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-- ~ X14 06'7
<br />Uxmoaxt Covex.sxxs. Borrower attd Lender covenant attd agrez as follows:
<br />1. Payment of Principal atad Interest. Borrower shall premptiy pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and late charges as provides in the Note, and :he princinai of and interest
<br />an any Future Advances secured by this Mortgage.
<br />2 Ernmds i`or Tries and Inwramce. Subject io applicable law or to a written waiver ny Lender, Borrower shag pay
<br />to Lender on the day monthly installments of principaY and imerest 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 tbis
<br />Mortgage, and ground rents en 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 />tirrte to time by Lender on tbe basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposits or accaunis of which are insured or guaranteed by a Federal 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 grottttd rents. Lender may not charge for so holding and applying the Funds, analyzing said aaotmt,
<br />or verifying and compiling said assessttten[s and bills, unless Lender pays Bortower interest on the Ftmds and applicabh law
<br />pernvts 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 shah be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to 6e 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 Futtds and the
<br />purpose for which each debt: to the Funds was made. The Funds are pledged as additional security for the sums stxured
<br />6y this Mortgage.
<br />If the amount of the Funds held by Lender, tvgether 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 />+sse_+e_^+cnts, 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 Bocmwer nn monthly installments of Funds. if the amount of the Funds
<br />held by Lender shall not be str$teient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall par to Lender any amount necessan• 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 aB sums secured by this Mortgage. Lender shall promptly refund to Borrower arty Funds
<br />held by Lender. If under paragraph f 8 hereof the Property is sold or the Property is otherwise acquired 6y Lender, Lender
<br />shah apply, no later than immediately prior to the sa{e of the Property or its acquisition by Lender, any Funds held 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 provides vtherwise, all payments received by Lender under the
<br />Note and paragraphs ]and 2 hereof shah be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note, Ihen w the principal of the Note. and then to interest and
<br />principal on any Future Advances.
<br />4. Charges; Livers. Burrower shall pay all taxes, assessments and other charges, fines and Impositions attributable to
<br />are Property which may attain a priority :n~er this Mortgage. and leasehold payments or ground rents, if any, in the manner
<br />provided under paragraph 2 hereof oc ~f nut pard m such manner. by Borrower making payment, when due, dircetly to the
<br />payee thereof. Borrower shall prompty furnish to Lender all nouees of amounts Jue under this paragraph, and in [he event
<br />Borrcwer shalt make payment directly. Borrower shall promptly tumtsh to Leader receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien whtch has pnonty over this Mortgage: provided, that Borrower shall not be
<br />required to Jischarge any such lien so long as Borrower shall :+grec m unung Io the payment of the obligation secured by
<br />such lien in a manrxr acceptable co Lender, or shat) in goof faith conast arch lien hy, or Jefend enforcement of such lien in,
<br />lt-gal prxeedings catfish operate to prevent the cninrcement of tfte Iaen .=r ferfeuure of the Property or any part thereof.
<br />5. 8trzard Iffirrrance- Borrower shnil keep the improvements r+.ow cxtemng or hereafter erected on the Property insured
<br />against foss by fire, hazards included within the term -'cxtendeJ ruverage". and such other hazards as Gender may reyuire
<br />and in such amounts and tar <uch periods as Lender may reyuire: provide). rear Lender shall not reyuire that the amount of
<br />such coverage exceed that amount crf coverage required tv pay the umr. , .-urad by thrs :4lorgage.
<br />-i ae tnaurancc earner providing the imsurartce shall fee chosen by Borrower subject ro approval by Lender; provided,
<br />rl+at such a _oval sh~1l not be uare~snnably withheld, Atl prcmmttE~ un insurance molic+cs shall be paid In the manner
<br />provided under paragraph ?hereof or, if not pard in such manner, by Borrower making payment, wham due, directly to the
<br />insurntrce earner.
<br />AI{ insurance policies and renewals thereof shall F,e m form acceptable to LenJer and shall include a standard mortgage
<br />clause in favor of and in form acceptable [o Lender. Lender shall have the nght to hold the policies and renewals therco[,
<br />and Borrower shall promptly furnish to Lender all renewal opuses and all receipts of paid premums. In the event of loss,
<br />Borrower shall give prompt notice to the insurance earner and Lender Lender may make proof of loss it nut made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall he applied to restoration or repair of
<br />the Property dsrnaged, provided such rostorauor or repair is economically feasible and the secunp• of this Mortgage is
<br />nut thereby imparted. If such restoration or repair is not economically feasible ur d the sccunry• of this Mortgage uvuld
<br />be impaired, the insurance proceeds shall be applied to the soma secured by this Mortgage, wuh the excess, if any. pard
<br />to Borrower If the Property is abandoned by Borrower, or it Borrower fails to respvnJ to Lender wuhur 30 days from the
<br />date notice is mails) by Lender to grower that the insurat:ce carrier offers m settle a claim for uuurance henefib, Lender
<br />is authorized to collect and apply the insurance proceeds at L.ender's option either to restoraton or repair of the Prupert}
<br />or to the sums secured by this Mortgage.
<br />Unless Linder and Borrower otherwise agree m writing, any such application of pnx:ceJs to prnuipai shall not extend
<br />or postpone the due dale of the monthly installments referred to m paragraphs I and ~ hereof or change the amount or
<br />such installments. tf under paragraph I8 hereof the Properly is acquired by Sender, :dl nght, title and unerest of Borrower
<br />in and to any insurance policies and in sad to the prot•.e~Ws thcreo[ resulung from Jamage to the Property poor to the sale
<br />or acquisition shall pass to Lender to the estem of the sums secure) by this Mortgage immediately poor to Hoch sale or
<br />acquisition.
<br />~. ~seaurvation sue Msaateaaace of Propertyt i.t:aselwitb3 t=andaeriaiurax; Ptaarrred Unit I;~veloprazata. Her rover
<br />shall kCep the Penpeety in good repaie and shall ant commit waste or perrnrt impalnneat or deteriorat+on ul the Property
<br />and shall comply with the provisions of auy (case if thin Mortgage a an a IeasehoW. if this Mortgage ix on ...a ..w ..
<br />cvndominium or a planned trait Development, Borrower shatl perform all ul Borrower's obhgauons uuJcr the Je~iaiauun
<br />or covenants creating or governing [he autdominium or planned unit developnreuL the by-laws and regulation of the
<br />condominium or planned unit development, and aonstiwent Jauments. If a cmulominium or planned cant deselopu+cnt
<br />rider is exet:uted by Borrower and recorded together wuh this Mortgage, the covenants ;utd agreentenb of wch uder
<br />shall he incorporated into and sliali amend anti supplement the covenants ;md agreements of Ihrs Mortgage as it the rider
<br />were a part heeeof.
<br />7. Prolectlon of Leader's Security. !f Borrower tads to perform the covenants anal agrCCments comauied m thn
<br />Mortgage, or if any action yr proceeding is commence) which materially affects LenJer's interest in die Proper}.
<br />including, but oat limited ro, emiixn[ domain, insolvency, axle enforcement, nr arruugements or pnkecdings involving a
<br />btutkrup[ or decedent, then Lender at Lemfei s option, upon noose to Borrower, may stake such uppearaucos, Jisburx ouch
<br />suites and take ouch action as is ncx:essary to protect Leaderr's interest, including, but not IinuteJ to, disbursement ut
<br />reasonable attorney's fees and emry upon the Property to make repairs. I( 1-ender required nwrtgage imurance a+ :+
<br />ewtdition of making the loan sa.:ured Hy this Mortgage, Borrower shall pay the premiums reywred to maintain such
<br />insucanw in effce[ until such time as the requirement for such insurance terminates m accordance wuh Bonaiwcr's anJ
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