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<br />I9tKrr~rcat ~C,avsnrWeirrs. Borrower stall Lender sxrvcn;am aced agree as iiaikrawa:
<br />3. P~aeaf o! i?rlae!*d atad Iaresrat. Borrower shall prornpaly pay when due the principal of and interest on rtes
<br />evrdeffied by the Nose, pzspaytzaent and lets sitargss as prov~iZa m ttte '+s#s, and zhe ~~, rtcrpal M and intereS?
<br />on anq Frrture Advaaas secured by this Mortgage.
<br />$ Fends !ar Taxes amd Ice. Suhje`t to applicabk taw or to a written wa"tvtr by L.crtaer, Borrower shall pay
<br />to Lender on :fie day monthly imtalimcnts of principal and interest are payabk under the Hots. until the time is paid in full,
<br />a sum {herein "Funds") equal to otre-twelfth of the yearly rates and assessnuttis whkh may attain priority ovtr this
<br />Mortgage, and gmtmd rrnts on the Propcrty, if any, plus onestwelfth of yearly premium installments for hazard itist,rarice,
<br />plus one-twelfth of ycarty premium installments for martgags itrwrance, if any, alt as reasonably estimated initially and from
<br />rims to rims by Lender on the basis of ass~smenis acid bills and reasonable estirnates thereof,
<br />The Ftmds shall be hdd in an institution the deposits or accounts of which are insured or guaranteed by a Fedcral or
<br />state agency (including Lender if Lender is such an imtizuzion). Lender shall apply the Funds to pay said taxes, assessments,
<br />iffittrattce premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account,
<br />or verfying and compiling said asaesstnents and bills, unbss Lender pays Borrower interest on the Funds and applicable law
<br />permits Lender to make such a chugs. Borrower and Lender may agree in writing at the time of executior. of this
<br />Mortgage that interest on the Furnls steal! be paid [o Borrower, and unless such agreement is made or applicable law
<br />r~ttir; ~.~.h i^•-.~, t. s,.z fairs r PrKler shall :t; t !x required to pay Borrawsr any interest or earnings oa the Funds. Lender
<br />shall give W Borrower, without charge, an annual accounting of the Funds showing credits and eebiia ev 'a`rc r-w.:a a:,d t..'^-
<br />` purpose for which cash debit to the Funds was made, The Funds are pledged as additional security for the slims secured
<br />by this Mortgage.
<br />If the amount of thz 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 excced the amount rtquired to pay said taxes,
<br />assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either
<br />protnp:ly repaid to Borrower or credited to Borrower on monthl}• installments of Funds. If the amount of the Funds
<br />Iota by Lender shag not be sufficient to pay taxes, assessments, insurance premiums and grand rants as they fall dx,
<br />Borrower shalt pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by Leer to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. Ff under pazagraph I8 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no Islet than immediately prior to the sale of the Property ar its acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />5. Appllcatloo of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and pazagraphs I add 2 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 the Note, then to the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. C6acga; Ileos. 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 ground rents, if any, 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 />payee thereof. Borrower shall .promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shall prompay famish ?o Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shall agree in writing to she payment of the obligation secured by
<br />such }ten in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any patt thereof.
<br />5. IHaaaM Inanrance. Borrowee shall keep the improvements now existing or hereafter erected on the Property insured
<br />agairmt 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 no[ 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 shall be chosen by Borrower subject to approval by Lender, provided,
<br />that such approve! shall not be unreasonably withheld. All premiums on insurance policies shall be paid in [he manner
<br />provides under paragraph 2 hereof or, if not paid in such manner, by Bonawtr making payment, when due, directly to the
<br />itisurattce carrier.
<br />AB insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
<br />cfattse in favor of and in form acceptable to Leader. Lender shall have the right to hold the policies and renewals thet•eaf.
<br />and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss,
<br />Borrowtr shall give prompt notice to the iasurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />by Borrower.
<br />Uprose Lender and Borrower otherwise agrce 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 or if the security of this Mortgage would
<br />be impaired, the iasurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
<br />date Mice is mailed by f.znder to Borrower that the insurance carrier offers to settle a claim for 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 and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend
<br />of postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />such installments. If under pazagraph 18 tteeof the Property is acquired by Lender, all right, tide and interest of Borrower
<br />in add to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
<br />eetlnialtiOn.
<br />6. Pttservatian oral !4ltuntenance of Property; Leaseholds; Condominiums; Planned Urdt Developments. Borrower
<br />shall keep the Property is good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />a~ shelf comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
<br />eoadotniaium or a planned emit development, Borrower shall perform ai! of Borrower's obligations under the declaration
<br />of covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
<br />condomir»trm or planted unit development, and constituent documents. If a condominium or planned unit development
<br />rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
<br />shag be itieorporakd into and steal! amend and supplem_nt the covenants and agreements of this Mortgage as if the rider
<br />wem a part heranf.
<br />7. Proteetian of Lender's Secarlty. If Borrower fails to perform the covenants and agreements contained in this
<br />11¢tirtgage, or if aay action or proceeding is commenced which materially affects Lender's interest in the Property,
<br />including, but not limited to, eminent domain, insatvency, code enforcement, or arrangements or proceedings involving a
<br />bankrupt Or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such
<br />antes attd take astch action as is necessary to protect Lender's interest, including, but not limited to, disbursement of
<br />reasonable attorney's fees and entry upon the Propetty to make repairs. If Lender required mortgage insurance as a
<br />condition of making tht loan secured by this Mortgage, Borrower shal- pay the premiums required to maintain such
<br />insurance in efket until such time as the rsquiretnent for such insurance terminates in accordance with Borrower's and
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