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UN~FORn~ CovFN.~[vrs. Barrower and l.enJer cm•ena~t and ag~rc as fall~+ws:
1. Paymenl ot P~inclpd aad laterest. Born~wer shall p~~~mptl~• pay w~hen Juc ~hc principal of and intcrest on thc .
indebtedness evidenceJ by the Notc, prepayQicnt and late charge+ a~ pr~~vided in ~he Note, and the principal of a~d intercs~
o~ aoy Future Advanceti securcd by this Morlgage.
2. Funds to~ Tua aod lasu~ance. Subject to applicable taw or to a written waivcr by t.ende~, Borrower shall pay
~a l.cnder on the day monthly i~stallments of principal and ~ntcrest are payable undc~ ihc Note, until the Note is paid in full,
a sum (her~in "FunJs") equal to one-twelfth of the yearly tarec and acussmen~c which may altain priority over ~his
Mangagc, and ground rents on the Propcrty, if a~y, plus one-twcltth o! ycarly premium installmcnts for hazard insurance,
plus one-twelfth of yearly premium installments tor mor~gage insurancc, ~f any, all as reasonably estimaled initially anJ (rom .
time ta time hy i_ender on thc basis of assessmen~s •rnd hills and reasanable atimates thereot.
The Fundc shaQ !~e !~t!d att art 'trtstitutian tht dt~sits or acc~urtts if t~hi~h are ~n~ure3 ar guarant«3 ~~ a F~~erd~ Jt
state agency (including Lender if I.ender is such an institution). I.ender ~hall apply the Funds to pay~ said taxa, assessments,
insurance premiums and ground rents. I.ender may no1 charge for ~o holding and applying the Funds, anal~•zing said account,
ar verifying and compiling said assessments and bills, unless I.ender pays Barrower interest on ~he FunJs and applicahle law
permits I.ender ta make ~uch a charge. Borrower and I_ende~ may agree in wri/ing at the time of execution of this
htartgage that interest on the Funds shall he paid to Borrawer, and unless such agreement is made ar applicahle law
requires such interest lo he paid. t.ender shall not he requireJ ~o pay Rormwer any interest ar earnin~ on the Funds. I_ender
shall give to Borrcnver, without charge, an annual accounting o( the FunJa shovving credits and dehits ta the Funds and the
purpou for which each Jebit to tht Funds wa, madc. The Funcfs are pledged as additional secuiity for the sums secured
by this Mottgage.
If the amount of the Funds held by l.ender, together with the futurc monthly installmcnts of Funds payablc prior to
the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount reyuired to pay said taxes,
assessments, insurance premiums a~d ground rentc ae thry (all due, such ercees shall be, at liorrower'c option, either
promplly repaid to Borrower or c~edited to Borrower on momhly installments of Fund~. [f the amount of ~he Funds
held by Lender shall not be suff'icient to pay taties, ass~ssments, insurance premiumc and ground rents as they fall due,
Bortower shall pay to 1_ender any amount necessary Io make up the deficicnc~~ wilhin 30 days from the date notice is mailed
by Lender to Borrower requesting payment thereof.
Upon payment in [ull of all sums secured by thic Mongage. I.endcr shall pramptly refund to Borrow•er any Funds
held by I.enJer. If under paragraph 18 hereof the Propcrty ic x~ld or the Property ~s otherwiu acquircd b~ I.cnder, l.ender
shall apply, no later than immediatcly prior to the sale ot thc Property or its acquisition hy I.ender, any F=undc held by
Lender at the time of application as a credi~ against the sums ucured by th~s Mortgage.
3. Apptication of Paymeots. Unless applicahfe law provides o~herwise, all payments received by I.ender under the
Note and paragraphs I and 2 hereof shall be applied by LcnJer fint m pryment of amounts payahk to Lcnder by Borrower
under paragraph 2 hercof, then to interest payablc on the No~c, thcn ta thc principal o( the No1e, and ~hen ta interest and
principal on any Future Advances.
~4. C6arxes; Lkas. Borrower shall pay all ~axe~, a~kstmcnts and o~hcr charge~. fines and ~m~xxit~uns attnbutahle to
the Property which may attain a priority over this Mortgagc, and leasehold payments or ground rents, if any, in the manner
provided unde~ paragraph 2 hereof or, if not paid in such manner. by Borrower making payment, when due. Jircctly to the
payee thereof. Borrower shall promptly furnish to LenJer all no~ices o( amounts due under this paragraph, and in the event
Horrower shall make payment directly, Borrower ~hall promptly turnish to I.enJer receip~s evidenc~ng such payments.
Borrower shal! promp~ly discharge any lien vehich 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 Ihe pa)•ment ~f Ihe obligation secured by
such lien in a manner acceptable to Lender, or shall in gaxl fauh conte+t surh lien hy, or d~fenJ enforcement ot such lien in,
legal proceedings which operate to prevent the enforcement o( the lien or forfe~wre of the Property~ or any part thercof_
S. Hszard lasurance. Borrower shall keep the ~mprovementc naw cxisting or hercafter crected on the Property insured
against Ioss by fire, hazuds included with~n the term "ez~endeJ coverage", and such other hazards ac I.ender may reyuire
and in such amounts and for such periods as Lender may reyuirc; provided. ~hat I_ender shall not require that ~he amount of
such coverage exceed that amount of coverage required to pay the sumc cecured hy this Mor~gage.
The insurance carrier providing the insurance shall be chosen by Borrow-er subject to approval by Lender; provided,
that such approval sha11 not be unreasonably withheld. All premiums on insu~ance 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, dircctly to ihe
insurance carrier.
All insurance policie~ and renewals ihereof shall be in form accep~able to LenJcr and shall include a standard mortgage
clause in favor of and in form acceptable to I_ender. Lender thall h~~e the right to hold the pnlicies and renew~alc thereof,
and Borrower shall promptly furnish to Lender all renevval noticec anJ all receipts of paid premiumti. In the event of loss.
Borrower shall give prompt notice to the insurance carrier and I.ender. LenJer ma}• make prcx~( o( loss if not made promptl~•
by Borrower.
Unless l_ender and Borrower othen+•isc agree in wriUng, inwrance pnxecJs shall bc applied to restoration or repair of
the Property damageJ, prov~Jed such restorat~on or repa~r ~s economicall~~ feasiblr and the security of this Mortgage ic
not ~hereby impaired. If such restoration or repair is not cronc~mi~ally fw~ihle or ~f the security o( this I-iortgage would
be impaired, the insurance proceeds shall be applied to the sums secured by ~his Mortgage. K•ith the excess, if any, paid
to Borrower. It the Property is abandoned by Borrower, or ~f Barrower (adl~ to respond ro 1_cnder within 30 da~•s from the
date notice is ma~ted by Lender to Borrower that ~he insurance carner o1Ten to settle a cla~m for insurance bene6ts, 1_ender
is authorized to collect and apPly the insurance proce~eds :~t LenJer's optwn either ta restoration or repair of the Yroperty
or to the sums secured by this Mortgage.
Unless Lender and Borruwer othervvise agree m writing, any~ su~h application af proceeds to principal ~hall not ertend
or postpone ~he due date of the mon~hly installments re[erred t~~ in paragraph, I and 2 hereof or change the amount of
suc#~ installments. 1f under paragraph 18 hereof the Propert~ i~ acywred h} Lender, all r~ght, title and interest of Borr~w~er
in and to any inaurance polic~es and in and to Ihe proceeds thereof resulting from Jamage ro the Property prior to the ~ale
or acyuisition shall pass to Lender to the e~tent of the sums secured by this !lfortgage immediatel}• prior to wch sale or
acquisition.
6. Preservation and ~taintenance ot Propert}: I.eaceholds; ('ondominiums; Planned Unit Ih~•elopments. Borrow•cr
shal! keep the Property in good repair and shall not commit wastc or permit impairment or deterioration of Ihe Propertt•
and shall comply with Ihe provisions o[ any lease if Ihis Mortgagc iti on a leaschold. If thic Mortgage is on a unit in a
condominium or a planned unrt Jevelopment, Borrow~er shall ~xrforni all c~( Borrower's ~~bhgatwns under the decl~rat~on
or covenants creating ur guvern~ng ~he condom~n~um or planned umt devclopment, Ihe by-laws and regulationc of the
condominium or planned unit development, and constituen~ documenl~. It a condominium or planned umt Je~el~~pment
nder is executed by Borrow•er and recorded together ~ith thn Alortgage, the covenants and agreements of ~uch rider
shall be incorporated ~nto and shall amend and supplement ihe co.en:~nts and ~grcements of Ihic Mortgage as if thc riJer
~ere a part hereof.
7. Protection of Leade~'s Security. 1( Borrower fail~ t~ ~xrf~rm the covenantc anJ agreements contained in this
Mortgage, or if any action or proceedmg ~s commenceJ wh~ch ma~erially a(ferts Lender's interest in the Propert~•.
including, but not lim~ted to, eminent domain, intolvency, c~x1e enf~~rcement. ~r arrangements or pmceedings ~nvol~~ing a
ba~krupt or decedent, then I_enJer at l_enJer's option, upon notice to Borrower, ma}• make such appearance~, duburse ~uch
sums and take such action as is nececsary to protect Lender's mterest. mcluJing, but not limited to, disbursement of
reasonable attomey's fces and en~ry upon the Proper~y to makc repairs. If (.ender required morigage in~urancc as a
cond~tion of making the loan secured b)' this Murtgage. R~.rmWCr shall , ay the premiums requireJ to maima~n such
insurance in eftect until such timc as the reyuiremem for such insurance ~erminates in accordance w~ith Borrower s and
nr~'r 350 F~~E 45U