|
86-- 10623E
<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />1. PaynioM of Prtndpal and IntereeL Borrower shall promptly pay when due the principal of and i.terest on the
<br />indebtedness evidenced by the Note, props tend late chargesas provided in the Note, and the principal ofand intereston
<br />any Future Advances secured by the Of Trust.
<br />2. Funds for Taxona nd lnourance. Subject to applicable law or to a written waiver by Lender, Borrower shall payto Leader
<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 attain priority over this Deed of Trust, and
<br />ground rents on the Property, if any, rNus one - twelfth ofyearly premium installments for hazard Insurance, plus one - twelfth of
<br />yearly premium installments for mortgage Insurance, it any, all as reasonably estimated initially and from time to time by
<br />The Funds shall behold in an institution the deposits or accounts of which are insured orguaranteed, by a Federal orstate
<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 />orverifying 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 to Borrower, and unless such agreement is made or applicabbe law requires such
<br />interest to be Lender shall not be required to Borrower any interest or earnings on the Funds. Lender shall to
<br />paid, pay give
<br />Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for
<br />which each debitto 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 />ppromptiy reeppasid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds held by
<br />Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall due. Borrower shall
<br />to Lender any amount necessary to make up the deficiency within 30 days from the date notice Is mailed by Lender to
<br />pay
<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 Propert y is otherwise acquired by Lender. Lender shall apply,
<br />later than immediately to the the Property its by Lender, Funds held by Lender the time of
<br />no prior sale of or acquisition and at
<br />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 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 />interest
<br />paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to and principal on
<br />any Future Advances.
<br />4. Charges; Liens. Borrowers shall pay all taxes, assessments and other charges, fines and impositions attributable to the
<br />4
<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 hen which has priority over this Deed of Trust provided, that Borrower shall not be
<br />Borrower in the the by
<br />required to discharge any such lien so long as shall agree writing to payment of obligation secured such
<br />lien in a manner acceptable to Lender, or shall in faith contest such lien by, or defend enforcement of such lien in, legal
<br />good
<br />proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />5. Hazard Insurance. 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 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 subiectto approval by Lender, provided, that
<br />be
<br />such approval shall not be unreasonably withheld. All premiums on insurance policies shall 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 favor of and inform 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 promptnotice to the insurance carrier and Lender. Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lenddeerrand Borrower otherwise agree in writing, insurance proceeds shall be appliedto 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 it 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 Lenderand 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 damage to the Property priorty 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 />G. Preeervalion and Maintenance of Property; Leaseholds; CondomNtiwns; Planned Unit Dwitilkniiniolift Borrower shall
<br />Property
<br />keep the Property in good repair and shall not commit waste or permit impairment of deterioration o the and shall
<br />comp)y with the lease ifthia Deed of Trustis on a leasehold. N this Deed of Trust is on a unit in a condominium
<br />provisionsofany
<br />or a planned unit development Borrower shall perform all of Borrower s obligations under the declaration or covenants
<br />creati ng or veining the condominium or planned unit development the by -laws and regulations of the condominium or
<br />planned unit revelopment and constituent documents. If a condominium or planned 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 />to. nd shall amend end supplement the covenants and agreements of this Deed of Trust as if the rider were a part hereof.
<br />7. ProNCtloft of Lender's SecurNy. If Borrower fails to perform the covenants and agreements contained in this Deed of
<br />Trust or it any action or proceeding is commenced with materially affects Lender's interest in the Property, including but not
<br />limited to, eminentdomaln, 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 lenders interest including, but not limited to, disbursement of reasonable attorneys fees and
<br />the Property to If Lender insurance the loan by
<br />entry upon make repairs. required mortgage as a condition of making secured
<br />the Deed of Trust Borrower shall pay the premiums required o maintain such insurance in effect until such time as the
<br />requirementfor such insurance terminates in accordance with Borrower'sand Lender's written agreement or applicabbe law.
<br />Borrower shall pay the amount of all mortgage insurance premiums in the manner provided 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 hereof, and shall beer interest from the
<br />date disbursement the from time to time this Note unless of interest
<br />of at rate payable on outstanding principal under payment
<br />L at such rate would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate
<br />ss
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take any
<br />action hereunder.
<br />8. InspecWn. 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 />
|