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99 �07431 '� �
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<br /> TOGETHER with all the improvements now or hereafter erected on the property, and all easements, irights,
<br /> appurtenances and rents (subject however to the rights and authorities given herein to Lender to collect and apply such
<br /> rents), all of which shall be deemed to be and remain a part of the property covered by this Deed of Trust; and all of the
<br /> foregoing, together with said property (or the leasehold estate if this Deed of Trust is on a leasehold) are hereinafter
<br /> referred to as the "Property."
<br /> Borrower covenants that Borrower is lawfully seised of the estate hereby conveyed and has the right to grant and convey
<br /> the Property, and that the Property is unencumbered except for encumbrances of record. Borrower covenants that
<br /> Borrower warrants and will defend generally the title to the Property against all claims and demands, subject to
<br /> encumbrances of record.
<br /> UNIFORM COVENAl'�1TS.?Borrower and Lender covenant and agree as follows:
<br /> 1. Payment of Principal and Interest. Borrower shall prompt�y pay when due the principal and interest
<br /> indebtedness evidenced by the Note, including any variations resulting from changes in the contract rate, and other
<br /> charges as provided in the Note.
<br /> 2. Funds for Taxes and Insurance. Subject to applicable law or written waiver by Lender, Borrower shall pay to
<br /> Lender on the day monthly payments of principal and interest are payable under the Note, until the Note is paid in full,
<br /> a sum (herein "Funds") equal to one'twelfth of the yearly taxes and assessments (including condominium and planned
<br /> unit development assessments, if any) which may attain priority over this Deed of Trust, and ground rents on the
<br /> Property, if any, plus one-twelfth of the yearly premium installments for hazard insurance, plus one-twelfth of yearly
<br /> premium installments for mortgage insurance, if any, all as reasonably estimated initially and from time to time by
<br /> Lender on the basis of assessments and bills and reasonable estimates thereof. Borrower shall not be obligated to make
<br /> such payments of Funds to Lender to the extent that Borrower makes such payments to the holder of a prior mortgage
<br /> or deed of trust if such holder is an institutional lender.
<br /> If Borrower pays Funds to Lender, the Funds shall be held in an institution the deposits or accounts of which are
<br /> insured or guaranteed by a Federal or state agency (including Lender if Lender is such an institution). Lender shall apply
<br /> the Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not charge for so holding
<br /> and applying the Funds, analyzing said account or verifying and compiling said assessments and bills, unless Lender pays
<br /> Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender may
<br /> agree in writing at the time of execution of this Deed of Trust that interest on the Funds shall be paid to Borrower, and
<br /> unless such agreement is made or applicable law requires such interest to be paid, Lender shall not be required to pay
<br /> Borrower any interest or earning� on the Funds. Lender shall give to Borrewer, without charge, an annual accounting of
<br /> the Funds showing credits and debits to the Funds and the purpose for which each debit to the Funds was made. The
<br /> Funds are pledged as additional security for the sums secured by this Deed of Trust.
<br /> If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to
<br /> the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay said
<br /> taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option,
<br /> either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the
<br /> Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall
<br /> due, Borrower shall pay to Lender any amount necessary to make up the deficiency in one or more payments as Lender
<br /> may require.
<br /> L'pc�n payment in fuil of a�i sums se�ure� by this Deed of'Trust, Lender shall promptly refund to Bonower any funds
<br /> held by Lender. If under paragraph 17 hereof the Property is sold or the Property is otherwise acquired by Lender,
<br /> Lender shall apply, no later than immediately prior to the sale of the Property or its acquisition by Lender, any Funds
<br /> held by Lender at the time of application as a credit against the sums secured by this Deed of Trust.
<br /> 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br /> Note and paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by
<br /> Borrower under paragraph 2 hereof, then to interest payable on the Note at the applicable contract rate, and then to the
<br /> principal of the Note.
<br /> 4. Prior Mortgages and Deeds of Trust; Charges; Liens. Borrower shall perform all of Borrower's obligations
<br /> under any mortgage, deed of trust or other security agreement with a lien which has priority over this Deed of Trust,
<br /> including Borrower's covenants to make payments when due. Borrower shall pay or cause to be paid all taxes,
<br /> assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this
<br /> Deed of Trust, and leasehold payments or ground rents, if any.
<br /> 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br /> insured against loss by fire, hazards included within the term "extended coverage," and such other hazards as Lender
<br /> may require and in such amounts and for such periods as Lender may require.
<br /> The insurance carrier providing the insurance shall be chosen by the Borrower subject to approval by Lender;
<br /> provided, that such approval shall not be unreasonably withheld. All insurance policies and renewals thereof shall be in a
<br /> form acceptable to Lender and shall include a standard mortgage clause in favor of and in a form acceptable to Lender.
<br /> Lender shall have the right to hold the policies and renewals thereof, subject to ttie terms of any mortgage, deed of trust
<br /> or other security agreement with a lien which has priority over this Deed of Trust.
<br /> In the event af loss, Borrower shall give prompi notice to the insurance carrier and Lender. Lender may make proof
<br /> of loss if not made promptly by Borrower.
<br /> Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br /> the Property damaged, if the restoration or repair is economically feasible and Lender's security is not lessened. If the
<br /> restoration or repair is not economically feasible or Lender's security would be lessened, the insurance proceeds shall be
<br /> applied to the sums secured by this Security Instrument, whether or not then due, with any excess paid to Borrower. If
<br /> Borrower abandons the Property, or does not answer within 30 days a notice from Lender that the insurance carrier has
<br /> offered to settle a claim, then Lender may collect the insurance proceeds. Lender may use the proceeds to repair or
<br /> restore the Property or to pay sums secured by this Security Instrument, whether or not then due. The 30-day period will
<br /> begin when the notice is given.
<br /> 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
<br /> is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the
<br /> Property or to the sums secured by this Deed of Trust.
<br /> 02-08-99 DOT NE00793Z
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