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UN[FORM Covennrvrs. Borrower and Lender covenant and agree as follows:
<br />L. Payment of Princlga9 aad Interest. Burrower shall promptly pay when due the principal of and interest on [he
<br />indebtedness evidenced by the Note, prepayrnent and late charges as provided in [he Note, and the principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />~. Purtds for Taxes and Ynsurasce. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Natc, until [he Note is paid in full,
<br />a strm {herein "Funds") equal to one-twelfth of Hte yearly taxes and assessments which may attain priorit}' over this
<br />A,c,gage, and ground rents an t: -Progeny, if any, plus one-twelfth of yearly premium installmenrs ter hazard insurance,
<br />pies one-twelfth of yearly premium installments for mortgage insurance, if any, ail as reasonably estimated initially and from
<br />time to time by Lender on [be basis of assessments and bills 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 agexy (including Lender if Lender is suer 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 assessments and bills, unless Lender pays Borrower interest on the Funds and applicable Saw
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made ar applicable law
<br />requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Batrcwer, withoua charge, an annual accounting of the Funds showing credits and debits to the Funds and [he
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security far the sums secured
<br />by this Mortgage.
<br />If the amount of the Funds held by Lender, together with the future mcnthly installments of Funds payable prot to
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and ground rents as they fail due, such excess shall be, at Borrower's op?ion, either
<br />promptly repaid to Borrower or credited [o Borrower on monthly installments of Funds- If the amount of the Funds
<br />held by Leader shall not be sufficient to gay taxes, assessments, insurance premiums and ground rents as they fall due.
<br />Borrower shat! pay to Lender any amount necessary to make up the denciencv within 30 days from the dale notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of ail sums secured by this Mortgage. Lender shall promptly refund to Borrower any Funds
<br />held 6y Lender. If under pazagraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply. no later than immediately prior to the sale of the Property ar its acquisition try Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall be applied by Lender first in paymem of amounts payable tc Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note. then to rite principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />A, Charges; Bens. Borrower shaP pay all 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 not paid in such manner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shalt promptly furnish to Lender all notices of amounts due under this paragraph, and in the evens
<br />Borrower shalt tttake payment directly. Borrower shall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgaee: provided, that Borrower shall not be
<br />required to discharge any such Lien sa long as Borrower shalt agree in writing to the paymem of the obligation secured b}
<br />etch lien jn a manner a anrahlr to [ Pnda_r, nr chap in g~x~d faith r~nnrrcr c„rh ]irn Fjy~ nr defend enforcement Of Sueli lie4 tn,
<br />legal groceediags which operate to prevent the enforcement of the lien ar t"arfeit,rc of the i roperty or any gar th°>~+sf.
<br />5. ffazard Iasuras.re. Berrawer shall keep the improvements now existing or hereafter erected on the Property insured
<br />against3oss by fire, hazards included withm the term "extended coverage", and such other hazards ac Lender may require
<br />and in su:h amounts and for such periods as Lender n.ay require; provide, that Lender shall not require that the amount of
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The iasurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender. provided,
<br />that such approval shall not be unreasonably withheld. .4i1 premiums or, insurance policies shall be paid in the manner
<br />provided wader paragraph 2 hereof or, if not paid in such manner, by Borrower makung payment, when due, directly to Lite
<br />iasurance carrier.
<br />All insurance policies sad renewals thereof shalt be in form acceptable to Lender and shall include a standard mortgage
<br />clause in (aver of and in term accegtabie to Lender. Under shah have the right to bald the policies and rer,ewats thereof.
<br />and Borrower shall promptly furnish to Lender all renewal notices and ail receipts of paid premiums. In the event of Ions,
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />6y Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance praeeds shall be applied to restoration or repair of
<br />the Froperty damaged, provided such restoration or repair is economically feasible and the security of [his Mortgage is
<br />not thereby impaired. If such restoration or repair is not ecor=amically feasible or if the security of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. If the Property is ahandored by Borrower, ar if Barrewer fails to respond to Lender within 30 days from the
<br />date notice is mailed by Lender to Harrower that the insurance carrier oiler.=, to settle a c!a!m far insurance benefits, Lender
<br />is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Properly
<br />er to the sums secured by this Mortgage.
<br />Unless Leader and Borrower othee-w-i.se agree in writing, any such application of proceeds [a prncipal shall not extend
<br />ar postpone the due date of the monthly instaiiments referred to in paragraphs !and 2 hereof or change the amount of
<br />such instaiiments. If under paragraph 18 hereof the Properr,.' is acquired by Lender, a!! right, title and interest of Borrower
<br />in aad to any insurance policies and in and to the proceeds thereof resulting from damage tc: the Property prior fo the sole
<br />or acquisition shall Bass to Lender to the Patent of the sums secured by this Mortgage immediately prior to such sale or
<br />acgttisitian.
<br />t+. Pteservstion and Mairttenaace of Property; Leaseholds; Condominiums; Planned Linn Developments. Harrower
<br />shall keep the Property in good repair and shall not commit waste ar permit impairment or deteriera[ien of the Property
<br />and shall comply with the provisions of any lease if this Mottgage is on a leasehold. If this Mortgage is on a unit in a
<br />condominium ar a planned unit development, Harrower shall perform ail of Borrower's obligations under the declaration
<br />or covenants creating ar governing the condominium or planned unit development, the by-laws and regulations of the
<br />condominium ar planned unit development, and constituent documents, If a condominium or planned unit development
<br />rider is cxe[:uted by BotTOwer and recorded together with this Mortgage, the covenants and agreements of such rider
<br />shalt be incotparated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part hereof.
<br />^r. Protection et IxnderTs Secne•Ity. If Borrower fails to perform the eovenaats and agreements contained in this
<br />Mortgage, or if soy action. or proceeding is commenced which materially atfects Lender's interest in the Property,
<br />including; but not limited to, eminent domain, insolvency, code enforcement, or arrangements ar proceedings involving a
<br />hankrttgt er decedent, then Lender at Lender`s option, upon notice to Borrower, may make such appearances, disburse such
<br />sums and take such action as is uecessat^y to protect Lenders interest, including, but not limited to, disbursement of
<br />reasonable a[tomey's fees and entry upon the Froperty to make repairs. If Lender required mortgage insurance as a
<br />condition of making the loan secured by this Mortgage, Borrower shalt pay the premiums required to maintain such
<br />ituuranee in effect until such dme as the requirement for such insurance terminates in accordance with Borrower's and
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