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<br /> If under paragrsph 18 hereof the Property is sold or thc Property is othenvise acquired by I.ender, Lender
<br /> shali apply, no later tlian immediately prior to the salc of tlu Property or its acquisition by Lender, any Funda
<br /> held by Lender at the time of application as a credit againct the suins �ecured by this Viortgage.
<br /> 3. Application oi Payments. Uniess applicablc In��� provides otherwise, all payments received by Lender
<br /> under the Note snd paragrapl�s l and 2 hereof sliail bc applied by Lendcr first in payment of amounts payable to
<br /> Lender by Borrower under paragrapl� 2 liereof, then to interest payable on the Note and on Future Advancea, if
<br /> any, and then to the principal of the Note and to tlie principnl of Future Advances, if any.
<br /> � 4. Ch�gas; Liena. Bonower shall pay alt taxes, assessmenta and other charges, fines and impositions attrib-
<br /> utpbte to the Property which muy nttsin u priority over this vlortgage, and ground rents, if any, at I,ender's
<br /> � option in the manner provided under paragraph 2 hereoE or by Borrower making psyment, when due, directly to
<br /> the payee thereof. Borrower shsll promptly furnisl� to Lender all notices of amounts due nnder tGis puragraph,
<br /> and in the event Borrower shail make payrnent directly, BorroH-er shall promptly furnish to Lender receipts evi-
<br /> dencing such payments. Borrower shall promptly discharge any lien which l�as priority over this Vlortgage ; pro-
<br /> � ? vided, that Borrower shsll not be required to discliarge any sucl� lien so long as Borrower shall agree in writing to �
<br /> r ' the payment of the obligation secured by such lien in a manner ucceptable to Lender, or shall in good faith contest
<br /> F ; auch Iien by, or defend enforcement of such lien in , legal proceedings which operate to prevent the en#orcement of
<br /> . the lien or forfeiture of the Property or any part thereof.
<br /> 5. Haz�d Insuraaee. Borrower shall keep tlie improcements noµ• existing or liereafter erected on the Prop- ��
<br /> erty insared against toss by &re, hazards ineluded tivithin the term "extended covernge", and auch other hazards ss � .
<br /> Leader may require und in such amounts and for such periods as Lender may require ; provided, that Lender shall
<br /> not require that the amount of such coveragc exceed tt�at omount of coverage required to pay the sums aecured 'by �
<br /> this Mortgage.
<br /> The insurance cnrrier providing tlie insurance shali be chosen by Borrower subject to approval by Lender ;
<br /> provided, that svch approval shall not be unreasonably withheld. All premiums on insurnnce policies s4a11 be paid ;�:
<br /> at Lender's option in the manner provided Under paragraph 2 hereof or by Borrower making payment, when due, ;`
<br /> f : directly to the insurance carrier. �
<br /> , In the event any policy is not renewed on or before ten days of its expiration, the Leader, to protect ¢+
<br /> its interest, may procure insurance on the improvements, pay the premiums and such sum shall become
<br /> immediately 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 Borrower to comply may, at option of Lender, constitute a default �
<br /> ;, under the terms of this Mortgage. h
<br /> All insurance policies and renewals thereof chall Ue in form acceptable to I.ender and shall include a standard E
<br /> `i inortguge clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and t
<br /> renewals thereof, nnd Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid pre- }, ;
<br /> miums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lender �
<br /> may make proof of loss if not made promptly by Borrower. �
<br /> Unlesa Lender nnd Borrower otl�erwise agree in writin�, insurance proceeds shall be applied to restoration or ;
<br /> repair of the Property dsmaged, provided such restorsstion or repair is economically feasible and the security of '
<br /> this blortgage is not tliereby impaired. If suc6 restoration or repair is not economicslly feasible or if the security ;
<br /> �' of thia Mortgage would be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage, � �
<br /> } with the excess, if any, psid to Borrower. If the Yroperty is abandoned by Borrower or it Borrower fails to respond � `,,
<br /> �' to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settie a claim for �
<br /> �
<br /> : �; ineursnce benefits, Lender is authorized to collect and apply the insurance proceeds at Lender's option either to i � `
<br /> restoration or repair of the Property or to the sums secured by tl�is \Iortgage.
<br /> i� Unless Lender and Borrower otherwise agree in writing, nny such application of proceeds to principal ahall
<br /> not extend or postpone the due date of the rnonthly instal]ments referred to in parngraphs 1 and 2 hereof or chsnge �
<br /> the amount of such installments. ,
<br /> 4; If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in � t
<br /> p and to any insurance policies and in and to the proceeds tliereof (to the extent of the sums secured by this Mort- �
<br /> ` gage immedistely prior to such sale or acquisition ) resulting From dainage to the Property prior to the sale or :<
<br /> ',: acquieition shall pass to Lender.
<br /> �' 6. Pzeservatioa �d Mmateaaxtce of Property; Leaseholds; Condomiaiums. Borrower shnll keep the Prop-
<br /> �4 � erty in good repair and shall not permit or commit waste, impairment, or deterioration of the Property and shall
<br /> n � comply with the provisions of any lease, if this `lortgage is on a leasehold. If this Mortgage 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-laws and regulations of the condominium project and constituent documents.
<br /> � 7. Pzoteetioa of Leadei s Security. If Borrower fuils to perform the covenants und ngreements contained in
<br /> ' � this Mortgage, or it any action or proceeding is commenced which �naterially uffects Lender's interest in the Prop-
<br /> ` O erty, including, but not limited to, eminent domain, insoh-ency, code enforcement, or arrangements or proceed-
<br /> , � r ings involving a bankrupt or decedent, then Lender at I.ender's aption , upon notice ta Borrower, may make such
<br /> � appesrances, disburse sucli sums and take sucli action as is necessary to protect Lender's interest, including, but
<br /> � t� not limited to, diabursement of reasonable attorney's fees and entry upon the Property to make repairs. Any
<br /> amounts disbursed by Lender pursuant to this parsgrapli 7, with interest thereon, shall become additional indebt-
<br /> ednesa of Borrower secured by this Mortgage. Unless Borrower and Lender agree to other terms of psyment, such
<br /> � amounts shsll be payable upon notice from Lender to Borrower requesting payment thereof, and shail bear inter-
<br /> est from the date of disbursement at the rate stated in the Note unless payment of interest at such rate would be
<br /> contrary to applicable law, in which event such amounts shall bear interest at the highest rate permissible by
<br /> �� applicable Iaw. �Tothing containeci in this paragrapli 7 shnll require Lender to incur any expense or do any act
<br /> ' ' hereunder.
<br /> i 9. Inspec6on. Lender may make or cnuse to he madc reasonablc entries upon and inspections of the Prop- I
<br /> k erty, provided that Lender sl�all give Bor=ower notice ��rior to nny such inspection specifiying reasonable cause
<br /> f therefor related to Lender's interest in the Property.
<br /> 9.: Coademaatioa. The proceeds of any award or claim for damsges, direct or consequential, in connection $
<br /> with any condemnation or other taking oE the Property, or part tliereof, or for conveyance in lieu of condemna-
<br /> , tion, are hereby assigned and shall Ue paid to Lender. " �,.,_,_;,. '
<br /> , In the even£ o£, a totsl taking of the Propertp, the proceeds shall Le applied to the sums secured by this Mort- „
<br /> , ' gage,,�vith the excess, if sny; paid to Borrower_ In the event of a partisl taking of the Property, unless Borrower ;, � � .'
<br /> � t ' and Lander otherwiae agree in writing, there ahall be applied to the aums secured by this blortgage such propor- k '� "'
<br /> �`� , tioa of the proceeds as-is equel to that proportion which the amount of the sums secured by thie Mortgage imme- , :�� :
<br /> " ' diately'prior to :the date of taking beara to tlie fair market value of tLe Property immediately prior to the date of �;:, ;;
<br /> i tsking,with the baIanee of the p;oceeda paid to Bonower. � , Y ;�
<br /> Tf the.Property is abandaned by Boaower. or if after notice by Lender to Borrower that the condemnor offers .:wr
<br /> � to xnske an,award or setLle u claim for da:rnages, Bonovccr fails to respond to Lendcr within 30 dnys of the datc "' '� "
<br /> of suafi�aotioe; I:eader is authorized to collect and . apply the proceeds at Lender's option eit6er to mstoration or
<br /> repsa of the Property or to tha sums secured by this \tortgage.
<br /> i ' Unlees Lender'and $orrower othenvise agree in writing, any such application of proceeds to principal shall
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