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80- t3~ 5194
<br />Uxmoant Covexexxs. Borrower and Lender covenant and agree as follows:
<br />I. Paysneat of Princlptl atsd Isdered. Borrower shad promptly pay when due the principal of and !artiest on the
<br />indebtedness evidenced by the Note, prepayment and late charges as provided in the Note. and the principal of and ,uterest
<br />on any Fuutre Advances sectued 6y this Mortgage.
<br />Z. Foa}t for Taxes aed Iwnsata Subject to applicable law or to a written waiver by Lender, Horrawer shall pay
<br />to Lender•on the day, montfity installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a sum {herein "flinds'~ equat to otte-rxeifth 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 />pith om-twel[ih of yearly prcmittm installments for mortgage insurance, if any, ail as reasonably estimated initially and from
<br />time to time by Lender on the bass of assessments and bills and reasonable estimates thtreaf.
<br />The Fumis shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />itssu[anct premiums and ground rents. Lender may not charge for so holding and applying Lire Funds, analyzing said account,
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />pd'mits Lender to makt-such a charge. Harrower and Lender may agree in writing at the time of execution of this
<br />Mortgage that interest on tfie Ftmds shall be paid to Borrower, and unless such agreement s made or applicable law
<br />requites such ipttrest to be paid, Lender shat! not be required to pay Borrower any interest or earnings on the Funds. Gamier
<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. The Funds are pledged as additional security for the sums secured
<br />by this Mortgage.
<br />If [he amotmt of the 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 />atiseasments, insurance 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 an monthly instalments ~f Funds. If the amount of the Funds
<br />held by I.eoder shall not be sufficient to gay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrasrer shat! pay [o 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 frill of alt sums secured by this Mortgage. Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph ] g hereof the Property +s sold or the Property s otherwise acquired by Lender, Lender
<br />shall apply, no late[ than titimediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />leader at rite tame of appiica~t as .. ~redit against tits sum., secured !:~• this Mortgage
<br />3. AKUrsttiop of Paymeab. Unless applicable law provides otherwise, all payments received by Lender under [he
<br />Note and paragraphs 1 and 2 hereof shat! be applied by Linder first m paymem of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Nose, then to the principal of the Note. and then to interest and
<br />principal on any Futtue Advances.
<br />0. Charges; Litms. Borrower shall pay all taxes, assessments and other charges. tines and +mpusizions attributable to
<br />the Property which tray attain a priority over this Mottgage, and leasehold payments or ground rents, if an}', in the manner
<br />provided under paragraph 2 hereof or, if not paid in such manner, b} Borrower making payment, when due, directly to the
<br />payee thettvf. Borrower shall promptly furatsh to Lender all notices of amounts due under this paragraph. and in the event
<br />Borrower shall make payment directly, Horrawer shall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Mortgage; pruwded. that Borrower shall not tse
<br />regttirtd to discharge any such lien sa long as Borrower shall agree in writing io the payment of the ubhgntiun secured by
<br />such lien in a manner acceptable to Lender, ar shall in goad faint contest such lien hy, or defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the lien ar forfeiture of the Property or any part thereof.
<br />S. Rmrd Iwraee. Borrower shall keep the +mprovements now exisnng or hereafter erected on the Property insured
<br />agaittat loss by Erie, hazards included within the term "extended coverage', and such other hazards as Lender may regmre
<br />and in such amounts and for such periods as Lender may require; provided, that Lender shall nu[ require that the amount of
<br />such [outrage exceed that amount of coverage regmrtd to pay the sums secured hp this Mortgage.
<br />The it~uraoct carrier providing the insurance shall be chosen by Borrower subject to approval hg Lender; provided,
<br />that such approval shall not be unrcasonabty withheld. All premiums on i:surance polines shall ~e l:aid in the manner
<br />provi~ utidet paragraph 2 hereof ar, :i not paid in such manner, by Harrower making payment, when due. directly to the
<br />insurance carrier.
<br />AH imuranee policies and renewals thereat ahall be in farm acceptable to Lender and shat! Include a standard mortgage
<br />clause in favor of and in form acceptable to G:ndtr. Lender shall have the right to hold the policies and renewals thereat.
<br />andHotiower shall promptly furnish to Lender all renewal sauces and ail receipts of paid premiums. In the event of lass.
<br />Borpro~wer shall give prompt nntiu to the insurance cantle and i_rndrr. Linder may make grout of Lass tf not made promptly
<br />by O~]notster.
<br />Union Lender and Horrawer atlterwisr agree in orating, insurance prucrtds shall rte applied to restoration ar repair of
<br />the Property ~datnaged, grovtded sttcit rtsturauon or repair a ecmzomica{ly feasible and the >ecurity of th+s 4[artgage a
<br />not thereby impaired. If such aestaratwn or repair is not eranamicaily teasibit ar rt the securuy of this Mortgage e'auld
<br />be impaired, the insurance proceeds shall oe applied to the sums stcureil 6y this hlur[gage, with the excess. if any, paid
<br />in Borrower. If the Property is abando»ed b} Borrower. or :f Harrower faib [a respond bo Lender wuhtr, 30 da}s Lion the
<br />date notice is mailed by Linder to Horrawer that the insurance carr:u osiers to settle a ciatm fur :nsurana: benefits, Lender
<br />is authorits~ta coital and apply the iauuranet practeds at Lender's option either to restoration or repair of the Property
<br />ar to the soots secured by this Martgagt.
<br />Unless Linder and Borrawes otherwise agree tit wrzting, any such appiicat[on of proceeds to principal shall not extend
<br />or postpone trio dtte date of the arantaly fnstallments rtfer.ed to i:: paragraghs 1 a^d 2 hereof' or chagg% tht amount of
<br />such iitsWlmettis. If urtder' paragraph 18 hereof the Property is ncyutred by Lender, elf right, title and interest of Borrower
<br />in and to nay iissuram.e policies and in an.: to Lire pracetds thereat rtsulung from damage to tfte Propettv pricer iu the sale
<br />or acquisition shall pass ip Lttrdtr to the extent of the sums securtd by this htartgagc immediately prior u. >uch Batt ur
<br />acquisition.
<br />f. f'seasrvatiee.ar !Naiitsartsre of ProPtts}'; 1-easehdds; Condominiums: Plsaaed licit Uevebpn>zots. Borrower
<br />9ttaii keep-the property in good repair arxi slt.li rtat commit waste or permit impairment or deteriaratien of the Fraperty
<br />and shall comply` with the g~rovisioas of any lease sf this Mortgage is on a leasehold. if this Morigagt is on a unit in a
<br />condominimn or a-planned urr;t :Ievetoptotnt, Borrower shat! perform a{1 of Hortawtr's obhgauans under the declaration
<br />m covestaats creafiug or govaniug the condominium or planned unit devclapment, the by-laws and regulatian> of the
<br />cussdomiaiism or pitmned unit development, and constituent doetunems. if a condominium or planned „nzt development
<br />rid4r is exaeuted by-.Hors'[>wet cad recorcltei togtihec with this Mortgage, the covenants and agreements of suett rider
<br />shall bte inc~trporatediato atu! shall amend and supplement the covenants and agreements of tali itor[gagc as tf tht rider
<br />woes a part :hcrecf;.
<br />7: 1!eMrepi~; ef. Le~ier'a Security. if Bonowrr fails to perform the covenants and agreertt<;nts contained :n this
<br />It(grtjagc, of -if: any: action ur proceeding :s camatenctd which materially aBrct; Lender's interest is the Propen}.
<br />inCitsd'ing, but not Hmited-[o, eminent domain, insolvtm:y, cads rnfarcetneot, or arrangements or pnxeedrngs mvctlvzng a
<br />hadtrupt or ditee9enL, then Ltrtdtr at Lettdet's option, upon notice to Harrower, rttay make such appearance?,, d+sburse such
<br />ttssos.and tttlte such action as is tsocessacy to protect I.ettdtr's interest, tnrludmg, bur not limned to, dashu[sement of
<br />reatOniW4 a2Wtaey's fees cad-entry «pon.tht Prc?peny to make regales. Ii Lender required mongagc inwrancr as a
<br />eondcion of rnalco} the loan stcrued ity this Mortgage, Burrower shall pay the premiums regtnred to mainta+n such
<br />insurance in etCQCt until such time ax the req=rim ~^i for sti`h insuranct terminates to accardancc with Barroutr's and
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