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<br />Uxtt~oart Cover,+rrts. Borrower and Condor covenant artd agree as foilowa:
<br />I. Payment of Prladpaf atsd I»terest. Borrower shall promptly Pay when due the prixiaipal of add intetnat 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 />2. F'nn+~ for Tares and Insnranee. Subject to applicable law or to a written waives by Lender, Borrower shatl pay
<br />to Lender an the day rrionthly installments of principal and inures[ are payable under the Note, until ttu Note is paid in full,
<br />a start (herein "Funds") equal to one-twelfth of the yearly takes and assessmenffi which may attain priority over this
<br />Mortgage, and ground rents nn the Property, if any, plus alto-twelfth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premitun installments for mortgage inaurartce, if any, all as reasonabty estimated inkially and from
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal of
<br />stall agency (including Lender if Lender is such an institution). Leader shall apply the Funds to pay said taxes, assesatitmffi,
<br />insurance premiums and ground rents. Lender may not charge for so holding and applying the Funds, analyzing said account,
<br />or vitrifying and compiling said assessmenu and bills, unless Leader pays Borrower interest on the Funds and applicable taw
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage i<~at interest cn the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to be paid, Ixnder shall not Pre required to pay Borrower any interest or earnings on the Fttnds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing crediffi and debits to the Funds and the
<br />purpose fur which cacti uebii iu the Pantie was triode. the Funds are pledged en additional stwrit-y for the siFmS 52Clficd
<br />by this Mortgage.
<br />If the amount of the Funds held by Linder, 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 Burrower 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 gmund rents as they fall due,
<br />Borrower shall pay to Ixnder any amount necessary to make up the deficiency within 30 days from the dau notice is mailed
<br />by Lender to Borrower regirestmg payment thereof.
<br />Upon payment :n full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower any Funds
<br />held by Lender if under paragraph 18 hereof the Property s sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than ittunediately pnor 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 />3. Apptlratlon of Paymeab. Unless applicable law provides otherwise, all payments received by Lcnder under the
<br />Note and paragraphs 1 and 2 hereof shall be applied by Lcnder first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note, then m the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Bens, Borrower shall 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 manner
<br />provided under paragraph 2 hereof or, if not paid in such reanner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall promptly furmsh to Lender all notices of amounts due under this paragraph, and in the event
<br />B:;rra~erytiyal ^~ake •^^^• dire~tty. Bo~mw~r chill nmmotly furmsh to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; provided, that Borrower shall not be
<br />requred to discharge any such lien so long as Burrower shall agree in writing to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender, or shalt in gaud faith contest such lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent chi enforcement of the Iron or forfeiture of the Property or any part thereof.
<br />5. Hazard hisurance. Borrower shall keep the improvements now existing or hereafter erected nn 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 m wch amounts and for such periods as Lender may require; provided, that Lender shall not require that the amount of
<br />such uwrrage exceed that amount of coverage required to pay the sums secured by this Mortgage.
<br />The insurance carrier providlnK chi insurance shall be chosen by Borrower subject to approval by Lender, provided,
<br />that sort[ approval .hail not be unreasonably withheld. Aii premiums on insurance polices ,hail Ire paid in the manner
<br />provided r:rtder paragraph 2 bettor ur, ~f not paid in such manner, by Borrower making payment, whtn due, directly to the
<br />iuwraoce carrier.
<br />All insurance polir;ir5 and rtnrwal5 thereat shall bi in furor acceptable to Linder and shall include :i standard mortgage
<br />clause sn favor <rf and in form acceptable to Lender. Lender shall have the right to hued the policies :end renewals theriuf.
<br />and Borrower shall promptly furoish to Lender all renewal notices and all receipts ut paid premiums. !n the event of loss,
<br />Borrrrw~ +lka;t gt-vie pr++m pt uoitcr to the insurance carrier artd Linder. Lender may make prcx+t of loss ,t nut madr promptly
<br />by Borrtwer-
<br />Uniess Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to resurration or repair of
<br />tlx Property damaged, provided stash restotatron or repair is economically feastblc and the security of this Mortgage is
<br />rnx thereby impaired. It such restoration or repay is not economically feasible or it the se+:urrty of this Mortgage would
<br />tx impaued, chi insurance proceeds shall be applied to chi sums secured by [his Mortgage, utth the excess, if any, paid
<br />to Borrower. It the Property is abar,doued by Borrower, or it Borrower fails to respond to Lender wnhm 30 days tram the
<br />date notice is matltd by Lender to Borrower that the insurance carrier offers to settle a claim fur insurance benefits, Lender
<br />is authorized to collect and apply the msurancr proceeds at Lender's option either to restoration nr repair of the Propitty
<br />or to the sums secured by this Mortgage.
<br />Unites Lcnder and Borrower otherwise agree m writing, any such application of proceeds to principal shall not extend
<br />or postpone tM; due date of the monthly installments reterrtd to in paragraphs 1 and , hereof or change the amount of
<br />such instaUrnents. If under paragraph t8 hereof the Pnrprrty is acyuirid h}' Lender, all right, utle anJ interest of Harrower
<br />in and to any insurance policies and in and to the proceeds thtteot resulting from damage to the Property prior w the soli
<br />or acquisition shall pass W Louder to the extent of the sums xcured by thin bortgage immediately pnor ter uich sale or
<br />acyuisition.
<br />6, Ptroasrvatlon trod Mtiiiatenaece of Property; fxasebuldit: (4~ndamiNnma; Planned Uait t)tievelopinentc. Borrower
<br />stroll keep the Property in gaud repair and shall [tot commit waste or permit impairment or deterioration of the Property
<br />and shall comply with chi provisrons of any lease if this Mortgage is tin a least;huld. If Ines Mortgage is tin a unit in a
<br />cundomiuuint of a piannid unit dcvriopmrnt, Borrawcr shall perform all of Borrowers ubhgationa under the declaratimt
<br />ur cuvenatita creating or guvermng the cut,dummium ur plnnrird unit develapmeut, the by-laws and ngulatious of the
<br />condominium nr planned unit development, aid constituent documrnR. If a randominium ur planned unit devzlupmtm
<br />rtdu is exicutctl by Borrower and recorded together with this Mortgage, the •.ov..nants and agreements of uich rider
<br />shall bt meorpurattd into and shall amend and supplement the cuvtnants :end agretrnents of [his Mortgage as if the rider
<br />Wert a pan herwf.
<br />7. Protection of (.cadet's Security. Ik Borrower fails to perform the covenanh an.f agreements iuntainrd in thi+
<br />Mortgage, ar if any atutrn ur proceeding is commenced which matrriaUy atfeas tender's interest in the Propem.
<br />including, but nut limited to, emirteat domain, insolvency', urde enforcement, or arrangr,ntnts or prirceedings invulvutg a
<br />bankrupt ar deccdtm, rhea 1_ender at Litadtlr's apuan, upon nniru ro i3urruwer, may make such appearances, disburse such
<br />sums and take such action as is nieessary to prate;:[ Ixtttter'x mter~,t. ;rkiuJntg, but +tex limited tu, disburs¢ment u(
<br />reasonable attorney`s tors oral rmry upon the Prapert} to make repair,. Ir Lcnder teyuircd mortytagt incur-trace ah a
<br />cgndtto-_rn tit making chi luau vecuresi by thu Mortgage, Burrnwar shaft pay t'tr premiums rrqurred to maintain such
<br />instuance in [tilt[ tmtil such time as ttri requirinitnt for stash iniwrattce termutates in accurdaucc wuh Burrawci s and
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