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<br />Uxttrottnt Covexnxrs. Borrower and Lender covenant and agree as follows:
<br />1. Payment of ]Pt'Intipd ad Interest. Borrower shalt promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and tale charges as provided in the Note, and the principal of and interest
<br />on any Ftrture Advances secured by this Martgage.
<br />2. Rasde for Tans and imatasce. Subject to applicable law or to a written waiver by lender, Borrower shat' pay
<br />to Le[tder on the day monthly installments of principal and interest are payable under the Note, until the Note is paid in full,
<br />a au_m (hereto "Funds") aqua! to one-twelfth of the yearly tars and assessments which may attain priority over this
<br />Martgage. and ground rents on the Progeny. if any, plus acre-twelfth of yearly premium installments for hazard insurance,
<br />pies one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimafed initially and from
<br />time fo tirne by Leader on the basis of assessments and hills and reasonable estimates thereof.
<br />The Funds shalt be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (inclttdmg Lender if Lender is such an institution). Lender shat! apply the Funds to pay said taxes, assessments,
<br />imuratiee premiums and ground rents. Lender may net charge for so holding and applying the Funds, analyzing said account,
<br />ar verifying and compiling said assessments and bills, 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 Lima of execution of this
<br />Mortgage that interest on the Funds shalt tx paid to Borrower. and unless such agreement is made or applicable law
<br />requires such interest to be paid, Lender shalt not be required to pa}• Borrower any interest or earnings on the Funds. Linder
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the
<br />purpose far 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 the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
<br />L`uc u::e,'.aLa; : tas , - - ,...,, .... .....ms and around rents. shall exceed the amount required to pay said taxes,
<br />asaeas[nmts, insurance premiums and•ground'rents as they fail due. such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly msta0ments 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 [hey fall due,
<br />Borrower shall pay to Lender any amount necessary to make up the detictency wtthin 30 days from the date notice is mailed
<br />by Leader to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Martgage. bender shall promptly refund to Borrower any Funds
<br />held by Lender. if under pazagragh 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shell apply, no later than immediately prior to the sale of the Propcm- or its acquisivon by Lender, any Funds held by
<br />Leader at the dine of application as a credit aganst the sums secured by this 4iottgage.
<br />3. Appii~lat of Paymeets. Unless applicable law erovtdes otherwise, all payments received by Lender under the
<br />Note and paragraphs I and Z hereof shall be applied by Lender nest m payment of amounts payable to Lender by Borrower
<br />under paragraph Z hereof, then to interest payable on the 'gate. they, to the principal of the Note. and then to interest and
<br />principal on any Future Advances.
<br />4. ChatBes; Bess, Borrower shall pay all taxes, assessments and other .barges, fines and impositions attributable to
<br />the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents. if any, in the manner
<br />provided under paragraph 2 hereof er, rf no[ pard :n such manner, by Borrower making payment, when due, directly to the
<br />payee thereof. Borrower shall prompNp furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment diratly. Borrower shall promptly turntsh au ixrser receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has pnax:!y truer this Mortgage; , rovtded. that 8arrower shalt not 6e
<br />required to discharge any vvrh lien sv long its Harrower shall agree in -.riling t the payment of the obligation secured v~
<br />such lien m a manner acceptable tv Lender, ar shall in gaud faith avntrs[ such lien hy, yr defend enforcement of such lien in,
<br />legal proceedings which operate to prevent the enforcement a1 the iseu ur forfeiture isf the Property or any part thereof.
<br />5. 13azard lissitrasce. Borrower shall i:eep the improvements now esrsung or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the term "extendeJ uwesage°. arts such other hazards as Lender may require
<br />cad in such amounts and for such penvss a, Lender may reyu:re; provided, that Lender ,halt not require that the amount of
<br />such coverage exceed that amount of car.-trage reyu:fed to pay the sun» secnreu by thrs Mortgage.
<br />The ttts[rrauce carrier providing the insurance strati be chosen by Borrower ,abject to approval by Lender; provided,
<br />that such approval shag not be usueasunably withheld- A41 prenttutm a-n insurance palicres shall tee paid to [he manner
<br />provided under par~raph 2 hereof vr, r€ oat paid in such manner, by Borrower making payment, when due, directly to the
<br />i~ursnce carrier.
<br />All insurance policies clot renewals thereof shall !x m form acceptable io Lender end shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. t.cnder .half hale the right ar hold the policies and renewals thereof,
<br />and Borrower shah promptly furnish to Lerxlet aH renewal rauces and all receipts of paid premiums. In the event at loss,
<br />Borrower shall give prompt notice to the insurance earner and Lender. Lendor ntay make proof of loss if not made promptly
<br />by Borrower.
<br />Unless Lender cad Borrower otherwise agree in wrinag, insurance prexerss shall be applied to restoration or repair of
<br />the Praputy damaged, provided such restoration or repair is rwnvnucally feasible and the security of this tviortgage is
<br />ant thereby impaired. if such restoration ar repair as not ecucx~mi:ally feasible ar if the security of [his Mortgage would
<br />be tmparred, the insurance proceeds shad be applies to the stuns secun'a: br th[s 'viottgage, with the excess, if any, paid
<br />to Borrower. 12 the Properi} is ahandoaes b} Burrower, or iE Bvrrcwer ta;;s to riapand to Lender within 3Q days from the
<br />date notice is mailed by Lauder to Burrower that the insurance earner odors :a senle a claim for insurance benefits, Lender
<br />is authorized to wllect and apply the insurance proceeds at Lcnser s option either to restoration ar repair of the Property
<br />yr to the stuns secured by this Mortgage.
<br />Unless Lender and Borrower otherwise agree m^, writing, au} such applecauon of gruc:c:eds to prma:ipal shalt not extend
<br />or postpone the due dale of the munthl} i.nstatltvents referred W in paragraphs i and 2 herecl ur change the amount cf
<br />streL irutatiments. li undez paragraph I a hereof the Prvperiy ;s acquired by tenser, all nght, tide and interest tit Burrower
<br />in and to any insurance policies and in cad to the proceeds thereof resulting from damage tv the Proper} prior to the sate
<br />or acgttisiuon shalt pass to L.euder to the extent of the sure natures by this }fortgage immediately pour to such sale or
<br />acquisition.
<br />6. Preaervadoa and diaiateaattce of Property; Leaseholds; t:uadoatittiutns; Plashed licit Ilieselapmeats. Burrower
<br />shall keep ihr Prapert}' in gaud repair and shall oat commit :.rite ur permu impairment or deterioration of the Property
<br />and shall comply with the provisions of aay ?ease if this ytungagr +s on a leasehold. If [his !vfurtgage is tin a unit in a
<br />caadaminium ar a planned unit deveioputeot, Borrower shall pcrfurrr, ail of Banvwer s abligauuiu under the dcciaratian
<br />at wvenants creating or gvvetning the cvnda?minium or planned anti dcvelt.pmeut, the by-laws arts regulations .?f the
<br />eantkxmiuium or planned unit development, and cvnstiiucnt di5cuntcnts. it a consominium ar planned unit devciupment
<br />rider is executed by Bo170wit and recorded together rvnh this !Mortgage. rite cuvcnants arts agreements .rf such rider
<br />shall be incvrpotaicd into and shalt amend sod supplet[tent rtes: cu,cnants an,t agrerntents of this Mortgage as it the rider
<br />were a pari hereof-
<br />7, l(ttoieetlen ~ Lender's socu[ity. tf Bunuwer fails to perform the cevrnants and agreements cuntanxd an this
<br />Martgage, or if any action ur groceedittg is a~mmeneed which ntatcnaily afiec[s lenders imeres[ in tht Pruprn},
<br />including, but not limited to, rtuinent domain, insa=lvrt[cr, rude enturcement. a. arrangement, ui prucecdings involving a
<br />bankrupt of deY'rdent, then l,entfes at L.endet's option, upon notice tar Burrower. may naaitr such appearances, dsstrurse such
<br />sums and take such action as i3 naessaiy fir pre?tell f.rnttrt"> +ntcrest, i ,eluding. nut n{+f limited to, ciisbursemcot i
<br />ttasonabie attorney`s fern and retry vixen the Property to mske repair; tf t.cndrr required ntertgagc i;uurancc as :i
<br />eonsiitiaa nt making the :watt sriurect b} this hfurtgagr, Bcrrtowcr shat! pay the premiums rtigvired to ntuintaur v„ch
<br />insurance in silcc{ until sur:h tune as the rrgvirrmmettt far st3ch insurance term;n.[tcs •n atcestdauce with Burt~rwer', .ens
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