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<br />t;xi=axxt Ca.z::n*~:s. Bortower and I-ender ccveaane and carte a; ;allows:
<br />1. Payment of Printfpal and Interest. Bosrew•tr shall premv,l}~ nay w•htr. dot fix principal of and inrerest on the
<br />indeMtdress evidenrd by the Note. prepayment and late charges u provided ir, the gate. and the prfreipai of cad interest
<br />on any Futu*t .4dvaaces stcurtd b}' *.his Morzgage.
<br />2. Fonds for Tszes and Insurance. Subject to applicable law or *.a a written waiver by Lender. Borrower shall pa}•
<br />to Lender or, the day monthly installments of principal and interest are payable under the Kota unlit the Note is paid in fvlf,
<br />a s,trn (herein "Funds"i aqua! to one-twelfth of the yearl}' [axes and assessments which may attain priority ova this
<br />Mortgage. and g: nand rents an the Propem', if any, plus one-twelfth of yearly premium installments far hazard insurance,
<br />plus opt-tcve!fth of yearly premium ivstaitments for mortgage insurance. if any, ail as reasonably estimated initiatiy and from
<br />time to time by Ixader an the basis of assessments and 'oils and reasonable estimates thereof.
<br />The Furd> sha0 Fx held in an institution the deposiu or accounts of which are insured err guaranteed by a Federal or
<br />;tzie agency !including Lender if Lender is such an institution t. under shat{ apple the Funds to pay said taxes. assessmenu,
<br />tnsurance premiums and ground rents. Lender mac oat charge for sa holdin¢ and applying the Fonds. anaivzitig said account
<br />or verifying and compiling said assessments and bills, unless Lender Days Borrower interest on the Fu:tds and applicable law.
<br />pertniu Lender to make such a charge. Borrower and Lender may agree in wntivg at the time-of execution of ibis
<br />Mortgage that inurtst an the Fund; shat: be paid to Borrower. and unless such agreement is made or applicable Few
<br />rrtuirts such inmrest to ce paid, Lender shat? no; be required to pay Borrower env interest or earnings on the Funds. Lender
<br />shzll give to Borrawt:. wi[hout charge, err. annua: accounting of the Funds showing txediu and debfu to the Funds and rite
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured
<br />b}• this Mortgage.
<br />If the amount of the Funds held try Lender, together with the future monthly installmenu of Funds payable pricy to
<br />the due darts of taxes, assessments. insurance premiums and _around rents, shall exceed the atrrouvt required to pay said razes,
<br />assessmct+.u. insurance premtums and g:eund rents as they fall due, such excess shall he, at Borrowtis option, either
<br />nromntlg repaid to Borrower or credited to Barrower on monthly installmenu of Funds. I[ the amount of the Funds
<br />held by Lender shall vot be sufficient to pay taxers, assessments, insurance premiums and ground rcnu as they fall due.
<br />Borrower shad pat to ]finder arc amount necessary to make up the deficiency with[n 30 days from the date notitt is mailed
<br />by Lender to Borrower reau~ting payment therrof.
<br />CJpon payment m full of all sums secured bs- this Morteage. Lender shall promptly refund m Bonowtt nay Funds
<br />held by Lender. If under paragraph 16 hereof the Property is sold or the Progeny is otherwise acgmred by Lender, Leader
<br />shall apply, no lazer than immediately nriar to the sale of the Property or irs acquis[tion by Lender. any Ftmds held try
<br />Lender at the vine of appiicauon as a credit against the sums secured by this Mortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise. ail payments received by Lender under the
<br />Note and paragraphs I cad '_ Hereof shall be applied by Lrnder first in paymem of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, [hen to interest payable on the Note, then to the principal of the Notn. and then to interest and
<br />principal an any Future Advances.
<br />. Charger, t,ie~. Beaower shall pap all taxes. assessments and other charges, noes and impositions attributable to
<br />the Proper' which may attain a priority over this Morzgare. and leasehold pavmenu err ground rents. if any, in the manna
<br />provided tinder paragraph 2 hereof or. if not pazd in sue.*, manner. by Barrower- making payment, when due. directly to the
<br />payce thereof. Borrower shall promptly furnish [o Lender all novices of amounu due under thts paragraph. cad in the event
<br />Borrower shall make payment directy'. Borrower shall premptty famish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge sac lien which fins pnoriry over this Mortgage: provided that Borrower shall not be
<br />mqu4 ~d to discharge acv such lien so long as Borrower shall agree in w'nung to the payment of the abiigatien secured by
<br />such lira in a manner acceptable to Lender, or shall in good faith contest arch lien b}', or defend enforcement of such lien in,
<br />Iega7 proceeairgs which operate to prevent the enforcement of rite ite^ err forfature of the Property or any part thereof.
<br />-. hazard irtsurarice. Borrower shall kcep the improvements noss existing or hereafter erected en the Property insured
<br />against !ass by fire, hazards included wahfn the term `extended coverage". and such other hazards u Lender may require
<br />and in such amounts and for such periods as Leader may reyutre; provtded. [hat Lender shall oat requtre that the amoum of
<br />such cnveraee exceed that amount of coverage requited to pay the .cams secured by [has Mnngage.
<br />Toe insurance carrier providing the insurance shall be chosen by Borrower subiect to approval by Lender, provided.
<br />that such approval shall not be unreasonably withheld Al, premiums on insurance policies shall bt paid m the manner
<br />provided under paragraph ?hereof or. it no[ paid in such manner, by Borrower making payment when due. dtrcctfy to the
<br />insurance carrier.
<br />All insurance policies and renewals thereof shall 6e m form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to lender. Lender shall have the right to hold the policies and renewals thereof.
<br />and Barrower shall promptly furnish to Lender all renewal novices and all receipts of paid premiums. In the event of loss.
<br />Borrower shall give promp[ notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />by Barrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration er repair of
<br />the Property damaged, provided such restoration or repair is ecanamically feasible and the security of this Manage is
<br />not thereby impaired. If such restoratmn or repair is not economtcatly feasible or if the secunry of thts Mortgage would
<br />be impaired, the insurance proceed. shall be applied to the sums secured by this Mortgage, wuh the excess, if any, pmd
<br />to Eorrower. If the Proper[>• is abandoned b} Bcrrower, or if Borrower fails to tespand to Lendtr wrihin 30 days front the
<br />date nonce is mailed by Lender to Borrower that the insurance carrier offers to settle a claim far insurance benefits Lender
<br />is authorized to collect and apply the insurance proceeds at Lcnderb option etiher to restoration or repair of the Propern•
<br />or m the sums secured by this Mortgage.
<br />Unless Lender cad Borrower otherwise agrce m writing, any such application of proceeds to principal shall not extend
<br />or postpone [he due date of the monthly instalmenu referred to in paragraphs I and 2 hereof or change the amount of
<br />such installments. If under laragraph 18 hereof the Property is acgwred by Lendtr, alt right, title and imerest of Borrower
<br />in attd to any insuranct policies and is and to the proceeds ibereot resulting from damage w the Property prior to the sale
<br />or acgttisi[ion shall pass to Lender io the extem of the sums secured by [his Mortgage tmmediazety pear to such salt or
<br />acgtrisitian.
<br />d. Pr^sservatioa attd Alaintenance of Preperty; I.eastholds, Cnndottuniumst Planned iJnft Developments. }sorower
<br />shall kelp the Property in good ropair and shall not commit waste or permit impairment or deterioration of the Property
<br />acid shelf comply with the provisions of any lease if this Mortgage is on a leasehold. if this Mortgage is on a unit in a
<br />condomintum or a planned uvit development. Borrower shall perform all of Borrowei s ahbgauons under the declaration
<br />ar covenants creating of governing the condominium or planned uni[ development the by-laws and regulations of the
<br />condatniaitim or planned unit development, and wnstituent documents. It a condominium or planned unit development
<br />nder es executed by Borrower and retarded together with this Mortgage, the covenants and agreements of such rider
<br />shall ~ irxarporatcd into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />ware a part hereof.
<br />7. Protection of L,ewler's Security. If Borrower fails to perform the covenants and agreements contained m thts
<br />Mortgage, err if nay action err proeceding is commenced which materially affects Lender's merest in the Prapeny.
<br />~oclt~ing, but not limnetf to, eminan[ domain, insolvency. code enfdreetixnt, or arrangements err prw-eedings mvalvmg a
<br />iramltritpt or dtxedent [hen Lendtr at ;_eader's opting upon notice to Borrower, map make such appearances, dtsbarsc such
<br />sutra and take such action as is necessary to protect Lender's interest, including, but not limited to, dtsbursemcm of
<br />rrasanable azmtney's tees and entry upon the Property to make repairs. if !xnder required mangagt insurance as .,
<br />condition of maWag the loan secured by this Mart age, Borrower shall pa}' the premiums required w maintain such
<br />iaat:ta~er it cue:[ t:ntiE au_h as tl:t rPAuirtruent fat such tnsuranct terminates in accordance wan Berrawer s and
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