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<br />83- 002742
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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows:
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<br />I.. 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 late charges as provided in the Note, and the principal of and interest
<br />on any Fllture Advances secured by this Deed of Trust.
<br />2. Fnnds for Tues and Insurance, Subject to applicahlc law or to a written waiver by Lender, Borrower shall pay
<br />10 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 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 slIch 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 Lender to make such a charge. Borrower and Lender may agree in writing at the time of execUlion of this
<br />Deed of Trust that interest on the Funds shall be paid to Borrower, and unless stlch 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 the Funds, Lender
<br />shall give to Borrowcr, without charge, an annual accounting of the Funds. showing credits and tlehits to (he 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 tn
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shall cxceed the amount required to pay said taxes.
<br />assessments, insurance premiums and ground rents as they fall due, such excess shall bc. at Borrower's option, either
<br />promptly repaid t,o 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 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 full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph J 8 hereof the Property is sold or the Property IS otherwise acquired by Lender. Lender
<br />shall appJy. no later than immediately 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 need of Trust.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragraphs I and 2 hereof shall be applied by I.ender first in payment of amollnts payable to I.ender 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 attain a priority over this Deed of Trust, and leasehold payments or ground rents, if any, in the
<br />mannCT 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 aJl notices of amounts due under this paragraph, and in the
<br />event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidcncing such payments.
<br />Borrower shall promptly discharge any lien which has priority over this Deed of Trust; provided, thilt 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 contest sllch lien hy, ('r defend enforcement 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 Insuraace. Borrower shaH keep the improvements now exisling or hereafter erected on the Property insured
<br />against loss by fire, hazards included wiihin the term "extended l.'overagc", :'lOLI such other hazards as Lender may require
<br />and in such amounts and for such periods as Lender may require: provided. that Lemler shall not require that the amount of
<br />such coverage exceed that amount of coverage required 10 pay the sums secured by thiS Deed of Trllst.
<br />The insurance carrier providing the insuranl.'c shall he chosen by Borrower subject to approvo.ll 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 paragrapb 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly to the
<br />insurance carrier.
<br />All insurance policies and renewals thereof shall be in form ~.H.:~cptable ro Lender and shall include a standard morlgage
<br />clause in favor of and in form acceptable to Lender. Lt:nder shall have the right to hold the policies and renewals thereof.
<br />and Borrower shall promplly furnish to Lender all renewal notices and all receipls of paid premiums. In the event of loss.
<br />Borrower shall give prompt nOlice to the insurance carrier anJ Lender, Lem.ler may make proof of loss if not made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insuram:e prot.:eeds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoration or repair is cl.'onomically .fcasibl~ and the s~l>lIriIY of this Dced or Trust is
<br />not thereby impaired. If such restoration or repair is not economically feaSible or If the sel.'unty of this Deed of Trust would
<br />be impaired, the insurance proceeds shaH 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 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 olTers to settle a chum for insllfan~c henefits, I.ender
<br />is authorized to coJlccl and apply the insurance proceeds at Lender's option either to rcsloration or repair of the Property
<br />or to the sums secured by this Deed of Trllst.
<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 l.'hangc the amollnt of
<br />such installments. If under paragraph I X hereof the Property is at:quircd by Lender, all right, title and interest of Borrower
<br />in and to any insurance policies and in and to the proi..:ccds thereof resuhing 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 Dced of Trust immediately prior to such sale or
<br />acquisition,
<br />6~ Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit I>eve!oprncnts. Borrower
<br />shall keep the Property in g()(,tl repair and shall not l.:ommit W;:lsle or pl..'rmit imp"irml..'llt or deterioration {If the Properly
<br />and shall comply with the provisions of any lease if this Deed of TrUl'i1 is on a leasehold, If this Deed of Trust is on a unit in ~I
<br />condominium or a planned unit development, Borrower shall pcuorm all of Borrower's obligations under the declaralion
<br />or covenants creating or governing the condominium or planned unit development, the by-laws and regulation:'> 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 T rust, the covenanlS and agreements of such rider
<br />shall be incorporated into and shall amend and supplement the covenants and agreements of Ihis Deed (11" Tru~t .IS if the rider
<br />were a part bereoL
<br />7. Protection of Lender's Security. If Borrower fails to perform the covenants anu agreements I.'onlaincd in thb
<br />~ed of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the Property,
<br />including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or pro~ccJing" in\'l.)lving a
<br />bankrupl or decedent, then Lender at lender's option, upon notice to Borrower, may make such appcarant:cs, dishur:.c ~lIl.'h
<br />sums and lake such action as is necessary to protect lender's inlcrcst, including. hut not limited to, disoursel1\ent ()I
<br />reasonable attorney's fees and entry upon the Property 10 make repairs, H Lender required mortgage in.\UnIIKc ;1'., ;\
<br />condition of making the loan s.ecured by this Deed of Trust, Borrower shall pay the premiums required to llli:lintain :'>u..:h
<br />insur.ance in effect un!iI such time as the requirement for such insurance terminates in accordalll.'c with Borrower',') anJ
<br />lender's written agreement or applicable law, Borrower shall pay the amount of all mortgage insurance prcrnilHn~ in the
<br />manner provided under paragraph 2 hereof.
<br />Any amol.lnts disbursed by Lender pursuant to this paragraph 7, with imeres! thereon, shall hccornc addilit'IUl
<br />indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and I.ender agree to other terms nf paymcnl, ..,\teh
<br />amounts shall be payable.upon notice from Lender to Borrower requesling payment thereof, and shall hear Interest f'wm fhe
<br />date of 4i$bur.semcnt at the rate payable from time to time on outstanding principal under the Note, lInlcss pa)'l11cnt of interest
<br />at such r~te would be contrary to applkable law, in which event 'illch amounts shJIl bear intcrc~l at the highc'it rate
<br />permissiblt!; under applicable law. No1hing contained in this paragraph 7 !'ihaJl require I.ender to incur .tny expense or take
<br />any action Ilereunder.
<br />S. Inspection. Lender may make or caust~ (() be made rcas<lnable cntrie~ upon ,md in."pccllOns of the Property, I'fP\.idl'd
<br />that Lender shaU give Borrower notice pri()f to any such inspection s.pccifying rea~on;tblc i.:;lu~(.. lherefor n:latecJ 10 l.t.ftJ(~r'"
<br />interest in tbe Prol'Cftv.
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