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<br />~2-- ~~i1235.5'
<br />Unrroat~t CoveK,tH•rs. Borrower and Lender covenant and agree as follows:
<br />I. Payment oC Prlnclpai`ntd Interest. Borrower shalh prompdy pay when due the principal. of and interest on the
<br />'indebtedneds evidenced by theNote; prepayment and'datecharges,asprovided in the.Note,.and the princfpalpfand interest
<br />on any Future Advances secured by this: Mortgage.
<br />2. fl'troda for Tees and tasonnce. Subject. to applicable law or to'a written waiver by Lender, Borrower shall pay
<br />to Leader on the dag monthly installments of principal and interest are payable underthe Note, until the Note is paid in full.
<br />a stem (herein "Funds") equal to; one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mcrtgage, and ground rents on the Property, if any; plus one-twelfth' of .yearly premium installments for hazard insurance,
<br />plus one-twelfthofyearly premium installments for mortgage insurance, ifany, alias reasonably estimated initially artd from
<br />timrfo time by Leader on the basis of"assessments and:bills and reasonable estimates thereof.
<br />The Funds shall be held in. an institution the'depos[s or: accounts of which are insured or guaranteed by a: Federal or
<br />"state agency (including Lender if Lender is such an insttition). Lender shall apply,the Funds to pay said taxes, assessments,
<br />insttraoce premiums and ground rents. Lenniermay not charge for so holding and applying thePunds; 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 ar 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 tie required to pay Borrowerany intelesrorearnings on the Funds. Lender
<br />'shall give#o Borrov+er;.without charge,. anannual accounting of theFunds showingcreditsanddebits[o the Funds andihe
<br />purpose for which each debit YO the Funds was made. The Funds are pledged as additional security for he. sums secured
<br />by this Mortgage.
<br />Ifahe amount of [he .Funds: heldby Lender, together with. the future monthlyinstallments of Funds. payable-prior to
<br />the due dales of taxes; assessments; insurance premiums and ground rents; shalt exceed the amount required to paysaid taxes,
<br />assessments, insurance premiums and ground rents as' [hey fall due, such ezcess shall be; at .Borrower's option, either
<br />promptly'repaid:toBorrowetorcreditedtoBorroweronmonthlyinstallmentso£Funds..Iftheamoun[oEtheFunds
<br />held by Lender shalt not be sufficient to pay taxes; assessments, insurance premiums and ground rents as they fall due,
<br />Borrower haB pay to Lender any ainount necessaryto makeup the deficiency within 30 days from the date notice is mailed
<br />by Lender toBcSrrowerrequesting payment thereof:
<br />Upodpayment in full of all sums secured by this Mortgage, 1_ender shall promptly refund to Borrower. any Funds
<br />held ey Lendec If under. paragraph 18 hereof the Property is sofd or the: Property isotherwise-acquired by Lender, Lender
<br />shag apply, no later than immediately prior to he sale of the. Property: or its acquisition by Lender; any Funds' held by
<br />'Lender atahe time ofappGcationas a credit againstthe sums'securedby. this Mortgage.
<br />3. Applicatba of .Payments. Unless applicable law. provides otherwise. all payments 7eceived by Lenderunder the
<br />Note and'paragraphs,l and 2 hereof `shall be appiicd by Leader first iq payment of amounts payable to Lender. by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note: then o the principal of the Note, and then to interescand
<br />principal. oo .any Future Advances:
<br />4. Chttrsa; Lkas. Borrower shall pay alt taxes; assessments and other charges, fines and impositions attributable o"
<br />the Property which may attain. a priority. over this Mortgage, and leasehold payments or'grouhd rents, if any; in the manner
<br />provided`tmderparagraph 2"hereof or. if not paid in such' manner, by Borrower making payment, when; due, directly'to the
<br />.payer,[hereof: BorrowershalLpromptlyfurnishto Lender all noticesbf amounts due under thisparngraph; and in the. event
<br />Borrower `shall make paymenC directly.. Borrower shall promptly furnish to Lender receipts evidencing such. payments.
<br />Borrower shall promptly dischazge 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 stiall agree in <wrung [o the payment of the obligation secured-by
<br />such lien,ina manner acceptable to Lender, or shall in good-faith contest such lien by, or defenJ enforcement of such-lien in,
<br />legal proceedings which operate to prevenT the enforcement' of the Ilea oc forfeiture of the Property or !any part hereof. '
<br />S. Ha>.ard fswruce. $orrower shall. keep the improvements now existing or hereafter elected on the Property :insured
<br />against loss by fire, hazards induded within the term "extended cove,sse"; and such artier hazards as Lender may lequire
<br />and in such;amoun[s and for such periods as Lender may require; provided, that Lender shall not require that the amount of
<br />such coverage exceedshat amount of coverage required to pay the-sums secured by this :Aortgage.
<br />The insurance carrier providing the insurance shall be chosen byBorrower subject to approval py Lender; provided,
<br />that such approval-shall not be unreasonably withheld. All premiums on-insurance policies shall be paid in-the .manner
<br />provided uuderparagraph 2 hereof or; if not paid in such manner, by Borrower .making payment, when due, directly. to the
<br />-insuranco carrier.
<br />All insurance policies and renewals thereof shall be to form acceptable to Lender and shall include. a s[andardmorlgage
<br />elaust in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof.
<br />and Borrower shall.promptlyfurnish toLender aid renewaLnatices'and all receipts'oE paid premiums. 7n the event. ofloss,
<br />Borrower shall give prompt notice to the insurance camel and Lender. Lender may make proof of loss if not made promptly
<br />byBorrower.
<br />Ltnleac Lender and Borrower otherwise. agree in writing, insurance proceeds shall. be applied to restoration or".repair of
<br />the Property damaged, provided. suchrestoration or repairis economically_feasiblr and thesecurity of'this Mortgage: i
<br />not thereby imoairetj. If suchrestoration: or repaas noteconomicallyfeasibleorf thesecurity of this' Mortgage would
<br />be impaired. the insurance proceeds shall be applied to the sums secured by this Mortgage; wuh the excess, if :any; paid
<br />to Borrawei. 11 the Property is abandoned by Borrower, or iEBorrowei faits [o respond o Lender within.30 days, from. the
<br />date noticeis rratled...by' Lender to Borrower that [he.insurance carrier offers tosettle a claim for insurance benefits,. Lender
<br />*ia authorized to collrct. and apply the insurance proceeds ae :Lender's option either-to restoration or repair of [he Propert}.
<br />or to the sums securedby thishfortgage:
<br />Uiiless Lender and Borrower otherwise agree. in writing, any such application of proceeds to principa! shall nor extend
<br />" or postpone the due date of the monthly installments referred to fn paragraphs l and 2 hereof or change the amount of
<br />-suchinstallments. If.under paragraph 18hereoftheProperiyis acyuiredby Lender., ail riglit,t[le and:inierest of.Aorrower
<br />_in and toanyiosurance policies and in andaothe proceeds thereof resulting fromdamageto the Property pnorto the sale -
<br />or acquisition shad. pass to Leader to theexten[ of the Burns secured 6y'this .Mortgage immediately prior`to such sale ox
<br />acgtusition:
<br />6. Preservation: and Maintenance of Property; Leaseholds;.. Condominiums;. Planned Unit Developments. Borrower '
<br />shall keep the Property in good repair and halt not: commit waste or permit impairment or deterioration of the Property
<br />:and shalt comply with the provisions of.:any [ease'if this Mortgage ds. on aieasehold: lfthis bfortgagc is on a amit iri a
<br />condot»iniu[n or a planned uni[-.development,. Borrower shall: perform all of Borrower's obligations under thedcdarati~n
<br />or covenants creating ~r governing thecondominium or planned unitdevelopment, theeby-laws and regula[ions'of~ the
<br />condominium or planned unit. development; and .constituent decumenta ' If a :condominium or planned. unit development
<br />rider is czecn[za by Born~wer and recoiled together .with this Mortgage,. the covenants aztd agreements af,such lido
<br />shall be incorporated in[o and shall amend: and supplement. the covenants and: agreements of this Mortgage as ;F the lido
<br />L W crc a part hereof
<br />7. Protecfion of LendePs Security.. If Borrower fads to perform the covenants and agreements containzd in this
<br />Mortgage, or if any action. nr proceeding is commenced which materially. affects Lender`s miens[ 'in the Property,
<br />including, but not Limited [o, e[ninenC ~'omain, insolvency, code rotonenicnt; or arrangemesits or praceadings invo}ving a
<br />barkru p! or daceden-, then Cendrr at Lenders option,.upgn noticet2Bormwer,maymakc such appearances, distsurse such
<br />;ums :god take st:ch a~~u~n axis necessary to protec[ 1~enders :ntcresY, including. but not limited. io, disbursement of
<br />rcasonabic ar.~. rs:e}'s tees anal entry upaa the Propert; tb rziakerepairs, ]f Lender require+l mortgage insiirancc as :~
<br />~oudiuon nr rnakiag, the iaan secured by [his. Mortgage.. Aorraver Ahalf pay the premiums requirad zit niaintasri such
<br />irtsurane:e its etlcct_untll su@h timt as [he teytiirement Tor such msarrance. terrninatcs in accordance with Sorrvwcr's and
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