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Home My WebLink About0980 ~ . ~ y,,. • ' ' • U1~IIFQRbt COVENANTS. Borrowtr and Lendee covenant and agr~e as [o11oH=: ~ l ~ 1. P~ytnenf ot Prinripd a~ la~terest. ~3orrower shall promptiy pay when d~e thc ptincipai of and intereal on thc inckbtedness ovidencrd by the Note, prepayment ai~d lata charges as provide~d in th~ Note. and tho principA! uf and interrst , on sny Future Advancos secuted by this I~iortgage. ~ 2. Fands for T~ses a~!d Insunu+ce. Subject to appltcable law or ta a written w~iver by Lenda~~ Borrower shall pay to Ltnder on thc day monthly installments of principal and interest a.?c payable urtder the Notc, until the Notc is paid in full, a sum (hercin "Funds") equal to one•twelfth of thc yearly laxes and asxssments which may attai~ priority over this Mort~age, ar~d gruund rents on the Prope~ty, if any, plus ~ne-twelftf~ of yoarty premium instalimcnts for haaard insuranc~, ~ plus one-twelfth of yearly premium installments for mortgsge insurance, if any~ all as nasonably estimated initially and from timc to time by Lendcr on the basis of asscssments and bills and reasonable ostimates thercof. - , ~ The Funds shall be held in an institution the deposits or accounts~af which are insured o~ guaranteed by a Fcderal ot state agency (including Lender if Lender is s?ich an institution). Lender shall apply the Funds to pay said taxes, assessmer.ts, insueance premiums and g~ound rents. Lender may not charge for so holding and applying tha F~unda, analyzing said account, or vcrifying and compiling said asstssments and 5ills, unless Lender pays Rorr~wer interest on the Funds and appticabte law permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this Mongage that interest on the Funds shall be paid to Borrower~ and unless such agrcement is made or applicable law - requires such inttrtst to tse paid, Lender shall not t~e required io pay Borrower any interat or earnings on ths Funds. Lznder shall give to Borrower, without charge, an annual accounting of the Funda showing credits and debits to the Funds and the purpose for which ea~eh debit to the Funds was made. The Funds are pledged as additior.al s~curity for th~ suma ucured by this Mortgage. If the amount of tl~e Funds held by Lenckr, together with the tuture monthly installmenis ~of Funds payable prior to the ciue datts ~f ~axes. asse3smtnts, insdrarsre prcmiams a~d ground ren!s, shall excced thc amount required to pay sai~ laa~, ~ assessmenis, insurance premiums and ground rtnts as they fall due, such excess shall be, at Borroµ~er's optian, either promptly repaid to Borrower t~r credited to Borrower on ~onthty installments of Funds. If ihe amount of the Funds held by Lender shalt not be sufficient to pay taxes, assessments: insurancc premiums and ground rents as they fall due, Bor~ower shal! pay to Lender any amount necessary to make up the deficiency within 30 days [rom the date notice is mailed by Lendcr to Bc~rrower requesting payment thereof. ~ Upon paymeni in fuU of all sums secured by this Mortgage, l.ender shall promptly refund to Borrower any Funds held by Lender. If under paragraph l8 hereof the Property is sold or the Properry is otherwise.acquired by Lender. Lender , shall. apply, no later than immediatcly prio~ to the sale oF the Properiy or ils~acquisitie~ by Ler-~er, any Funds held .by Lender at the iime of application as a credit against the sums secured by this hlortgage. _ . 3. Applicmlion of PAyments. ltnless applicable law provides otherwise, all payments reccived by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lendet first in p~yment of amounts payable to Lender by Borrower : under parag~aph 2 henof,'then to interest payable on the. Note, then to the principal of the Note. and then to.interest and ~ prir.cipal on any Future Advances. ~ . ~ ~ 4. Clwrges; Lk~. Borrower shall pay all laxes, assessmer.ts ~nd othe~ charges, fines and impositions attribuiable to the Property K•hich may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, en the manner ~ provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymtnt, when due, diractly to the payee thereof. Borr~wer shall prnmptly furnish to Lender a1l notices of amounts due under this paragraph, and in the event . Borrower shall make payment directly, BorrowEr shall promptly [urnish to Lender receipts evidencing such payments. ~ Borrower shall prompQy discharge any lien which has priorit~ nver this Mortgage; provided, ti~at Borro~xer shal! not be ~ required to discharge an~+ such iien so Eong as Borrower shall agree in v~riting to the payment of the obligation secured by . such lien in a manner acceptaEle to Lender. or shall in good fai!h contest such lien by, or defend enforcement of such lien in~ legal proceedings which oE+erate to prevent the enforcement of ~he I~en or.torfeiture of the Property or any part :hsreof. 5. Hazard insurance. Borrower shall keep the imptovements now Pxisting or he~eafter erected on the Property insured against 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 reyuire; provided, that Lendec shall not require that tht arnount of such coverage eaceed-that amount of coverage required to pay tt~e sums secured by this.Mortgagt. ~ "Ih~ insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Le .der, provided, that such approva! shall not be unreasenably withheld. All premiums on insurance policies shall be paid in the manner pravidtd under paragraph 2 hereof or, if not paid in such manner, ~y Sorrower making payment, when due. direcdp to ihe ~ insurance carrier. ~ Alt insurance policies and renewals thereof shall be in form acceptabfe to Ler~der and~shall include a standard mortgage clause in favor of and in form acceptabie to Lender. Lender shal) have the right to hold the policies and renewals thereof, . and Borrower shall promptly furnish to Lender all rerewal notices and all receipts of paid premiums. In tht event of loss, ~ Borrower shalt give prompt notic~ to the insurance carrier and Lender_ Lender may make proof of loss if not made pramptly - by Borrower. . ~ Unless Lender and $orrc~wer otherwise agree in writing, insurance proceeds shall t*e applied to restoration or repair of ~ the Properry damaged, provided such restoration or repair is economically fsasible ar~d the sccuriry of this Mortgage is not thereby impaired. If such restoration or repair is not ecoriomically feasible or if the security of this Mortgage would ~ be impaired, the insurance proceeds shal! be applied to the sums secured by this Mortgage, with the exeess, if any, paid ~ to Bor~ower_ If the Property is abandone~ by aorrower, or if Borrower fails to respond ta Lender within 30 days f~om the , date notice is mailed by I.ender to ~orrower that the insurance carrier ofien to settle a claim for insurance benefits, Lender ~ ` is authorized to coliect an~ appEy the lnsurance proceeds at Lender's option either to restoration or repair of the Property ; or to the sums secured by this Mortgage_ ! Unlas Lender and Borr~wer otherwise ~gree in writing, any such application of proceeds to principal shall not extend or pcstpone the due date of ~1he 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 L.ender, al! r~g,h:, tide and interest of Borrower in and to any insurance policies and in and to the proc:~eds thcreof resulting from damage to the Property prior to the sale - or acquisition shaN pass ta Lender to the extent of the sums secuced b~ this Mortgage immediately prior to sUCh sale or ~k acquisition. ~ - I 6. Preservntion and Maiatenance ot Property; Lerseholds; Condomfni~ams; Planned Unit De~~elopme~ts. Borrower . ~ shail keep the Fro~erty in good repair and shall not c~mmit ~vaste or ~ermit impairmxnt or deterioration of the Pro~+erty ~nd shall comply with the provisions of any lease if this Mortgage is on a leasehad. ]f this htcrigage is on a-unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declar3tion or covenanis creatiag or governing the condominium or planned unit de~etup_ment, ti~e by-laws and mgidat~ons of ihe - condominium or planned unit development, and constit~~ent decumenls. I€ a condominium or planned i:nit deYClopment . rider is exec;~ted by Borrower and rscorded together with this Mortgage, the covenants and agreerste~ts of such rider shall be incorporated into and ahall amend and supplement th2 covenants and agreements of this Mortgage as if t~e ridtr € wero a part hereof. ~ ' ~ 7. Protecsicn of Lrn~de~s Seeurity. If Borrower fails :o perform the covenants and agreements contained in this biortgage, or if any action or Qroceedij~g is commenced w•hich 'materially af[ects Lender's interest in the Property, ineluding, but not limi:ed to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedtnt, then ~ender a! Lende~ s option. upon nntice to Borrower, may make such appearances, disburse such ~ sums an~l tzk~ such action as is necessary to protect Lender's interest, including, b::t not limited to, disbursement of ~ ~ reas~nable attomey's t~es and entry upon the Property to make rcpairs. if Lender reqiiired morigagt insurance as a ` condition flf making the loan ucured by this Mortgage, Borrower shall pay the premiums required to maintain such iasurance in eftect uniil such time as the requirement for such insurance terminates in accordsnce with Borrower's and ~l:~~elV•J f''~~ V 1(~ -