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79-~ ~~
<br />Unrzzaatont CavFx,ttvrs. Borrower and Lender covenant and agree as follows:
<br />L. Pnymtnt of Princlpai amt Interest. Borrower shall promptly pay when due the principal of and interest att the
<br />iudebtedttess evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />2. Fnat~ fc. 3'nxes amt Irtsnrance. 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 the Note is paid in full,
<br />a stun (herein "Funds") equal to one-twelfth of the yearly taxes and assessmtnis which may attain priority over this
<br />Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly premium installments foe hazard insurance,
<br />pies one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initiaAy and from
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be Geld in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />seats agency (including Lender if Lendtr is such an institution}. [.ender shall apply the Funds to pay said tarts, assessments,
<br />insurance pt amiums and ground rents. Lender may not charge for so holding and applying the Funds. analyzing said account,
<br />or verifying and compiling said assessments and bills, unless Lendtr 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 that interest on the Funds shall tie paid to Burrower, 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 earnings on the );needs. Lender
<br />shall give td Borrower, without charge, an annual accounting of the Funds spewing credits and debits to the Funds and the
<br />4 purpose for which each debit to the Funds was made. The Fends are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If the amcunt of the Funds held by Lender, together with the fuiure monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance prcmiums and ground rents, shall exceed the amount required to pay said loxes,
<br />asstssmcnts,snsurance 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 Lendtr sha21 not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shat! pay to Lzndtr any amount necessary to make up [he deficiency within 30 days from the date notice is mailed
<br />by Lendtr to Harrower requesting- payment thereof.
<br />Upon paymcnt to full of al{ sums secured by this Mortgage, Lender shat) promptly refund to Borrower any Funds
<br />held by Lendtr. If under paragraph 18 hereof nc~ Property is sold or the Property is otherwise acquired by Ltnder, 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 tame of application as a credit against the sums secured by this Mortgage.
<br />3. Ap~ir3tltut of Paymeais. Urless applicable law provides otherwise, all payments received by Lender under the
<br />*+ioie and paragraphs 1 and 2 hereof shalt be applied by Lender first in payment of amounts payable to Lender 6y 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 Advances.
<br />~. Cho etc; L~t~. Borrower shalt pay all taxis, assessments and other charges, fines and impositions attributable to
<br />the Pt•opcrty which may attair, 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 paymcnt, when due, directly to the
<br />payee thereof. Borrower shah promptly fumish to Lender all notices of amow:ts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shall promptly fumish to Lender receipts evidencing such payments.
<br />Harrower shall promptly discharge any lien which has priority ever 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 [he ohligatian secured by
<br />such lien in a manner acceptab{e to Lender, or shat! 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. Ilnard laaunntt. Borrower shalt keep the improvements now existing ar hereafter erected on the Property insured
<br />against loss by fire, hsuvds included within the term "extended coverage", and such other hazards as Lender may require
<br />4µu ILL iuN. 4111VUIR3 a ., ~u ~- - ~ as ~....'... ' ^~~°• -^••~~°•+ ,hpr t .,,.,ia..tinll ..nr mmtirr that the amaUnl of
<br />stick coverage exceed titat~amaunt of eovtrage regttired~to pay the sums secured 6y this Mortgage.
<br />'IRtr: insurattse carrier prs€vidiug tl~ insurance shaft !~ shown by Borrower subject €o approval by Lcndte. provided,
<br />that such approval shall not be unreasonabi}° withheld. Ali premiums an insurance policies shall he paid irl the manner
<br />provided under paragraph ?hereof or, if not paid in such manner, by Harrower making payment, when due, tiredly to the
<br />insurance sorrier.
<br />Atl insurance policies and renewals thereof shalt t+e in fornt acceptable to [.ender noel shat! imltsdt a standard trtortgage
<br />alaust in favor of and in term accep[abit to Lender. Lender shall have the right ui hold the policies and renewals thereof,
<br />s ~+i sx~w~r sh~l prueFep€ly furniali to Lender nli renewal itatices Arid ail rtC;tilits of polo' prcmiums. In the ttitni of leis,
<br />13ar:awcr shell give prcmpi melee to the insurance carries' and I.ttidtr. tondos r,iap~ titake pr-exit of hiss it ncit made priuttpil}°
<br />Lty Barrawer.
<br />Unless Lendtr and Llamower atherwtse agree in writing, insurance proceeds shalt be applied to restoration or repair of
<br />the Froptrty d;unaged, provided such restoration ar repair is economically ftasiblc and the security of this Mortgage rs
<br />not thereat° impaired. If such restoration or repair is not economically ttasible ur it the security of this Mortgage wuald
<br />be impaircvl, fie insurance proceeds shall be applied to the stuns secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. !i tltc Property is aEiandontd by Borrower, nr it Borrower fails to respond to Lendee within ..0 daps tram the
<br />date notice is mailed by Ltnder to Borrower that the insurance carrier otters to settle a claim for insurance benctits, Ltnder
<br />is autitarizcti to collect and apply zltt iuwranct proceeds at lxndtr"s option either to restoration or rtpatr of the Propcrq~
<br />or to the sums secured by this Mortgage.
<br />Unites Ltnder and Harrower uthtrevtsc egret m writing, any such application of prax:etds to pnnetpal shalt nut extend
<br />ar lwstpone the dtte dart of the monthly installments referred to ut paragraphs I noel 2 hereof or change the amount of
<br />such installments. It under paragraph tit hercot the Property is acyutred ny Lender, all right, title and in[crrst ~~t Barron°er
<br />in acid to ruin iiisdrar+Ce policits and in and io rho proceeds thereat resuittng Pram damage to the Property peeler =.e} the sale
<br />or aeituisiiion s5ati pass io Leader €o the txiem of ills sums secured bs' ibis t~iurtgagr tmmtdiateiy prior to such >ait or
<br />acquisition.
<br />6. "'rariervatlan end bia~t~oaincr of PrvpetQyt Le~hr.Ids; t'andamiwiutris: Planned Unit llrvelaptnzats. Horrewer
<br />shat! kelp the Property in geed repair and spa!! :tot commit waste ne permit impairment or dtftriaration of the Property
<br />and shall comply with trot provisions of any tease if this Mcirtgage is oft a leasehold. IC this Mortgage is un a omit in a
<br />etnelarnittiutn or' a planned unit dsvtlaprttent, 8cxraatr shaft pert rem ati of Borravver's obligauans nodes the- declaration
<br />or covenants creating ar governing the condormnrum ar planned unit devtlopntent, the by-laws and regulation; of the
<br />condominium or planned unit development, and cunstittttnt dcxumems. }f a candaminium or planned unit development
<br />rider is extcitted by Barrawer and recorded together with this Mortgage, the covenants and agreements of such elder
<br />shall be incorporated into and shall antcnd and suppltnttnt the covenants and agreements of this Mortgage as if the rider
<br />wart a part htsrtof.
<br />7. Profeeiioa ~ Leatkr's Secfirlty. If Batraw^tr fails to perform the covenants and agreements contained in this
<br />Mortgage, or if any action ar proceeding is cernntettced which materially affects Lendera interest in the Property.
<br />including, but not Hmited to, eminent domain, insohtncy, code enforcement, tar arrangements or proceedings invoh•ing a
<br />bankrupt or decedent, then Lendtr at Leader's option, upon notice to Borrower, may make such appearances, disburse such
<br />sums and take such action as is necessary W protect Lender's interest, including, but not limited to, disbursement of
<br />reasonable attorney's fits and entry- upon the Property to make repairs. If lender required mortgage insurance as a
<br />condition of making the Iaan xcured by this Mortgage, Harrower shall pay the premiums required to maintain such
<br />insurance in effect until such time as lets requirement for such insurance terminates in accordance with Borrower's and
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