|
I
<br /> �$- Q01860
<br /> Uxrnonet CovantwN�rs. Boaowtr and L.ender covenant and agree as follows :
<br /> 1: Payment of Prtoclpal and infernt. Borrower sha{I promptly pay when due the principal of and interest on the
<br /> iadebtedness evidenced by th� Note, prepaymtnt and late charges as provided in the 1Yote, and the principal of and interest �
<br /> on anyFuture Advances secured by this Mortgage. %
<br /> 2. I+ands tor Ta�ces and Insurance. Subject to applicable law or to a written waiver by Lender, Bocrower shall pay
<br /> to Lender on the day monthly installments nf principal and interest are payable under the Note, until the Note is paid ia full.
<br /> a sum (6ereir� "Funds") equal to ont-twelfth of the yearly taxes and assessments which may attain priority over this
<br /> Mortgage, and ground rents on the Property, if any, plus one-twelfth of yeariy premium installments for hazard insurance,
<br /> " � plus ono-twalfth of yearly promium installments For mortgage insurance, if any, ail as nasonably estimated initially and from
<br /> dme ro time by Lender oa the basis of assessments and bills and reasonable estimates thereof.
<br /> T6e Funds shali be held in an instimtion the deposits or accounts of which are insured or" guaranteed by a Federat or
<br /> state agency (including Lender if Lender is such an institution) . Lender shall apply the Funds to pay said taxes, assasments,
<br /> insurance premiums and ground rents_ Lender may not aharge for so holding and applying the Funds, analyzing said account,
<br /> or verifying and compiling said assessments and bills, uniess Lender pays Borrower interest on the Funds and applicable law
<br /> permits Lender to make such a eharge. Borrower and Lender may agree in writing at the time of execution nf this
<br /> '} Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or apptieable Iaw
<br /> requires such interest to be paid, I.ender shall no[ be reyuired to pay Borrower any intcrest or earaings on the Funda. L.ender
<br /> � shall give to Borrower, without charge, an annua! accouniing of the Funds showing credits and debits to the Funds and the
<br /> � ' purpose for which each debit to the Funds was mada 'Ihe Funds are pledged as additional security for the surns secured
<br /> � by this Mortgage.
<br /> ; ' If the amount of the Funds held by Lender, together with the future monthly instaliments of Funds payable prior to
<br /> the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br /> i ' assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either
<br /> prompdy repaid to Horrower or credited to Borrower on monthiy instaliments of Funds. If the amount of the Funds :
<br /> " i held by Lender shail not be su9icient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br /> Borrower shali pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br /> � : by Lender to Horrower requuting' payment thereof.
<br /> Upon paymeat ia full of all sums secured by this Mortgage, Lender shail prornptly refund to Borrowee any Funds
<br /> held by L.endee If under pazagraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. L.ender �
<br /> shall apply, no tarer than immediately prior to the sale of tbe Property or its acquisition by L.endeq any Funds held by _
<br /> Lender at the time of application as a credit against the sums secared by this Mortgage.
<br /> j ; 3. Applicallon of Payments. Unless applicable law provides otherwix, all payments received by Lender under the
<br /> ; � ; Note and paragraphs 1 and 2 hereof shall be appiied by Lender fiest in payment of amounts payable to Lender by Borrower
<br /> ; j 1 under paragraph 2 6ereof, then to interest payable on the Npte, then to the principal of the Note, and then to interest and
<br /> principal on any Future Advances. '
<br /> k
<br /> ;i 4. Charges; Le�. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributahle to i
<br /> i ; the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner �'
<br /> ? ' provided under paragraph 2 hereof nr, if not paid in such manner, by Borrower making payment, when due, direcely to the
<br /> , � ; payex thereof. Borrower sha11 prompdy fumish to Lender all nouces of amounu due under this paragraph, and in the eveat
<br /> � : Borrower shall make payment direcUy, Borrower shall promptly furnish to Lender receipts evidrncing such paymenu. '
<br /> } { Borrower shall prompdy discharge any lien which has prioriry over this Mortgage; provided, that Borrower shall not be �
<br /> eequired to diuharge any such lien so long as Borrower shalt agree in writing to the payment of the obligation secured by
<br /> � r such lien in a manner acceptable to Lender, or shall in good faith coMest such lien by, ar defend enforcement of such lien in,
<br /> ` ' ' legal proceedings wlucfi operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br /> � 1, 5. Has�rd Insucance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br /> � ", against loss by Sn, hazards included within the term "extended coverage", and such other hazards as Lender may rcquire
<br /> � and in such amounts and for such periods as Lender may require; provided, that Lender shall not require that thc amount of
<br /> such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br /> � ! The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided, �
<br /> � that auch approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
<br /> provided under paragraph 2 hereof ar, if not paid in such manner, by Borrower makiag paymrnt, when due, dirccdy to the
<br /> :�`. insurance carrier.
<br /> % �� All insurance policies and rrncwals thereof shall be in form acceptable to Lender and shall indude a standard mortgage
<br /> ,: Si clause ia favor of and in form acceptable to L.ender. Lender shall have the right to hold the policies and renewals thercof,
<br /> a� and Borrower shall prompUy fumish to Lender all renewal notices and all receipts of paid premiums. In the event of loss.
<br /> : ' s; Borrower shall give prompt notice to the insurance carrier and Lendec Lender may make proof of loss if not made promptly
<br />� .; by Borrower.
<br /> � . Unlesa Lender and Borrower othenvise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />� :+ the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is
<br />' 'i not thereby impaired- If such restoration or repair is not economically feasible or if the security af this Mortgage would
<br /> j; �i be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
<br /> `; to Borrower. If the Property is abandoned by Borrower, or iE Borrower fails to respond to Lender within 30 days from the
<br /> :j date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br /> �' is authoriud to wpect and apply the insurance proceeds at Lender's option eiffier to restoration or repair of the Property
<br /> EF or to the sums saured by this Mortgage.
<br /> " Unless I.ender and Bottower otherwise agree in writing, any such application of proceeds to principal shall not extend
<br /> 'y; or pagtpone the due date of the monthly instatlments referred to in paragraphs 1 and 2 hereof or change the amount of
<br /> r such installmeots. If under paragraph IS hereof the Property is acquired by Lender, all right, tide and interest of Borrower
<br /> in and to any insurance policies and in aad to the proceeds thereof resulting from damage to t6e Property prior to the sale
<br /> -d'. . or acquisition s6a11 pags to Lender to the extent of the sums securai by this Mortgage immediately prior to such sale or
<br /> � acquisition.
<br /> �f 6. Prnervation and Msintenance of Property; Lease6olds; Condominlums; Planned Un1t Developments. Borrower
<br /> • shal! keep the Property in good repair and s6all not commit waste or permit impairmmt or deterioradon of the Property
<br /> " and s6all comply with the provitioas of any lease if this Mortgage is on a lcasehold_ If this Mortgage is on a unit in a
<br /> � coadominium or a planned unit devefopment, Borrower shall perform all of Borrowers obligations under the declaration
<br /> � , or covenants creatin or
<br /> g governing the condominium or planned unit developmen4 the by-laws and regulations of the
<br /> 'f condominium or planned unit devdopment, and constituent documents. If a condominium or planned unit development
<br /> , � . rider is uecuted by- Sorrowec and recorded together wiffi this Mortgage, the covenanu and agreements of such rider _
<br /> K �- sLall be incorporated into and shall amend and supplement the covenants and agreemenu of this Mortgage as if the rider
<br /> were a part hereof.:
<br />"� 9. Protectlon oE LendePs Secudty. If Borrower fails to perform the covenanu and agreementa contained in this
<br />=?' ' blortgage, ` or if any ' action or proceeding. is commenced which materially affects Lender's interest in the Property,
<br />� , ,, iueluding, but not lianted to, eminent domain, insolvency, code enforcement, or arrangemenu or proccedings involving a
<br /> banYcupt or decedeny then I.ender atZender's option, upon notice to Borrower, may make such appearances, disburse such
<br /> sums and 'take auch action as is necessary to, protect Lenders interest, including, but not limited to, disbursement of
<br /> " ',� reawnahle attomey's fees" and rntry upon the Property to make rcpairs. If Le�er required mortgage insurance as a
<br /> � condition of making the loan secured by this Mortgage. Borrower shali pay the premiums required to maintain such
<br /> insurance In effect until such time as the requirement for such insurance terminates in accordance with Borrower's and
<br /> -.�. , �. 6 ' . . � � � � .
<br /> ..{ . . � . � - .
<br /> .' ` �t . . _ � ..
<br />
|