|
UNIFORM Covert~rrTS. Borrower and ]...ender ::ovenant and agree as follows: `~ -~~ , ~ ~.) ~~ ~ t3 ~,
<br />1. Payment of Principal and Interest. Borrower shall promptly pay when due the prncipal 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 anyy Future Advances secured by this Decd of Trust.
<br />Z. i+`serls for Taxrs and Imorance. Subject to applicable law or to a written waiver by Lender, Borrower shat! pay
<br />to Lender on the day monthly installments of principal and interest arc payable under the Note, ttntiF the note is paid in full,
<br />a sum (herein "Funds') equal to one-twelfth of the yearly taxes and assessments which may a"main priority over this
<br />Deed of Tnrst, and ground rents on the Property, i(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 cstimaccs thereof.
<br />The Funds shall be held in an institution [he deposits or accounts of which are insured or guaranteed by a Federal or
<br />state agency {including Lender if Lender is such an irstihnionl. Lender shall apply the Funds to pay said lazes, 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 applicabic law
<br />permits [..ender to make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Decd of Trust that interest on the Funds shall be paid [o Borrower, and unless such agreement is made or applicable law
<br />requires such interest to be paid, Lender shalt not be required to pay Borrower nay 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 Lcndcr, together with the funtre monthly installments of Funds payahlc prior zo
<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 he, az Borrower's option, either
<br />promptly repaid to Borrower or credited to Borrower nn monthly installments of Funds. If the amount of the Funds
<br />held by Lender shat! no[ 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 matted
<br />by Lender to Aorrower requesting payment thereof.
<br />Upon payment in full of alt sums secured by this Deed of Tnrsz. Lender shall promptly refund to Borrower any Funds
<br />held by Lender. If under paragraph 18 hereof the Property is sold or the Property rs ott?crwise acquired b}' Lender. Tender
<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 lime of application as a credit against the sums secured by this Decd of Trust.
<br />3. AppAcation of Payments. Unless applicable Saw provides otherwise. a!1 payments received by [.ender under the
<br />Note and paragraphs 1 and 2 hereof shalt lac applied by (..ender first in payment of amounts payahlc to Lender by Borrower
<br />tinder paragraph 2 hereof, then to interest payable on the Note, then to the principal of the Notc, and then to interest and
<br />principat. on any Future Advances.
<br />4. Chart;ts; Lietts. Borrower shaA 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 cr ground r., ,ts, :f any', ir. the
<br />manner provided under paragraph 2 hereof or, if not paid in such manner, by Borrower making paymentnwhen due, directly
<br />to the payee thereof. Borrower shall promptly furnish to i.endcr all notices of amounts due under this paragraph, and in the
<br />even[ Borrower shall make payment directl}•, Borrower shall promptly lurnish 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 he
<br />required to discharge any such lien so tong as Borrower shall agree in writing to the paymem 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. Hlrard hrsuruce. 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 Lcndcr may requirr
<br />and in such amounts and for such periods as tender may require: provided, that Lender shall not require that the zmount of
<br />such coverageexceed that amount of coverage required to pay fie sums secured h}' this Deed of "trust.
<br />"Ihe insurance carrier providing the insurance shall tae chuu.n by Borrower subject to approval by Lender; provided.
<br />that such approval shall not be unreasonably withheld. AIt premiums on insurance policies shall be paid in the manner
<br />provided tinder garagaph 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 [o 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 (hereof.
<br />and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. }n the event of loss,
<br />Borrower shall give prompt notice ro the insurance carry and Lcndcr. Lender may make proof of loss ii not made promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance pro<:ecds shall be applied to restoration or repair of
<br />the Property damaged, provided such restoration or repair is cconotnirdly icasihle :rod the security of this Deed of Trust u
<br />not [hereby impaired. if such tutoration or repair is not economically feasible ur if the security of Yhis Decd of l~nist would
<br />be impaired, the insurance proceeds shall be applied to the sums secured by this Decd of "Crust, wrth the excess, if any, held
<br />to Borrower. If the Property is abandoned by Borrower, or if Borrower fails to respond [o Lcndcr within 3fi days tram 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 io collect and apply the insurance prviceeds ai Lender"s option either to reswration or repair o!' [hc Propeny
<br />or to the sums secured by this Deed of Tnrst.
<br />Unless Lender and Borrower otherwise agree in writing, any such slppGcatirna of prcx:eeds to principat ,hall not extend
<br />or postpone [he due date of the monthly installments referred min paragraphs I and ?hereof or change the amount ni
<br />suchinstallments. Tf under paragraph IS hereof the Property is acquired by T.cnder, all right, title and interest of Borrower
<br />in and to any insurance policies and in and to the proceeds thereof resulting from damage ro the Propeny prior to the side
<br />or acquisition shat! pass to Lender to the extent of the sums secured by this Decd of Truss immediately prior to such sale or
<br />acquisition.
<br />6. Preservation and Maiotenanee of Property; Leacehulds; Condominiums; Planned Unit Developments. Borrower
<br />shall keep the Property in good repair and shall not commit waste or pcrmre intpnimtern or de[criaratinn nl the Property
<br />and shall comply with the provisions of any lease iF this Dried of Trust is on a leasehold. If this Decd o[ Trtwt is on a unit in a
<br />condominium or a planned unit development, Borrower shall pccform a1f of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit d€vclopment, the by-laws and regulations of the
<br />condominium or planned unit development, and constintem documents. IF a condominium or plam,ed unit development
<br />rider is executed by Borrower and recorded together w-ith this Decd oY Trust, the covenants and a,recments of such rider
<br />shall Tv: incorporated into and shall amend and supplement the covenants and agreements of this Decd of Trust s if the rider
<br />were a part hereof.
<br />7. Protection of Lender's Security. If Burrower fails to perform the covenants and agreements contained in this
<br />Decd of Trust, or if any action or proccedine is commenced which materinliy affects Lender"s interest in the Property,
<br />including, but not limited to, eminent domain, ipsolvency, code enforcement, or arrmgcmcnls or proceedings it„ol•zing :~
<br />bankrupt or decedent, then Lender at tender's option, upon notice to BO(COWer, may make such appearances, disburse such
<br />sums and take such action as is necessary to protect Lender's interest, including, l,ut no[ limited tu, dishunemem r,,
<br />reasonable. attorney's fees and entry upon the Property to make repairs. If 1_endcr required mortgage ,nsuronec as n
<br />condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiums required to rnaimain such
<br />iruurance in effect until such time as the requirement Far such insurance terminates in acccardancc with Borrower's :nut
<br />tenders written agreement or applicable law. $orrower shalt pay the amount of all mortgage insurance premium} u, the
<br />manner provided under paragraph 2 hereof.
<br />Any amouns disbursed by Lender pursuant to this paragraph 7, with intcresz thereon, shalt hcam,e :riditictaal
<br />indebtedness of Borrower secured by this Decd of Trust. Unless Borrower and Lcndcr :egree u> other term, of paymenz, .urn
<br />amounts shatlbe payable upon notice from 1_ender to Borrower requesting payment thereof, ar,d ,hall hear interest Irom the
<br />date of disbursement at the rate pnyabke from time to time on outstanding principal under the Noic unless payment oGnzcrev
<br />at-such rate would be contrary to applicable taw, in which event such amounts shalt hear mreres; at the highest rate
<br />permissible under appicable law. Nothing captained In this paragraph 7 shat( require Lcuder to incur any expo nse or take
<br />any action hereunder.
<br />B. 1nsPectiuo. T_errdcr ntay make or .:ease to be made rcasonahle entries upon anu uu3.~cuonn of the Props. ty r ti:elect
<br />that Lender sloe(( give Burrower notice prior to any such inspeciirm s~citying reasonable c„use rharcfor relareu a=~ I•c n:,irr~~.
<br />interest i^ the ProoerYV_
<br />
|