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<br />.,-._---_ „_._-..-.~ e------ --~ • --,-- ---~----• --- ----- . _ ~_„---._. R7 _.. ~ C- ~ 813
<br />I. Payment of PAnclpai and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidettced 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 [his Mortgage.
<br />2. Fends for Tazd astd Insmaace. Subject to applicable law or to a written waiver by Lender, Borrower shag pay
<br />to Linder on the day monthly installments of principal and interest are payable ender the Note, until the Note is paid in full.
<br />a slim (herein "Fundi y equal to one-[weifih 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 for mortgage insurance, if any, all as reasonably estimated initially and from
<br />time to time by Lender on [be basis of assessments and hills 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 assesstents and hilts, unless Lender pays Borrower interest nn the Funds and applicable law _
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the timt of execution of this
<br />Mortgage ilia[ 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 m pay Borrower any interest or earnings nn 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 data of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />asseasmetits, insurance premiums and ground rents as they fall due, such excess shall be, at Borrowers option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the -Funds -
<br />6eld 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 defictenec within 30 days from the date entice is .mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon paytnent -in full of all sums secured by this Mortgage. Lender shat) promptly refund to Borrower any- Funds
<br />held by Lender If under pazagraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, I~nder _ -
<br />sbaB apply, no later than itnmediateiy prior to the sale of the Property or its acquisition by (antler, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mottgage.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by tender under the -
<br />Note and paragraphs t and 2 hereof shat! 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 [hc principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Liens. Borrower shall pay ail taxes, assessments and 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 no[ 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 1_ender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage: provided, that Borrower shalt not be
<br />required to discharge any such lien 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 Tien by, or defend en(eccement 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 />5. hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected nn the Property insured _
<br />against loss by &re, hazards included within the term "extended coverage", and such other hazards as 1_ender may reyuire
<br />and in such amounts and for such periods as Lender may require; provided, that Lender shall not reyuire that the amount o€ _
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance cazrier providing the insurance shell tee cfiosen by Borrower subject to approval by Lender; provided,
<br />that such approval shag not be unreasonably withheld. All premiums OO insurance polities shall he 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 m Lender. Lender shall have the .right to hold the policies and renawats thereof,
<br />and Borrower shalt 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 proof of loss if no[ made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoration or. repair is economically feasible and the security of this Mortgage is
<br />not thereby impaired. If such restoration or repair is not economically feasible or it the security of this Mortgage would
<br />be impaired, the insurance pra.eeds shall be applied to the sums secured by this Mongage, with the excess; if any, paid
<br />to Borrower. If the Properly is abandoned by Borrower, or it Borrower fails 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 the-insurance proceeds at Lender's option either to restoration or repair of the Property
<br />or to the stems secured by this Mortgage.
<br />Unless bender and Borrower otherwise agree in writing, any such application of proceeds to principal shall no[ extend
<br />of postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />such installments. If under paragraph t 8 hereof the Property is acquired by Lender, al! right, title and interest of Borrower
<br />in and t0 any insurance polities and in and to the proceeds thereof resuLing from damage to the Property prior to the sale
<br />or acquisition shall pass to-Lender to the extent of the sums secured b}~ this Mottgage immediately prior to such sale or
<br />acquisit~n.
<br />6. Preservation and Maialeaapce of Property: Leaseholds; Condorniniorns; Planned Utril IDevelopmeats. Borrower
<br />aba6 keep the Property in good repair and-shall not commit waste ur permit impairment or deterioration of the Property
<br />and shall comply with the provisions of any lease rf this Mortgage is tin a leasehold. If this Mortgage is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform alt of Borrower's obligations under the declaratiotr
<br />of covenants creating oz governing the cotdominium nr planned .unit development, the by-laws and-regu!ziions of the -
<br />condomitutrm or planned unit development, and constituent documents, if a condominium or planned unit <ieve}opment
<br />rider is wucuted by Bortawer and recorded together with this Morgage, the covenants and agreements of such rider
<br />shag be incotparated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />woe a part txreof.
<br />T. Prottxtlaa of Lesdttr'i Security. It Borrower fails to perfutm the covutants and agreements t~•~n-tined in this
<br />Mottgrge* of if acy -action ore proceeding =s commeuced which materially atles:ts Lender's interest c Pn~peny,
<br />i>ztludu[g, b[lt not limited to, emiMnt domain, insolvene:y, code enforcement, or arrangements ar proceedt:~~ revolving a
<br />bankrupt Or dtu;edaat, then Lender Bl Lender`s option, upon notice to Burruwet, may make such appearaucrs, Jtsbarsr such
<br />shins sad take strb action as is ttceeastary tq protest Lender's interest, including, but nut :mated to, disbtrruntcnt of
<br />rMz atwrt~y'x fees and tttiry upon the Propcny to make repairs. If lxnder required morgage imuran.r as :.
<br />c:aadi[tott of making the loan sectussall by this Marlgage, 8orrawcr shall pay the premiums roqutred to ntaintatu such
<br />iaatiraaxe in eSekt until steels utne ~ lice regr:iren[sat for such insurance terminates to aacc+cdan<:e with Bortt,uer'::ansi
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