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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
<br />f 1. Payment of Principal and bNsnsl. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, preps t and late charges as provided in the Note, and the principal of and interest on
<br />any Future Advances secured by the of TrusL
<br />2. Funds fsrTaxes and Mswanee. Subject to applicable law or to a written waiver by Lender. Borrower shall pay to Lender
<br />on the day monthly insellments 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 -twoft of yearly premium installments for hazard insurance, plus one - twelfth of
<br />yeaiiy 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 aid bills and reasonable estimates thereof.
<br />The Funds shelf be held in an institution the deposits or accounts of which are insured or guaranteed, by a Federal or state
<br />agency (including Lender it 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 Lenderto make such a charge. Borrower and Lendermay 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 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 Funds and the purpose for
<br />which each debit to the Funds was made. The Fundsare pledged as additional security for the sums secured by this Deed of
<br />Trust
<br />If Me 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 asthey fall due. Borrower shall
<br />pay to !_ender 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 Property is otherwise acquired by Lender, Lender shall apply,
<br />no later than immediately prior to the sale of the Property or its acquisition 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. AppNeallon of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note
<br />and paragraphs t 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 of the Note, and then to interest and principal on
<br />any Future Advances.
<br />4. Charges^ Liam. 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 in writing 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 />S. 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 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, it 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 in form acceptable to Lender. Lender shall have the right to hold the policies ano renewals thereof, and
<br />Borrower shall promptly furnish to Lender all renewal noticesand all receiptsof paid premiums. In the eventof 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 repairof 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 feaalele or if the security of this Deed of Trust would be
<br />impaired, ttro insurance proceeds shall be applied to the sums secured by this Geed of Trust with the excess, if any, paid to
<br />Borrower. If the Property
<br />Saba by Borrower, or it 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 m paragraphs l and 2 hereof or change the amount of such
<br />installments. t! under Paragraph t8 hereof the Property is acquired by Lender, ail 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 priorto 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 />It. Preservation end Mafnemance of Property; Leaseholds; Comdoenimiums; Planned Unit Borrower shall
<br />keep the Property in good repair and shall not commit waste or permit impairment of deterioration of and shall
<br />comply with the provisions of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust 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 />crea9ng or governirtg the condominium or planned unit development the by -laws and regulations of the condominium or
<br />Aplert unr devebpment and constituent documents. ff a condominium or planned unit development rider is exeuted by
<br />Borrower and recorded together with this Deed of Trust the covenants and agreements of such rider shall be incorporated
<br />into arxi shah amend and supplement the covenants and agreements of this Deed of Trust as if the rider were a part hereof.
<br />T. Pooeelion of Lender's 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 />Iirrtitsd to, eminent domain, insolvency, cods 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 inereat including. but not limited to, disbursement of reasonable attorney's fees and
<br />envy upon the Property to make repairs. If Lender required mor�ge insurance as a condition of making the loan secured by
<br />the Deed of Trust Borrower shall pay the premiums requirod It -maintain such insurance in effect until such time as the
<br />requirement for such insurance terminates in accordance with Borrower 's and Lender's written agreement o icalbe law.
<br />Borrower W- pay the amount of all mortgage insurance peemiums in the manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this �araynph 7, with interest thereon, shall become additional
<br />indebtednsss of Borrower secured by this Deed of Trust. Un esa 9900 ower and Lender agree to otter terms of payment, such
<br />amounts shelf be payable upon notice from Lender to Borrower requesting payment hereof, and shall beer interest from the
<br />data of disbursement at"raft payable from time to time on outstanding principal under the Note unless payr.:ent of interest
<br />at such roe would be contrary to applicable law, in which event such amounts shall bear interest at the highest rate
<br />permissible u� applicable taw. Nothing contained in this paragraph 7 shall require lender to incur any expense or take any
<br />mi
<br />S. I III c Bert. 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.
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