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$6� 104998
<br />applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lender shall
<br />give to Borrower, .viii ",out charge, an annual accounting of the Funds showing credits and debits to the F ,_nd: and the purpose fer which each
<br />debit to the Funds was made. The Funds are pledged as 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 due dates of taxes,
<br />assessments, insurance premiums and grouted rents, shall exceed the amount required to pay said 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 />installments 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 full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Funds held by Lender. If
<br />under paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender shall apply, no later than immedia dy
<br />prior to the sale of the Property or its acquisition by Lender, any Funds held by Lender at the time of application as a credit against the sums
<br />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 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 dote, then to the principal of the Note, and then to interest and principal on any Future Advances.
<br />4. Charges; liens. Borrower shall pay all taxes, assessmens and other charges, fines and impositions attributable to the Property which
<br />may attain a priority ewer this Deed of Trust, and lmschold pa }ments or ground rents, if any, in the manner provided under paragraph 2 hereof
<br />or, it 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 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 hen so long as Borrower shall agree in writing to the payment of the
<br />obligation secured by such licii, 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 hen or forfeiture of the Property or any part thereof.
<br />S. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss 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 r egmre 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 approval by Lender; provided, that such approval
<br />shall not be unreasonably withheld. All premiums on insurance po:taes shall be paid in the manner provided under paragraph 2 hereof or, if not
<br />paid in such manner, by Borrower making payment, when due, directly in the insurance carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in 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 ail 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. 1 •ender Wray make proof of loss Knot made promptly by Borrower-
<br />Laless Lender and Borrower otherwise agree in writing, insurance prooee=.d 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 repair is not economically feasible or if the scrurity of this Deed of Trust would be impaired, the insurance proceeds shall be
<br />_ applied to the sums secured by this Deed of Trust, with the excess, if any, paid to Borrower_ If the Property is abandoned by Borrower, or if
<br />Borrower faits 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 insararice benefits. Lender is authorized to collect and apply the insurance proceeds at Leader's option either to restoration or
<br />repair of the Property or to the sums secured by this Deed of Trust_
<br />Unless Lender and Bar. awer otherwise aver in writing. any such application of proceeds to principal shall not extent 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 18
<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 We or acquisition shall pass to Leader to the extent of the sums secured by this Deed
<br />of Trust immediately prior to such sale or acquisition,
<br />6. Preservation and Maintenance of Property; Leasebolds; Condominiums; Planned Unit Developments. Borrower shag 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 provisions
<br />of any lease if this Deed of Trust is on a leasehold. If this Deed of Taut is on a uutit in a condominium or a pla:med 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 condominium or planned unit development, and constituent documents. If a condominium or
<br />planned unit development rider is executed by Borrower and recorded together with this Dad of Trust, the covenants and agreements of such
<br />rider shall be incorporated into and shall amend and supplement the covenants and agreements of this Deed of Trust as if the rider were a par,
<br />hereof.
<br />7. Protection of Lender's Security. If Borrower fails to perforrtt the covenants and at: cements contained it, this Deed of Trrst, or it any
<br />action or proceeding is commenced 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 bankrupt or decedent, then Lender at Lender's option, upon notice
<br />to Borrower, may make such appearances, disburse such sutras and take such action as is necessary to protect Lender's interest, including, but
<br />not limited to, disbursement of r easonabie attorney's fees and entry upon the Property to make repairs. If Lender requited mortgage insurance
<br />as a condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiurs 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 wet,
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<br />law. Borrower shall pay the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall become additional indebtedness of Borrower
<br />secured by this feed of Trust. Unless Borrower and Leader agree to other terms of payment, such amounts shall be payable upon notice from
<br />Lender to Borrower requesting payment thereof, and shall beat interest from the date of disbursement at the rate payable from tune to time on
<br />outstanding principal under the Note unites payment of interest at such rate would be contrary to applicable law, in which event such amounts
<br />shall hear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 7 shall require tender to incur an)
<br />expense or take any action hereunder .
<br />I. inspection, Lender may make or cause to be muds reasonable entries upon and inspections of the Property, provided that I ender cr.ai;
<br />give Borrower notice prior to any such inspection specifying reasonable cause therefor related to Lender's interest in the Proptrry.
<br />�. Coademaation, The pr:xccds of any award m claim for damages, drimt or conseq:iential, in t,snrecaii,n w j?', srsv �... ;ucr *rtzt =• +t= or
<br />•tether takcnp r +f the ER,�pr +ts .,: Piet tticrec,l, rn t_rr tonveyam�e ir, tier of <- :,nderr,nation, air hereby assigned a:ad shat; lac paa,3 io�l. rn4er.
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