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<br /> � $-' U01861
<br /> UxrnontK CovENerns. Borrower ane! Lender covenant and �gree as follows:
<br /> � 1. Payment of Princlpat and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br /> S indebtednees evidenced by the Note, prepayment and late charges as provided in the Notq and the prineipal of and intexest
<br /> � on any Future Advances secured by this Mortgage. t:
<br /> Y 2. Fuuds tor Tues and Iosaiance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay f
<br /> - , to Lender on the day monthly installments of principai and interost are payable under the Note, until the Note is paid in full,
<br /> ' ; a sum (hercin "Funds'7 equal to one-twelfth of the yeazly taxes and assessmenu which may attaen prioriry over this
<br /> ,� MoRgage, and ground tents oa the Property, if eny, plus one-twelfth of yearly premium installments for hazard insurance,
<br /> � plus oao-twelfrh o€ yearly premium instaliments for mortgage insurance, if any, all as roasonably estimated initially and fmm
<br /> time to time by L.ender on the basis of assessments and bills and reasonable estimates thereof.
<br /> � The Funds ahall be hdd in an instimtion the deposiu or accounts of which are insured or guaranteed by a Federnl or
<br /> - � state agency (including Lender if Lender is such an institution ) . Lender shalt apply the Funds to pay said taxes, assessments,
<br /> s insurance premiums and gound rents. Lender may not charge for so holding and applying the Funds, analyzing said account,
<br /> � or verifying and compiling said assessments and bills, unless Lender pays Eorrower interest on the Funds and applicable law
<br /> t permits Lender to make such a chazge. Borrower and Lender may agree in writing at the time of execution of this
<br /> � Mortgage that interest on the Funds shall be paid to Borrower, and unlus suc6 agreement is made or applicable law
<br /> � requires such interest to be paid, I.ender shall not be required to pay Borrower any interest or eamings on the Funds. I.ender
<br /> ' s6all give to Borrower, without cha�ge, an annual accounting of the Punds showing credits and debits to the Funds and the
<br /> ; � purpose for which eac6 debit to the Funds was made. The Funds are ptedged as additional sewrity for the sums secured
<br /> z by this Mortgage.
<br /> ( If the amount of the Funds held by Lendcr, together with the fuwre monthly installments of Funds payable prior to
<br /> 3 the due data of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required ro pay said taxe.s,
<br /> assessments, insurance premiums and ground rents as they falt due, such excess shall be, at Borrowers option, either
<br /> promptly repaid to Borrower or credited to Borrower on monthly installmcnts of Funds. [f the amount of the Funds
<br /> held by Lender shall not 6e sufficient to pay taxes, asscssments, insurance premiums and ground rents az 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 /> by L.ender to Borrower requesting' payment thereof. �
<br /> iUpon paymeat in fuli of aIl sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds z
<br /> held by Lender. If under pazagraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br /> shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br /> Leader at the time of application as a credit against the sums secured by this Mortgage. �
<br /> 3. Apptication of Payments. Unless applicable law provides otherwise, all payments received by Lender under the t
<br /> Noto and paragtaphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br /> under paragraph 2 hereof, then to interest payablc on the Note, then to the principal of the Note, and then to interest and
<br /> principai on aay Future Advances. 1
<br /> 4. Chuges; Liens. Borrower shall pay all taxes, a.ssessments and other charges, fines and impositions atvibueable to t
<br /> the Property which may attain a priority ovec this Mortgage, and leasehold payments or ground rents, if any, in the manner j
<br /> pmvided under paragraph 2 hereof oq if not paid in such manner, by Borrower making payment, when due, direcUy to the 3
<br /> payee ffiereof. Bonower shall promptly furnish to Lmder all notices of amounts due under this paragraph, and in the event ;�
<br /> Bormw^er shall make payment directly, Borrower shall prompdy furnish to Lender receipts evidencing such paymcnts. ;
<br /> Borrower shall prompUy dischazge any licn which has priority over this Mwtgage; provided, that Borrower shall not be !'
<br /> required to discharge any suah lim so long as Borrower shaU agree in writing to the payment of the obtigation secured by
<br /> such liea in a manaer acceptable to Lender, or shall in good faith conxest such lien by, or defend enforcement of such lien in, �
<br /> legal proceedings which operate to preveat the enforcement of the lien or forfeiture of the Property or any part thereof. °
<br /> 5. Haaard in�sonnce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br /> 5
<br /> against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
<br /> and in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of
<br /> such coverage exceed that amount of coverage required to pay the sums secured by ihis Mortgage.
<br /> The insurance carrier providing the iasurance shall be chosen by Borrower 3ubject to approval by Lender, provided,
<br /> that such approval shall not be unreasonabty withheld. All premiums on insurance policies shal! be paid in the manner i
<br /> provided under paragraph 2 hereof or, if not paid in such manner, by Borsower making payment, when due, directly to the
<br /> insurance carrier.
<br />� All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
<br />� y clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
<br /> C and Borrower shall prompdy furnish to Lender all renewal notices and all receipis of paid pnmiums. In the event of loss,
<br />� � Borrower shall give prompt notice to the insurence carrier and Lendec Lrnder may make proof of loss if not made promptly
<br />� � by Borrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shalt be applied to restoration or repair of
<br />! the Ptopeny damaged, provided such restoration or repair is economically feasible nnd the security of this Mortgage is
<br /> not t6ereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
<br />! � be impeired, 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 if Borrower fails to respond to Lender within 30 days from the
<br />' � date aotice is mailed by I.eader to Borrower that the insurance carrier oNers to settle a claim for insurance benefits, Lender
<br /> r, � is authoriud W collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br /> or w the sums securcd by this Mortgaga
<br /> Unless Lender and Bonower otherwise agree in writing, any such application of proceeds to principal shall not extend
<br /> or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br /> such instaUmenu. If under pacagraph 18 henof the Property is acquired by I.ender, all right, title and interest of Bonower �
<br /> in and to any insurance policies and in and to the proceeds thereof raulting from damage to the Property prior to the sate
<br /> or acquisidon shall pass to I.ender to tbe extent of the sums secured by this Mortgage immediately prior to such sale or
<br /> acquisition.
<br /> ,, � 6. PreservaKou and Mainteaance of Proper[y; Leaseholds; Condominium� Planned Uuit Developments. Borrower
<br />' i shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of U�e Property
<br /> -� and shall comply with the provisioas of any lease if this Mongage is on a leasehold. If this Mortgage is on a unit in a
<br /> � condominium or a planned unit developmeat, Borrower shall perform all of Bonower's obligations under the declaration
<br /> oc coveaants creating or governing the condominium or planned unit development, the by-laws and regulations of the
<br /> condominium or plamed unit development, and constituent documents. If a condominium or planned unit development
<br />, � rider is executed by Borrower and recorded together with this Martgage, the covenants and agreements of such rider ` _
<br /> ahall be incorporated into aad s6all amend and supplement the coveaants and agreemenu of this Mortgage as if the rider
<br /> wen a part hereof. �
<br /> � 7 Protecdon of LendePs Security. If Boaower fails to perform the covenants and agreements contained in this
<br /> V � Mortgage, or if any action or proceeding is commenced which materially affecu Lender's interest in the Property,
<br />� including, but aot limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
<br /> banktupt or deadeat, then Lender at L.ender's option, upon notice to Borrower, may make such appearances, disburse such
<br /> aums and take such aMion as is necessary to protect L.endeis interest, including. but not limited to. disbuisement of
<br />-' � reasonable attomey's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
<br />,.e condition of tnaking the loan securod by tliis Morigage, Borrower shall pay the premiums required to maintain such
<br /> `d� inauranx in effect undl such time as the requirement for such insurance terminates in accordance with Borrowei s and
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