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80- a-a t~~~~.
<br />UrttFOaM CovexeNrs. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and Tate charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />2. Fonds for Taxes and honnce. Subject [o 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 payable under [he Note, until the Note is paid in full.
<br />a sum (herein "Funds") equal to one-twelfth of the yearly cases anti 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 mortgage insurance, if any, all as reasonably estimated initially 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 or
<br />state agency (including Lender if Lender is such an institution 1. 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 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 :[gree 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 law
<br />requires such interest to he 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 the Funds and the
<br />purpose for which each debit to 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 on monthly installments of Funds. If the amount of the Funds
<br />held by Leader shall not be sufTicient to pay taxes. assessments, tnsurance premiums and ground rents as they fall due.
<br />Borrower shall pay to Lender any amount necessary 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 this Aortgage. Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If ender paragraph ! R hereof the Property is sold or the Propcrn~ is otherwise acquaed by Lender, Lender
<br />shag apply, no later than immediately prior to the sale of the Property ar its acgmstnon by Lender. any Funds held by
<br />Lender at the time of application as a credit against fhe sums secured by this Sortgage.
<br />3. Applicatioe of Payments. Unless applicable law• provides otherwise. alt payments received by Lender under the
<br />Note and paragraphs 1 and ?hereof shall be applied by Lender first m pavmem at amounts pa}'able to Linder by Borrower
<br />under paragraph 2 hereof, then to interest payable an the Note. ,hen to the principal of the lore. and then to interest and
<br />principal on any Future Advances.
<br />4. Charger, Litos. Borrower shall pay all taxes. assessmenu end other charge,. fines and impositions ettnbutable to
<br />[he Property which may attain a priority over this !vtortga¢e. and leasehold payments or ground rents. if any, in the manner
<br />provided tinder paragraph 2 hereof or. d not paid :n such manner, by Borroxu making payment. when due, directi}• to the
<br />payee thereof. Borrower shall promptly furnish to Lender all neuccs of amoums due under this paraeraph, and in the event
<br />Borrower shall make payment directly. Borrower shall prompd} fumrsh to Lrrder receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mottgage: pmetded. that Burrower shall not he
<br />required to discharge any such lien w long us Borrower shall agree iu «ntmg *.o the payment . t the obitgation secured by
<br />such lien in a manner acceptable [o Lender. or shall in good faith contest such lien by. or defend enforcement of ouch lien in,
<br />legal proceedings which operate to prevent rite enforcement of the Len yr forfeuure a2 the Property or am' part thereof.
<br />5. IHarard Insurance. Borrower shall keep the improvemenn now existing or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the temt "extended coverage", and such ether hazards as Lender may reyutre
<br />and in such amounts and for such periods a, Lender may require; pnwtded, that Lender shall not reyutre that the amount of
<br />such rnverage exceed that amount of Coverage required to pay the sums secured h}~ this i•Iorteage.
<br />The insurance cazrier providing the insurance shall be chosen by Bornn.er subject to approval by Lender, provided,
<br />[hat such approval shalt not be unreasonably withheld. All premnms on insurance pohctes shall t,e paid m the manner
<br />provided under paragraph 2 hereof or, rf not paid in such manner, by Borrower making payment, when dun, dtrectty to the
<br />insurance cazrier.
<br />All insurance paficles and renewals thereof shall be in Corm acceptable to Lendrr and shall mc!ude a standard mortgage
<br />clause in favor crf and in form acceptable ui Lender. Lender shalt hake the right to hold the policies and renewah thereof.
<br />and Borrower shall promptly furnish to Lender ail renewal nm:crs and all receipts of patd premiums. In the cent of toss,
<br />Borrower shall give prompt notice to the msurance earner and Lender. Lendrr ma} make prtot of lass if not merle promptly
<br />by Borrower.
<br />Unless Lender and Borrower othenvs+; agree in w riling, insurance proceeds shall be applied to restoration or repair of
<br />the Praperry damaged, provided such restarauon or reoau is eeonomrctil} reasible and the sewriq~ of this Slortgagn rs
<br />not thereby impaired. II such restoraton of repair is not eCamrmicailg- ftasihie ar a the se vnq of Chu Martgagr would
<br />be impaired, the insurance proceeds shall he applied to the sums secured hg Chu ~longugr, utth the excess, if am', paid
<br />to Borrower. If the Properly is abandoned by Borrower, or rt Harrower tads to respond to Lender within 3tl days from the
<br />date notice is mailed by Lender to Borrower that the irnurance carrrer oflrrs to scale a Cieun for msurance benefits, Lendrr
<br />is authorized to collect and apply the msurance proceeds at Lender's option either to res[orauon or repair of cite Property
<br />ar to the soars secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agree m wrung, any such application of proueds to prmCtpal shall nut extend
<br />or postpone the due date of the monthly installments referred n. to paragraph, and ~ hereof ar zhange the amount of
<br />such installments. If under paragraph la hereof the Prapertti n acyuued h} i.ender. nit right, title and interest ~~t Borrower
<br />in and to an}' insurance policies and in and tc the proceeds thereof resulting from damage to the Prolx.r;} prior to the ,ate
<br />or acquisition shall pass w Leader to the extent of the sums ~e. tired by chi; Mortgage imtuediateiy prior to .uch sale er
<br />acquisition.
<br />6. P7eaervyYaa and ~tai>•iertaoce of Property: Leaseholds; Condominiums; Yianned L'nit De.elupments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impatrmern or deterioration oY the Property
<br />and shah comply with the provisions of an} least .' this A9origage is on a leasehold. h rhis Atangago rs on ,c tint: in ,,
<br />condominium ar a gianited unrt dcvelapment. Borrower shall perform all of Barrower~s ..obLgauans urdcr the decl:uatuwt
<br />or covenants creating ar governing the condommuim or planned untt devalop[nent. tLc by-taw., and rcgctluuan, of the
<br />condominium or planned unit develagment, and cons[ttucnt dacumertu. I1 a condominium ar plamted unu de.ei..+pment
<br />rider is executed by Borrower and re:carded tagethar wah Chu Mortgage, the covenants rnd ,-,grrements of 1t:ch rd+ier
<br />shag be.inctaiporazed into end shall amend and sugglement cite covenants and agreements of thts Portgage as tt dte rider
<br />were a part hereof.
<br />7. Protection of Leader's Security. If Harrower fatly to perform the covenants and agreements ,:ort:uned in this
<br />Mortgage, ar it any action or proczeding is commenced which maiarially ntfrut. i radar's interest ur the Pnrpcrq.
<br />including, but not limited ta, eminent domain, insolvency, ccxte enforcement, or arrangements ur prucecdings involving a
<br />bankrupt or decedent, then Lender ai lxndeis option, apon notice to Bonaw er. may make sufi appcarancco, duhursc ,uch
<br />sums and take such action as is oece,ss~n' to prate: t txndei s ,nteresi, ~ncludmg, but nut Lnuted ro, dtsbursemutt
<br />ttasonabte attorneys fees and entry ~,~an the Property to ntakc repeus. t! l..endrr required n,+rrtgage insurance :t: .:
<br />condhian of making the loan secured b}- this 1lior[gagc, Bon Donor Khali coy the premiums rcywrod u'. niain[aut -uch
<br />irnurance in effect until such time as tine reyurzement for such insu:anCC trintinates to accordan.c wish Borrowrr~+ :rnd
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