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<br /> lJxt[+oxaf CovsrtntvT�. Boerower a-nd I:.ende� covena.�rc and agree as foilr�ws r
<br /> 1.� Pay►nent qf Pdncipal and Interest. [3orrower shall prompTty pay when �ue the prin�cipa( of and inter�csf o�n the
<br /> indebtedness evidenced by [he NOt�, prepaymenC apo late charges as prc>vided. in the !�io[e, an�l the p�rinc�:ipal �ot' an1 inleres�
<br /> oa any Futurc Advances secured kxy Yhis Tvlprtgage. �
<br /> 2. Fp�ds (or Tf�es and Insuranrte. 5ubj'eet Cp applicrble law o[ to a wnt[en waiver by T..ender,. $orrower shal.i pay
<br /> to� Lender on the day mon[hly instailments of princip�l and interesr arc paya:ble un�Jer the N�ate. unti1 the Note is Paii� in ful'I,
<br /> a, su[n. Ehqrein "Fuuda"j equ .al to pne-twelfth a�f the yeatly t.axes and'. assessments� which may akt�in priuri�ty over this
<br /> Mottgage, and ground reqts on the AroperEy, �f any, plus one-ewzlfth oE yearly premiurtt installmcnts far hazard insurance,
<br /> plus ono-twelftih of ycarly premiwm instiallmeh[s for mortgage insurance, if any, all as reasonably csrimated initially ancl trom
<br /> timc to time by I.ender on the basis of assessments and bilis and reasonable estimates thereof.
<br /> The Funds Shall be held in an institution the deposiis o�.r aceounts of which�. �ee insured or gua�anteed�� by a Fcderal or
<br /> statc agency (including Lendtr if Lender is such an lnstitutionl . [_ender shall app4y the Funds to �ay said taxes, assessrments,
<br /> insurance premiums and gtpudd rents. Lender may not charge for so hcilding and applying the Funds, analx�z'rng said accoant,
<br /> pr verifying and eompiling said asscssmenu and bills, unless Leader pays Borrower interest on zhe Funtis and appbicable law
<br /> permits Lendcr to m:ake such a eharge. Boreower and L.ender may agree in writing at the time of execution of this
<br /> Martgaga �that interest on 2he Funds shall. be paid. ta Borrower, and unless auch ageeernent is made ar applicable law
<br /> requira such inteaest to be paid, Lender sha'1! not be reyuired to pay 8�rrowar any interest or earn:ngs on the Funrls. Lender
<br /> shall give to Borrower, wixhout charga, an annual arcounting of chr Funds showing aredits and del�its to [hc Funds and ihc
<br /> purpaso for whish each debit to the Funds wias rnadr. The Funds are pledged as additianal securiry for the sums secured
<br /> by [his Mortgage.
<br /> If the aYnounx af ehe Funds held by I,ender, together with the future rnonthly insra(Iments of Fwnds payable pnor 3�
<br /> the due datas of taxes„ assessments, insurance premiums and ground rents, shall excecd thc amount required ro pay said taxcs,
<br /> assessments, inswranee premiutms and grownd rents as thcy tall due, s�ich excess shall be, at Borrower's option, eicher
<br /> pre�mptly repaid to Borrower or cCedixed to Borrower c.n monthly installmznts of Funds. If the amount of [he Funcls
<br /> held by Lendcr shall not be suf&eienC to pary tazes, assessments, insurance premiums and graund rents as thep falt due,
<br /> Borrowec sha11 pay tv Londer any amount n�ecessaty to make up thn deficie��cy within ;i0 �ays from the date natiec is mailed
<br /> i by I.ender to Borruwtr reGuesting' payment thereot.
<br /> Upvn pay,ment iid full of all sums secured by chis Mortgage, l,ender shall promptly r�fund to Borrower ung Funds •
<br /> held by L.ender. If undec paragraph IS hereof [he Property is soid or the Property is othe,ewise acquieed 6y Lender, Lender
<br /> shall apply, no later rhnn irtimediatety pnor to che sale pf the ProPeny ar ats acquisition by L.ender, any Fuoeis held bx
<br /> , : L.ender at xhe time of application as a credrt against the sums secured by this 1Noctgage.
<br /> 3. Appli�attan af Pqymeqts. Unless applicable law provides ocherwise, al] payments received by Lendor under the
<br /> Note and par�graphs 1 aod 2 hereoF shall be applied by Lender first in pa,yment of umauntx payable ta Lender by Borrdwer
<br /> under paragraph 2 hennf, then to interest payable on tha No[e, then to the prinnipal of the Note, and chen t4 interest and
<br /> ptincipal on any Future Advances.
<br /> 4. Charges; Lieus. Borrawe.r shall pay alt Caxes, assessments and other charges, fines and in�positions at4ributable to� �
<br /> t6e Property which may actain a pri.ority over this Morrgage, and leasebold payments or graund renks, if any, in the mannea
<br /> ptovidcd under paragraph 2 hereof or. if noe paid in suah manncr, by Borr:�wec making paymznrt, when due, directly xo the
<br /> payee theteof. Bornower sha[l promptly furnisN co Lender al1 notices of smounts dua undcr chis paragraph, aqd in ihe evrnt
<br /> Borrower sha1F inake payment direccly, Borrower shall promptly furnish ta Lender receiptx ev'rdencin¢ such payments.
<br /> Borrower shall pcomptly discharge any lien which has prioriEy ovrr this Morcgage; pravicicd, thaz Bprrower shall not be
<br /> ? t4quired tn discharge any such lien so Iqng as Borrower shalfl 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 6y, or defend enforcement of such liee in,
<br /> � legal praceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br /> 5. Hazard losurance. Borrower shall keep the improvements now existing or hereafter erected on [he Property insured
<br /> against loss by Sre, hazards included within the term "eztended coverage", and such other hazards as Lender may require
<br /> j and in such amounts and for such periods as Lender may require; provided, [hat Lender shall not roquire tha[ [he amount of
<br /> such coverage exceed t6at amount of coverage required to pay the sums secured by this Mortgage.
<br /> 'ILe insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
<br /> that such approva! shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
<br /> provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
<br /> insurance carrier.
<br /> All insurance policies and renewals thereof shall be in form acceptable to LenJcr and shall ir�lude a standard mortgage
<br /> clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the poticies and renewals thereof,
<br /> and Borrower shall prompdy furnish to Leader all renewal notices and all receipts of paid premiums. In the event of loss.
<br /> Horrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made prompUy
<br /> ;. by Borrower.
<br /> Unlese Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br /> the Property damaged, provided such restoration or repair is economically (easible and ihe securiry of this Mortgage is
<br /> `' not thenby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage wouid
<br /> , � be impaired, the inaurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any. paid
<br /> � to Borrower. If the Properiy is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days (rom the
<br /> date notice is mailed by Lender io Borrower that the insurance carrier offers to settle a claim for insurance benefits, I.ender
<br /> *"'� is authoriud to collect and apply the insuraoce proceeds at Lender's option either to restoration or repair of the Property
<br /> C�2 or to the sums secured by this Mortgage.
<br /> O Unless Lender and Borrower 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 /> , � sueh installments. lf under paragraph 18 hereof the Property is acquired by l.euder, all right, ticle and interest of Borrower
<br /> , � � in and to aay insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
<br /> � � or acqaisition shall pass to L.ender to the extent of the sums secured by this Mortgage immediatety prior to such sale or
<br /> � acquisition.
<br /> � 6. Preserva8on snd Maintenance of PropeRy; Leaseholds; Condominium� Planned Unit Developments. Borrower
<br /> x shall leep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br /> � and shall comply with the ptovisions of any lease if this Mortgage is on a leasehold. lf this Mortgage is on a unit in a
<br /> condocninium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration
<br /> or covenan[s creating or goveroing the condominium or planned unit development, the by-laws and mgutations of the t
<br /> � condomiaium or planned unit development, and constituent documents. If a condominium or planned unit development . . -..
<br /> rider is eacecuted by Bonower and recorded together wi[h this Mortgage, ihe covenants and agreements of such rider -- ��, � �
<br /> shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider �.
<br /> � were a part hereof. " �
<br /> , � 7. Protection of Le�er's Security. If. Borrower fails to perform the covenants aad agreements contained in this J '�`��
<br /> Mortgagq or if any action or proceeding it commeaced which materially aHects Lender's interest in the Property, " �
<br /> including, but nbt limiud to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a ,� �t
<br /> � } bankrupt or decedent, tLen Lender at Lender s option, upon notice to Borrower, may make such appearances, disburse such ` 4
<br /> � sums and take suoh action as is aecessary to protect Lenders inrerest, including, but not limited to, disbursement of ' ., ._
<br /> ressonable attoraey's fces and entry upon the Property to make repairs. If Lender required mortgage insurance as a � +��� ���
<br /> � . �} conditioa of making t2fe loan secured by ffiis Mortgage, Bortower shall pay the premiums required to maintain such
<br /> : , insuranx in effect untii such time as the requirement for such insurance terminates in accordance with Borrower's and
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