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84-tiG084
<br />applicable law requires such interest to be paid, Lender shall not be required to pay Borrower any interest or earnings on the Funds. Lends shall
<br />give to Borrower, without charge, an annual accounting of [he Funds showing credits need debits to the Funds and the purpose fo[ which each
<br />debit to the Funds was made. Tht Funds are pledged as additional security for [he sums secured by this Deed of Trust.
<br />If the amount of the Funds held by Lender, togeher with the future monthly installments of Funds payable prior [o the due dates of taxes,
<br />assessments, insurance premiums and ground rents, shall exceed the amount required to pay sold taxes, assessments, insursntt premiums attd
<br />ground rents as they fall due, sueh excess shall be, at Borrower's option, either promptly repaid to Bortower or credited to Borcower on monthly
<br />installments of Funds. (f 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, Bottows shall pay to Lender any amount necessary to make up [he deficiency within 30 days from thedate.notice
<br />is mailed by Lender to Borrower requesting payment [hereof.
<br />Upon payment in full of all sums secured by this Deed of Trust, Lender shall promptly refund to Borrower any Flrtds held by Letidec. If
<br />under paragraph 1 g hereof the Property is sold or [he Properly is otherwise acquired by Lender, Lender shall apply, no later than immetfiatdy
<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 againstthe stints
<br />secured by this Deed of Trust.
<br />3. AppikaBon of Payments. Unless applicable law provides otherwise. all payments received by Lender under the Note and paragraphs 1
<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 intuest
<br />payable on the Note. then to the principal o£ the Note, and then to interest and principal on any Future Advances.
<br />4. Chargd; Liens. Borrower shall pay all taxes, assessments and other chazges, fines and impositions attribunbk to [he Property which
<br />may attain a priority over this i)eed of Trust, and leasehold payments or ground rents, it 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. Bortows shall promptly furnish to
<br />Lender alt notices of amounts due under this paragraph, and in the event Borrower shall make payment dvectly, Bortower shall promptly
<br />furnish to Lender receipts evidencing such payments. Borrower shall promptly discharge any lien which has priority over this Died of Trust;
<br />provided, that Barrowe: shall not be ragweed to discharge any such lien so long as Borrower shall agree in writing to the paymmbof the
<br />obligation secured by such lien in a manner acceptable to Lender, or shall in good faith contest such Tien by, or defettd enforcement of such Gm
<br />in, legal proceedings which operate to prevent the enforcement of the lien or forfeiture of the Property or any part thereof.
<br />5. Ballard Insurance. Borrower shall keep the improvements now existing or hereafter erected on the Property instued against loan by fire,
<br />hazazds included within the term "extended coverage", and such other hazards as Lender may require and in such amounts and fo[ such periods
<br />as Lender may reyuire; provided, that Lender shall not require that Che 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 6y Borzower subject to approval by Lender; provided, that such approval
<br />shall not be unreasonably withheld. All premiums on insurance policies shat! be paid in the manner provided under paragraph 2 hereof or, if tto[
<br />paid in such manner, 6y Borrower making pa}~ttent, when due, directly to the insurance carrier.
<br />Aii insurance periicirs an - nrwa,s ,,,teen, s,.a,. ,.~ s, form a.. *=b!r !^ Lendrr and chat) include a standard mort_age clause in favor of
<br />and in form acceptable to Lender. Lendrr shall have the right to hold the policies and renewals thereof, and Borrower shall promptly furnish [o
<br />Lender all renewal notices and ail receipts of paid premiums. In [he even[ of toss, Borrower shall give prompt notice to [rte insurance carrier and
<br />Lender. Lender may make proof of loss if not made promptly by Borrower.
<br />Unless Lrndtr a,,-,d Borrower otherwise agree in •,vrting, irsurance procetds shall be applied to restoration or repair of the Properly
<br />damaged, provided such restoration ur rtpair 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 Dted of Trust would be impavtd, the insurance pentads shag be
<br />applied to the sums secured by this Deal of Trust, with flit excess, if any, paid to Borrower. If the Property is abandoned by Borrower, or if
<br />Bortower fails to respond ttr Lender within 3o days from the date notice is mailed by Lendrr to Borrower that the insurance carrier offers to-
<br />setde a daim for insurance benefits, Lender is authorized to collect and apply the insarance procteds at Lender's option either to-restoration or
<br />repair of the Propeny or to the sums secured by tkus Deei of Trust.
<br />Urttess Linder and Borrower otherwise agret in writing, any such application of proceeds to principal shag no[ extend or pos[ponethe due
<br />date of the monthly installments referred to in paragraphs t and 2 hereof or change the amount of such installments. (f under paragraph. Ig
<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-theprotxeds
<br />thereof resulting from damage w rite Property prior to the sale or acquisition shall pass to Linder to the extent of the sums secured by this Deed
<br />of Trust immediately prior to such sale or acquisition.
<br />6. Fraser*aUoo and Maiafeaaate of Property; LeaseYolds; Cotdomialrm; Phaaud Ualt Develop~e~ta. Borrower shag keep- the
<br />Propsty in good repair and shall not commit wasrc or permit impairment or deterioration of the ProtxrtY and shag comply with_Ihe provision
<br />of any lease if this Deed of Trust is on a leasehold. I f this Deed of Trust is ore a unit in a condominitm or a planned unit development, Bttrcower
<br />shag perform all of Borrower's obligations under the da:tandon or covenants creating or governing the condotninitmt or -planned unit
<br />dtvelopment, the by-laws and regulations of the condominium or planned unit development, and constituent documents. if a rnndominittm or
<br />planed unit developatent rider is executed by Borrower and recorded together with this Deed of Trust, the covenants and agreetttenb of such
<br />ridtr shall be incorpontal into and shall amend and supplement the covenants and agreements of this Deal of Trust as if the rider were a part
<br />hereof.
<br />7. Prottcrloa of Lender's Seearity. if Borrower fails to perform the covenants and agreements contained in this Deed of Trust, or if any
<br />action or proceeding is commenced which materially affa;ts Lender's interest in the Property, including, but not limited to, eminent domain,
<br />insolvrncy, code enforcement, or arrangemenu or proctafings involving a bankrupt or decedent, then Lender at Lender's option, upon notice
<br />to Borrows, 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 Propsty to make rcpaus. if Lends required mortgage insurance
<br />as a condition of making the loan secured by this Deal of Trust, Borrows shall pay the premitms raluired to maintain such insurance in effect
<br />until such dent as the raluirement foe such insurance terminates in accordance with Borrower's and Lends's written agreement or applicable
<br />law, Bottower shall pay the amount of ati mortgage insurance premiums in the manner provided under paragraph 2 hereof.
<br />Any amounts disbursed by Lender pursuant to this pazagnph 7, with intsest thseon, shag become additional indebtedness of Borrows
<br />secural by this Decd of Tntst. Unless Borrows and Lends ages to other terms of payment, such amounts shall be payable upon notice from
<br />Lender to Borrower requesting payment theeof, and shall bear interest from the date of disbursement at the rate payable from time to dine on
<br />trutstanding principal ands the Nate unless payment of intses[ at such raft would be contrary to applicable taw, in which event such amounts
<br />shah bear intsest at tht highest tart pdtttissible ands applicable law. Nothing contained in this paragnRh 7 shall rtquire Lender to incur any
<br />expense err takt any action hseunder.
<br />' 6, Lugattioa. Lends may make or tsuse to ire made reasonable entrits open and inspections of the Properly, Provided that Linder shall
<br />gvt Borrows notitt prior to any sueh irespevdon speeif'ymg reasonable cause therefor relattd to Ltnds's interest in the Property.
<br />9: Ceaiattttrdoa. The pn!retds of any award or claim for damages, direct or consequendat, in connection with any condemnation or
<br />ntyrtr taking of tltt Proper€y, err pan [hseaf, or far rtrnveyaru:e in hey of coudtmnauon, art htrcby assigned and ahaU be paid to Lender.
<br />!n tht tvmt of a total taking aC the Properly, tht proceeds shall be applied to the sums secured by this i?acct of l'rusr, with the esccss, if any,
<br />paltt Ftr Borrows, in tilt tvsft of a partial taking of fh€ Properly, unites Borrower and tirade crtherwtse agrrt in wrhing, [here shall be aRRliecl
<br />to the sums steurtd try dsis fXral of "Crust such R"rrt!ortlon of dar procetdc as is tqual to that pnrptutlan ,vhirh the amount of the suns sre:urtd
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