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<br />tJwt~aa~atm Ctr'~u~era,xhrts. Barmower and Lender r:+avranana and agree as fall~ows:
<br />L. P~~yt ~nf tusal rr larrower skV~~a)1 piromptl,~y pay what dose the principal ~af ~aad interean ron thc~
<br />~6itmdtbktdness~ ~eroideinced by ~~the .'Nance, prcpayrnxnt and la,rte~ ~clharrges as prowidedl in the "J4~o1Le, and the prina:ip~l of and Fran::~t,
<br />sxi any Future Advances sxurtd by this Mortgage.
<br />Z. Ftartds im Tttaes and Iesmance. Subject to applicable law or to a w-ritzen waiver by Lender, Borrower shag pay
<br />to Lender on the day monthly installments of principal and interest ate payable under the Note, until the Notc is paid in ful3,
<br />a arnt (herein "Funds") equal to one-twelfth of the yearly taxes and assessmrnts which may attain priority Duct this
<br />Mortgage, and ground rrnts on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus om-twelfth of yearly premitun installments for mortgage insurance, if any, all as rea<.onably estimated initially and from
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thtreaf.
<br />The Funds shall be held in an institution the deposits or accounts of which are iruured or guaranteed by a Federal or
<br />state agency (including Lander if Lender is such an institution). Leader shat! 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 assesstttenu and hills, 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 intertxt on the Funds shall be paid to Borrower, and unless such agreernem 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 />shall give to Bar.ower, without charge. an annual accounting of the Fords showing credits and debits to the Funds and the
<br />purpose for wf.ich 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 monthly installments of Funds payable prior 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 fall due, such excess shall be, a[ Borrower's option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />held 6y Lender shall not be sufficient to pay taxes. assessments, insurance premiums and ground rents as [hey fall due,
<br />Earrower sbell pay to Lender an•• amount ^ ~•• ~~ rrake up rt,P neficiency wir'_nin 30 days tram tl±e rare notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all scrota secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than itnmtdiately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />I-ender at the time of appltcation as a credit against the sums secured by this Mortgage.
<br />3. Appiic>gioa of Paytsteats. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Ivoze and paragraphs i and 3 hereof shat; Fie applied by Lender fi ~t in payment of amounts payable to L=nder by Borrower
<br />under paragraph 2 hereof, tbett to interest payable on the Note. then to the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Chteges; Lomas. Harrower shall pay ail 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 tinder paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly zo the
<br />payee thereof. Borrower shall promptly furnish to Lender all notices of amounu due under this paragraph, and in the event
<br />Harrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencin¢ such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrowu shall not be
<br />required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligaticn secured by
<br />such lien in a manner acceptable to Lender, or shall in goad faith contest such lien by, or defend enforcement of such lien in,
<br />legal gtoceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any pan thereof.
<br />S. Hasard Iosarance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />agains[loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
<br />and in such amounts and for such periods as Lender may require; provided, 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 Martgage.
<br />The insurance carrier providing tlz< insurance shall be chosen by Borrower subject to approval by Lender, provided,
<br />that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid 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 />insurance carrier.
<br />All insurance policies and renewals thereof shall fie in form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hard the policies and renewals thereof,
<br />and Barmwer shat! promptly furnish to Leader all renewal aotites and all receipts of paid premiums. In the event of loss.
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender mzy make proof of loss if not made promptly
<br />by Borrower.
<br />Unless Lender cad Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is
<br />not thereby impaired. If such restoration 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 secured by this Mortgage, with the excess, if any, paid
<br />[o Eorrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the insurance came: offers to settle a claim 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 Property
<br />or to the sums secured by this Mortgage.
<br />Unless Lender anL Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend
<br />or postpone the due date of the monthly installments referred to in paragraphs !and 2 hereof or change the amount of
<br />such installments. If under paragraph IB hereof the Property is acquired by Lender, all right, title and interest of Borrower
<br />in and to any insurance policies and in and to the proceeds thereof resulting from damage to thx Property prior to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured 6y this Mortgage immediately prior to such sate or
<br />acgtrisition.
<br />6. PtraervaUon attd Mstiatenance of Property; Leaseholds; Condominiums; Plenrted Unit lleveh>pments. Borrower
<br />shall keep the Property in goad repair and shall not commit waste or permit impairment ar deterioration of the Property
<br />and shall comply with the provisions of any lease if this Mortgage is on a leasehold. Ii this Mortgage is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform alt of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
<br />condominium or planned unit development, and constituent documents. I(a condominium or planned unit development
<br />rider is executed by Borrower and recorded together with this Martgage, the covenants and agreements of such rider
<br />shall be incorporated into and shag amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part heron#.
<br />7. grptety;oa ~ Leotks's Scxnritq. If Borrower fails to perform the covenants and agreements contained in this
<br />Mar'-w^~ge. or if any action or proceeding is commenced which materially affects Lendei s interest in the Property,
<br />ittClttding, but not limited to, toruimrt4 domain, insolvency, code enforcement, or arrangements or proceedings involving a
<br />biznkrupi or decedent, then Lrntfer aE Lender's option, upon notice to Borrower, may make such appearances. disburse such
<br />ttttms cad take bueh action as is necessary to protect Lender's interest, including. but not limited w, disburxement ~;f
<br />reessxrahk attotmy's fees and entry upon the Propcrtr to make repairs. If Lender required mortgage insurance as a
<br />cOrta'itioU of making the lean sceerred by this Ma3tgage: Banawer shall pay the premiums requirtd to maintain such
<br />iastutnncx Ia +tBect unto- such firm as the rcquitenaent for such insurance terminates in accordan~-e with Borrower's and
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