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<br />79_ UG4t398
<br />Uxrnoatt Covex~x~rs. Borrower and Lender covenant and agree as follows:
<br />I. Payment of PrinclEvel end Interest. Borrower shall promptly pay whin due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and lair charges as provided in the Note, and tt;e principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />2. Fords for Tea curd Inamrance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until [he Nate is paid in full,
<br />a sum (herein "Fuvds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground cons on the Property, if any, plus one-twelhh of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments for mortgage insurance, if any, ail as reasonably estimated initially and from
<br />time to rime by Lender on the basis of assessmemts and bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposiu or acwuns of which are insured or guaranteed by a Federal or
<br />s[ae agency (including Linder if Lender is such an institutiom). Lender shall apply the Funds to pay said taxes, assessmems,
<br />insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analysing said account,
<br />or verifying and compiling said azsessmens and bills, unless Lemder pays Borrower interest on the Funds and applicable taw
<br />petmiu Linder to make such a charge. Borrower and Lender may agree in writing at the time 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 shall not be required to pay Borrower any interest or comings on the Funds. Lender
<br />shag give to Borrower, without charge, an annual accounting of the Funds showing credits and debts to the Funds and the
<br />purpose for which each debit to the Funds was made. 'Ilre Funds are pledged az additional security for the sums secured
<br />by this Mortgage.
<br />If the amount of the Ftmds held by Lender, together with the future monthly installments of Funds payable prior to
<br />the due dates of faxes, asses<meas, insurance premiums and ground revs, shall exceed the amount required to pay said taxes,
<br />assessmens, insurance premiums and ground renu az they fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower of credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />held by Lender shall not be suffuimt to pay taxes, assessmens, insurance premiums and ground rents ss they fall duo,
<br />Borrower shalt pay to Leader any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment is full of all sums secured by this Mortgage. Leader shall promptly refund to Borrower any Funds
<br />~_.~ .Y.. __ r,.` un.~.. ,. ,.r, , a t,oy„r .[,o ar.,.,ar,v.:~ ~t~ .,r ,hP p_a~_ty is otherwise ac wired b~~ Lender. Lender
<br />shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />Lender at the time of application az a credit against the sums secured by this Mortgage.
<br />3. Applkstsion of Pgymtmts. Unless applicable law provides otherwise. all payments received by Linder under t,te
<br />Note sad paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 ]teteof, then to interest payable on the Note, [hen to the principal of the NMe, and then to interest and
<br />principal oa any Future Advances.
<br />4. Ciaruges; I3ens. Borrower shall pay alt taxes, azsessmenu and other charges, fines and impositions attributable to
<br />[he prope[iy which tray attain a priority over this Mortgage, and 3easehold payments or ground rents, if any, in the manner
<br />provided tinder pazagaph 2 hereof or. if not paid in such manner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borzowcr shall promptly furnish to Lender all notices of amouns dui under this paragraph, and in the evtmt
<br />Borrower shall make paymemt directly, Sarrower shall promptly fumish to Lender receipts evidencing such paymens.
<br />Borrower shaIl promptly discharge any lien which has priority aver this Mortgage; provided, that Borsower shalt not be
<br />regt:ited to discharge any such lien w long az Burrower shall agree in writing to the payment of the obligation secured by
<br />such Tien in a manner acceptable to Lender, or shall in good faith rnntest such lien by, or defend enforcement of such lira im,
<br />legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />S. $arard Iis~sntt. Borrower shall keep the improvemenu now existing or hereafter erected on the Property insured
<br />against lass by tae, hazards included within the term "exte.~[ded coverage", and such other hazards as Lender may require
<br />and in such amarnu and for such periods az Lender may require; provided, that Lender shall not requite that the amount of
<br />such coverage exceed that amount of coverage req;,~red to pay the sums secured by this Mongage.
<br />The insurance carrier providing the insurance shal{ be chosen b}' Borrower subject to approval by Lender, provided,
<br />that such approval shall not be unreasonably withheld. Alt premiums on insurance policies shat! be paid in the manner
<br />provi~d under paragraph 2 hereof or, if trot paid in such manner, by Borzower making payntemt, when due. directly to the
<br />itrsu[ance carrier.
<br />AII '~~,r.~ policies and recewals thereof shall be in form acceptable to Lender and shalt includz a standard mortgage
<br />douse in favor of and in form acceptable to Lender. Linder shall have the right to bald the policees and renewals thereof,
<br />and Borrowzt slrali promptly furnish to Leader all znewat nocixs and alt receipts of paid premiums. In rho event of lass,
<br />Borrower shall give prompt Mice [o the insurance carrier and Lemfer. Lender ma}• make proof of loss iT not made promptly
<br />by Borrower.
<br />Unless Leader and Borrower otherwise agree in writing, imsurance proceeds shall 6e applied to restoration or repau of
<br />Iix Property damaged, provided such rtstoratian or repair is economically feasible and the security of this Mortgage is
<br />~ th«eby impaired. If stxh restoration or repair is not economically feasible or if the security of this Mortgage would
<br />be impaired, the insurance proceeds shalt be applied m the sums secured by this Mortgage, w;th the ezcess, if any, paid
<br />to Borrcnver. Lf the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
<br />date ntsrice ss mailed by Lender to Borrower that the insurance carrier afters to settle a claim for insurance benefits, Lender
<br />is authoriad to collect and apply the insurance proceeds a[ Lender's option either to restoration or repair of the Propert}'
<br />ar to the sums sc=ored by this Mortgage.
<br />Unless Leader and Borrower othe~ist agrce in writing, any such application of proceeds to principal shalt not extend
<br />or postpone the due date of the month!} installmenu referred to in paragraphs 1 and 2 hereof or change the emount of
<br />stub instalimcats. if uaGer paragraph 18 Itermf the Property is a: quired by Lender, all right, title and interest of Borrower
<br />in zad to any inststance policies and in and to the proceeds thereof resulting from damage to the Propeny prior to the sale
<br />ar acgtsition shall pass to Lender to the tztent of the sums secured by this Aortgage immediately prior to such sale or
<br />ac4ttisititm-
<br />S. Yte~va9oa ®d AIa®tenaxe of Propettt'2 Leaseholds; Cando@inlums: Planned Oast tkvduprueats. Borrower
<br />shall ttxp the Froperiy in good regain sad shall not commit waste er permit impairment or dcteriora[ion of the Property
<br />and shalt ;bmply with the provisions of any lease if this Mongage is on a {easehoid. If this Aortgage is on a unit in a
<br />condominium or a piantred unit dcvetopmmt, Borrower shall perform all of Borrower's obligations under the declaration
<br />or tb,renanu creating or governing tlx condominium or planmcd unit development, the by-laws and regulations of the
<br />cossdominitsm or planme6 emit dtvelogtnent, and corstitutnt documems. If a condoatit[ium or planned unit development
<br />rider is executed by Borrower sad recorded togcrhec with this Mortgage. the covcnanu and agreements of such rider
<br />shag be incorpcxated irHO and shall amend and supplememt the covenants and agreeatens of this Mortgage az if the rider
<br />wens a part heemf.
<br />7. ?taletBan tsf ttfier's 5acmrBy. If Borrower fails to perform the rnvenans and agreemens contained in this
<br />Motgage, or if arty action or proeadiag is commenced which materially affects Lender's interest in the Property,
<br />itxl[rding, but net limited to, entinmt domain, irssotvencry-, cods enforcement, or arrangements ar proceedings involving a
<br />bmtnrpt or decedmt. thin I,emder ai Lender's option, upon notice to Borrower, may make such appearances, disburse such
<br />srrma and tact ssreh action as is necessary to protect Lender's interest, including, but not limited to, disbursement of
<br />txasooalge attorney's fete and miry upon the Property to make repair. If Lender required mortgage insurance az a
<br />condition of mating the loan secured by this Mnrtgagt, Borrower shall pay the premiums required to maintain such
<br />inwr'a>xe in eHtR t@W sudt first as the ttquiremeat far such insuranet terminates in accordance with Borrowei s and
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