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~0-- 005042
<br />UNt2oRM Covt;,tnxz•s. Borrower and Lender covenant and agree as follows:
<br />1. Payvrent of Priacipnl and Interest. Borrower shall promptly ply when due the principal of and interest an zfie
<br />indebtedness evidenced by the Note, prepayment and Tate charges as provided in the Note, and the principal of ann interest
<br />aft any Future Advances secured by this Mortgage.
<br />Z. Fatale for Tomes and inraittmce. Subject to applicable taw or to a written waiver by Lender, Borrower shalt pay
<br />to Lender on iha day monthly installments of principal and interest are payable under the Nate, until the Note is paid in full,
<br />a atnn°fherein "Funds") equal [o ore-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 oruwtweHth of yearly premium installments for mortgage insurance.tf any, a0 as reasonably estimated initially and from-
<br />time to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />'17te Ftinds shall be held in an institution the deposits or accannts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institutian I. I-ender shall apply the Funds to pay said taxes, assessments,
<br />insurance pretniutna and ground rents. Lender may not charge for so holding and applying the Funds, an9lyzing said account,
<br />of verifying and compiling said assessments and 6iISs, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits Lender to make such a charge. Borrower and Lender may agree in writing at the time vi execution of this
<br />Mortgage that interest on the Foods shall be paid to Borrower, and unless such agreement is made or applicable law
<br />t,a)tdte5 such interest to be paid, Lender shall not he required to pay Bortower any interest or earnings 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 for which each debit to the Funds was made. 71te Funds are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If the amount of the Funds hUd by Lender, together with the future monthly installments of Funds payable prior to
<br />[he due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />assegtrients, insurance premiums and ground rents as they fall due. such excess shall be, at Barrowei s option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly instaBmenu 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 Letuier to Borrower requesting payment thereof.
<br />Upon paytttent in full of all sums secured by this Mortgage. !.ender shall promptty refund to Borrower any Funds
<br />held by Lender. If under puagrap6 18 hereof the Propen}• is ;old or the Property is otherwise acquired by Lender, Lender
<br />shall apply, do later than immediately prior to the sale of the Property or us acquisition by Lender, any Funds held by
<br />Lender a[ the time of application as a credit against the sums secured by this ,\tongage.
<br />3. Axiiettaion of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs t and 2 hereof shall be applied 6y Lender first m payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Noce, then to the principal of the Note, and then to interest and
<br />principal oa any Futwe Advances.
<br />4, Cues- LLeos. Borrower shall pay all taxes, assessments and other charges. fines and impositions attribu[ahle to
<br />[he Property which may attain a priority over this Mortgage. and ieasehvid payments or ground rents, if any, in the manner
<br />provided tinder paragraph 2 hereof or. d not paid in such manner. h} Borrower making payment. when due, directly to the
<br />payee thereof. Borrower shalt promptly furnish to tender ail notices of amounts due under this paragraph, and in the event
<br />Borrower shah make payment ditectty, Barrower shall promptly furnish to Ixnder receipts evidencing such payments.
<br />Borrower shat promptfy discharge any lien 'which has pnonty over this Mortgage; provided. that Borrower shall not be
<br />regtured to discharge any such lien sa long as Borrower shall agree in writing to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender. or shall in gaud faith conrest such lien by. or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement o[ iha hen or forteuure of the Property or any part thereof.
<br />S. Harald htttatrance. Borrower shall keep the improvements raw existing ar hereafter erected an the Property insured
<br />against loss by fire, hazards included within the rerm "extended coverage". and such other hazards as Lender may require
<br />and in such amounts and for such periods as Lender may require; provided, that Lender ,hall not regmre that the amaunt of
<br />Birch coverage exceed that amount o£ cewerage rFquued to pay the sums secured hp this Mortgage.
<br />The irauratrce carrier providing the insurance shall be chosen by Borreuer subject to approval by Lender; provided,
<br />that wch approval shat! not be unreasonably withheld All premmms on insurance policies shall be paid m the manner
<br />provided under paragraph 2 hereof ar, if not paid in such manner, by Borrower making payment. +vhen due, directly to the
<br />instuance carrier.
<br />AB insurance policies and renewals therevi shall be in farm acceptatrle m Lender and shall include a standard mortgage
<br />datise in favor of and in form aeetptable to Lender. Lender shall have the right to hail the policies and renewals thereof,
<br />acrd Borrower shalt promptly furnish to Lender all renewal notices and a!1 receipts o[ paid premiurm. In the event of lass,
<br />Borrower she!! give prompt notice to the insurance farrier gad Lender. Lender may make pnnu of loss it oat made promptly
<br />b'i Borrower.
<br />LoLess Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration yr repair of
<br />the-Property damaged., provides such restetation err repair is ecanvmically teasibic and the security of this Mortgage is
<br />trot thereby impaired If such restoration or repau is not ecvnamically feasible or it the security of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to the sums secured b} this Mortgage, with the excess, if any. paid
<br />to $orrowtr. Lf the Property is alaaridaaccf h} Borrawct. or it Borrower tali, to respond to lender within 30 days from the
<br />date twCici is mailed by Lender to Barrawcr that the insurance c:trnee offer tv sauce a claim far insurance txne6ts, L ender
<br />is authorized to txllect and apply the utsutance prtaceeds at Lender's option etcher io restoration or repan of the Properq
<br />or to the stuns secured by this Mongsge.
<br />Unless Leader nod Borrower otherwise agree m writing, aria such application of proceeds to principal shall not extevd
<br />ar postpone the due date of the monthly instalimentc referred to in paragraphs ! and '_ hereof or chance the amount of
<br />such itssdalltraenfs. If under paragraph i 8 hereof the Property is acqurred by Lender. ail right, title and interest of Borrower
<br />in gad to any instiranee ptaiic;es and in gird to the procec~tts thereof resulting f turn damage to the Propnn} prioc to the sale
<br />ar acquisition shall peas to Lender to the extent of the sums secured by this Mortgage immediately' poor to such sale or
<br />acquisition'
<br />6 Pnatevalloa girt Maiotewaree of Property; Leaseholds: Condominiums; Planned Unit Developments. Borrower
<br />shall keag the Property in good repair arkt sltail oat commit waste yr permit imgaiintent or deterivrativn vt the Propeety
<br />gad shall comply with the provisions of any lease if this Martgagc ,s on a lease-hold. IC this ~iangage is on a unit in a
<br />eondnrninium at a glanced unit devtlcapntent, Borrower snail perform alt of Borrowers abhgazians under the declaration
<br />or covenants creatt~ ar goverrt!ng [hc contlominmm or planned unit development, the by-fawn and regulations of the
<br />t:otadominittm or planned unit development, and constftuem docurrnnts. it a candommium or planned unit development
<br />ride; is e1[CCnted lay Btrrower and ra:ordr:~f together vv'nlt this Mangage, the covenants and agrcemems of such rider
<br />shaLi-be incorporated into and shall amend and supplontem the rmenarus and agreements of this Mortgage as i( the rider
<br />a pan hereof.
<br />7. PaNacKan of Lender`s Sceurity. If Barrow•er fails to perform the covenants end agri;emeots contained m this
<br />MOryagrt:, or if arty action ar proceeding rs enmmenced which materially affects Lender's interest in the Prv+pen}.
<br />ittetttdittg, but ttcu limited to. eminem domain, iusvlacncy, cede enforcement, or arrangeme;its er proceedings involving a
<br />bankrupt or atecedent, then I.ettder at Lentler'a optic+n, upon notice to Borrower, may make Bitch appearances, dtsbure su.;h
<br />Burns apd take such action as is necessary to protect Lender's interest ui•~Iuding, but nut limned ur, disbursem vt ,+t
<br />reasortabic attotaey's fee`s and entry upon the Properly to make repair. ti Lender required mortgage insurance a•. a
<br />condition of making the loan sectred ;y this Mortgage, Borro.y:r shall pa} the pramntms reyuued to maintain ,uc:h
<br />imwance in e$ect tmtil such time as the ttiquirement for such insurance iccmmatcs m i«irrdancc v+ufa Borrower'. ,and
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