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<br />Uxtaoait Covex,t!vrs. Borrower and Lender covenant axtd agree as follows:
<br />1. Payment ~i Prlac4pal and Interest. Borrower shall-promptly pay when due the principal of-and interest on the
<br />inrtebtedness evidenced by the Note, prepayment and late charges-as orovided in the Note, and the principal of and interest
<br />on any Future Advances secured by this R4ortgage.
<br />2. Fends Ior Taxes and Irtsaranre. Subject to applicable law or to a written watvzr by Lender, Borrower shalt pay
<br />to Lender on the day monthly insiaiimettts of principal and interest are payable under the Note, untiiahe Note iu paid in full,
<br />a stem (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 mortgage insurance, if any, al! as reasonably estimated initially-and from -
<br />time to time by Lender on the basis of assessments and bills and reasooable estimates thereof. -
<br />The Funds shalLbcheld in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />slats 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 Brad applying the Funds, analyzing said account,
<br />or verfying and compiling said assessments and bills, unless Lender pays Borrower interesrotrthe Funds and applicable law
<br />- permits Lander to make such a charge. Borrower and Lender may agree in -writing at -the tune .of execution of this -
<br />Morigage that interest on the Funds shalt be paid to Borroweq 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, wittiout charge, an annual accounting of the Funds showing credits anddebitrto'the Funds and-the
<br />purpose for which each debit to the Foods was made. The Funds are pledged as additional security for the -sums secured
<br />by this Mortgage. -
<br />Sf 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 fait due; such- excess shall be; a[ Borrower's option, either -
<br />promptly repaid to Borrower or credited to Borrower on monthly installmems of Funds. If ffieamount of the Funds
<br />held 6y Lender shall not be sutBcient to pay taxes, assessments. insurance premiums and ground rents as they i8ii-:due;-
<br />Borrower shall pay ro Leoder any amount necessarp• to make up the deficiency within 30 days from the date notice is m_ ailed
<br />- by Lender to Borrower requesting payment thereof. -
<br />Upon payment in full of aII sums secured by this Mortgage, lender shall promptly refund io Borrower any Fuhds
<br />held by-Leader. Yf under pazagraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender; Lender
<br />shall apply, no later than immediately- prior to the- sate of the Property or its acquisition by under, any Fuods_ held 6y
<br />Lender at the time o[ application as a credit against the sums secured by this Mortgage.
<br />s. Application of PaymeNs. Unless applicable law provides otherwise, ail payments received by Lender under the-
<br />Note and paragraphs t and 2 hereof shall be applied by Lender firs[ in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Vote, then to ffie principal of the Nate, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; I.ietvs. Barsower .hall pay all taxes, assessments and other ::harges, tines and impositions attributable to
<br />4he Property which may attain a priority over this \4ortgage, and leasehold payments ur ground rents. if any. in the manner
<br />provided under paragraph 2 hereof or. if eat paid in such manner. by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shalt pmmpdy fnrntsh to Lander tilt notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Horrow_er shalt promptly famish to Lender receipts evidencing such payments.
<br />torrower shall promptly discharge any lien svhith has priority over this 5lortgage: provided, that Borrower shall eat be
<br />required to discharge any Bach lien so long as Borrower shaft agree in u-ntmg to the payment of the nbiigatiun ~rcun:d by
<br />x~ach Ilea ina manner ac~ptabte to Under. ur shall in grv+J faith contest Bitch tiara hy, ar defend enferc-emFnt of soch-lien in,
<br />legal proceedings which operate Lo prevent the enfuruemcnt of the Len or torieimre of the Propery or any part thereof.
<br />5. Iiarstrd Ir>sarence. Betrsawrr shall keep the immprovcmcnts now rxi>ung nr hurcafter eroeted mr the Pre petty rnsurzd
<br />,..
<br />against toss by $re. hazards included -,;nt~,rn [ire Term "ascended cover..ge" and sucF other hazards ~rs L~ndet rs,.., reGi:ire
<br />aced in such antcun+=- aced far such p ert:~ds ~s lender rneiy requite; Pr~?vsde~+, that !_~ncier steal{ net require that th-' amatmt at
<br />Buell coveeage exceed that amount of cuvcrauc reuufred to n..y i~~e snms ,ccureti i;y this Startgage.
<br />"Iltz rnsurance car-.ier oravidina the insurance shall f±< chosen by Burrower subiect to aapraval by i.coder, provided.
<br />that inch approval strati not be untzasonabiy withheld. Ali Premtums e+n insurance P.nhcies shall hp psid to t;re mantxr
<br />provided ruder paragraph .hereof er, if nor yard in ,urn manner, 'vy a-~aw-er ma#ing payment, whoa due. chrtctl} i. tl'z
<br />insurance cazrier.
<br />Al! insurance policies and renewals therenl shxtl t?r m farm acceptet+lc to Lender and shall utclude a >t:utdard nrorfgage
<br />clause in fave-r of and nr form acceptable tc- L.ender. Lender shall have the right ~o hold the puticies and renewals thereot.
<br />and Borrower shalt promptly furnish to Lender all renewal nonces rid all receipts oC psid prenuums. in the event of loss,
<br />Horrower shall give prompt notice to the insuran.:r caterer and Lender. tender may ,nuke proof of loss if not made promptly
<br />by Borrower.
<br />Unless Lender and Born?wet othetw r,e agree m writtng, nuunutca pnxeeds shall be applied ti> reaorotion ar repair of
<br />tho Peoperry ilamagcd, provtdud ouch rrswtauuu or repatr a eeananucady teastbte and the security of [his R4ortgaga i,
<br />eat thereby impaired. !f such restoration ar repau s no[ catnvnuca0y Icasiblc or tt the security of ihts !+lortgage would
<br />tee impaired, the insurance prrxeeds shall be :.pptird to the hums secured h} this Mortgsgc, utitit the excess, if any, paid
<br />ro Horroavrr. if 4te Property is abandoned h} Burrower, or a Harrower tads to resptmd to l.eudcr wntnn 30 days from the
<br />date nonce is rnmled by Lander w Borrower that the insurance earner otters u. >etgc ;, :loon I'ur ursurauce benefits, Lender
<br />is :wthoe,eud to collect and appl} the uuurance proceeds rat Lender's opuun enhcr to tmstomuar or repair n( flit Property
<br />ur to the Bunts secured by iLrs Mortgage.
<br />Unless 4.eudrr uttd Hurrowcr uthe[wrse agree m wntmg, an} such application c+t prvccrds to pnnerpal shall nut extend
<br />ar pasipane ttte due date u[ tits monthly instahments rettrred as ut paragraphs ! and ' hea•+r( ar change the amount of
<br />such instaiintents. It under paragraph 1K hereof the Property ,a acyutred b} Lcndet. ell right, utle and interest of Horrnwrr
<br />in and to any iasurut<e puhcius and in :ntd to the proceeds thereat reaulhng from d:un;tge to the Pntperty prior a, the a:dc
<br />or' acquisition shalt pass to Lutdrr to the rxteart ut the awns >ecutcd Ly the hYnrtgage hunieiiatcly pour to >uch Bete or
<br />argiiisttCfn.
<br />b. Yrr+otlatt aotl ;13aintcrtance ru Pruprtt±. Leaseholds: Condootiniutrts; t'ianned i.init ITrrclaptricuts. Botn,s,cr
<br />shalt keep the Prupedy iu goats repair and shall riot commit uusie nr p:eratu uTrpairntent or deturrorauun of [ten 1°rupuny
<br />atxi shall co:npt}' witft the I?rovisions of any tease il' this ~ler[gagc i4 un a tcaechatd. i( ttw biortgag4 ~+ un -~ unit in „
<br />raadominmm ar a planned unit duvafoptnunt, Harrower shell perfoim all oL Borrower's obhgatr+ns under the dccl.uauon
<br />or covenants creating or governing the eondemmiunt ur planned unit development, the by-laws and reguLuiona rat the
<br />condomiotttnt or plantxd unit dsvelapnunt, :md conxrituznt dttcuntuntc !f a eonduminium or planned unit dcvolopntcnt
<br />cider is executed bg Borrower and reirordttl together wah flits Mortgage, the covenants rand agrcentcnta cat such ndci
<br />shall tx inwrparatad into rand shalt mound and suppteartent the eavenants and agnentcnts of rtes Mortgage us tt the radar
<br />w'zre .a p:u2 hereof.
<br />7. Fra2artion of Lctsdxr'a ~curky. if Borrower Coils to pcriorm the cuvcnants :end agreements cuntamcd to flits
<br />Mortgagt<?, ar if any action ur proceeding rs commenced whreh ntaterialty et`fxts lender's uneru>t in the Proiwrty-,
<br />inct¢ading, but nut iimlted ur, eminent domain, insukvr~acy, coda cnfarceirtunt. or urrangenrunw ur proceedings umuivtng a
<br />taau8rupi or decedent, dxeq Leader ar Lender's updou, upon notice ro Harnwer, may rnsku such appuaranccs, dnbw sc such
<br />sts~r.r, ;, eke such ataittn 's is rr~:~sary' tc protect lxndee's sntetust, trt4ltaling, bra .. t li:rretsd t-. dsbutacment ad
<br />- - ~a1rle~ailu;.y's t anti en:ry rayon tl;£ Proprrty to mike repairs. It k=:sder res;utr_~ mortgag~• insutatrce
<br />4unstition of nrakins the~ioan accrued by this hfattgagc, Burrower shall pay the premiums regurreci h? maintarn w..h
<br />insurance 'tn effect omit such time as the requt`rumert for such insurance +xrntinatus to accardauce wait Beuowcx's and
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