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<br />Urrtraatvt COVEtrkiti75. Borrower and !.ender covenant and agree as follows:
<br />?. Payntent o$ Ptancipai and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebiedttess 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 />g. Inds for Taxes and Iffiurante. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender an the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a sum (herein "Funds'") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and feom
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall he held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and ground rents. Lender may rot charge for so holding and applying the Funds, analyzing said account,
<br />or verifying 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 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, Lrndtr shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shalt give to 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 Fttnds was made. The Funds arc 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 Fonds 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 assess shall be, ai 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 [o Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by 1-ender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by thrs Mortgage, lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph I8 hereof the Property is said or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than immediatel}~ prior to the sale of the Property or 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 />a. .apQiieafion o$ Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Nate and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />ender paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br />principal an any Future Advances.
<br />4. Charges; Bens. Borrower shall pay all taxes, assessments and ether charges, fines and impositions attributable to
<br />the Progeny 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 er, 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 />borrower shalt promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall oat be
<br />required to discharge env such lien so long as Borrower shall agree in writing to the payment of the obligation secured b~
<br />such lieu in a manner acceptable to Lender. cr shall in good faith contest such lien b}t or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the Gen or forfeiture of the Property ar any part thereof-
<br />5. Hazard lnsurance. Borrower shall keep the improvements now existing ur 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 in such amounts and for such periods as Leader may requirt; provided, that Lender shall nut t>:yuim that the amount of
<br />such coverage exceed that amount of coverage reyuired to pay the sums secured br this Mortgage.
<br />'!'he insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
<br />that such approval shall nut be unreasonably withheld. Ali premiums on insurance policies shall be paid in the manner
<br />rrovide3f under paragraph Z hereof ar, if oat paid in retch :canner, b}° Borrower makrrtg payment, when due, direoity to the
<br />:nsuram:t canter,
<br />iii i°~siiranCC paficies and eencwais Ll+ereot sitaii bt In t¢RCl aCCep!ablt CO LCItdeC :,ncl sltall 3rtClUdC a iEandard mOE'tgagt
<br />cl;cue in ferny of and i~t r.,.n, accep+able Co t,,,e^der. L :.rider shell have thF ri>iitt i t ; ~.. he ~Gci4.. anti r:~.° R°;_s tEter~f,
<br />and Borrawcr shall promptly furnish to Leatler all renewal notices and all receipts of~paid premiums. In the event of lifss,
<br />Harrower shall gyve prompt natter to the insurance carrier and Lender. Lender may make per+of of lass if not made promptly
<br />by Borrower.
<br />Unless Lender and Burrower otherwise agree is writing, insurance pro<eeds shall be applied to rtstaration or repair of
<br />the Property damaged, provided such restoration or repair is economically feasible and [he security of this Mortgage is
<br />not thereby imparted. If such resturatiun oe reparr is not economically feasible or it the recur+ty of this Mortgage would
<br />bt impaired, the insurance proceeds shall bt appfird to the allots secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. if the Prerperty is abandoned by Borrower, or if Borrower fails to respond to I_gndtr wuh+n 30 days front the
<br />date notice is mailed by Lender to Borrower that rht utsur:mce carrier uHen to settle a ela+m for insurance M:ncfits, !.ender
<br />is authori'1.cd to collect and apply the insuran~:t proceeds at l.endtr's option either to reataration ur repair of the Property
<br />or to the sums secured by this hfnrEgage.
<br />Unless !.ender and Harrower otherwise agree cn writing, any such application of pn+CCCds to prrnc'igat >haii nc.i c.-.tend
<br />or postpone the due date of the monthly installments referred to in paragraphs I and 2 hrreuf or change the :uuount of
<br />such installments. If under paragraph l8 hereof the Pnrperty +s ucyuired by Lcndrr. all right, titlt and intirtst of Borrower
<br />in ant: to any insurance policies and in .end to the prtx.ttds thereof resulting from danragt to the Proprrt}' prior to the sate
<br />ur acquisition shalt pass to Lender to the extent of the sums cleared by this Muregage tmntediutrh° prior to suds salt pr
<br />aCgUlSlliOn.
<br />6. Preservation and Mainteeiance of Property; I,etisrhoids; Condominlutns; Planned UNt I)erelopmeals, Borrawcr
<br />shall keep the Property in rood repair and shall nut commit waste ar permit impairment or dettrn?ration of tfzt Preperiv
<br />and shalt comply with the provisions of any least if this Mort,lagc is on a teasthuld. If this Mortgage- rs at+ a unit in a
<br />condomtnium ar a planned unit dent;opmtnt, Borrower allele ytrform all aI Borrower's obhgatians under the deciaratian
<br />ar covenants cetating ur gorerning the condominium or planned unit developnitnt, the by-laws and ttgulatialts of iht
<br />condominium cu planned unit development, and constinlent documents. if a condominium or planned unit citvciupment
<br />rider is executed by Bormwtr and recorded together with this Mortgage, the covenants and agreements <af such rider
<br />shall be incorporated into and shalt amend and supplement the covenants and agreements of thts Mortgage as if the rider
<br />-were a pun hereof.
<br />Y, Protection o$ Leader's Serur.ty. !f Borrower fails ro perform the covenants and agreements contained in this
<br />Mortgage, or if any action or prceeeding is commenced which materially affects Lender's interest in the Property,
<br />including, but not limited to, eminent domain, insolvency, code enforcement, yr arrangemrnls or groceedmgs involving a
<br />bankrupt ur decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, dishuru. such
<br />sums and rake such action as is necessary to protect Lender's interest, including. but oat limited te, disbursement of
<br />reasonable attornay'.s fees and entry upon the: Property to make repairx. If [.ender required mortgage insurance as a
<br />condition of making the loan secured by this Mortgage, Borrower shall pay the premiums required to maintain such
<br />insurance in et$ect until such time as the requirement for such insurance terminates in accordance with Borrower's and
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