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85-0 003080
<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, without charge, an annual accounting of the Funds showing credits and 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 />tj' 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 Awl
<br />installments of Funds. If the amount of the Funds held by Lender shall not be sufficient to pay tares, 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 stuns 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 ;o 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. AppNotiow of raymmis, 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. Chm"; Iku. Borrower shall pay all taxes, assessments and other charges, fines and impositions
<br />may attain a priority over this Deed of Trust, and leasehold attributable under the Propert y which
<br />or, if not Payments or ground rents, if any, in the manner provided under paragraph 2 hereof
<br />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 part thereof.
<br />S. Hazard Isserance. 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 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 G, :,ender; provided, that such approval
<br />shall not be unreasonably withheld. All premiums on insurance policies shall he 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 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. Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower 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 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 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 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 shall 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 sale or acquisition shall
<br />of Trust immediately pass to Lender to the extent of the sums secured by this Deed
<br />Y Dnor to such sale or acquisition.
<br />`• P►ssuraUoa and ice of Property; Lvaseholds; Condomlalatas; Planned Unit Der
<br />Property in good r NoPashall Borrower shall keep the
<br />S cPa1r 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 Trust is on a unit in a condominium or a planned unit development, Borrower
<br />shall perform all of Borrower's obliptions under the declaration or covenants creating or governing the condominium or planned unit
<br />development, the by-laws acrd 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 Deed 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 part
<br />Woof.
<br />?• Pr®toed" of Lender's seenrky. If Borrower fails to
<br />action of perform the covenants and agreements contained in this Deed of Trust, or if any
<br />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, [hen 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. If 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 />lea'• Borrower shall Pay the amount of all mortgage insurance premiums in the manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Leader pursuant to this paragraph 7, with interes! thereon, shall become additional indebtedness of Borrower
<br />secured by this Dead of Tout. Unless Borrower and Lender agree to other terms of payment, such amounts .,hall be payable upon notice from
<br />Lender to Bo"~ requesting Payment thereof, and shall bear interest from the date of disbursement at the rate payable from time in time on
<br />Outs ng firinapal under the Note unless payment of interest at such rate would he contrary to applicable law, in which event such amounts
<br />bear interest at the highest rate permissible under applicable law. Nothing contained in this paragraph 7 shall require Lender to incur ails,
<br />expense or take any action hereunder.
<br />I, frpwdoic L may nude cause to be made reasonable conics upon and inspections of the Property, provided that l ender shall
<br />give Borrower notice prior to any such inspection of an a specifying reasonable cause therefor related to Lender's interest in the Proterty.
<br />9, calling of the Prop. ty, r par,, th of any award or claim for damage%, direr: or i,1nscquential, in onneclion with ally condellind loll or
<br />xfier taking of the Property, rx pert thereof, or for conveyance in lieu of enndeninauon, are hereby assigned and ,hall he pdcd to I ender
<br />to
<br />In the event of a tonal taking of the Property, the proceeds %hall Pie applied lo the sums secured by chic lJCed ..I Lruet. ssith chi e•rre%s, it ens.
<br />yd ro horrowet, In the event of is partial taking of the property, 1,11 "5 11,17r(,wel i9lPli I ender lietlCl'NICC agICC tt1 w11I11)8, 'her(' .ball he applied
<br />(hc "nms ta-ured by chic D",d (f Trust such proponUOn art ohr I'l,weed +;a•. rqu:a( in !hill Linlw,ihr.n h),h hr am-1111 "y
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