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SAM NOLTE �� ��',���� 9050567 09/24/1999
<br /> UN[FORM COVENANTS. Borrower and Lender covenaut and agree as follows:
<br /> 1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal and interest
<br /> indebtedness evidenced by tl�e Note and late charges as provided i�i tl�e Note.
<br /> 2. Funds for Taxes and Insurance. Subject to applicable law or a written waiver by Lender, Borrower shall pay to
<br /> Lei�der on the day monthly payments of principal and interest are payable under the Note, until the Note is paid in full, a
<br /> sum (herein "Fu�ids") equal to one-twelfth of the yearly taxes and assessments (including condominium and plaimed uuit
<br /> development assessments, if any) which may attain prioriry over this Deed of Trust, and growid rents on the Property, if
<br /> any, plus one-twelftl� of yearly premium installme�its for hazard insurance, plus one-twelfth of yearly premium installments
<br /> for mort�age insuran�e, if any, all as reasonahly estimated initially and from time to tiine by Lender on the basis of
<br /> assessinents and bills and reasonable estimates tliereof. Borrower shall not be obligated to make sucl� payments of Funds
<br /> to Lender to the extent that Borrower makes such payments to the holder of a prior mortgage or deed of trust if such holder
<br /> is an institutional lender.
<br /> If Borrower pays Fuuds to Lender, the Funds shall be held in an institution the deposits or accounts of which are
<br /> insured or �uarauteed by a Federal or state ageucy (including Lender if Lender is such an institutiov). Lender shall apply
<br /> tl�e Fuuds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not charge for so holding and
<br /> applying the Funds, aiialyzing said account or verifyiug and compiling said assessments and bills, uciless Lender pays
<br /> Borrower iuterest c�n the Funds aud applicable law perinits Lender to make sucli a charge. Borrower aud L.ender may agree
<br /> in writing at tlie time of execution of this Deed of Trust that interest ou die Funds shall be paid to Borrower, and unless
<br /> such agreement is made or applicable law requires such interest to be paid, Lender shall not be reyuired to pay Borrower
<br /> auy iuterest or earnings on the Funds. Lender shall give to Borrower, without charge, an amival accounting of the Funds
<br /> showing credits and debits to tl�e Funds and the purpose for which each debit to the Funds was made. Tl�e Funds are
<br /> pledged as additional security for the sums secured by this Deed of Trust.
<br /> If the amount of the Funds held by Lender, togetl�er with the future monthly installments of Funds payable prior to
<br /> the due dates of taxes, assessmeuts, iusurance premiums and ground rents, shall exceed the amount reyuired to pay said
<br /> taxes, assessments, insurauce premiums and ground rents as they fall due, sucl� excess shall be, at Borrower's optiou,
<br /> either protuptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amouut of the Funds
<br /> held by Leuder shall not be sufficieut to pay taxes, assessments, iusurance premiums and grouud rents as they fall due,
<br /> Borrower shall pay to Le�ider any amount uecessary to make up the deticiency in one or more payments as Lender may
<br /> reyuire.
<br /> Upon payment in full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds
<br /> held by Lender. If under paragraph 17 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br /> shall apply, no later tlian inunediately priar to the sale of the Property or its acquisition by Lender, any Funds held by
<br /> Lender at the time of application as a credit a�ainst the sums secured by this Deed of Trust.
<br /> 3. Application of Payments. Utiless applicable law provides otherwise, all paymeuts received by Leuder under the
<br /> Note and paragraphs 1 and 2 hereof sliall be applied by Lender first in payment of aitiounts payable to Lender by Borrower
<br /> uiider para;rapli 2 hereof, then to interest payable on the Note, and then to the principal of the Note.
<br /> 4. Prior Mortgages and Deeds of Trust; Charges; Liens. Borrower shall perform all of Borrower's obligations
<br /> mider any mortgage, deed of trust or other security agreemeut with a lien wl�ich lias prioriry over this Deed of Trust,
<br /> iucludina Borruwer's covenants to make paymeuts wtien due. Borrower shall pay or cause to he paid all taxes, assessments
<br /> and otlier charges, fiues and impositions attributable to the Property which may attain a prioriry over this Deed of Trust,
<br /> and leasel�old 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 a�aiiist loss by fire, hazards included withiu tl�e term "exteuded coverage", and such other hazards as Lender may
<br /> require aud in sucli amounts aud for sucl�periods as Lender may require.
<br /> Tlie insurauce carrier providiug the insurance shall be chosen by Borrower subject to approval by Lender; provided,
<br /> tl�at sucli approval sl�all uot be unreasonably witlil�eld. All insurance policies and renewals thereof shall be in a form
<br /> acceptable to Leiider aud shall include a standard mortgage clause in favor of and in a form acceptable to Lender. Lender
<br /> shall have the rigl�t to hold tl�e policies and renewals thereof, subject to tl�e terms of any mortgage, deed of trust ar other
<br /> security agreeiTie��t with a liei�whicl� has priority over this Deed of Trust.
<br /> In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof
<br /> of loss if not made promptly by Borrower.
<br /> If tl�e Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date
<br /> notice is i7iailed by Lender to Borrower tl�at the insurance carrier offers to settle a claiin for insurance benefits, Lender is
<br /> authorized to collect and apply tl�e insurance proceeds at Lender's option either to restoratio» or repair of the Property or
<br /> to the suiYis secured by this Deed of Trust.
<br /> 6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments.
<br /> Borrower shall keep the Property iri good repair and shall not coiYUnit waste or permit impairment or deterioratiou of the
<br /> Property and shall comply witl� the provisioris of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust is
<br /> on a unit in a condoininiuin or a planned unit development, Borrower shall perform all of Barrower's obligations under the
<br /> declaratioii or coveiiauts creating or governing tl�e condominium or plaimed unit development, tl�e by-laws and regulations
<br /> of tlie conduminiuiYi or plamied unit dev�lopmeut, and c�ustituent documents.
<br /> 7. Protection of Lender's Security. If Borrower fails to perform the covenauts and agreements contaiued in tl�is
<br /> Deed of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, then
<br /> Lender, at Lender's optio�i, upon notice to Borrower, may make sucl� appearances, disburse such sums, including
<br /> reasouable attc�rneys' fees, aud take such action as is necessary to,protect Lender's interest. If Lender required mortgage
<br /> insurance as a condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiums required to
<br /> niaintain sucl� insurauce in effect until such time as tl�e requiremeut for such insurance terminates in accordance with
<br /> B��rrower's and Lender's writteu agreement or applicable law.
<br /> Any amounts dishursed by Lender pursuant to this paragraph 7, with iuterest thereon, at the Note rate, sl�all become
<br /> additional indebtedness of Borrower secured by tl�is Deed of Trust. Unless Borrower and Lender agree to other terms of
<br /> payment, such amounts shall be payable upon uotice from Lender to Borrower requesting payment thereof. Nothing
<br /> contained in this paragraph 7 sl�all require Leuder to iucur any expeuse or take any action hereunder.
<br /> 8. Inspection. Lender inay make or cause to be made reasouable entries upon and inspections of the Property,
<br /> provided that Lender shall give Borrower notice prior to any sucl� inspection specifying reasonable cause therefor related to I
<br /> Lender's interest iu tlie Property.
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