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87- 105 324
<br />amicable law require such interest to be paid, lender shall not be required to pay Borrower any interest or earnings on the Funds. Lander shall
<br />give to Borrower, without charge, an annual accounting of the Funds showing credits and debits to the Funds and the purpose for which each s
<br />debit to the Funds was trade, The Funds are pledged as additional security for the sutra secured by this Dead of Trust.
<br />if the &Mount of the Funds held by Leader, together with the future monthly Installments of Funds payable prior to the due data of taxes,
<br />isastatimants. insurance premiums and ground rants, shall exceed the amount required to pay said taxer, 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 />installiments of Funds. if the amount of the Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and
<br />ground rents as they fall due. Borrower 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 fuil of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds held by Lender. If
<br />under paragraph Ig hereof the Property is sold or the Property is otherwise acquired by Lender, Lander shall apply, no later then Immediately
<br />prim to the sae of the Property or its acquisition by L ender. any Funds held by Lender at the time of application as a credit against the sutras
<br />secured by this Deed of Trust.
<br />3. ANBeatlw of Payttanb. Unless applicable law provides otherwise, all payments received by Lender under the Note and paragraphs I
<br />and 2 hereof shall be applied by Leger 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 Noe, and than to interest and principal on any Future Advances.
<br />4. Cberpa; Liar. Borrower shall pay all taxes, assessments and other charges, 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 />a, if not paid in such manner, by borrower making payment, when du., 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 make payment directly, Borrower shall promptly
<br />furnish to Lender receipts evidencing such payments. borrower shall promptly discharge any lien which has priority over this Deed of Trust;
<br />provided, that Borrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to the payment of the
<br />obligation secured by such lien 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 forfeiture of the Property or any part thereof.
<br />S. Hassed lasutua, . Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire,
<br />hamrds 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 required 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 approve by Lender; provided, that such approval
<br />shall not be unreasonably withheld. All premiums on insurance policies shall be paid in the manner provided under paragraph 2 hereof or, if not
<br />paid in such manna. by Borrower making payment, when due, directly to the insurance carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable tc Lender and shall include a standard mortgage clause in favor of
<br />and in fora 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. Leader may make proof of loss if not made promptly by Borrower.
<br />Unless Lander and Borrower otherwise agree in writing, insurance prgaeds 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 Deed of Trust is not thereby impaired. if such
<br />restoration or rqmir is not economically feasible or if the security of this Dad of Trust would be impaired, the insurance proceeds shall be
<br />applied to the suns secured by this Deed of Trust, with the excess, if any, paid t-- Borrower. If the Property is abandoned by Borrower, or if
<br />Borrower I" to respond to Lend within 30 days from the date notice is mailed by Lender to Borrower that the insurance carrier offers to
<br />settle a sham for insurance benefits, Leader is authorized to collect and apply the insurance proceeds at Lender's option either to restoration or
<br />repair of the Property or to the sums secured by this Deed of Trust.
<br />Un{as Lend and Borrower otherwise agree in writing, any such application of proceeds to principal shall not extend or postpone the due
<br />due of the monthly installments referred to in paragraphs I and 2 hereof or change the amount of such installments. If under paragraph Ill
<br />hereof the Property is acquired by Lade, all right. title and interest of Borrower in and to any insurance policies and in and to the proceeds
<br />thereof ranking from damage to the Property prim to the sale or acquisition shall pass to Lender to the extent of the sums secured by this Deed
<br />of Trust immediately, prior to such sale or acquisition.
<br />6. Pttassalatoa ant aana of Property; Lesaidwl s; CoNassishear; Phases! Usk Developments. Borrower "I keep the
<br />Properry in good tgair and shall not commit wage or permit imps trocrit or deterioration of the Property and shall comply with the provisions
<br />of any kne if this Deed of Trust is on a mold. If this Dad of Trust is or a unit in a condominium or a planned unit development, Borrower
<br />shall perform all of Borrower's obligations under the declaration or covenants creating or governing the condominium or planned unit
<br />development. the by -laws and regulations of the cordomdtiun or planned unit development, and constituent documents. If a condominium or
<br />I unit development rider is executed by Borrower and retarded together with this Dad of Trust, the covenants and agreements of such
<br />rinser shall be incorporated into and d" amend and supplement the covenants and agreements of this Dad of Trust as if the rider wee a put
<br />hereof.
<br />T. Pretselfa of LiswWt Seewlity. If Borrower fads to perform the covenants and agreements contained in this Dad of Trust, or if any
<br />action or proceeding is commenced which materially affects Lender's interest in the Property, including, but not limited to, eminent domain,
<br />Wsolveacy, code enforcement, or arrangements or proceedings involving a bankrupt or decedent, that Lender at Lender's option, upon notice
<br />to Borrower, may mate such apparances, disburse etch sums and take such action as is necessary to protect Lender's interest, including, but
<br />not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. If Lender required mortgage insurance
<br />as a condition of making the boa secured by this Deed of Trust, Borrower shall pay the premiums required to maintain such insurance in effect
<br />msW such mass as the requirement for such insurance terminates in accordance with Borrower's and Lender's written agreement or applicable
<br />law. Baronet shall pay the amount of all mortgage itwvatce premiums in the manner provided unbar paragraph 2 hereof.
<br />Any ismensaft disbursed by Lender Issrasting to this paragraph 7, with interest thereon, shall become additional indebtedness of Borrower
<br />swareil by ttkt Dad of Try. Unless Do-owes and Leader apse to other terms of payment, such amounts Shall be payable upon notice from
<br />Lander to Borrows requesting payment thereof, cud shell bar interest from the date of disbursement at the rate payable from time to time on
<br />ovestabdiatIl principal antler the Note unless payment of interest at such rate would be contrary to applicable law, in which event such amounts
<br />AM bow briterest at the ugliest rate under applicable law. Nothing; contained in this paragraph 7 shall require Lender to incur any
<br />Or "�My.ctloa .
<br />& IsrgMetia. Lander may make or cause to be trade reasonable entries upon and inspections of the Property, provided that Lender shall
<br />give room ytior to my suA inspection specifying reasonable cause therefor related to Lender's interest in the Property.
<br />9. CAsi twwlow. The of any award or claim for damages, direct or consequential, in connection with any condemnation or
<br />other taking of the Property. or pet thereof. or for conveyance in lieu of condemnation, are hereby assigned and shall be paid to Lender.
<br />In the event of a total talti g of the Property. the proceeds shag be applied to the sums secured by this Dad of Trust, with the excess, if any.
<br />paid to Borrower . la the event of a partial takes of the Property. uniests Borrower and Lender otherwise agree in writng, there shall be W4ied
<br />to the muns secured by this Deed of Trien such popostioi of the proceeds as i9 equal to that proriortion which the amount of the starts %ecured
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