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<br />LJntt~ottM Cnvcnnvrs. Borrower and Linder covenant zed agree as follows:
<br />I. Payment of Principal sad Interest. Barrewrr shall promptly pay when due the principal of and interest on the
<br />indebtedness 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 />~. Funds for 'II'axes and Insurance. Subject to applicable law ur to a written waiver by Lender, Borrower shad 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 surn (herein "Funds") equal none-twelfth of the yearly taxes and assessments which may attain priority over this
<br />illortgage, 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, a!1 as reasonably estimated initially and front
<br />time to time by Leader on the basis of assessments and hilts and reasonable estimates thereof.
<br />The Funds shalt he held in an institution rtes deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institution). 1_ender shall apply thz 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 compiling said assessments and bills, unless Lender pays Borrower int_rest 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 taw
<br />regaires such interest to be paid, bender shall not he required to pay Borrower any interest or earnings on the Funds. Lender
<br />shall 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 Funds was made 'tlte 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, shaA exceed the amount required [o pay said taxes,
<br />assessmems, 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 sufficient to pay taxes, assessments, insurance premiums and ground rents as they fat! doe,
<br />Borrower shat( pay to Lender any amount necessary to make up the• deficiency within 30 days from the dale notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon pa}•ment in firll of alt sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, n, later than immediately prior to the sale of the Property or its acquisitran by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />+. Application of Payments- Unless applicable law provides otherwise, all payments received 6y Lander under [he
<br />Nate and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable ro Lender by Borrower
<br />under paragraph ?hereof, then to interest payable on the Notz, then to the principal of the Note. and then to interest and
<br />principal an any Future Advances.
<br />4. Charges; Lleus. Borrower shaft 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 man¢rr
<br />provided under paragraph 2 hereof err if nut paid in such manner, by Borrower making payment, when due. directly to rtes
<br />payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, sad 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 not be
<br />required to discharge any such lien so Zang as Borrower shall agree in writing to the payment of the. obligation secured by
<br />such lien in a manner a;,cepiable to Lender, or shall in good faith contest such lien by, er defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the Lien ar forfeiture of the Property or any part thereof.
<br />5. flaaatasl Ittsuranee. Bortower shall keep the improvements now existing or hereaftzr erected on €he Property insured
<br />against lass by fire, hazards included within the term "extended coverage", and such other hazards as Lender may require
<br />and in such amounts and far such periods ks Lender may require; pruvide^d, Ebel Lender shalt na€ require €ha€ €he amc:un€ of
<br />such coverage exceed that amawu of coverage required to pay the sums secured by this Mortgage.
<br />The insurance carrier providing the insurance shall be chaseq by Borrower subject to approval by Lender, provided,
<br />that such approval shat! not br unreasonably withheld. All premiums on insurance policies shall br paid iu she manner
<br />prcvi~d_d under paragraph 2 hereof ar, if not paid in such man:ter, by 8arrower making paytr~nt, when due> directly to the
<br />irtsurattce carries,
<br />Aii insurance policies and rcnewala thereof shalt be in form acceptable Eo Lerrdcr and sha71 include a standard mor4_age
<br />clause in favor +,f and in rr,rn; scceprgble €o-Lender. Linder sh::1l have the right r , - d th° .~;~lici~ ° ..~~ t!-,~~
<br />and Harrower ,bolt promptly furnish to Lender elf renewal notices and all recripts~ufr aatd premiums. ~In the event t+f IaYS,
<br />Borrower steal! give prnmpi notice to the insurance carcier and Lender. I.,cnder Wray- make proof of lass it oat made promptly°
<br />by Borrower.
<br />Unless Lender and Barruwer otherw•isc agree in writing, insurance proceeds shall bz applied to restoration or repair of
<br />the Property rlamagcd, provided such restoration or repair is economically feasible and the security of this Mortgage is
<br />oat thereby impaired. If such restoration or repair is not zconomieally tensible or if the security oC this Mortgage would
<br />bz impaired, the insurance prtxreds shall be applied to thz sums secured by this Mortgage. write the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower, or it Borrower fails m respond [o Lender within 3U days from the
<br />data notice is mailed by Lender to Harrower that the insurance canter otfc[s m settle a claim fur insurance brnetits. Lender
<br />is autharizrd ro collect and apply the tnsurancc proceeds ai Lender's option either to restoration ar repair of the Property
<br />or to the -sums secured by this Mortgage.
<br />Un!rss Lettdcr »nd Harrower otherwise agree ur writing, any such application i.f ptocKai, io prtncrpat shah n.~t exicnd
<br />or pastptme rtes dui date of the monthly installments referred win paragraphs I and ?hereof ar change the amount of
<br />such installments. !f under paragraph ld hereof rtes Property is acquired by I,euder, all right, title and lateral of Borrower
<br />in anti to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />ar acyuisitian shuH pass tp Lender to the extant of [he rums s+xured by this 49ortgage ttunrcdiatrly prior to such sale or
<br />acquisition.
<br />F. Preservation and Dltrlntrnauce of Peoperts; Leaseholds; Condominiutnx; Planned Utsk thcelvpmrnla. Borrower
<br />shall keep rtes Property in gaud repair and shall not commit waste or Ivarmil impairment or deterioration of the Pro}xrty
<br />and shall comply with the provisions o[ any loam if this MartgaL€e is an a leasehold. If this Merigag+~ Is en a unit in at
<br />candatniniunt or s plarn~ unit dcvelopmettt, Barruwer shad pcrfwm ati of Borrower's ubiigauotts under thv° deciaratiun
<br />oe covenants treating ar governing the eandomrmum ar planned unit dovetopmrnt, the by-laws anti regulaiians of the
<br />ctmdominium ar planned unit development, and constituent documents. If a condominium or planned unit dcvrlopinent
<br />rider is zxet;ttted by Borrower and recorded together with this Mortgage, the rnvanants and agreements of such rider
<br />shall be incorporated into and shalt amend attd supplement the covenants and agrrementx of this Mortgage as if the rider
<br />were a port hcreoF.
<br />?. ProtecHou of LendePs Secnrit;t. If Harrower fails to perform the covenants and agreements contained in this
<br />Mortgage, ar if aay action ar proceeding is commenced which materially affects Lender's interesttn the Property,
<br />•including, but not -united to, eminent domain, utsolvency, cede enforcement, or arrangements or proceedings involving a
<br />btmkrupe ar decedent, then Lender at Lender's option, upon notice ro $orrawer, may make such appearances, disburse such
<br />sums and take such action :ts is necessary to protect Lender's interest, including, but not limited tar disbursement of
<br />reasonable attorney's fees and entry upon the Property to make repairs. I( Lender required mortgage insurance as a
<br />condition of making the loan secured by this h;artgage, Borrower shall pay the premiums required to maintain such
<br />rnauranet; in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and
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