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<br />83-{)04401
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<br />UNIFORM COVENANTS. 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 inlerest 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 Future Advances secured by this Deed of Trust.
<br />2. Fnndsfor Tans and I_ce. 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 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 reasoaable e>!timates thereof.
<br />The Funds shall be held in an institution th~ deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Lender if Lender is such ~n institution). Lender shall apply the Funds to pay said taxes, assessments,
<br />insurance premioms 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 agrec 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 the 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 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 amoont 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 rcfund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. Lender
<br />sball apply, no later tban 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 Deed 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 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. 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 />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 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 />S. HazanlInsuJ'llllCe. 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 />such coverage exceed that amount of coverage required to pay the sums secured by this Deed of Trust.
<br />The insurance carrier providing tbe insurance shall be chosen by Borrower subject to approval by Lender: provided.
<br />that sueb 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 to the
<br />insurance carrier,
<br />All insurance policies and 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 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 carrier 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 Ihe security 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 Property is abandoned by Borrower, or if Borrower fails 10 respond to Lender within 30 days from the
<br />date notice is mailed by Lender to Borrower that the insurance carrier offers 10 sellle a claim for insurance benefits, Lender
<br />is authorized to collect and apply the insurance proceeds at Lender's option either to resloration 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 10 principal shall not extend
<br />or poslpone 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 acquired 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 e"tent of the sums secured by this Deed of Trust immediately prior to such sale or
<br />acquisition.
<br />6. Preservation and MalateDlUl4:e of Properly; Leaseholds; Condominiums; Planned Unit Developmeots. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairment or deteriorarion 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 petform 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 eondominiom or planned unit developmenr
<br />rider is executed by Borrower and teCorded togetber with this Deed of Trust. tbe covenants and agreements of such rider
<br />shall be incorporated into and shall amend and supplement the covenanrs and agreements of this Deed of Trust as if the rider
<br />were a part hereof.
<br />7. Protectioa of Leader's Seeurily. If Borrower fails to perform the covenants and agreements contained in this
<br />Deed of Trust. or if any action or proceeding is commenced which materially affects Lender's interest in rhe Property,
<br />including. but not limited to, eminent domain, insolvency. code enforcement, or arrangements or proceeding:; involving a
<br />bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower. may make such a!,'pearances. disburse such
<br />sums and take such action as is necessary to protect Lender's interest. including, but not limIted to, disbursement of
<br />TCaSQnahie attorney'. fees and entry upon the Property to make repairs. If Lender 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 stich
<br />insurance in eft'ect until such time as the requirement for such insurance terminates in accordance wilh Borrower's and
<br />Under....s writ.ten agreement or applicable law. Borrower shall pay the amount of all mortgage insurance premiums in the
<br />manner provided Under pal'aBraph 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 Ihis 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 bear interest from the
<br />elate of ~f1eIlIIll\t .at the rate payable from time to time on outstanding principal under the Note unless payment of inleresl
<br />at such rate wCltild be contrary to applicable law. in which event stich amounts shall bear interest at the highest rate
<br />permiuible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any e"pense or take
<br />any a.;:tion~.
<br />L ~. Lender may make or cause 10 be made reasonable entries upon and inspections of the Propet1y, provided
<br />that Under 1lilill ~ve Borrower notice prior to any such inspe.:tion specifying reasonable caUSe therefor lelated to Lender',
<br />ioterwt In !be ProIlllrtV.
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