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81--002809
<br />UimoaM CoveNStvrs. Borrower snd Lender covenant and agrx as follows:
<br />b. 1BsJ•eat a< ReYtel~ttl twd Iteterest. Borrower shall promptly pay when dtx: the principal of and interest on the
<br />lttdtebtednas evidenced by the Note, ptepaymeat and late charges as provided in the Note, and the principal of and interest
<br />oa-say Future Advances sectved by the Mortgage.
<br />2. l(rttge for Tsmss aoi lfstneaeee. SubjeM to applicable law or to a written waiver ; • Lender, Borrower shalt pay
<br />to Lettdm oa the day monthly ittstailmeats of principal and interest are payable under the Mote, until the Note is paid in full,
<br />a stmt (herein "Ftatds'7 equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Mortgage, sad grouted rctttt on the Property, if any, plus one-twelF.h of yearly premium insta0ments for hazard insurance,
<br />plus one-twelfth of yearly ptetnitan inNaRtttents for mortgage insurance, if any, all as reasonably estimated initially and from
<br />time to time by I.ettdm on the of assdements and bills and reasonable estimates therwf_
<br />'[he Fundb almll be held in an institttion the deposits or accounts of which are insttr~ or guaranteed by a Federal or
<br />Nate agency (including Lender if Leader is such an institution). Lender shall apply the Funds to pay said taxes, asatssmmts,
<br />imttrauee presniutm and ground rents, fender may not cfiarge for so holding and applying the Funds, analyzing said account.
<br />or verifying and compiling said assessments and bills, unless Lender pays Borrower inteta:st on tlx Funds and applicable law
<br />permits Leader to nuke such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Mortgage drat interest on the Fttnds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />toquits sttdt itttereN to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender
<br />shell give to Borrower, withart charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose for which eacb debit to the Funds was made. 'llte Funds are pledged as additional security for the sums secured
<br />OY this Mortgage.
<br />~° the atoount of the Funds held by Lender, tagethcr with the future monthly installments of Funds payable prior to
<br />the due data of taxes, aasasmeots, imttrance premiums arid ground rents, shall exceed the amount required to pay said taxes,
<br />asstsameats, imuraace premi~rts and ground rents as [trey fall due, such excess shall be, at Borrower's 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 stt[ficieat to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall pay [o Leader 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. Leader .+,ah promptly refund to Borrower any Funds
<br />lull by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shalt apply, rtes later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
<br />Lander at the tune of application as a credit against the sums secured by this Mortgage.
<br />3. Ap~Yeatlsa of 1'aymeats. Unless applicable law provides otherwise, afl payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br />principal oa any Future Advavexa.
<br />4. ChteBes; liJerr. Borrower shall pay ail taxes, assessments ant! other charges, fines and impositions attributable to
<br />the Property which taay attain a priority over this Mortgage, and leasehold payments or ground rents, if any, in the manner
<br />provided tinder paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall promptly ftttaish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any Tien which has priority aver this Mortgage; provided, that Borrower shall nor be
<br />requited to discharge any such hen so Tong as Borrower shall agree in writing to the payment of the obligation secured by
<br />serch ties in a meaner tteceptable to Leader, or shall in good faith contest such lien by, or defend enforcem _vt of such lien in,
<br />legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Proprrty or any pan thereof.
<br />S. liasard laagsuce. Borrower shall k-ep the improvements now existing or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the term "extended coverage'. and such other hazards as Lender may require
<br />and in such amouvw and for such periods as Lender may require; providxd, that Lender shall eat require that the amount of
<br />sut~t coverage exattd that amaur• of coverage required to pay the sums secured by this Mortgage.
<br />"I$e itssuraace carrier providing the insurance shall be chosen by Harrower subject to approval by Lender; provided,
<br />that such approval shall sot be unreasonably withheld. Alt premiums an insurance policies shall be paid in the manner
<br />provided under paragraph 2 hereof ot, if eat paid in such manner, by Borrowu making payment, whey due, directly to the
<br />i»tarrance carrier,
<br />AB iawramx policies and renewals thereof shall be in form acceptable to Lender attd shall include a standard mortgage
<br />t:latne in favor of and is farm acceptable to Lender. Leader shat! have the right to hold the policies and renev:als thereof,
<br />and Borrower shall promptly furnish to Leader all renewal rwtices and all receipts of paid premiums. In the event of loss,
<br />Borrower shall give prompt notice to tbe insura~e carrier and Lender. Lender may make praaf of lass if not made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damagul, provided such restoration or repair is economically feasible and the security of this Mortgage is
<br />aof titareby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
<br />be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower, ar if Borrower fails to respond to Lender within 3Q days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier oStas to settle a claim for insurance benefits, Lender
<br />is audtorimd to trolbct and apply the insurance proceeds at Lender's option either to tstaration or repair of the Properly
<br />ar to the sums socwed by this Mortgage.
<br />Uttleaa Lender sad 8arrower otherwise agru to writing, any such application of proceeds to principal shall not extend
<br />tx poNpoae the duo date of the macrihly iastaUments referred to in paragraphs I and 2 hereof or change the amount of
<br />such installments. 1< under paragraph 18 hereof [he Praperry• is acquired by i,ender, all right, tide and interest of Borrower
<br />in and fo any imuratua policies and in and to the Proceeds thereof resulting from damage to the Propcny prior to the sale
<br />or acgttisitioa shall pass to Leader to the extent of tbe sums secured by this Mortgage immediately prior to such salt or
<br />aagsthititta. ,
<br />ti. lRraasrvaliea attd Maiateaaoce of Property; [adds; Cendomiaittttss; Pleaued Uait I)eveloptsxets. borrower
<br />shall h~ rite Property is good repair and abaft no. commit waste or permit impairtaent or deterioration of the Property
<br />and sltali cogtply with the provisions of any tease iF this Mortgage is on a leascbold. It this Mortgage is on a unit in a
<br />etm¢ominittm or a piaattetl unit devebPauat, Borrower shall perform ail oI Borrowei s obligations under the declaration
<br />coveboaats creating or governing the condominium or planned unit development, ibe by-laws and regulations of the
<br />coadaminitma or plttoned emit development, and constituent documems. If a condominium ar planned unit tkcelopment
<br />ridor u esgcuted by Borrower turd recorded together with this Mortgage, the covenants and agreements of such rider
<br />h6lttenrp(~ated into and sha8 amend and supplement the covenants and agreements of this Mortgage as it the rider
<br />sir~ti it Ott .
<br />'l; ~ art t,~rt'i SttertBj[. if Borrower [ails to perform the covenanu and agreements cunfaincd in this
<br />f[drlga,Re. of ~. lay actioct ar pmceediag is commenced which materially affects Lender's interest in the Psaperty.
<br />ix~cUrtg, but 1anitdd to, emittont domain, irtsolvfttcy, code enfarcatnent, or arrangements tx pracerdinga invah•ing a
<br />haakrtipt cw dt~dsaii. rhea Leads' at I.eadat's spline, upon rwiice to Borrower, may snake such appearances, disburse such
<br />stroll roml taEe strch acAioa as is apcessary to protect (xnder's imerest, inchaiing, but trot limited to, disbursentertt of
<br />teatem#E+la atktxnay's fans and entry upon the Property to make repairs. If tender required mortgage insurance as a
<br />time aP ttjaking the Loan sectzseti by this Mortgage, Barrawcr -shall pay the premiums sequined to maintain Bach
<br />imawas~ ht e>'Bect tsatil i~h time as the raquitattoeat far stub itiaurance termirtae~ in aacardmice with Barrawcr's and
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