ANDERSON, BRIAN PROMISSORY NOTE 1994

94190350 21. Acceleration; Remedies. Except as provided in Section 20 hereof, upon Borrower's breach for a period of three (3) months, after application of any partial payments which may have been accepted but not yet applied to the Mortgage account, of the covenant to pay when due any sums secured by this Deed of Trust or, subject to Section 23, upon Borrower's breach of any other covenant or agreement of Borrower's in this Deed of Trust or the Note incorporated by reference in this Deed of Trust, Lender prior to acceleration shall mail notice to Borrower as provided in Section 17 hereof specifying: (1) the breach; (2) the action required to cure such breach; (3) a date, not fewer than thirty (30) days from the date the notice is mailed to Borrower, by which such breach specified in the notice may result in acceleration of the sums secured by this Deed of Trust and sale of the Property. The notice shall further inform Borrower of his or her right to a fair hearing on the existence of default, of the right to reinstate after acceleration and of the right to bring a court action, after exhaustion of administrative remedies, to assert the non - existence of a default or any other defense of Borrower to acceleration and sale. If the breach is not cured on or before the date specified in the notice, Lender at Lender's option may declare all of the sums secured by this Deed of Trust to be immediately due and payable without further demand and may invoke the power of sale and any other remedies permitted by applicable law. Lender shall be entitled to collect all reasonable costs and expenses incurred in pursuing the remedies provided in this Section 21, including, but not limited to, reasonable attorneys' fees. Lender shall execute or cause Trustee to execute a written notice of the occurrence of an event of default and of Lender's election to cause the Property to be sold and shall cause such notice to be recorded in which the Property or some part thereof is located. Lender or Trustee shall mail copies of such notice in the manner prescribed by applicable law to Borrower and to the other persons prescribed by applicable law. Trustee shall give public notice of sale to the persons and in the manner prescribed by applicable law. After the lapse of such time as may be required by applicable law, Trustee, without demand on Borrower, shall sell the Property at public auction to the highest bidder at the time and place and under the terms designated in the notice of sale in one or more parcels in such order as Trustee may determine. Trustee may postpone sale of all or any parcel of the Property by public announcement at the time and place of any previously scheduled sale. Lender or Lender's designee may purchase the Property at any sale. Trustee shall deliver to the purchaser Trustee's deed conveying the Property so sold without any covenant or warranty, expressed or implied. The recitals in the Trustee's deed shall be prima facie evidence of the truth of the statements made therein. Trustee shall apply the proceeds of the sale in the following order: (a) to all reasonable costs and expenses of the sale, including, but not limited to, reasonable Trustee's and attorneys' fees and costs of title evidence; (b) to all sums secured by this Deed of Trust, as evidenced by the Note. As to the indebtedness evidenced by Section I.A. of the Note, such sums secured by this Deed of Trust shall include the principal amount stated in Section I.A. plus contingent interest in an amount equal to the percentage value, as stated in Section I.A. of the percentage increase due to the increase in HUD's median family income just prior to the Trustee's sale over the purchase price; and (c) the excess, if any, to the person or persons legally entitled thereto. - 10 -