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001722
<br />applicable Law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lende'shall
<br />give 10 Borrower, without charge, an annual accounting of the Funds showing credits +nd debits to the Funds and the purpose for 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 ground 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 Leader to Borrower requesting payment thereof.
<br />Upon payment in fall of an sum; 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 immediately
<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. App6cadeal 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. Charges; Lim. 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 />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 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 pan thereof.
<br />S. Hazard Ittuamace. Borrower shall keep the improvements now existing or hereafter erected on the Property insured against loss by fire,
<br />hazards included within the tern "extended coverage ", and such other harass as Lender may require and in such amounts and for such periods-
<br />as
<br />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 approval 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 manner, by Borrower making payment, when due. directly to he insurance carrier.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a standard mortgage clause in faver of
<br />and in form acceptable to Lender. Lender shall have the right 10 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 he 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 security of this Deed of Trust would be impaired, the insurance proceeds shall be
<br />applied to the sutras 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 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 Property or to the sums secured by this Deed of Trust.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal Shan 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 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 Lender 10 the extent of the stuns secured by this Deed
<br />of Trust immediately prior to such sale or acquisition.
<br />6, PrwfumOIWG And Malallanam of Property; Leueholda, Condominiums; Phased Unit De.
<br />Property in good repair and shah not commit waste or t3opments. Borrower shall keep the
<br />permit impairment or deterioration of the Property and shall comply with the provisions
<br />Of any tease if this Deed of Trust is on a lewhold. If this Deed of Trust is on a unit in a condominium or a planned unit development, Borrower
<br />.
<br />development. the by -laws and r
<br />egulations of the condominium or planned unit development, and constituent documents. If a condominium or
<br />Planned unit development rider is ex ecuted by Borrower and recorded together with this Deed of Trusi, 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 part
<br />hereof.
<br />T' of I.ender's 3ectirity. If Borrower fails to
<br />perform the covenants and agreements contained in this Deed 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 />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 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. It Lender required 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 written agreement or applicable
<br />law. Borrower Shan 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 ?, will, interest thereon, shall become additional inaebtedness of Borrower
<br />scoured by this Deed of Trust. Unless Borrower and Leader agree to other terms of payment, such amounts shall he payable upon notice from
<br />I.vailer to Borrower requesting payment thereof, and shall bear Interest from [he date of disbursement at tile rate payable from rime to time un
<br />outstanding Principal under the Note unless payment of interest at such rate would be contrary to applicable law, h1 which even such amounts
<br />shall tsar interest at the highest rate permissible under applicable law. Nothing contained in this Paragraph %shall ceymre Lender c incur env
<br />ex or take any action hereunder.
<br />j 8' f • Lender may make or cause to be made reasonable comes u
<br />! give Borrower notice prior to any such ins twit and IhIS(EC�'llofl.S U1 tllC 1'tU(terlY, prpyldP.if , Ill Lender shall '
<br />pectlon specifying feasonable cause therefor related to fender's Interest m the Ploperty. !
<br />p. (: . The Proceeds of any asvatd or claim for damages, direct u, . 11sequettb. '. .n ""nest mn w ll any indenusuon or
<br />raher taking of the Property, err part thereof, or for conveyance in lieu of condrrnnanon. arc hereby assigned and shalt be pail to I entlec ti.
<br />Bra the event of a total takingof Cite Property. the proceeds shall be applied to the sums secured by tills I)eed ul I I lint, a ❑l, the excess, It any,
<br />t}ard to Ikwtowtf, In the event of a Partial taking of the Property, unless Hrrrlowcr and I cotter r+thcru Is
<br />Iv ! " +e ,sense securercl by this Iterxl Of T7ast such pnI(xrrumn ul the prrKcrds as (I „ ,; i I„ , - r agree• uI %nnng. I heed ,.tall he applied
<br />' 7t r I'm 11 r,. t.nr!"m "11Sh !tlt il the "Ili, w-lied
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