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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Prindp81 and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by 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 />2. Fonds for Tax.. and IlISuran~e. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest are payable lInder the Note, lIntilthe Note is paid in full,
<br />a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground rents on the Prope'ty, if any, pillS one-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments for mortgage insllrance, if any, all 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 or accounts of which are insured or guaranteed 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 />insurance premiums and ground 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 Borrower interest on the Funds and applicable law
<br />permits Lender to make such a charge, 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 lInless such agreement is made or applicable law
<br />requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<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 additional security for the sums secured
<br />by this Mortgage,
<br />If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
<br />the due dates of taxes. assessments, insurance premiums and ground rents. shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and ground rents as they fall due. stich excess shall be. at Borrower's option. either
<br />promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />held by Lender shall not be sufficient 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 />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 Lender. If under paragraph I S hereof the Property IS sold or the Property IS otherwise acquired by Lender, Lender
<br />shaIl apply, no later than immediately prior to the sale of the Property or 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 />3. Appli~ation of Payments, Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs I 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 payable on the Note, then to the principal of the Note, and then to interest and
<br />principal on any Future Advances,
<br />4. Charges; liens. Borrower 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 under paragraph 2 hereof or, if not paid in such manner. by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shaIl promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly. Borrower shall promptly furnish to Lendcr receipts cvidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; provided. that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shall agree in \\'TitlOg to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender. or shall in good faith contcs[ such lien by. or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the hen or forfeiture of the Property or any part thereof.
<br />S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<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 this Mortgage.
<br />The 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 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 Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable (0 Lender. Lender shall have the right to hold the policies and renewals thereof,
<br />and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss.
<br />Borrower shall give prompt notice to the insurance carrier and lender. Lender may rllitkc proof of loss if not made promptl)
<br />by Borrnwer,
<br />Unle.ss Lender and Borrower otherwise agree in writing. in~urance proceeds shall be applied to restoration or repair of
<br />the Property damaged. provided such restoration or repair is economic;llly feasible and the security of this Mortgage is
<br />not thereby impaired. If such restoration or repair is n,,")t 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 it Borrower fads to respond to Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the IIlsurance carner otlers 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 Property
<br />or to the sums secured by this Mortgage,
<br />Unless Lender and Borrower otherwise agree in writing, any stich application of proceeds to principal shall not extend
<br />or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof or change the amollnt of
<br />such installments, If under paragraph I S hereof the Property is acqUired by Lender, all right, title and interest 01 Borrower
<br />in and to any insurance policies and in and to the proceeds thereof resuhing from damage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
<br />acquisition.
<br />6. Presenation and l\laiotenance of Propel1)'; Leaseholds; Condominjunls; Planned Unit l>evclopments. Borrower
<br />shaIl keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />and shall comply with the provisions 0{ any lease if this ,Mortgage is on a leasehold. If this Mortgage is on a unj[ in a
<br />condominium or a planned unit development, Borrower shall pertorm all of Borrower's obhgations under the declaration
<br />or covenants creating or governi.ng the condominium or planned unit development. the 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 \\'Ith this Mortgage. the ~ovenants and agreements of slIch riJcr
<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. Protfttion of Lender's Security. If Borrower falls to perform the covenants and agreements ~l)J1tained in this
<br />Mortgage, or if any action or proceeding is com.menced which materially "ffeets Lender's interest in the Property.
<br />.includin~ but not limited lOt eminent domain. insolvency, code enforcement. or arrangements or proceedings l1wolving a
<br />bankrupt or decedent, then lender at Lender's option, up<.)n notice to Borrower, may make such appearance~. disburs-e ~lIch
<br />sums and take such action as is necessary to protect Lender's Interest, inducting, but not limited to, disbursement llf
<br />reasonable attomey's fees and entry upon the Propeny to make repairs. If Lender required mortgage insuran\:c a'" ;\
<br />condition of making the loan secured by this Mortgage. Borrower shall pay the premium!> reqmr-cu to ma.int3.1Il such
<br />insurance in effect until such lime a.!i the, requirement for such ins.urance terminates in accordance with Borr()wcr\. lllllJ
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<br />83-001670
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