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<br />fJxmoxn.[ COVENANT'S. Borrower and Lender covenant and agree as follows:
<br />i. Payment of Ptzncipal and interest. Borsower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Nate, prepamtent 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, Fonds for Taaes and Iv~•~*n'a. Subject to applicable ;aw or to a written waiver by Lender, Borrower shalt pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until the Mute is paid in full,
<br />a stem (herein 'Funds") equal to one-twelfth of the yearty~ 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-twellLh of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from-
<br />iime 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 guar+_nteed by a Federal of
<br />state agency (including Lender if Lender is such an institution). Lender shalt apply the Funds to pay said razes, 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 an the Funds and applicable law
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest on the Funds shalt 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 />shat! 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 seeuri[y for [he 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 fact due. such excess shall be, at Borrawer's option, either
<br />promptly repaid to Borrower or credited to Borrower nn monthly installments of Funds. If the amount of the Funds
<br />held by Le.^,der stets!! oat 1;:, cuff, rent tc pay tares, assz~merr. i,-,suranoe prminms '--d ~r«,.;e•R: rents as
<br />Borrower shall pay to Lender any amount necessary to make up the dtfiaency within 30yda}'s from the date rtotice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this M1fortgage, L.cnder chaff promptly refund fo Harrower any Ftmds
<br />held by Lender. If ututer paragraph 7 $ hereof the Property is sold or the Property rs otherwise acquired try Lender, Lender
<br />shall apply, na later than immediately prior to the sale of the Propem or its acquisrtion by tinder, any Funds head by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />3. Application of Payments. Unless applicable law providts otherwise. al! paymeau received 6y L.eader under the
<br />Note and paragraphs i and Z hereof shall be applied by Linder first in payment o[ amoums payafzle to Lender by borrawer
<br />under paragrsph 2 hereof, then to interest payable tin the Note. then to the principal of the Note. and then to interest and
<br />principal on any Future Advances.
<br />d. Charges: Incas. Borrower shall pay aIi lazes, assessments and other charges, frnes ants impositions attnbutablr to
<br />the Prooerty which may attain a priority over this M1fortgage, and leasehold payments or ground rents, if :my, in the manner
<br />provided tinder paragraph 2 hereof or, tf not pasd in such manner. by Borrower making payment, when due, fiirrc4y to the
<br />payee thereof Borrower shall promptly furnish to !.ender ail notices of amounts due under this paragraph, and in the event
<br />Barran-~er shall make payment dsrectly. iorrower shall promptly fumah to Lender receipts evidencing such payments.
<br />borrower shall promptly discharge any lien whia:h has pnonty over this Durtgagc: provided. that Borrower ~.hai) taut he
<br />required to discharge any such lien so long us Borrt?wee .hszi! agrpa iv wratmg to th+, payment fzf t?ze thlsga!i=z.^. -~:;v=rc1 b_r
<br />such lien in a manner acceptable to Lender, or shall m good faath contest such hen hy, or defend enforccmeat of s;e::h lints nz.
<br />legal proceedings which uperare to prevent the rrforccment of the hen or forfeiture of the Property or any pan thereof.
<br />5. Hazard Insuratzce. Borrower shall kelp the improvemrnt+ new czistrng er hrteatter erected an the Properly znsured
<br />agnzr •t loss b;. rim, ha=.arls includ€d utihm the term " . ~en;te! f:uver,gr", _rtd s_+4h nthzr ha~rds =; f.,zn tzr m_ -_ =-=ere
<br />and in such amounts curd lee such pertcxis as [.enstrr nzav requzre: prnvadeft, thst Lender shalt not require hat the atn t zn .ti
<br />c,u-h ,~ny^_ra£e ex!'eb'-d Ff}aE anzuutzt v ':~`verF~'C ••°,••tsred ' •'3•. _-___ ___
<br />'-- .may,- - she =rams s_cu.Ed ` th.> :~- ~,..~
<br />.. ins uzsurarce carnet p; ovfding the insurance shall"fie chosen by Borrower subjecr to+approvai by t.endrr: provded,
<br />.... ~ wpp •-_..... -- :zee - trea~ - wit .~f7 prettttuuts .set Ensutarke F`r~;li::=> ±-HII' .-- -- - .. _'~ .an ::,er
<br />orovi~s+xd ur.Serspnr;s;:ap?: 2 beret,-'_ or.i a#~~at`pardiin~surn_ >narr~s-, E}' Lt•,rru.4er r=aa?f~ra, p,~yt[>%rt, w'tr>f,3zt=,.s :mot#v`t= tYt=
<br />insurance carrier.
<br />Ail insurance puGcirs and renewals thereof shall be in form arfxprablo m !..ender and shall u,clude .a stautdanf nxutgnge
<br />clause in favor of and in form uccrptsbk a, Lradcr. Lender .hull have the nght to hold the polrcres and renew ate thereof.
<br />and Borrower shall promptly furnsh to Lender all rznewal nnrces and ail recerpts of paid pecmrunas In the event of foss.
<br />Borrower shall give prompt notice to the utsurmic csrner and Lender. Lender may ntakc proof ai loss d not made pnznrfnly
<br />by Harrower.
<br />Unless L_cnder and Bvrrrawer otherwise agree in wrung, m>uranec proceeds shalt hf: apphrd to restoration or repair of
<br />the Property Jatnaged. provsJed such rrstoraufm or rcpau ~s econonus:nliy te;nrblc :aid rise seti:urity u# thzs Mortgage is
<br />nut thereby tazpai:~rd. If sv<h restoratun or repair a not cs:anomtcally teasaMe ar it the securuy ui this Mortgage would
<br />tx tnapuued, Ihr; insurance proceeds shall f?e apptiaJ to the sums secured tz}' this ltangagc, with the excess, if tiny', paid
<br />to Bar rower- 11 the Pmrzrq~ rs abundonrd F}~ Borrower, or it Borrower I:uls m r'esinrrrd to Isader wnhan 3f7 days from the;
<br />detc nouf:e is r+tadeJ by t.cudcr to Harrower that the msurcurcc tamer otleta n, nettle .+ strum 'cur ntsurunce i,encflt+, Lenctcr
<br />is authori~rd to collect and apply ttte rnsurance pnxzeds tit l.cnJrrl option ether to restoratun or repast of tfre Prnlx:ny
<br />ur to the sums secured by this Mortgage.
<br />Unless tender e=nd Borrower atherwzsa agree is wetvag, ur,y such appbcauon at pnueeds m prmcrpat sha^ not extend
<br />or pc>ntpune the duo date at dra momhiy itasta!lmenu tcfernd to :u paragraphs I .nJ 1 htreul ur vharg>: Wa atuaunt of
<br />such »zstnllnronta- It utzder p-aragra7zh 18 herout the Yrops:r[y ~s acgmrd by t,endcr, till nght, ndr and unfrrest of Burn,wur
<br />in and m soy insurmaw pohciev road in uud to rhr prof:ez,.is thcraa,l resulting Cram dsmagc fez the Pnryxny pour to the sale
<br />at aalalsition shot! paste tp Leader to the extent exf the xunzs secure) by ih+s A9urtguge mtrvedmicly prn~r n Hoch -vale or
<br />+~1~tt±s:r1.
<br />h. Pt~trs _ttcn s~3 Alalateesscsrr of Pteaprtt}; i.r~thaisbt t'sgt[lurntaiunix; PSancerd Unit :?r+<°e4zpmrnts, Harrt,wcr
<br />shall keep the Praperty to gcuit7 tcpatr told shall not comtttit waste tit permrt rinp.urment ur detenorahon ul the F?ropetty
<br />sod sfzall comply wi7h the provisions of atzy laress: ~f [fats Mertgugc n uo :~ IcdseholJ. it Qzrs A(urlgu)*e n +,u a non to a
<br />ccaSomintum nr a pianzar$ armt fG~velepaze-rat, Borrower .hail pcr(urrn off of Borrowcr~> ohhgavons under the Jrclat anon
<br />ur covenants preanng ar gnvarnivg tfie candonumum rx pfanntd uwt duveh+prtaent, the by-tows and n;guiatiaaa n1 the
<br />cundutnimum or planned unit devclopznen4 .ind cunslltuent Jew unxnis. It a :anJonunnuu or planned non +ir,eropnrcnt
<br />rdet is executed US Battt7Mer and ri-corded togethu wuh thh Murtgagc, rho a+rcoants and agr~utenh ,+1 +ush nde~
<br />shah t?c ntcarporated ante and shall amend and supptw'ment the covuminis aaJ agrSYnznns of this Mortgugr ,n ~~ the udri
<br />were a pan hereof.
<br />7. PeMeeifun of Lerrderk 5eruriq. It Boin,wer i;uh to pvrionn the coveaauts anJ ugrecnrnis ~unt:uned tit this
<br />Mortgage, ur if nny~ achan at pracccdmg s commtuaod „bleb mairnall} a7ccis Lenders uverest in d,c P'apcn?.
<br />including, but nut Innited to, enuneni domain. utsulv'cn,:y, coda sntexcantent, or .urangenzcuts or pr4x:ecdmgs urvnisu,g e
<br />bankkttpt car flccednnt, than Lender tit 1_endcr`s option, ulwn noucu ro Burrower, ma} nxrke cosh erppxaraners, shshurac snc.if
<br />sums uud take such ac lido as is necessary ;n protect Lender'.; interest. ~ncludutc, but nut hnutcsf to, d,shw~cuteut ,,.
<br />tan5anable eUUrac}''s (ceti unit entry a}k,n the Pnrpcrt} to make repair. Ft LenJcr rt:quucd nzort{;atic i . + .+,.~ .,
<br />condhiun of mtzking rttm Iran secure) h} th+s 15turt}tagc, Bun owcr shall {+a\' the prcnuunz> regivrrd to matnt+run .u
<br />:;u; atts:c to riirfit utzti7 sac: t;mr a, tfn. requucmem ter _.uclt rnsurar+ce tettmnatcs .n e.:.:ordausc ,. nth Bar r.».er'F and
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