|
<br />UN[e•a[tM' Covexnrrx's; Horrower and bender covenant :end agree as fatlaws:
<br />1. Prymeat of ~r(aelyrl sad 7ntetetit. Borrower shall promptly pay when dtte the principal of and interest nn the
<br />indebtedeteas evidenced try the Note; prepayment and late charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />3. Fands for Ttsus aed Irontmee. Subject [o applicable taw or to a written waiver by tinder. Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a stmt (herein "Fvnds'~ equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />MotYgaga, and grotmd rents on the Property. if any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments for mortgage insurance, if any, alt as reasonably estimated initially and from
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposits ur accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institution 1. 1 znder shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and ground rents. Lender may nut charge fur so hording and applying the Funds, analyzing said account.
<br />or verifying and compiling said assessments and bills, unless tender pays Borrower interest on the Funds and applicable law
<br />permits Lender to make such a charge. Borrower and tender may agree in writing at the time of execution of this
<br />Mortgage that interest on the Funds shall be paid to Barmwer, and unless such agreement is made or applicable taw
<br />requites such interest to be paid, Lender shall rot he required to pay &vrower any interest ar earnings nn the Funds. [.ender
<br />shall give to Borrower, without charge, an annual accounting of the Fands 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 secured
<br />6y this Mortgage.
<br />If the amount of the Funds held by tinder, together with the future monthly installments of Fands payable prior to
<br />the due dates of taxes, assessments, inuurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />asessments, insurance premiums and ground rents as !hey fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower ar credited w Borrower nn monthly installments of Funds. If the amount of the .Funds
<br />held by Lender shag not be sutlicient to pay taxes. assessments, insurance premiums and ground rents as they fall due.
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />hY Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all Burns secured by this Mortgage. Lender shall promptly refund to Burrower any Funds
<br />held by Lender. If under paragraph Ig hereof the Property is sold ur the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than immediately prior to the sale of the Property ar its acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />J. A~Yeasloa of PtgnweNS. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs l and 2 hereof shall be applied by [_ender rim m payment of amounts payable to Lender by Borrower
<br />tr..~r paraaap`., 2 + ~~f, than to itrerrt payable on the Note, then ro the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. ChtrEa; LJeas. Borrower shall pay all taxes, assessments and other charges. tines and impositions artributahle to
<br />the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided tinder paragraph 2 hereof or, rf not paid m such manner. by Borrower making payment, when due, directly to the
<br />payee tlxreaf. Borrower shall promptly furnish to Lender all notrccs of amounts Jue tinder this paragraph, and in the event
<br />Borrower shall make payment directly, Barcower .hall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has pnonty over this Mortgage: provide). that Barmwer shalt not be
<br />required to discharge any such lien sa long as Horrower shall agree in writing to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender, or shall in good faith contest such lien hy, or Defend enfareement of such lien in,
<br />legal proceedings which operate to prcvtnt the enturcemem of the hen or [orfctwrr of the Property or any part thereof.
<br />S. Hazard Isatuaace. Borrower shat) keep the rmpravrments now rxtstmg or hereafter erected on the Properly msurod
<br />against loss by fire, hazards included within the term -'axtendeJ u?vrrage", anJ wch othtr hazards as Lender may rryuire
<br />avd in such amounts and for such periods :ts Lender may rryuire; pu,videJ, that Lender .hall nut rryuire th:u the amount of
<br />such coverage exceed that amount of coverage regwred to pay the sums secured by this Mangage.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject ra approval by Lender, provided,
<br />that such approval shell not be unreasonably withheld. .~11 prenaums un insurance policies shall br paid in the manner
<br />provided under paragraph 2 htteaf ur, if oat paid in such manner, by Barmwer makirtg payment, when dot, Directly to the
<br />insurance carrier.
<br />All insurance policies and renewals tbercot shall t+t ut form .rcceprable ra Lender :md shall u?chrJr a standard mortgage
<br />elause in favor of and in farm acceptable to l.tttdtr. i.ertdtr shalt have the right to hold the policies :+nJ rena:wak thzreaf,
<br />and 9orruwer she{{ promptly tarnish to Lrsrxitt ail renewal Wooers anJ all rtctipts of paid premium.. In the event of loss.
<br />Borrower shat! give prompt notice to the uesurarsce carrier ttru! Lender. t.tnder may anakr proof ut ;oss it nut ntadt promptly
<br />try 1'sorrov~r.
<br />Unlesr Lender and Borrower othtmist agree io writing. insurance prucecJs shall 6e applied to restarution or repair of
<br />the Property Damaged, provided such restoration or report is economically feasible anJ the security of this Mortgage :~
<br />not theroby unpaired. Lt such restoration or report is oat ccunonucdly' ftusible or it the security of this Mortgage would
<br />be impaired, the insurance pra:eeds shall be applieJ to the ,ants secure) by this Mortgage, wvth the excess, if any, pat)
<br />to Borrower if the Property is abundant) ht Borrower, ur ~t Borrower tails a, respanJ to Iinder within 3t: days arum the
<br />date notice is matted by Lender to Borrower that the msurauct ran+cr utters a? settle a claim fur insurance henelits, Isnder
<br />is authorized to caUect and apply the insurance proceeds at Lender's option either to rtstaratian or repair of the Proptn}
<br />ar to the stems secured by this Mortgage.
<br />Unless Lender and Burrower otherwise: agree m wrung, au} such applrcariun of proceeds w prncipal shall nut rsrenil
<br />or postpone the due date of the monthly installments referee) to m paragraphs I and 2 hereof ur change rho amount of
<br />such installments. if under paragraph 18 hereof the Pruptrt} is acquueJ by Lender. all right, title and interest of Horrower
<br />in and to any insurance policies and in and to the pructeds thereof resulting from dantugt to the Pmptrty prior to the s:dc
<br />or acquisilian shat) pass to Lender kt the extent of th¢ sun?z secure) h} this Mortgugc inuutdiutclq pour to ,uch ,ale ur
<br />acquisition,
<br />bi. Preservation trod Fftria/eaaace of Propert}; Leasebalds; l'undomiatums; !'htnued Unit llevelopments. Iturrow cr
<br />shall keep the Property in good repair and shall not commit waste or ptrmtt impairment or Jeteriurauuu of the 1'rupeny
<br />sad shall comply with the provisions ut any lease d this Ivlortgagc rs on a IeascholJ. If this Ivlorrgagc is on cr unit in a
<br />condominium or a plantted unit developmrnr, Horrower shall perform all of Borrower's ubhgauons under the Jrclarauon
<br />or wvenanta creating or gdvctning the cundoaunwm or plunurJ unit Jrvtlupmcnt, the by-laws anJ regulations oC 'the
<br />~dantiuium or plaanecl ttstit ttsvelaptn€nt, ;end ~~~astituent Jt~umrnu. tf a <undt,minium ur plauneJ unit tlcsclo,tm<s-t
<br />rieekrr is excc;uted byy Harrower and recorded together wnh this Mortgage, the covenants ,rnJ agreeutruts ut such riJcr
<br />shall lea incorporated into and shall antrnd anJ supplement the covenants anJ agrcemruts ut this Mortgage as tt the risicr
<br />were a part her~f.
<br />7. es'etectian of Lender's Security. !f Burrower t:uls to prrturrn the covenants :utJ agreements :ontau,cd m tbrs
<br />Mortgage, of i[ any action or proceeding is commence) which materially aHccts Lender's inttrest in the Propert},
<br />ittcludittg, Iwt ttttt limited to, emirxni domain, insolvency, ctxie enfonement, ur arrangements ur pnxrrJings invuly mµ a
<br />tfankf4pt or decedent, Fhers Leader at Lender's aptiett, upon Holier to Borrower, !nay make such appearances, .hsbarae such
<br />suttts and take such aetiurt as is ntt~cssar}' to pnnect IxnJrr's mrcrtst, including, but not limited ta, Jisburwtnrem ;,1
<br />roasonablc atiamey's toes and entry upon the Proptny to make repairs. li Lender rryuire) mortgage inurraoce m a
<br />condition of malting the loan secured by this Mortgage, Horrower shall pa) the premiums reyurred to maintain such
<br />insurance in effect anti) sue:h tithe as the rcquireracur far uKh msurutu:e terminates m adcardanct wuh Btvrowcr\ ;mJ
<br />
|