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<br />Utsrrttass iCuvt~€-~-:ss. His.-rower and f~tder cavenaat and ogre as fo36owsc
<br />I» Mhysaert sit sssi Its. Borrowrer shall promptly p~azy when due the. principal of and interest on tiie
<br />evidettoaEdPiote, prepayrsttat and {alt charges as provsdad in the Note, artd the principal of and irterest
<br />on asy Future Advances secured by Phis Deed ai Trust.
<br />2. iF~ 1lar'li'aas aai IhtwaStoce. Subject fo appficable law or tts a written waiver by Lender, Borroieve, shat) pay
<br />to Lendu on the day monthly ittstaliments of principal and interest arc payable under the Nate, until the Note is paid in foil.
<br />a ~ therein "Figs°) equal to orte-twelfth of the yearly taxes and assessments which may attain priority over this
<br />Died of Trust. and ground rents on the Property, if any, plus one-twdfih of yearly premium installments for hazard insurance.
<br />plus ant-texdith of ypAy premium instalimtnts for mortgage insurance, if any, aft as reasonably estimated initially and from
<br />tirtte to time by Leader on the basis of assessrrients and bills and reasonable estimates thereof.
<br />Tbt Irurtda shall tx held in an imtitution the deposits <x accounts of which are insured or guaranteed by a Federal or
<br />state agency (including Leger if Lender is such an institution). Lender shall apply the Funds to pay said taxes, 2ssessments.
<br />insurance premiums sad gourd rents. Leader may trot charge for so holding and applying the Funds, analyzing said account
<br />ar verifying std compiling said assessments and bills, unless Lender pays Borrower interest on the Funds and applicable law
<br />permits Linder to make such a charge. Borrower and Lender tttay 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 Bitch agreement is made or applicable law
<br />requires such 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 debiLS to the Funds and the
<br />purpose for wlricfi each debit to the Funds was made. The Funds are pledged as additional s: ct;rity for the sums secured
<br />by this Deed of Trutt.
<br />If the amount of the Furls held by Lender, together with the Future monthly instalirttents of Funds payable prior to
<br />the due data of texts, assessments, imurance 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 be. at Borrowers option, either
<br />promptly repaid to Hotrower or credited to Borrower on monthly installments of Funds. If the amount of the Funds
<br />hdd by Lender sMll not be sut5cirnt to pay taxes, assessments. insurance premiums and ground rents as [hey fall doe.
<br />Borrower shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice is mailed
<br />1r9 Lender to Borrower requesting payment thereof.
<br />Upon payrnrnt in full of ail sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds
<br />hdd by Lrnder. if under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender. Lender
<br />shall apply, no Iota than rmmedratety 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 Dced of Trust.
<br />3. Appl~os of 1Payssiea~ Unless applicable law provides otherwise, all payments received by Lender under the
<br />Note and paragaphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower
<br />under paragraph Z hereof, then to interest payable on the Note, then to the principal of the Note, and then to interest and
<br />prituipal on any Future Advances.
<br />~~ £h~ Lieo~ borrower sha)i pay all taxes, assessments and other charges, fines and impositions attributable to
<br />the Property which tray attain a priority over this Deed of Trust, and leasehold payments or ground rents, if any, in the
<br />tnaoaer provided under patttgaph 2 hereof ar, if not paid in such manner, by Borrower making payment, when due, directly
<br />to the payer thereof. Borrower shalt promptly furnish to Lender all notices of amounts due under this paragraph, and in the
<br />evrnt Borrower shall make payment directly, Borrower shat) 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 Ike sa tong as Borrower shalt agree in writing to the payment of the obligation secured by
<br />Bitch lien in a manner acteptable to Lender, or shaft in good faith contese such lien by, or defend enforcement of such lien in.
<br />legal pproceedings which operate to prevent-the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />S. Henri Itwra~ee. 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 />such coverage exceed that ammunt of coverage required to pay the sums secured by this Deed of Trust.
<br />The rosurance carrier providing the insurance shall be chosen by Borrower subject fo approve! by Lender, provided.
<br />that such approval shall riot be unreasonably withheld. All premiurrrs 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 />iaautaace carrier.
<br />Alt itaurattce policies and reaewals thereof shall be in form acceptable to Lender and shall include a standard mortgage
<br />clause in favor of and is form acceptable to Lender. Lender shall have the right to hold the palisies oral renewals thereof.
<br />and Harrower shall promptly furnish to Lender all renewal notices and all receipts of paid premiums. In the event of loss.
<br />Borrower shell give prompt notice to [he insurance carrier and Lender. Lender may make proof of loss if not made promptly
<br />by Borrower.
<br />Unless [xrrder and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration ar repair of
<br />rite Property damaged, provided such r+estu-r_tion or repair is ccomrmically feasible and the security of ibis Deed of :: usi iv
<br />not thereby impaired. If such restoration or repair is eat economically feasible or if the security of This Deed of Trust would
<br />ce impaired, the insurance proceeds sha)1 be applied io the sums secured by this Died of Trust, with the excess, if any, paiei
<br />to Borrower. If the Property is abamtoned by Borrower, or if Borrower fails to respond to Lender within 30-days from the
<br />dolt Holier is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits. Linder
<br />is suthorittd to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the Property
<br />or to the sums secured by this Dtxd of Trust.
<br />Ualess Lender sad Borrower otherwise agtwe in writing, any such application of proceeds to principal shall not extend
<br />or postpone the due date of the rrronthly installments referred to in paragraphs 1 and 2 hereof or change the amount of
<br />stub installments. If under paragraph IS hereof the Property is acquired by Lender, all right, title and interest of Borrower
<br />in and to aay insurance policies and m and to the proceeds thereof resulting from damage to the Property prior to the sale
<br />or acquisition shall pass to Lrnder to the extent of the sums secured by this Deed of Trust immediately poor to such sale or
<br />acgwsition.
<br />d. rreservsitloa sad 1Nalatetsarsce of Property; Leaseholds; Condominiums; Pbnned Unk Developments. Borrower
<br />shall kelp the Property in good repair and shalt not comma waste or permit impairment or deterioration of the Property
<br />and shall comply wick ike provisions of any lease if this Died of Trust is on a leasehold. If this Decd of Trust is on a emit in a
<br />condominium or a planned unit development, Borrower shalt perform a8 of Borrower's obligations under the declaration
<br />or covenants creating or governing the condominium or planned unit development, the by-taws and regulations of the
<br />condomittittm ar plarmed unit development, and constituent documents, if a condominium or planned trait development
<br />rider is executed by Borrower and recorded together with this Died of Trust, the covenants and agreements of such rider
<br />shall be ituorporated into and shall amend and supplement the covenants and agreements of this Deed of Trust as if the rider
<br />were a part hereof.
<br />?• lsaleetloa sd Leaier'a 9ecwity If Borrower fails to perform the covenants and agreements contained in this
<br />Reed cf Tnpt, or if any actiaa ar proceeding is commenced which materially affects Lender's interest in the Property,
<br />iaclucting, but not limited to, eminent domain, irtsotvency, cods enforcement, or arrangements or proceedings involving a
<br />bankrupt or deeatlent, then Lender at Leader's option, upon notice to Borrower, may make such appearances, disburse such
<br />stuns std take such action as is necessary to nicer Leader's interest, including, but not limited to, disbursement of
<br />reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance as a
<br />condition of tnakittg the loan secured by this Deed of Trust, Borrower shall pay the prenfiums required to maintain such
<br />iraurance in effect until stub time as the requirement For such insurance terminates m accordance with Borrower's and
<br />Leildee's written ageement or applicable law. Borrower shaft pay the amount of all mortgage insurance premiums in the
<br />maot[tr provided under paragraph 2 hereof.
<br />~atoounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall become additional
<br />i of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts ahaU he payable upon notice from Lender to Borrower requesting payment thereof, and shall bear interest from the
<br />dart of disbutaeptent at 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 applicable law, in which event such amounts shall bear interest at the highest rate
<br />permitaible under applicable law. Nothing contained in this paragaph 7 shall require Lender to incur any expense er take
<br />any action heretrttder.
<br />lt. 1 Lender may make or cause to be made reasonable entries upon and inspections of the Property, provided
<br />that [-ender shalt give Borrower notice prior to any such inspection specifying reasonable cause therefor related to Lender's
<br />irltelq! in the Psocesty.
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