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U'rear/'axNt COM'Fdt'+~NTS. Harrower and l..ender covenant and agree vas ftuilows:
<br />I. Payment of Principal and Interest. Burrower shall promptly tray when due the principal of and interest on the
<br />urud~€ntdrdneas evidenced by the Noce, prcpaymcnt and lafz e};argm;s as pr,x~~r3dcr3 in th+> Note. and the principat of and interest
<br />~i.ixp an}r :suture .Mdvances secured by this Mortgage.
<br />Z. 3?unds for Tares aad Itutrranee. 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 payahL: under the Note, until the Note is paid in foil,
<br />a stun Ihereir. "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, and ground rentr on the Property, if any, plus one-twelfth of yearly premium installments far hazard insurance,
<br />plus vne-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from
<br />time is time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />titre Funds steal! be held in an institution the deposits or accvunts of which are insured or guaranteed by a Federal ar
<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 not charge for so holding and applying the Funds, analyzing said account,
<br />or verifying and compiling scrod assessments and bills, unless Lender pays Borrower interest an the Funds and applicable law
<br />permits Lender to make such a charge. Borrower and Linder may agree in writing at the lime of execution of this
<br />horgage that interest on the Funds shall he paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to be paid, Lender shat! nut he required to pay Harrower an} interest or earnings on the Funds. Lender
<br />~:; s':all gi~a **-e Borrower, without charge, an annual accounting of the Funds showing credots and debits tv the Funds and the
<br />purpose t`or which each debit to the Funds was made. The Funds are pledged as additivna! security for the sums scooted
<br />by this Mortgage.
<br />~~ If the amount of the Fttnds held by bender, together with the future monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rents, she!! exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and ground rents as they fall due. such e*.cess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credited to Burrower on monthly installments of Funds. If the amount of the Funds
<br />held by Lender steal( not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />~ Borrowor shall pay to Lender any amount necessary to make up the deficiency within 30 trays Irom the date notice is mailed
<br />~ by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of al! sums secured by this Mortgage, lender shall promptly refund to Borrower any Funds
<br />held 6y Lender. If under paragraph ! 8 hereof the Property is sold or the Property is otherwise acqured by 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 />Leader at the time of application as a credit against the sums secured by th[s Mortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note aad paragraphs 1 and 2 hereof shall be applied 6y Lender first in payment of amounts payable to Lender by Borrower
<br />ender ~ _ ~nh ? hereaf,rhe~ tv interest payable vn the Note, then to the principal of the Note, and then to interest and
<br />principal on~any Future Advances.
<br />9. Charges; Liens. Borrower shall pay a31 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 manner
<br />provided under paragraph 2 hereof or, 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 notoces 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 shat! promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shat! agree in writing to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender, or shalt in good faith contest such lien by, or defend enforcement of such lien in.
<br />legal proceedings which operate to prevent [he enforcement of the lien or forfeiture of the Property or any part thereof-
<br />5. Hazard insurance. Borrower shall keep the improvements now existing o, 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 Lender may require; provided, that !.ender shall nut require that th:: amount of
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance cattier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
<br />that such approval shall not be unreasonably withheld. All premiums vn insurance policies shall be paid in the manner
<br />provided under paragraph 2 hereof or, of not paid in such manner, by Borrower making payment, when due, directly to [he
<br />insurance carrier.
<br />Ali insurance policies and renewals thereof shalt be in t'orm acceptable tv Lendc; a„d shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof.
<br />and Harrower shall promptly fe:rnish to Lender all renewal Hoboes and a!1 receipts of paid premiums. In the event of less,
<br />srvrrow~r shall give prompt nc=lice tv ths: insurance carrier and ; Winder. lender may [Hake proof of loss if nut made prontpdy
<br />_ -_ ~v Borrower,
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shalt be applied to restoration or repair of
<br />[he Property damaged, provided such restvrativn or repair is economically feasible and the security of this Mortgage is
<br />nut thereby impaired. If such restoration or repair os oat economically feasible or if the security of this Mortgage would
<br />6e impaired, the insurance proceeds shall be applied to the sums secured by rhos Mortgage, with the excess, if any, paid
<br />to Borrower. if the Propeny is abandoned by Burrower, ar if Borrower fails to respond to Lender within 30 days from the
<br />date notice is malted by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br />is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Properly
<br />or !o the sums secured by this Mortgage.
<br />Unless Lender and Borrvwer otherwise agree in writing, any such application of proceeds to principal shall no[ extend
<br />or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof or change the amoune of
<br />such instaflments. If under paragraph i8 hereof the Property is acquired by Lender, rlt right, lode and interest of Borrower
<br />in and to any insurance policies and in and to the prtceeds thereat resulting from damage to the Property prior to the sale
<br />err acquisidan she!! pass to L+arder tea the extent of the sums secured try this Mortgage immediately prior to such sate or
<br />acquisition.
<br />6. Preservation and !vtaintenance of Property; Leaseholds; Condominiums; Planned Uoit llevelupments. 8vrrower
<br />shall keep the Fropcrty in goad repair and shall not commit waste or permit impairment or deterioration of the Property
<br />and shall comply with the provisions cf any lease if this Mortgage is an a leasehold. If th~c Mortgage is on a unu ;n a
<br />condominium nr a planned unit deveivpment, Borrowee shall perform ail of Borrower's obligations under tfie decfaralr==n
<br />er covenants creating ar governing the condominium or plumed unit development, the by-laws and regulatiaus of the
<br />condominium or planned unit development, and constituent documents. If a condominium or planned unit ticvelvpment
<br />rider is executed by Borrower and recorded together with this Martgagc, the covenants and agreements at such rider
<br />-shat! ice incorporated-into and shall amend and suppletrnnt the covenants and agreements of ibis Mortgage as if the rider
<br />Wire 3 part heI'eof.
<br />7. Protect%on of I,enderrs Secntity. If Borrower fails to perform the covenants and agreements con[uined in this
<br />Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property,
<br />including, but oat limited to, eminent domain, insolvency, coda enforcement, or arrangements or proceedings involving a
<br />bankrupt or decedent, then Lender of Lender's option, upon notice to Borrower, may make such appearances, disburse such
<br />.sums and take such action as is necessary to protect Lenders interest, including, but not limited to, disbursement of
<br />reasonable attorney's fens and entry upon the Property to make repairs. It Lender require$ mortgage insurance as a
<br />condition of making the loan secured by this Mortgage, Borrower steal! pay the premiums required to maintain such
<br />insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and
<br />KSo-Fain tom, Paffa P
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