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<br />UNraoxat Covet.eea•rs. Borrower and Lender covenant and agree as foPlows:
<br />t. Payment of Frlnsfga! :ard IateresL Borrower shad promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and late charges as provided in the Note, and the p~ncipat of sad interest
<br />on any Fut'.tre Advances secured by this Mortgage.
<br />2i. khsat~s fttr'St~~ ft~mraaee. Subject to applicable taw onto a written waiver by Lender, Borrower shall pay
<br />to Lender an the day ntouthlY installments of griitcipal and interest are payable Under the Nose, until the Note is pall in fu~ll£
<br />a s'~t {l~mah "Ftvads"# egtfal to one-twelfth of the- pearly taxes and assessments which may aawin ~,ia .s ave. .,,~
<br />"ec~,~, aE ~~d ~:~ or t ;~ P;v~,r. z„ if ny, gIt_~s ~°°twe;ftl± of yearly premium installments for fiazard insurance,
<br />glue ono-twemh of yearly premium instalhrtettes-for taarigage insurar.-e, if any, ati as rea.=attabty ess3rtated initially and from
<br />time to lathe by I,emler an the basis of assessments-and bills sad reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposits or accautits of which are insured or guaranteed by a Federal ctr
<br />state agency (incltxltng Leader if Lender is such an inezittttion}. Lender shat) apply the Futtds tQ pay said taxes, assessments,
<br />insurance premiums and geottnd rents. Lender may net charge €or so holding and applying the Funds, analy~it}g said account,
<br />or verifying and compiling said amts and hilts, unless Lender pays Borrower interest. an rho Funds and applicable law
<br />pramits Lender to make such a charge. Borrower and Lender may agree in writing at te+s time of execution of this
<br />Marsgage 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 shaft net be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, as annual accounting of the Funds showing credits and dettits to the Funds sad the
<br />purpose far which each debit to ttto Funrls was made. The Funds are pledgee! as additional security for the sums secured
<br />ui this TfafL.
<br />I# the amount of rho Funds head by Lentkr, together with the future monthly installments a# Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rants, shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and ground rtatts as they fall due, such excess shall be, at Borrower's option, either
<br />pro•ptiy repaid to Borrower or credited to Borrower on monshty iastaItments of Funds. If the amount of the Funds
<br />held by Lender shall not be sufticieat to pay taxes, assessments, insurance premiums and ground rents as they fall due.
<br />Borcowtr shall pay to Candor any antaunt necessary to make up the deficiency within 30 days from tke date notice is mailed
<br />by Zander to Borrower requesting' payment thereof.
<br />Upon payment in full of alt stuns secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is said ar the Property is otherwise acquired by Lender, Lender
<br />deal! apply, no later than immediately prior so the sale of the Property ar its acquisition by Lander, any Funds held by
<br />Lender at the time of application as a credit against. the sums secured 6y th*.s :~Sartgage.
<br />;, AppBe~ian of }i<ayme~ ? tnless applicable law provides otherwise. all paymenrs received by Lender under the
<br />Nate and paragraphs 1 and 2 hereof she!! be applied by Lender first in payment of amounts payable to Zander by Borrower
<br />under paragraph 2 hereof, then to interest payable an the Note, [hen to the g_rincipai of the Note, and then to interest and
<br />principal on any Fatnre Advances.
<br />5. ~Izatgts; Y.fe~. Borrower shall pay alI taxes, assessments and ocher charges, ftnes and impositions attributable to
<br />the Property which tttay attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided under paragraph 2 her~f n*, if not paid in such manner, by Borrower tnakir+_g payrnenFan~pd~tre eltrectly to the.
<br />payee thereof. Borrower shalt promptly famish to Lender all notices of arnnunts due under this and in the-event
<br />Borrower shalt make payment directly, Borrower shall promptly furnt_sh to Lender sexipts evidencing elect payments.
<br />Borrecvor shall promptly s~*scharge any lien which has priority over this ?vfertgage provided, that l3orrawer shall ntA ,,e
<br />requireet to discharge any such ben so long as Borrower sltait agree in writin3 to the payment of the obligation secured by
<br />..~h ;sun in a manner acceptable to Lender: or she!! in good faith contest such Lien by, or defend enforcement of s~.tch Bete ia,
<br />legal proceedings which operate to prevent the enforcement of the Lien ar €orfeiture of *he Property or any part therea€.
<br />3. guard Iaaarance, Borrower shall keep rho improvements now existing or hereafter erected on the Property insured
<br />agai~t lass b'y f~, ha~rds included within the term "extended coverage", and such other hazards as Lender may require
<br />and in such amounts and far such periods as Lender may require; gravided, that Leader shall not regnire shay the amount bf
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />Tl~ insurance career providing the insurance shall he ctsasen by Borrower snbject to approval by Lender; provided,
<br />than such agprayaI shall not be unreasattably withhold :tit gremiutns on insurance policies shall be paid in the rsn~~r
<br />_~~ .±,~ t ,__.,~ p,r~ h ~ here{af or, if net paid in such mantrer, by Borrower making paytttent, when due, directly to the
<br />kn&UrariCC C$rri8t'.
<br />A!i insurance policies and renewals thereof shalt be in form acceptable to Lender and sttal3 include a standard mortgage
<br />ela•~ ir. fever of and in fotna a~:.prwbte ra Lendg€. Lete~r shzl! hates, the rSghs zo hold the policies and renewals thereof.
<br />sad Borrower shat! promptly furalsfi to Lender all renewal notices and all receipts of paid premiums. In the event of lass,
<br />Borrower shalt give prompt notice to rho insurance currier and Lender. Lender may make proof of loss if not made promptly
<br />by Borrower.
<br />Unless Lender and Boaower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />rho Property damaged, provided such restoration ar 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 if the sceurity of this Mortgage would
<br />be impaired, the instrsartce proceeds shall be applied to the Burns s-cured by this Mortgage, with the excess, if anp, paid
<br />ztr Borrower. If rho Properly is abandoned by Harrower; or if Borrower fails to respond to Lender within 3tl days from the
<br />date r~oti~ s mailed Isy sender to Borrower that the insurance carrier offer to settle a claim for insurance benefits, Lender
<br />is authorized to collect and apply the insurance grocce~s at Lender's option either to restoration ar repair of the Property
<br />ar zo the allele secured ay this Mortgage.
<br />Urale~ Lender next Borrower otherwise agree in writing, any such application of proceeds io principal sfiall not extend
<br />ar pasipane the due lase of too monthly installments referred is in paragraphs !and 2 hereof or change the amount of
<br />suah installments. If undue paragraph ! 8 l~reof the Prtperty is acquired. by Leader, all right, tizIe and interest of Borrower
<br />sn and sa any insurance policies and in and to the proceeds ttrereof resulting from damage to the Property prior to the sale
<br />or a€quisiti©a shall pass to Lender to the extent of rho sums secured by this Mortgage immediately prior to such-sale ar
<br />acquisition.
<br />S. iE`reaervat&:a sad roialatoat~crt of frroperzy; Le~golds•, Coadot~lee~t Ylarr~ CrQ3t Devektgraeis4c.- Bnrrawer
<br />steal! keep the Property in gaud repair and shal# naz commit waste ar ~rmit impairmoat or deterioration of the Piogerty
<br />and shalt rgatply wit.L. the provisions of any Seale i# [Iris Mortgage is on a leasehold. if this Mortgage is on a unit in a
<br />ctndotninium ar a planned wait devetogtneas; Borrower shall perform al! of Borrower's obligations tinder the dex:taration
<br />or eo'Enaats creating ar governing the. condominium or planned unit development, the Iry-laws and reguiatians of-the
<br />condominium or planned unit devetagment, and caastituont documents. Ii a condaminitan or planned un{ aieVetaprent
<br />iider.is e_t.zed tip Bortxtwe; and recorded together -with this Mortgage, the covenants and agreements of-such rider
<br />ahatl bE ~aeoiflai'a'ed info ~d shall amend sad- supplement the covenants and agreements of ibis Mortgage as if rho rider
<br />were a part hereof.
<br />~. Protectu,r. e;E ; znd~Ps Saey. If Borrower fails to perfarrft the covenants and agreements contained is this
<br />2kiartgage. or if any action ar proceeeding. is commenced which materially affestt:.Lender's interest in-the Property,
<br />i~ltidinp, bier not limited to, emittetit domain, rs_ststvenay, eocie enforcement, or arrangements or praceedia~s ineatving
<br />b*i?kztt cr•deceslera, tlsciiI.ender~t ;.en3e's cigtion, upon zacssice to-Harrower; try make sash ap~aratec~, disburse such
<br />sums aQd take such actutn as is necessary to protect Lentkr`s Interest, 'including, bus not .limited to, disbursement "}f
<br />reasonable a~torit@y's foes at%l entry-upon ttie Prapersji to melee repairs. if Lender required mortgage istsuranee as a
<br />condition of making ;he loan secaretl by thls Ahflrigage> Barrikwer shall paq the premiums required to maintain such
<br />i~urance in effect unlit such time as the requ`semont for such insurance terminates in accordance with Borrower's and
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