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If under paragraph 18 hereof the Property is sold or the Property is othenvise acquirecl by Lender, Lender f . �
<br /> i shall apply, no later tl�an immediately prior to thc salc of t.hc Property or its acqui�ition b,v Lendcr, any Funds
<br /> held by Lender at the time of application as a credit against thc smns �ecurer! by� this �Iortgaga
<br /> 3. Application ot Payments. Unless npplicablc In�ti• �irovides otherwiec, :ill payments received by Lender
<br /> under the Note ssnd paragrapl�s 1 and 2 hereof shail bc applied by I,ender first in payment oP amounts payable to
<br /> Lender by Borrower under paragrapl� 2 hereof, then to interest payable on thc 17otc and on Futurc Advancee, iF
<br /> sny, and then to the �rincipal of the Note and to the princiral of Future Advances, if any.
<br /> ; 4. Charges; Liens. Borrower sLall pay all tuxes, assessments and other charges, fines and impositions attrib-
<br /> r � ntpble to the Property which may nttain a priority over tt�is Mortgage; and ground rents, if any, at Lender's
<br /> �s option in the manner provided under paragraph 2 hereof or by Borrower rnakin� payment, when due, directly to
<br /> the payee thereof. Borrower shall promptly furnisf� to Lendcr all notices of amounts due under this paragraph,
<br /> j � and in the event Borrower shall make payment direcf.ly, Borrow•er sLall promptly furnisli to Lender receipts evi-
<br /> { G dencing such payments. Borrower shnll promptly discharge any lien �vhich has priority over this vlort�age ; pro-
<br /> � � vided, that Borrower shall not be required to discharge any sucl� lien so long as Borrower shall agree in writing to
<br /> f � the payment of the obligation secured by such lien in n manner acceptable to Lenrler, or shalt in good faith contest
<br /> ; � such lien by, or defend enforcement of sucli lien in, legal proceedings �vhich operate to prevent the enForcement of
<br /> � the lien or forfeiture of the Property or any part thereof.
<br /> � 1� S. Hazard Insuraace. Borrower shnll keep the improvements no�v existing or hereafter erected on the Prop-
<br /> ' erty insured against loss by fire, hazsrds included �vithin the term "extended coverage", and sucli other hazards as ;, .
<br /> i Lender may require and in such amounts und for such periods as Lender may require ; provided , that Lender ehall
<br /> not require that the umount of such coverage exceed t}�at amount ot coverage required to pay the sums secured 'by
<br /> this Mortgage
<br /> The insurance carrier providing the insurance shall be chosen by Borrower suhject to approval by Lender ;
<br /> provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid
<br /> at Lender's option in tlie manner provided under paragruph 2 hereof or by Borro�ver making payment, when due,
<br /> directly to the insurance carrier.
<br /> In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect
<br /> its interest, may procure insurance on the improvements, pay the premiums and such sum shall become
<br /> iunmediately due and payable with interest at the rate set forth in said note until paid and shall be
<br /> secured by this Mortgage. Failure by Bonower to comply may, at option of Lender, constitute a default
<br /> under the terms of this Mortgage.
<br /> All insurance policies und renewals thereof shall be in form acceptablc to Lender and shnll include a standard
<br /> inortgage clause in favor of and in form acceptaUle to Lender. Lender shall ha��e thc right to hold the policies And
<br /> renewals thereof, and Borrower sha11 promptly furnisli to Lender all renewal notices and all receipts ot paid pre- t
<br /> miums. In the event of loss, Borro�ver sl�all give prompt notice to the insurunce carrier and Lender, and Lender � �
<br /> may make proof of loss if not made promptly by Borrower. :
<br /> Unless Lender und Borrower othenvise ngree in writing, insurancc proceeds sliall be applied to restoration or }
<br /> repair of the Property damaged, provided such restoration or repair is economically feasible and the security of
<br /> this viortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security
<br /> of this Mortgage would be impaired, the insurunce proceeds sl�all be apptied to the sums secured by this iliottgage,
<br /> with the excees, if any, paid to Borrower. If tlie Yroperty is abandoned by Borrocver or if Borrower fails to respond
<br /> " to Lender within 30 days after notice by Lender to Borrower tl�at the insurance carrier offers to settle u claim for
<br /> � insurance benefits, Lender is suthorized to collect and a�ply the insurunce proceeds at Lender's option either to
<br /> �� restoration or repair of the Property or to the suros secured by tliis \Iortgage, ;
<br /> ; 3 Unless Lender and Bonower otherwise agree in �vriting, any sucfi application of proceeds to principal shall
<br /> t not extend or postpone the due date of the monthly installments referred to in paragrttphs 1 and 2 hereof or change
<br /> � the amount of such instailments.
<br /> ` If under paragraph 1S hereof the Property is acquired by Lender, nll right, title and interest of Borrower in '
<br /> ;' and to any insurance policies and in and to the proceeds tliereof ( to tlic extent of the sums secured by this Mort-
<br /> gage immediately prior to such sale or acquisition ) resulting from da�nage to the Property prior to the sale or
<br /> acquieition shall pass to Lender.
<br /> ' 6. Pzeservatioa �d Mmnten�ee of Property; Leaseholds; Condominiums. Borro�ver shall keep the Prop-
<br /> ' erty in good repair nnd shall not permit or commit wnste, impairment, or deterioration of the Property and shall
<br /> comply with tl�e provisions of any lease, if this �Iortguge is on a leasehold. IF this vlortgage is on a condominium
<br /> � unit, Borrower shall perform all of Borrower's obligations under the declaration of condominium or master deed,
<br /> � the by-Iaws and regulations of the condominium project nnd constituent documents.
<br /> y' 7. Protectioa of Leader's Security. If Borrower fails to perform the covenants und agreements cantained in
<br /> , � this Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Prop-
<br /> � erty, including, but not limited to, eminent domai�� , insol�•ency , code enforceinent, or ssrrangements or proceed-
<br /> , � inge invoIving a bankrupt or decedent, then Lender at I.ender's option, upon notice to Borrower, may make such
<br /> � appearances, disburse sucl� sums and take sueli uction as is necessaty to protect Lender's interest, including, but
<br /> � not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. Any
<br /> amounts disbursed by Lender pursuant to this paragrapl� 7, �vitli interest thereon, shall become additional indebt-
<br /> I edness of Borrower secured by this vlortgage. Unless Borrower nnd Lender agree to ather terms of payment, such
<br /> ` amounts shali be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br /> ' 1 est from the date of disbursement at the rate stated in the \ote unless payment of interest nt such rate would be
<br /> � contrary to applicable Ia�v, in which event such amounts shall bear interest at the highest rute permiasible by
<br /> ' ''. applicable law. Nothing contsined in tliis paragraph 7 shnll rcquirc I.ender to incur any expense or do any act
<br /> � hereundea
<br /> � 8• Inspectioa. Lender may �nake or cause to lie tnxdc rea�onable entries upon and inspections of the Prop-
<br /> s erty; provided that Lender c��8]I give Borroa•er noticc � �rior to ttny sueh incpection cpecifying reasonable cause
<br /> therefor related to Lender's interest in the Property.
<br /> � i 9. Condemaation. The proceeds ot any a�vurd or claim for damages, direct or consequential , in connection
<br /> � with any condemnation or other taking of the Property, or part thereof, or for ronveyance in lieu of wndemna-
<br /> ; , tion, are hereby assigned and shall Ue paid to Lender. S
<br /> I In the event of a total taking of the Property, the �>roceeds sliall be applied to the sums secured by this Mort-
<br /> ; gage, �vith the excess, if any, paid to Borrower. In the event of a purtial taking of the Property, unless Borrower -� �' �
<br /> , ; and Lender othercvise agree in writing, there shall be applied to tl�e sums secured by this �fortgage such propor- }, - '��,
<br /> '1 tion of the proceeds as is equal to that proportion which tl�e amount of the sums secured by this Mortgage imme- � � � "�,
<br /> � distely prior to the date of taking bears to tl�e fair market value of tlie Property iinmediately prior to the date of ��" ' ;M `
<br /> y� ' taldng, with the balance ofthe proceeds paid to Borrower. � "
<br /> If theEroperty is abandoned by Borrower or if after notice by Lender to Borrower that the condemnor offers $ , ' �r
<br /> T. � to. make an sward .or settle a claim for damages; Borrower fails to respond to Lender within 30 days of the date :t " 1 +P,�':
<br /> .� .� of such�notice, Lender is authorized to collect. and xp�>ly tl�e proceeds at Lender's option eitl�er to restoration or ' ''� " ':r�
<br /> ; repsir of the Property or to ,the euins secured by tl�is \lortgage. F "
<br /> , r Unless Lender and Borrower otherivise agree in avriting, any such application of proceede to principal sha❑
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