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If Borrower pays Funds to Lender, the Funds shall he held in an institution the depc,S,t. accounts of v:hich are
<br />insured or guaranteed by a Federal or state agency (including L.e:nder if Lander N such an institution). i : t,:ler shall apply
<br />the Funds to pay said taxes, assessments, insurance premiums and ground rents. Lender may not Tharp e for so holding
<br />and applying the Funds, analyzing said account or verifying and compiling said assessmems and hips. 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 he 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 .wurip 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
<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 Fetus 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 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 refund to Borrower any
<br />Funds held by Lender. 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 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. Applieation of Pat-meats. Unless applicable law provides otherwise. all payments received by Lender under
<br />the Note and paragraphs I and 2 hereof shall be applied by Lender tint in payment of amounts payable to Lender by
<br />Borrower under paragraph 21 hereof, then to interest payable on the Note. and then to the principal of the Note.
<br />4. Prior Maetgages and Deeds of Trott: 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*% covenants to make payments when due. Borrower shall pay or cause to be paid all tales.
<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 />S. Hurd Itu umace. Borrower shall keep the improtrments now existing or hereafter erected on the 11rorerty
<br />insured against loss by fire, hazards included within the term "extended coycrage''. and such other hazards as Lcnder
<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 u+ approval by lender. provided.
<br />that such approval shall not be unreasonably withheld. All insurance policies and 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 thereot, subject to the terms of cute 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 lens. Borrower shall give prompt notice to the insurance carrier and Lender. Linder may make prod
<br />of toss if not made promptly by Borrower.
<br />It the Propert y is abandoned by Borrower. or it Borrower fails to respond t„ Lender'aithin 10 days from the data'
<br />notice is mailed by Lender to Borrower that the insurance carrier utters to sortie a claim for insurance benefits. :artier 1,
<br />authorized to collect and apply the insurance proceeds at Lenders option either to restoramin or repair (I* the
<br />Property or to the sums secured by this Deed of Trust.
<br />6. Presenatil" and Maintenance of Propert); icaseholds; Condominiums; Planned unit De.elopments. 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 it this reed of Trust is on a leasehold. It ibis heed of Trust is
<br />on a unit in a condominium or a planned unit development, Borower shall perform all of Borrower's obligations under
<br />the declaration it covenants creating or governing the condominium or planned unit development. the by -iaws and
<br />regulations of the condominium or planned unit development, and constituent documents.
<br />1. Preawtiea of Lender's Security. if Borrower fails to perform the cotenants 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 Proper+.
<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 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 Lender's written agreement or applicable law.
<br />Any amounts disbursed by Lender pursuant to this paragraph with interest thereon, at the tote rate, shall
<br />become additional indebtedness of Borrower secured by this Decd of Trust. Unless Borrower and Lender agree to
<br />other terms of pay-ment, such amounts shall he 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 />sn
<br />S. lnapecti. Lender may make or cause to be made reasonable entries upon and inspections of the Property.
<br />prrnided 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 />9. Cadeaaatien. 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 till- condemnation. are
<br />hereby assigned and shall be paid to Lender. subject to the terms of any mort gage. deed of trust or other security agrce-
<br />men; with a lien which has priority over this Deed of Jrust.
<br />10. Barrower Not Relemed; Forbearance $y Leader ]riot a Waiter. Extension of the time fit paymc•tit or
<br />modification of amortization of the sums secured by this Deed of 1 rust granted by Lender to any ,uccc%sor in ituerest ,,t
<br />L Borrower shall not operate to release. in any manner. the liability of the original Borrower dnd Borrowcr's suaccssors :n
<br />interest. Lender shall not be required to commence proceedings against such successor or retusc in extend m
<br />trc f;,r :,.I*, -
<br />rncnt or otherwise moxfify amortization of the sums secured by this IX-ed ill Trust b:. reason of any deman;l made by the
<br />original Borrower and Borrowet's successors in miciest. •tiny forbearance ht lender to ezcte3s111; iris'. risht „i r; Ill, 9f,
<br />hereunder, or otherwise afforded by applicable law. shall nut I't' a wait!•. ;d or p ','L ?17,11' the coulee "I atn sti, h r,,;t,i , 'r
<br />remedy.
<br />I1. 5ereeestcon and A"lgru Bound: Joint and Seteral liability: (o- sianen. lt,: „t;, :.,r• . n.t .,c >>;; :,t
<br />hciesn contained shall )rand. atO the nghts hcrcundyr shall snore t,:. the
<br />Burrrwer, tub jrctt• ,Owpr+tislon.A paragraph lbhorror Atic„ truant ,atnl.st.cn,cnt...tli,.,•,.
<br />srecrai All h., signs lhis Deed r,l 7 rust. huw
<br />•r'sa v, xrarsl cot, ; , ,, v h.,• 14u;.• „H „rs e,trtrttt ,n !hr 1'r. =l "x r,. ° . it i,. c z.. ?�� ;, , .•f _.
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