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7g.~. U(1`~~5~30
<br />UN7Pt1Rrt C'ovsrr,nr+rs. Borrower and Linder covenant and ogee as foii~ows:
<br />I. Payment of Prhu3pal aad Ideeest. Borrower shah promptly pay when dtx the principal of and in#erest on the
<br />rode-btedneas evidenced by the Note, prepayment and lau tharges as Inovided in the Note, and the principal of and inures[
<br />oe aey Future Advances secured by this Mortgage.
<br />~. Ftrods for Tam asd Imurasee. Subject to applicable taw or to a written waiver by Lrnder, Borrower shaII pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, unfit the Note is paid in full,
<br />a sun[ (herein "Ftmds") equal to one-twelfth of the yearly taxes aad assessmrnis which may attain priority over this
<br />Mortgage, and grotmd rents on the Property, if any, plus one-twethh of yearly premium instailmenu for hazard inuurance,
<br />plus ono-twelfth of yearly premium installments for mortgage insurance, if any, all az reasonably estimated initially and from
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be held is an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />stau agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessrrxnts,
<br />inuurance premiums and ground rents. Lender may not charge for se holding and applying the Funds, analyzing said account,
<br />or verify;ng and compiling said assessments and bills, 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 [hat interest on the Funds shall be paid to Borrower, and unless stub agreement is made or applicable law
<br />requires such interest to be paid, Lender shall not be required to pay Borrower ary interest or earnings on the Funds. Lender
<br />shall give ro Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for which each debit to the Funds was made. The 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 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, at 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 by Lender shall not be st[fftcient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall pay to Lender any amount necessary to make up tbe deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Mortgage, Lender shalt promptly refund to Borrower any Funds
<br />held by Lender. if under paragaph i8 hereof the Property is u~id ar [he Property is otherwise acquired by Lender, Lender
<br />shell apply, no later than immediately prior to she sale of the Property at 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 />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Ncte sad paragraphs 1 and 2 hereof shall be applied by Leader first in payment of amotmts payable to Lender by Borrower
<br />under paragaph 2 hereof, then to interest payable on the Note, then to the principal of [he Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Lkes. 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 matuter
<br />provided under paragraph 2 hereof ar, 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 promptly furnish to Lender receipts evidencing such payments.
<br />Botrewer shag 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 az Borrower shall agree in writing to the payment of the obligation secured by
<br />such lien in a manor 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 />S. Haatrd Insnrartte. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
<br />and ie such amounts and for such periods as Lender may require; provided, that Lender shall not require that :he 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 approval shalt not be unreazonably withheld. All premiums on insurance paiici~ 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 />iawrance carrier.
<br />AII it[sttracce policies and ttnewals thereof shall be in form acceptable to Lender and shat! inchtde a standard mortgage
<br />etsttu in favor of and in farm acceptable to Lersdez. Lersdrr shall have the right to hold the galicies and renewals thereat,
<br />at[d Borrower shall promptly furnish to Leader all renewal notices and alt re~'eipts of paid premiums. In the event of loss,
<br />Barrawer shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not mad: promptly
<br />by Harrower.
<br />Unless Lender and 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 />to Borrower. If the Property is abandoned by Borrower, or tZ Borrower fails to respond [n Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br />is authoriud 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 />or postpone the due date of the monthly installments referred to in paragraphs t and 2 hereof or change the amount of
<br />such installments. If under paragaph 18 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 the Property prior to the sale
<br />of acgttisidoc shall pass [o Leader to the extent of the sums secured by this Mortgage immediately prior to such sale or
<br />acquisition.
<br />fi. Pteservatloe and Maintenance of Property; Leaseholds; Condomleiures; Planned Unit llevelopnrents. Borrower
<br />shalt keep the Property in good repair and shall not. commit waste or permit impairment or deterioration of the Property
<br />acd shall comply with the provisions of any lease iE this Mortgage is an a leasehold. If this Mortgage is on a unit in a
<br />condominium or a planned wait devciapmcni, Harrower shall perform aU 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 plashed unit development, and constituene docwnents. If a condominium or planned unit development
<br />rider is executed by Harrower and recorded together with this Mortgage, the covenants and agreements of such rider
<br />shall be ittcotporated into and shag amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part hereof.
<br />T: Ptioe of -Lender's Security. If Borrower fails to perform the covenants and agreements contained in this
<br />Mortgage,: or if any action or proceeding is commenced which materially affects Lender's interest in the Property,
<br />including; but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
<br />bankrupt ar decedent, then Lender ai Lender's option, upon notice to Borrower, may make such appearances, disburse such
<br />sutras aad take such action az is necessary to protect Lender's interest, including, but not limited to, disbursement of
<br />reasonable attorney's fees and entry upon the ProY..rty to make repairs, if Lander required mortgage insurance as a
<br />condition of making the loan secured by this Mortgage, $ortower shall pay the premiums required to maintain such
<br />inwranee in e8ect tmtil such tithe as the :equirernent for such insurance terminates in accordance with Borrowers and
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