charges; Liens. Barro~4•er shall pay all taxes, assessmcnts and othcr charges, fines and impositions attributable to ~ the I'roperty which may attain a priority over this b4orlgage, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymen[. when due, direcdy to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts duc under this paragraph, and in the event Borrower shall make payment directly, Borroa~er shaU promptly furnish to Lender receipts evidcncing such payments. Borrower shall promptly discharge any lien which has priority over this 1~~ortgage; provided, that Borrower shal! not be required to discharge any such li.:n so long as Sorrower s;~all abree in writing to the pa~~ment of ihe obligation secured by ~ ~uch tien in a manner acceptable to Lender, or shall in good frith eontest such lien by, or defend enforcement of such lien in, . legal proceedings w}~ich oparate to prevent the enforcement of the lien or fo~eiture of the Property or any part thereuf. . S. Haz~rd Insurance. Eorrower shall kcep the impro~~cments noH~ existing or hercafter erected on the Property insured against loss by fire, hazards indUded within the term "extended coverage", and such other hazards as Lender may require and in such amounts anc! for s~ch periods as Lender may require; provided, that Lender shall not re~uire that the arnount of such ~overage exceed that amount of cov~rage reyuired to pay the sums secured by this tvtortgage. . The iqsurance carciey providing the insurance shall 5e chosen by Botrower subject to approval by Lender, provided, ~ ~ that such approval shall nat be unreasonably withheld. All premiums on insurance policies shall be paid in the manner ~ provided ~inder paragrapti 2 hereof or, if nut paid in such manner, bp Fiorrower making payment, when due, directly to the t ~ insurance carri~r. ~ ~ All insurance policies and renewals thereof shall be in f~rm acceptable to Lender and shall indude a standard mortgage clause in favor of and in form acceptabie to Lend~r. Lender shail ha~~e the right to hold the policies and renewals thereof, and Borrower shall promptly :urnish to Lender all renewal notices and all receipts of paid premiums. In the event of Ioss, Borrower shall give prompt notice to the insurance carrier and Lender. Ler~der may make proof of loss if not made promptly by Borrowe:. _ . . . Unless Lender and Bonow•er otherwise agree ir writing, insurance proceeds shall be applied to restoration or repair of the Property dantaged,~ provided such restoration or repair is economically feas~ble and the security of this Mortgage is not the~eby impaired. Tf such r~storation or repair is not economically feasible or if the security of this I~lortgage would j ~ - be impaired, the insurance proceeds shal! be applied to the s~ms secured by this Mortgage, ~~ith the excess, if any, paid ~ to Borrower. If the Property is abandoned by Borrowcr, or if Borrower fails to respond to Lender within 30 days from thc dat~ notice is mailed by Lender to Borrower that the insura~~ce carrier offers to settle a claim for insurance benefits, Lender i is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this hiortgage. . Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone the due date of the mor~thly instalimen[s ref~erred to in paragraphs 1 and 2 hereof or change thc amount of such installments.. If un~ier paragraph 18 hereof the groperty i: acquired b~~ Lender, alt right, title and interest of Borrower in and to any +nsurance policies and in and to thc procecds thereof resulting from damage to the Property prior to the sale or acquisition shail pass to I,ender to the este.nt of the sums sc,cured by this rtortgage immediately prior to such sale or acquisition. _ - 6. Freser~•ation and b'~aintenance ort Properiy; Leaseholds; Condaminiums; Planne~l 'CJnit De~•elopments. Borrow•er shalt keep the Property in good rep~ir and shall r.at commit v~aste or permit impairment or deterioration of the Property ~ and shall comply with the prcvisions of any lease if this M~rtgage is on a lezseh~ld. If this Mortgage is on a unit in a condominium or a planned unit developmenl, Borrower shall perform all of Borrower's obligations under the declaration oc covenants creating or governirg the condominium or p~anned unit development, the by-laws and regulations of the i condominium or planned unit development, and constitaent documents. I( a cor.dominium or planned unit development rider is executed by Borrower an3 recorded together with this I~iortgagc, the covenants and agreements of such rider shall be incorporated into and shall amend and supplement the covenants and agreements of ttiis Mortgage as if ihe rider were a part hereof. 7. Peotectian of Len~er's Security. If Borrowcr fails to perform the.covenants a~:d agrcements containeu in this Mortgage, or if ar;y action or proceeding is commenced which materially affiects i.ender's interest in the Property, inctuding, but noi lir~ited to, emineni domain, insolvency, code enfo~cement, or_ ~rrangements or proceedings involving a bankrupt or decedent, then Leader at Lender's option, upon notice to Boriower,~mati~ 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 alt~mey's f^es and entry upon the Property to make :epairs. If Lcnder required mortgage insurance as a condition i'-f making i~':=~ l~an secured by this Mortgage, Borro«•cr shall pay the premiums rf. {a![Cd to maintain such ~ insusance in effect until such time as the req~iiremznt f~r such insurance terminates in accor~arce wiih Borrow.er's and - k . ~ .