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<br />Utatarrnat t'.o~vet+rrt~rrs. 13ctrtowar atvd Lzndtr ~atrvttta.~t arsd agree as foVlctRS:
<br />i- I of Prteetpal sad Tae. Borrower slttrll p:ornptly pay whin dye the principal of sad intert3t on the
<br />tadebtedaas evidaaced by the Notc, prtpaymwt and late charges u provided in the tvott. and rite prrtctpai of noel inttrest
<br />on any Future Advances secured by this Mortgage.
<br />?. Parade trtr Twee asd Ia~aee. Subject to applicable law ~ to a writtto waivtt by Lender. Borrower shall pay
<br />to Leader on the day monildy itestaUments of principal and interest are payable under the Note, until the Nott is paid :a foil.
<br />a Hain (herein "Funds") equal to one-twelfth of the ytarty taxes and asssssatntts which may attain priority over this
<br />Mortgage, and ground rents oa the Pro}xrty, if any. plus oat-twelfth of Yearly premietm installments for hazard insurance,
<br />plus one-twelfth of Yearly premium installmenu for mortgage insuranu, if arty, alt u reasonably estimated initially and from
<br />time to time by Lender on the basis of assesments and bills and reasonable estirnatts thereof.
<br />'the Funds shall be held in an institution the dtposits or accounts of winch are insured ar guaranteed in• a Federal or
<br />state agtrscy {including Lender if Lender is such an instimtion}. Lender shall apply t1x Funds to pay said taxis, assessments,
<br />imurancx premiums and ground rents. Lender may not :.barge for so holding a~ applying the Funds, anal}ting said account.
<br />or verifying and compiling said assessments and hilts, unless Lendu pays Borrowu interest on t]~ Funds and applicabk law
<br />pumits Ltndtr to make such a charge. Borrower and Linder may agree in writing at rite time of execution of this
<br />Mortgage that inttrest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to tie paid, Leer shall not be required [o pay Borrower ana interest or earnings on tlu Funds. Lender
<br />a<5all give to borrower, without charge, an annual accounting of the Funds showing crediu and debits to the Funds and the
<br />`purpose far which tack debit to the Funds was made. "dhe Funds are pledged as additional security for 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 dot dates of taxis, assesstrtents, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />assessments, inattrance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to 1orrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />held by Leader shall not be sufficient to pay Laces, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by Leader fo Harrower requesting payment thereof.
<br />Upon payment in full of all s»rus secured by this Mortgage. Lender shat! promptly refund to Borrower any Funds
<br />Geld 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 immediately grior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />Lander at the time of application as a credit against the sums secured by this Mortgage.
<br />3, ARC"~__ sf P~e~ Unless applicable law provides otherwise, a!1 payments received by Corder under itte
<br />Note and paragraphs 1 and 2 hereof shalt be applied by Lender first in payment of amounts payable to Lander by Borrower
<br />under paragraph 2 hereof, then to interest payab}e on the Nate, then to the principal of the Note, and then to interest and
<br />Principal on any Futttre Advances.
<br />4. Ctvrges; LEta4. Borrower shall pay all taxes, assessments and offer 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 prompdy famish to Lender all notices of amounts due under this pazagraph, and in the event
<br />Borrower shall make payment directly, Borrower shall promptly famish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borsowtr shalt ant be
<br />required to discharge any such lien sa long as Borrower shall agree in writing to the payment of the obligation secured by
<br />such lien is a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in,
<br />legal groceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />5. Huard io~raace. Borrower shall keep the improvements now existing or hereafter erected on the Property insures
<br />against toss by fire, hazards included within the term "extended coverage", and such other hazards as Linder may require
<br />sad 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 Mortgage.
<br />The insurance carrier providing itre insurance shalt be chosen by Borrower subieee to approval by Lender, provided,
<br />that serch approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner
<br />provided under pazagraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
<br />%nsataace carrier.
<br />AB ittsuraace petlieies and renewals thereof shall be in form acceptable to Linder and shall include a standard rttortgage
<br />cause in favor of and in form acceptable to Lander. Lender shall have the right [o hold the policies and rettewals thetzof.
<br />aad Barrowtr sha-1 promptly furnish to Leader all renewal notices and ail receipts of paid premiums. In the tveat of 1,
<br />&trrawer-shall give Prompt notice to the insurance carrier and Linder. Lender may make proo€ of Ions if not made promptly
<br />by Borrower.
<br />Unless Lender sad Borsower otherwise agree in writing. insurance proceeds shall be applied to restoralion of repair of
<br />the Property damaged, provided such restoration nr 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 Mottgage would
<br />be impaired, the insurance 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 Lander within 30 days from the
<br />date notice is mailed by Lander to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Linder
<br />is authorized to collect and apply the insurance proceeds at Lender's option either fo restoration or repair of the Property
<br />or to the sutra secured by this Mortgage.
<br />Unions Lender and Borrower otherwise egret 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 I and 2 hereof or change the amount of
<br />such installments. If under pazagraph 18 hereof the Property is acquired by Leader, 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 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 />acquisition.
<br />6. II'raerraUon std Meuateasace of Property; Leaseholds, Condominiums; Planned Unit Ihvelopments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />sad she!! comply with the Provisions of any least if this Mortgage is on a leasehold. If this Mortgage is an a unit is 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. 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 />ahelt bt incotperated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part hereof.
<br />7.. PrMeetlaa of Leader's Seenrity. If Borrower fails to perform the covenants and agreements contained in this
<br />Mortgage, or if nay aetio.^_ or proteediag is commenced which materially affects Lender's interest in the Property,
<br />?ndudntg, buf not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
<br />bankrupt or decedent, thin Lemltr at Leader's option, upon notice to Borrower, may make such appearances, disburse such
<br />stems and take such action as is accessary to ptottct Lender's interest. including, but not Limited to, disbursement of
<br />rtasoaabk attorney's few and entry upon the Property to make repairs. If Lander required mortgage insurance as a
<br />condition of making the loan secured 6y this Mortgage, Hortowet shall pay the premiums required to maintain such
<br />iasttrantx in effect until such time as ,the requirement for such insurance terminates in accordance with Borrowei s and
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