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<br />84--
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<br />005558
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<br />UNIFORM COVENANT~. Borrower and Lender covenant anq, agree as follows:
<br />. I. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />IOdebtednc>s eVidenced by the Note, prepayment and late charges as provided in the Note, and the principel or and interest
<br />on any Future Advances secured by thIs Mortgage.
<br />2, Funds for Taxes and Insurance, Subject to applicable law or 10 a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and inlerest are payable under the Note, unlilthe NOle is paid in full,
<br />a sum (herein "Funds"} equal to one-twelfth of the yearly taxes and assessments which may attai" orioritv 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 for mortgage insurance, 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 guaranleed by a Federal or
<br />state agency I 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 verify'ing and compiling said assessments and bills, unless Lender pays Borrower interest on the: Funr;is and applicabl~ law
<br />permits Lender {O 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 alid 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 inslallmenls of Funds payable prior to
<br />the due dates of taxes, assessmems, 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, such excess shall be, al 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 shail not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fan due;
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from Ihe date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment 10 full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph J S hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shaH apply, no later than immediately prior to the sale of the Prop '" or its acquisition by Lender, any Funds held by
<br />Lender ilt the tmlC' of application as a (:redir against the sums. :-:.t"'':''!-h, _. this Mor~r~~-_~.
<br />3. Application of Payments, Unless ai'plicabl~ law PW', , ..' otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall be applled by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereor, then to interest payable on th" Note. then to the principal of the Note. and then to interest and
<br />prmcipal on any Future Advances.
<br />4. Charges; Liens. Borro\\'cr ::-.hall pay ~tlI taxc:-.. assessments ;lno 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 10 such manner. by Borrower making payment, when due. directly to the
<br />payee thereof. Borrower sball promptly furmsh to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment dIrectly, Borrower ,hall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shail promptly discharge any lien which has prionty ,wer this Mortgage: pmvided, that Borrower shall not he
<br />reqUired to discharge any such lien so long as Borrower shall agree in v"Titing 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 !ten or forfeiture of the Property or any part thereof,
<br />s. Hazard Insurance. Borrower shall keep the impro\'cmenb now existing or hereafter erected on the Propei'ty insured
<br />against loss by fire. hazards indud~d \~ iihm the term "extended coverage", and such other hazards as Lender may require
<br />and in such amounts and for such peri()ds ;1$ Lender may require; provided. that lender shall not require that the amount of
<br />such coverage exceed that affit)l!fi! (Jf \:()\i;;ragc ft::quired to pay the slims secured hy this Mortgage.
<br />The insurance ("arrier pruviding [he insurance shaH 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, It not paid in such manner, by Borrower making payment, when due, directly to the
<br />Insurance carner.
<br />All insurance policies and rene\\- als therC\.lt shall be in form acceptable (0 Lender and shall include a standard mortgage
<br />clause in favor \.,t and in form ac...:eptahle to Lender. Lender shall ha\Jc the right to hold the policies and renewals thereof,
<br />and Borrower sh~tli promptly furmsh to Lender ~Il ft.."nc\loal nolu.;cs and all r~ceipts of paid premiums, In the event of loss.
<br />Borrower shall give prompt notl4:C 10 the msuranCe carn~r and Lender. Lender may make proof of loss if not made promptly
<br />by Borrower.
<br />vnicss Lender and BOrrl...l'nCf ,,-Hnen\ I~C agn:c In wrHlng, Jn~urancc procet::us shaii be applit:;G h) ft;~tolativi1 VI repair of
<br />the Property damaged" prOVided ~uch rCiitoratlOn or repair is economically feasible and the security of this Mortgage is
<br />not thereby impaired. If su..:h rCSlOr..ltlon or rcpalr is not el.:onomi\.:ally feasible or if the security of this Mortgage would
<br />be impaired, the tllsurance proceeds ,hall be applied to the sums secured by this Mortgage, with tbe excess, if any, paid
<br />to Borrower. If the Property IS abandoned bs Borrower, or if Borrower tails to respond to Lender within 30 days from the
<br />date notice is maIled by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br />IS authorized to collect and apply tbe tnsurance 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 l1ther\\-isc agree 10 \Hlting, any sUl:h application of proceeds to principal shall not extend
<br />or postpone the due date of the monthly installments referred to III paragraphs I and 2 hereof or change the amount of
<br />such installments, It under paragraph 18 hereor the Property IS acqlilled by Lender, all right, title and interest of Borrower
<br />in and to an} insurance policies and in and to Lite pruceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass (0 Lender to the extent of the :sums secured hy this Mortgage immediately prior to such sale Of
<br />acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds; Condomilliums; Planned Unit Unelopments. Borrower
<br />shall keep the Property in good repair and sball not commit waste or permit impairment or deterioration of the Property
<br />and shaH comply with the proviSiOns of any lea5e if this, Mc.rtgagc IS. on a lcasehokL If thiS ~1ortgage is on a unit In a
<br />condominium or a planned unit development, Borrower shall perform aU of Borrower's obligations under the declaration
<br />or covenants creating or govermng the l..'ond\.)mlOium ()r planned unit development. the by-laws and regulations of the
<br />condominium or planned unit development, and constimem dOl.:Umenh. 1 f H c\.)[ldominium or planned unit development
<br />rider is executed by Borrower and recorded together With thiS !\1ortgagc" the covenants <lnu agreements of such rider
<br />shaH be incorporated into and shall amend and suppicment the ~ovcnants and agreements ()f this Mortgage as if the rider
<br />were a part hereof.
<br />7. Protection of Lender's Security. If Borrower fails to perf\.)rm the covenants ,mJ agreements contained in thi!l-
<br />Mortgage" or if any action Of proceeding 151 commenced whICh materially atfc(~ts l.ender's interest in the Property,
<br />mduding, but not limited to. eminent domain, ins()Jvency. code enfor~emcnt, or arrangements 0:" proceedings involving a
<br />bankrupt Cor dCI..:cdent, then Lender at 1 ender's option, upon noti..;t; h~ B\)[fuwcr, may make :\lh:h appearances, disburse such
<br />sums and take such aCi.lOn ;\'i 15. nc.ccs,::ia.ry liJ prolCU Lender'.>.. lrHt.:1 t::st, mdudmg, but IltH ImlHcd w. Jlsburscment of
<br />reasonable auomcy.s lce-s and emr)' upon the Properl) (0 mal..~ rq1<llb. H r t.'lldC'1" rl.'\ltJiit'd nh)rtg~Jg\': in"uram:c ;,,~ iI
<br />r.:-onJlUou \)f makll1g the !(),m s.t~~ured by fhls Mnrtgagc, BpJ"io\\.:r Siht!J P.I.Y ltll~ pi't'millrJ1.'> rl':qwrcd to maintain slJ~h
<br />m:,.uran.;e in dfetZt lImil si.H.h hmc ..IS the ft.'4uircmcnt for :ouch trl:\UJ .H1i.:":- terrnjn,H~s. H1 .H.":l:\.)rdanL:c w~th Born.n"'t'r's ,md
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