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<br />LIA7Ff xr+t CovisxcNT_s. Burrower and 1_ender covenant and agrx as follows:
<br />i. Payment of Prindpil and tnter~t. Borrower shall promptly pay when due the principal of and interest on the
<br />indebtedness evidenced by thr Note, prepayment and Late chazges as provided in the Note, and the principal of and interest
<br />on any Future Advances secured by this Deed of Tntst.
<br />Z. Rtm$s for Taaea and Ir~~auce. Subject to applicable law or to a wrtten waiver by Lender, Borrower steal} pat
<br />to Lender en the day monthly installments of principal and interest are payable tinder the Note, until the Note is paid in fu8.
<br />a sum (herein "Funds"} equal to one-twelfth of the yearly lazes and assessments which may attain priority over this
<br />Deed of Trust, and ground rents on [he 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, alt as reasonably estimated initially and from
<br />Nine to lime by Lender en the basis of assessments and bills and reasonable estimates thereof.
<br />The Funds shall 6e held in an insEitution the deposits or accouats of which are insur..d or guaranteed 6y a Federal or
<br />state agency (including Lender iE Lender is such an institution). Lender shall apply the Funds to pay said taxes. assessments.
<br />insurance premiums and ground rents. I_endar 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 m make such a charge. Borrower and Lender may agree in writing at the time of execution of this
<br />Deed of Trust that interest on the Fonds shall be paid to Borrower, and unless such agreement is made or applicable law
<br />requires such interest to be paid, Lender shall no[ he required to pay Borrower any interest or casings on the Funds. Lender
<br />shaft give to fiorrowcr, without charge, an annual accounting of the Funds showing credits and debits to the Funds rind 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 [he future monthly installments of Funds payablr 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 6e, at Borrower's option, either
<br />promptly repaid Io Borrower or credited to Borrower on monthly installments of Funds. if the amount of the Fonds
<br />held 6y Lender shall not he sufiicient to pay saxes, assessments, insurance premiums and ground rents as thep 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 />L'pon payment in tali of all sums secured by this Deed of Trust, fender shall promptly refund m Borrower any Fgnds
<br />hrld by Lender. if under paragraph 1 g hereof the Propen}' 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 Pavroenis. Unless applicable law provides otherwise, alt payments received by Lender under the
<br />Note and paragraphs 1 and 2 hereof shall he applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph 2 hereof, [hen to interest payable on the Note, then to the principal of the Note, and then to imeres[ and.
<br />principal on any Future Advances-
<br />4. Chartres; Lie[tc Borrower shall pay all rases. assessments and other charges. fines anJ impositions attributable to
<br />the Prooeriy :vfiich may attain a priority over this Deed of Trust. and leasehold payments or ground rents, if any, in the
<br />mariner provided under pazagraph 2 hereof or, if not paid in such manner, by Borrower making payment, when due, directly
<br />to the payee thereof. Borrower shag promptly furnish to Lender aI! notices of amounts due under this paragraph, arzd it[ the
<br />event Burrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evidencing such payments.
<br />Borrower sitaB promptly dischazge any lien which has priority over this Deed of Trust provided, that Borrower shall no[ Fx
<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 Prooerty or any part thereof.
<br />5. Hazard Insurance. Borrower shall keep the improvements now exerting or hereafter erected on the Propertn• insured
<br />against loss by fire, hazards included within the term "extended coverage", and such other hazards as lender ma}• require
<br />and in such amounts and for such periods as Lender may requim; prnvtdcd, that Leader 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 Tntst.
<br />T'ne insurance carrier providing the insurance shat) be chosen by Borrower subject to approval by Lender: provided.
<br />Shat 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 manner, by Borrower making payment, when due, directly to the
<br />insuraace carrier.
<br />H{i inSUranee policies and renewals thereof shall he in form acceptable to Lender and shall include a standard rnnrtgagr
<br />clause in favor of and in form acceptable to Lendzr. L.endrr shag have the right to hold dte puiirirs and renewals thereof.
<br />end Borrower shall promptly furnish to Lender alt renewal notices and all receipts of paid premiums. !n the event of loss.
<br />Borrower s`teaB give prompt notice to the insurance- cagier and Lender. Lerner may make proof of .oss .f sat made- promptly
<br />by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds ,hull he applied to restoration or repau of
<br />the Property damaged, provided such rcstoranon or repair is economically feasible and the security n( this Deed ni Trust n
<br />not thereby impaired. If such restoration or repair is not economically (easible or :f the security of this Deed of "Frost would
<br />be impaired, the insurance proceeds shall he applied to the sums secured by this lleed of Trust, wash the excess. d any, pout
<br />to Borrower [f the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 3D days from the
<br />date notice is mailed by Lender to Borrower that the insurance earner offers to stole a dawn for insurance beneF.ts. Lender
<br />is authorized to eoBect and apply the insurance proceeds at Lender's option either to restoration or repau of the Yropettv
<br />or to the sums secured by this Deed of Trust.
<br />Unless Lender and Borrower otherwise agree m wasting, any such applicaton of proceeds [o princip;d shall not extend
<br />or postpone the due date of the monthl}' installments referred to in paragraphs I and ? hereof err change the amount et
<br />such installments. If under paragraph 18 boreal the Property e, acquired by Lender. all nght, title and interest of Borrower
<br />in and to any insurance policies and m and io the proceeds thereof resulting Inmt damage to the Property poor to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured by thu Ueed of Trust unmecliately poor to such srdt or
<br />acquisition.
<br />6, PreservatImr artd Mniutenance of Property: l.e:ueholds; Condominiwns, Planned Unit Developments. Borrower
<br />.hall keep the Property in gaud rep;ur and shall nut comma w;u1e err peons nnpew sum ur Jch•nur,~non of the Property
<br />and shall cotnplp with the provisions of any lease if this Decd of frost is on a leasehold. It thu Geed of 'Crust a on a amt in ;t
<br />condominium or a planned «nit development, Borrower shall perform :dl ut Borrower'x ohligatiuns ender the declaranun
<br />or covenants creating or governing the condominium or planned amt development, the by-laws and regulation u1 the
<br />condominium or ptaoned unit developmem, and constituent documents. 1(a condominium ur planned unit devclnpmem
<br />cider is executed by ftormwer and recorded together with this Decd ul -Trust, the covenants and agreements of such nder
<br />shall be incorporated into and shall amend and supplement the cn•enanu :mJ agreements of the Deed ut Trust :u if the nder
<br />wer2 R par[ hereof.
<br />Pro[artinrs of Lender's Security. if Borrower fads to perform the covenants ana agreements cnntamed in phis
<br />Deed of Trust, or it any action or proceeding is commenced which matenally attests Lenders interest m the Pmpert},
<br />including, but not limited to, eminent domain, insoh•ency, code ontorcernent, or arrangements or proceedings invnlvtng a
<br />bankrupt or decedent. then Lender at Lender's option, upon notice to 13nrrower, ma}• make such ap}x:vances, disburse .uch
<br />sums and take such action as is necessary to protect Lender's mteresL including, teat nut limited tu, dsbursement o.
<br />reasonable attorney's fees and entry upon the Property to make repairs. It Lender rcywred mortgage insuranec as a
<br />condition of making the loan secured by [his Deed of Trust, Borrower shall pay the premiums required m m'amtain such
<br />insurance in effect omit such time as the requiremem for such insurance terminates in accordance wash Borrower's and
<br />!_ender's written agreement or applicable law. Borrower shall pay the amount of all mortgage insuranec prcmiurns m the
<br />manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon- shall become addninnal
<br />indebtedness of Borrower secured by this 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 hear interest (corn thr
<br />'date of disbursement at the rate payable fmm time m time on outsmnding principal under [he Note unless payment of imercs[
<br />at such rate would be contrary to applicable law, in which event such amounts shall hear interest at Ihr highrst rate
<br />permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take
<br />anv_ action hereunder.
<br />g. inspection. Lender may make or cause to he made reasonable entres upon :md inspections of the Properry~, provided
<br />that Leader stta[t give x',orrower notice prior to any such inspection sp_citying reasonable cause therefor rcia!td to (tender',
<br />irterwt in the Prow..^.v.
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