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HomeMy WebLinkAbout1680 i ~ ~ I -2- I UNIFORII CO~'~~IAN~TS. B~~rro~+er and Lender ro~e~~ant and a~Zree as f.~Uow~: 1. Pa>menl oi Princip~l and Interesi. Borrower ,hall promptly pay «hen due the principai and interest indebtedness e~idenced by~ the N~te and late charges as pro~•id~d in the Note. 2. Funds for Taxes and Insurance. Subject to applirable law or a written waiver by Lender, Burruwer shall pay to Lender un the day monthly payments af principal and interest are payable under the Note, until the Note is paid in full, a sum (herein "Funds") equal to one-twelfth of the yearty taxes and assessments (including cundominium and planned unit development assessments, if an~~) which may attain priority over this 1~lortgage and ground rents on the Property~, if an~•, plus one-tv?•elfth of yearly premium installments for hazard insurance, plus one-tW~elfth of yearl~• premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by Lender on the basis of assessments and bitts an~ reasonable estimates thcrcof. SarroW~cr shali not be obligated [o make such payments uf Funds to Lender to the extent that Boerow~er makes wrh payments to the holder of a prior mortgage or deed of trust if such holder is an institutional lender. If Borrower pays Funds to Lender. the Funds shall be held in an institution che deposits or accounts of which are insured or guaranteed by a Federal or State agency (indudi~g Lender if Lender is such an institution). Lender shall apply ~ the Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not charge for so holding ~ and applying the Funds, analyzing said account or verifying and compiling said assessments and bills. unless Lender pays ° Borrower interest on the Funds and applicable law~ permits Lender to make such a charge. Borrower and Lender may f agree in writing at the time of execution of this Mortgage that ;nterest on the Fiinds shall be paid to Borrower, and unless such agreement is made or applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits 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 Mortgage. ~ If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to ~ the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said I 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 Borrower on monthly insta?Iments of Funds. !f the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due, Borrower shall pay to Lender any amount necessary ro make up the deficiency in one or more payments as Lender may require. Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds held by Lender. If under paragraph i7 hereof the Praperty is sold or the Property is otherwise acquired by Lender, Lender shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums secured by this Mortga¢e. 3. Application of Pp~~ments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof. then to interest payabte on the Note. and then to the principal of the Note. 4. Prior MortgAges xnd Dreds oE Trust; Charges; Liens. Borrower shall perform all of Borrower's obligations under any mortgage, deed of trust or other security agreement with a lien which has priority over this Mortgage, including Borrower's covenants to make payments when due. Borrower shall pay or cause to be paid all taxes, assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this ~I Mortgage, and leasehold payments or ground rents, if any. ! 5. Nazard [nsurance. Borrower shail keep the improvements now existing on c~reafter erected on the Property E ~ insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender E may require and in such amounts and for such periods as Lender may require. ; The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, a provided, that such approval shali not be unreasonably withheld. All insurance policies and renewals thereof shail be in a form acceptabie to Lender and shall include a standard mortgage clause in favor of and in a form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, subject to the terms of any mortgage, deed of trust ; or other security agreement with a lien which has priority over this Mortgage. ; 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 prom~tly by Borrower. k If the Property 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 offers to settle a claim for insurance benefits, Lender 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 Mortgage. ~ 6. Preservation and MaintenAnce oE Property; Leaseholds; Condominiums; PlAnned Unit Developments. ~ Borrower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the ~ Property and shalt comply wiih the provisions of any lease if this Mortgage is on a leasehold. [f this Mortgage is on a unit s in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the ~ declaration or covenants creating or governing the condominium or planned unit development, the by-laws and E regulations of the condominium or planned unit development, and constituent documents. 7. Proteciion of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, then Lender, at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums, including reasonable attorneys' fees, and take such action as is necessary to protect Lender's interest. If Lender required mortgage insurance as a condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for si~ch insurance terminates in accordance with Borrower's and Lender's written agreement or applicable iaw. ~ Any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, at the Note rate, shall ~ become additionai indebtedness of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms f of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof. Nothing ~ contained in this paragraph 7 shall require Lender to incur any expense or take any action hereunder. " E. lnspection. Lendet may make or cause to be rrzade reasonable entries upon and inspections of the Property, A provided that Lender shall give Borrower notice prior to any such inspection specifying reasonabie cause therefor related to Lender's interest in the Property. 9, CondemnAtion. The proceeds of any award or claim far damages, direct or consequential, in connection with • ~ e^p++~~~ FA~F~~c_)~ rn _ ~ ~ ~-:-~w~