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<br />~ Uxrnoatr Covert.txTS. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />~' indebtedness evidenced by the Noie, prepayment and late charges as provided in the Note, and the principal of arsd interest
<br />~ on any Future Advances secured by this Mortgage.
<br />~` ~. Rends for Taaea and insurance. Subject to applicable law or to a written waiver by Lender, Harrower shall pay
<br />to Lender on the day tttoathly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a stun (herein "Fonda") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and grormd renffi an the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premitmt installments for mortgage insurance, if any, all as reasonably estimated initially and from
<br />time ttt time by Lender on the basis of assessments and 6ilis and reasonable estimates thereof.
<br />7Tse Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state aga,:,y fincl[~ing Lender if Lender is such an iti<stitution). Lender steal! 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 />ar vttifying and compiling said assessments sad bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />petmiffi 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 or applicable law
<br />r~uittx such inttttst to be paid, Leader shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />pttrp~e far which tacit debit to the Funds was made. Tfte Funds are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If the amount of the Futtt's held by Lender, together with the future monthly installments of Funds payable prior to
<br />the due darts of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />assents, insurance premiums sled ground renu as they fall due< such excess shall be, at Borrowers option, either
<br />prampdy repaid to Harrower or credited to Borrower oo monthly installments of Funds. If the amount of the Funds
<br />held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and gro~md rents as they fal! due,
<br />Borrower shall gay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by itndtr to Borrower rtxluexting Payment thereof.
<br />Upon payment in fut~ of all ctttas secured by this Mortgage. Lender shall promptly refund to Borrower any Funds
<br />held by Lender- If under TarnernnA lA hermf tt~ Pr_Fnnettp• is sgld cs t}te Prgntrt~~ is otherwise acquired by 1_ender, I snder
<br />shall apply, no latex than immediately grior to the sale of the Property or its acquisition by Lender, any Futtds held by
<br />Leader at the tittle of applintion as a credit against rite sums secured by this Mortgage.
<br />3. Ap~iaa of Papioeois. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Nom sad paragraphs 1 and 2 he'reM slap be apgiied by Lender first in Payment of amounts payable to Lender by Harrower
<br />uadtr paragraph 2 herrn#, then to interYSt pa±able on the Noe, then to the principal of the Note, and !tern to interest and
<br />principal on any Ft~ Advances.
<br />i. ~ Brae. Horrttwer shall pay aB taxes. assessments arsd oiler charges. fines and impositions attrihutabk to
<br />t>te Property whitdt may attain a ptiotity ovu this Mortgage, and leasehold payments or ground tents, if any, in the manner
<br />provided tmtlex paragraph 2 hereof or. if as pant in such manner, by Borrower making pat~ment, when due, diteetly to the
<br />payee thtrtaf. H~•oaeY shall ptampily furnish to Lettdtr all nouces of amounts due under this paragraph, and in the event
<br />Borrower Shall make payment dertctly, 13orfower shall promptly furnish to Lender receipts evide~ing such paymenffi.
<br />Borrower shall ptttsnptly d"eseharge any lien wfitch has priority over this Mortgage; provided, that Borrower shall not 6e
<br />rttgtrsed to diac~srge any Such Ilea so bag as Borrower shall egret in Nrittng to the payment of the obligation secured by
<br />tarp'tieae is a tnaaaer acoepuble to Leader, or st,ail b good faith contest such lien by, or defend tnfor:ement of such list in,
<br />legal which operate to grouts! the eafor+ceYttertt of the lien or forfeiture of the Property or any part thereof.
<br />S. Hrmrd ~. Borrower sha8 koep the improvements now existing ar htrcafter erected on ttte Property ittwred
<br />asafnet bac by fire, bawds included within the rum "eztettded cavuage", and such other hazards as Leader may require
<br />sad ie such aewttr~ arsd for such periods ae Lettdu may require; prorideti, that Lender shall not require that ttu amount of
<br />oaasuage txaed thu amount of coverage required to pay the sums secured by this Mortgage.
<br />The tttsuraace ranter provrdi,ag dte inurance shall be chosen by Borrawtr subject to approval by Lender; provided
<br />that etch ap~oval shall not 6e tmteasartaMy vzthhtid. All premiums on insurance policies shall be paid in the manna
<br />provided under pa:agrsph 1 hereof or, if not paid in such m»~t, by Borrower makng paymatt, whoa due, dittixtly to the
<br />a~aace carf9er.
<br />A$ is pttlicaes sad rrattvah them>f shall be in form acctetabk [a Lender sad shall irtclttde a standard ,rton
<br />chase ifs favor ~ sad in form acctptab3e to Lemcler. Lender shall hays the right to txid the policies and renewals thereof.
<br />sad Harower shall paomptty fut~rh m Leader all rtruwal notices and alt ra-etpts of paid premiums. In the ettnt of loss,
<br />1 shalll~ proettpa nmice to the imerrattcx z-atrtes and !.ender. Leader ma} male pxoot of lass if [tat made promptly
<br />lg ice.
<br />Unks Linder sad Hrarowex otherwise agar in wntittg.:nsurartct proceeds shat; be applied to etstaration or repair of
<br />tlae Ptopeaty dtsmapad, provided wch restoraton ox rega,r ,s ~orsatt[ieaih feasible and the security of this Mortgage is
<br />arts thereby i~+tired. I# such reuorstitxt ar repair g tint ecc>atvnaalt} fcasihlt ar if tlx seeurit}° of this Mortsage would
<br />bt . ~e ,ttsutaatr }? shall be applied to the soars secured b} thts Mortgage. with the acorn. if any, patd
<br />atf'orrovu_ tf the Ptoperh g abartdonod b} Barrororcr. or it Bctrrowex tails to respotrd to l..ettder !,!!thin 3U days from the
<br />drat tattmrss mailed by I.tadtr to Borrawrr that :etc imtsraatx carrier offers to settle a claim for insurance benefits, Lender
<br />is atrtborised to txtHect sad apgtty the iasurarnx proceeds u Lender's option cithtr to restoration or repair of the Property
<br />oc act the sums secrtred Icy class Maart~e~
<br />U Leat4r sad Hctrrow~ez othtrs'sst agree rn wYrtittg, any such application of prxreds to principal shall not extend
<br />or ptttgme rise due elate t~ the atonihty tttsealltaxeatts re#ertsd to in }taragraplrs I and "_' htr~f or change the amours! of
<br />~ ice. If render para,~aplt [g Itea+ectf the Proputy is acquired by Lender, all right, title and in[eresx of Barrowu
<br />is sad m an} iastuance pdioes and is sad m the pfaaeds thereof resulting Pram damage to the Property prior m the sale
<br />ter r3tall psg trs Lender u, sett txttnt ~ the stuns secured by this lfortgagt immediately , rice to such salt or
<br />f. lwss*»Ssts sad Mairirt~aea of Prapeety; I.aaeYsiiR Cooda~ P L'tsfa Devd~aptae>its. BormW'er
<br />t~sY Tteap the Proptsty ~ goad hair arsd shall not commit wssae or permit impairment or deteriantictn of the ?rogerty'
<br />arsd ai3afi tray +rirh else ~ of nay keno it rtes Mort rs ~ a Iraschoid. If this Aiartgage is on a unit in a
<br />ctmdoesi~n m a plsrmed ung devriapmeaa, Horrowrr shall perform xil of Borrowers obligatioru under the derlaratian
<br />ur or 3 dte cctadntninitfnt ar planned unit devtloPtaent, the by-laws a~ regulatmrts of the
<br />oatsdot of pheotd ~ detrtktpmea€, sad inteytt doct~ents. If a cortdomiait~ or planned unit deve}ogarrent
<br />tides is stead ktj Hocs»sier sad tttcardaid tst6ahea weds this Mortgage, stet covenants a~ agreerntnu of such rider
<br />tistt>; ire mcxxpaeaead ialrr sod msead sad supplrmeat the c~v`tsartts and agrttatatta o7 thts Mortgage as if the rider
<br />steers a gout bettraraL
<br />T. AMee~ee ai Itwsiiwes ~. if 8ofrotcrr fails to perform the t:ovettants and agrtemtnffi coaUintd in this
<br />ar i# say cares ar paaeiae~sg s estm which tnateriatty alfxYS Calder's saterest in the Property,
<br />. bat nut 3itasiaed rte, ett . iatdvtaey, Cade eafor~tttt, yr arr~n~nenrc or proctediogs Involving a
<br />ar darodestt, tttea Is9dtr at Condo's option, rspon !torte! to Horrower, racy make srr:tt appearances, disburse such
<br />sus aed takie sndt adios as is to perota`t Lender"s ittttrest. including. but rant Limited to, disbutstlrtent of
<br />raaooahie ats~'s fires arsd carry upon the Propmy to !!rake repairs. If Lerrder required mortgage insurance as a
<br />ts# the boa stteated bS% ~ Mait>;age. Borrower shall pay tIx' premiums required to maintain such
<br />imp lira esyati anti such time as the re+quirtmtot foe such insurattct tttminaics in accstrdance with Bormwei s sad
<br />CJ!
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