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;Jtit;•avx: Co'.~~~nais_ Borrower sad L-ndcr co,enam and egret as fo;iows:
<br />I. Pasmeat of Priadpat sad IrrtertsL Borrower steal; p;amovr pay whrn ds>r the principal c: and interest an list
<br />indebtedness evidenced by the Note. p;epaymrnt and late charges as provided In the 'rote. and the principal of and mtertst
<br />an arty Future Advances secured h}' this Mortgage.
<br />Fends for Taxes and Ittsvraace. Subject ro applicable law or to z w[-ittrn waiver by Lender. Borrower sha33 pay
<br />:a Lender on the day manth':y :asta;iments of principal and interest are parable under the Note. unfit the Nat is paid in fuki.
<br />a sum (herein "Funds". equal to one-twelfth of the yearly taxes and assessments which tray attain priorir' over this
<br />Mortgage. and around renu on the P: opera'. if any, alas one-twelfth of :early premium instzilm^nu for hazard insurance.
<br />pins one-twelitb of yearly premium installmenu for marzgage insurance. if any. ail as reasonably estimated initially and from
<br />time za lime by Lender on the basis of assessments and bills xnd reasonable estimates tlte:eof.
<br />Tae Funds shall be held ir, an instizution the deposits o: accounu of which are insured or guaranteed by a Ft,derai ar
<br />state agency tincindine Conner if Lender is such an institution 1. Leader shall apply the Funds to pay said taxes, assesruttenu,
<br />msuraace premiums and ground renu. Lender may not charge for so holding and applying the Funds. analvting said accotmt,
<br />or verifying and compiling said zssessmenu and bites, unless Lender pays Borrower interest on the Funds and applicable taw
<br />pezmiu l.erder to make such a charge. Bonower and Lender may agree in writing at the dine of execution of this
<br />Mortgage that interest or: the Funds shall be paid to Borrower. and unless such agreement is made or applicable law
<br />requires sac:^. interest to be paid. Lender steal( not be required to pay Borrowe,- any interest or earnings on the Funds. Lender
<br />shad give to Borrower. without chazee, an annual accounting of the Funds showing credits and de6iu to the Funds and the
<br />propose for which each debt[ to the Fords was made. The Funds are pledeed as additional security for the sums severed
<br />by this Mortgage.
<br />If the amoant of the Funds held by Lender. tagether with the future monthly installmeau of Fords payable prior to
<br />the due dates of taxes, assessmepu, insurance premiums and ground renu, shall exceed the amount required to pay said taxes,
<br />asses. amen*~ an~e pretti!~m_ ~^d z ourd r ^.u as then fa!! d>-:.. such e..tess steal: w t Borrewt:'s apticn, a;•he:
<br />prompter renaidl'to Borrower or credited to Borrower on monthly installmenu of Funds. If the amount of the Funds
<br />held ov Lender shall not be st[fficient to pay taxes. assessmenu, insurance premiums and ground renu as then fall due.
<br />$orrowe: shall pay to Lender nay amount necessan~ to make up the denciency within 30 da}s tram the date notice is mailed
<br />by Lender to Harrower regtrestiag payment thereof.
<br />upon payment in full of all sums secured by thts Mortgage. Lender shall promptly reload to Harrower any Funds
<br />held by Lender. if under paragraph 26 hereof the Property is sold or the Propene Is otherwise acquired by Lender, Lender
<br />shat' apply, no later than immediatey prior to the sale of the Propem- or Its acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit aeams2 the sums secured 6c thts Mortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise. ail payments received by Lender under the
<br />Note and paragraphs ]and 2 hereof shall be applied by Leader first :n payment o: amounts payable to Lender by Horrower
<br />under paragraph 2 hereof, then to interest payable an the Note. then to the principal of the Note, and they to interest and
<br />principal on any Future Advances.
<br />3. Charges: Leos, Borrower shall pac all :axes. assessmenu and other charges, fines and Impositions atvibutable to
<br />[he Property which tray attain a pnorir' over this Mortgage. and leasehold payments or ground rents. if any, in the meaner
<br />provided under paragraph hereof or. d not paid in such manner. by Borrower making payment. wittn due, directty to the
<br />payce thereof. Borrower shall promptly fumtsh to Lender all nouces of amounu due under this paragraph, and in the event
<br />Borrower shall mzl:e payment directly. Borrower shalt promptly furnish ro Lender receipts evidencing such payments.
<br />Harrower shall prnmptiy discharge any lien w~hmh has pnonn• over this Mortgage: provided. that Borrower shall not be
<br />regtti*ed to discharge any such lien so long as Borrower shall agree in venting to the payment of the obligation secured by
<br />such lien in a meaner acceptable to Lender, or shall to good faith contest such lien by, or defend enforement of such lien in.
<br />legal proceedings which operate to prevent the enforcement oI the Lien ar forfeiture of the Property or nay pan ehermf.
<br />S. $arard 1~+•e~ Borraw~ez c_hall ketp the Imgrovemenu now existing cr her_atter errted an the P:cpcny =.nsured
<br />agarnst ions by lire. hazards included within the term "extended coverage". and such other hazards as Lender ma} require
<br />and in sorb xmeunu and for sucir ptriads as Lender mac requtrc: provided, that Lender =_hall not ;eq-vir that the amauat r:f
<br />such coverage exceed that amount of coverage requred to pay the sums secured by this Mortgage.
<br />Ta^ tasurance carrier prov^:dine the msurznr_ shat! bs thostn b=• 9o:rnw•er sube:t to approve: be Lender: c; ovid:d,
<br />that such approve! shall not ix unreasonab!}• withheld. ,411 premiums on insurance policies shall bt said In the manner
<br />provided under paragraph 2 hereof or, if not yard in such manner. by borrower making payment, when due, directly to the
<br />inst[ra~e carrier.
<br />All insurance policies and renewals thereof steal! be ~in form acceptable [o Leader and shall include a standard mortgage
<br />da•IC^, in favor of and in farm acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof,
<br />and Borrower shall promptly furnish to Lender all renewal nouces and al] receipts of paid premiums. In [he event of loss.
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made promptl7
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance procceds shall be applied tp restoration or repair of
<br />the Propert}• damaged, provided such res[ora[ion or repair is economicall}• feasible and the security of this Mortgage is
<br />not thereby impaired. If such restoration of repair is not economically feasible or if the sectrray of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied [o the sums secured 67 this Mortgage. wnh [he excess, if any, paid
<br />to Borrower. if the Propeny is abandoned M' Borrower, or if Borrower fails to respond to Leader within 30 days tram the
<br />date notice is mailed by Lender to Borrower that the iostrrance carrier often co collie a claim for insurance benefiu, Lender
<br />is authorized to collect and apply the insurance proceeds at Lendei s option either to restoration or repair of the Property
<br />or [o Gre st[ms secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agme in writing, any such application of proceeds to principal shall not extend
<br />or postpone the due date of the monthh' installments referred to in paragraphs 1 xnd 2 hereof or change the amount of
<br />such ins[allmeau. If tinder paragraph 18 hereof the Property is acgwred by Lender, ail right, title and interest of Borrower
<br />in and w any insurance policies and is and to the proceeds thveof resulting from damage to the Property prior to the sale
<br />or acgtusition shall pass to Lender to ibt extent oI the sutras secured by this Mortgage Immediately prior to such sale or
<br />atqui;;ifiar..
<br />5. Pteservafion sad !Naia[etsaace of Property; Leaseholds; Condominiums; Plamsed Unit Development. Borrower
<br />shall keep the Property in good repair and shall not commit waste ar permit impairmem or deterioration of the Property
<br />and shall comply with the provisions of any lease i[ this Mortgage is on a leasehold. If this Mortgage is on a unit in a
<br />condominium or a planned amt deve;opmea4 Borrower shall perform all of Horrowei s obligations under lire declaration
<br />or covtneat creating or governing the condominium or planned unit development, the by-laws and regulations of the
<br />condominium or planned unit development, and constituent documents. If a condominium or planned amt developmem
<br />rider is executed by 13armwer sad recorded together wnh this Mortgage, the covenanu and agreements M such rider
<br />shall t:e incorporated into and steak amend and suppitmtnt the covenants and agreements of thrs Mortgage as If the rider
<br />were a par[ hereof.
<br />7. Pzeitc6an off Lemier's Security. If Borrmver fails [o perform the covenanu and agreemenu contained in this
<br />Mortgage, or if any aetian or proceedipg is commenced which materially affscts Lender's interest in the Propery.
<br />:ncludi[tg, but not limited to, cmirxnt damaia, insolvency, code enforcement. or arrangements pr proceedings involving a
<br />bankrupt or decedent, then Lender at I..eadei s option, upon notice to Borrower, may make such appearances. disburse such
<br />sotto sad take such action as is necessary to protect Lender's interest, encl. drag, bw no[ limited to, dlstrunemem of
<br />reasonable atwmey's fete and entry upon the Property to make repairs. If Ltttder required mortgage insurance as e.
<br />condition of making the loan sectued by this Mangage, Borrower shalt pay the premiums regwred m main[am such
<br />insuraa-nos in s$sct until such tint as the rsqusencnt far such insurance tsmunatts m accotdanex w~nh Barrawer's and
<br />~' ~i t, r' ' n ..,..og
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