|
201401177
<br /> DEED OF TRUST
<br /> Loan Noc 81 QD4951 �Cantinued) Page 3
<br /> Evidence of Paymern. Trustor shall upon demand furnish to Lender satisfactory evidence of payrnent of the taxes
<br /> or assessments and sf�alf authorize the appropriate governmental official to deliver to Lender at any time a written
<br /> staterrsent of the taxes a�d assessments against the Property.
<br /> Notice af Construction. Trustor shal] notify Lender at [east fifteen (151 days before any work is commenced, any
<br /> serviees are furn9shed, ar any rr�aterials are supplied to the Property, if any mechanic's lien, materialmen's lien, or
<br /> other [ien could be asserked on account of the work, services, or materials. Trustor will upon request of Lender
<br /> furnish to Lender ad�ance assurances satisfactory to Lender that Trustor can and will pay 'Che cost of suc�
<br /> improvements.
<br /> PROPERTY DAMAGE INSURANCE. The fol[owing provisians refating to insuring the Property are a part of this Deed of
<br /> Trust.
<br /> MainEenance of Insurance. Trustor shalE procure and rrmaintain policies of fire insurance with standard extended
<br /> coverage endorsements on a replacement basis for the full insurable value covering all impro�ements on the Real
<br /> Property in an amount sufficient to avoid application of any coinsurance clause, and with a standard mortgagee
<br /> c[ause in fa�or of Lender. Trustor shall a[so procure and maintain eomprehensive generaf liability insurance in such
<br /> coverage amounts as Lender may request with Trustee and Lender being named as additional insureds in such
<br /> [iability insurance policies. Additionally, Trustor shall rrtaintain such other insurance, including but not limited to
<br /> hazard, business interruption, and boiler insurance, as Lender may reasonably require. Policies shall be written in
<br /> form, amounts, coverages and basis reasonably acceptable to Lender and issued by a company or companies
<br /> reasonably acceptab[e to Lender. Trustor, upon request of Lender, will deliver to Lender from #ime to time the
<br /> policies or certificates of insurance in form sat9sfactory to Lender, including stipu[ations that coverages wi11 not be
<br /> cancelied or diminished without at least ten�('I O} days prior written notice to Lender. Each insurance policy also
<br /> shall include an endossement providing that coverage in favor of L.ender will not be impaired in any way by any act,
<br /> omission or default of Trustor or any other person. Should the Rea] Propeny be located in an area designa#ed by
<br /> the Director of the FederaE Emergency Management Agency as a speciai flood hazard area,Trustor agrees to o6tain
<br /> and mainiain Federal Flaod Insurance, if avai[ab1e, for the ful[ unpaid principal bafance of tf�e loan and any prior
<br /> liens on the property securing the loan, up to the maximum policy limits set under tne fVationa] Fiood lnsurance
<br /> Program, or as otherwise required by Lender, and to maintain such insurance for the term of ihe loan.
<br /> App[ication of Proceeds. Trustor shall promptly notify Lender of any loss or damage to Fhe Property. Lender may
<br /> make proof of loss if Trustor fails to do so within ffteen (15) days of the casua]ty. Whether or not Lender`s
<br /> security is imP�ired, Lender may, at Lender's election, receive and retain the proceeds of a�y insurance and app[y
<br /> the praceeds to the reduction of the Indebrtedness, payment of any lien affecting the Property, or the restoration
<br /> and repair of the Property. ]f Lender elects to apply the proceeds to restoration and repair, Trustor shall repair ar
<br /> replace the damaged or desEroyed Improvements in a manner saTisfactory #o Lender. Lender shall, upon
<br /> sat9sfactory proof of such expenditure, pay or reimburse Trustor from the proceeds for the reasonab[e cast of
<br /> repair or restoration if Trustor is not in defauft under this Deed of Trust. Any proceeds which have not been
<br /> disbursed within �80 days a€ter their receipt and which Lender has not committed ta the repair or restoratian o€
<br /> the Property shall be used first to pay any amount owing to Lender under this Deed of Trust, then ta pay accrued
<br /> interest, and the remainder, if any, shall be applied ta the principaf balance of the lndebtedness. If Lender holds
<br /> any proceeds after payment in fuEl of #he Indeb#edness, such proceeds shall be paid to Trustor as 7rus#or's
<br /> interests rnay appear.
<br /> Trustor's Report an Insurance. Upon request of Lender, however not mare than once a year, Trustor shall furnish
<br /> to Lender a report on each existing policy of insurance showing: {1) the name of the insurer; {21 the risks
<br /> insured; I3) the amount of the po[icy, (4� the propeny insured, the then current rep[acement valus of such
<br /> properCy, and the manner of determining that value; and {5} the expiration tEate of the palicy. Trustor shall, upon
<br /> request of Lender, have an i�depandent appraiser satisfactory to Lender determine the cash va�ue replacement cost
<br /> of tHs Property.
<br /> LENDER'S F�CPENDITURES. If any action or proceeding is commenced that would materially affect Lender's interest in
<br /> the Property or if Trustor fails to comply with any provision of this Deed of Trust or any Related Documents, incfuding
<br /> but not limited to Trustor's failure to discharge or pay when due any amounts Trustor is required ta discharge or pay
<br /> under tf�is Deed of Trust or any Related Documents, Lender on Trustor's behalf may (but shall not be obligated to) take
<br /> any actian that Lender deems appropriate, including but not limited to discharging or paying all taxes, liens, security
<br /> inierests, encumbrances ar�d other clairns, at any time levied ar placed on the Property and paying all costs for insuring,
<br /> maintaining and preserving the Property. All such expenditures incurred or paid by Lender for such purposes will then
<br /> bear interest at the rate charged under the Note from the date incurred or paid by Lender#o the date of repayrrtent by
<br /> Trustor. All such expenses will becoma a part of the Indebtedness and, at Lender's option, will {A} be payable on
<br /> demand; {g} he added to tha balance of the 3Vote and be apporFioned among and be payable with any instal[ment
<br /> payments to become due during either (1) the term of any app[icable insurance policy; or (2) #he remaining term of
<br /> the Note; or {C) be treated as a balloon payrnent which wil[ be due and payable at the Note's maturity. The Deed of
<br /> Trust also will secure payment of these amounts. Such right shall be in addition to al[ other rights and remedies ta
<br /> which Lender rr�ay be entit[ed upon Default.
<br /> WARRANTY; DEFER[S�OF TITLE. The following provisions relating to ownership of the I'roperty are a part of this Dead
<br /> of Trust:
<br /> Title. Trustor warrants that: {a} Trustor holds good and marketab[e tit[e of record to the Properiy in fee simple,
<br /> free and c[ear of all liens and encumbrances ot[�er than Yhose set forth in the Rea] Property descr9ption or in any
<br /> title insurance policy, tiYle report, or final tiUe opinion issued in favor of, ancE accepted by, Lender in connection
<br /> with this �eed of Trust, and [b) 7rustor E�as the full right, power, and authority to execute and deEi�ar this Deed of
<br /> 7rust to Lender.
<br /> De#ense of Title. Sublect to the excsption in the paragraph above, Trustor warrants and wil] forever defend the
<br /> title to the Property against the [awful c[aims of all persans. ]n the event any action or proceeding is commenced
<br /> that questions Trustor's title or the interest of Trustee or Lender under this Deed of Trust,Trustor shal! defend the
<br /> action at Trustor's expense. Trustor may he the nominal party in such proceeding, buY Lender shall be entitled to
<br /> parCicipate in the proceeding and xo be represented in the proceeding by counsel of Lender's own choice, and
<br /> Trustor will deliver, or cause to be delivered, to Lender such 9nstruments as Lender may request from time#o time
<br /> to permit such participation.
<br /> Cvmp[iance With Laws. Trustar warrants that the Property anc! Trustar's use of the Property comp[ies with al[
<br /> existing app[icable laws, ordinances, and regulatians of governmental authorities.
<br /> Survi�al of Re�resentations and Warranties. A[I representations, warranties, and agreements made by Trustor in
<br /> this Deed of Trust sha11 survive the execution and delivery of t[�is Deed of 3rt�st, shall 6e continuing in nature, and
<br /> shall remain in full force and ei#ect until such time as Sorrower's [ndebtedness shaEl be paid in full.
<br /> CONDEMNAT[ON. 7he follawing provisions relating to condemnation proceedings are a part of this Deed of Trust:
<br /> Proceedings. I# any proceeding in condemnation is filed, Trustor shall promptly noti�iy Lender in writing, and
<br /> Trustor shall prompt[y take such ste�s as may be necessary to defenct the actian and obtain the award. Trustor
<br /> may be the nomina] party in such groceeding, but Lender shall be entiUed to participate in the proceeding and to be
<br /> represented in the praceeding by cour�sel of its own choice, and Trustor will del9ver or cause io 5e de[iverad to
<br />
|