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86-- 107355 r
<br />applicable law requires such interest to be paid. Lender shall not be required to pay Borrower any interest or earnings on the Fords. i.atder shall
<br />give to Borrower, without charge. an annual accounting of the Fords showing credits tad debits to the Funds and the purpose for which no
<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 data of tames,
<br />oaesments. Asteastce proaheas and ground rents. shall exceed the amount required to pay said woes. assessments. insurance premiums and
<br />gtotttsd rents n they fall due, such axons shall be, at Borrower's option, either promptly repaid to Borrower or credited to Borrower on monthly
<br />inswumente of Pads. If the amount of the Funds held by Lender shall mx be sufficient to pay taxes, aesasaemes, insistence premiums and
<br />pound rears a trey fan toes, gamma shall pay to tender any amount necessary to make up the deficiency within 30 days from the date notice
<br />is mailed by Leader to Borrower requesting payment thereof.
<br />Upon payment in full of all suns secured by this Deed of Trust, Leader shall promptly refund to Borrower any Funds held by I ender. If
<br />under paragraph if ha W the Property is sold or L'te Property is otherwise acquired by Lender. Leader shall apply, no later than imnwdialdy
<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 sues
<br />secured by this Dad of Trust.
<br />3. A//realba of Payosnls Unless applicable law provides otherwise, all payments received by Leader under the Note and paragraphs 1
<br />and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by Borrower under paraptsph 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. Chin Usm Borrower shall pay all taxes, assessments and other charges, fines and impositions attributabk to the Property which
<br />may attain a priority over this Deed of Trust, and lessehoid payments or ground rents, if any, in the manner provided under paragraph 2 hereof
<br />or, if not paid in such manna. by Borrower making payment, when due, directly to the payee thereof. Borrower shall promptly furnish to
<br />Leader 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 shalt 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 manna acceptable to Lender, or shall in good faith contest such lien by, or defend enforcement of such lien
<br />in, k gml proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />S. Nnaod Erarsece. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire,
<br />hazards included within the tam "extended coverage" and such other hazards as Lender may require and in such amounts and for such periods
<br />as Leader may require; provided, that Leader shall not require that the amount of such coverage exceed that amount of coverage required to pay
<br />the stems secwod by this Dad 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. AB premiums on insurance policies 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 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 in favor of
<br />and in form aooepudge to Leader. 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 toss if not made promptly by Borrower.
<br />Unless Leader and Borrows 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 Deed of Trust is net thereby impaired. If such
<br />restoration or repair is cwt economically fasiblee or if the security of this Deed of Trust would be impaired, the insurance proceeds shall be
<br />applied to the sae secured by this Deed of Thus, with the excess. if any. paid to Borrower. If the Property is abandoned by Borrower, or if
<br />Borrower falls to respond to I ender within 30 days from the due notice is trailed by Lender to Borrows that the insurance carrier offers to
<br />settle a claim 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 sras secured by this Deed of Trust.
<br />Unless Leader and Borrows otherwise agree in writing. any such application of proceeds to principal shall Dot extend or postpone the duke
<br />date of the monthly installments referred to in paragraphs 1 and 2 hereof or change the amount of such installments. If under paragraph 18
<br />hereof the Property is acquired by Leader, all right, title and interest of Borrower in and to tiny insurance policies and in and to the proceeds
<br />thereof resulting from damage to the Property prior to the sale or acquisition shall pus to Lender to the extent of the stems secures by this Deed
<br />of Trust immaliatdy prior to such teak or acquisition.
<br />h, rassil aM IMaI I of Property; L.easebalb; CodemieMN; PlaaeE Usk DeveleposMS. Barrows shall keep tine
<br />Property in good repair and shall Dot commit waste or permit impairment or deterioration of the Property and shall comply with the provisions
<br />of any kase if this Deed of Trent is on a lesfehold. If this Deed of Trust is on a unit in a condominium or a planned unit development, Borrower
<br />shalt 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 Bortower and recorded together with this Dad of Trust, the covenants and apexrxnts of such
<br />rider shalt be incorporated into and shall amend and supplement the covenants and agreements of this Deed of Trust as if the rider were a part
<br />hereof.
<br />7. ProMedoa of lender's Sociality. If Borrower fails 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 timiuxi 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 stuns and take such action as is necessary to protect Lender's interest, including. but
<br />Dot limped to, disbarsentient of reasonable attorney's fns and entry upon the Property to make repairs. If Lender required mortgage insurance
<br />as a condition of am" the low secured by this Deed of Trust. Borrower shall pay the premiums required to maintain such insurance in effect
<br />until such time as the requiriement for such insurance terminates in accordance with Borrower's and Lender's written agreement or applicable
<br />law. Borrower Neil pay the aeeowt of all mortgage insurance premiums in the manner provided under paragraph 2 hereof.
<br />Any asolsaf disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall become additional indebtedness of Borrower
<br />secured by this Dad of Treat. Unless Borrower and Lender agree to other terms of payment, such amounts shall be payable upon notice from
<br />Lender to Borrower requesting payment thereof, and shall bear interest from the ;late of disbursement at the rate payable from time to time on
<br />outstanding principal under the Note unless payment of interest at such rate would be contrary to applicable law, in which event such amounts
<br />dM bow' ssra'at due highest roes permissible under applicable law. Nothing contained in this paragraph 7 shall require Lander to incur any
<br />eersuas or alts any action heratnuh , .
<br />S. Eagsedoe. Lender lacy atrke or cause to be made reasonable entries upon and inspections of the Property, provided that lender shall
<br />give Barrows notice par no any torch inspection specifying reasonable cause therefor related to L.endet's interest in the Property_
<br />1. Cesidsoaden. The proceeds of any award or claim for damages, direct or consequential, in connection with any condemnation or
<br />other taking of the Property, or part thereof, or for conveyance in lieu of condemnation. are hereby assigned and shalt be paid to Lender
<br />go the event of a total taking of the Property, the proceeds %hail he applied to the sums secured by this geed of Trust, with the excess, if any,
<br />paid to ionoww. to the coast of a partial taking of the Property, unless Borrower and Lender othcrwiu agree in writing, there shall he applied
<br />to the sow w coral by this Deed of Trust such proportion of the proceeds as is equai to that proportion which the amount of the sums %ert:rnl
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