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<br />W7 103143
<br />either promLeptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />held by nder.shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due,
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is
<br />mailed by Leader to 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
<br />held by Leger. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than immediately prior 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 against the sums secured by this Deed of Trust.
<br />3. Appieallon of Payoserb. 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 Bur-
<br />rower under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest
<br />and principal on any Future Advances.
<br />A. Chores; Ilene. Borrower shall pay all taxes, assessineets and other char, fines and impositions attributable to
<br />the Property which may attain a priority over this Deed of Trust, and leasehold payments or ground rents, if any, in the
<br />manner provided under paragraph 2 hersof or, if not paid in such manner by Borrower making payment, when due, directly
<br />to the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph, and in
<br />the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such
<br />payments. Borrower shall promptly discharge any lien which has priority over this Deed of Trust; provided that Borrower
<br />shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the obligation
<br />secured by such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement
<br />of such lien in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any
<br />part thereof.
<br />S. Mkzwd Inturatce. Borrower shall keep the improvements now existing or hereafter erected on the Property insured
<br />against lea 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
<br />of such coverage exceed that amount of coverage required to pay the sums secured by this Deed of Trust.
<br />The insurance carrier providing the insurance shall he chosen by Borrower subject to approval by Lender; provided,
<br />that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid 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 />insurance carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard
<br />mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals
<br />thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event
<br />of a loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not
<br />made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair
<br />of the Property damaged, provided such restoration or repair is economically feasible and the security of this Deed of Trust
<br />is not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Deed of Trust
<br />would be impaired, the insurance proceeds shall be applied to the sums secured by this Decd of Trust, with the excess,
<br />if any, paid to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond trl Lender within 30
<br />days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance
<br />benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair
<br />of the property or to 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
<br />or postpone the dire date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />such installments. If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower
<br />in and to any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the
<br />sale or acquisition shall pass to Lender to the extent of the sums secured by this Deed of Trust immediately prior to such
<br />sale or acquisition.
<br />6. Preservation and Niaiatenance of Property; Leaseholds; Condominiums; Planned United Developments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property
<br />and shall comply with the provisions of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust is on a
<br />unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the
<br />declaration or covenants creating or governing the condominium or planned unit development, the by -laws and regulations
<br />of the condominium or planned unit development, and constituent documents. If a condominium or planned unit develop-
<br />ment rider is executed by Borrower and recorded together with this Deed of Trust, the covenants and agreements of such
<br />rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Deed of Trust as
<br />if the rider were a pan hereof.
<br />7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Deed
<br />of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the Property, including,
<br />but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a bankrupt
<br />or decedent, then Lender at Lender's option, upon notice to Borrower, may make such appearances, disburse such sums
<br />and take such action as is necessary to protect Lender's interest, including, but not limited to, disbursement of reasonable
<br />attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a condition of
<br />making the loan secured by this Deed of Trust, Borrower shall pay the premiums required to maintain such insurance in
<br />effect until such time as the requirement for such insurance terminates in accordance with Borrower's and Lender's written
<br />agreement or applicable law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided
<br />under paragraph 2 hereof.
<br />Any amounts 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 thereof, and shall bear interest from the
<br />date of disbursement at the rate payable from time to time on outstanding principal under the Note unless payment of interest
<br />at such rate world be contrary to applicable law, in which event such amounts shall bear interest at the highest rate per -
<br />missable under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take
<br />any action hereunder.
<br />I. laspeellov. Lender may make or cause to be made reasonable entries upon and inspections of the Property, pro-
<br />vided that Lender shall give Borrower notice prior to any such inspection specifying reasonable cause therefore related to
<br />Lender's interest in the Property.
<br />9. CondeasnalloiL The proceeds of any award or claim for damages, direct or consequential, in connection with any
<br />condemnation of o llwr taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are hereby assigned
<br />and shall be paid to Lender.
<br />In the event of a total taking of the Property, the proceeds shall be applied to the sums secured by this Decd of Trust,
<br />with the excess, if any, paid to Borrower. In the event of a partial taking of the Property, unless Borrower and Lender
<br />otherwise agree in writing, there shall be applied to the sums secured by this Decd of Trust such proportion of the pnkceds
<br />as is equal to that proportion which the amount of the sums secured by this Decd of Trust immediately prior to the .late
<br />of taking brats to the fair market value of the Property immediately prior to the date of taking, with the balance Of the
<br />proceeds paid to Borrower,
<br />If the Property is abandoned by Borrower, or if. after notice by tender to Ilormwcr that the condenudo, ,.Itch to mate
<br />an award or settle a claim for damages. Borrower fails to respond to lender wddhtn 10 days after Ow ,lady u,h rn"Ger P
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