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80-- Oa5342
<br />IJNt~oRrd Covexw75. Borrower and Lender covenant and agree as follows:
<br />1. ifay®eaf of lsriac~al aad Iarerest. Borrower shall promptly pay when due the principal of and interest on the
<br />ittdcbtedness evideaced by the Note, prepayment aad la*.e charges as provided in the Note. and [he principal of and interest
<br />oa aay lwliture Advances secured by this Mortgage.
<br />2 1?ada' for Tans aaa [asawace. Subject to applicable law or to a written waiver by Lender, Borrower shag pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until [he Note is paid in full,
<br />a sum (herein "Fonda") equal to one-twelfth of the cearly taxes and assessments which may attain priority over this
<br />Mortgage, and grotmd rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance.
<br />plus otto-twelf[h of yearly prcmitrm installments for mortgsge insurance, if any, al! as reasonably estimated initially and from
<br />tithe to tltrte by Lender on the basis of assessments and bills and reasonable estimates thereoi.
<br />T'he Funds shall be held in an institution the deposits or acwunts of which are insured or guaranteed by a Federal or
<br />state agency fiactading Lender if Lender is such an institution). bender shall apply the Funds to pay said tales, assessments,
<br />iasurance premiums and grouad rents. Lender may not charge (or so holding and applying the Funds, anaivzing said account,
<br />or verfying and rnmpiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits Lent~r 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 Sae paid ro Borrower, and unless such agreement is made or applicable law
<br />tegtrires such interest io.be paid, Lender shall not he required to pay Borrower any interest or earnings nn the Funds. Lender
<br />shall give to Borrower, without chargt, 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 suurity for the sums secured
<br />by this Mortgage.
<br />Tf the amount of the Funds held by Lender, together with the future monthly installments o[ 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 />assaameats, insuranre prc[niums attd ground rents as they fall due. such excess shat! be, a[ Borrower's option, zither
<br />promptly repaid io Bormwer or credited to Borrower on monthy installments of Funds. if the amount of the Funds
<br />held by Leader shalt not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall duo
<br />Bornosrer shall pay to Lender any amours necessary to make up the deticiency within 30 days from the dace notice is mailed
<br />by Lender fi 8ortower rcgttes[iag payment thereof.
<br />Upoa payment in full of all sums secured h}' ih+s Morgage. Lender shall promptly re[und to Borrower any Funds
<br />held by Leader. If under paragraph 18 hereof the Propztt}• is sold or the Property is otherwise acgwred 6y Lender, Lender
<br />shtr"n appi`y, no loos theses iffitttcdiaee€y pt5ur to r;te ale of thz Property or +ts acgwsuior. i,y i.endzr, any Funds held by
<br />Leader at the time of applicadan as a credit against the sums secured by this Mortgage.
<br />3. A~iealisa of Pay~eaac Ualess applicable law prov+iles otherwise. all payments received 6y I_znder under the
<br />Note ate paragraphs 1 and 2 hereof shall be applied by Lender first m paymem of amounts payable to Lender by Borrower
<br />tttsdu paragraph 2 hereof, rhea to interest payable on the Note. then to the pnncrpal of the Note, and then to interest and
<br />principal on aay Future Advances.
<br />4. Ciarge+F Lies. Borrower shall pay ail taxes. asses~mcnts and other charges. 5nrs and impositions atttrbutable to
<br />rho Ptopaty which may attain a priority over thts Mortgage, and lessehofd pay'irtenu or ¢round renu, if any, in the manner
<br />provided tinder paragraph 2 hetmf or, if not paid in such manner. try Borrower making payment, when due, directly to the
<br />payee tbttcof. Borrower shalt promptly futnrsh to Leader ail rauces of amounts due under thts paragraph, aad in the event
<br />Borro:+xr shag make payment directly, Borrower .hall promptly iumtstt ,o Lender receipts evrdencmg such payments.
<br />Borrower shag piompdy discharge say lean w~htch has pnonr~ ovzr thts Morgage: provided. chat Burrower .hall not be
<br />required Io discharge any such lien sa tang as Hanover shall agree in urntng in the paymem of the obligation secured by
<br />such lien is amanaer acceptable to Lender, or shat! in gcw~d Earth contest such lien by, or defend enforcement of such lien in,
<br />leaaf procoedittes which operate u.~ preveat the enforcement of the lien or forterturz of the Prapeny or any patt thereof.
<br />S. Baod laraoace. Hortnwer shat! keep the improvemenu now rvtsnng ar hereafter erected on the Property insured
<br />aiainal Sass by fire, hazards included within the term "eit~.-.,:~~d coverage". and such other haxardi as 1_endc~r ma}• require
<br />end is Such amounts and for such periods as Lender may reyu+re: provrdeil, that Lender .hail not rcq;nrc that the amount of
<br />such coverage exceed Char amount of rnverage requited to pay the sums set-ured by this hiortgagc.
<br />The %nstzraot,,e cstrier providfng the insurance shall 6e chosen by Borrawzr subject to approval h> Lender; provided.
<br />thad such approval siraif not be +=n~~=*tably wntiihekl. Ail premiums on insurance policies shal3 be paid m the manner
<br />provided under paragraph 2 heteiif or, tf not Bard in such manner, b}' Borrower making payment, when due, directly to the
<br />iissttraaae ,artier.
<br />AB itrauranee policies aad renewals thereof shall bz in form acceptable to Lender and shall mciudz a standard mortgage
<br />clause in favor of and is form acaxptabk to Lender. Lzti~r sha?: have the right t,= lxiid the policies and rcnrwals dzerzof,
<br />aad Betrowtr shad{ promptly fu,7:ish to Lcariet all rzxwai : . ;ces a. ~ a . ~r.:zipts cf paid premiums. €n the zvzt:t of Sass.
<br />BorrcNrer shah give prompt naYicx to ttx iosurantre canxt and Lettdzr. Lender may male ptxn of ions if not made promptly
<br />Icy Borrower,
<br />Unless Lcadu and Botrowu otherwise agree in ur,ung. rnwrauee prc+crrds shall bz applred to resWraeioae .,r rzpait of
<br />the Property damaged, provided such testonuoa cK repair a e_vmonucatlti leasable and thz xcurity of this tiiongage +,
<br />ttoi thraeby itagairaf. If stxh restoratmn or repatr rs not rwrt~micail} teasthie of ,t the setunty of this Afortgagr would
<br />be impaired, the insurance peoceeds shal# be applred to the coins secured by this !siongagr, verb the access, if any. paad
<br />to Borrower. If the Prapeii}' is abandoned try Borrower, ,+r at Barmwer iuxis to rzspnnd to i.ender wrthrn ;tl da}s trum the
<br />date nt'iti~Y is tnailyd by Lender to Harrower that the insurance ,atrial otters to szttle a ci:um far msuraacr bene7its, €_znder
<br />is atrthnriaal ra eofieCt and agpty rite insuran~r pracxeis at LrnSrr's opUOn e+tfizr to resturutton or repatr of the Ptopen}
<br />or to the stuns sa°ured h}' this Nattya;e.
<br />Unless Lender aad Bortsrei o;iter-,t isr sgrt,z in wetting, ores} suet appit.auon .~; pncerds to pnnctpa€ shah not catend
<br />or pmtpaae the dtte date o€ ttx ttwnthly inszallrnznts rrtrrrzd t~, rn paragraphs I aril i:ercof or c}tange the amount u,
<br />ssich ias7aifineaia, If tender paragraph 38 hereof thz Property rs acquired t+} Lender, ail ngh4 liUr and interest of Borr=over
<br />in and to aay imnraiicc policiu and is aiui to rlYe prt'ici~ds thzreoi rzsulting from damage tta the Prapert} prior tea the sale
<br />or acquisition sftall yell io isadea ;a t>x csterit of ttu sums sx~.;uird tsv ihrs >iortgage irnncediatziy prior ta, such sate or
<br />ara7uuttitat.
<br />f. IAaatxvatiNa aai Mttitleraac: of Preperis: Leat;epalds; C:ondueeisiums; Matured t.~i»t Uevelopmrats. i3or roller
<br />shat! kegg sloe Property is gotad repair aad shall isoi commit wasiz or pzrmu impairnu:nt or dztziiorauan of this Praprny
<br />aad shaft-eaaeply widt the pravisiorss of any tease tf edits ~tungage rs tin a leasehold. it this ASorigage is nn a unit in a
<br />cGrsdaosiaiUm or a plaaaod tacit devdaprneist, Borrower shaft perform all of $orn?war's crbirgauons under the drelaratwn
<br />ar t'x<treaaota crcatiog tx• gpvernittg the zandr?mnnium ar planate: umt develunnta:nt. ttae Uy-taws and rrgulattaus =+f the
<br />coodamirtittm or planaad unit developmcat, and constituent dcx irments. If a condominium or p{armed +::iit Jevelopittent
<br />rid4r is_ cateCiAiad by Baitower aad tecoided iogzzher with thrs Mortgage, the ru;znanu and agrretttents of such nder
<br />abaft be-iaeotpuraied ipto and Shall amend end supplzment tine cUVZtiants and agreements of this Mortgage as it the cuter
<br />wYaa a part 6e;ooL
<br />T. [+sMaa'liea sf L+eaier's Scattily'. if Barrowzr fails to perform the covrnams artd agrzcmcitts c.,ntarnrd in this
<br />hiaRra~e, or if- say acs~irt or prot:eediag .s ::oitriIlr2tCetf whuh snaterialfy atfr.cts Lender's late: zst in chi: P:upa:ri y,
<br />iatyurlirts, but i~t fimitCd ta, tani-ncru daxaain. irtsc~tvency, code znforcernent, or arrangcrticnts nr pnxeedings oivnlving a
<br />haokrtrpt or detxydprtt, tften Leader at Le~dar"s optiota, upon notice to Barrowet, ales}' make such appearances, disbursz suet
<br />Slimes and take such action as iS aCY:eSaary L~ prnttct Lender's interest, !maudmg, but not limatcd toes, disburserneni . ~
<br />reaaooaNaaitotaey's flu attd entry upon Ute Ptopert} to make rzpaus. If l.endzr rryuired iuortgagc insurance a, .,
<br />roaditioa of mania` the loan secuued i>y ihrs Mortgage, Borrower snail pay the prrmtuinv requested t.~ main[aiu such
<br />iaawaaee is Marl tmtit such time as the zequs .meat for such rnsurancc term:naics =r: ac:z;tctaucc wuh Barrowrr s and
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