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<br />79- t.~~.1~~63
<br />Uxmoxnt Cavax,txrs. Borrower and Lender covenant and agree as follows:
<br />ft. Paptneat of 1Princtpal aed itterest. Harrower shall 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 principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />i. heads far'iaxea and "nnsars.ttce. 3~tbjecz is applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Under on the day manihly installments of principal and interest are payable under the Nate, until the Note is paid in full,
<br />a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, artd bround Tents on the Pro_certy, if any; plus. one-twelfth of vgarly premium >tsta!l.'neats far hazard insurance,
<br />plus otte•twelfth of yearly premium installments for mortgage imuratwce, if say, all as reasonably estimated- initially and from
<br />brie fo time by Lettdar an the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shalt be held in an institution the deposits or accounts of which are insured or guaranteed 6y a Federal or
<br />state agency (including Lender if Lender is such an institution). Leader shall apply the Funds to pay said taxes, assessments.
<br />instrance premiums and grotmd rents. Lender may not charge far so holding and applying the :ands, analyzing said account,
<br />or verifying and compiling said assessments and twills, 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 at the time of exectrtian 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 be required to pay Borrower any interest or earnings on the Funds. Lender'
<br />stwll ¢ive 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 dates of taxes; assessments, insurance premiums and ground rents, shall exceed the amount required fo pay said faxes,
<br />assessments, instuance premiums and ground rents as they €all dt._, such excess shall be, at Borrower's option, eithee
<br />pzomptly repaid to Borrower or credited to Harrower on monthly installments of Funds. If the amount of the Funds
<br />held by Lender shall not be sufftcieat zo pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Harrower shall pay fo Lender any amount necessary to make up the deficiency within 34 days from the date notice is mailed
<br />by Lender to Borrower requestiug'payment thereof.
<br />Upon payment in full of all sums secured by this Mortgage. Lender shall promptly refund to Borrower any Funds
<br />Geld by Lender. If under paragraph I8 hereof the Property is sold ar the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than imrr.~iaiely prior io the sale of the Property or its acquisition by Lender, any Funds held- by
<br />Lender at tl-ie time of application as a credit against the sums secured by this Mortgage.
<br />3. Appticstiea of Psyatenas. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and Z hereoF sftatl be applied by Lender &rst 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 Nets, and thtw to interest and
<br />principal on any Future Advances.
<br />4. Charges; Llens. Harrower shall pay ati taxes, assessmenu and outer charges, fines and impositions attributable Yo
<br />the Progeny which may attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided tuwdet paragraph Z hereof or, if oat paid in such manner, by Harrower making payment, when due, directly m ike-
<br />payee thetvrof. Horrower shall promptly furnish to Lender all notions of amounts dtx utu~r this paragraph, and irw the event
<br />Harrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments..
<br />Hozrawer shall promptly discharge any lien=arhich has priority over ibis- Mortgage; provided, that Harrower -shalt rtot be
<br />requred to dischar~ any such lien so long as Horrower shat! agree in writing to the payment of ttte obligation secured bg
<br />sash lies in a manner acceptahk to Lender, or shall in goad faith contest such Iien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enfarremeni of the lien ar forfeiture of the Property or any part- thereof=
<br />5. gezard Insruance, Hatrawer shall kcep the improvements now existing ar hereafter erected on the Property insured
<br />agaitwst loss by file, hazards included within the term "extended coverage", and such other hazards as Lender may require:
<br />- and in sudt amounts and for such periods as Lender may require; provided, that Lender shad net require that the atnuimt of
<br />such coverage exceed that amount of coverage required to pay the stems secured by this Mortgage.
<br />The insurance carrier providing the insurance shall be chosen by Hotrawer subject to approval by Lander, provided.
<br />that sash approval shall nRt tre unreasonably withheld- All premiums on insurance policies shall be paid in the manse:
<br />provided under paragraph ~ Iwereaf or, if na paid in such manner, by Horrower making payment, whoa due, dtrectly fo the
<br />;~:ate ~~^g°r.
<br />All insurance policies and renewals thereof shaft be in form acceptable to Lender and shall include a seandard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
<br />sad Harzwer shalt pramgdy furnish to Lender ail renewal notices sad all receipts at paid premiums. In the event of loss,
<br />Borrower shall give prompt notice to Ute insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />by Bozrawer,
<br />Unless Lender aad $atrawer otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the 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 nr if t::e Vcu-..pvf i'ins ivlorrgage would
<br />Tae impaired, the insurance proceeds shall be applied fe the stuns secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Horrower, or if Borrower fails to respond to Lender within 34 days from the
<br />date notice is mailed by Lender to Harrower that the insuran_e carrier offers to settle a claim far insurance benefits, Lender
<br />is authorized to collet and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br />or to the stmts secuzed by this Mortgage.
<br />Unless Lender and BExrawer otherwise agree in writing, any such application of proceeds to principal shall not extend
<br />or postpone the due date of the *~tattthly installments r_ferred to in paragraphs I and 2 hereof or change the amount of
<br />such installments. If nodes paragraph tg hereof tine Property is acquired by Lender, ail right, title and interest of Horrower
<br />lit and to any Insurance policies -and in and to the proceeds thereof resulting from damage to xhc Property pries to the sate
<br />ar acgtrisi5ion shall pass to Lender to the extent of the sttms secured by this Mortgage immediately prior to such sate or
<br />acgttis}tion.
<br />d. )freaervatloa earl hltdtttettascc of Properly; Lesseholdsl Coadomiaiutsts; Planned Unit Bevelopaxats. Horrower
<br />shall keep the Property in good repair and shall not commit waste or permie impairment of deterioration of the Property
<br />and shall. compfy with the grovisians of any lease if this Mortgage is on a leasehold.- df this Mortgage is on a unit in-a
<br />tbadotttiztium or a planned twit development, Harrower shall-perform all of Borrower's obligations under the declarawaon
<br />or covenants creating or gover»ing the condominium ar planned unit development, rite by-laws and regulations of the
<br />cortdomitsittm or glanced unit development, and constituent dacumenr. If a condominium or planned unit development
<br />rider 'es executed by Horrower and recorded together with this Mortgage, the covenants and agreements of such rider
<br />shall- be iucttrgorated inta~ and' shall. atnettd .and supplement the cav-enants and- agreements of this Mortgage as if the rider
<br />were a past hereof.
<br />7. lfifu4rctitm of I,eRder's #}. If Borawwer Fails to perform -the. covenants and. agreements contained in this
<br />A1«r£gage, or if -arty .^ti:+r: or rroceasling, is uamnzeflced which- materially affects .Lender's interest in }he Property,
<br />incltrGittg, but not }imsed *.a, emtnertt doa.zBih, insolvency, coda enfnrcemerit~ az arrangetctents or proceedings involving a
<br />ganktttgf tat"deceden4 then Lender-at Lender's' option, apart uotit~ to Barrowet, may make-such appearances, disburse- such
<br />salsa axtd take -such a¢tivn as is necessary - fo prfrtect Lender's intet~st, it+,cttrdit:g, but not limited to, disbursement isf
<br />reas€mabie atHwrney's Feetr and entry tigon the Ptngert}! to make repairs: It Lender requited mortgage insurance. as a
<br />eanditian of mttkirtg the loan secured by -this Moztgage, Horrawer shall pay the pretninms required to maintain such
<br />ipsttraare in effect ttntii such time as the requiretuen# €or sxtclt insurance terminates in accatdance with Borrower's and
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