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79-..U~r2~$1
<br />UrJmoaat t:ov~x,txrs. Borrower and Lender covenant and agree as follows:
<br />1. Pay®est of Priac~al aed Iaterrstr` Borrower shall promptly pay when due the principal of and interest on the
<br />iadebitdness tvidrnrxd by the Note, prepaytraat and late charges as provided in the Note, and the principal of and interest
<br />oa any Future Advances secured by this Mortgage.
<br />2. Feeds for Tsoces nerd leseratce. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day m~thty installments of principal and interest are payable under the Note, until me Note is paid in full,
<br />a sum (herein "Funds") equal to one•twelfth of the yearly taxes and assessmrnts which may attain priority over this
<br />Mortgage, acrd ground rents on the Property, if any, plus one-twelhh of yearly premium installments for hazard itsurance,
<br />plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from
<br />time to ume by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution-the deposits or accounts of which are insured or guaranteed by a Federat or
<br />state agency (including Lender if Lenderis'sych an institution). Lender shall 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 wmpiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits lender to make such a charge. Sprrawer arid Lender may agree in writing ai tiro lime of execution of this
<br />Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to be paid, Lender sHali not be required to pay Borrower any interest or earnings on the Funds. Leader
<br />sSal[ give to Borrower, withnut 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. Ilre Funds are pledged as additional security for the sums secured
<br />by this Mortgage. '
<br />If the amount of the Funds held 6y 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 io pay said taxes,
<br />assessments, insurance premiums and• gropnd 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 sufficient 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 the deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting' payritrnt tfiereof.
<br />Upon payment in full of all sums secured by this Mortgage. Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18.hbreof the Property is sold or the Property is otherwise acquired by Linder, Lender
<br />shall t rte later ;hen ~mn:cdia;ely p.--' - c we sale c. a Pto~riy ur its acquisition by Lender, any Funds held by
<br />agg•Y.
<br />Leader ai the time of application as a credit against the sums secured by this Morgage.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable [o Lender by Borrower
<br />under paragraph 2 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 Advantzs:
<br />4. Chtages; Liens. Borrower shalt pay all taxes, assessments and ether 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 urtder this paragraph, and in the event
<br />Borrower shall make payment directly, Borrdwer shall promptly furnish to 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 the payment of the obligation secured by
<br />such lien 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 part thereof.
<br />5. HaaM Ieseraace. 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 beards 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 cnverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance carrier providing rho insurance shall be chosen by Borrower subject to approval by Lrnder, provided,
<br />that such approval shall not be unreasonably withheld. Ail premiums on insurance policies shall be paid in the manner
<br />provided under paragraph 2 hereof or, if trot paid in such manner, by Borrower making payment, when due. directly to the
<br />insuranct carrier.
<br />AIi inutrancx policies and renewals thereof shall be in form acceptable to Lender and shall include a standard morcgagc
<br />clause in favor of and in form acceptabk to Lender. Lender shall have the right tc hold the policies and renewals thermf,
<br />and Botrow^er shall promptly furnish to Lcttder all rertcwa! notices and alt receipts of paid premiums. In the event of loss,
<br />Borrower shall give gromgt notice to the iffiurance carrier and Lender. Lender may make groof of loss if net made promptly
<br />6y Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />cite 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 [his Mortgage would
<br />be impaired, thernsurance proceeds shat[ 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 da}^s 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 autboriud to collect and apply the insurance proceed: at Lender's option either to restoration or repair of the Property
<br />or to the sums scoured 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 dale of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />such installments. If under paragraph t 8 hereof the Property is acquired by Lender, all right, title and interest of Borrower
<br />in and to any insurance policita 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. Psraervafloa aed MdeMaaece of Property; Lea~hol~; Condominiums; Planned Unit 1)evebpments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />and shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform all 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 />tide[ is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
<br />shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part hereof.
<br />7. Protection of Le~er'a Sernsity. If Borrower fails to perfarar the covenants and agreements contained m this
<br />Mortgage, or if any action m proceeding is commenced which materially affects Lender's interest in tote property,
<br />including, but not limited to, eminent domain, -insolvency, code enforcement, or arrangements or proceedings involving a
<br />battktvpt or decedent, then Lender at Lender's option, ugoo ewtice to Borrower, may make such appearances, disburse such
<br />sty and take such action as is tnecessary to proteeF Lender's interest, including, but not limited to, disbursement of
<br />reastmabte attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
<br />condition of making the loan secured by tvs Mortgage, Borrower steal! gay tbe premiums requi:cd ;:, maintain such
<br />iffiwa~e in effeM until such time as the requirement for such insurance terminates in accordance with Borrower s and
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