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<br />Ux~oxat CovetvnNrs. 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 aad late charges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by this Mortgage.
<br />g. Ftitnds fns Tares aad Insurance. Subject io applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lander on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a sum (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 yeazly premium installments for mortgage insurance, if any, all as reasonably estimated initially-and from
<br />time to time by bender on the bass 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 Federe} 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 applying the Funds, analyzing said account;
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds andappiicable 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 shall be paid to Borrower, and unless such agreement is made or .applicable--Iaw-
<br />requires such interest to be paid, Leader 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 hfortgage.
<br />If the amount of the Fuads 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 (all due, such excess shall be, at Borrowers option, either
<br />promptly reoaid to Borrower or credited to Borrower on memhly installmer.*.s of Funds.- If the amount-af the--Funds-
<br />held by Lender shalt not be sufficient to pay taxes, assessments, insurance 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 Mortgage, Lender shat) promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shah apply, no later than immediately prior to the sate of the Property or its acquisition by Lender, any Funds field by
<br />Lender at the time of application as a credit against the sums secured by this Mortgage.
<br />3. Application of Paymeets. Unless applicable law provides otherwise, ail payments received by Lender under the
<br />Note and pazagraphs t and 2 hereof shalt be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereo[, then to interest payable on the Note, then m the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; 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 Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided under paragraph 2 hereof or. it nut paid in such manner, by Borrower making payment, when due, directly to the
<br />payee thereat. Borrower shall promptly turnish to Lender all nouces of amounts tine under this paragraph, and in [he event
<br />Borrower shall make payment directly, Borrower shalt promptly turnish to Lender receipts evidencing such payments.
<br />Borrower she!! ptvmpt}v discharge any lien which has priority over this hiortgagc; provided, that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shall ague in writing to the payment of the obligation secured by
<br />such tiro in a manner acceptable to Lender, ur shall in good faith contest such lien by, oc defend enforcement of such lien in,
<br />toga prvecedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />5. Hazard lrtaurtmce< Harrower sftah keep the tanpr~vome.^.Is now esicting or hereafter rre~•ted on flit Frvprrty in3urtd
<br />against loss by fire, hazards included wtthin the term "extended coverage". and such other haaanls as Leader may reouire
<br />and ir, slob antouats rr::l for =uch peit~,ds a_ _=nd€r r- -zyuire; pr_ndzd, that l.cndtr shat .. -, regnir~ that tttz amount rr
<br />suoh coverage oxcezd that amount of cuvirage`rcymndjto p;ry ihi xunu secured by rhts hlo~rtgage.
<br />ins.,. K, .zr pra,.diWg the rnsurar,},~ =ha': br chosen by $On owe, -t:?sjecr tct appr~va3 i=y i.indir; provided,
<br />tFtat ch ;,np:oval shalt nr~= re s±n~ea~nab'y . ithhrld3 ,~{! pr.msunt= un insu.ance -vhan.~ s ha='l - ° paid rn .- ::sonar
<br />provided under paragraph 2 hereot ur, rt not paid in such manner, by Bunvwer}makmg payment, when due, dtrecQy to the
<br />insuraace carrier.
<br />All insurance policies and renewal therrvt shall tx in Corm ecceptuhla to Lemler anJ shall umlude a >tanJarJ mortgage
<br />clause in favor of and in farm :icceptablc ro Lender. Lender shah trace the right u, hold the policies and renewals thereoL
<br />and Borrower that! promptly ::::Wish to Lender :d! renewal rtutices and all rrcetpts of pxiJ primmms. In the event of lull,
<br />Borrower shat give prompt notice to the uuurartce canter and lstrdcr. !_enJer may make pros! of loss tt nut made pnunptly
<br />by Borrower,
<br />Unless l.tnder and Boreuwer mherwne agree in wntmg, insurance pruceeJs shall be applied to reswratiua or repair of
<br />the Property damagzJ, provided loth restoration nr repute is tcenumicaliy feasible and the security of thts b1ortgage rs
<br />oat thereby impaueJ. if such restoration or repair is not ce+snumicully (rasibic ur .t the securty of ihts Mortgage would
<br />be impaired, the insurance proceeds shall be applied to Chi s•tms se.:ured hy_ thn Mortgagq wtth the e~xeesa, if any, paid
<br />ro Harrower. it the Property is abanduntd by Bonuwcr, ur rt Bon~ower lads to res ponJ ur Lender wuhm 30 days front the
<br />Jute nonce is maileJ by Lender ro Borrower that the ursurenti curriir u4irs to srttli :, claim fur insurance beoehts, tender
<br />is authorized to collect and apply the insurance procicds :rt Lender's opuon tither ur restoranmt or repair of the Property
<br />ur to cite sums secured h}' this Mortgage,
<br />t:nlres Linder and Borrower otherwise :sgt rt ~n wrmng.:mv such application a[ pro<ceds to pnnctpat shall nut exacnd
<br />ur postpone the Jue date of the nuinihiy installnrrnts rrtrrrtd to in paragraphs t ;rod '_' boreal or s.•hangc the anu+unl t+t
<br />such installments. It under paragraph f8 Fcrcat the I'rul~xny is ueyurred hp Lander, all right, title and interest ut Burrower
<br />in and to any insurance policies and in and tv the proceeds thereat r-isuhing from datnagc. to thn Pnaprrty pri,u to the s.tie
<br />~ t'i t- _+?- _1 F ex tt? LrL*-stet '.et +Et ~~.>j,. ,.. i!~ U xr~ ~s.tvl:,ai ' , .ht3 -.ai.rcG~a}c .+ +,tic++eu,ti}- r t+..r +.~ sua.c, ..,. c.r
<br />acgtdsitivn,
<br />b. Presen'aiFott and liainieaaace WF Propert}; txasebulds; C'ondoaththutrs; i'Ianrrrd knit Uevelupnrertis. 13nrrnwer
<br />shah keep the Property in good repair and stroll nut commit waste ut pzrnnt impaumem or dctcriearattun of the Prulxrty
<br />atx3 shttli comply with tfie provisions of nny Seaaz ii this Mortgage r, on a leasehold. If this Mortgage h on ,. amt m :+
<br />cosdomirnuea ar ss ptanucd amt dovelopmtnt, Burrower shalt ;xdnrm all of Boric+wer'a obhgnu,?ns under Chi dcc knvuon
<br />m' r:ovenauts creating or govetnitit the cundunnmum or planted amt develupmcut, the hy~laws anJ rogulatrom of the:
<br />iondominitutt or planned unit davelvpmzvt, cmd canstitucnt dcxuntcnrs. It a .undwnmium c,r planncJ unu de, elupatent
<br />rider is executed 6y Borrower and recorded together :vuh this Mortgage, the covenants ant .igrcentcnts „t ,uch nJer
<br />shall bi utcorpotttacd into and shalt .amend and supplement the cotenants anJ agtsenreuts ui this Murtgugc a± a the nJe:
<br />were a part hereof.
<br />7. Pratectian aF LeadeF's Security. If Bormwta ta~l+ io pcttonu !ha crtvznents aad ugrremruts cuutanxd ru this
<br />Murtgugc, or if un} action ur prorzeding is a?romanced whtch nr.uenulty .dlrc is Isn.ier's uuirest m !tri W.,pa'p.
<br />toclnding, but not limited ta, eminent domain, insalar~ncy, code caivrcemzut, „r nrr,+ngcntents of ptvccidings unvivmg a
<br />hanLLi'ugt or dccc~u, [hen Lc!rder at lsu:}et s epuca, upon notici to Beerrewcr, rna, make scch up}xarrt. zs, drsbut'sc each
<br />si4tts sou tie suoh ss4icxt '.!s is t?reel*_ary t~, nrcptc_t l._ndcr's ...._._ ,. .+~i,:d;as ht;t r.~t hrnaCJ k:, d+tt=ur<C:ni:Y. ,.
<br />[talon able. stturney''s fees anJ vary upon the Property to make rthaus tt Leudca rcymred nnxtcaxc inx.rantc as .,
<br />coudttion of inakiag the loan sertrreJ by this Martgnge, Ban+nver shxil pa}= the prem:mns ~cgcu-ed i ~ m;unta:u s,..,
<br />inbucwtee in rtlret until such time as the reyuucnunt for such ~n?uraxc !e: nrxtatzs na n-axdaurce nub Bu: mace's ,enJ
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