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UNIFQRM COVENAHl'a. Borrower and lender covenant and agree as follows:
1. ll~jrasestt of lrloclpat sssd Istlarwt. Borrower shall P~PdY PaY when due the principal of and iatergt oa the
indebtedness evidenced by the Note, Prepayment and late charges as provided in the Note, and the principal of and iaterat
oa any Pttture Advances secured by this Mortga
je. ~ -
3. 114stds for ~'aons asji hswrassce. ~tbject to applkable law or to a written waiver by Lender, Borrower shaA pay
to Leader on the day matthly installment; of principal and interest are payable under the Note, until the Note is paid in full,
a sutra (herein "FundP~ equal to ono-twelfth of the yearly taxes and assesstrrents which may attain priority over this
Mortgage. sad ground teats oa the Property, if say, plus one-twelfth of yearly premium installments for hazard insurance,
. plus one-twelfth of yearly premittm installmatt: for mortgage insurance. if say, all as reasonably estimated initially and Erma
Nme tb tints by Lender on the bass of assessments and bills and reasonable estimates thereof.
The fiends shall be held is an ia:titution the deposits or accounts of which are insured or guaranteed by a Federal or
state agency (iachtding Leader if Leader is such as imtitution). Leader shall apply the Funds to pay said taxes, asseaarae~t,
insurance premiums and ground ants. Leader may not charge for so holding sad applying the Funds, analyzidg said account,
or verifxing sad compiling said asaessanents and bills, uakss Lender pays Borrower interat on-the Funds and applicable law
permits Lender to make such a charge. Borrower sad Lender may agroe is writing at the dme of execution of this
Mortgage that interest on the fitnda shall be paid to ,Borrower, and unless such agreement is made or' applicable law
requires arch interest to be paid, Leader shall not be required to pay Borrower any interat or ssrniags oo the Funds. Lender
shall give to Borrower, without charge, an annual aecountiag Q the Funds showing credits and debits to the Funds and the
purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured
by this Mortgage.
If the amount of the Fund: held by Lender, together with the future monthly- installments of Funds payable prior to
the due dates of taxes, assessments, iatwance premiums and ground rents, shall exceed the amount required to pay said taxes, .
assesarnents, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option, either
promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall-not be sufHcieat to pay taxes. assessatenta. insurance premiums and ground rents as they fall due,
Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting Payment thereof. - -
Upoa payment is full of aitsuma secured by this Mortgage, Lender shall promptly refund to Borrower anyrFunds
held by Leader. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
shall apply, ao later than immediately prior to the sale of the Property or it: acquisition by Lender, any Funds held by
Lender at the bane of application as a credit against the sums secured by this Mortgage. -
3. Appiiatioa of Paysatats. Unless 'applicable law provldes~othe~irt~; all' payittents received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by Leader ~ of amounts payable to Lender by Borrower -
under paragraph 2 hereof, then to interest payable on the Note,,, n~to~1 igal~offl llVote, and then to interest and
principal on any Future Advances. - ~ C
- 4. Lliew. Borrower shall pay all taxes, assessntenN ail'~At~ieF'charges:=li`impositions attributable to
the Property which array attain a priority over this Mortgage, and leasehold-pprmestsvc>R'Ptnk, if any. in the manner
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
payee thereof. Borrower shall p~+omptly furnish to Lender all notices of amounts due under this paragraph, and in the event ~
Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments.
Borrower shall promptly discharge any lien which has priority over this Mortgage; provided. that Borrower shall not be
required to dischazge any such lien so long as Borrower shall agree in writing to the payment of the obligation secured by
such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in,
legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
S. Hmrd Iawraace. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
agaimt loss by fire, hazards included within the term "extended coverage", and such other hazards as Lender may_requin
sad in such amounts and for such periods as Lender may require; provided. that Lender shall not require that the amount of
such coverage exceed that amount of coverage required to pay the sums secured by this Mortgage.
The inwrance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided,
that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner -
providod under pazagraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
j insurance carrier.
All insurance policies and renewals thereof shall be in form acceptable to Leader and shall include a standard mortgage
clause in favor of and inform acceptable to Lender. Lender shall have the right to hold tbe policies and renewals thereof.
and Borrower shall promptly furnish to Lender all renewal notices and all receipt: of paid premiums. In the event of loss,
Borrower shall give prompt notice to the insurance carrier sad Lender. Lender may make proof of lass if not made promptly
by lsorrower. _ -
Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of _
the Property damaged, provided such restoration or repair is economically feasible and the security of this Mortgage is
not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Mortgage would
- be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, with the excess, if any. paid
to Borrower. If the Property a abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the -
date notice is mailed by Ltader to Borrower that the insttraace carrier offers to settle a claim for insurance befits, Fender
is authorized to rolled and apply the insurance proceeds at Lender's option either to ratoration or repair of the Property
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to Principal shall not extend
or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the-amount of
such installments. If under paragraph 18 hereof the Property is acquired by Leader, all right, title sad interest of Borrower
in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
or acquisition shall pass to Lender to the extent of the sums secured by this Mortgage immediately prior to such sale or
acquisition. - - -
f. lh+essrvatbo and Maintenance of Property; I.eaaeholds; Condominlsaa~ Planned Unit lflevdoptste>.b. Borrower
shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
and shall comply with the provisions of any lease if this Mortgage is on a leasehold. If this Mortgage is on a unit in a
condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration
or covenants creating or governing the condominium or planned unit development, the by-laws and *egulatioas of the
condominium or planned unit development,. and constituent documents. If a condominium or planned unit development
rider is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of ue6 rider
shall be incorporated into and shall amend and supplement the covenants and agreements of this Mortgage as if the rider
were a part hereof.
7. Protection of Leaidtr's Security. I: Borrower fails to perform the covenants and agreements contained in this
Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Property,
including, but not limited to, eminent dorhain, insolvency, code enforcement, or arrangements or proceedings involving a
bankrupt or decedent, then Lender at Leader's option, upon notice to Borrower, may make such appearances, disburse such
sums and take such action as is necessary to protect Lender's interat, including, but not limited to, disbursement of
reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
condition of making the loan secured by this Mortgage, Borrower shall pay the premitttas requited to maintain such
insurance in effect until such time as the requirement for such insurance terminates in aocot+dance with Borrower's and