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<br />UxtFOxnr CovexnxTS. Borrower and Lender covenant and agree as follows:
<br />i. Pag'meat a# Pzinclpal amt Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Nate, 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 />2. Fends #~ Taaes arm I~aiartce. Subject to applicable law or to a written waiver by Lender, Borrower sttaH pay
<br />to Fader on the day monthly installments of principal and inreresY are payable under the Nate, until the Note is paid in full,
<br />a auiy rein "Funds 7 equsl to ort^,-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground rants an the Property, ;f any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus atte-twelfth of yearly premium installments for mortgage insurance, if atty. all as rt:asonaltly ~-fimaied initially and from
<br />time to tune by Lender an the basis of assessments and bills and reasonable estimates thereof.
<br />The- Funds shall be held in an institution the deposits err accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Leader is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and ground rears. Lewder rosy not charge for so holding and applying the Funds, analyzing said account,
<br />err verifying and eampding said assessments and bills, 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 execution of this
<br />Mortgage that interest on the Funds shall be paid to Harrower, and unless such agreement is made or applicable law
<br />requires such interest Yo tie paid, Lender shall not be required to gay Borrower any interest or earnings on the Funds. Lender
<br />shall give to $orrower, without charge, an annual accounting of the Ftmds showing credits and debits to the Funds and the
<br />pttrpase for which each debit to the Funds was made. Tate Funds are pledged as add'eiionai sexuriry for the sums secured
<br />by this Mortgage.
<br />If the amount of the Funds held by Lender, together with the future monthly irtstalltnert~ of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and erouad 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 Borrowers option, either
<br />promptly repaid to Borrower or credited fo Borrower on monthly installments of Funds. If the amount of the Funds
<br />held by Lender shat! eat be suf@cient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall pay to Lender any amount nceessary to make up the deficiency within 30 days from the date entice is mailed
<br />by Leader to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by [Iris Mortgage, Lender shall promptly refund is Borrower any Funds
<br />held hY Lender. I# under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, na later than immediately prior to the sate of the Property or its acquisition by Lender, any Funds held by
<br />Lend; r -at uhe titre of application as a credit against the sums secured by this Mortgage.
<br />3. of Payments. Unless applicable law provides otherwise, all paymems 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 Z hereof, then to interest payable on Lhe Note, then to the grincipai of the Nate, and th en is interest and
<br />principal on any Future Advances.
<br />4. CLarges; Lkos. Borrower shall 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 gtund rents, if any, in the manner
<br />provided under paragraph 2 hereof or. if not paid ir. such manner, by Harrower making payment, when due, directly to the
<br />payee tlteteof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Harrower shalt make payment directly, Borrower shall promptly fumi~h to Lender receipts evidt:n~ing such payments.
<br />Hotrower shall promptly discharge any lies which has priority over this Mortgage; provided, that Borrower shall -eat- be
<br />required to di~harge any such hen so long as Barrawer shalt agree in writing to the payment of the abtigatian secured by
<br />such lien in a manner acceptable to Lender, or shall in paid fai~h contest such lien by, s:r defend enforcement o€ such lists in,
<br />legal proceedings which operate to prevent the enforcement at the lien err forfeiture of the PrapoYy err any Part- the:,.of.
<br />5. Hazard Ir~nrnrtee. Renewer shall keep the improvements now existing or hereafter erected an the Property insured
<br />against lass by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
<br />an3 in such amounts and for such periods as Lender may require; provided, that Lender shall eat require that the amount of
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance carrier providing the insurance shalt be chasert by Bonawec subject to approval by Lender, provided,
<br />that such approval shall eat be unreasonably withheld. All premiums on insurance policies shall be paid in the manlier
<br />provided under paragraph 2 hereof or, if not paid in s:tclt manner, by Harrower making payment, when due, directly to the
<br />insurance carrier.
<br />All insurance policies and renewers thereof shall oe in form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shat; have the right to held the policies and renewals thereof,
<br />and Harrower shalt promptly furnish to Lender a!1 renewal notices and all receipts of paid premiums. In the event of loss,
<br />Borrower shall give prompt native to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />by Harrower.
<br />Unless Under and Barsawer otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restorattou or tepatr is economtcally feasible and the security of this Mortgage is
<br />not thereby impaired. if such reszoratian or repair is not economically feasible or if the security of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to the sums secumd by this Mortgage, with the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower, or if Hotxower fails to respond to Lender within 34 days from the
<br />date notice is mailed by Lender to Barrawer that the insurance carrier otters fo saute a claim for insurance bene.ets, Lc-nder
<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 sums secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall eat extend
<br />or postpone rho due date of the monthly installments referr:=d to let paragraphs i and 2 hereof or change the amount of
<br />such i!tstaliments. if under paragraph 1$ hereof the Progeny is acquired by Lander, alt right, title sad interest of Borrower
<br />in and to any insurance policies and in sad to the proceeds thereof re>tair'ng from damage to the Property pricer to the sate
<br />or acquisition shall pass to Lender to the extent of the sums secured tic this Mangage immediately prior to such sale or
<br />acquisition.
<br />6. pzasezvrAdoa and Maiutanartce of Property; LeasPltotds; Condomininms; Planned UnH Ihvedopmea:$. Borrower
<br />shall keep the Property its good repair and shall not commit waste or permit impairment or deterioration of the F;aperty
<br />and shad comply whit the provisions of any lease if this Mortgage is on a leasehold, tf this Mongage is on a unit in a
<br />condominium or a planned tutu develaptrrent, Borrower shall perform all of Bartaw~r s obligattans under the declaration
<br />or eovcnants ereatittg or governing the condominium oz planned uuit development, the by-laws and regulations of the
<br />condominium err planned unit devetopmen4 attd constituent documents. I€ a candaminium err plannt:d unit development
<br />rider is executetl by Barrawer and recorded together with this Mortgage, -the covenants and agreements of such rider
<br />altsll ba incorporated into and shat] amend and supplement tits: covenants and agreements of this Mortgage as if the rider
<br />were a hart hereof:
<br />7. PrnlacTiOn m# ].x~det"s SecsrHy, If Borrower fails to perform the covenants sad agreements contained in this
<br />Xklaxtga$e, or if any action or proceeding is commenced which ,materially affects Lender's interest in the Property,
<br />including, but not litnited to, eminent domain, insolvency; cede enfotcxment, or arrangements or proceedings involving a
<br />bankrupt err decedent, then Lender at LttttdeYs option, upon notice to Borrower; tray make such appearances, disburse such
<br />items talcs sttcli action as is necessary to pratxt Lender's interest, including, bite-not limited to, disbursement of
<br />reasonable attarnoy'a fr~s and sntay open the Pt'~*t:" ter- ma'~e .~Yairs. If I~.ndar .wired mortgage iese!rant;e as a
<br />etmdi>?an of anakieg.9w loan- sexttred by this Mortgage, Harrower shall pay the- premiums required to maintain such
<br />insurantx in effect-until such time as the requiremtent for such insurance terminates in accordance with Borrowers and
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