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<br />- UxaFottx-r CoveH~tv7s;.Sorrowet•.and Lender covenant and agree as fallaws:
<br />L'Yaymrat of Prhadpaland IiMerest. Borrower shall promptty pay .when due the principal of and interest on the
<br />indebtedness evidenced by the:Note: prepayment and date cfiarges as provided in the Note: and the principal of and interest
<br />on-any Future Advances secured by this Mortgage:
<br />2. Funds forTeaes and lroarance; Subject to applicable law or tb a wrttsn waiver by Lender, $orrower shall pay.
<br />[o Lander on the day monthly installments of principal and interest are payable under the Nate; until the Note is paid in full;>
<br />_ a sum (herein "'Funds"i equal to orie-twelfth of the yeasty taxes end 'assessments which may attain priority'over this
<br />1\fortgage, and ground rents on the Property, if any, plus one-twelfth of Yearly premium installments for hazard fitsurance:
<br />plus ane-twelfth of yearly nrentium installments for mortgage insurance, if any, all: as reasonably estimated `initially and from
<br />acne o time by Lender on ehe basis of assessments and' bills and reasonable' estimates thereof:
<br />The Funds shall be held in an insti[utian thedeposits-oraccountsaf whichare insured-or guaranteedby a: Federal or
<br />state agency (including Lender if Lender is such: an ins4itution), Lendershall apply theFundsto pay said'ta$es,assessments:
<br />insurancepremiumsand ground rents.Lender may. not chargefor so holding and%applying the Funds: ana{yzing said account;
<br />or verifying and contpilingsaid assessments and' bids: unless Lender pays Borrawer interest otr the Funds and' applicablelaw
<br />permits Lender to make such. a charge. Borrawer and Lender may agree in writing at the time of execution of this
<br />Mortgage hat interest on the-Funds shall be paid to Borrawer, 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 interescor 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 debiGto the Funds was made, TheFttnds arepledg~.d'as: additional,security fotthe sums secured
<br />_ by this Mortgage:
<br />If the amounrof the Funds held by Leader,[ogether with. cite future monthly installments of Funds payable. priorty
<br />_ the diet dates of taxes, assessmrnts, insurance premiums and ground .rents, shall exceed: the amount required to pay said waxes;::
<br />asseuments, insurance premiums 'and ground rents as they fall due, such 'excess stiall'be, at Borrower's option, either
<br />promptly repaid to Borrower or credited- to'BOrrower nn monthly installments of Funds: If the amounC of the Funds
<br />held by Lender shell not bt sufficitttr to pay Yaxes; assessments. insurance premiums and .ground.: rents as whey fall due,`...
<br />Borrower shall pay to Lender an}s amount necessarvto make up the deficiency within 30 days froim the date notice is mailed
<br />by Lender to Borrower requesting payment whereof.
<br />Upoa payment in full of all sums secured by this Mnngage. Lender shall promptN refund to Borrower any Funds
<br />heldby:Lendtr. If undetparagraph:l8.hereofthePropeay issoidor theProperty isotfierwisc acquiredlby Lender,. Lender
<br />''shall apply, no later thaaimmediately prior to-the sale of the. Property or its'acquisitioq by tender; any Funds held,bv
<br />Leader at.tht nine of application as a credit against ilie sums secured. by this Mortgage.
<br />3. r-xlicatior'u( iarmetala. Unless applicable law provides otherwise, all payments received by° Lender uuder the
<br />Nate and,paragraphs, l and 2 hereof shallbe applied by lender first in paymentof 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 />priacipaI on any:FutureAdvances:
<br />0.C~arges;IJetas. Borrower shallpay all taxes: .assessments andbthercharges, finesand impositions attributable to
<br />- the Property which may attain a pnority over ibis Mortgage: and .leasehold payments ar ground rents, if :any, m the manner
<br />provided under pazagraph 2 hereof or; if not paid. in uch manner, by Borrower making payment, when `due, dtYecrly to the
<br />payee ,thereof. Borrower shall promptly furnish to Lender all nonces of amounts due under this paragraph, and in the event
<br />"Borrower shall make payment directly, Boprowershall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall:promptiy discharge any lien which has.: priority over this Mortgage;;provided, [hat Borrower shall not be?"
<br />requirat to discharge any such lien so long as Bdrrower shall agree in writang So the payment of the obligation secured 6y. ;
<br />such ben in a manner acceptable to Lender, or shelf in'gwd faith contest such lien by, ar defend enforcement of uch lien in.
<br />egal proceeditt~s which operate to prevent the: enforcement. of the lien or forfeiture of the Property _or any part thereof.
<br />S. Hasard Itwtaace, Borrowershail keep the improvements now eaisting,or hereafter erected on the Property insured
<br />against loss by fire; hazards induded within the term. "extended coverage", and such other hazards as Lender may require
<br />' wad in such amountsand for such periodsas Lender may require;'provided, ilia[ Lender shall net reyuirethat thecamount of
<br />such coverage exceed char amount of coverage required to pay he sums'secured by this Mortgage..
<br />'ITte insurance carrier providing the' insurance shall be clioseir by Borrower subject. to approval by Lender; provided,
<br />-. that suchapprovalshall notbt unreasonably withheld. All-premmms on insurance policiesshaiC:bepaidin the: manner!
<br />provided tattier paza~raph 2 hereof or, if ilot paid fn-such manner; by Borrower making payment, when. due, directly to the
<br />_ insurance carrier.'
<br />All insurance policies and renewals thereof shall be inform acceptable to Lender andsfiall include a standard mortgage:..
<br />clause in favorof and in form acceptable to Lender:' Lender shall have the right: tohold inc. policies and renewals. thereof,'.
<br />and Borrower shat}promptly ftunitth to.Lertder all renewal notices and all receipts. of paid premiums: In the evenrof loss,
<br />Borrower shalt giveprompt ttouce to the insurance carrier and Lender _Lender may make proof of loss if'not made promptly
<br />_ by-Borrower.
<br />Unless Leuderaad Borrower otherwise agree inwritmg. insurance proc;eedsshall be applied to restoration or-repair of
<br />_' the Property damaged, provided such restoration orrepatr is economically feasible and the security of tots Mortgage ,s
<br />not thereby impaired, if such resiorationor repair is notecanomicalty feasible orif the secunty ofihis Mor[gagewould
<br />_ be tmpaaed, the iosurwce proceeds shall, be applied"tothe sums secured by titis'Mortgage, with the excess, ifan}; paid
<br />to Borrower. If the Property is'abandoned by Harrower, or it Borrower fails to respond to lender within 3U days from the
<br />- date notice s mailedby Lenderto Borrower thatahe insurance carrier. ot3erstoscule a claimfor insurance benefits, Lender.
<br />-, is authorized [o collect and apply the insurance: proceeds at bender's option either to restoration or repair of the Property..
<br />or to the sums secured by this hfortgage.;
<br />Unlus Lender and Borrower otherwise agree in writing; any such .application.: of preceeds to principal shall not extend'
<br />or postpone the due date of the monthly'instalimen[s referred to in paragraphs Land 2 hereof or change the amount of '<
<br />_ such installments. Jt under paragraph 1S hereof the Property is acyuiredby Lender,. all right; title and interest of -Borrower
<br />in and to any insurance policies'and.ia and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shad pass to bender to the extent of the,sutns secured by this Mortgage immediately prior to such sale or
<br />acquisition.
<br />-. 6. Prexn'a[ba aced ~Iaiote[[aaceolPtroperly;Ceascholds; Condominiums; Phennedlialt.I)evebpmenls. Borrower
<br />shall keep the Prcpeay is good repair.atid shall not commit waste os perttut ianpairment or deterioration of the Property
<br />wd shall comply with [he provisions of any lease. if [his Mortgage is an a 9easchald. If this Mortgage is en a unir in a
<br />- ..condominium or a planned unit developmeni, Borrower shall..perfarm..al6 oPBorrower's obligations irtsderxhe declaration
<br />t7r ca:ettartts creaGrg o: governing the condominium' or planned unit developmeit[, the by-Iaws andregula[ians of the
<br />- ron~iotninium or planned unitdtvelapment, atrdcanstitueat documerts. ifa condominium cr. planncdunit development
<br />= rider is executed by Borrower and seconded-togeiher with this Mortgage,. the covetants and agreements of .such rider.
<br />shall be inccrparated late and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />L were a part hereof.
<br />7. Proiectlon of Ler[der'sSecurity. if Borrawer fa[Is.W perform the..cavenants andagreemenu. containedinthis
<br />Mortgage, or if any actiun ar proceeding is cotnmencetf which matcrialfy affects La:nder's tntcrnst in the Property,
<br />_ : inc?uding, but cot limited to,:eminent domain, ins4lvcncy,. code enforcemcnt;.ararrangements or nrtxeedings involving a
<br />-_ baakrup[ or deccde:tt, then Lender at Lendea's option, upannatrce to Borrower, may mane such appearances, dishurx such
<br />- scans and take such action as is ne::.essary to proeect'Lender's t.ttetest, including„.but not limited ta, disbursement vt
<br />reasonably ;+ttorncy's ter, and uitry upon the Property to make repairs. It I:ettder requited mortgage insurance asa
<br />- canditicm o[ etalcing Fhe texart` secured by this: Mortgagq, Bariower xhalt pay [he Ptr-tniurn5 required ru maintain each
<br />iostatau:x u; cifyct ::~tt 1. s~:ch ;true xs th+: requi.rcrosnt ffor such. insurance ecrminstesin accerrdance with Borrower's and
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