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<br />L[tirvoesn Cove. uwarrs. Borrower and Lender covenane amt agree as follows:
<br />f. Paytram of Prittcrpal trr~ Ieteresf. Bonnwer shah premptly pay when due the principal of and inurit am ire
<br />indebtedness evidenced by the Note, prepayment acrd sate charge as provi~.d in the Note, and the prirtcipai of and interest
<br />en any Future Advances secured by [his Decd of Trust.
<br />Z Ftra$s for Tans rttW Tta[~asce. Subject to applicable taw err to a written waiver by Lender, Borrower shad gay
<br />to l,cnder on the day monthly installments of principal and interest are payabte under the Note, until the Note is paid in feill,
<br />- sum (herein "Funds"} equal to one-twelftlt of the yearly tales and assessments which may attain priority over this
<br />Dxd of Trust, and ground rents un the Propetty, if any, plus otte-twelfth of yeazty premium installments for hazard ittsumnce.
<br />plus one-twelfth of yearly premium installments for mottgage insurance, if any, all as reasonabty estimated initially and from
<br />vine to time by Lender on the basis of assessments and bias and reasonable es<imates thereof.
<br />The Funds shah be held in an imstitu[ion the deposits or accounts of whicFt are insured or guaranteed by a Federa{ or
<br />state agency (including Lender if Lender is such an institution). Lender shah apply the Funds to pay said taxes, assessrrteniz.
<br />insurance premiums and ground rents. Lender may not charge for so holding and applying the Foods. analyzing said account
<br />or verifying and compiling said assessments and bills, unless Lender pays i3orrower 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 of this
<br />Deed of Trust that interest on the Funds shah be paid to Borrower, and unless such agreement is made or applicable taw
<br />requires such interest to he paid, Lender shall not be required to pay Borrewer any interest or earnings on the Funds. Leader
<br />shall give to Boncwer, without charge- an annual accounting of the Funds showin¢ credits and debits to the Funds and the
<br />parpose for which each debit to the Funds was made. The Funds are pledged as additional security for the sums second
<br />by this Deed of Trust -
<br />If the amount of the Funds held by Lender. together with the future monthly instailmments of Funds payable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rents. shall exceed the amount required to pay sold taxes.
<br />assessments, insurance premiums and ground rents as they tall due, such ezcis shalt ire, at Borrower-s optio4 either
<br />promptly repaid ;a B.^.rrower u c: zdi[2d to Borrowxr an manthiv instaifmznts f Funds. If the amount at the Funds
<br />held by Isnder :;hall not be sufficient to pay taxes. assessments. insurance premiums and ground rents as they fall due.
<br />Borrower shag pay to finder any amount necessary to make up qhc deficiency within 30 days from the date notice is mailed
<br />6y Lender to Borrower requiting payment thereof.
<br />Upon payment in ,cull of all sums secured by this Deed of Trust. Lcrder shall promptly refund to Banower any Funds
<br />held ny Isnder. If under paragraph I N hereof the Propery a sold or the Property is otherwise acquired by Lender. Lender
<br />shall apply. no later (here immediately peer to the sale of the i'rcpcrro or ire acquiaticn by Lender. anV Funds held by
<br />Lender at the time of application as a credit against the sums secm'ed by [his Ueed of Trust.
<br />3. Application of Payments Unless applicable law provides ethena~rse, ,JI payments receive) by Lender under the
<br />Note ant paragraphs 1 and ?hereof shall he applied by Lender frost m payment of amounts payable to Lender by Borrower
<br />under paragraph ?hereof, then to interest payable nn the No[c. ;hen to the principal a( the ^Jote. and then ro interest and
<br />principal an any Puture Advances.
<br />S. Charges: Liens. Borrower shall pay all taxes. cssessmen[s and other chzrges, line<. and impositions attributable to
<br />the Property which may attain a priority ever dtis Deed of Trust. and IeasehoiJ payments or ground rests, if any, in the
<br />matinee provided under paragraph 2 hereof nr, if not pail in such manrcer, by Harrower making payment, when due, directly
<br />to the payee thereof. Borrower shall promptly furnish to i_ender alt entrees of amounh due under this pa; agmph, and in the
<br />event Borrower shag make payment directiv. Borrower shall promptly tarnish la Lender receipts evidencing such payments.
<br />Borrower shall promptly dischar~c any !ieu -..-hie! has pnonty over flits Ihed of Trust: provided, that Borrower shall no[ be
<br />required is discharge any such hen so tone as Harrower shalt agree in writing to [he payment of the obligation secured by
<br />such lien in a manner acceptable to Lender. err shall m good faith comsat x;ch lien hy, or defend enforcement of such Gen in.
<br />legal proceedings which operate to prevent the enforcement of the hen or forfeiture of the Properly or any part thereof.
<br />5. Hazard Frewtanee. Borrower shah keep the impravemems paw exaung or htreafter erected on the Property insured
<br />against less by fire. hazards included within the term "extended :-evczage'- aa:d such other hazards as Lender may require
<br />and in such amounts and for such periods as Lender may requtrc: prondcd. chat to-nder shall not require that the amount of
<br />such coverage exceed that amount aF coverage requred to pay the runts secured by this Deems ~~[` Trust.
<br />The insurance carrier providing the insurance shat be ..hosen by liarrowrr subject to approval 6y Lender: provrdeJ.
<br />ihnz such approval shaft not tx unreasonably withheld. Ail premiums on insurance policies shall .!'e paid in the manner
<br />provided under paragraph ?hereof err, if eat paid in such manner, by Borrower making payment, when due. JirteSiV to the
<br />it~sv;ance csrrer.
<br />Ali insurance policies and renewals Ihereot shall be m form accephabic m Lendez and shall include a standard mortgage
<br />clause. in ,.*aver ^f and in farm :<eceptabte to f_endx:- Lcrder shall have .he right [o htid t he polices and rcaewais thereof.
<br />and Borrower shall promptly furnish tv Lcndcr all renewal pollees ant :d{ receipts ,+C pail premiums. fn the event of loss,
<br />Borrower shalt give prompt notice to the insurance carrier and Lender. Lender may make print of loss .. nw made promptly
<br />b_Y Borrower.
<br />Unless Lender and Borrower otherwise agree in writing. msurann proceeds shall be applied to restoration or repan of
<br />the Properly damaged, provided such restoration or repan is econommally feasible and the security of this DeeJ ut Trust n
<br />not thereby impaired. tf such riloratian or repair is not economically (risible or if the security of this Uced of 77ust would
<br />be impaired, the insurance proceeds shall be applied to the sums secured by this Uecd oC Trust. wuh the excess, d any. pail
<br />to Hairnwer. if the Property is abandoneJ by Borrower, or if Borrower fails to respond to Lender within 30 days from [he
<br />date notice is mailed by Lender to Borrower chat the insurance carrier offers to settle a claim for insurance benefits, lender
<br />is authonud to collect and apply the insurance proceeds at Lender's option either to ritoratien or repair o[ the Properly
<br />or to the sums secured by this Deed of "Crust.
<br />Units Lender and Borrower otherwise agree in writing, any such :rpplicauon ui proceeds to principal shall not extent
<br />or postpone the due date of the monthly instaflments referred to in paragraphs 1 ant 2 hereof err change the amount m
<br />such insta{intents. if under paragraph I g hereof the Property rs acquired by Lender, aIi right, Utle and interest of Borrower
<br />in and !e any insuramce policies and in and to the proceeds thereof resulting Pram Jamage to the Property prior to the sale
<br />or acquisition shall pass to Lender to the extent of the sums secured ny this Ixed n[ Trust immediately prior to such sale or
<br />acquisition.
<br />6. Prtserv-ateon and Maintenance of Property; Leaseholds: Condominiums; Planned Unit 1)kvelopments. Borrower
<br />chill keep the Properly in goof repair .md shall pert cnmmu waste ~+r ~•nnu imp;urmcnt or Jetenoraiiun of the Property
<br />.red shah comply with the provisions of :my lease if this Ueed of Trust is on a leasehold. 1[ [his DeeJ of Trust is on a unit in a
<br />condominium or a planned unit development, Borrower shall perform all nt Borrowers obligations under the dedaratwn
<br />or covenants creating or governing the condominium or planned unn development, the by-laws and regulations of the
<br />condominium or panned unit deveivpmen6 and constituem due:uments. if a condominium or planned amt development
<br />rider is executed by Borrower and recorded togaher with this Ueed of "Trust, the cevenams and agreements of such rider
<br />shall be in;:at~aratetl into and shah amend and supplement the covenants and agreemems of this Deed of Trust ::s it the rifer
<br />were a part hereoL
<br />7. Prrieaiian of Leader's Sxcurliv, tf Borrower fails to Ixrform the covenants ant agrccmcnb nrotanicd m this
<br />Deed of Trnsr, or if any action er proceeding is commenced which materially affects Lender's intenyt in the Property.
<br />!eluding, but not limited io, eminent domain, insolvency, code entorcemem, or arrangements or proceedings itrvoivmg ..
<br />bankrupt or decedent, then Lender at Lender's option, upon notice to Horrower, may make wch appearances, Disburse wch
<br />sums and take such action as is necessary [n protect Lender's intern, including. but not limited to, disbursemem nl
<br />reasonable attorneys fees and entey upon the Property to make repairs. (C bender reyuiretf mortgage insurance a
<br />condition of making the loan secured by this Ueed of Trust, Borrower shall pay the premiums reyuireJ b, mwntam srsh
<br />insurance in effect until such time as the reyuiremen[ (or such insurance terminates in accordance with Rorrowcr's ant
<br />Lenders written agreement or applicab}e taw. Borrower shalt pay rite amowm at all mortgage insurance prenuums m the
<br />manner provided wader paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall heroine aJduumal
<br />indebtedness of Borrower secured by this UeeJ of Trust. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts shall he payable upon notice from under to Borrower requesting payment thereof, ar?d shall hear intern from the
<br />date of disbursettrznt at the rate payable £rom time to time on outstanding principal under the vote unless payment of interest
<br />a[ such rate would be contrary to applicable law, in which event etch amounts shall hear interest at the highest rate
<br />permissible ttnd^.r applicable !aw. Nothing contained in this paragraph ' shall require Lender to incur any expense oz take
<br />any action hereunder.
<br />g. lttipectina. Lxtuler may make or cause [o he made reawnaele entries upon ant insp wanes of the Property, pruviJeJ
<br />t err i_ender shall give BGZrvwrr notice prior to any sacs! inspection specifying reasonable cause iherefar rotated :o Lender's
<br />irfe. _.t im t!x• prar°:ty.
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