|
200101132
<br />the Beneficiary. The failure to pay such taxes shall be considered a term of default hereunder.
<br />If said Trustor shall fail to pay such taxes, the said Beneficiary may pay such taxes and the sum
<br />or sums so advanced, together with interest at sixteen percent (16 %) per annum, shall be
<br />repaid by said Trustor, and this Deed of Trust shall stand as security for the same.
<br />3. INSURANCE AND REPAIRS. Trustor shall maintain fire and extended coverage,
<br />windstorm, and other hazard and casualty insurance, insuring the improvements and buildings
<br />constituting part of the Trust Estate, for an amount no less than the amount of the unpaid
<br />principal balance of the Note (co- insurance not exceeding 80% permitted). Further, Trustor
<br />shall maintain or purchase and keep at all times current, flood insurance for an amount no less
<br />than the amount of the unpaid principal balance of the note, providing the Trust Estate securing
<br />this instrument is located in the Flood Plain as may be established from time to time. Such
<br />insurance policies shall contain a standard loss payee clause in favor of the Beneficiary and
<br />shall not be cancellable, terminable or modifiable without ten (10) days prior written notice to
<br />Beneficiary. Trustor shall provide Beneficiary with a copy of said insurance policies yearly
<br />immediately after payment of the premiums. At the option of the Beneficiary, the proceeds of
<br />loss under any policy, whether endorsed payable to the Beneficiary or not, may be applied in
<br />payment of the principal, interest, or any other sum secured by this instrument whether due or
<br />not; or to the restoration or replacement of any of the damaged property on said premises
<br />without in any way affecting the lien of this instrument or the obligation of the Trustor or any
<br />other person for payment of the indebtedness hereby secured, whether such Trustor be the
<br />then owner of said premises or not. If the Beneficiary determines that such property or
<br />premises should be restored, Trustor shall promptly repair, maintain and replace the Trust
<br />Estate or any part thereof so that, except for ordinary wear and tear, the Trust Estate shall not
<br />deteriorate. In no event shall the Trustor commit waste on or to the Trust Estate, nor permit
<br />waste to occur on the Trust Estate. If the said Trustor shall fail to procure such insurance as
<br />required herein, or procure the same as may be later required, or keep said insurance in full
<br />force and effect during the term of this indebtedness, the said Beneficiary may procure such
<br />insurance, and pay such premiums, and the sum or sums so advanced, with interest at sixteen
<br />percent (16 %) per annum shall be repaid by said Trustor, and this Deed of Trust shall stand as
<br />security for the same. The failure of the Trustor to procure such insurance or pay any or all of
<br />such premiums shall be considered a term of default hereunder.
<br />4. ACCUMULATION FOR TAXES AND INSURANCE PREMIUMS. That if the
<br />Beneficiary should so require, at any time during the term hereof, Trustor covenants and agrees
<br />that in order to more fully protect the security of this Deed of Trust, together with and in addition
<br />to the payments above provided, they will pay monthly during the life of this indebtedness to
<br />the Beneficiary on the first day of each month until the said principal amount and interest are
<br />fully paid, a sum equal to one - twelfth (1/12th) of the known or estimated yearly taxes,
<br />assessments and premiums for such insurance as may be required. The Beneficiary shall hold
<br />such monthly payments, without obligation to pay interest thereon, to pay such taxes,
<br />assessments and insurance premiums when due. Trustor agrees that sufficient funds will be
<br />so accumulated for the payment of said charges one month prior to the due date thereof and
<br />that they will furnish Beneficiary with proper statements covering the same 15 days prior to the
<br />due dates thereof. In the event of foreclosure or sale of the premises herein, or if the
<br />Beneficiary should take a deed in lieu of foreclosure, the amount so accumulated will be
<br />credited on account of the unpaid principal or interest. If the total of the monthly payments as
<br />made under this paragraph shall exceed the payments actually made by the Beneficiary, such
<br />excess shall be credited on subsequent monthly payments of the same nature, but if the total
<br />of such monthly payments so made under this paragraph shall be insufficient to pay such taxes,
<br />assessments, and insurance premiums when due, then said Trustor shall pay the amount
<br />necessary to make up the deficiency which payments shall be secured by this instrument. To
<br />the extent that all the provisions of this paragraph for such payment of taxes, assessments and
<br />insurance premiums to the Beneficiary are complied with, said Trustor shall be relieved of
<br />compliance with the covenants contained in the above two paragraphs as to the amounts paid
<br />only, but nothing contained in this paragraph shall be construed as in any way limiting the rights
<br />of the Trustor at its option to pay any and all of said items when due.
<br />5. ACTIONS AFFECTING TRUST ESTATE. Trustor shall appear in and contest any
<br />action or proceeding purporting to affect the security hereof or the rights or powers of
<br />Beneficiary or Trustee, and shall pay all costs and expenses, including cost of evidence of title
<br />
|