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8y 10134'
<br />applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Gender shall
<br />give to B:;i,;,vvei, wlt ho:;: cuarbc, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each
<br />debit to the Funds was made. Tbs Funds are pledged ,is additional security for the sums secured by this Deed of Trust.
<br />If the amount of the Funds held by Lender, together with the future monthly installments of Funds payable prior to the dui dates of taxes,
<br />assessments, insurance premiums and ground rents, shall exceed the amount, required to pay sad taxes, assessments, insurance premiums and
<br />ground rents as they fall due, such excess shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly
<br />instal' metts of Funds. If tier amomrt of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and
<br />ground rents as they fall due, Borruwer shall pay to Lender any amount necessary to make up the deficiency within 30 days from the date notice
<br />is mailed by Lender to Borrower requesting payment thereof.
<br />Upon payment in full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds held by Lander. If
<br />under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later than immediately
<br />prior to the We of the Property or its acquisition by Lender, any Funds held by Lender at tht time of application as z credit against the sums
<br />secured by this Deed of Trust.
<br />3. AppBcatior of Payments. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs I
<br />and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paragraph 2 hereof, then to interest
<br />payable on the Note, then to the principal of the Note, and then to interest and principal on any Future Advances.
<br />4. C lsarges: Liens. Borrower shall pay all taxes, assessments and other ch -rges, fines and impositions attributable to the Property which
<br />may attain a priority over this Deed of Trust, and leasehold payments or ground rents, if any, in the manner provided under paragraph 2 hereof
<br />or, if not paid in such manner, by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to
<br />Lender all notices of amounts due under this paragraph, and in the event Borrower shall snake payment directly, Borrower shalt promptly
<br />furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any Gen which has priority over this Deed of Trust;
<br />provided, that Borrower shall not be required to discharge any such Gen so long as Borrower shall agree in writing to the payment of the
<br />obligation secured by such Gen in a manner acceptable to Lender, or shall in good faith contest such Lien by, or defend enforcement of such lien
<br />in, legal proceedings which operate to prevent the enforcement of the lien or forfeittue of th- Property or any part thereof.
<br />S. Hazard insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against lass by fire,
<br />hazards included within the term "extended coverage ", and such other hazards as Lender may require and in such amounts and for such periods
<br />as Lender may require; provided, that Lender shall not require that the amount of such coverage exceed that amount of coverage requited to pay
<br />the sums secured by this Deed of Trust.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided, that such approval
<br />shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the mania provided under paragraph 2 hereof or, if not
<br />paid in such manner, by Borrower making payment, when due, directly to the insurance carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause its favor of
<br />and in form acceptable to Lender. Lender shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish to
<br />Lender all renewal notices and all receipts of paid premiums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and
<br />Lender. Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or repair of the Property
<br />damaged, provided such restoration or repair is economically feasible and the security of this Dad of Trust is not thereby impaired. If such
<br />restoration or repair is not economically feasible or if the security of this Deed of Trust would be impaired, the insurance proceeds snail be
<br />applied to the stuns secured by this Deed of Trust, with the excess, if any, paid to Borrow. If the Property is abandoned by Borrower, or if
<br />Borrower fails to respond to Lender within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to
<br />settle a claim for insurance benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or
<br />repair of the Propery or to the sums secured by this Dad of Trust.
<br />Unless Lender and Borrower otherwise agree in writing, any such app"u —cm of proceeds to principal shall not extend or postpone the due
<br />date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such install ments. If under paragraph 19
<br />hereof the Property is acquired by Lender, all right, title and interest of Borrower in and to any insurance policies and in and to the proceeds
<br />thereof resulting from damage to the Property prior to the sale or acgmsntion shall pass to Lender to the extent of the sums secured by this Dad
<br />of True immediately prior to such We or acquisition.
<br />6. PteservatEaa and %taiatenasce of Property: Leasebolti; Conioadidems-, Plural [irk Devdts}sisessib. Borrower shall keep the
<br />Property in good repair and shall not commit waste or permit impairment or deterioration of the Property and shall comply with the provisnms
<br />of any lease if this teed of Trust is on a leasehold. If this Deed of Trust is on a unit in a condominium or a planned unit development, Borrower
<br />shall perform all of Borrower's obligations "der the declaration or covenants creating or governing the condominium or planned unit
<br />development . the h -laws and regulations of the condominium or planned unit development, and coratitue -at documents. if a co dire mum or
<br />planned untt development r :der is executed by Borrower and recorded together with this Dad of Trust. the covenams and agreements of such
<br />rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Dad of Trust as if the rider were a part
<br />hereof.
<br />7. Protection of Leader's Security. If Borrower f ails to periorx� the costnants and agreements contained in this teed of Trust, or if any
<br />action or proceeding is comm-need which materially affects Lender's interest in the Property, including, but not limited to, eminent domain,
<br />insolvency, code enforcement, or arrangements or proceedings involving a t_vnkrupt or decedent. then Lender at Lender's opaort, upon notice
<br />to Borrower, may ;Hake such appearances, disburse such supra and take such action as is necessary to protect Lender's interest, muuding, but
<br />not limited to, disbursement of reasonable attorney's fees and entry ,upon the Property to make repairs. If Lender requ.rei mortgage insurance
<br />as a condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiums required to maintain such insurance in effect
<br />until such time as the requirement for such insurance terminates in accordance with Borrower's and lender's wntten agreement or applicable
<br />ear . 9orrower shall pay the amount of all mortgage insurance premiums in the manner provided :ender paragraph 2 hereof.
<br />Any amounts disbursed by Linder pursuant to this paragraph 7, with interest thereon, shat become additional indebtedness of Borrower
<br />secured by this Dad of Trust. Unless Borrower and Lenz:, = agree to other terms of payment, such amounts shell be payable upon notice from
<br />Lender to Borrower requesting payrr_nt thereof, and shall bear interest from the date of disbursement at the rate payable from tune to time on
<br />outstaniing principal under the Note unless payment of interest at suds rate would be contrary to applicable law, in which event such amount-
<br />shall bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any
<br />expense or take any anion hereunder.
<br />I. lraoectil". Lender may make or cause to be made reasonable entries upon and inspections of the Property, provided that Lender shall
<br />give Borrower notice prior to any such inspection specifying reasonable cause therefor related to Lender's tat _nest n the Property
<br />9. C'andeeaados, The proceeds of any award or claim for damages, direct or consequential, in connection with anv condemnation or
<br />or her taking of the Property, or part thereol, car for conveyuxr in hen of condemnation, are hereby assigned and shall be paid to Lender
<br />In the event of a total taking of the Property, the proceeds shall be applied to the sums secured hs ihis Laced of Trust, with the ctces>, if an% .
<br />pant to Htprtriwcr in the evert of a partial taking of the Property, unless Borrower and Lender otherwise agree in writing, there shall the applied
<br />Iii the sums a irred by this teed of 1 rust such proportion of nhe proceeds as a equal to that prorr,r txsn which the amount ,if the sums secured
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