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<br /> If under parsgrsph 18 Lereof the Property is sold or the Yroperty is otherwise acryuired by Lender, Lender �
<br /> shall npply, no later than immediately prior to thc sale of thc Property or its acquisition by I.ender, any Funds
<br /> held by Lender at the t,ime of ap�>lication as a creciit u�ainst the swns secored by this VIortgage.
<br /> 3. Applieation oi Payments. Unless applicuble In��� provides othenvise, ali payments received by Lender
<br /> under the Note nnd paragraplis 1 and 2 hereof sl�all i�c applied by T.ender first in pay�nent of umounts payable to
<br /> + . Lender by Borrower under haragraph 2 hereof, tl�en to interest payable on the Note and on Future Advances, if
<br /> any, and then to the principal of the Note anci to the principnl of Future Advances, if uny. ;=;
<br /> ' 4. Charges; Liens. Borrower sliail pay all taxes, ussessments and other chsrges, fines and impositions attrib- � t�
<br /> � utable to the Property which may attain a priority over this viortgage, and ground rents, if any, at Lender's :
<br /> option in the manner provided under paragraph 2 hereof or by Borrower making pnyment, when due, directly to �
<br /> the payee thereof. Bonower shall promptly furnish to I.ender all notices of amounts due under this paragraph, i'
<br /> "{ and in the event Borrower ahall �nake pnyment directly, Borrower sl�all promptly furnish to Lender receipts evi- � ?
<br /> dencing such payments. Borrower shall promptly discliargc nny lien which has priority over this _l4ortgsge ; pro- '`?
<br /> ? vided, that Borrower sl�all not be required to discharge any sucl� lien so long as Borrow•eF shaU agree in writing to .; .
<br /> •` f the payment of the obligat;on secured by such lien in a manner acceptnble to I.ender, or shall in good faith contest
<br /> >, such lien by, or deFend enforcement of such ]ien in, legal Proceedings which opernte to prevent the entorcement of
<br /> � O the Iien or forfeiture of the Property or any ��srt thcreof.
<br /> � 5. Hazard 7nsur�ce. Borrower shnll keep tlie i�nE�rovements now existing or hereafter erected on the Prop-
<br /> � erty insured against toss by fire, hazards included within the term "extended coverage", and such other haznrds as
<br /> ', 1 � Lender may require and in such amounts and for suc6 periods us I.ender may requirc ; provided , that Lender shaD
<br /> � Q not require that the amount of such coverage exceed that amount oS coverage requirec� to pay the sums secured 'by
<br /> this Mortgage.
<br /> , ? 0 The insurance carrier providing the insurauce shall be chosen by Borrower subject to approval by Lender,
<br /> ; ' provided, thut such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid �
<br /> i' � at Lender's option in tt�e manner providecl under ��arugrapli 2 liereof or by Borrower making payment, when due,
<br /> n directly to the insurance carrier.
<br /> j In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect ' '
<br /> a 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 /> �j secured by this Mortgage. Failure by Borrower to comply may, at option of Lender, constitute a default �
<br /> under the terms of this Mortgage.
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<br /> ` ! All insursnce policies and renewals thereof c}�all be in (OTIII 4iCCepLAhIC CO Lender and shall include a standard
<br /> ; mortgage clause in favor of and in form acceptable to Lender. I.encter shall have the right to hold the policies and '
<br /> ; - renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and All receipts of paid pre- �
<br /> ; miums. In the event of loss, Borrower shnll gi�•e prompt notice to tl�e insurance carrier and Lender, and Lender `
<br /> � may make proof of ]oss if not made promptly by Borrowen � ' �
<br /> Unless Lender and Borrower otherwise agree in writing, insurnuce proceeds shall be applied to restoration or �
<br /> ' y repair of the Property damaged, provided such restoration or repair is econotnically feusible and the security of � . .;
<br /> this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security
<br /> �� of this �Iortgage would be impaired, the insurance ��roceeds shalt be applied to the sums secured by this Mortgage, `
<br /> with the excess, if any, paid to Borrower. If the Yroperty is abandoned by Borrower or if Borrower fails to reapond �
<br /> ' ' to Lender within 30 days after notice by Lender to Borrower thnt the insurance cunier offers to settle a claim for
<br /> ' � insurance bene&ts, Lender is authorized to collect And apply the insurnnce proceeds at Lender's option either to
<br /> � restorstion or repair of the Property or to the sums secured by tliis �Iort�age_ _ �
<br /> IInless Lender snd Borrower otherwise agree in �vriting, any such application of proceeds to principal shall " �`,
<br /> not extend or postpone the due dttte of the �nontlily instal]ments referred to in paragraphs 1 and 2 hereof or ehange �
<br /> i the smount of auch installments.
<br /> �� If under paragraph 18 hereot 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 tiiereof (to the extent of the sums secured by this Mort- i ;y
<br /> � gage immediately prior to such sale or acquisition ) result.ing from dsmage to the Propehy prior to the sale or �
<br /> acquieition shall pass to Lender. ,
<br /> a6. Preservation �d Mmaten�ce of Property; Leaseholds; Condominivais. Borrower shall keep the Prop-
<br /> } erty in gaod repair and shall not permit or commit wnste, impairment, or deterioration of the Property und shall
<br /> # comply with the provisions of any lease, if this \Sortguge is on a leasehold. If this Mortgage is on s condominium
<br /> f unit, Borrower shall perform s11 of Borrower's obligations under the decluration of condominium or msater deed,
<br /> ,� the by-laws and regulstions of the condominium project and constituent docurnents.
<br /> � 7. Pzotection ot I.endez's Security. If Bonower fails to perform the covenants and agreements contained in '
<br /> � this Mortgage, or if any action or proceeding is commenced whicl� inaterially affects Lender's interest in the Prop-
<br /> erty, including, but not limited to, eminent domain, insolvency, code enforcement, or srrangements or proceed-
<br /> '; { ings involving a bankrupt or decedent, then Lender at Lender's option , upon notice to Borrower, may make such
<br /> f appearances, disburse such sums and take such action as is necessary 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 /> amouats disbursed by I.ender pursuant to this paragraph 7, with interest thereon, shall become additional indebt-
<br /> edness of Borrower secured by this �3ortgsge. Unless Borrower and Lender agree to other terms of payment, such
<br /> amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br /> est from the date of disbursement at the rste stated in the Note unless payment of interest At such rate would be
<br /> ;! contrary to applicable ]aw, in �vhich event such amounts shalt bear interest at the highest rate permiesible by
<br /> ; � applicsble law_ DTothing contained in this paragraph 7 shaall mquirc Lender to incur any expense or do any act '
<br /> hereunder.
<br /> <i 8• Iaspecrion. Lender may make or cause to be inade reaconable entries upon and inspections of the Prop-
<br /> ,,a erty, provided that Lender shall give Borroaer noticc ��rior to nm• surh in<pection specifying reasonable cause
<br /> ,f therefor related to Lender's interest in the Property.
<br /> 9. Coademaatio� The proceeds of uny awsrtl or cisim !or ciamages, direct or consequential , in connection
<br /> � with any eondemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemnu- �
<br /> Eion, are hereby assigned and shall be paid to Lender.
<br /> In the event of a totat taking of the Property, the proceeds shall be applied to the sums secured by this Mort-
<br /> �,. ��.:
<br /> gage, with the ezceas, if 'any, paid to Borrower. In tl�e event of a partisl taking of the Property, unless Borrower '
<br /> and Lender otherwise sgree in writing, there shall be upplied to tlie sums secured by this vlortgage such pro or- � �
<br /> � � � tion �of the roceeds as Sa y g g �'��,�
<br /> P equal to-that proportion which tUe amount of the sums aecured b this bSort a e impme- � r
<br /> diately pnor to the dste of taking bears to the fair_inarket value of the Property immediately prior to the date of ri-��'
<br /> ta&ing, witli';the balance of the proceeds paid to Borrower. �;,�
<br /> Zf the� Pso�erty is abandoned by Borrower or if nfter notice by Lender to Bonower that the condemnor offers ' �
<br /> to make"an<award .or' settle a claim for darnages, Borrower fails to respond to Lender within 30 days of the date `x „i,� ��' ,
<br /> of auc� notice, �:ender is suthorized to coIlect and aplily the proceeds at Lender's option either to reetoration or � "
<br /> repair of the Property or to the suma secured by this \Iortgage.
<br /> `� i3nlese Lender snd Borrower-othernise agree in �vriting, any such application of proceeda to principal ehall
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