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Upon payment in full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds field by`
<br /> Lender. If under paragraph 17 hereof the Property is sold or the Property is otherwise acquired by lender, Lender shall appl�, no later
<br /> than immedi�,tely �ior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as,a
<br /> credit against the sums secured by this Deed of Trust.
<br /> 3. Application of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and
<br /> paragraphs 1 and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2
<br /> hereof,then to interest payable on the Note,and then to the principal of the Note.
<br /> 4. Prior Mortgages and Deeds of Trust; Charges; Liens. Borrower shall perform all of Borrower's obligations under any
<br /> mortgage,deed of trust or other security agreement with a lien which has priority over this Deed of Trust, including Borrower's covenants
<br /> to make payments when due. Borrower shall pay or cause to be paid all taxes, assessments and other charges, fines and impositions
<br /> �attributable to the Property which may attain a priority over this Deed of Trust,and leasehold payments or ground rents, if any.
<br /> � 5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the property insured against loss
<br /> � by fire,hazards included within the term"extended coverage",and such other hazards as Lender may require and in such amounts and for
<br /> � such periods as Lender may require.
<br /> The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided, that such
<br /> ~ approval shall not be unreasonably withheld. All insurance policies and renewals thereof shall be in a form acceptable to Lender and
<br /> � shall include a standard mortgage clause in favor of and in a form acceptabie to Lender. Lender shall have the right to hold the policies
<br /> �� and renewals thereof, subject to the terms of any mortgage, deed of trust, or other security agreement with a lien which has priority over
<br /> � this Deed of Trust.
<br /> In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender. Lender may make proof of loss if not
<br /> made promptly by Borrower.
<br /> If the Property is abandoned by Borrower,or if Borrower fails to respond to Lender within 30 days from the date notice is mailed by
<br /> Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits, Lender is authorized to collect and apply the
<br /> insurance proceeds at Lender's option either to restoration or repair of the Property or to the sums secured by this Deed of Trust.
<br /> 6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. Borrower shall
<br /> keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with
<br /> the provisions of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust is on a unit in a condominium or planned unit
<br /> development, Bonower shall perform all of Borrower's obligations under the declaration or covenants creating or governing the
<br /> condominium or planned unit development, the by-laws and regulations of the condominium or planned unit development, and
<br /> constituent documents.
<br /> 7. Protection of Lender's Security. If Borrower fails to perform the covenants and agreements contained in this Deed of Trust,or
<br /> if any action or proceeding is commenced which materially affects Lender's interest in the Property,the Lender, at Lender's option, upon
<br /> notice to Borrower, may make such appearances, disburse such sums, including reasonable attorneys' fees, and take such action as is
<br /> necessary to protect Lender's interest. If Lender required mortgage insurance as a condition of making the loan secured by this Deed of
<br /> Trust, Borrower shall pay the premiums required to maintain such insurance in effect until such time as the requirement for such
<br /> insurance terminates in accordance with Borrower's and Lender's written agreement or applicable law.
<br /> To the extent permitted by applicabl� law, any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, at
<br /> the Note rate, shall become additional indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to
<br /> other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment thereof. Nothing
<br /> contained in this paragraph 7 shall require Lender to incur any expense or take any action hereunder.
<br /> 8. Inspection. Lender may make or cause to be made reasonable entries upon and inspections of the Property,provided that Lender
<br /> shall give Borrower notice prior to any such inspection specifying reasonable cause therefore related to Lender's interest in the Property.
<br /> 9. Condemnation. The proceeds of any award or claim for damages,direct or consequential, in connection with any condemnation
<br /> or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to
<br /> Lender, subject to the terms of any mortgage, deed of trust or other security agreement with a lien which has priarity over this Deed of
<br /> Trust.
<br /> 10. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension of the time for payment or modification of
<br /> amortization of the sums secured by this Deed of Trust granted by Lender to any successor in interest of Borrower shall not operate to
<br /> release, in any manner, the liability of the original Borrower and Borrower's successors in interest. Lender shall not be required to
<br /> commence proceeding against such successor or refuse to extend time for payment or otherwise modify amortization of the sums secured
<br /> by this Deed of Trust by reason of any demand made by the original Borrower and Borrower's successors in interest. Any forbearance by
<br /> Lender in exercising any right or remedy hereunder, or otherwise afforded by applicable law, sha(1 not be a waiver of or preclude the
<br /> exercise of any such right or remedy.
<br /> 11. Successors and Assigns Bound; Joint and Several Liability; Co-signers. The covenants and agreements herein contained
<br /> shall bind,and the rights hereunder shall inure to,the respective successors and assigns of Lender and Borrower,subject to the provisions
<br /> of paragraph 16 hereof. All covenants and agreements of Borrower shall be joint and several. Any Borrower who co-signs this Deed of
<br /> Trust,but does not execute the Note, (a) is co-signing this Deed of Trust only to mortgage, grant and convey that Borrower's interest in
<br /> the Property to Lienor under the terms of this Deed of Trust, (b) is not personally liable on the Note or under this Deed of Trust, and(c)
<br /> agrees that Lender and any other Borrower hereunder may agree to extend, modify, forbear, or make any other accommodations with
<br /> regard to the terms of this Deed of Trust or the Note without that Borrower's consent and without releasing that Borrower or modifying
<br /> this Deed of Trust as to that Borrower's interest in the Property.
<br /> l2. Notice. Except for any notice required under applicable law to be given in another manner,(a)any notice to Borrower provided
<br /> for in this Deed of Trust shall be given by delivering it or by mailing such notice by certified mail addressed to Bonower at the Property
<br /> Address or at such other address as Borrower may designate by notice to Borrower as provided herein. Any notice provided for in this
<br /> Deed of Trust shall be deemed to have been given to Borrower or Lender when given in the manner designated herein.
<br /> 13. Governing Law; Severability. The state and local laws applicable to this Deed of Trust shall be the laws of the jurisdiction in
<br /> which the Property is located. The foregoing sentence shall not limit the applicability of Federal law to this Deed of Trust. ln the event
<br /> that any provision or clause of this Deed of Trust or the Note conflicts with applicable law, such conflict shall not affect other provisions
<br /> of this Deed of Trust or the Note can be given effect without the conflicting provision,and to this end the provisions of this Deed of Trust
<br /> and the Note are declared to be severable. As used herein, "costs", "expenses" and "attorneys' fees" include all sums to the extent not
<br /> prohibited by applicable law or limited herein.
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