|
~ _ . .~~~
<br />~~-~~,~
<br />UxtpoxM Covt:xnx7s. Borrower and Lentkr covenant and agree as follows:
<br />I. Payment of Principal and Interest. Borrower shall promptty pay when due the principal of and interest on ffia -
<br />indebtedness evidenced by the Nete, prepayment and late charges as provided in the Note, and the principal of anti interest"' -
<br />on any Future Advances secured by this Mortgage.
<br />2. Fantle for Taxes and Insurance. Subject to applicable law or zo a written waiver by Lertder, Borrower shall pay _
<br />to Linder on she day monthly installments of principal and interest are payable under [he Note, until the Note is paid in full,.-- -
<br />a suet (herein "Funds"} equal to one-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-twetfth of yearly premium installments for hazard insurance;. -.-- _
<br />plus one-twetfth of yearly premium installments for mortgage insurance, if any, alt as reasonably estimated initislty and from- - "_ - -
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates therwf. -
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments;. - "
<br />insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, anatyzing said account; - - -
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law- - -
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest on the Funds shall 6e geld to Borrower, and unless such agreement is made or applicable law _
<br />requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums ~eeured-
<br />by this Mortgage. - -
<br />If the amount of the Funds head by Lender, together with the future monthly installments of Funds payable prior to
<br />the due dales of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,.
<br />assessments. insurance premiums and ground rents as~they fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credired :o Borrower an monthly instalirnents of Funds. If the amount of the Funds
<br />held by Lender shall act be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />.Borrower shall pay to Lender any amotmt necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment m full of all sums secured by this Mortgage. Lender shat! promptly refund to Borrower any Funds
<br />held by Lender. I[ under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. Lender
<br />shall apply, ne later thar. immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured ty this Mortgage.
<br />3. Applicaiioa of Payments. Unless applicable law provides otherwise, alt payments received by Lender under the
<br />Note and paragraphs t and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph Z hereof, that. to interest payable on the Nora, then to the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Liens. Borrower shall pay all axes, assessments and other charges, fines and impositions attributable to
<br />[he 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 or, if not paid in such manner, 6y Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall promptty furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shalt promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has pnocity over this Mortgage: provided, that Burrower shag not 6e
<br />required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation severed by
<br />such lien in a manner acceptable to Lender, ur shaft in goad faith contest such lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to proven[ the enforcement of the lien or forfeiture of the Property or any pan thereof.
<br />5. hazard Insurance. Hoaower shalt keep the improvements now existing or hereafter erected un the Property insured
<br />against lass by fire, hazards included within the term "extended coverage", and such other hazards as Lender mac require
<br />and in such amounts and for such periods as Lender may require; pr<vided, that Lentter shall nut rcyuire that the amount of
<br />such mveruge exceed that amount u[ coverage required to pay the sums secured by this Mortgage.
<br />The insurance tarries providing the insurattee shalt be chosen hy- Borrower subject to approval by Lender, provided,
<br />that such approval shalt not be unreawnabiy withheld. All premiums on insurance policies shat! be paid :a the manner
<br />provided under paragraph 2 hereof or, if oat paid in such manner, by Borrower making payment, when dim, directly to the
<br />insurance carrier.
<br />All insurance policies and renewals thereof shalt be in form acceptable to Lender and shall include :+ standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right ni hold the policies and renex:ds thereat
<br />and Borrower shat) promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of lass.
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss it nut nude promptly
<br />by Borrower.
<br />Unless Lender and Harrower rnherwtse agree in wnnng, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoraton or repair is economically feasible and the security of this Mortgago i.
<br />not thereby i npaired. If such restoration or rcpmr is not .-conomically feasible ur if the securiy of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, wish the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Burrower, or it Borrower fails to respond to Lender within 30 days Irom the
<br />date notice is mailed by Lender to Borrower that the insurance carrier otters to settle a claim fur insurance benefits, lender
<br />is authorized to collect and apply the insurance pnx~eeats at Lender s uptian either to restoration or repair of the Pmpeny
<br />ar to the sums secured by this Mortgage.
<br />Unless Lender and Borrower u!herw~ist egret m wrung, any such application of pnneeds to principal shall nut extend
<br />or postpone the dot data of the nwttthiy iostuliments referred to in paragraphs I and ~ bereul or c--hinge the antuunt ut
<br />such installments. It undo paragraph !8 hereof the Property is acquired by Lender, all right, title and interest of tiurrcwtr
<br />in and to any insurance policies and in and to the pruceetis titeretrC rraulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Leader to the extent of the aunts secured h} this bivrtgage immediately prier to such sole ur
<br />acquisition.
<br />6, Preaenatiun and hiaiatrnance of Properly: Leaaehottts; (:andominlums; Phrnned Unit Ihveloprnents. Borrower
<br />shxLl keep the Property in goad repair and shalt tart commit waste ut permit impairment ur deteriarauun 4t the Property
<br />and shall comply with the: provisions of any tense d' thu Mortgage is un a leasehold. It' this Mortgage is un a w,d ut a
<br />condominium or s planned unit development Harrower shall lxrfornr all ai Borrower's ubligauons tinder the dea:laratiun
<br />ar covenants creanng ur governing [he condominium or ptntuaed uuu development, the 6y-taws and mgulutiuns u[ the
<br />condominium ut planned unit development and constituent da:wnents. I(a condominium or planned unit uevelupnaent
<br />rider is executed by Borrower and rtcarded tagethtr with this Mortgage, the rovenants and agreements at arch rider
<br />shall be incorporated into and shall amend and supplement the covenants :end agreements ut this Mortgage as ~f the rider
<br />were a part hereof.
<br />7. Pretatlon of Lenders Security. It' 3urruwer tails ro perform the covenants and agreements contained in this
<br />Mortgage, or if an}' netitxt ur proceeding is commenced which marerially affects Lender'sa interest in ttx Propcny.
<br />including, but uM limited tu, erteinent domain, insetivencq. code enforctntent or unaugcments or pnx~ctdings involving a
<br />bankrupt or dectdsni, then Lender ai Lender's option, upon notice to Berruwer, may make such apptarancts, Jistrut~e such
<br />stuns and take stash action ns is +reeessaty [o pried Lender's mttrest mchtding, but nu[ lirtvted te, disbursemeru u1
<br />reasonable attorney`s fees and entry apart the Property to make repairs. tf Linder required mortgage insurance us .+
<br />condition of nsaking the loan secured by this Mangage, Burrower shalt pay rite premiums required «r maintain such
<br />ia~.aratrs:e in effect tarsal sua;h amt is the requirrtttent ter such :naurartea: !ertninatcs itt aecardan..`:r with Barer`war's and
<br />
|