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<br />If Borrower pays Funds to Lender, the Funds shall be held in an institution the deposits or accounts of which are
<br />insured or guaranteed by a Federal or state agency (including Lender if Lender is such an institution). Lender shall apply
<br />the Funds to pay said taxes, assessments, insurance premiums and ground rents. I ender may not charge for so holding
<br />and applying the Funds, analyzing said account or verifying and compiling said assessments and bills, unless Lender
<br />pays Borrower interest on the Funds and applicable law permits Lender to make such a charge. Borrower and Lender
<br />may agree in writing at the time of execution of this Dad of Trust that interest on the Funds shall be paid to Borrower,
<br />and unless such agreement is made or applicable lax requires such interest to be paid, Lender shall riot be requited
<br />to pay Borrower any interest or earnings on the Funds. Lender shall give to Borrower, without charge, an annual
<br />accounting of the Funds showing credits and debits to the Funds and the purpose for which each debdt to the Fri aORS
<br />made. The Funds are pledged as additional security for the sums secured by this Doted of Trust.
<br />If the amount of the Funds held by Lender. together with the future monthly installments of Funds payable priorty
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount requited to pay said
<br />taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at'Botrtowcr's o ptiom
<br />either promptly repaid to Borrower or credited to Borrower on monthly installments of Funds. If the amount of the
<br />Funds held by Lender shall not be sufficient to pay taxes, assessments, insurance premiums and ground rents as they fall
<br />due, Borrower shall pay to Lender any amount necessary to make up the deficiency in one or more payments as Lender
<br />may require.
<br />Upon payment in full of all sums secured by this Deed of Trust, Lender shall promptly refitud to
<br />Funds held by tender. If under paragraph 17 hereof the Property is sold or the Property is otherwise acquired by
<br />Lender. Lender shall apply, no later than immediately prior to the sale of the Property or its acquisition by [ender. any
<br />Funds held by Leader at the time of application as a credit against the sums secured by this Deed of Trust.
<br />3. Application of Payments. Unless applicable law provides otherwise, all payments received by Leader tender
<br />the Note and paragraphs I and 2 hereof shall be applied by Lender first in payment of amounts payable to Lender by
<br />Borrower under paragraph 2 hereof, then to interest payable on the Note, and then to the principal ofthe Note.
<br />4. Prior Mortgages and Deeds of Trost; ; Lima. Borrower shall perform all of Borrower's obligations
<br />under any mortgage, deed of trust or other security agreement with a lien which has priority over this Dad of Trust,
<br />including Borrower's covenants to make payments when due. Borrower shall pay or cause to be paid all tam,
<br />assessments and other charges, fines'and impositions attributable to the Property which may attain a priority oar this
<br />Deed of Trust, and leasehold_payments or ground rents, if any.
<br />S. Hasid Imp. Borrower shall keep the improvements now existing or ereafter "— eretTed on tWPropWd
<br />insured against loss by fire, hazards included within the term "extended coverage ". and such other hazards as Lender
<br />may require and in such amounts and for such periods as Lender may require.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender; provided.
<br />that such approval shall not be unreasonably withheld. All insurance policies a renewals thereof shall be in a form
<br />acceptable to Lender and shall include a standard mortgage clause in favor of and in a form acceptable to Lender.
<br />Lender shall have the right to hold the policies and renewals thereof, subject to the terms of any mortgage, deed of trust
<br />or other security agreement with a lien which has priority over this Deed of Trust.
<br />In the event of loss. Borrower shall give prompt notice to the insurance carrier and Lender. lender may make proof
<br />of loss if not made promptly by Borrower.
<br />If the Property is abandoned by Borrower, or if Borrower fails to respond to Lender within 30 days from the date
<br />notice is mailed by Lender to Borrower that the insurance carrier offers to settle a claim for insurance benefits. Lender is
<br />authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair of the
<br />Property or to the sums secured by this Deed of Trust.
<br />ti. Pro motion and Maintenance of Property; I.use6eldsi Condominium; Planned Unit Develiquotents. Bor-
<br />rower shall keep the Property in good repair and shall not commit waste or permit impairment or deterioration of the
<br />Property and shall comply with the provisions of any lease if this Deed of Trust is on a leasehold. If this Deed of Trust is
<br />on a unit in a condominium or a planned unit development, Borrower shall perform all of Borrower's obligations under
<br />the declaration or covenants creating or governing the condominium or planned unit development, the by-laws and
<br />reguiations of the condominium or planned unit development, and constituent documents.
<br />7. Protection of Lender's Security. if Borrower faits to perform the covenants and agreements contained in this
<br />Deed of Trust, or if any action or proceeding is commenced which materially affects tender's interest in the Property.
<br />then tender, at lender's option. upon notice to Borrower. may make such appearances, disburse such sums. including
<br />reasonable attorneys' fees, and take such action as is necessary to protect Lender's interest. If lender required mortgage
<br />insurance as a condition of making the loan secured by this Deed of Trust, Borrower shall pay the premiums required to
<br />maintain such insurance in effect until such time as the requirement for such insurance terminates in accordance with
<br />Borrower's and fender's written agreement or applicable law.
<br />Any amounts disbursed by lender pursuant to this paragraph 7, with interest thereon. at the Note rate. shall
<br />become additional indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and tinder agree to
<br />other terms of payment, such amounts shall be payable upon notice from Lender to Borrower requesting payment
<br />thereof. Nothing contained in this paragraph 7 shall require Lender to incur any expense or take any action hereunder.
<br />A. Inspection. tender may make or cause to be made reasonable entries upon and inspections of the Property.
<br />provided that Lender shall give Borrower notice prior to any such inspection specifying reasonable cause therefor
<br />related to Lender's interest in the Property.
<br />!. Comlemostion. The proceeds of any award or claim for damages, direct or consequential, in connection with
<br />any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnation, arc
<br />hereby assigned and shall he paid to Lender, subject to the terms of any mortgage, deed of trust or other security agree-
<br />ment with a lien which has priority over this Deed of Trust.
<br />10. Borrower Not Relessedi Forbearance by leader Not a Waiver. Extension of the time for payment or
<br />modification of amortization of the sums secured by this Deed of Trust granted by Lender to any successor in interest of
<br />Borrower shall not operate to release, in any manner, the liability of the original Burrower and Borrower's successors in
<br />interest. Lender shall not be required to commence proceedings against such successor or refuse to extend time for pay
<br />ment or otherwise modify amortization of fhe sums secured by this Deed of Trust by reason of any demand made by the
<br />original Borrower and Borrower's successors in interest. Any forbearance. by Lender in exercising any right or remedy
<br />hereunder, or otherwise afforded by applicable law, shall not be a waiver of or preclude the exercise of any such right or
<br />remedy.
<br />11, Sroccessurs and Assign Botmall Joint and Several Liability; (:o- signers. The covcnanly and ap reemetits
<br />herein contained %hall hind, and the rights hereunder shall inure fu, the resp'ec'tive suecvk%nr% and M%ign% 111 IA'ndt'r and
<br />td+trrower, subject Y" the provi%tom fit paragraph 16 herein. All covenanis and agteclncnls of Born,..vi shall he punt .did
<br />ductal" !1nv Birrowet who co stxnti 1111% I NV41 of 'I rust, hot clews nol cxerote the Note, 1,o is c" sil;noiw This Ikcil m 11"st
<br />�iio t., prai.i .'"d Imit " lh..i It to the. I't.v-riv 1" "Intuec, the tetw, 1 0"•. 0o.,.1 , 1 1th 1 Ohl iti
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