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2� 1 ��534�
<br /> DEED C]F TRUST
<br /> �Continued} Page 3
<br /> f�rm, amounts, c��erages and basis reasonably acc�ptabie fia Lender and issued by a campany ar companies
<br /> r�asanabiy acceptable �a Lender. Trustor, upon request of Lender, v+rill del�ver to L�nder �rom �ime to time �he
<br /> perlicies or certi�icates af insurance in �orm satis�ac�s�ry ta Lender, in�luding st�pufati�ns that cv�erages wiil nvt be
<br /> cancelled o�dim�nished wi�hout at leas�thirty �3�y days privr►rvritten nvti�e �o Lend�r. Each insurance pol�cy also
<br /> shall in�lude an endors�ment prv�idin�tha#�v�erage in#a�vr ofi.Lender will not he impaired in any uvay by any act,
<br /> omission or defaul� of Trus�or ar any a#her persvn. Shauld the Reai Pr�p�rty be located �n an area designa�e� by
<br /> the Administratvr of xhe Federal Emergency Management Agency as a special f�ovd hazard area, Trus�kor agr�es to
<br /> vbtain and mainta6n Federal Flood Insurance, i� a�ailable, #or the ful! unpaid principal balance af the loan an�i any
<br /> p��or liens on the property securing the Ivan, up ta the maximum policy �imits se� under the Na�ianal Flood
<br /> lnsuran�e Program, or as��herwise required #�y Lender, and ta maintain su�h insurance for the terrj-� of the laan.
<br /> AppG�ation of Pro�eeds. Trustor sha11 pr�mptly notify Lender o�any �oss ar damage to the Property, Lender may
<br /> make proaf a� lvss �f Trustor fails �o do sa within �i�rteen ��5} days af �he casua�#y. VIlh�th�r vr nat Lender's
<br /> securi�y is impaired, Lender may, at Lender's ele�tion, rec�i�e and retain the proceeds ❑f any insuran�e and apply
<br /> the proceeds t❑ �he reduction of �he indeb�edness, payment ❑� any [ien a��ecting the Proper�y, ❑r the ��st�ration
<br /> and repair�f the Prvperty. !f Lender elects to apply the proceeds to res�aration and repair, Trustar shali repair ar
<br /> repla�e the damaged or destroyed lmpro�ements in a manner satisfactvey �o Lender. Len�er shall, upon
<br /> satisfactory prQ�f of su�h expenditure, pay or r�imhurse Trus�ar fram the pr�ceeds f�� the reasvnahle cost of
<br /> repair or restoration if Trustvr is not in de�ault under this Deed vf T�ust. Any praceeds which ha�e n�t been
<br /> disbursed within �8� days after th��r receip� and which Lender has nvt committ�d to the repair or restivration o�f
<br /> �he Praperty shall b� used f�rs�k to pay any amount�w`rng to L�nder under this Deed of Trus�, �h�n �o pay accrued
<br /> interest, and the r�ma�nder, if any, shall be applied to the princ�pai balance ❑f the lndehtedness. If Lender holds
<br /> any praceeds a�ter �ayment in fuli a� the Indebtedn�ss, such proceeds shall be pai� to Trus�or as Trustor's
<br /> interests may appear.
<br /> Trustor's Report vn Insuran�e. lJpon requ�st of Lender, howe�er nvt mare than anGe a year, Trust�r sha[[ furnEsh
<br /> #o Lender a report an each existing policy o� insurance shvwing: �1 y the name o� the 'tnsurer; ��� �he risl�s
<br /> insured; �3� the amaunt vf the pvlicy; �4y the prvperty insured, �he th�n curren� replacement �alue af such
<br /> property, and the manner of determining that vafue; and {5} the expira�ivn date af the poiicy. Trustor shafl, upon
<br /> reques�vf Lender, ha�e an independent appraiser sat�sfaGtory ta Lender determine the cash�alue rep�acement cos�
<br /> af the Praper�y.
<br /> TAX AND �NSURANCE RESERVES. 5ubj�ct to any limitations and cans�stent with any requirements set �y appli�able
<br /> law, Lender may require Trustor tv maintain with Lender �eser�es far payment of annual taxes, assessments, and
<br /> �nsurance premEums, which reser�es shal! be created by an initia! depasit and subsequent monthly payments, or
<br /> payments at such ather inter�a� as payments under the Note may be due, vf a sum estimated by Lender to he suf�ici�nt
<br /> �o pay the tota� annual taxes, assessments, and insurance premiums Lender reasanably an�icipates �o b� paid from
<br /> these rese��es. The reserve funds shall be held by Lender as a general deposi�fram Trustar, which Lend�r may satis�y
<br /> by paymen� of the taxes, ass�ssments, and insurance premiums required �o be paid by Trus�vr as �hey becvme du�.
<br /> L�nder shall ha�e the righ� �o draw upon the res�r�e �unds �o pay such items, and Lender shal! n�� be required tv
<br /> de�ermine the �alidity or accuraGy af any item befare paying i�t. Nothing in �he Deed of Trust sha�� be const�-ued as
<br /> requiring Lender to ad�an�e ather monies far such purpases, and Lender sha11 no�incur any liability fvr any�hing i� may
<br /> d� ❑r vmit ta do with resp�cfi to the reser�� accoun�. Subje�t t� any lim�tations set �y applicabl� law, ifi the reser�e
<br /> #unds disc�ose a shartage or de�iciency, Trus�or shal[ pay such shvr�age ar d�ficiency as required by Lender. All
<br /> amounts in the reser�e accQunt are hereby pi�dged to'�urther secure the lndeb��dness, and Lender is hereby authorized
<br /> tv withdrauv and apply such amounts vn the Ind���edness upon the vccurren�e�f an E�en�o�De�ault. Lender shall n�t
<br /> bs required to pay any interest ar earnings ❑n �he reser�e funds unless requir�d by law ❑r agreed �a by L�nder in
<br /> wri�ing. Lender dves nofi hold the reser�e funds in trus�k f�r Trus��r, and Lender is na�Trustar's agent for payment of
<br /> the�axes and assessmen�s required ta be paid hy Trustor.
<br /> LEN�ER`S EXPENDITURES. If any action or pr�c�eding is �ammenced that wauld materially a�#ec� Lender's interest in
<br /> the Property ❑r if Trustor fails to comply with any prv�isivn of this Deed o�r Trust or any Re�ated Documents, including
<br /> but not limited ta Trustor's failure to discharge or pay when due any amounts Trustor is requi�ed to discha�rg� ar pay
<br /> under this D�ed vf Trust ar any Related Dacuments, L�nder on Trus�or's �ehalf may tbu� shal� nv�be obligat�d �o� �ake
<br /> any act�on that Lender deems appropriate, including but not [imited ta dis�harging or paying a11 taxes, liens, seGurity
<br /> �n�erests, encumbran�es and other c�aims. at any time levied or pla�ed vn the Property and paying a�l costs for insuring,
<br /> maintaining and preser�ing the Property. AI� such exp�nditures incurred or paid by Lender fvr such purpases wilC then
<br /> bear interest at the rate charged under the No�e from the date incurred or paid by Lender tv the date vfi repayment by
<br /> Trustor. A�i such expenses v►►ill became a part of �khe �ndebtedness and, at Lender"s ❑ption, wil[ �A� be payab�e on
<br /> demand; �F3� be added tv the balance vf the Note and be appartioned am�ng and be payable with any installment
<br /> payments to become due during either ��� the term af any applicable insuran�e p���cy; �r �Zj the remaining �erm o�
<br /> �he Note; ar �C� be trea�ed as a bailoon paymen�t which wi11 be due and payable at the Nvte's maturity. The Deed ot
<br /> Trust a�so will secure paymen� of these amounts. 5uch righ� shall be in additivn to a[I ath�er r�ghts and r�m�dies to
<br /> whi�h Lender may �e entitled upon Defaul�.
<br /> WARRANTY: DEFENSE�F TITLE. The to[fvwing pro�isivns relating to own�rship v#the P�operty are a part o#this Deed
<br /> of Trust:
<br /> Ti#le. Trustar warranfis that: �af Trustvr holds gaad and marketa�fe �ti�le of recvrd to the Property �n fee simple,
<br /> fr�e and c1�ar of ali liens and en�umhrances other #han thase set fiar�h in the Real Proper'�y des�riptivn or in any
<br /> ti�le insurance pvlicy, title repvrt, vr fiinal title apinian issued in fa�ar vf, and accep�ed by, Lend�r in �anne�fiian
<br /> wi�h this Deed��Trust, and �h} Trustor has the�ull right, pvwer, and authori�y ta execu�e and del��er�his Deed o�
<br /> Trust�o Lender.
<br /> De#ense a#Titlea Subject t❑ the ex�eptian in the paragraph abo�e, Trustor warrants and witl fare�er defend the
<br /> tifi�e fi❑ the Property against�he �awful c�aims of ali persons. !n the e�ent any actian vr pr�c��ding is commenced
<br /> �hat questions Trustor's�itl�❑r the inter�st o�Trustee or Lender under this Deed o#Trust� Trustor shali de�end the
<br /> actian at Trust�r's expense. Trustor may be the nominal party in such proceeding, but Lende�shall be entitled ta
<br /> participate in the praceeding and ta k�� represented in �he prace�ding by �aunse� af L�nder's vwn choice, and
<br /> Trustor wili defiver, or cause t� be deli�ered, to Lender such instruments as Lender may re�uest frvm time�o time
<br /> �o permi�such participati�n.
<br /> Campliance Vlli�h Laws. Trus�or warrants that the Pr�perty and Trustor's use ❑f the Praperty cvmplies with all
<br /> existing applicable laws, ordinan�es, and regu�atians of go�ernm�ntal authorities.
<br /> Sur�i�at o� Represen�a�ions and Warranties. Aff r�presen�a�ians, warran�i�s. and agreem�nts made by Trustvr in
<br /> this i]�ed of Trust shall sur�i�e the exe�ution and delir�ery o�this fleed ❑�Trust, shafl b� c�n�inuing �n nature, and
<br /> shal[ remain in full force and e�fect un��l such time as Trus�or's lndebt�dness shafl be paid �n full.
<br /> Ct]NDEMNATIDN. The f�llowing pra�isians r�lating to condemnation pr�ce�dings are a part of th�s D�ed of Trust:
<br /> Prviceedings. �� any proc��ding in condemnativn is filed, Trus�or shaii p�omptly nvtify Lender in writing, and
<br /> Trustor shall promp��y take such steps as may be necessary to de��nd �the ac�ion and o�tain the award. T�-ustnr
<br /> may b�th� norninal party in such praceeding, but Lender shall be enti�fed to participate in the proceeding and to be
<br /> represented in the pr��e�ding by counse� o# i�s v►rvn chaice, and Trustar wi11 deli�er or cause ta be dsli�ered tfl
<br /> Lender such ins�rum�nts and dacumenta�ion as may be reques�ed �y Lender from �ime tv �ime ta permit such
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