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85-003672
<br />If Borrower pays Funds to Lender, the Funds shall be held in an institution the deposits or accounts of w hick are
<br />insured or guaranteed by a Federal or state agency (including Lender 1t Lender is such an institution). Lender shall apply
<br />the Funds to pay said taxes, assessments, insurance premiums and ground rents. tender 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 Deed of Trust that interest on the Funds shall be paid to Borrower.
<br />and unless such agreement is made or applicable law requires such interest to be paid. Lender shall not be required
<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 debit to the Funds was
<br />made. The Funds are pledged as additional security for the sums secured by this Daed of Trust.
<br />if the amount of the Funds held by Lender, together with the future monthly installments of Funds parable prior to
<br />the due dates of taxes, assessments, insurance premiums and ground rents, shall exceed the amount required to pay- said
<br />taxes, assessments, insurance premiums and ground rents as they fall due, such excess shall be, at Borrower's option,
<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 he 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 deficienev 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 refund to Borrower any
<br />Funds held by Lender. if under paragraph 1' 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 Lender, any
<br />Funds held by Lender 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 Lender under
<br />the Note and paragraphs 1 and 2 hereof shall he 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 of the Note.
<br />4. Prior Mortgages and Deeds of Trust; Charges; Liens. 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 Deed of Trust.
<br />including Borrower's covenants to make payments when due. Borrower shall pat" or cause to be paid all taxes,
<br />assessments and other charges, fines and impositions attributable to the Property which may attain a priority over this
<br />Deed of Trust, and leasehold payments or ground rents, if any.
<br />5. Hazard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property
<br />insured against loss by fire, hazards inciuded-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 unreasonabh withheld. All insurance policies and renewals thereof shall be in a firm
<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 I,) the insurance carrier and Lender. Lender may make proot
<br />of loss if not made promptly by Borrower.
<br />If the Property is abandoned be Borrower. or it Borrower fails io respond to Lender within Zit days from the date
<br />notice is mailed by Lender to Burrower that the insurance carrier offers to settle a claim for insurance be•nctits. Lcndcr is
<br />authorized to collect and apply the insurance proceeds at Lender's option either to restoration or repair ut the
<br />Property or to the sums secured by this Deed of Trust.
<br />6. Preservation and Maintenance of Property; Leaseholds; Condominiums; Planned Unit Developments. 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 ifthis Deed of Trust is on a leasehold. It this Decd of Trust is
<br />on a unit in a condominium or a planned unit development. Burrower shall perform all o1 Borrower's obligations under
<br />the declaration or covenants creating or governing the condominium or planned unit development. the be -laws and
<br />regulations of the condominium or planned unit development, and constituent documents.
<br />7• Protection of Lender's Security. It Borrower fails to perform the covenants and agreements contained in this
<br />Deed of Trust, or if any action or proceeding is commenced which materially affects Lender's interest in the Property.
<br />then Lender. 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 Linder required mortgage
<br />insurance as a condition of making the loan secured be 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 "lilt
<br />Borrower's and Lender's written agreement or applicable law.
<br />Any amounts disbursed by !.ender pursuant to this paragraph ', with interest thereon. at the Noic raic•. shall
<br />become additional indebtedness of Borrower secured by this Deed of Trust. Unless Borrower and Lender agree to
<br />other terms of payment, such amounts shall he payable upon notice from Lender to Borrower requesting payment
<br />thereof. Nothing contained in this paragraph ? shall require Lender to incur any expense or take any action hereunder.
<br />S. Inspection. Lender 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 thereby
<br />related to Lender's interest in the Property.
<br />9. Conslemnatioo. 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 fir conveyance in icu of condemnation, arc
<br />hereby assigned and shall be paid to Lender. subject to the terms of any mortgage• deed of trust nr other security agree-
<br />ment with a lien which has priority over this Deed of Trust.
<br />10. Borrower Not Released; Forbearance By Lender Not a Waiver. Extension 'It the brio for payncc•ni u
<br />modification of amortization of the sums secured by this peed of Trust granted by Lender to any successor in interest ,,t
<br />Borrower shall not operate to release, in any manner. the liability tit the original Borrower and B.,m wer's successors in
<br />interest. Lender shall not be required to commence proceedings against such successor or retluv W cstend tune for par
<br />ment or otherwise modify amortization of ttre sums secured by this Deed of I rust he reason of any duntand made by the
<br />original Borrower and Borrower's successors in interest. Any torbearance by Lender in exercising ass right ,i rrnirds
<br />hereunder, or otherwisc afl rded by applicable law, shall not be a waiver it -r pnrlude the veer, nc ,I :ens such nght ..r
<br />rerncdv.
<br />11. Stweessors and Assigns Bound; ;point and Several Liabilits: Co- s'Kners. Ile i nor „uu .oid :err cnic nt .
<br />herein contained shalt bind. Intl thc right% hcrrurriler shall :nurr t,,. flit” rrsp,:t"tnk, sues ..u, .,rnl .n �:l rn „s 1 r rid
<br />Burrower, subject to the proyi,Eutts �,t paragraph 16 hure„f All cntcn:uu•..+nd r :r,
<br />several. Any 6r,rmwer wtn, cn -signs this Ieeof .d 1 rues. h if dew••, m ±r th" 1„i,
<br />only to gram :,nil r:aiycy that r's ttrtrnrst :n rn�, r., i ,r,!rc una, h.
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