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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 83-'::'" 004547
<br />1. Payment of Principal 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. Funds for Taxes and Insnrance. 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 under the Note, until the 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 Property, if any. plus one~twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments tor mortgage insurance. if any, all 33 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 unless 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. sllch excess shall be, at Borro\ver'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 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 ils acquisition by Lender. any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this !\'"1ortgage.
<br />3. Application of Payments. Unless applicable Jaw provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 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 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 t:hargcs. 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 shall 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 Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has pnority IJver this Mortgage: provided. that Borrower shall not be
<br />required to discharge any such Hen so long as Borrower shall 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 by. or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the lien 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 to Lender. Lender shall have the right to hold the policies ami 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 make proot of loss if not made promptly
<br />by Borrower.
<br />Unle.ss lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such reswration or repair is economically feasible and the security of this Mortgage is
<br />not thereby impaired. If such restoration or repair is not ci.":onomically icasible or if the security of this Mortgage would
<br />be impaired, the insurance proceeds shaH be applied to the sums secured by this I\llongage, with the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower. llr it Born..)wer fails to respond lo Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier otTers to senle 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 such application of proceeds to principal shall not extend
<br />or postpone the due date of the monthly installments referred to in paragraphs ! :.ind 2 hereof or \:hange the amount of
<br />such installments. If under paragraph 18 hereof lhe Property is acquired by Lender, all right, title and interest of Borrower
<br />iI.1 and to any insurance policies and in and to the proceeds thereot resulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the extent IJf the sums secured by this Mortgage immediatdy prior w such sale or
<br />acquisition.
<br />6. Preservation and Maintenance of Property; leaseholds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />and shaH comply with the provisions of any lease if this Mortgage IS on a leasl'hold. If this Mortgage is on a unit in ;l
<br />condominium or a planned unit development, Borrower shaH perform all of Borrower's obligations under the declaration
<br />or covenants creating or governing 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 with this. Mortgage, the covenants and agrt:ements of stich 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 Lender's Security. If Borrower fails 10 perform the covenants and agreements contained in this
<br />Mortgage. or if any action or proceeding is commenced which materially affects Lender's interest in the Property,
<br />hlcluding. but not limited to, eminent domain, insolvency, (ode enforcement, or arrangements or pruceedings involving a
<br />bankrupt or dec{:dent. then Lender at Lender's option, upon notice to Borrower, may make such appcarauce~. dishuf!:>C :>.uch
<br />sums and take &uch action as. is necessary to protect Lender's interest. including. but not limited [0, disbursement (It
<br />reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mor1gagc insurance as. il
<br />condition of making the loan secured by this Mortgage. Borrower shall pay the premiums reqlllrcJ to maintain SiKh
<br />insurance in effect unlil such time as the requirement for such mSUlanl..'C termmates In a...~cordancc vdth Borrl'wcr's .U1J
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