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UNIFORM lrOVBNANTa. Borrower and Lender covenant and agree u follows:
I.. )l~tnettt etT hiadMi asi Interest. Borrower shall promptly pay when due the principal of and interest on the
indebtedneas evidentxd by the Note, prepayment and late charges ac provided in the Note, and the principal of and interest
or? any Futttrc Advances secured by this Mortgage:
2, lhatti Qor Ttstes ani ItwraK•e. Subject to applicable law ar to a written waiver by Lender. Borrower shall MY
to Lender on the day monthly installments of principal and intcrcct arc payable under the Note. until the Note is paid in full.
a sum (herein "Funds'? equal to one-twelfth of the yearl~~ raze. and assessments which may attain priority over this
Mortgage. and ground rents on the Property, if any, plus one-twelfth of yearly premium instailtnents for hazard insurattct.
plus ot>Ntwelfth of yearly premium installments for mortgage insttrancc, if any, all u reasonably estimated initially and from
time to tithe by Lender on the buffs of assessments and hills and reasonable estimates thereof.
The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed by a Federal otr
state agency (including Lender if lender is such an institution). 1_ender shall apply the Funds to pay said taxes. assessments.
insurance premiums and ground rents. tender may not charge for so holding and applying the Funds. analyzing said account,
or verifying.and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law .
permits Lender to make such a charge. Borrower and [,ender may agree in writing at the time of execution of this
Mortgage that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
rrquiea such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Funds. lender
shall give to Borrower. without charge, an annual accounting of 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 u additional security for the sums secured
by this Mortgage.
If the amount o[ the Funds held by Lender, together with the future monthly installments of Funds payable prior to
the due dates of taxes, assessments. imurance premiums and ground rents, shall exceed the amount required to pay uid taxes.
assessments, insurance prcmiutns and ground rents u they fall due, such excess shall be. at Borrowers option. either
pranptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
held by Lender shall not be sufficient to pay taxes. assessments, insurance premiums and ground rents as they fall due,
Botmwer shall pay to Lender any amount tecessary to make up the deficiency within 30 days from the date notice is mailed
by Lender to Borrower requesting payment thereof.
Upon payment is full of all stuns secured by this Mortgage, lender shall promptly refund to Borrower any Funds
held by Lender. If under paragraph 18 hereof the Property is sold or the Property rs otherwise acquired by Lender, Gender
shall apply. no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds held by
Lender at the tithe of application u a credit against the sums secured by this Mortgage.
3. A~plicstim of Paymetsb. Unless applicable law provides otherwise, all payments received by Lender under the
Note and paragraphs 1 and 2 hereof shall be applied by [_ender first in payment of amounts payable to Lender by Borrower
under paragraph 2 hereof. then to interest payable on the Note, then to the principal of the Note, and then to interest and
principal on any Future Advances.
t. Charges; Liero. Borrower shall pay all taxes. assessments and other charges, fines and impositions attributable to
the Property which may attain a priority over this Mortgage, and leasehold payments or ground rents: 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 promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
Borrower shall make payment directly, Borrower shall promptly fumish 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 discharge 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 pan thereof.
S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
against loss by fire, hazards included within the term "extended coverage", and such other hazards u Lender may require
and 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 insurance 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
provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
insurance carrier.
All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
~ clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the puliciu and renewals thereof,
and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. in the event of loss.
Borrower shall give promptltotice to the insurance career and lender. Lemter may make proof of loss if not made promptly
by Borrower.
Unless Lender and Borrower otherwise agree in writrng, insurance proceeds shall be applied to restoration or repair of
the Property damaged, provided such restoratron or repair is economically feasible and the security of this Mortgage is
not thereby impaired. If such restoration or repair is hat economically feasible or i[ 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 is abandoned by Borrower, or it Borrower fails to respond to Lender within 30 days from the
date notice ~s mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
is authorized to collect and apply the insurance proceeds at Lender's option either to restoraUOn or repair of the Properi~•
or to the sums secured by this Mortgage.
Unless Lender and Borrower otherwise agree rn wetting, any such application of proceeds to principal shall not extend
or postpone the due date of the monthly installments referred to in paragraph, I and 2 hereof or change the amount of
such installments. It under paragraph 18 hereof the Property is acquired by Lender, all right, title and 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.
6. Preservation anti ~taiotenance of Property; [.easrhulds; Condominiums; Planned Unit Devebpments. Borrower
shall kcep the Property in good repair and shall not comrpit yvaste or permit impairment or deterioration of the Property
and shall compl? with the provisions of any lease if the. Mortgage rs on a leasehold. If this Mortgage is on a unit in a
condominium or a planned umt development, Borrower shall perform all of Borrower's obligations under the declaration
ti or covenants creating or guvermng the condominium or planned unit development, the by-laws and regulations of the
condominium or planned unit development, and constituent documents. 1f a condominium or planned unit development
nder is executed by Borrower and recorded together with this Mortgage, the covenants and agreements of such rider
shall be rncorpurated into and shall amend and supplement the covenants-and agreements of this Mortgage as if the rider
~ were a part hereof.
7. Protection of Lenders Security. If Borrower Earls to perform the covenants and agreements contained in this
Mortgage, or if any action ur proceeding rs commenced which materially affects lender's interest in the Property,
mcludmg. but nut limned to, eminent domain. imalvenr~, code enforcement. or arrangements or proceedings invoh•ing a
bankrupt or decedent. then Lender at Lender's option, ufxm notice to Borrower, may make such appearances, disburse such
sums and take such action as rs necessary to protect Lender's interest, including, but not limned to, disbursement of
reasonable attorney's fees and entry upon the Property to make repairs. If 1_cnder reyuircd mortgage insurance as a
wndrtam of making the loan secure) by this Mortgage. Barmwcr shall pay the premiums ccquired to maintain such
insurance in effect until were time as the requirement fur such insurance ter:mmates rn accordance with Borrower's and
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