|
1 UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and late chargesas provided in the Note, and the principal of and interest on
<br />any Future Advances secured by the Deed of Trust.
<br />2. Fundsfor Taxes and Insurance. Sub
<br />on the day monthly installments of principal and interestare payable under the Note, until the Note is paid in full, a sum (herein
<br />Funds ") equal to one - twelfth of the yearly taxes and assessments which may at"artn priority over this Deed of Trust. and
<br />ground rents on the Property, ifany, ptusone- twelfth of }rosily premiu m installmer.tafar hazard insurance, plus one- twelfth of
<br />yearly premium installments for mortgage insurance, if af'ty, all as reasonable ea4i:na1edl inAftibyr and from time to time by
<br />Lender on the basis of assessments and bs'11s and reasor.3bie estimates the of.
<br />The Funds shat! be held in an institution the deposits cx accounts of which are insureoor guaranteed, by a Federal or state
<br />agency (iRCtuding Lender if Lender is such an institaatixal. Lender shall apply the funds to pay said taxes` assessments,
<br />orverdfn.R ndiumsandgroundrents. LendermaynotchargetorsoholdingandapplyingtheFunds ,analyzingsaidaccount
<br />or ver, ify itt�and compiling said assessments and bills un "%ss 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 atthe time of execution of this Deed of Trust
<br />that interest on. rise Funds shall be paid to Borrower, and unless such agreement is made or applicabbe law requires such
<br />interest to be paid, Lender shall not be required to pay Borrower any Interest or earnings on the Funds. Lender shall give to
<br />Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for
<br />which each debit to the Funds was made. The Funds are pledged as additional security for the sums secured by this Deed of
<br />Trust
<br />It the amount of the funds held by Lender, together with the future monthly installments of Funds payable prior to the due
<br />dates of taxes, assessments, insurance Premiums and ground rents, shall exceed the amount required to pay said taxes,
<br />assessments, insurance premiums and reund rents as they fall due, such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credited toy Sorr'ower on monthly installments of Funds. If the•amount of the Funds held by
<br />Lender shall not be sufficient to pay taxes, asse: -4raev6, it isurance premiu"tts anri gr vURd feats as they fail due. Borrower shall
<br />pay to Lender any amount necessary to make up-the deg ciency within 30 days ft oft the date notice is mailed by Lender to
<br />Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by 0,11s Gad ot'Prust Lender shall prompity refund to Borrower any Funds held by
<br />Lender. If under paragraph 18 hereof the Prope, . is sold or the Property is otherwise acquired by. Lender, Lender shall apply.
<br />no later than immediately prior to the sale of fh'e1roperty or its acquisition by Lender, and Funds held by Lender atthetime of
<br />application as a credit against the sums secured qy this Deed of Trust
<br />3. Application of Psymanh, Unless applicable iaw provides otherwise, all payments received by Lender under the Note
<br />and paragraphs 1 and 2-hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under
<br />paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and principal on
<br />any Future Advances.
<br />4. Chargoin Liens. Borrowers shall pay all taxes. assessments and other charges, fines and impositions attributable to the
<br />Property which may attain a priority over this Deed of Trust, and leasehold payments or ground rents, if any, in the manner
<br />provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making
<br />payment when dues directly to the
<br />payee thereof. Borrower shall promptly furnish to Lendsw all nntirmct n1?r!t� 1[tt4,�i.�a L.,,�e. Lhi° rsg:sp ti lrtlf'.o o:srt °
<br />Borrower shall make payment directly, Borrower shelf promptly furnish to Lander receipts evidencing such payments. °=
<br />Borrower shall promptly discharge any lien which has priority over this Deed cf Trust; provided, that Borrower shall not be
<br />required to dischargeany such lien so long as Borrower shall agree in writing to the payment of the obligation secured by suctr.
<br />lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in, legal
<br />proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />S. Hazard Insuraneia. Borrower shall keep the improvements now existing or hereafter erected on the Property insured Alf
<br />against loss by fire, hazards included within the term "extended coverage ", and.such other hazards as Lender may require
<br />and in such amounts and for such periods as Lender may require: provided, that Lender shall not require that the amount of
<br />such coverage exceed that amount of coverage required to pay the sums secured by this Deed of Trust �=
<br />This insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender, provided. that
<br />such approval shall not be unreasonably withheld. All premiums on insurance policies shall bepaid in the manner provided
<br />under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the insurances
<br />carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof: and
<br />Borrower shall bromptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss. Borrower
<br />shall give promppt notice to the insurance carrier and Lender. Lender may-make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shal I be applied to restoration or repair of the v..;
<br />Property damaged, provided such restoration or repair is economicalfys feasible and the security of this Deed of Trust is not
<br />•.
<br />thereby impaired. If such restoration or repair is not economically feasible or d the security of this Deed of Trust would be
<br />t h • ;;��s, .
<br />impaired, e insurance proceeds shall be applied to the sums securedby this Deed of Trust with the excess, if any, paid to
<br />Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date
<br />notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits. Lender is
<br />authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property or to
<br />the sums secured by this Deed of Trust
<br />Unless Lender and Borrower otherwise agree In writing; any such application of proceeds to principal shall notextend or
<br />postpone the due date of the monthly installments referred to in paragraphs 1 acid 2 hereof or change the amount of such
<br />installments. If under paragraph 18 hereof the Property is acquired by Lender, ail rigght title and interest of Borrower in anddo
<br />any insurance policies and in and to the proceeds thereof resulting fr,,cm damage tothe Property prior to the sale or acquisition
<br />shaiirpass to Lender to the extent of the sums secured by this Deed of-Trust immediately prior to such sale or acquisnYmrr
<br />.S., Preservations ndfiyatntananceaf Property; LessNrolds; Condominiums ;Ptsttmed Unit DevNopmsaw Borrower s mg
<br />keep the Property in good repair and shalt not commit waste or permit impairment'of deterioration of the Property and shall
<br />comply with the provisions of any lease if this Deed of Trustis on a leasehold. If this Deed of Trust is on a unit in a condominium
<br />or a planned unit development, Borrower shall perform all of Borrower's bbl.iga:ions under the declaration• or covenants
<br />creating or jgoverning the condominium or planned unit development, tte cy-:jaws and regulations of the condominium or
<br />planned unit development, and constituent documents. If a condominium• er,pianned unit development rider is excuted by
<br />Borrower and recorded together with this deed of Trust, the covenants and agreements of such rider shall be incorporated
<br />into and shall amend and supplement the covenants and agreements of this Deers of Trust as if the rider were a part hereof.
<br />7. Protection of Lendoes Security. It Borrower fails to perform the covenants and agreements contained in this Deed of
<br />Trust, or if any action or proceeding is commenced with materially affects Lender's interest in the Property, including but not
<br />limited to, eminentdomain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decadent
<br />then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums and take such
<br />action as isnecessaryto protect Lender's interest, including, butnotlimitedto, disbursementolreasonableattorney 'sfeesand
<br />entry upon the Propertyto make repairs. If Lender required mortgage insuranceas a condition of making the loan secured by
<br />the Deed of Trust, Borrower shall pay the premiums required to maintain such insurance in effect until such time as the
<br />requirementfor such insurance terminates in accordance with Borrower's and Lender's written agreement or applicabbe taw.
<br />Borrower shall pay the amount of all mortgage insurance prrmiums in the manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this peragraph 7, with interest thereon, shall became additional
<br />indebtedness of Borrower secured by this Deed of Trust Unless Borrower and Lender agree to other terms of payment, such
<br />L amounts shall ba payable upon notice from Lender to Borrower requesting payment hereof, and shall bear interest from the
<br />dateofdisburaerrtentattheratepayablefromtimetot imehi outstandingprincipalundertheNoteunlesspaymentofinterest
<br />at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate
<br />it
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take any `s
<br />action hereunder
<br />S. inspection. Lender may make or cause to be made reasonable entries upon and inspections of the Property, provided
<br />that Lender shall give Borrower notice prior to any such inspection specifying reasonable cause therefore related to Lender's
<br />interest in the Property
<br />W
<br />
|