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<br />I.TrJtFOataf 4:©VBNASvTS. Harrower and Lender covenant and agree as foiIaws:
<br />1. Payuarat of Principal aad Interest. Barrawtr shall promptly pay when due the principal of and interest on the
<br />indetatedttrss r•vitfenaed by ttte Note, prepayment and dace charges as provided in the Note, and the principal of and interest
<br />vn any Future Advances secured by this Mortgage.
<br />2. Funds for Taxes and Insurance. Sabject to applicable law or to a wt5tten 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 stun {herein "Funds"i equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, aad ground rents on the Ptroperty, if any, plus one-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelftl+ of yearly premium installments far mortgage insurance, if arty, all as reasonably estimated initially and from
<br />time io time b}' Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall ~ held in an institution the deposits ar accounts of which are insured or guaranteed by a Federal or
<br />stag 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 ntay 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 interest on the Funds and applicable law
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing ai the time of execution of this
<br />Morigage that interest on the fiunds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to br paid, Lender shall oat be 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 fee which each debit m the Funds was made. The 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, shall exceed the amount required to pay said taxes,
<br />assessments, 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 an 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 dun.
<br />Borrower shall pay m Lender any amount necessary to make up [he deficiency within 30 days from the date notice is mailed
<br />by Leader to Borrower requesting payment thereof.
<br />i:pon payment in full of all sums secured try this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by l..ender. if rander paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lrnder
<br />shall apply, no lat~v than imrnediatrly prior to the sale of the Property or its acquisition b}' Lendrr, any Funds held by
<br />Lender at the time" of application as a credit against the sums secured by this Mortgage.
<br />3, Appiicati:m of Payments. Unless applicable law provides otherwise, all paymems received by Lender under the
<br />Nate and '• a ~ h - °.,.-rrower
<br />paragrap~.., . zr,.. ~ ereof stroll br applra, b ~tndtr fi~~t !r. payment of amounts payable tv Ler,de by
<br />under paragraph 2 hereof, then to interest payable on the Note. then to the principal of the Nate, and then to interest and
<br />principal on any Future Advances.
<br />6. Charges; Liens. Borrower shall pay all tars. assessments and other charges, fines and impositions attributable t¢
<br />ate Property which tray attain a priority over dtis Mortgage, and leasehold payments or ground rents, if any, in the mttntxr
<br />provided under paragraph 2 hereof or, if not paid in such manner, by Borrower n.aking payment, when due, directly to the
<br />payee thereof. Borrower shall promptly furnish tv Lendrr 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 />Botzower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall oat be
<br />required ea discharge any such lien so long as Harrower 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 />Itgal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />5, Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />against loss by fire, tsazards included within the term "extended caveragt", and such other hazards as I..rnder may° require
<br />and in such amounts and for such periods as Lrnder may require; provided, that Lendrr shall not require that the amount of
<br />such coverage txcttd that amount of ca:°tsrnge required to pay the sums secured 6y this Adartgngt.
<br />Tits insurance c-airier pr,,rMing th>' insetrancr mall err chosen by Harrower subject to approval by ! andrr; provided,
<br />that such approval shall not br unreasonably withheld. All premiums an insurance policies shall be paid in tl..: manner
<br />provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
<br />iastrrancc rart•icr.
<br />Ail insurance ooiicies anti renewals thereof shalt er n form accept~btr to Len,ler and strati include a standard ntvrtYaee
<br />t:i3ust is favor of sod ir. {arch aceeptshle to Lendrr. E.eudrr shelf have the right to bald the ptriieies a:tv rrrwtats thorc~t~f.
<br />xrd BorrE ~„o,: [.t _'nt"'- - - ;sh tc L :d<r a: r rr'.:4. notices 3tt~ .. ; tpt= €, pa f,rentitr ,. t :...~ e : ,t~~
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<br />~..u..~r ,boll .,;,:,: .:.,:._z- tz, thr..,.s,.,a. _~ ~arrn.r s.sY L~ qtr. L„,~°: era: :~v'ss~ ^:,.rt c~f ?tom. s: nv€ .:~ ;~r'~
<br />r= ...~ t`• ~ .
<br />by Borrower.
<br />Unless Lendrr anti Borrower atherwist agree in writing, insurance pnxercts shalt bt applied to resweation ar repair of
<br />the Property damaged, provided such resuxetivn or repair is rconomicaily frasibir and the security of this Mortgage is
<br />not thereby impaired. if such restoration or repair is not rcanomically fessihle or if the security of this Mortgage would
<br />bt impaued, the insurance prrxerds short be applied to the sums set:ured t:y this htvrtgagc, with the excess. if any, paid
<br />tv Borrower. If the Property rs abandoned by Borrower, or if Burrower faits to respond to lender within 3Q days truth the
<br />date notice is mailed by Lender tc. Borrower that the ittsurancr carrier sttfrn to settle a claim fur insurance hrnrfin, Lrnder
<br />is authariztd to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br />ar to the sums secured by this Mortgage,
<br />Utttess f.endtr and Harrower otherwise agree in writing, any such application of pnx:eeds to prinrtpal shaft nit extend
<br />or, postpone the due date of the rnonthly installments rcfcrrud to in paragraphs 1 and hereof or change the amount of
<br />such installments. i[ under paragraph 18 hereof the Prnpert} rs acyuired b} I.,endrs, utl nght, Title and interest of Borrower
<br />i:: anti to any insurarct policies and in env ro the proceeds thereat resulting tenor damage to ihr Property prior to the sale
<br />ar acyuisition shalt pans to Lendrr to the extern of the sums secured M' thu hfortgage imnrctiiarety prior to such salt or
<br />ar:yuisiriatt.
<br />6. Preurvation and Maintenance uI Property; Leasedottis; ('andotninlutnx; Planned Unit I)evelvptncnts. Borrower
<br />shall keep ihr Property iu goad repair and shall not evmntit waste ur permit impairment yr deterioration of the Property'
<br />and shall etwnply with the provisions of ant Rase if this Marl$agt is on a leasrttold. tf this bivrtgage is an a unit in a
<br />cv.-~dettlinium or a planned unit devrtapmtm, Borrow•tr shall perform alt of Hvrrtiwer 3 obligations under the declaration
<br />or covenants creating or governing the condominium ar planned unit development, the by-laws and regulations tit' the
<br />candantinium ur planned unit dcvelvpmtnt, and constituent dcreumtnes. If a condominium or planned unit drvrtvpmcnt
<br />rider is rxecuttd by Borrower anti recorded rogethcr with this Mortgage, the covenants and agreements of such rider
<br />shall tr: incorporated into and shall amend and supplement the covenants and ag_ rtuments of this Mortgage as if the rifler
<br />were a part hrrrof.
<br />7. Protection trf Leader's Setudty. If Borrower faits to perform the covenants and agreements contained in this
<br />Morigage, or if any action or proceedi~.g is commenced which materially affects Lender's interest in the Property.
<br />including, buE not limited to, eminent domain, insolvency, code enforcement, ar srrangements ar proxeedings involving a
<br />bankrupt or decedent, then Lender at Lender's option, upon notice to Harrower, may make such appearances, disburse such
<br />sums and take such action as is necessary to protect I.tnder's interest, including, but not limited to, disbursement of
<br />rt=ennoble attorney's firs and entry upon the Property to make repsirs. If Lender required mo:egage insurance as a
<br />ra:t~ ti , rf '^'^~i.^.g ihr loan sea:tr ~ by this Mortgage. Borrv+:ra shall pay the premiums rcqutrtd io maintain siich
<br />tt~ttra~t C~ Ill effect ttrttil Such time ali ihr tequiretri~tt f9F snob rnalranf~ Eerminates in 2C6ardanCe wlFh Bartxrwei S and
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