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$Qr~~v4332
<br />UN(FOeZM CorENnn-rs. Borrower and Lender covenant and agree az follows:
<br />Y. Paymnnt of Prfocipsl acrd Laerest Bonower shalt pramptk pap wfien due the principal of and inures[ on the
<br />indebtedness evidenced by the Note, prepayment and !au charges as provided to the Na[e, and the principal of and interest
<br />on any Future Advances sectrrtd by this Mongage.
<br />2. Funds for Taxes and 7ostrraace. Subject to applicable law or to a writun waiver by Lender, Borrower shalt pay
<br />to Ixnder on the dap monthly installments of principal and interest are payable under the Noie, until the N¢te is paid in full,
<br />a sum (herein "Funds") equal to one-twelfth of the ytarly taxes and assessments which may attain priority Deer this
<br />Mortgage. and ground rents on the Propetry, if any, plus one-twelfth of yearly premium installments tot hazard insurance,
<br />plus one•twelfih of yearly premium installments for mottgage insurance. if arty, all as reasonably estimated initially and from
<br />lime to time by Lender oo 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 guaranteed by a Federal ar
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said raze, 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 Fuads~and applicable law
<br />permits Lender to make such a charge. Borrower and Lender may ag2e in writine at the time of execution of this
<br />Aortgage that interest on the Funds shall 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 ¢r earrtines on the Funds. Lender
<br />shall give to Bonower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for uhich each debit to the Funds was made. The Funds are pledged as additional security for the sums secured
<br />by this Mongage.
<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, azsessments, insurance premiums and. ground rents, shall exceed the amount required to Day said taxes,
<br />assessments, imurance 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 Borrower on m¢n[hly installments of Funds. If the amount of the Funds
<br />held by Lender shall 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 wi[hin 30 days from the date notice is mailed
<br />by Lender to Borrcwer requesting payment thereof.
<br />Up¢n payment in full of all sums secured by this Dfortgage. Lender shall promptly refund to Borrower any Funds
<br />held b}• Lender. If under paragraph ] 8 hereof the Propeny is sold or the Propeny is otherwise acquired by Lender, Leader
<br />shall apply, no later than immediately prior to the sale of the Propem• or its acquisition by Lender, any Funds held b}•
<br />Lender at the time of application as a credit against the sums secured b}• this Btortgage.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paraeraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts parable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Nore, then to 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 aver this Mongaee. and leasehold payments or ground rents, if am•, in the manner
<br />provided under paragraph 2 hereof or, if not paid in such manner, by Borrower makine pa}mtent. when due, directly to the
<br />payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly. Borrower shall promptly fumish to 1_ender receipts evidencing such payments-
<br />Borr¢wer shall promptly discharge any lien which has pnonty over this Mongage; provided. that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shall agree in u~riung to the payment cf the obligation secured by
<br />such lien in a manner acceptable rn Lender, or shall in good tatth contest such lien by, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the ben or forfenurc of the Property or any part thereof.
<br />S. Hazard lasuranee. Borrower shall keep the improvements nosv existing or hereaftu erected on the Property insured
<br />agaivst lass by Ore, hazards included within the term '"extended coverage"'. and snch ¢ther hazards as Lender may require
<br />and in such amounts and for such periods as Lender may require: protaded, that t_endzr shall net require that the amount of
<br />such ~¢_ age c., eel *hat amount ¢( ccveragt :equL-td tc pay the some -- urzd by this ;vfongage.
<br />Thenfnsurance carrier providing the insurance shat) be chosen by Aonowtr subject to approval by Lender; provided,
<br />that such approval shall not be unreasonably wi[hheld. .qli premmms en insurance policies shall he paid in the manner
<br />provided under paragraph 2 hereof or, if not paid in such manner, 6y Borrower making payment, when due, dtrectly to thy.
<br />insurance carrier.
<br />All insurance policies and renewals thereof shall 6c in form acceptable to Lender and shall include a standard mongage
<br />clause in favor of and in form acceptable ro Lender. Lender shall have the right to hold the polices and renewals thereof,
<br />and Borrower shall promptly furnish t¢ Lender all renewal notices and all recetpts of paid premiums. In the event of loss,
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss it not made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration ar repair of
<br />the Proporty damaged, provided such restoration er repair is economically feasible and the securiq• of this Mongage is
<br />not thereby impaired. If such resto.-atiou or repair is not economically (zasi6le or tf the security of this Mortgage would
<br />be impaired, the insurance proceeds shall 6e applied to the sums secured by this Mongage, with the caress, if any, paid
<br />to Borrower. if the Property is abandoned by Borrower, or i( Borrower fails to respond to Lender within 3U days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier offers tc settle a claim for insurance benefits, Lender
<br />is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br />or to the sums secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds tv prmcpal shall not extend
<br />or postpone the due date of the monthly installments referred tv in paragraphs 1 and Z hereof or change the amount of
<br />such installments. If under paragraph 18 hereof the Propeny is acquired by Lender, all right, utle and interest of Borrower
<br />in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the exunt of the sums secured by [his Mertgasc imttxd:ate!y prior to such salt nr
<br />acquisition.
<br />6. Preservation earl Maintenance of Frvpeny; Lrasefiaidr, Condominiums; Planned unit Iyevrlvpntents. Borrower
<br />shall keep the Property in good repair and shag not commit wasce or permit impairment or deterinrauon of the Propeny
<br />and shall ¢¢mply with the provisions of any lease d this Mongage s on a leasehold. if this Mongage is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform all of Borrower's obligauons under the declar:aion
<br />or covenants creating or governing [he condominium ar planned unn development, [he bylaws and regulations of the
<br />condominium or planned unit development, and constituent documents. if a condominium ar planned unn development
<br />rider is executed by Borrower and recorded togttbu with this Mortgage, the covenants and agreements of such rider
<br />shall be incorporated into and shall amend and supplemem the covenants and agreements of this Alongage as if the rider
<br />were a part hereof.
<br />Z. Protection of Lerxier's Security. If Bonower fails to perform the covenants and agrtemen[s contained in this
<br />Mortgage, ar if any acUOn or proceeding is commenced which materially alfec;ts Lender's mteres[ in the Property,
<br />including, but not limited to, eminent domain, insaivency, code enforcement, or arrangements or proceedings involving a
<br />bankrupt or decedem, then Leader at Lender's opting upon rxtlice to Borrower, may make such appearances, d:56urse such
<br />sums and take such action as is necessary to protect Lender's interest, including. but oat limited m. disburemeni uC
<br />CtaSanablt attomty~ Errs anal entry upon the Propeny to make repairs. !f Lender reyaired mortgage insurance as a
<br />condition of making ibe loan secured by this Mongage, Borrower shall nap the premiums reyu:red to mamta:u such
<br />insurance in effect until such time as the requiremem for such insurance terminates m accordance wnh Borrower's and
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