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DEED OF TRUST
<br />Loan No: 7ns21 X00305986 (Continued) Page 3
<br />coverage In favor of Lender will not be impaired in any way by any act, omission or default of Truster or any other person. Should the Real
<br />Property be located In an area designated by the Director of the Federal Emergency Management Agency as a special flood hazard area,
<br />Trustor agrees to obtain and maintain Federal Flood Insurance, if available, within 45 days after notice is given by Lender that the Property is
<br />located in a special flood hazard area for the full unpaid principal balance of the loan and any prior liens on the property securing the loan,
<br />up to the maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lander, and to maintain such
<br />insurance for the term of the loan.
<br />Application of Proceeds. Truster shall promptly notify Lender of any loss or damage to the Property. Lender may make proof of loss If
<br />Truster fails to do so within fifteen (15) days of the casualty. Whether or nut Lender's security is impaired, Lender may, at Lender's election,
<br />receive and retain the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness, payment of any lien affecting
<br />the Property, or the restoration and repair of the Property. If Lender elects to apply the proceeds to restoration and repair, Trustor shall
<br />repair or replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shall, upon satisfactory proof of such
<br />expenditure, pay or reimburse Truster from the proceeds for the reasonable cost of repair or restoration If Truster is not in tlefault under this
<br />Deed of Trust. Any proceeds which have not been disbursed within 180 days after their receipt and which Lender has not committed to the
<br />repair or restoration of the Property shall be used first to pay any amount owing to Lander under this Deed of Trust, then to pay accrued
<br />Interest, and the remainder, if any, shall be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment
<br />in full of the Indebtedness, such proceeds shall be paid to Trustor as Trustor's interests may appear.
<br />Compliance with Existing Indebtedness. During the period in which any Existing Indebtedness described below Is In effect, compliance
<br />with the insurance provisions contained in the instrument evidencing such Existing Indebtedness shall constitute compliance with the
<br />Insurance provisions under this Deed of Trust, to the extent compliance with the terms of this Dead of Trust would constitute a duplication of
<br />insurance requirement. If any proceeds from the Insurance become payable on loss, the provisions in this Deed of Trust for division of
<br />proceeds shall apply only to that portion ct the proceeds not payable to the below W the Existing Indebtedness.
<br />LENDER'S EXPENDITURES. If Trustor falls (A) to keep the Property free of all taxes, (lens, security interests, encumbrances, and other claims,
<br />(B) to provide any required insurance on the Property, (C) to make repairs to the Property or to comply with any obligation to maintain Existing
<br />Indebtedness In good standing as required below, then Lender may do so. If any action or proceeding is commenced that would materially affect
<br />Lenders interests in the Property, then Lander on Tinter's behalf may, but Is not required to, take any action that Lender believes to be
<br />appropriate to protect Lenders interests. All expanses incurred or paid by Lander for such purposes will than bear interest at the rate charged
<br />under the Note from the dale incurred or paid by Lender to the date of repayment by Trustor. All such expenses will become a pad of the
<br />Indebtedness and, at Lender's option, will (A) be payable on demand; (B) be added to the balance of the Note and be apportioned among and
<br />be payable with any installment payments to become due during either (1) the term of any applicable insurance policy: or (2) the remaining
<br />term of the Note; or (C) be heated as a balloon payment which will be due and payable at the Note's maturity. The Deed of Trust also will
<br />secure payment of these amounts. The rights provided for In this paragraph shall be in addition to any other rights or any remedies to which
<br />Lender may be entitled on account of any default. Any such action by Lander shall not be construed as curing the default so as to bar Lender
<br />from any remedy that a otherwise would have hair.
<br />WARRANT ; DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a pad of this Deed of Trust:
<br />Title. Truster warrants that: (a) Truster holds good and marketable tifie of record to the Property in fee simple, free and clear of all liens and
<br />encumbrances other than those set forth in the Real Property description or in the Existing Indebtedness section below or in any title
<br />insurance policy, hire report, or final title opinion issued in favor of, and accepted by, Lander in connection with this Deed of Trust, and (b)
<br />Trustor has the full right, power, and authority to execute and deliver this Deed of Trust to Lender.
<br />Defense of Title. Subject to the exception in the paragraph above, Trustor warrants and will forever defend the title to the Property against
<br />the lawful claims of all persons. In the event any action or proceeding is commenced that questions Truslor's bile or the interest of Trustee or
<br />Lender under this Deed of Trust, Trustor shall defend the action at Trustor's expense. Trustor may be the nominal party in such proceeding,
<br />but Lender shall be entifiad to participate in the proceeding and to be represented in the proceeding by counsel of Landers own choice, and
<br />Trustor will deliver, or cause to be delivered, to Lander such instruments as Lander may request from time to time to perm% such
<br />participeticn.
<br />Compliance With Laws. Trustor warrants that the Property and Trustor's use of the Property complies with all existing applicable laws,
<br />ordinances, and regulations of governmental authorities.
<br />Survival of Promises. All promises, agreements, and statements Trustor has made in this Deed of Trust shall survive the execution and
<br />delivery of this Deed of Trust, shall be continuing in nature and shall remain in full force and effect until such time as Trustor's Indebtedness
<br />is paid in full.
<br />EXISTING INDEBTEDNESS. The following provisions concerning Existing Indebtedness are a pad of this Deed of Trust:
<br />Existing Lien. The lien of this Deed of Trust securing the Indebtedness may be secondary and inferior to an existing lien. Trustor expressly
<br />covenants and agrees to pay, or see to the payment of, the Existing Indebtedness and to prevent any default on such indebtedness, any
<br />default under the instruments evidencing such indebtedness, or any default under any security documents for such Indebtedness.
<br />No Modification. Trustor shall not enter into any agreement with the holder of any mortgage, dead of trust, or other security agreement
<br />which has priority over this Deed of Trust by which that agreement is modified, emended, Wended, or renewed without the prior written
<br />consent of Lender. Trustor shall neither request nor accept any future advances under any such security agreement without the prior written
<br />consent of Lender.
<br />CONDEMNATION. The following provisions relating to condemnation proceedings are a pert of this Deed of Trust:
<br />Proceedings. If any proceeding in condemnation is filed, Trustor shall promptly notify Lender in writing, and Truster shall promptly take such
<br />steps as may be necessary to defend the action and obtain the award. Trustor may be the nominal party in such proceeding, but Lander
<br />shall be entitled to participate in the proceeding and to be represented in the proceeding by counsel of its own choice, and Truster will
<br />deliver or cause to be delivered to Lender such instruments and documentation as may be requested by Lender from fare to time to permit
<br />such participation.
<br />Application of Net Proceeds. If all or any pad of the Property is condemned by eminent domain proceedings or by any proceeding or
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