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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: ~3~ 005310
<br />,1. Payment of Principal and Interest. Borrower shall promptly pay when due the~nncipal of and interest on the
<br />indebledness evidenced by the Note, prepayment and late charges as provided in the Note, and the principal of and interesl
<br />on any Future Advances secured by this Deed of Trllst.
<br />2. Funds for Taxes and Insunnee. 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~tweJfth of the yearly taxes and assessments which may attain priority over this
<br />Deed of Trust, and ground rents on the Properly, 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 shaH be held in an institution the deposits or accounts of which are .insured or guaranteed by a-Fed~ral or
<br />slale 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. Lender may not charge for so holding and applying the Funds, analyzing said account
<br />or verifying and compiling said asseS5ment~ 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 o~ this
<br />Deed of Trust that interest on the Funds shall be paid to Borrpwer, and 'unless such agreement is made or appHcabl.e..la\%,
<br />requires such interest to be paid, Lender shall not'be required to pay Borrower any interest 'or earnings on the 'Punds. Lender
<br />shall give to Borrower, without charge. an annual accounting of the Funds shOWing credits and debits to ,the Funds an~, 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 need 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, shaH exceed the amount re'luired 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 10 pay taxes, assessments, insurance premiums and ground rents as they faU 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 need of Trust, Lender shall promptly refund 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 />shall apply, 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 Deed of Trust.
<br />3. Appfieadon 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 payablecto 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 arid
<br />principal on any Future Advances.
<br />4. Charges; Liens. Borrower shall pay all taxes. assessments and other charges. tines and impositions attributable to
<br />the Property which may attain a priority over this need 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 shaH 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. Haz:8rd lusn.ranee. 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 />~uch 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 subject to approval by Lender; provided.
<br />that such approval sbaH not be unreasonably withheld. All premiums on insurance policies shaH 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 shaH 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 Joss,
<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 the security of this Deed of Trllst 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 offers to settle a claim for insurance benetits, Lender
<br />is authorized to collect aod apply the insurance proceeds at Lender'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 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 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 extent of the sums secured by this Deed of Trust immediately prior to such sale or
<br />acquisition.
<br />6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Property in good repair and shalt not commit waste or permit impairment or deterioration of the Property
<br />and shan comply with the provisions of any lease jf this Deed of Trust is Oil a leasehold. If this Deed of Trust is on a unit in a
<br />condominium or a planned unit deveJopment, Borrower shall petform aU 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 condominium or planned unit 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 the rider
<br />wer" a part hereof.
<br />7. Protection of Lender's Security. 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 the Property.
<br />including) Qut not limited to. eminent domain, insolvency, code enforcement, or arf'dngements 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 to, disbursement of
<br />reasonat>>le. a~to(,ney's fees and entry upon tbe 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 such
<br />insurance in effect until such time as the requirement for such insurance terminates in accordance with Borrower's and
<br />~~"& wri.~~n agreement or applicable law. Borrower shaH pay the amount of all mortgage insurance premiums in the
<br />m~nner provided under paragraph 2 hereof.
<br />An): lllIIOl!Dts disbl!rsed by Lender pursuant to this paragraph 7, with interest thereon. shall hecome additional
<br />indebted"eU of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to other terms of payment, such
<br />amountssballhe pay.able upon notice from Lender to Borrower requesting payment thereof, and shall bear interest {rom the
<br />. date of4isbu~tat 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 a"plicable law, in which event such amounts shall bear interest at the highest rate
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take
<br />any action.~~.
<br />a. ~. Lender may make or cause to be made reasonable entries upon and inspectjons of the Property. pn.widcd
<br />that ~ ~ give Borrower notice prior to any such iQS~.ction .specifying reasonable cause therefor reJated fO Lender';;;
<br />interestln tbC PtoPOrtv,
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