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Loan No: 101242087
<br />DEED OF TRUST � p�,14 4 7 6 7 Page 3
<br />IContinued)
<br />TAXES AND LIENS. The following provisions releting to the taxes and liens on the Property are pert of this Deed of Trust:
<br />Payment. Trustor shall pay when due (and in all events prior to delinquency) all taxes, special taxes, assessments, charges (including
<br />water and sewerl, fines and impositions levied against or on account of the Property, and shall pay when due all claims for work done
<br />on or for services rendered or meterial furnished to the Property. Trustor shall maintain the Property free of all liens having priority
<br />over or equal to the interest of Lender under this Deed of Trust, except for the lien of taxes and assessments not due and except es
<br />otherwise provided in this Deed of Trust,
<br />Right to Contest. Trustar mey withhold payment of any tax, assessment, or claim in connection with a good faith dispute over the
<br />obligation to pay, so long as Lender's interest in the Property is not jeopardized. If a lien erises or is filed as e result of nonpayment,
<br />Trustor shall within fifteen (151 days after the lien arises or, if a lien is filed, within fifteen (75) days after Trustor has notice of the
<br />filing, secure the discharge of tha lien, or if requested by Lendar, deposit with Lender cash or a sufficient corporate surety bond or
<br />other security satisfactory to Lender in an amount sufficient to discharge the �ien pius any costs and attorneys' fees, or other cherges
<br />that could accrue as e result of a foreclosure or sale under the lien. In any contest, Trustor shall defend itself and Lender and shall
<br />satisfy any adverse judgment before enforcement against the Property. Trustor shell name Lender as an additional obligee under eny
<br />surety bond furnished in the contest proceedings.
<br />Evidence of Payment. 7rustor shall upon demand furnish to Lender satisfactory evidence of payment of the taxes or ass�ssments a�d
<br />shall authorize the appropriate governmental afficial to deliver to Lender at eny time a written statement of the taxes and assessments
<br />against the Property.
<br />Notice of Constructian. Trustor shall notify Lende� at least fifteen (15) days before any work is commenced, eny services are
<br />furnished, or eny materials are supplied to the Property, if any mechanic's lien, materialmen's lien, or other lien could be asserted on
<br />account of the work, services, or materlals. Trustor will upon request of Lender furnish to Lender advance assurances satisfactory to
<br />Lendar that Trustor can and will pay the cost of such improvements.
<br />PROPERTY DAMAGE INSURANCE. The following provisions relating to insuring the Property are a part of this Deed of Trust.
<br />Meirrtenance of Insurance. Trustor shall procure and maintain policies of fire insurance with standard extended cove�age
<br />endorsements on a fair value basis for the fuli insurable value covering all Improvements on the Real Property in an amount sufficient
<br />to avoid application of any coinsurence clause, and with a standard mortgagea clausa in favor of Lender. Trustor shall also procure
<br />and meintain comprehensive general liability insurance in such coverage amounts as Lender may request with Trustee and Lender
<br />being named as additional insureds in such liability insurance policies. Additionally, Trustor shall maintain such other insurance,
<br />including but not limited to hazard, business interruption, and boiler insurance, es Lender may reasanably require. Policies shall be
<br />written in form, amounts, coverages and basis reasonably acceptable to Lender and issued by a compeny or companies reasonably
<br />acceptable to Lender. Truator, upon raquest of Lendar, will dsliver to Lender from time to time the policies or certificates of insurance
<br />in form satisfactory to Lender, including stipuletions that coverages will not be cancelled or diminished without at least ten (10► days
<br />prior written notice to Lender, Each insurance policy also shall include an endorsament providing that coverage in favor of Lender will
<br />not be impeired in any way by any act, omission or default of Trustor or any other person. Should the Real Property be located in an
<br />erea designated by the Diractor of the Federal Emergency Management Agency as a speciel flood hazard area, Trustor agrees to
<br />obtain and maintain Fedaral Flood Insurance, if available, within 45 days after notice is given by Lender that the Property is located in
<br />a special flood hazard area, for the fuil unpaid principal balance of the loan and any priar liens on the property securing the loan, up to
<br />the maximum policy limits set under the National Flood Insurance Program, or as otherwise required by Lender, and to maintein such
<br />insurance for the term of the loan.
<br />Apptication of Proceeds. Trustor shall promptly notify Lender of any loss or demage to the Property. Lender may make proof of loss
<br />if Trustor fails to do so within fifteen (15) days of the casualty. Whether or not Lender's security is impaired, Lender may, at Lender's
<br />election, receive and retain the proceeds of any insurance and apply the proceeds to the reduction of the Indebtedness, payment of
<br />any lien affecting the PropeRy, or the resto�ation and repair of the Property. If Lender efects to apply the proceeds to restoration and
<br />repair, Trustor shall repair or replace the damaged or destroyed Improvements in a manner satisfactory to Lender. Lender shell, upon
<br />satisfactory proof of such expenditure, pay or reimburse Trustor from the proceeds for the reasonable cost of repair or restoration if
<br />Trustor is not in default undeY thls Deed of Trust. Any proceads which have not been disbursed within 9 80 days after their receipt
<br />and which Lender has not committed to the repair or restoretion of the Property shall be used first to pay any amount owing to Lender
<br />under this Deed of Trust, then to pey accrued interest, and the remainder, if any, shall be epplied to the principal balance of the
<br />Indebtedness. If Lender holds any proceeds after payment in full of the Indebtedness, such proceeds shall be paid to Trustor as
<br />Trustor's interests may appear,
<br />Trustor's Report on Insurance. Upon request of Lender, however not more than once a year, Trustor shall furnish to Lender a report
<br />on each existing policy of insurance showing: (1) the name of the insurer; (2) the risks insured; (3) the amount of the policy; (4)
<br />the property insured, the then current replacement value of such property, and the manner of determining that value; and (5) the
<br />expiration dete of the policy. Trustor shall, upon request of Lender, have an independent appraiser satisfactory to Lender determine
<br />the cash value replecement cost of the Property.
<br />LENDER'S EXPENDITURES. If any action or proceeding is commenced thet would materially affect Lender`s interest in the Property or if
<br />Trustor fails to comply with any provision of this Deed of Trust or any Releted Documents, including but not limited to Trustor's failure to
<br />discharge or pay when dua any amounts Trustor is required to discharge or pay under this Deed of Trust or any Related Documents, Lender
<br />on Trustor's behalf may (but shall not be obligated to) take any action that Landar deems appropriste, including but not limited to
<br />discharging or paying all taxes, liens, security interests, encumbrances and other claims, at any time levied or placed on the Property and
<br />paying all costs for insuring, meintaining and preserving the Property. All such expenditures incurred or paid by Lender for such purposes
<br />will then bear interest at the rate charged under the Note from the date incurred or paid by Lender ta the date of repayment by Trustor. Ail
<br />such expenses wiH become a part of the Indebtadness and, at Lender's option, will (A) be payable on demand; (B) be added to the
<br />balance of the Note and be epportioned among and ba payable with any instaflment payments to become due during either (11 the term of
<br />any applicable insurance policy; or (21 the remaining term of the Note; or (C) be treated as a belloon payment which will be due and
<br />payable at the Note's meturity. The Deed of Trust also will secure payment of these amounts. Such right shall be in addition to all other
<br />rights and remedies to which Lender may be entitled upon Default.
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