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<br />Udtroasl Covexnrtrs. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest Borrower shalt 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 Mortgage.
<br />Z. Ftmds for Tales and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest arc 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 this
<br />Mortgage, and ground rents on 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 estimaeed 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 insured or guaranteed by a Federal or
<br />slate agency i including Lender if Lender is such an instiwtion). Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance premiums and ground rents. Lender may not charge for so holding and nppiying the Funds, analyzing said account,
<br />or verif}'ing and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits Lendcr 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 taw
<br />requires such interest to be paid, Lender shell not be required to pay Borrower any interest or comings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose fur which each debit to the Funds was made. "llte Funds are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If the amount of tale Funds held by Lender, together 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 />assessments, insurance premiums and ground rents as they loll due, such excess shall be, at Borrowers option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly 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 within 30 days from the date notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Mortgage, Lender shall promptly refund to Borrower arty Funds
<br />held by Lender. If under paragraph 18 hereof the Property is wld or the Property is otherwise acgoired by Lender, Lender
<br />shell apply, no later than immediately prior to the sale of the Property or 'tts acquisition by Lender, any Funds held by
<br />Lender at the time of application as a credit against the sums secured by this Mottgage.
<br />3. Applkalian of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs I and 2 hereof shall be applied by 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, and then to interest and
<br />principal on any Future Advances.
<br />J. Charges; Lkas. Borrower shall pay alt taxes, assessments and other charges, fines and impositions attributable to
<br />the Property which may attain a priority over [his Mortgage, and leasehold payments ar ground rents, if any, in the manner
<br />provided under paragraph ?hereof or. if not paid in such manner, by Harrower making payment, when due, directly to the
<br />payee thereof. Borrower shelf promptly furnish to Lendet all nouces of amounks due under this paragraph, and in the event
<br />Borr<wcr shall make p,v-meat duectty. Borrower shall promptly furnish to Lendcr receipts evidencing suth f>aymtnts.
<br />Borrower shall prnmpuy diuharge any lien whiv:h has priority over this Mortgage;~provided, that Borrnwcr shah not be
<br />requirzd to discharge any such lien w long as Norruwer shall agree in writing to the payment of the ohligatian secured by
<br />such hen m a manner acaptublt to Lender. or ,hall in goad faith coolant such lien by, or defend rniarcemem of such lien in.
<br />legal pn;Y:rcdings which optrue to prevent the enfurcemrnt of the Iitn ur furfnitt+tr of the Property nr uny part thereof.
<br />5. llaxard lasurante. Borrnwcr chat) keep the nnprovemenis nRw° uisGng ar hereafter erected an the Property +natrad
<br />against hiss 6y fire, hazards included wnhtn the term "extendrJ coverage'", and such other hazards as Lendcr may rtyuut
<br />and in such amounts anJ fur such p~•rBsds a Lendcr muY rcyuira; pruv^iclarl„ Chat Lendat shalt not require that the amount of
<br />such ctrvarage ezcecd that amount of coverage required m pay the Rums secured by this Mortgage.
<br />The insurance carrier providing the insurance shall isr chosen by Barnrwer subject to apprartt by Lender: pnzvtded,
<br />that such approval shall no[ be unrcasunahly withheld. .All premhtms on insurance policirs shalt hr paid m the manner
<br />provtded under paragraph :hereof ur, if nut pail in such manner. by Borrower making payment, when due, directly !u the
<br />insurance carrier.
<br />All insuranw policies and rcnewuls thereof shall be in form uccept+hle to Lender ,mJ shall mcluJe a ,tanJard mortgage
<br />clause in favor of and m form acceptahle to Lender. Lendcr shall have the right to hold the puliaics and ranewuls thercoL
<br />and Harrower shall promptly furnish to Lendcr all renewal nouces anJ elf receipts al pail premwmc. !n the event of Ins,
<br />Borrower shall g+ve prompt nonce to the insurance earner and I_endec Lender ma} makr pr art of laps d not made prompttc
<br />6y Borrower.
<br />Unless 1_ender and Bornwer otherwise agree in wrihng, insurance prcueeds shall be applied to restoration or repair of
<br />the Property JamageJ, proviJcJ such restoraton or repuu is reunomically ltustbla mrJ the ucunty of this Mortgage i,
<br />not thereby impaired. If such restornnun or repatr is not economically tausthle or it the sacunty of ihts Mortgagr would
<br />be impaired, the msuraner proceeds ,hail bt appiiecf to the sums secure) by this Mortgage. wnh the excess, if :my, paid
<br />m Borrower IY the Propnrt }~ a abandoned h} 8orrowcr, ar ~t Borrnwcr tads nz respanut k+ i ender wnhw 30 days tram the
<br />Jate notrce w mauled h}' Lander to Burrower that the inaurancr carrier otters w ,cute a claun for nr,urunce henefiu, Lendcr
<br />u authonreJ to collect ar.J apply the insurance pnrcteds at t.enJt is npuvxt ttaher nv rrataranon ,rr rtpau of the Ptnpem
<br />or to the sums urcurrd by this Mortgage.
<br />Unka- Lender and Borrower othervlst age to ui wrung, any such application ul pnx~ceds to pru+cgz;d shalt run rx.lcnJ
<br />ur txistpone the due date ut the nuuuhty imtullasrnts refrt red to m paragraphs i anvi herrol or ;hangs the amuune rt
<br />such utstullmtnu. U under paragraph 18 boreal the Property .., ucupuraJ by Lander, all eight, ode attJ unerrst of Burrower
<br />in and to any msuratrct pohcttn and to auJ to cite peoceevls thurtut rrsulunt; from damage to the Praptrt} prior to the cola
<br />ur acywstttan shaft frays to LctitWr m the aarent ,ri the vunu eawret7 u} this 'vhutgaga :ntu;[ahair-!} pour !, vir<'h sale o+
<br />acyuisnioo.
<br />6. Preservation and !vlaiafrnanet of Property; Ltaarhulda; Coadumiaiunta: Piaturtd 1'tdl Ut+tHrpmeuu. 11urr« ewer
<br />shall keep the Pcoixrty in guwd repair and shalt neat commit waste ar permit mspaumem ar Jttartorauou ai the Isrulrerty
<br />tu+d shall eompl}' wnh rfia proviswns of ens feast a this Mottgage is wt a leasehold- ft ttus Muugage a on a ,out m a
<br />condominwm ur a planned amt Jtvtlupment, &rrrowrr shill panurm all of Burrawrr's ~,hhguuonv undrt the decl:u noun
<br />ur cavcmmtx ucuung or govetnmg rtce autdununuim or planned nnu Juvatopmmu, fire- bylaw. anJ rcgalatiuu, ul the
<br />cundummium or pianm:d urn development. anJ oonstiuitnt Jiuumenrs Ii a :andununium ur pLinneJ ~uut Jev clopmrn!
<br />nder is cztauted by Bortuwer and recorded iogethtr wish this Mortgage, the cuvrnants anJ agrcemeNs of such nder
<br />shNf be mrorpauated into and shall amend and wpplenicnt ihr cusenants and agreentrnts ut ihn Mortgage as it ihr nder
<br />wire a part hereof.
<br />7. PrMcetion ut Leadtr's Security. If &srruwer fade to perform the azvrnanty ;rod ugrecmenec contauu•d m ihn
<br />Mortgage, ~x if uny action or pruacedmg is commmtced which materiallg :dfecty Leader's mrcrcct in the P•olren},
<br />including, bin nut titmtad tu, enunent domain, insolvency, rude enlarcement, or arrangements +rt prereccJiags nrvulvmp :t
<br />bankrupt or decedent. then tender rat LenJer's option, upon ounce m Borrnwcr, may make such appeurnncts. Jishurse wch
<br />sums and take such action as is necessary to protect Ltndrr's interest. including, but not limited as, ulishursemrnt ut
<br />reasonable unomeY's fees and entry upon the Property to make rrpaus. If Lender rcyuircd nurrtgagr invurance a. ..
<br />canditiun .af making [hc lean secure) by this ,Siartgage, Borrower shall pay [hc prtiniums rrymrcJ to maintain such
<br />insurance in etf.:.t until such time a" the rayuirement far such insurance trrmmutes m accunianet wdh Ba. o,wrr', and
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