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<br />Unt>:navt Covsr:r.*t-rs. Borrower and ? code; covenam and agree as follows
<br />I. Payment of Principal and Interest- Borrower shall promptly pa;• whe¢ due the principal of and toreros: on the
<br />indebtedness evidenced by the Note. prepayment and ]ate charges as provided in the ]yore, and the principal of and interest
<br />on any Future Advances secured by this Mor[gage.
<br />Funds for Fasts and Insurance. Subject to applicable law or to a written waiver by Lender. Barowe; shall pay
<br />to Ixnder or. the day monthly installments of principal and interesr are payable udder the Note, until the Note is paid in full,
<br />a sum (herein "Funds") equal none-Paelfth of the yearly taxes and assessments which may attain priority aver this
<br />Mortgage, and ground renu on the Property, if any, plus one-twelhh of yearly premium instalmments far hazard insurance,
<br />plus age-twelfth of yearly premium installments for mottgage insurance. if any, alt as reasonably estimated initially and from-.
<br />time to lime by bender on the basis of assessments and 'Dills 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 />;late agency (including Lender if finder is such an institution ). Lender shall apply the Funds to pay said taxes; assessments,
<br />insurance premiums and ground rests. Lender may not charge for so holding and apph•ing the Funds, analyzing said account, ,
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and app?ieable law-
<br />permiu Lender to make such a charge. Harrower and Lender may agree in wriring at the time of execution of this
<br />Monga¢t 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 sha[I not be required to pay Borrower env 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 secviity for the sums secured
<br />by this Mortgage.
<br />If the amount of the Funds held by Lender. rogether with. [he future monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shali exceed the amount required to par said taxes,
<br />assessmenu. 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 Leodez shali not be sttfiicitat to pay taxes. assessments, insurance premiums and ground rents as they fall due.
<br />Borrower shall pay to Lender any amount necessan• to make up the deficiency within 30 days from the date notice is mailed
<br />b}' Lender to Bor,ower requesting payment thereof.
<br />Upor, payment to full of all sums secured b_e thes Mongage. Lender shall promptly refu¢d to Borrower ary Funds
<br />held by Lender. If under paragraph t8 hereof the Properrv is sold or the Property is otherwise acgwred by Lender, Lender
<br />shall aanly, ne later than immediately prior m the sale of the Property or its acgtrisiuon b}' Lender, any Funds held by
<br />Lt¢der at [he time of application as a credit against the sums secured by this Mortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise. all payments received by Lender under the
<br />Note and paragraphs 1 and < hereof shall be applied by Lender first m payment of amounzs payable to Lender by Borrower
<br />under pazagraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br />principal an an}• Future Advances.
<br />4. s:hatges. Laems. Borrower shall pay alt taxes, assessments and other charges, fines and impositions attributable to
<br />the Property which may attain a priority over this Mongage. and leasehold payments or ground rents. if any, in the manner
<br />provided udder paragraph ?hereof ar. if not paid m such manner, by Borrower making payment. when due, directly to the
<br />payee thereof, $orrower shall promrily furnish to Lender ail no[ices of amount., due under this paragraph, add in the event
<br />Borrower shall make payment directly. Borrower shall promptly famish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any ben which has pnonry over this 2vlongage; provided. that Borrower shag net be
<br />required to discharge any such lien so long as Borrower shalt agree in writing to the payment of the abhgation secured by
<br />such lien in a manner acceptable to Lender. or shall m Band faith contest such lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcemem ei the hen or tortenure of the Pwpttxy or soy pan thereof.
<br />5. i-Iaxard Insurance. Borrower shali keep the tmprevements new existing or hereafter crecmd nn the Property insured
<br />aeainst loss by fire, hazards included within the term "extended coverage -. and such a[htr 'razards as Lender ma} require
<br />and in such amounts and fey such ptnods~ Lender ma}~ reP.uue; provided, that Lender steal; not r°„eurre that the amount of
<br />such coverage tzcesd that amount of coverage requued to ea}~ the sums secured b}• this Mortgage.
<br />??te ~..__. ~. '- ~•idl.^.x +L~. , suran_e ska!I ~ -^.c=son by Barrow~r suburt t apprava! b' Lender, a ^vided.
<br />that such app:avai snail-nat*be unreasonably withheld, fill premiums an insurance poiictes shat; be paid m the,mannzr
<br />-,,._...... - aara_ r, w ,._,.,-, or. ,f as pa,.. ,., such raanue., t:} Bnr,~ wer ,.,a,. ¢g , vt?=.:.,....,e., du., .,,.~ v ,...
<br />icsnr~ 3~ ~.rar, -
<br />Ali insurance policies and renewals thercot shali bt m form acceptable m Linder and shali include z standard mortgage
<br />clause in favor of and in form acceptable to Leader. Lender shall have the right to held the policies and renewals thereof.
<br />and Barrowar shall promptly famish [o Lender all renewal notices and all receipts of paid preminms. In the event of loss,
<br />Borrower shat' give prompt notice to the insurance career and Lender. Lender map make proof n( lass if not made promoth~
<br />by Harrower.
<br />U¢Itss Linder and Borrower otherwrse agree in writing, insurance proceeds shall bt applied to restoration ar repair of
<br />the Property' damaged, provided such restoraton or repau is ecnnamiaally feasible and the security of this Alortgage is
<br />not thereby impaired. If such restoration or repau is oat ecanonuwlly tensible or of the secunp~ of this \langagc would
<br />be impaired, the insurance proceeds steal! be applied to the sums secured by this Mongage. with the excess, it' any, pa.d
<br />[o Borrower. !f the Property is abandoned by Borrower, or if Sorrawtr fails ro respond to Lender within 30 days from the
<br />date notice is mailed 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 nr repair o€ the Property
<br />or to the sums secured by this Mongage.
<br />Unless I-a•ndtr and Harrower athtru•ise agree in writing, an} such application of proceeds to prmctpal shall not extend
<br />or postpone the due date of the manth)p installments referred [a in paragraphs 1 and 2 hereof or change the amount of
<br />sorb installments. !f under paragraph I g hereof the Prnptrty is acyutred b} Lender, alt tight, title and interest e! Harrower
<br />in and to any insurance policies and in and to the procceds thartof resulting frpm damage to the Property prior to the sale
<br />or acquisition shad pass to Linder to the extent of the sums secured by this Mortgage immediately prier [o such sale or
<br />acgttisitiatt.
<br />tt. i:'rtfltrc•a6on and lain mange aI Prapertys Ltaselralds; C:undomiaiums; I'Iann>vt limit I)evelapments. Harrower
<br />shall keag the Protierty in good repair and shall not commit waste or permit mtnatrmem ar cletariorauon nt the Prepen}
<br />and shall comply with the previsions of a¢y lease if ;fits Mortgage is on a Iwsthald- if this hSortgagt is tin a unit in a
<br />condominium or a plangtd unit development, Borrower shali psrfnrm all of $orrawar's abhgauans under the daclarauan
<br />or covenants creating or governing the condominium ar planned unit dtvelapmant, the by-laws and regulations a€ the
<br />condominium ar planned unit devalapmtn4 and constituent documents. if a condominium or planned anti Jtvelopmtnt
<br />rider is executed Isy Borrower end recorded tngttlter wuh this Mongage, the covenants and agrettttents r+f such odor
<br />shall h€ in~arparafad into and tcltall amend and supplement the covenants and afire-emants of th,s Marigage as ;i the ra,+~r
<br />were a part hereof.
<br />7: Protaatioa of Lender's 5eaatity. If Borrower fails to petfvrm the covenants and agreemanw cantatntd :n this
<br />Morigaga, or if any aciian or proceeding is commerteed which materially affects Lender's uuerest to the Pmptnp.
<br />intludutg„ but me limited to, emi¢tm domain, insolvency, catle enforcement, ar arrangements at prxtedings ~nvnlvmg a
<br />bankrupt ar decv,dant, then Leader ai Lender's option, upon notice to Borrower, ma} make such appearncts, dtshune such
<br />sums add take such action as is ¢ecessary w protect Lender's interest, mcludt¢g. but not limucd to, disburstmem a,
<br />reasonable attamt}'s lets and entry upon the Peoperty to make repairs. It Lender required mangage insurance as
<br />candiiio¢ of making the loan stcused by this ;viongaga, Borrower shall pa} the premiunxs required u, matmam such
<br />.,L,..=..-4-.- in eg;1t. ufih.'- s.:ch :iz~.e as the requitam-en=. €cr such t.,~urarce ternu notes ,..:.«:.rda..~_ x,th Borrowers :..,,.
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