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' If under paragraph 18 hcreof thc Property is sold or tlie I'roperty is otherwise acquirecl bv I.ender. Lender I' �
<br /> shall apply, no later than immediately prior to thc snic of thc Pro�ierty or its ucquisition by Lender, any Funds
<br /> held by Lender at the time of ttpplication as a cmdit against thc su�ns secured by this _Yiortgage.
<br /> 3. Applieation of Payments. Unless upplicablc in«� provides othenvi�e, all pay�nents received by Lender
<br /> nnder the Note andparagrapLs 1 and 2 hereof shall hc a��plied by I,endcr first in payment of amounts payable to
<br /> � Lender by Borrower under, paragraph 2 hereof, then to interest payablc on the Note and on Future Advancea, if
<br /> any, and then to Ehe principal of Lhe 1Votc and to thc principal o[ Future Advances, if any. �
<br /> � 4. Charges; Liens. Borrower sl�all pay all taxes, assessments and other charges, fines and impositions nttrib-
<br /> # utpble to the Property which may attsin a priority over tl:is J4ortgage, und ground rents, if uny, at I.ender's � { '
<br /> � option in the manner provided under psrugraph 2 hereof or by Borro�ver muking payment, when due, directly to ;, 1
<br /> p the payee thereof: Borrower shall promptly furnish to Lender all notices of amounts due under tl�is paragraph, f
<br /> Q� and in the event Borrower shall makc payment directly, Borroa•cr shall prompily furnish to Lender receipts evi- -
<br /> p dencing such payments. Borrower shull promptly disctiarge any lien which has priority over this DZortgage ; pro-
<br /> p vided,; thatBorrower shall not be required to discharge uny sucl� lien so long us Borrower shall ugree in writing to
<br /> � the payment of the obligation aecured by sucli lien in a manner ncceptnblg to Lender, or shall in good faith contest
<br /> auch lien by, or defend enforcement of sucl� lien in, legal proceedings whieh opernte to prevent the enForcement of `
<br /> :� � the liea or forfeiture of the Property or any part thereof. �
<br /> � � S. Hazard Iasur�ce. Borrower shall keep tlic improvernents now existing or herenfter erected on the Prop-
<br /> erty insured against loas by fire, hazards included within the term "extended coverage", and such other t�azarde as
<br /> � Lendermay require und in such amounts and for sucL periods as Lender may require ; provided, that Lender shall
<br /> � notrequire that the amount of such coverage exceed thut amount of coverage required to pay the aums secured 'by
<br /> .j this Mortgage. � `
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<br /> ' The insurance carrier providing the insurac�ce shall be chosen by Borrower suhject to approval by Lender ;
<br /> '; provided, that such approval shall not be unreasonably withheld. Al ! premiums on insuronce policies shall be paid
<br /> ttt Lender's option in the msnner provided under �iaragraph 2 hereof or by I3orrower 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 /> ' immediately due and payable with interest at the rate set forth in said note untii 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. � �.
<br /> All inaursnce policies and renewals thereof ahall be in forni ncceptuble to I,ender and shal] include a standard ';
<br /> mortgage clause in favor of and in forni acceptable to Lender. I.ender shall hace the right ta l�old the policies and �
<br /> renewals thereof, and Borrower shall promptly furnish to Lender all rene�vsl notices and all receipts of puid pre-
<br /> � miums. In the event of loss, Borrower shssll give prompt notice to the insurance cnrrier and Lender, and Lender `•:t
<br /> msy make proof of loss if not made promptly by Borrower. ;
<br /> Unless Lender and Borrower othenvise agree in writing, insurance proceeds shall be applied to restoration or ` r ' ?%
<br /> repair of the Property damsged , provided such restoration or repair is economically feasible and the security of � x
<br /> this Mortgage is not thereby impaired. Ii sucl� restorntion or repair is not economically feasible or if the security
<br /> j of this biortgsge would be impaired, tl�e insurance proceeds shall be applied to thc sums secured by this blortgage, �
<br /> '� with the excess, if any, paid to Borrower_ If the Yroperty is absndoned by Borrower or if Borrower fails to respond { ,
<br /> to Lender within 30 days after notice Uy Lender to Borrower thut the insurance csrrier offers to settle a claun for
<br /> insursnce benefits, Lender is suthorized to collect and apply the insurance proceeds at Lender's option either to �
<br /> restoration or repair of the Property or to the sums secured by t6is �Iartgage.
<br /> � Unless Lender and Borrower otherwise agree in writing, any such appiication of proceeds to principal shall > :
<br /> � not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change �,
<br /> the amount of such installments.
<br /> � If under paragraph 18 hereof the 2'roperty is nequired by Lender, all right, title and interest of Borrower in
<br /> ; and to any insurance policies and in and to ti�e proceeds tl�ereof (to tl�e extent of the sums secured bp this Mort-
<br /> .i gage immediately prior to such sale or acquisitionl resulting from damage to the Property prior to the sale or �`
<br /> acquieition shall pass to Lender.
<br /> 6. Preservatioa �d Maiatea�ce of Property; Leaseholda; Coadominiums. Borrower shall keep the Prop-
<br /> erty in good repair and shal] not permit or commit waste, impuirment, or deterioration of the Property and shall
<br /> comply with the provisions of nny lease, if this \;ortguge is on n leasehold . If this Dlortgage is on a condominium
<br /> � unit, Bonower shall perform all of Borrower's obligations under the declaration of condominium or master deed,
<br /> the by-laws and regulations of the condominium F�roject ancl constituent documents.
<br /> # 7. Protection of Lender's Security. If Borrower fnils to perform the covenants and agreements contained in
<br /> this Vlortgage, or if any action or proceeding is commenced �vhicti materially ssffects Lender's interest in the Prop-
<br /> erty, inaluding, but not limited to, eminent domAin , insoh•ency, code enforcement, or arrangements or ptoceed-
<br /> � in� involving a bankrupt or decedent, then I.ender at I.ender's option, upon notice to Borrower, may make such
<br /> appearances, disburse sucl� sums and take such action ns is necessary to protect Lender's interest, including, but
<br /> . not limited to, diabursement of reasonable attorney 's fees and entry upon the Property to make repsirs. Any
<br /> ;3 ' amounte disbursed by Lender pursuant to this pnragraph 7, with interest thereon, shall become additional indebt-
<br /> edness of Borrower secured by this ��ortgage. Unless Borrower and I ender agme to other terms of payment, such
<br /> � amaunte shall be payable upon notice from Lender to Borrower requesting payment thereoF, and sl�all bear inter-
<br /> .; eet from the date of disbursement at the rate stated in the Note unless payment of interest at such rate wauld be
<br /> contrary to epplicable law, in which event such amounts shall bear interest at the highest rate permiesible by
<br /> applicable law. Nothing contained in this pura�rapli 7 slinll require Lender to incuc any expense or do any act
<br /> hereunder.
<br /> 8• Iaspectioa. Lender muy make or cause to hc madc reasonubic entries upon and inspections of the Prop-
<br /> erty, provided ihat Lender shall give Borrower noticc ��rior to nnv sucl� inspection specifying reasonable cause
<br /> therefor related to Lender's interest in the Property.
<br /> � 9. Coademaatioa The proceeds of uny award or daim for damages, direct or consequentisl, in connection
<br /> with any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemna-
<br /> tion, are hereby aseigned and shall be paid to Lender_ p
<br /> In the event of a total taking of the Property, the proceeds ehall be applied to the sums secured by this Mort- - � ' " � ;
<br /> gage, with-the excess, if any, paid to Bonower. In the event of a partisl taking of the Property, unless Borrower ^ �="' ' w ' i'
<br /> snd Lender -otherwise agree in writing, there sliall be applied to tlie sums secured by this i�iortgage such propor- y �. y,
<br /> tion of the proceeds as is equal to that proportion which tlie amount of the sums secured by this Mortgage imme- g;, „; :
<br /> diately prior f�o the date of tsking besra to the fair market value of tlie Property immediately prior to the date of � �4ti< <
<br /> taking, mtti`,:thebalarice of^the proceedspaid to Borrower. ' �;,�,
<br /> If the,Property,is abaudoned by Borrower or iS after notice by Lender to Borrower that the condemnor offera i�:' �'.:
<br /> to make ea•sward or aettle a claim for d�mages, Borrower faiis to respond to Lender within 30 days of the dste �" " } '}
<br /> of ;$po}i`riatice; I:ender is suthorized to collect and ap��ly the proceeds at Lender's option either to restoration or ��� k a� � :'��
<br /> regairof the Property orto tha aums secured by' tUis \Iartgage.
<br /> Uiilesa:Lender`and Borrower othern*ise' agree in writing, any auch application of proceeds to principai shall
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