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~ Uxrnotut Coverxis. Borrower and Lender covenant and agree as follows:
<br />~ 1. Payment of Pirl®cipal anti latet~est. Borrower sha!I 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 />,t„f on any Future Advances secured by this Mortgage.
<br />i Ihrade for Ts:es and Iasuraace. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />~ to Lender an the day tttenthly installments of principal and interest are payable under the Note, until the Note is paidrn full.
<br />! a awn (herein "Funds") equal to one-twelfrh of the yearly taxes and assessments which may attain priority over this
<br />1 Mortgage, and ground rents on the Property, if any. plus one-twelfth of yearly premium installments for hazard insurance,
<br />~ plus one-twelfth of yearly premitrm installments for mortgage insurance, if any, all as reasonably estimated initially and from
<br />hrtte to [liar by Lender on the basis of assessments end bills and reasonable estimates thereof.
<br />'The Ftmds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency {including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />instrtgace ttremittttu and ground rents. Lender may nor charge for so holding and applying the Funds, analyzing said account,
<br />or vtui[ying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits Letrtlrr to make sttclt a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest nn the Fttrtds shall be paid to &orrower, and unless such agreement is made or applicable law
<br />ralt»t~ce such interest to be paid, Lender shall not be required to pay Borrower any ineerest 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 />purptsu for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured
<br />by this Mrtrtgsge.
<br />If the amount of the Fonds held by Lender, together with the future monthly installments of Funds payable grior to
<br />the due dates of texts, assessments, insurance premiums and ground renu, shall exceed the amount required to pay said taxes,
<br />asaeaso,,,ents, insurance premiums and ground renu as they fall due, such excess shall be, at Borrowers option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />beM by Letx)tr shalt not be sufficient to pay taxes, assessmenu, insurance premiums and ground rents as they fail due.
<br />Borroxer shall pay to Leader any amount necessary to make up the deficiency within 30 da}5 from the date notice is mailed
<br />by Linder to Borrower regtresting payittent thereof.
<br />Upon payment is full of all [arms secured by this Mortgage, Lender shall promptly refund io Borrower any Funds
<br />held by Lender. If [[[[tilt paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lertder, Lender
<br />shall apply, tro later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />;~~,- ; to ~ ~ apt~...a~ a_ a ct±"?:t a>t~ai~t the sums secured by this Mortgage.
<br />3. Applieatioa of Pay®eats. Unless applicable law provides otherwese, all payments received by Lender under the
<br />Mote and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then io interest payable on the Note, then to the principal of the Noio, and then to interest and
<br />ptittcipel an any Future Advances.
<br />4. C~ I.ieas. Borrower shall pay all races, assessments and other charges, fines and impositions attributable to
<br />the Property which may attasr a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided uttdtx paragraph 2 heroaf or, if not paid is such tttanntr, by Borrower making pay~~t• whet[ due. directly to the
<br />payee thtxeof. Borrower shag promptly furnish ro Leader all notices of amounts due undo this paragraph, acrd in the event
<br />Bttrtovaer shaIl matte paytmat directly, Borrower shall promptly furnish to Lender receipts evidencing such paytrtenu.
<br />Borrower shall pr~ty discharge any lien which has priority over this Mortgage: provided, that Borrower shall not bt
<br />tt to discharge any strch litre so 3ortg as Borrower shall agree in writing to the payment of the obligation secured by
<br />such lira io a manner awtptahie to Len~r, or shall itt good faith contest such lien by, or defend enforrement of such lien in,
<br />legal tovhicit opera[[ to prevcat the enforcctnettt of the lien or farfeitwe of the Property or any part thereof.
<br />5, i~d i~aaCe, Bottowv shall kcep the improvements rtow existing or bereafter erected on the Properly insured
<br />agsiost loss by fire, harsrds irxltrded within the term "extended coverage'. and such other hazards as Lender may require
<br />atd is arch amounts and for strch periods as Cruder may requitr: providai, that Lertder steal! trot require that the amount of
<br />such rxntceerage exceed that amamt of txtverage regttued to pay rtes sums secured by this Mortgage.
<br />23e iamrance carrier ptovideng rtes ittstrrmce shag be chosen by Borrower subject to approval by Linder, provided.
<br />~ such appttaval shall nor be ttateasoaabiy withheld. All ptrntituos oa insurance policies shall be paid in ttte matttrtr
<br />ptvrided tmdet paragraph 2 hereof or, if trot paid in such .~~..*~sr, b}' Borrowrr making payment, when due, directly to the
<br />iustatsoe cattier.
<br />A9 iii pt~icies ~ trntwais thtnwf shall bt in form ttcceptabk to Leader andshail include a standard mortgage
<br />douse ~ f:+ror of sod in #orm atxeptabk to Lender. i.tndcr shall havr the right to cold the policies and renewals thereof,
<br />Syr .a. ~! Orly #ttr~h m Under all renewal notices attd all receipts of paid premiums. In the tvtat of loss,
<br />garoWer shall eve prompt notice to the irrsuranct carrier and Lr.~s. Lendu ma} make proof of loss if not made promptly
<br />by tlrxtoxsr_
<br />Uriltas i.estder and Borrower therwise agree in wri5t~, insurance proceais shall be applied to restoration err repair o[
<br />tfae Ptt~retty damages, psovrded such resttxation ar repair is ecanosnically ftxisible and the security of this Mortgage is
<br />ant [booby ietpaired. if attt:h restoraticm or repair rs aces tcon~atly fusible err if the security of this Mortgage would
<br />bt tilt imut:aoe psoceeds shall be applied to the sums srctrred by ibis Mortgage, wish the excess, if any, paid
<br />m garroter- fr the emptily is abandttnod by $orrttwtr, or if Borrower IaiiS to rtspoad to Lender within 30 da}~ from the
<br />dolt aptipt is mailed by Leads to Borrow•u that the insurance earritr offers to stale a claim far insurartee benefiu, Lender
<br />is attehat'imd m ttoilyd and apply the iruuraace praoeeds at Ler~a's option tither to restoration err repair of the Property
<br />err m the tarots txcvr+ed by tba MattiaK
<br />Litsies i.eadtr sod Borrower ot)atrw®c agree in wtitirig, env such application of proceeds to principal shall not extend
<br />tx p the due dart M the tatottrhly itttrsBmcats referred to in paragraphs 1 and 2 hrnof ar change the amount of
<br />mete ittuaBtaemts• if tttt~r paragraph i6 hereof the Property is acquired by Leader. all right. title and interest of Borrower
<br />~ ~ rte sY' ietswartce poficsu amt is and >4 the proceeds [hereof rewltiag from damage to the Properly poor to the sale
<br />or atxFdsittioa pas to Ltmder to tle attar of the rims stcurtd Jy ibis Mortgage imtrredia;e}Y Prior to such sale err
<br />6 httrtssttgaw set frlaia~lc+.wer of Prapatr t.oseltalda Coadoarisri~ PLared Unit t)evtdopmeaa. Borrower
<br />ttht-H keep Litt Ptttpesty ffi pod repair aad shad oat waste or puma impairment ar ~rerioration of the Property
<br />asd [[halt comply wttth rite pttuvtstoos ~ any isaae if this Mortgage u on a itateltold if .his Mortgage is on a unit in a
<br />err a platatted twit devobpmrat, Borrower strati perform all of Borrower's nbhgauans under rite declaration
<br />ex ter ft for eoedomiaittm or planned unit aeveioptatnt rtes Yry-fowl a.-td regulations of the
<br />cis piartned tts8 de~opmemt, and cotuaittxat doctuatnts. !f a cattdorninium or planned unit devtlopment
<br />rider in esatatmd by Botmwer anti retx+rded tx>~ with this Moriytge. the rnvenartts and agrxments of such nder
<br />ti!>ag ~ i~ ~ ~ amt t the twveaants tend agreeaxrtts of this Mortgage as if the rider
<br />srtta+g a part [reseal,
<br />7. 1l4talscti'rtta tl I.aaied's SattesitP. )'d Borrmuer fails to ptrfortn the oeveaaats and agreeatenta contained in this
<br />~ i# sp a~ a is atatmenaed whidt miaBy affects Leaders [t[[[reat in the Property,
<br />Iaeg, ~ apt Finaitad sa. t ttemaia. irrsoivextcy, cc# enfaraatent, or arrangements or ptoctedingc involving a
<br />or tietedeist, [Lees Leadtu >t Ltmder's option. upon rtorice to Borrower, rosy nuke stash appearances, disburse such
<br />~ ~ take web sttipn as is rtemtaat'y to prmect l,eoder't interest, including bui oat limited to, disbursement of
<br />rrmea:bte u~y's Era stud eabry upon the property to [[tale[ repairs. !f Lender tcquirtd mortgage insurance as a
<br />ttoaditioa of t' the loan secured by thri Mortgage, Borrower shall pay the premiums required to maintain such
<br />itsRt'~ee ht t~ tmdil apelt tmoe n the togtzstrmeot hx strch insurance terminates in accordartce with Hotrawer's and
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