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<br />f UHtroasr Covuynwrs. borrower and Lender covenant and agree as follows:
<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />mdeMedness cv,denced by the Note, prepayment and late charges as provided m the Note, and the princrpal of and interest
<br />p on any Future Advances secured 6y this Deed of Tout.
<br />2. Fonds for Taaa and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender on the day monthly installments of principal and interest are payable under the Note, until the Nute is paid in full.
<br />~. a sum (herein "Funds"I equal to one-twelfth of the yearly razes and assessments which may attain priority over this
<br />~. Deed of Trust, and ground rents nn the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance:
<br />r. plus one-twelfth of yearly premium installments for mortgage insurance, if any, all as reasonably estimated initially and from
<br />t` hme to time by Lender on the basis of assessments and bills and reasonable estimates thereof.
<br />E 'Phe Funds shall he held in an institution the deposits or accounts of which are insured or'guaranteed by a FetleraP-or
<br />- state agency (including Lender if Lender is such an instinuion). Lender shall applythe Funds to pay said taxes,-assessments;
<br />insurance premiums and ground rents. f_ander may not charge for so holding and- applying the Funds, analyzing said:aecounr
<br />nr verifying and compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits I ender to make such a charge. Borrower •md Lender may agree in writing at the time of-execution.oP--this
<br />Decd of Trust that interest on the Ponds shall be paid to Borrower, and unless such agrcement is made-or applicable law
<br />requires such interest to he paid, Lender shall not be reyuired to pay Borrower any interest or earnings on the Funds. Lender
<br />shall give to Borrower, without charge, an annual accounting of the Funds showing credits-and-0ehits to the Fuiids and~itie
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the. sums'secitred~-
<br />by thu Deed of Trust.
<br />If the amount of the Funds held ny Lender, together with the future monthly installments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to-pay said [axes,
<br />assessments, insurance premiums and ground rents as they tall 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 amoun[~ of the Funds -
<br />held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall dire,
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date-notice is mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in lull of all sums secured 6y this Deed of Trust, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph IS hereof the Property is sold or the Properly rs 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"bp
<br />Lender at the time of 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
<br />Note and paragraphs t and 2 hereof shall he applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br />principal on any Future Advances.
<br />4. ChatiSes; Liens. Borrower shall pay oll taxes, assessments and other charges, 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, itr. the
<br />manner provided under paragraph 2 hereof 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 the
<br />event Borrower shall make paymem directly. Borrower shall promptly fitrnish to Lender receipts evidencing such payments.
<br />Borrower shalt promptly discharge any lien which has priority over this Decd of Trust; provided, that Borrower shall not tse
<br />required to discharge any such lien sn long as Borrower shall agree in writing u> the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender, or shall in good (anh comes[ such lien by, or defend enforcement of such lien in,
<br />legal pproceedings which operate to prevent the enforcement of the lien or forfeiture of tfie Properly 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 hazardsas_Lendermay,require
<br />and in such amounts and for such periods as Lender may require: provided, that Lender shall not. require-thartheamounc.of -
<br />- such coverage exceed that amount of coverage required to pay the sums secured by this Decd of -Trash - _
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval-by Lender: provideih
<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 td~4fir
<br />insurance carrier.
<br />All insurance policies and renewals thereof shall Ge 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 and renewals-thereof:
<br />and Borrower shall promptly furnish to Lender nll renewal notices and aII receipts of paid premiums, In the event. of-kiss,
<br />Borrower shall give prompt notice to the insurance cagier and Lender. Lender may make proof of loss if not made-promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoration or repair is economically feasible and the security of this Deed of Trust is
<br />not thereby impaired. If such restoration or repair is not economically feasible or if thesecurity of this Deed of Trust would
<br />_ be impaired, the insurance proceeds shall be applied to the sums secured by this Deed of Trust, with the excess, if any, paid
<br />to Borrower If the Properly is abandoned by Borrower, or if Borrower fails to respond to Lender within JO days-from-ttie
<br />date notice is mailed by Lender to Borrower that the insurance carrier oKers to settle a claim for insurance benefits, Lender
<br />is autlrorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br />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 [he due date of the monthly installments referred to in paragraphs I and ?hereof or change the amount-of
<br />- such installments. If under paragraph f 8 hereof the Property is acquired by Lender, all right, title and~interes[ of Borrdsver
<br />in and to any insurance policies and in and to the proceeds thereof resulting from damage to the-Properly prior to the sale
<br />or acquisition shall pass to Lender to the extern of the sums secured by this Uend of "Crust immediately prior to such. saleor
<br />acquisition.
<br />_ _ 6. IPreaecvatlon and MaWenaoce of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Properly 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 unit in a
<br />condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit development, the by-laws and regulations of the
<br />condominium or planned unit development, and constituent documents. If a condominium or planned unit developmem
<br />rider is executed by Borrower and recorded together with this Deed of Trust, the covenants and agreements of such rider
<br />shall be incorporated imp and shaft amend and supplement the covenants and agreements of this Deed of Trust as if the rider
<br />were a part hereof.
<br />7. Trolectloa of LendePa Security, IC Borrower fails to perform the covenants and agreements contained in this
<br />Deed of Trust, or it_any action or proceeding is commenced which materially affects Lenderi interest in the Property,
<br />including; but no[ limited tit, eminent domain, insolvency, code enforcement, or arrartgemehts or proteedings involving. a
<br />bankrupt or decedent, ttieni.ender at-Lender's option, upon notice to Borrower, may make such appearances, :-disburse such
<br />sums. and take such action. as is necessary to protect Lender's interest, including, but oat limited to, disbursement of
<br />reasonable attorney's feet and entry upon the Property to make repairs. if Lender required mortgage insurance as a
<br />condition of making rho-{cyan secured byp this Deed of Trust, Borrower shalt pay the premiums required to maintain such
<br />imuritnce m eRett until such time as-the,txquirement.fur such insurance terminates rn accordance with Borrower's and
<br />Lender's written agteement.or ap cable law.: Borrower shalt pay the amount of alt mortgage insurance premiums in the
<br />manner provided udder paragrap~~ hereof.
<br />L Any amounts disbnrxoa by Lender pursuant to .this paragraph 7, with interest thereotr. shall become- additional
<br />itxtebtedrreu of Borrawersecured, by, this Decd. of Tntrt., Unless-BOtrower and Lender ag{ee to other tarots of payment, such
<br />amounts shall 6e payahle~ upon-nattce from I.cndor to Borrower requesting payment thereof, and shag bear interest from the
<br />ditto oC, disbursement a( thatate payable Pram tune to time on outstanding principal under the Note unless payment of interest
<br />-t such rate would be contrary to applicable taw; iti which event such amounts shall bear interest at the highest rate
<br />parmiasitsk unckr applicable.:laW. Nothin@contatinrai in this paragraph 7 shat require Lender to incur any expense or take
<br />any.adion htteunder.
<br />t• faytctiort% [.ender may make or cause to By-made reasanaftfe entries upon amt inspcetions of nc~ Property, provided
<br />chat 1 endat' shall give Bnriawar notice prior to arty sash inxpes:tion xpecifying reasonable cause therefor rotated to Lender's
<br />tntefest In the P[ouanY.
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