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<br />lrtar~ttaM Covstrrttuas. BatTOwer and Lender covenant and agree as follows: ~~'°°"" ~~ ~l °'
<br />I. Paymeae vt Peloeipaal sated tlnPecea[. Boervwcr shall promptly pay when due the printipal of and interest on the
<br />indebtedness evidenced by the Notts, prepayment and lace charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured ley this Mortgage.
<br />Faaada leer Ttaes anal Ia~aaeee. Subject to applicable law ar to a written waiver by Lender, Borrower shall pay
<br />W Lezader nn €he day monthly installments of principal and interest are payable under the Note, until the Nate is paid in full,
<br />a sums ($ereih "Fonda"') equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground rents an the Property, if any, plus one-twclhh of yearly premium installments far hazard insurance,
<br />plus ezttotwelfth of yearly premium installments for mortgage insurance., if any, a!1 as reasonably estimated initially and from
<br />time GD tfine by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />?'he Funds shall be held in an institution the deposits or accounts of which ace insured or guaran¢eed by a Fedtrai or
<br />state agency (includingLender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />insnrancee premiums and ground rents. Lender may net charge for sa holding and applying the Funds, analyzing said account,
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower intetst on ehe Funds and applicable law
<br />perrttts Leader to make such a charge. Borrower and Lender ntay agree in writing at the time of execution of this
<br />Mrntgagt that interest an the Funds shalt he paid to Borrower, and unless such agreement is made oc applicable law
<br />requires such interest to be paid, Lender she!! not be required to pay Borrower any interest or earnings an the Funds. Lender
<br />shall I;ive 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 t.a the Funds was made. The Funds are pledged as additional security far 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 t}atex of taxes, assexsrtwents, ittsutanee premiums and ground rents, shalt er~eed the amount required to pay said taxes,
<br />atsesswtent>;, insurance premiums sad ground renu as thou fail due, such excess shall be, at Borrower's option, either
<br />prexnptly 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 stdfitaent to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shalt pay to Lender env amount net:essary' to make up the deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment [hereof.
<br />Upon payzttcnt in full of all stuns secured by this Mortgage, 1_ender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 1$ hereof the Propeny is sold ar the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than immediately prior to the sale of the Property or its acquisition h}• Lender, any Funds held by
<br />Lender at the tittle of application as a credit against the sums secured by this Mortgage.
<br />~. Appf~aniea of Paymeata. Unless applicable taw provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and Z hereof shall 6e applied by Lender first in payment of amounts payable co Lender by Borrower
<br />under paragraph Z hereof, than to interest payable tin olio Note. then to [rte principal of tfic Naic_ and then t•~ inierCSt and
<br />principal on any Future Advances.
<br />.t. Ghar~ea; [tem. Borrower shall pay alt taxes. assessments and other charges, fines and impositions attributable;. to
<br />the. Property which may attain a priority aver this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided under pazagzaph 2 hereof or, if not paid in such manner, by Borrower making paymt;nt, when due, directly to the
<br />gayee thereof. Borrower shall promptly Furnish to Lender all notices of amounts due under this pazagraph, and io the event
<br />Borrower shall make payment directly. Harrower shalt promptly famish to Lender receipts evidencing such payments.
<br />Borrower shall promptly disa:harge any lien which has prionry aver this Mortgage; provided, that Borrower shall not be
<br />required to diaeharge any such lien sa long as Borrower shall agree in writing to the. payment df the obligation secured by
<br />such lien is a manner acceptable to Lender, ar shall in goad faith contest such lien by, or defend enforcement of such lien in,
<br />Fugal proceedings whn,h operate to prevent the enforcement of the lien or forfeiture of the Propeny or any part thereof.
<br />5. lltaaard IB>wraece. Borrower shall keep the Improvements new cxis[ing or hereafter erected on the Property insured
<br />against Foss by fire, haasrefs included within the term "extended coverage", and such other hazards as Lender may requite
<br />and in such amaunca and for such penods as Lender may require; provided, that Lender shall not require that the amount of
<br />such coverage exceed thee amount of coverage required to paY the Berms secured by this Mortgage.
<br />The insuraias~. carrier providing the insurance shall be chosen by Borrower subject zo approval by bender; provided,
<br />Ghat. such approval shall not be unrcascmably withheld. Alt premiums an insurance policies shall be paid in the manner
<br />provided trader paragraph 2 lterevf ,.>r. tt net paid in such manner, Fry Borrower making payment, when due, directly to the
<br />insurance carrier.
<br />P1fl insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
<br />chine in favor of and is form accaptalsle to Lender. Lender shalt have the right to bald the policies and renewals thereof,
<br />alyd Borrower shall promptly furnish to Lender all xenewal notices and all receipts of paid premiwns, In the event of lass,
<br />Horreawer shall give prompt nonce to the itisuram:e carrier aard Leader. 1_ender may make proof of loss if no[ made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance: prixeeds shalt be applied is restoration ar repair of
<br />the Property damaged; provided such restoration ar repair is economically feasible and the security of this Mortgage is
<br />not: thueby impaired. If sixth resterauan or repair is net eetuiomicaliy feasible ac if the security of this Mortgage would
<br />be impaired, the insurance proceeds shal9 be applied fo the stmts secured by this ivtottgage, with the excess, if any, paid
<br />to Harrower. If the Proper[}' is ntaaridoned h} Borrower, or if Harrower fails [a respond to Li:iider within 30 days from the
<br />datenatiee is mailed by Lender to.Borrawer that the insurance carrier oilers to settle a claim for insurance benefits, Lender
<br />is auttmrized 20 collect and apply the: Cnsurarice proceeds at Lender's option either to restoration or repair. of the Property
<br />tx to rho sums secured by this Mortgage.
<br />Ualesc Lender and Beurowes otherwise agree in u•rttiog, any such application of proceeds to principal shall riot extend
<br />w postpone the due date of the tnomhly installments referred to in paragraphs t and 2 hereof or change the amount of
<br />srsch iitsraClmeau. if under paragraph 1$ hrsoof the; Property is acquired by Lender, all. right, title and interest of Borrower
<br />in azhl lira any inuurance policies and. in and. to the p.riat;extls there:-uf resulting from damage to the Prapertp~ prior to the sale
<br />or acgtsition shall pass to .Lender io the esCi:nt of the sums secured by [Eris Mortgage inrrnediately prior to such sale or
<br />aarquiaitian.
<br />ti, Ptssesvaliun seal 141aistenance a[ Property,. Leaseholds; Uondominirants; Planated Unit Derelaprnenfs. Barmwer
<br />shall-ktxp-the rrapc.:y in gaadtepair artd shall net commit waste or permit impairment ar deterioration of the Property
<br />and shall ~ompiy with t}:e provisions of any lease if this Mortgage is an a teasehotd. If this Mortgage is on a unit ht a
<br />+xttttta+Enittium yr a r~iarmtd ante tlevr:iopmeni, iiorrawcr shalt perform ail of Borrower's ~,blig .: ;der tFte d:c!»^ati^e:
<br />ar cavetianta Creaatng or governing the condominium or planned atilt development, the. by-laws and regulations of the;
<br />caana4ittnstuattrx ar planned unit deyelatrnaeni, and ctinstiuicnt dcx;tuttents. if s candaminium ar planned trait development
<br />tiller is exectttctl oy Borrower and recorded together whit this Mortgage, the covenants and agreements of such rider
<br />shall lx ifxatporaled ia€o and shalt tunettd anal stspplctnent the covenants and agreements of [his Mortgage as If the rider
<br />+yert s parC. hereof.
<br />~. Pt~>~tl~ of Leedsa'a'Satcaarity, If Borrower faits tea perform the covenants and agreements c:ontaiCtcd in this
<br />M'ir:ga$r•. tsr If any- action ar proceedixig is rammenced which inaterialiy atlects Lcntter's inten~st iii the Propnny,
<br />ia;la:e?_ng, bur trot hFnrted to, tuninerit tiumain. laxs~vca>ti~y, ekxfe enfarcetrierit, or arrangements ar prtxa;edings involving a
<br />fiwtuupt or dECCd~tt. then. Lander at Lender's opuan. upon entice to Borrower, Wray make such appi:aranccs. disburse such
<br />sirets a+d crater ~rs::it :+~Kean as is rretcsaary co prate~:-t Lender's ir,tereAt, ~ncludinc, but not lirnrtcd to, disburs~mcnt of
<br />reaSai4x~'iL•. att0<7 4~: fell} anal erStry xapi.NY thG Prd?pCray t(7 make tcpitlrs. It t..Cnder iF.y ;tn ~d 7r,PFt~aj~'C iiiSUr:11YC0 :i5 ;1
<br />GO$;d3titkkt £Y{ r",dlt;~.^-~ t~ i~:;an .edtRrGCt hti atkL5 >d~aRgigC. 64PrtitVYk`r 5t1S1% pRy ItNC pCc"mis t[:',ti rL°{l4iirl"d to ma.int:il [t ~ItCh
<br />&nerrrsrice ~ wt7c&'t a~~tlt ;rift tixru: as [tie rrquirs,'xst~cia! lest cacti :nsurans:e terrrunar.- n ,,.u~rda~:_r a.~,eh Barrtiwer's and
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