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<br />UNIPORM COYHNANTS. BOrfOWer and Lender wvenant and agree as follows: ~+'T ~~ ~~ ~ 1
<br />1. PaysseM of Principal and Interval. Borrower shall promptly pay when due the pritcipal of and interest on the
<br />itdebtedness evidenced by the No[e, prepayment and late charges as provided in the Note, and the principal of and interest
<br />on anyy Future Advances secured by this Deed of Trust.
<br />2. Naada for Taxs and Insnraace. 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 Note is paid in full,
<br />a sum (herein "Funds") equal to one-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Deed of Trust, and ground rents on the Property, if any, plus one-twelfth of yearly premium installments for hazard insurantt,
<br />plus one-twelfth of yearly premium installments for mortgage insurance, iF any, all as reasonably estimated initially and from
<br />time to 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 />stale agency (including Lender if Lender is such an institution). Lender shall apply the Funds [o pay said taxes, assessments:
<br />insurance premiums and ground rents. Lender may not charge for so holding and applying [he Funds, analyzing said account
<br />or vtrifying 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
<br />Deed of Trust that interest on the Funds shall be paid to Borrower, and unless such agrcement is made or applicabk law
<br />requires such interest to be paid, Lender shall no[ be required to pay Borrower any interest or earnings on the Funds- Lender
<br />shall give to Borrower, without charge, agannual accounting of the Funds showing credits and debits to the`Eunds~~and,~the.
<br />purpose for which each debit to the Funds was made. The Funds are pledged as additional security for the soma secured
<br />by this Deed of Trust.
<br />If the amount of the Funds held by 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-paysaid taxes;
<br />assessments, insurance premiums and ground rents as they tall due, such excess shall be, at Borcower's optiraq 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 sufficient to pay taxes, assessments, insurance premiums and ground rents as [hey 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 full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any fiunds
<br />held by Lender. If under paragraph 18 hereo( the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no later than tmmediately 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. Application of Payments. Unless applicable law provides otherwise, all payments received by Linder under the
<br />Note and paragraphs 1 and 2 hereof shall be 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, Char6es; Liens. Borrower shall pay all 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, in 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 m [he
<br />event 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
<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. Hs+aard 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 />stteh 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 be chosen by Borrower subjer. to approval by Lender: provided.
<br />that such approval shall not he unreasonably withheld. All premiums on insurance policies shall be paid in the mamet
<br />provided under paragraph 2 hereof or, if no[ paid in such manner, by Borrower making payment, when due, directly to the
<br />insurance carrier.
<br />All insurance policies avd 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 shat! have the right to holJ the policies and renewals thereof.
<br />and Borrower shall promptly furnish to Lender all renewal notices and all receipts of pail premiums. In the event of loss.
<br />Borrower shall give prompt notice to the insurance currier anJ 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 Propertty damaged, provided such restoration or repatr -~ economically feasible and the security of this DeeJ of Trust is
<br />not thereby impaired. If such restoration or repair is not economically feasible or if the security of this Deed of Trust would
<br />be impaired, the insurance proceeds shall be applied to the sutras secured by this Deed of 'Trust, with [he excess, if any, paid
<br />to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender
<br />is authorized to collect and apply the insurance proceeds at [.ender'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 shalt not extend
<br />or postpone the due date of the monthly installments referred to in paragraphs I and 2 hereof or change the amount of
<br />such installments. If under paragraph 18 hereof the Property is acyuired 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 Properly prior to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured by this Deed of Trust immediately prior to such sale or
<br />acquisition.
<br />6. Preservation and Maintenance of Properly; Leaseholds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Property in good repair :utJ shall not comma waste or perms impairment or Deterioration of the Property
<br />and shall comply with the provisions of any lease if this Deed df Trust is nn a leasehold. If [his Deed of Trust is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform a(I of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit Jevelopmenl, the by-laws and regulations of the
<br />condominium or planned unit development, and constiwent documents. If a condominium or plamred unit development
<br />rider is executed by Borrower and recorded mgether with this DeeJ of 'Trust, the covenants and agreements of such rider
<br />shall be incorporated into and shall amend and supplement the covenants anJ agreements of this Deed of Trust as if the rider
<br />were a part hereof.
<br />7. Prolectioa of Lender's Security. If Borrower fails to perform the covenants anJ agreements contained in this
<br />Deed of Trust, or if any action or proceeding is commenced which materially affects Lenders interest in the Property,
<br />including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceedings involving a
<br />bankrupt or decedent, then Lender at Lender s option, upon notice w Borrower, may make such appearances, disburse such
<br />sums and take such action as is necessary to protect Lender's interest, including, but not IimiteJ to. disbursement of
<br />reasonable attorney's fees and entry upon the Property to make repairs. If bender reyuired mortgage insurance as a
<br />condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiums reyuired to maintain ,uch
<br />insurance in effect until such time as the requirement for such insurance terminates in acwrdanee with Borrower's anD
<br />Lender's written agreemem or applicable law. Borrower shall pay the amount of all mortgage insurance premiums in the
<br />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 Harrower secured by this Deed of Trust. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts shall 6e payable upon notice from Lender to Borrower requesting payment thereof, anJ shall tzar 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 would be contrary to applicable taw, in which event such amounts shall bear interval at the highest rate
<br />permissible under applicable law. Nothing contained in this paragraph ?shall require Lender to incur any' expense or take
<br />any action hereunder.
<br />g. Iespecliou. Lender. may make or cause to be made reasonable entries upon anD inspections of the Property, provide)
<br />that Lender shot) give Anrrnwer notice prier to ary such tnspecuon spu;ifying reaamabie cave therefor related to Len<ier'+
<br />interest in the Property.
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