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<br />Urtmanrt Cavt;K4tvrs. Borrower and Lender envenom and agree as follows:
<br />1. Payment off Ptinctpal gad interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced 6y the Nofe, prepayment and fate charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by ibis Mortgage.
<br />2. Ftontda for 9'axes and fnsttrnace. Subject to applicable law or to a written waiver by Leader, Borrower shall pay
<br />to Lender on the day monthly insial)mems of-principal and interest are payable under the Note, until the Note is paid in full,
<br />a sum fhereia "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground reuis on the Property. if any, plus one-iweffth of yearly premittrit installments far hazard insurance,
<br />ploy otte-iwcl~h of ycar'ry premium ins`.ailmcuts for mortgage insu,atrke, if any, all as r~enably estimated initially artd fratn
<br />time to lime by Lender an the basis of assessments and hilts and reasonable estimates thereof.
<br />The Funds shalt be held in an institution the deposits or accounts of which are insured ar guaranteed by a Federal or
<br />stare agency (including Lender if Lender is such an instiiutianl. Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and gmund rents. Lender may not charge for so holding and applying the Funds, analyzing said accaurtY,
<br />ar verifying and compiling said assessrt+.ents and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />pernfits Lender to make such a charge. Borrawer and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest on the Funds shat? be paid w Borrawer, and unless such agreetnF~nt is made or appliwbte law
<br />requites such interest to be paid, Lender shall not be required to pay Borrower any interat or earnings on the Funds. Lender
<br />shall give to $orrpwer, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />Ivsrpase for which each debar to the Funds was made. 1"he Funds are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If the antouttt of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiuts and ground rents, shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower of credited to Bormwer on monthly installmenzs of Funds. If the amount of the Funds
<br />held by Lender shelf not be suf5cient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Harrower shall pay to Leader any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by bender to Borrower trgttesting" payment ihereaf.
<br />Upon payment in full of all sirens secured by this Mortgage, Leader shall promptly refund to Borrower any Fund:
<br />held by Lender. If under paragraph I8 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shaft apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />~. Applletttlan of Paymea~. Unless applicable taw provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and Z hereof shall 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 the principal of the Nate, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Liens. 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 paymems ar gmund rents, if any, in the manger
<br />pmvided under paragraph 2 hereof or, if eat paid in such manner, by Borrower making payment, when due, dirertty to the
<br />payee thereof. Harrower shall promptly furnish to Lender ail notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shall promptly furroislt to Lender receipts evidencing such payments..
<br />Harrower shall pmmptly discharge ary lien'which has priority over this Mortgage; provided, that Bormwer shaft not be
<br />required io discharge any such Lien sa long as Borrawer shall agree i writing to the payment of the obligation securest by
<br />such Sien in a manger acceptable to Under, or shall in goad faith rontasi such lien by, ar defend enforcement of strcl'i tier ~'^
<br />to ..Y ~ 1. .~ u},n f l;x fade f rfy t t,
<br />_.., p. o.gs w..i ,_..6 to pr~.vnt ..nfarce,.,ent a the ,..,. v. .....e a ttte Proms.. ar any p_.rt rtterea_
<br />F 5. Hazard Irsarance. Borrawer slta{I keep the improvements now existing or hereafter erected on the Property insured
<br />against loss by &re, hazards included within the te.-m "extended coverage", and such other hazards as Lender 'nay iequise
<br />and in such amounts and €ar such periods as Lander may require; provided, that Lender shall naf require Lhat the amount of
<br />sorb coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance carrier providing the insurance shall 1>e chosen try Borrower subject to approval by Lender, provided,
<br />that such approval shall net be tmreasonably withheld. AlE premiuts on insurance policies shalt be paid in rite manner
<br />provided under paragraph Z hereof or, if not paid in such manner, by Borrower making payment, when due, directly to rite
<br />cetera.
<br />All insurance policies and renewals thereof shall ce in form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the golieies and mrtewals thereof,
<br />and Harrower shall prompu'y furnish fo Lender ail renewal notices and ail receipts of paid premiums. In [he event of lass,
<br />Borrower shall give prompt notice to the i~urance carrier and Lender. Lender may make proof of foss if not made promptly
<br />lay Borrower.
<br />Unless Lender and Borrawer otherwise agree is 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 />net t~tereby impaired. If such restoration or repaii is net economically feasible or if the security of this Mortgage would
<br />be impaired; ttte insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
<br />is Harrower. if rite Property is abandoned by Harrower, or if Borrower fails to respond to Lender within 3Q days from the
<br />date notice is mailed by Linder to Bo.*rower that the insurance carrier afters to settle a claim for insurance be~fiYS, Lender
<br />is ata~arized m cntlect and apply the insttrattee pra;xeds at Lender`s option. either to restoration or repair of the Property
<br />ar to the sttmc secured by this Mortgage.
<br />Unless Leetder and Borrower atiterwise agree in writing, any such application of proceeds io principal shall not extend
<br />or postpone the due date of rite monthly instailmenis referred Ft? in paragraphs t and 2 hereof ar change the amaunE of
<br />such instalitnents. if under paragraph 1§ hereof the Prepertr is acquired tt}• Lender, elf right, title and interest of Borrower
<br />in and io any issttrrance policies and in and Fo the pracezds iher~C resulting from damage to rite Property prior to the sak
<br />or aeq~sitian shall pis to Lander to ~ extent of the sums secured by this 4ortgage immediately prior to such sale or
<br />acquisition.
<br />S. Preaervatio0 gad Afsiateaaace of t?roperry; Le.lwlds; Condomiaiotasi Piaaacd Unit Devetopmeafs. Borrower
<br />strait keep the Property in good repair and shalt oat commi*. waste or permit impairment or deterioration of the Property
<br />and shall camnIy with the gravisians of any lease if this Mortgage is an a leasehold. if this Mortgage is on a unit in a
<br />condominium ar a planned unit development, Borrower shag perform all of Borrowers obligations under the declaration
<br />or oovenants creating or governing the eandominium ar piattned unit development, life by-laws and regulations of the
<br />condominium or planned unit development, and constituent documents. if a condominium ar p[anned unit development
<br />rider is executed by Borrawer attd recorded together with this Mortgage, the covenants and agreements of suds rider
<br />shag be incarparated iron and shall amend and supplement the covenants and agrcements of this Mortgage as if the rider
<br />were a part hereof.
<br />?. A'roteetiott of Lender's Secasity. If Borrower faits to perform the covenants and agreements contained in this
<br />MarYgage, ar if any action ar proceeding is commenced which materially affects Leader's interest in the Property,
<br />.including; but not limited to, eminent domain, insolvency, code enforcement, ar arrangements or ptviceedings involving a
<br />bankrupt OF decedenF, then l.endeT aY Lsndei'S Option, upon nattee t0 Porrawer, mat make Such appearances, disttttrse such
<br />urns a~ take atxh action as ie necessary to protect Lender's inicrest,- including, but cwt Iemited ta, disbursement of
<br />reasonable attorney's fees and entryr upon the Property' to make repaiis. If Lender required mortgage insurance as a
<br />condition of making- the loan secured- by [his Mortgage; Borrower shall pay the premiums required to maintain such
<br />ituurartce in eSect until such time as the requirement for such insurance terminates in ac•- rdance with Borrower"s and
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