|
<br />r
<br />
<br />L
<br />
<br />87-107198
<br />
<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />
<br />1. Payment of Principal and Inter..t. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interest on
<br />any Future Advances secured by theDeed of Trust.
<br />2. Funda for Tax.. and Inaurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay to lender.
<br />on the day monthly installments of principal and interest are 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 attain priority over this Deed of Trust, and
<br />ground rents on the Property, if any, plus one.-twelfth ofy-early premium installments fOT hazard insurance, plus one-twelfth of
<br />rearly premium installments for mortgage insurance, II any, all as reasonably estimated initially and from time to time by
<br />ender on the basis of assessments ana bills and reasonable estimates thereof.
<br />The Funds shall be held in an institution the deposits or accounts of which are insured or guaranteed, by a Federal or state
<br />agency (including lender if lender is such an institution). lender shall apply the funds to pay said taxes, assessments,
<br />insurance premiums and ground rents. lender may not charge for so holding and applying the Funds, analyzing said account
<br />or verifying and compiling said assessments and bills, unless 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 at the time of execution of this Deed of Trust
<br />that interest on the Funds shall be paid t.o Borrower, and unless such agreement is made or applicalbe 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 Fund!! 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 />If 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 ground rents as they fall due. such excess shall be, at Borrower's option, either
<br />promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by
<br />lender shall not be sufficientto pay taxes, assessments, insurance premiums and ground rents as they fall due. Borrower shall
<br />pay to lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed by lender to
<br />Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Deed of Trust. lender shall promptly refund to Borrower any Funds held by
<br />lender. If under paragraph 18 hereof the Property is sold or the Prope~ is otherwise acquired by lender, lender shall apPlY.,
<br />no later than immediately prior to the sale of the Property or its acquisi\lon by lender, and Funds held by lender at the time of
<br />application as a credit against the sums secured by this Deed of Trust.
<br />3. Application of Paymenla. Unless applicable law 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 ofthe Note, and then to interest and principal on
<br />any Future Advances.
<br />4. Charg..; Uena. 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 payment, when due, directly to the
<br />payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in the event
<br />Borrower shall make payment directly, Borrower shall promptly furnish to lender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Deed of Trust; provided, that Borrower shall not be
<br />required to discharge any such lien so long as Borrower shall agree inwriting to the payment of the obligation secured by such
<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 />5. H.z.rd Inaur.nee. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<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 reguire 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 be paid 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 insurance
<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 tavor of and in form acceptable to Lender. lender shall have the right to hold the policies and renewals thereof, and
<br />Borrower shall promptly furnish to lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower
<br />shall give prompt 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 shall be applied to restoration or repair of the
<br />Property damaged, provided such restoration or repair is economically feasible and the security of this Deed of Trust is not
<br />thereby impaired, If such restoration or repair is not economically feasible or if the security of this Deed of Trust would be
<br />impaired, the insurance proceeds shall be applied to the sums secured by 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 not extend or
<br />postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such
<br />Installments. If under paragraph 18 hereof the Property is acquired by Lender, all right. title and interest of Borrower in and to
<br />any insurance policies and in and to the proceeds thereof resulting from dama~e to the Property prior to the sale or acquisition
<br />shall pass to Lender to the extent of the sums secured by this Deed of Trust Immediately prior to such sale or acqUisition.
<br />6. Preserv.tion and Maintenance of Property; luaeholda; Condominiums; Planned Unit Developments. Borrower shall
<br />keep the Property in good repair and shall not commit waste or permit impairment of deterioration of the Property and shall
<br />comply with the provisions of any lease ifthis Deed oIT rust is on a leasehold.lflhis Deed oITrust is on a unit in a condominium
<br />or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration or covenants
<br />creating or governing the condominium or planned unit development, the by-laws and regulations of the condominium or
<br />planned unit development, and constituent documents. If a condominium or planned unit development rider is excutedby
<br />Borrower and recorded together with this Deed of Trust, the covenants and agreements 01 such rider shall be incorporated
<br />into and shall amend and supplement the covenants and agreements 01 this Deed 01 Trust as if the rider were a part hereof.
<br />7. Protection of lender'a Security. If 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, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt or decedent,
<br />then lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums and take such
<br />action as is necessary to protect Lender's interest, including, but not limited to, disbursement of reasonable attorney's fees and
<br />entry upon the Property to make repairs. If lender required mortgage insurance as 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 />requirementlor such insurance terminates in ac.cordance with f:!orro"l'er'sand Lender's "l'ritten agreement or applicalbe law.
<br />Borrower shall pay the amo.unt of all mortgage Insurance permlums In the manner prOVided under paragraph 2 hereof.
<br />Any amoul)ts disbursed by lender pursuant to this paragraph 7, with interest thereon, shall become additional
<br />indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts shall be payable upon notice from Lender to Borrower requesting payment hereof, and shall bear interest from the
<br />date of disbursement at the rate payable Irom time to time on outstanding principal under the Note unless payment of interest
<br />at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall require Lenderto incur any expense ortake any
<br />'action hereunder.
<br />t. 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 10 Lender's
<br />interest in the Property,
<br />
<br />
<br />!:':
<br />
<br />
<br />,......---....--.
<br />
<br />".:\-.:
<br />.,
<br />I;
<br />
<br />,.;..<
<br />
<br />
<br />"~
<br />
<br />h
<br />
<br />-.1
<br />
|