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<br /> �$t102862
<br /> Uxrnonat Covaxwrrrs. Borrower and Lender covenant and agree as follows:
<br /> 1. Payment of Pdocipal and Interest. Borrower shall prompdy pay when due the principal of and interest on the
<br /> iadebtedness evidenced by the Note, prepayment and late charges es provided in the Note, and the principal of and interest
<br /> on any Futurc Advances secured by this Mortgage.
<br /> 2. I�nds !or T�es and I�urance. Subject to applicable law or to a written waiver by Lendeq Borrower shull pay �
<br /> to Lender on the day monthly installments of principal and incerest are payable under the Note, until the Note is paid in full.
<br /> a aum (herein "Funda'� 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, ptus one-twelfth of yearly premium installments for hazard insurance,
<br /> plus one-twdith of yearly pnmium installments for mortgage insurance, if any, all as ressonably estimated initially and from
<br /> time to time by L.eader on the basis of assessments and bilts and reasonable estimates thereof.
<br /> The Funds shall be held in an institution the deposits or accounts of which are insured or guarantecd 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 /> � iasurance pmmiums and ground renu. Lender may not charge for so holding and applying the Funds, analyzing said account,
<br /> ` or verifying and compiling said assessments and bills, unleas Lender pays Borrower interest on the Funds and applicable law
<br /> permits Lender to make such a charge. Borrower and L.ender may agree in writing at the time of execution of this
<br /> Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
<br /> requires such interut to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. I.ender
<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 addi[ional security for the sums secured
<br /> by this Mortgaga
<br /> a If ffie amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
<br /> the due dates of taxes, usessments, insurance premiums and ground rents, shall exceed the amount required to pay said ta�ces,
<br /> assessments, insurance premiums and ground rena as they fall due, such excess shall be, at Borrower's option, either
<br /> promptly repaid to Borrower or credited to Sorrower on monthly installments of Funds. If the amount of the Funds
<br /> � hs13 by Leader sh.�ll not be suH'icient ta psy taxes, nssessments, insuran:e promi�ms ar.d g:cu�d rents as they fall due,
<br /> Borrower shall pay to Lender any amount nuessary 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 in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br /> held by I.ender. If under pazagraph 18 hereof the Property is sold or the Properry is otherwise acquired by Lender, Lender
<br /> - shall apply, no later than immedialely prior to the sale of the Property or its acquisition by Lender, any Funds hetd by
<br /> Lender at the time of application ns a credit against the sums secured by this Mortgagc.
<br /> 3. ApplScaBon of Payments. Unless applicabte law provides otherwise, all payments received by Lender u�der the
<br /> Note and paragraphs i and 2 hereof shall be applied by Lender first in payment of amounts payable to Lend"er by Borrower
<br /> under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br /> principal on any Future Advances.
<br /> - 4. Cturges; Lleos. Bonower shall pay all taxes, assessments and other charges, fines and impositions attributable 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 mder paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, direcUy to the
<br /> �; payee ffiereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br /> Borrower shall make payment directly, Borrower shali prompdy furnish to Lender receipts evidencing such payments.
<br /> yBorrower shall promptty discharge any lien wttich has priority over this Mortgage: provided, that Borrower shall not be
<br /> F csquired to discharge any such lien so long as Sorrower shall agree in writing to the payment of the obligation secured by
<br /> � sucL lien in a manner acceptabte to Lender, or shall in good faith wntest such lien by, or defend enforcement of such lien in,
<br /> ��' legal proccedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br /> ' S. Sazard In.surance. Borrower shatl keep the improvements now existing or hereafter erected on the Properry insured
<br /> Y againat loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender rnay requirc
<br /> y aad in such amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of
<br /> g such coverage exceed that amount of coverage required to pay the sums secured by this Mongage.
<br /> ;; 'Ihe insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided.
<br /> � that such approval shall not be unreasonably withheld. All premiums on insurance policies st�all be paid in the manner
<br /> ; provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, dincUy to the +
<br /> s' insurance cazrier.
<br /> � All insurance policies and renewats thereof sh¢ll be in form acceptablc to Lender and shall include a standard mortgage
<br /> k clause in favor of aad in form acceptable to Lender. Lender shall have the right to hold the policiu and renewals thereof.
<br /> '; and Borrower shall promptly fumish to Lender all renewal notices and aIl receipts 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 /> p by Borrower. .
<br /> , � Unless Lender and Sorrower otherwise agree in writing, insurance proceeds shalt be appliod to restoration or repair of
<br /> ', { the Property damaged, provided such restoration or repair is ewnomically feasible and the security of this Mortgage is
<br /> not theroby impaired. If such restoration or repair is not economically feasible or if the security of this Morcgage would
<br /> ' �� be impaired, ffie inaurance proceeds shall be applied to the sums secured by this Mortgage, wi�h the excess, if any, paid
<br /> � to Borrower. If ffie Property is abandoned by Sorrower, or if Borrower fails to respond to Lender within 30 days from the
<br /> date notice is mailed by Lender to Borrower that �he insurance carrier offers to settle a claim for insurance bonefits, Lender
<br /> j is authoriud to cotlect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br /> ! or to We sums secund by this Mortgaga
<br /> } Unless Lender and Borrower otherwise agr�e in writing, any such application of proceeds to principal shall not extend
<br /> or poatpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br /> � sueh installments. If under paragraph 18 hereoE the Property is acquired by I.ender, atl right, title and interest of Borrower
<br /> in and to any insurance policies and in and to t6e proceeds thereof resulting from damage to the Property prior to the sale
<br /> q or acquisition s6a11 pass to Lender to the extent of the sums secured by this Mortgage immediately prior to sach sule or
<br /> , .S 8CQti81LlOI1.
<br /> : 6. PreaervaHon and Maintmaoce of Property; Lease6olds; Coadominlums; Planned Unit Devdopments. Borrowec
<br /> � shall keep the Property in good repair and sha(I not commit waste or permit impairment or deterioration of the Property
<br /> ' f and sha14 comply with the provisions of any lease if this Morcgage is on a teasehold. If this Mortgage is on a unit in a
<br /> condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the dcclaration
<br /> or covenants creating or governing the condominium or planned u�it development, che by-laws and regulations of the �
<br /> condominium or planned unit development, and constituent documents. If a condominium or planned unit development
<br /> rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider -
<br /> s6all be incorporated into and shall arnend and supplement the covenants and agreements of tbis Mortgage as if the rider •- �` : '
<br /> wen a part hereof. ;#� ; •
<br /> 7. Protection oE LendePa Secariry. If Bonower fails to perform the covenants and agreements contained in this I ��`y '
<br /> Mortgage, " or if any action or proceeding is commenced which materially affects Lender's interest in the Property, ,.J
<br /> inclqding, but not Iimited to, eminent domain,`insolvency, code enforcement, or arrangemenu or proceedings involving a � „ , 4'�
<br /> banlcrupt'or decedent, then I.ender at Lender's option, upon notice to Borrower, may make suct� appearances, disburse such ;
<br /> sums and take sucl� action as is necessary to protect Lenders interest, including, but not limited to, disbursement of , - `
<br /> � reasonable attomey's fcea and mtry upon the Property to make repairs. lf Lender required mortgage insurance as a ,
<br /> � coadiGon of making the Ioan secured by this Mortgage, Bonower shalt pay the premiums required to maintain such "
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<br /> insuranee in eHect until such time as the requirement for such insurance terminates in accocdance with Borrowers and
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