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UNIFORM COYkN.~N7S, BOf~OWCf and l.cn~irr covcnant and a~;r~c a~ f~~Uuws:
1. P~ymeat of Priaclpai nud laferest. K~~rruwcr shall p~am~il~ pay Nhcn ~(uc thr pri~cip;tl uf anJ intcrest on thc
indebtedness evidenccd by the Note, prepayment and latr rh:irgr; a. pruviilcd ~n thr Note, ar~d Ihe prinripal uf and mtenst
oa any Future Advances secured by th~s Mortgag~.
2. Fuads for Tues and lnsurance. Subject ~o applicablc law ur to a M•ritte~ w~a~ver by Lender, Rormwer shall pay ~
to l.e~dcr on thc dry monthly installmcnts of principal and mtcrr,~ .~rr payahlr undcr thr Nc~tc, until thc tiatr ic paid in full.
` a sum (hercin "Funds") equal to one-twelfth of the ycarh t;~x~+ anJ as«~~n~rntc khich mry att:~in pri~xity over thic
Mortgage, and ground rents on the Pt~operly, if any, plus ~~nc-tw~clf~h nf >•carly prcmium installments tor har.ard in~urance,
plus one-twelfth of yearly premium in~tallmcn~s for neortgage iniuranc~. if any, all a~ reason;~bl~• c~timatcd initially and trom
time to time by I_ender on the basiti of a~s~.-~snunts anJ hill. and rra.unable estimates thereof.
'Ihe Funds shall be he1J in an institution thr de{x~sit~ ur accounts which ~re insured ~~r guaran~eed hy a Federal or
state agency linduding Lender if 1_ender i~ ~uch an institution _ I.endcr .hall apply ~hc Funds to p:~~ ~:?id taxrs, astirssnients,
insurance premiums and gmund rents. I ender may n~~ charge lor ~c~ hc~Wing and applyin¢ the Fnn~1.. analy~in~ ~aid :~ccounl,
or verifying and compiling said asse~sments anJ hills, unlcss I.ender paa•~ Borrower intcrest on thc Fu~J~ and appli.able !aw
permits Lender to make such a charge. Borruwer and l.endrr may agree in writing at the time i~( rxecution of this
Mortgage that interest ~~n the FunJs shall bc paid to 8orruwer, and unlcss tiuch agrccmcnt i, madc ~u ;~pplicablc law
requites such interest to be paiJ, Lender shall not tx; reyuircd lo Borrowcr .~ny interest or c:irning;.on the Funds. Lcndrr
shall give to Borrower, without charge, an annual accuunting c?f the Funds .h~~wing credits a~~J dehitti tu the l~unds :,nd thr
purpose for which each Jebit Io the ~unds was maJe. The 1=und~ arc plcJged a~ additional securit~ fc~r the sums sctiure~t
by this Mortgage.
lf the amount of the Funds held by Lender, togcther with thc futurc monthi~~ in~tattmentc of Pundti payahh prior to
the due Jates of taxes, assessments, insurance premiums :~nJ grou~td renis. shal! exceeei Ihc amount reyuired to pay said ta~es,
assessments, ins~~rance premiums and ground rents as they fall duc, wch r~ce.s shall be. :~t Borrower'ti opti~~n, rither
ptompUy repaid to Borrower or credited to Borrower on monthly in~tallments of Funds. If thc amount of thr Fw~ds
held by Lender. shall not be suflicienl to pay tares, assessments, imurancc premi~mtit und groirnd rents as ~he~• fal! duc,
8orrower shall pay to Lender any amount nec:essary to make up thc dehciency within 30 Ja}s from the date notice is m~ilyd
by Lender to Borrower reyuesting payment thcrrn(.
Upon payment in full of all sums se~:ured by this Mortgagr. Lendcr shall prompNy refund to Borrutier an~• FunJs
held by [.ender. If under paragraph 18 hereof the Property~ it sold or thc Propeny is otherwice acywrcd bp I.cnder. Lender
shall apply, no later than immediatcl~~ prior to the cale of the Propc:rty or its acquisition h~• I.ender, an~• Fund~ held by
Lender at the time o( appliration as a crcdit against the sums securcd hy th~~ I~tortgage.
3. Applicption of Payments. Unless applicahle law• provides otherwik. all payments received by Lender unJer the
Note and paragraphs 1 and 2 hereof shall be applied by Lendcr fint in patmem of amounts payable t~~ I.ender by SorruN~er
under paragraph 2 hereof, then lu interest payab)c on thc tiutc. thcn to Ihc principal of thc Nutc, and thcn t~~ intcrest and
principal on any Future Advances.
4. ClwrRes; Lk~u. Borrowcr tihall pay all t.~~eti, :?ssessments and other chargc~. finc~ and im~x~sitiont attribut;~hle to
ihe Pra~erty whech may attain a priority over this Ator~gage, and Ieasehold payments <~r ground rents, if any, in the manner
provided unckr paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the ~
payee thereoL Borrower shall prompUy furnish to Lend~r all notices of amounts due under this paragraph, and in the event
Borrower shall make payment direcUy, Borrow•er tihall promptly (urnish to Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien Hhich has prionty o~•er this I~tortgage; provided, lhat Borrower shall not be
required to discharge any such lien so long as Borrow•er shail agree in writing to the payment of the obligatiun secured by
such lien it? a maoner acceptable to Lender, or shafl in gock! faith cantest such lien by, or defend enforccment of such lien in.
legal proceed~ngs wtiich operate to prevent the enforcement of the I~en ~~r forfeiwrc of the Propert~~ or xny part thereaf.
S. Hazard lnsurance. Borrow•er shalt kcep the improvement. nou c~isting un c~rcafter crected on the Propcrty insured
against lnss hy fire, hazard~ includrd within the term "e~tended cuveragc", and such other hazards as I.ender may reyuire
and in such amounts and fur such periodc as Lender may reyuirc; provided, that Lender shall not reyuire that the amount of
such coverage ezceed that amount of co~•erage required to pay the sumti secured b}~ this Mortgage.
' `Ilie insurance carrier providing the insurance shall be chosen by~ Borrow•er subject to approval by I.ender; provided.
ihat such approval shall not be unreasonably withheld. All prrmiums on insurance policies shall be paid in the manner
provided under paragraph 2 hereof or. if not paid in such manner, by Borrower making payment, when due, direcdy to the ~
insurance carrier.
AII insurance Fxiticie, an~ rene~rals thereof shall ~ in form acccptable to Lendrr and shal) include a standard morigage ~
elause in favor nf and in form acceptable to l.ender. Lender .hall have the right to hold the {x~licies ~nd renew•alti thereof.
and Borrower shall prompd}• furnish to Lender all rcnewal notices and all rcccipts of paid premium,. [n the cvent of loss.
Borrower ahall gi~•e prompt notice to the insurance carricr and Lender. Lender ma~• make pr~wf c~f toss if not made promptly
by Borrower.
Unless 1_endcr ~nd Borrow~er othcrwi~c agrec in writing, inwrance pror.ecdt shall be applied to restoration or repair ot
the Property damageJ. provi~ed such rrstorauon or repair is ecunomically feasible and the seeuriry of this Mortgage is
not thereby impaired. I( surh retiwration or repair is not econumically (easiMe or if the sec~rity of this I~tortg:+ge w•ould
be impa~red, thc rosurance pr~k-eeds ~hal! be_applied to !hc sums serured by this Mortgage. with the excess, if any, paid
to Borr.~wu. I( the Propert~ is ah~ndc~ned hy Borrow~cr, or i( Burmwer failti to res(x.nd to I_endcr within 30 days from the
date notice is mailed b}~ Lender to B~~rrower that the insurance ~arricr ofTers to tiettle a claim for insurance henefits, Lender
is authorized t~ collect and apply the insurance proceeds .~t 1_ender'1 optiun either to rc~turation or repair of the Propert}'
or to the sums secured b}• this Mortgagc.
Unles~ I_cndcr and Burrowcr othcrv?i.c agrcc m writing, any such applic:~iion ~~f procceds to pnncipal tihall not c~tcnd
or pustpone the due Jate of ihe monthty installmentc referrcd t~• i~~ paragraph, I an~t ? f~c~c.;~ or ~hange thc amount i~f
such installments. If u~der paragraph I K hereof the Pmperty is acywred hy~ Lender, all right, titlr and interest of Bormwer
in aod to an~• insuranre policies and in and to thc pr«:cecls thcreof resul~ing frum damage to thc Prapert~• prior to thr sale
or acquisiUon shall Fass to Lender to the extent of !he sums secured b}• this ;~tortgage immediately prior to such sale or
acquisition.
6. Presenption and ~laintcnance of Property; i.easeholds; ('ondominiums; Planned Unit Deti~elopmeots. H~rraw~cr
shail keep the Propert}' in good repair and shall not comrpit wastc or permit impairmen~ or deterioration of the Propert~~
and shaD comply with the provisions of any lease i[ this ~tartgagc i~ un a Icaschuld. If this 4lurtgagc is on a unit in a
condominium or ~ planncd unit de.vel~~pment, Borraw~er tihall prrf~xm all af Borrower's ~~blfgations under thc declarati~~n
or covenants crcating or governing the condominium or planned unit development, the by-laws and regidaiions of ~he
condominium or plaoned unit development. and constit?~ent d~x;ument~. If a con~ominium or planned unit Jevelopment
riJer is executed by Borrower and recorded tugether w~th ~hit Mi~rtgage. ~hc covenants anJ agreements o( such rider
shall be incorporared into and shall amend and supplcment thc cuvcnants and agrremcnts of thi~ Mortgagc as if the ri~ter
w~ere a part hereof. .
7. Protection of [xnder's Strority. )f Borrowcr faik t~ ~xrfurm thc rovcnan~s and agreements cantained in this
Mortgage, or if any action or proceeding is commenced which materiall)~ a(iects Len~ler's interesi in the Property.
including, but not lim?ted to, eminent dumain, ins~lvency, a~de enf~rcement, or arrangements ar proceed:ngs invoh~ing a
bankrupt or decedent, then l.ender at Lender's option, upon notice to Rorrower, ma}- niake such appearances, dishurse such
sums and take such action as is necestiary to protect Lender's ,nterest, including. but not limited to, disbursement ot
reasona5le attorney's fees and emry' u~n the Propcrty to makc rcpair~_ If Lcnder rcyuired mortgage in~urance as a
condition of making thc loan securcd by this Mortgagc, B~rrowcr shall pay thc prcmiums rcyuircd ta maintain such F
ia~urance in efiect until such time as the reyuiremem for wch ~nsurance tcrminates in :tccordance with Bormwer', and
aooK ~ fac~ ~