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~0- i~0457~
<br />IJNIFORh[ CovE?:ntars. Borrower and Lander covenant and agree as follows:
<br />I. Payment of Principal and Interest. Borrawer shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note. prepayment and late charges as provided in the Note. and the principal of and interest
<br />on any Future Advances secured by this Mongage.
<br />2. Fends for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender. Borrower sha17 pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />z sum (herein "Funds") equal to one-twelfth of the c•early taxes and assessments which mac attain priority over this
<br />Mortgage, and ground rents on the Property. if ant', plus one-fweffth of yearly premium installments for hazard insurance,
<br />plus one-twelfth of yearly premium installments for mortga¢e insurance. if any, all as reasonably estimated initially and from
<br />time to time by Lender on 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 4nsured or guaranteed by z 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 ground rents. Lender may not charge for so holding and applying the Funds. anahzittg said account,
<br />or verif}•ing and compiling said assessments and bills. unless Lender pays Borrower interest on the Funds and applicable law
<br />permiu 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 law
<br />requires such interest to 6e paid, Lender shall not be required to pay Borzower am• interest or earnings on the Funds. Lender
<br />shall give to Borrower. without charge, an annual accounting of the Funds showing credits and debiu to the Funds and the
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for foe sums secured
<br />by this Mongage.
<br />if the amount of the Funds held by Lender. to¢ether with the future monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground renu. shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums aztd ground rents as the}' fall due. such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credited to Borrower on monthy installments of Funds. If [he 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 necessan• to make up the deficienev within 30 days from the date notice is mailed
<br />b}' Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured b}• this Mortgage. Lender shall promptl}•~ refund to Borrower any Funds
<br />held by Lender. If under paragraph IS hereof the Property is so:d or the Propetty is otherwise acquired by Lender, Lender
<br />shall apply, no later than ittunediately prior to [he sale of the Propem• or its acquisition by Lender. any Funds held by
<br />Lender at the time of application as a credit agaznst the sums secured bg this Mortgage.
<br />3. Application of Payments. Unless applicahL° law provides otherwise. all paymenu received by Lender under the
<br />Note and paragt~phs 1 and Z hereof shall be applied b}• Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph ?hereof, then to interest payable on the Note, then to the principal of the Note, apd then to interest and
<br />principal on env Future Advances.
<br />4. Charges; Liens. Borrower shall pay all taxes. assessments and other charges, fines and impositions attributable to
<br />the Ptopem~ which may attain a priority over this Mongage. and leasehold paymenu or ground rents, if any, in the meaner
<br />provided under paragraph 2 hereof or. if no[ paid in such manner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall promptly furnish to Lender all nouces of amounts due under this pazagraph, and in the event
<br />Borrower shalt make payment directly, Borrower shall nmmptly fumish to Lender receipts evidencing such payments.
<br />Borrower shall prampti}• discharge any lien whtc6 has pnority over this bfottgage: provided. that Borrower shall not be
<br />required to diuharge any such Gen sa long as Borrower shall agree in w•riung to [he payment of the obligation secured by
<br />such lien in a manner acceptable to Lender. or shall in good faith contest such lien by, or defend enforcement of such Iien in.
<br />legal proceedings which operate to prevent the enforcemem of the Len or forfeiture of the Property or any pan thereof.
<br />E. Aaaard Insurance. Borrower shall keep the tmprovemmts c.,.~ existing or hereafter erected on the Property insured
<br />against loss by fire. haz=rds included within the torm "extended CovCragz' , and such ether hazards as Lender may require
<br />and in such amounts and for such penods as Lender may regmrc; provided. that Lender shall not require that the ambunt of
<br />such caverage exceed That amours: cf :overage required to pa}' the sums ecured h} ;..^.ts Mo^gage.
<br />The insurance cazrier providing the insurance shall be chosen by Bonower subject to approval by Lender. provided.
<br />that such approve! shah not be unreasonably withheld. Afi premiums on insurance policies shalt be paid m the manner
<br />pro-vidrii under paragraph ~ hereof or. tf pat paid in sueh manna;, b}- Barrpw-~t making pa}~tnent. when due, dtrr-tiy to thz
<br />insurance carrier.
<br />Alt insurance polfctes and renewals thereof shall be in form acceptable to Lender and shat! include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the polines and renew•a!s thereof.
<br />and Borrower shall promptly furnish to Leader all renewal nouces and all receipts of nerd prcmtums. In the event ai loss.
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make pron. of loss ii pat msde prompu}
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration ar repair of
<br />the Property damaged, provided such restoration or repair is economicall}' feasible and the secunn• of this Mortgage n
<br />not thereby impaired. If such etstoraton or repair is not economically feasible or if the secunq~ o[ this Afangage would
<br />6e impaired, the rpsurance proceeds shall be applied to the sums secured by this Mortgage, wuh the excess. if am', yard
<br />to Harrower. !f the Proms-t•[y is abanden!~ by Harrower, or if Borrower tails to respond to Lender wtthty }p days from the
<br />date notice is mailed by Leader to Borrower that the insurance carrier offers to settle a datm far msurapce benefits, Lender
<br />is suthorized to collect and apply [he insurance proceeds at Lender's option either to restoration or repatr of the Property
<br />or to the sums secured by this Mortgage.
<br />Unless Lender abd Harrower otherwise agree m writing, any such application of proceeds to pnncrpal shall not extend
<br />or postpone the due date of rho monthly installments referred to in paragraphs I and 2 hercot or change the amount of
<br />such installments. If under paragraph 18 hereof the Property is acquired by Lender, all rigbt, title and interest of Borrower
<br />in and to any insurance policies and in and to the procceds thereof resulting from damago [o the Propeny pnnr to the sale
<br />pt acgtYsitipn shat pass [o Lander to [he eaten[ of the suttts secured by this hlpngatto immediately prior to such sale or
<br />acquisition.
<br />b. 1'raservatfoa and Maiotenana of Property; Leascholdr, Condominiums; Pitnned Unit ISevelopmenu. Bo. rower
<br />shall'keep the Property io good repair and shall not commit waste or permn impairment or deterioration of the Property
<br />and shall rnmply with the provisions of any (ease if this Mortgage is op a leasehold. if this Mortgage is on a unit in a
<br />condominium ar a planned tint[ development, Borrower shat) perform all of Borrower's obLgations under the declaration
<br />of covenants creating ar governing the condominium or planned unit development, the by-laws and regulations of the
<br />condominium or planned trait development, and constituent documents.. If a condominitm or planned unit development
<br />rider is executed by Borrower and recorded together with this Mongage, the covenants and agreements of such rider
<br />shall he itxorporatod into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
<br />were a part hereof.
<br />7, Pmtatfan of Leadee's Security. If Borrawer fails w perform the covenants and agreements contained in this
<br />Mortgage, or if any action or procetdiag is commenced which materially affects Lender's interest in the Property,
<br />utcltsding, brit pat limited to, eminem domain, iusolvenc}•, code enforcement. or arrangements or proceedings involving a
<br />bats:rapt ar de[t, than Lender at Lrader's option, upon notice to Borrower, may make such appearances, disburse such
<br />- -- - - - - - n as s; pr,.assary to p:atcct Lender's interest, inciudiag. bu: not limited to, dtstrursemem of
<br />s'~ azni t~`~ >~, h act,:.
<br />rcaaprt~lc attnrnev s fees and entry upon the Propem to make repairs. If Lender required mortgage insurance as :,
<br />condition of tnalciag the loan secured by this Mortgage, Borrower shall pay the premiums regmred to maintair, such
<br />insurance in effect until such time. as the requitement for such insurance terminates in accordance w•tth Borrowers and
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