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<br /> Utvr[+ortr.i Covetvwr�Ts. Borrower and Lender covenant and agree as f'ollows :
<br /> i. Payment of Priocipal and Interes4 Borrower shall promptly pay when due the principal of and interest on Yhe
<br /> ; ' inde.btedne5s evidcnced by Yhe 1Nate, prepayment, and late charges � provided in the 1Vote, and the pripcipal of and intecest
<br /> on an}• F?utura Advances secuted by this Mortgage.
<br /> I 2. Funds tor Tazeti pnd 6osuranca Subject to applicabl� !aw or to a writiten waive.r by Lender, BoRrower shall pay
<br /> to L.ender on� the day moothly instellmen[s of principal and inrerest are payable undtr the IVoce, uncil the Note is paid in full,
<br /> a sum (herein "Funds'� eqcwt to one-t�veifth of Ehe yearly taxes and assessments which may aktain prioricy over this
<br /> IHortgage, and gcound rents on the Propany, if any, pCus one-twelftri oE yeady premiurn inStallments for hazard insuraaae,
<br /> plus ome-twe]fth of yearly premium installments for mortgage insurance, if any, ali as rcasonably esximated initially 8nd fcom
<br /> dme to time by Lender bq the basis of assessments and bills and reasonable estimates theceof. '
<br /> ThG Funds shall be hold in an instituti.on the deposits ar accounts of which are insured or guarantced by a Ftderal os
<br /> � State agency (inGluding Leeder if i.ender is such an institution ) . tender shall appiy the Funds to pay said iaxCs. essessmenYs,
<br /> ; 'V� inaursnee premiums and ground renu. Lender may not charge tor so holding and applying the Funds„ analyzing said aceount�
<br /> +--� or vezifying and compiling said assessments and bills, unless I.ender puys Borrower interest on the Punds and applica6le law
<br /> �j' permirs Lender to make such a charge. Barrower and Lender may agree in writi.ng �t the time of execution of this
<br /> � IHOitgage t1�ai inrerest on the �undr` shall be paid to Horrawer, and uuless such agreament is made oc applicable law
<br /> J require5 5uch interest to be paid, I,ender shull �not be requiced ta pay Tiorrower any interesY or oamings on the Funds. Lender
<br /> shall give to Borrower, w'rthout charge, an annual acaoan4iag of the Funds showing credies and debits to the fiwnds and the
<br /> � purpase for which each debit tn tnhe Funds was made. The �unds are plalged as additiohal security far the sums secureti
<br /> qp by this Mortgagc.
<br /> t�; If Che amonnt of the Funds held by Lender, togethar witN the fwture monchly installments of Ft�nds payablc prior to
<br /> the due dates of taxes, assessmenu, insurance prerniums and ground cents, shall excced the amount requircd to pay said cares,
<br /> assessments, insurance premiu[ns and gconnd tents as they fall due, such excess sNall be, at Borrowe,r's vption, eithtr
<br /> pcompdy repaid to Horrower ar credited to Borrpwer on monthly installments of Funds. If the amounY of ihe Funds
<br /> held by Lander sha11 aot be sufficimt to pay ea�ces, assessments, insurance premiums and ground rents as eheq fal! due,
<br /> Borrower sbalt pay to Lender any amount necessary to make uP the deficiency within 3p days trom the date rocice �s mailed '
<br /> by Lender to Bprrbwer requesting' payment chareaf.
<br /> IIpun payment in full oE all sums secured by this Mottgage. Lendor shall promptly refund xcr Borrc�war any Fian.ds ,
<br /> held by Lendc.c If under pasagraph 18 hereof che Property is si�td or the Praperty is atherwise acqaired by Lender, Ltnder
<br /> s6alf apply� nq later than innmedierelg priar to the sale crf che Pruperty c?r its acquisition by Lender, an,y Funds haPd by
<br /> Lendcr ax the time of application as a credi[ ag.ains[ che sums seoured by Yhi� Mortgage.
<br /> 3. AppliraRion of Payments. Unless appliaable law provides c?therwise, all paymenrs received by L„ender under the
<br /> Note at�d paragcaphs 1 and 2 hereoE sh�ll be applied by Lender first in payment of amaunts payabl¢ to Lencler by Borrawce
<br /> und�r paragraph 2 hereaf, fhen to inYeeest payable on Lhe Note, then to rhe principal of tht Note, and chen to interest and
<br /> grincipal on any Fu[uce AdvanceS.
<br /> A. Charges; Liens, BprYower shalt pay all taxes. assessmcnts an�i other charges, fi-nes anJ imposicions atYributable to
<br /> the Property which may attein a privrity aver chis Morkgage, aad leasehald payments or ;ground rents, if any, in the manner
<br /> provided under paragraph 2 hereof or, if not paici in such manner, by Bartnwer making payment, when duc, directly to Yhe
<br /> payx there0f. So�rower shall promptly furnish to Lender aPl notices oE amounts due under this pa.ragraph, aad ip the event
<br /> Borcower shall make paymen[ directly, Barrower shalf prompdy furnish to l.ender receipts evidencing such payvntnts.
<br /> Borrower shatt promptly diseharge any lien which has priority over this Mort.gage; pnavid'ed, that Borr�wer ahall noz be
<br /> requiced to discharge any such lieo so long as Borrower shatl agrce in writ�ng to the payment of the obligaxian secutad by
<br /> such litn in a manner eceepEable tn Lender, or shall in good faith contest such lien by, or defeed enforcement oE such lien in,
<br /> � legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thenof.
<br /> 5. Hazrrd Insunnce. Bonower shall keep the improvemen[s now existing or hereafter erected on the Property insured
<br /> i against loss by Sn, hazards induded 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 sha)1 not require that the amount of `
<br /> such coverage exceed that amount of coverage required to pay the sums secured by this Mongage.
<br /> The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, providcd, '
<br /> tha[ such approval shall not be unreasonably withheld. Alt premiums on insurance policies shall be paid in the manner
<br /> i provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymrnt, 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 mongage
<br /> clause in favor of and ia form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
<br /> and Borcower shal� prompdy furaish to Lender all renewal notices and all rcceipts of paid premiums. In the event of loss.
<br /> � Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br /> '` by Borrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be apptied 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 /> not thereby impaind. If such restoration or repair is not economically feasible or if the security of this Mortgage would
<br /> 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 if Borrower fails to respond to Lender within 30 days from the
<br /> � date aotice is mailed by I.ender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br /> is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of tHe Propeny
<br /> or to the sums secured by this Mortgaga
<br /> Unless Lender and Borrower otherwise agree in writing, any such application of proceeds ro principal shall not extend
<br /> or postpone the due date of the monthly installments referred to in paragraphs t and 2 hereof or change the amount of
<br /> � such installments. If under paragraph l8 hereof the Property is acquired by Lender, al! right, title and interat of Borrower
<br /> '' in and to any inswance policies and in and to the proceeds thereof ruulting from damage to the Propeny prior to the sale
<br /> or acquisition shall pass to I.ender to the extent of the sums secured by this Mortgage immediately prior to such sale or �
<br /> * acquiaition.
<br /> 6. Precervafioa and Maintenance of Property; Leasehold.; Condominiums; Plan�ed Unit Devetopments_ Borrower
<br /> shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br /> ' and shalt comply wi[h [he provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
<br /> condominium or a planned unit devdopment, Borrower shall perform att of Borrower's obligations under the declaration
<br /> or covenants creating or governing the condominium or planned unit develapment, the by-laws and rogulations of the y
<br /> � condominiwn or planned unit development, and constituent documents. If a condominium or planned unit development
<br /> rider is executed by Boxrowu and recorded together with this Mortgage, the covenants and agreemenu of such rider _�� t „
<br /> ahall be incorporated into aod shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br /> ' � were a part hereof. � ,� ' ; �
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<br /> 7. Prutection of Lendee's 3ecuetty. If Borrower fails to perform the covenants and agreements contained in this . -
<br /> Mortgage, or if any action or proceeding �s commenced which materially affects Lender's interest in the Property. ; j �,
<br /> ,' � including, but not limited to, eminent domain, insolvrncy, code enforcement, or arrangements or proceedings involving a ` r.�;f�
<br /> bankrupGor decedent, then Lendet at Lender's option, upon notice to Borrower, may make such appearances, disbursc such = ;;�, '"s
<br /> snms and take such action as is neoessary to protect Lender's interest, includiog, bui not limited to, disbursement of �
<br /> $ reasonabl� attomey's fxa and entry upon the Property to make repairs. If Lender required mortgage insurancc as a . . �;, '' "°
<br /> ; condition of makiag the loan secured by this Mortgage, Borrower shall pay che premiums required to maintain such �
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<br /> �++��*A^CE lIl GHtCi UIIhI such time as the requirement for such insurance terminates in accordance with Borrower's and
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