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<br />83-Q02708
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<br />UNIFORM COVENANTS. Borrower and Lender coV~nant and agree as follows:
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<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by the Note, prepayment and latc charges as provided in the Note, and the principal of and interest
<br />on anv Future Advances secured bv this Deed of Trust.
<br />%. Funds for TaXes 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 Note is paid in full.
<br />a sum (herem "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 insurance.
<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 />state agency (including lender if lender is such an institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance pre'rniums 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 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 agreement is made or applicable law
<br />requires such interest to be paid, Lender shall not be required to pay Borrower any interest or- earnings on Jh.~. Funds. Lender
<br />shall give to Borrower, without charge. an, annual accounting of the Funds showing credits and 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 />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 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 instaHments 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 they fall due.
<br />Borrower shall pay to Lender any amount necessary to mak.e 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. l.ender shall promptly refund to Borrower any Funds
<br />held by LendeL If under paragraph 18 hereof the Propeny is sold or the Property IS 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 Flmds held by
<br />Lender at the time of application as a credit against the sums secured by this Deed of Trust,
<br />3. Applicalion of Payments. Unless applicable law provides otherWISe. all payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall be applied hy lender first in payment of amollnts 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. Charges; Liens. Borrower shall pay all taxes. assessments and other charges. fines and impositions attributable to
<br />the Property which may altain 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 noltees of amollnts due under this paragraph. and in the
<br />event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing slich payments.
<br />Borrower shall promptly discharge any lien which has priority over thIS Deed of Trust: provided. that Borrower shall not he
<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 conlest sllch lien by, or defend cnforcement of sllch lien in,
<br />legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />s. Hazard InsllraDcr. Borrower shall keep the improvements now ex.isting or hereafter erected on the Property insured
<br />against loss by fire, hazards included within the term "cxtended i.:overage". 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 />slIch coverage exceed that amount of coverage required to pay the sums secured by this Deed of Tntst.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by LcndC'r~ provided,
<br />that such approval shall not be unreasonably withheld. All premiums on insurance policies shall he paid 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 />insurance carrier,
<br />AU insurance policies and renewals thereof shall be in form acceptable III 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 all renewal notices and all receipts of paid premiums. In the event of loss.
<br />Borrower shall give prompt notice to the insurance carner anJ Lender. LenJer may make proof of loss If not made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherWise agree in writ mg. Insuraol.'c proceeds shall be applied to restoration or repair of
<br />Ihe Property damaged. provided such restoration.or repair is economically .feasible ynd the security tl( this DeeJ of Trust IS
<br />not thereby impaired. If such resloratlon or repair is not economically feaSible or It the security of this Deed of Trust would
<br />be impaired. the insurance proceeds shall he 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 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 Lender's option eilher 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 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 aC<juired 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 Property 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 10 such sale or
<br />acquisition,
<br />6. Preservaliou and Maintenance of Properly; Leaseholds; Condominiums; Planued Unit Developments. Borrower
<br />shall keep lhe Property in good repair and ~hall not commit waste or permit impairment Of Jcterioration of the Property
<br />and sh~1I 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 pecrorrn all of Borrower's obligations under the declanltion
<br />or covenants creating or governing the condominium or planned unit development, the by~laws :.md regulations of the
<br />condominium or planned unit development. and constituent documents. If a condominium or planned unit development
<br />rider is executed by Borrower and recorded together with this Deed of Trust, the covenants and agrec.mems of such rider
<br />shall be incorJX'rated into and shall amend and supplement the coVenant3 and agreements of this Deed of Trust ;tS If the rider
<br />were a part hereof.
<br />7. Protection of LeDder's Security. If Borrower fails to perform the covenants and agreements. l:lmtaincd in this
<br />Deed of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the ProJ?Crty.
<br />including, but not limited to, eminent domain, insolvency. code enforcement, or arrangements or proceedings invoJvlOg a
<br />bankrupt or decedent. then Lender at Lender's option. upon notice, to Borrower, may make such appearances.. dishursc SllC~
<br />sums and take such action as is necessary to prOlcct l.ender's IOterest, including, out nOI limited to, dIsbursement of
<br />r~~~le att~lJ::~ey'$ fees and entry upon the Property lo make repairs. If ~endcr required mortgage insurance as a
<br />condition of making'the loan secured by this Deed of Trust, Borrower shall pay the premiums required to maintain sllch
<br />insu.-ance in effect until such time as- the requirement for such insurance terminates in accordance with BOfrower's and
<br />Lepder's written agreernc.p.t or appUcable law. Borro\\'er sl:lall pay the amount of all mortgage insurance premiums in the
<br />manner provided unde"rparagraph :2 hereof. '
<br />Any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall become additional
<br />indebtc~ne.ss 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 thereof. and shall hear interest from the
<br />date of'disbQrsell1ent at Ibe rate payable from lime to time on outstanding principal under the Note unless payment of interest
<br />at 5Ueh rate would be contrary tu applicable law. in which event such amounts shall bear interest at the highest rate
<br />permiMiblc; under applicable law. Nothing contained in this paragraph 7 shall require Lender 10 incur any expense or take
<br />any action berll\lndoic.
<br />I.. l~ lender. may make or ,ause to be mack: reasonable entries tlpon and inspection~ of th~ Property. provided
<br />dfat Lc-'*t ahan give Borrower notice prior to any such inspection specifying reasonable caUse therefor relalcd to Lender's
<br />inlet... in the ProIlCrtV.
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