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<br />UNIFORM COVENANTS. Borrower and Lender covenant and agree as follows: 84 -- 002716
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<br />.1. hynaent of Princ::iplll 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 Future Advances secured by this Deed of Trllst.
<br />2. Fu..... for T_ ..... '_..nee, 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 f'stimated 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 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 Jaw
<br />permits Lender to make such a charge. Borrower and l.ender 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 sllch agreement is made or applicable law
<br />requires sllch 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 !hey fa!! due. such excess shaH 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 shaH nOi be ~u~tlcient to pay taxes. assessments. insurance premiums and ground rents as they fall due.
<br />Borrower ,hall pay to lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />by Lendc r 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 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. 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 or 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. Challes; 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. pnoiity over this Deed of Trust; provided. that Borrower shall not be
<br />required 10 discharge any such lien so long as Borrower shall agree in writ::lg to the payment of the obligation secured by
<br />such lien in a manner acceptable to Lender. or shall in good faith contest stich 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. Huard IlISunace. 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 shalJ cill 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 shaH be chosen by Borrower subject to approval 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 paragraph 2 hereof or, if not paid in such manDer, 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 the 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 Propeny is abandoned by Borrower. or if Borrower fails to respond to Lender within 30 days from the
<br />date oOlice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits. Lender
<br />is authorized to collect aDd 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 ex.tend
<br />or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />such installments. If under paragraph IS 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 Ihe proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass. to Lender to the eXle0t of the sums secured by this Deed of Trust immediately prior to such sale or
<br />acquisition.
<br />6. Praenalion aDd M_teu""e of Property; Leaseholds; Condominiums; Planned Unit Developntents. Borrower
<br />shall keep the Property in good repair and shall not commit waste or permit impairmcnt or dcterioration of the Property
<br />and shall comply with the provisions of any lease if this Deed of Trusl is on a leasehold. If this Deed of Trust is on a unit in a
<br />condominium or a planned unit development. Borrower shall pcdorm all of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit development, the by-Jaws 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 t,;o\'enall[s and agreements of this Deed of Trust as if the rider
<br />were a part hereof.
<br />7. Proaedion of Leaders Sec:urUy. If Borrower falls 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. 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 to Borrower, may make such appearances. disburse such
<br />sums and take such action as is ntx.'eSSary to protect Lenders Interest, including. hut not limited to. disbursement of
<br />reasonable attorney's fees and entry upon tbe Property to make repairs. If Lender required mortgage insurance 3:') a
<br />condition of making the loan s.ecured by this Deed of Trusl, Borrower shall pay the premiums required to maintain stich
<br />insurance in effect until such time as the requirement for such insuruJH:c terminates in accordance with Borrower's and
<br />Lender's written agreement or applicable law. Borrower shaH pay the amount of all mortgage insurance premiums in the
<br />manner provided under paragraph 2 hereof.
<br />An)' amowlts disbursed by Lender purSU.lOt to this paragraph 7. Wilh interest thereon. shall hccomc additional
<br />indebtedness of Borrower secured by this Deed of Trust. tJnless Borrower and Lender dgree to other terIllS of payment. such
<br />amounts shall be payable upon notice from Lender to Borrower requesting payment thereof. and shall he.ar interest from the
<br />date of disbursement at the rate pa)'able from time to time on outstanuing principal under the Note unless payment of interes.t
<br />at suc,h rate would be contrary to applicable law, in which event SIKh amounts shall bear intcre,st at the hIghest rate
<br />pe:rmiss~ble under applicable law. Nothing contained lB this paragraph 7 ..h.dl require Lender to incur IWY ~~pcn~ or take
<br />any acliOn hereunder.
<br />... I~ l.ender may make or.l.:ausc 10 be made rca.'lonabic ~I~tn~\ upon ,Hht lIl1tPCt;tH..H1S ot _Ih~ Propel1Y. prt\\I~kJ
<br />that Lender shalt live Borrower notice prior to any such inspection Spl:CilYlOg rc-asonahlc cause fhcrctOJ ,n:{,i\.\t;:d lu,Lcut.h'f.\
<br />InteTelt in t_ Prooertv. t i ~ J,,' , 11:
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