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387709 1/31/2023 4:17 PM M' celix
<br /> 3 of 7 R$43.00 DS0.00 Alamosa Cr Clerk and Recorder
<br /> DEED OF TRUST
<br /> Loan No: 16028 (Continued) Page 3
<br /> loss if Grantor falls to do so within fifteen(15)days of the casualty. Whether or not Lender's security is impaired,Lender may,
<br /> at Lender's election, receive and retain the proceeds of any insurance end apply the proceeds to the reduction of the
<br /> Indebtedness,payment of any lien affecting the Property,or the restoration and repair of the Property. If Lender elects to apply
<br /> the proceeds to restoration and repair, Grantor shall repair or replace the damaged or destroyed Improvements in a manner
<br /> satisfactory to Lender. Lender shall,upon satisfactory proof of such expenditure,pay or reimburse Grantor from the proceeds for
<br /> the reasonable coat of repair or restoration If Grantor is not in default under this Deed of Trust. Any proceeds which have not
<br /> been disbursed within 180 days atter their receipt and which Lender has not committed to the repair or restoration of the
<br /> Property shall be used first to pay any amount owing to Lender under this Deed of Trust,then to pay accrued interest,end the
<br /> remainder,if any,shall be applied to the principal balance of the Indebtedness. If Lender holds any proceeds after payment in full
<br /> of the Indebtedness,such proceeds shall be paid to Grantor as Grantor's interests may appear.
<br /> Grantor's Report on Insurance. Upon request of Lender,however not more than once a year,Grantor shall furnish to Lender a
<br /> report on each existing policy of insurance showing: (1) the name of the insurer; 12) the risks insured; 13) the amount of the
<br /> policy; (4) the property insured,the then current replacement value of such property,and the manner of determining that value;
<br /> and (5) the expiration date of the policy. Grantor shall,upon request of Lander,have en Independent appraiser satisfactory to
<br /> Lender determine the cash value replacement cost of the Property.
<br /> LENDER'S EXPENDITURES. If any action or proceeding is commenced that would materially affect Lender's Interest In the Property or
<br /> If Grantor falls to comply with any provision of this Deed of Trust or any Related Documents,including but not limited to Grantor's
<br /> failure to discharge or pay when due any amounts Grantor is required to discharge or pay under thio Deed of Trust or any Related
<br /> Documents,Lender on Grantor's behalf may lbut shall not be obligated to)take any action that Lender deems appropriate,including
<br /> but not limited to discharging or paying all taxes,liens,security interests,encumbrances and other claims,at any time levied or placed
<br /> on the Property and paying all costs for insuring,maintaining and preserving the Property. All such expenditures incurred or paid by
<br /> Lender for such purposes will then bear Interest at the rate charged under the Note from the date Incurred or paid by Lender to the
<br /> date of repayment by Grantor. All such expenses will become a part of the Indebtedness and,at Lender's option,will (A) be payable
<br /> on demand; (B) be added to the balance of the Note and be apportioned among end be payable with any installment payments to
<br /> become due during either I1) the term of any applicable Insurance policy;or (21 the remaining term of the Note;or (C) be treated
<br /> as a balloon payment which will be due and payable at the Note's maturity. The Deed of Trust also will secure payment of these
<br /> amounts. Such right shall be in addition to all other rights and remedies to which Lender may be entitled upon the occurrence of any
<br /> Event of Default.
<br /> WARRANTY;DEFENSE OF TITLE. The following provisions relating to ownership of the Property are a part of this Deed of Trust:
<br /> Title. Grantor warrants that: la)Grantor holds good and marketable title of record to the Property In fee simple,free and clear of
<br /> all liens and encumbrances other than those set forth In the Real Property description or in any title insurance policy,title report,
<br /> or final title opinion issued in favor of,and accepted by,Lender in connection with this Deed of Trust,provided,however,to the
<br /> extent any such Real Property description,title insurance policy,title report or final title opinion includes any reference to or any
<br /> document referencing 'statutory exceptions',_Grantor shall nonetheless warrant and forever defend the title to the Property
<br /> against all such statutory exceptions,and (b)Grantor has the full right,power,and authority to execute and deliver this Deed of
<br /> Trust to Lender.
<br /> Defense of Title. Subject to the exception in the paragraph above,Grantor warrants and will forever defend the title to the
<br /> Property against the lawful claims of all persons. In the event any action or proceeding is commenced that questions Grantor's
<br /> title or the interest of Trustee or Lender under this Deed of Trust,Grantor shall defend the action at Grantor's expense. Grantor
<br /> may be the nominal party in such proceeding,but Lender shall be entitled to participate in the proceeding and to be represented in
<br /> the proceeding by counsel of Lender's own choice,and Grantor will deliver,or cause to be delivered,to Lender such Instruments
<br /> as Lender may request from time to time to permit such participation.
<br /> Compliance With Laws. Grantor warrants that the Property and Grantor's use of the Property complies with all existing
<br /> applicable laws,ordinances,and regulations of governmental authorities.
<br /> Survival of Representations and Warranties. All representations,warranties,and agreements made by Grantor In this Deed of
<br /> Trust shall survive the execution and delivery of this Deed of Trust,shall be continuing in nature,and shall remain in full force and
<br /> effect until such time as Grantor's Indebtedness shall be paid in full.
<br /> CONDEMNATION. The following provisions relating to condemnation proceedings are a part of this Deed of Trust:
<br /> Proceedings. li any proceeding in condemnation is filed, Grantor shall promptly notify Lender In writing, and Grantor shall
<br /> promptly take such steps as may be necessary to defend the action and obtain the award. Grantor may be the nominal party in
<br /> such proceeding,but Lender shall be entitled to participate in the proceeding and to be represented In the proceeding by counsel
<br /> of Its own choice, end Grantor will deliver or cause to be delivered to Lender such instruments and documentation as may be
<br /> requested by Lender from time to time to permit such participation.
<br /> Application of Net Proceeds. If all or any part of the Property is condemned by eminent domain proceedings or by any proceeding
<br /> or purchase in lieu of condemnation,Lender may at its election require that all or any portion of the net proceeds of the award be
<br /> applied to the Indebtedness or the repair or restoration of the Property. The net proceeds of the award shall mean the award
<br /> after payment of all reasonable costs, expenses, and attorneys' fees incurred by Trustee or Lender In connection with the
<br /> condemnation.
<br /> IMPOSITION OF TAXES. FEES AND CHARGES BY GOVERNMENTAL AUTHORITIES. The following provisions relating to
<br /> governmental taxes,fees and charges are a part of this Deed of Trust:
<br /> Current Taxes.Foes and Charges. Upon request by Lender,Grantor shall execute such documents in addition to this Deed of
<br /> Trust and take whatever other action is requested by Lender to perfect and continue Lender's lien on the Real Property. Grantor
<br /> shall reimburse Lender for all taxes,as described below,together with all expenses incurred in recording,perfecting or continuing
<br /> this Deed of Trust,Including without limitation all taxes,fees,documentary stamps,and other charges for recording or registering
<br /> this Deed of Trust.
<br /> Taxes. The following shall constitute taxes to which this section'applies: (1) a specific tax upon this type of Deed of Trust or
<br /> upon all or any part of the Indebtedness secured by this Deed of Trust; (2) a specific tax on Grantor which Grantor is
<br /> authorized or required to deduct from payments on the Indebtedness secured by this type of Deed of Trust; (31 a tax on this
<br /> type of Deed of Trust chargeable against the Lender or the holder of the Note;and (4) a specific tax on all or any portion of the
<br /> Indebtedness or on payments of principal and Interest made by Grantor.
<br /> Subsequent Taxes. If any tax to which this section apprise is enacted Subsequent to the date of this Deed of Trust,this event
<br /> shall have the same effect as an Event of Default,and Lender may exercise any or all of its available remedies for an Event of
<br /> Default as provided below unless Grantor either (1) pays the tax before it becomes delinquent,or (2) contests the tax as
<br /> provided above in the Taxes and Liens section and deposits with Lender cash or a sufficient corporate surety bond or other
<br /> security satisfactory to Lender.
<br /> SECURITY AGREEMENT:FINANCING STATEMENTS. The following provisions relating to this Deed of Trust as a security agreement
<br /> are a part of this Deed of Trust:
<br /> Security Agreement. This instrument shall constitute a Seourity Agreement to the extent any of the Property constitutes fixtures,
<br /> and Lender shall have all of the rights of a secured party under the Uniform Commercial Code as amended from time to time.
<br /> Security Interest. Upon request by Lender,Grantor shell take whatever action is requested by Lender to perfect and continue
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