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<br />UtuTroamt CoveNnNrs. Borrower and Lender covenant and agree as follows:
<br />I. Payment of Principd and Interest. Borrower 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 Mottgagc.
<br />2. Funds for Tara and Insurance. 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 papab}e under the Note, until the Note is paid in fuh,
<br />a stun (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 mongage insurance, if any, all as reasonably estimated initially and from
<br />time to 6me 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 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 not charge for so holding and apptying the Funds, analgzing said account,
<br />or verifying and compiling-said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />ptrmits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mongage 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, Lender shall not 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 tht jnds and the
<br />purpose for which each debit to the Funds was made. •IlTe Funds are pledged as additional security for the serene 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 Borrowers option, either
<br />»romptly repaid to Borrower or credited to Borrower on monthly installments of Fonds. If the amount of the Funds
<br />held 6y Lender shall not be setfficient to pay taxes, assessments. insurance premiums and ground rents as they fall due,
<br />Borrower shall pay to Lender any amount necessar}• to make up the deficiency within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by thzs Mortgage. Lender shat! promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold ar the Property is otherwise acquired by Lender, Lender
<br />shall appl}', no later than immediately prior to the sale of the Property or iLS acquisition 6y Lender, any Funds held by
<br />I-ender at the time of application as a credit against the sums secztred 6y this 1{ongage.
<br />3. A~licztttiaa of Payments. Unless applicable law provides otherwise, aB payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note. and then to interest and
<br />principal on any Future Advances.
<br />4. ChatEat Liens. Borrower shall pay all taxes, assessments and other charges, fines and impositions attributable to
<br />the Property which may attain a priority' over this 34longage, and leasehold payments or ground rents, if any, in *.he manner
<br />pmvidz:d tender paragraph 2 hereof or, if not pa,d m such manner. by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall promptly furnish [o Ixnder all ponces of amounts due under this paragraph, and is the event
<br />Borrower shall make payment directly. Bonawer shall promptly fumzsh to Under receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien u;tich has prtonty over this Mortgage: provided, that Borrower ,hail not 6e
<br />required to discharge any such lien so long as Borrower shall aeree in writing to the payment of the obligation secured by
<br />such ilea in a manner acezptabie to under, ar shall in good £auh contest sueh lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the he^ or forfeiture of the Property or any pan thereof.
<br />S. Hazard lnsaraatt. Borrower shall keep the zmpravements nrnr exis*~ng or hercaher erected on the Property insured
<br />against lass by &re, hazards included within the term "extended coverage". and such other hazards as Lendee may require
<br />sad in such amounts and for such periods as Len_.r may require: provided, that Lemke :hall not require chat the amount of
<br />such coverage exceed that amount of coverage required m nay the wens secured by this Mortgage.
<br />The insurance carrier providing the insurance :hall be chosen by Borrower subject to approval by Lender: provided,
<br />that such approval shall not be unreasonably withheld. Ali premiums on insurance poiines shall he pasd m the manner
<br />provided tinder paragraph ?hereof ar. ,f sot pasd in such manner, by Borrower making payment, when due, directly to the
<br />insurance carrier.
<br />AB insurance nolicies and renewals thereof shall tae in form acceptabic to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right w hold the policies and renew-ate thereof.
<br />sad Horrawer shalt promptly Furnish to Lender alt renewal nauces and sit receipts of paid pmmkims, to the even[ of lass,
<br />Borrower shall give prompt notice to the insurance carrier and Lender. i_enrlcr ma} mane proof of toss if sot made prompii}
<br />by Borrower.
<br />finless Lender and Borrower otherwise agree in wrung, insurance proceeds shall be applied ua reszoratiam nr repair of
<br />the Property damaged, provided such restarattan or repast is economically feasible and the sccunty of this Mortgage i,
<br />trot thereby imparted. If sueh restoraLan or repeat is not economically feasz'ble ar d the secr:ntti~ o£ this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to thz sums secvrad by thzs Mangage, wtth the excess, it any. paid
<br />to 8arrower. If the Prapeny is abandoned h} Borrower, x it Borrower tails to respond to Lender wuhtn 30 days from the
<br />date notice i5 rrutiled by Lender to Borrowar that the insurance carrier oilers ro sentea claim far insurance benefits, Lender
<br />iS author?7sd to colFect std apply The insurance proceeds at Lender's npuom either to zestorauan ur repair of the Propern~
<br />ar to the sums secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agree rn wrung, an} such application of pr~aeeds tv pnnczpal sltal3 not extend
<br />or postpone tIre due date of tla monthly iustallrrtents referred ro m paragraphs t and ' herctf or change the amount elf
<br />such installmza[s. If under paragraph tS hereof the Propzrry rs acyu:red b} Lender. at3 right, title and ztuesest of Borrower
<br />in sad to any insurance policies and in and to the praeeds thereof resulting from dantaga to the Propcny prior to the sale
<br />or acquisition shall pass to Lender to the eatem of the sun-u secured h} [ivs Mortgage ~mnzedzatei} pnor to ,uch sole or
<br />acquisition.,
<br />6- Asrervatioa zed Mzriateaataee of Property; Leaseholds; Condominiums; Planned Lhdt Derelopments, Borrower
<br />shall kixp the Property in good repair and shall not commit waste or permit impairment or de[erioratwn at the Proper.}
<br />and shall ;x~mpl}• with the provisions of aa}' lease it thzs ~iartgage zs on a teas,=hold. !f tiro \Iuzigagc is nit ., unit :n .+
<br />condnmiaiunt ar a piantteai unit development, Borower sha13 perform ail of Borrower's .,blzgatzans under the declaration
<br />of covenants crcatitrg or gaverrung the condamznium or planned unit devcioprmcut, the b}'-laws and regutazien; of ttic
<br />;:ondominium of planned unit devalopmeni, trod cons[itizent dkumeuts. li a condnmmium os planned unit de~elopnzeut
<br />rider is executed by Borrower and recorded zagether wzth thzs Mortgage, the caiatunts and agreements i~t such rider
<br />shall he incorporated iris and shall amend and supplement Lhe caw enan;_s and agreements of tire, Mortgage. as iF the ndcr
<br />weer a part hamt
<br />7, 1"ratatiou of Lezzder's Security. If Burrower fads to perform the covenants and agrcantents eomsined in this
<br />Mortgage, ar i£ any action tar prod ding zs eetnTt:cttced which materially ailzcts 1_eztder's zntcrest in the Propert:.
<br />iaaludiag, but rat fimitcd to, eminent daataia, iusolvzmcy, Cade enforcement, ar arrangcmcnzs nr pnxaedings ntvol. mg s
<br />bankrupt tar dexGenL, then Lentlet at Lender's apLion, upon natter to Aarrowcr. ins}' make sueh aplx arsaccs, disburse sueh
<br />sums and take such action as is neerssary to protect Lender's ntterest. inelvdmg, but not iiatited ro. dnhurscnren: .~t
<br />reasonable agottley`s fees and ttt[iy upiaz the Frnperip' to nwke repairs. it l erkdcr rcgwrcd rnt;rtgagc insvrancc as .+
<br />ccutdztion of tnalting the loan seeuresi Lay This Mangage, Be+rr:•wcr .halt pay the premiums requred to mainrtut sr,~h
<br />inuurance in z:lfeci until such time as thz requirement far soh insurance zermutates zit ,,ccordatr~c w+nh Borri+wei , ,,rid
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