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<br />~~'..... t~~10983
<br />Uv!roa n+ Covt,;vxNV S. Borrower :md Lender covenant and agree as follows:
<br />I. Payment of Principal mad Intrrest. Borrower shall promptly pay when due the pnnripal of and interea on the
<br />uwchtednes evidenced by the Nole. prepayment and la!e charges as provided m the Note, and the princip:d n( and interest
<br />tin any Future AJ~anees secured by this Ueed of 1 raise.
<br />2. Funds for Taxes and Insurance. Subject to applicable law or to a written waiver by Lender, Borrower shall pay
<br />to Lender nn the d;~p monthly installments n( princip:J .+nd interest arc payahle under the Note, until the Notc is paid in h!B,
<br />a sum Ihercin "Fundti'1 equal to one-twelfth of the yearly taxes and assessments which may' attain priority over [his
<br />Ueed o(Trust, and ground rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurance.
<br />pins one-twelfth of yearly premium installments far mortgage insurance, if any. all as reasonably estimated initially and from
<br />time a+ time by Lender on the basis of assessments and 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
<br />state 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. f-.ender may not charge far 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 tender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Deed of "trust that interest on the Funds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to he paid, Lender shall not be reywred to pay Borrower any interest ar earnings on the Funds. Lender
<br />shall give to Rarrower, without charge, :m annual accounting of the Funds showing credits sort debits to the Funds and the
<br />purpose for which each debit to the Funds was made The Funds are pledged as additional security for the sums secured
<br />h} this Decd of Tnist.
<br />If the amount of the Funds held by Lender, tagcthcr with the future monthly installments of Funds payable prior to
<br />the due dates of taxes. assessments, insurance premiums and ground rents, shall escced the amount required to pay said taxes.
<br />:+ssessments, 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
<br />held by Lender shall not be sulticient 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 mailed
<br />by Lender to Borrower requesting payment thereof.
<br />Upon payment in (till a( all sums secured h}• th+s Deed o[ Trust, Lender shall promptly refund to Borrower any Funds
<br />held by Lender If under paragraph I8 hereof the Property is sold or the Property !s otherwise acquired by Lender, Lender
<br />shall apply, no later than immediately prior w the sale of the Praperty 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 Dced of Trust.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall he applied by I_endcr first in paymem of amounts payable to Lender 6y Borrower
<br />under paragraph 2 hereof, then [o 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. Charges; Liens. Borrower shall pay all taxes. assessments and other charges. fines and impositions attributable to
<br />the Property which may attain a priority over th!s Deed oC Trust, and leasehold payments or ground rents, if any, in the
<br />manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, dirccdy
<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 payment directly. Borrower shall promptly furnish to I-ender receipts evidencing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Decd of Tn!sr, provided, that Borrower shall not be
<br />required to discharge any such lien so long as Bon~ower shall agree in writing to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien in.
<br />legal 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 nou• 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 1_ender may require
<br />and in such amounts and for such periods as Lender miry reyuire; 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 />The insurance carrier providing the insurance shall he chcnen 6y 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, direcNy to-the
<br />insurance carrier. -
<br />All insurance policies and renewals thereof shall be in form acceptable w tender and shall include a standard tnodgage
<br />clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals tht5reof;.
<br />and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In [he event. of loss;
<br />Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not made.pcomptly
<br />by Borrower. - - -
<br />Unless Lender and Burrower otherwise agree in ti rising, insurance proceeds shall 6e applied to restoration-or repairof-
<br />the Property damaged, provided such reswratian or repair is economically feasible and the security o[ this Deed of-Tritsf-is
<br />not thereby tmpaued, if such resturaton sir repair is ram economically feasible or if the security of this Deed df Trust syou!d'
<br />be impaired, the insarauce proceeds shall be applied to the sums secured by this Deed of Trust, with the excess, if any,-paid--
<br />to Borrower. If the Property is abandoned by Harrower, or if Harrower fails to respond to Lender within 70 days from: the
<br />date notice is mailed by Lender to Borrower that the insurance carrier ofTers to settle a claim for insurance benefits. Lender
<br />is authorized to collect and apply the insurance proceeds at Lender's option either to resroration 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 the due date of the manthly installments referred to in paragraphs I and 2 hereof or change- the -Amount_ot -
<br />such installments. If under paragraph I N hereof the Proper[}' is acquired by Lender, all right, title and interest of Borrower
<br />in and [o any insurance policies and in and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the extent oC the sums secured by this Deed of Trust immediately prior to such sale or
<br />acquisition.
<br />6. Preservatlon and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or pennu impairment ar dclerioration of the Property
<br />and shall comply with the provisions of any (ease 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 creative or governing the condominium or planned unit development, the by-laws and regulations-aflhe
<br />condominium or planned unit development, and constituent documents. If a condominium or planned time development
<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 into and shall amend and supplement the covenants and agreements of this Deed of Trust as if [he rider
<br />were a part hereof.
<br />7. Protection of Lender's Security. If Borrower fads to perform the covenants and agreements contained in this
<br />Deed of Trust, or if any action or proceeding is commenced which materially atTects Lender's interest in the Property,
<br />including, but not limited to, eminent domain, msotveucy, code enforcement, or arrangements or proceedings involving a
<br />bankrupt-or decedent, then Lender 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 not limited lo, disbursement of
<br />reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
<br />condition of making the loan secured 6y this Deed of Trust, Borrower shall pap the premiums required to maintain such
<br />insurance in eRect until such dine as the requiremeni for such insurance termumtes m accordance with Borrower's and
<br />Lender's written agreement or applicable law. Borrower shalt pay the amount of all mortgage insurance premiums in the
<br />manner provided undtr 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 (arms of payment, such
<br />amounts shall be payable upon notice From I-ender to Borrower requesting paymem thereof, and shall bear urierest f rom the
<br />data of disbursement at the rate payable from time to time on outstanding principal under the Note unless payment of imerest
<br />at such rata would be contrary to applicable law, in which event such amounts sh.tR bear interest at the highest rate
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall reyuire Lender to incur any expense or take
<br />stay action fiereundtr.
<br />S. iwpectiun. Lender may make ar muse to be made reasonable entries ++pr>n rand inspectirms of the Property, provided
<br />That l.cnder shall give Hoxrywer aotite prior to any such inspec-tiara specifycng reasanuhlc cause th+:rcfor related to Lender's
<br />anteresi in ahc PrancrlK
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