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<br /> If under psragraph 18 hereof the Property is sold or the Yroperty is otherwise acquired by I,ender, Lender
<br /> shall apply, no ]ater thun immediately prior to thc salc of thc ProF�erty or its acquisition by Lender, any Funde
<br /> lield by Lender at the time of t►pplication as a credit n�ainst the sums �ecured by this vlortgagc.
<br /> 3. Application of Paymeais. Unless npplicnble law� provides othenvisc, nll payments received by Lender
<br /> underthe Note and paragrapLsl and 2 hereof shall bc ap�ilied t>y Lender first in payment of amounts payable to
<br /> i. Lender by Bor;ower under paragraph 2 hereof, t}ten to interest pnyablc on tlic Note and on Future Advances, if ` � � �,3
<br /> i � uny, and then to the principal of the Note nnci to the principsl of Futurc Advances, if any. � °a
<br /> ri � 4. Claarges; Lieas. Borrower shali pay all taxes, ussessments and other charges, fines and impositions attrib- i �� ,�,
<br /> utable to the Property which may uttsin a priority over this vlortgnge, and ground rents, if any, at Lender's �*
<br /> � # � option in the manner provided under paragrnph 2 hereof or by BorroNer making poyment, when due, directiy to �" �
<br /> the payee thereof. Borrower shall promptly furnish to 7.ender alt notices of amounts due under this pnragraph,
<br /> I � and in the event Boaower shnll makc a ment directl Borro�cer shnll ��
<br /> � P Y y, promptly furnish to Lender receipts evi- �
<br /> dencing such payments_ Bonower shall promptly discLnrge any lien which has priority over this .l�Iortgage ; pro-
<br /> ; I vided, that Borrower shall not be required to discliarge uny sucli lien so long as Borrow.er shall agree in writing to
<br /> � , ;� � the payment of Lhe obligation aecured by such lien in :i munner acceptable to Lender, or shall in �ood faith contest
<br /> 4 auch lien by, or defend enforceme�t of such lien in , legal proceedings �vliich operate to prevent the enforcement of '' . ``
<br /> � the ]ien or forfeiture of the Property or any part thereof. �"?
<br /> i 5. Hazard Insuraace. Borrower shall keep tl�c improvements no«� existing or hereufter erected on the Prop-
<br /> i erty insured against loss by fire, hazards included �vithin the term "extended coverage", nnd such other hazards as f..�
<br /> � Lendermay require und in such amounts and for such periods as I.ender may require ; provided, that Lender shall
<br /> . 1 not require thab f,he amount of such coverage exceed that u�nount of coverage required to pay the sums aecured 'by t ,
<br /> f this Mortgage. � '
<br /> e The insurance carrier providing the insurance shall be chosen by Borro�3�er subject to approva! by Lender ; ��
<br /> � provided , that such approvaI shall not be unreasonably withheld. All premiums on insurance policies shall be paid
<br /> r at Lender's option in the msnner provided under pi�ragrapl� 2 liereof or by Borrower making payment, when due, �
<br /> , j directly to the insurance carrier. �','
<br /> t
<br /> i In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect �,; �
<br /> f its interest, may procure insurance on the improvements, pay the premiums and such sum shall become �; r`.
<br /> immediately due and payable with interest at the rate set forth in said note until paid and shall be r. M , :,
<br /> � secured by this Mortgage. Failure by Borrower to comply may, at option of Lender, constitute n default ;' _ ' �t`
<br /> i under the terms of this Mortgage. ,t
<br /> , .# All insurance policies and renewals thereoi shall be in fonn acceptable to Lender and shall include►a standard G ;
<br /> � mortgage clause in favor of and in form acceptuble to Lender. I,ender shull have the right to liold the policies nnd r '�:
<br /> renewals thereof, and Borrower shall protnptly furnish to Lender all rene�vsl notices and aIl receipts ot paid pre- �' '
<br /> � miums. In the event of loss, Borrower shall give prompt notice to the insurance cnrrier and Lender, snd Lender � *
<br /> ; may make proof of loss if not made promptly by Borrower. ,,
<br /> } Unless Lender and Borrawer otherwise agree in �vriting, insurance proceeds shall be applied to restoration or �; '
<br /> � repair of the Property damaged, provided such restorstion or repair is econo�uicaliy feasible and the security of ' ' �,'
<br /> � this Mortgage is not thereby impaired. If sucli restoration or repair is not economicuily feasible or if the security �
<br /> of this \Zortgage would be impaired, the insurance proceeds shalf be applied to the sums secured by this Mortgage, ' , , =,Y ,�h'
<br /> with the excess if an � +,
<br /> , y, paid to Borrower_ If the Yroperty is abandoned by Borrower or if Borrower fails to respond �` , a;
<br /> to Lender within 30 days after notice by Lender to Borrower tl�ut the insurance carrier offers to settle a claim for k` , � r
<br /> insurance benefits, Lender is Authorized to collect and a I the insurnnce � ' �'
<br /> pp y proeeeds at Lender's optSon either to
<br /> restoration or repnir of the Property or to the sums secured by tl�is �lortgage. t� , ,
<br /> Un]eas Lender and Borrower otherwise a ree in �vritin any such a 1ic�tion of '� ' "x
<br /> g g, pp proceeds to principal ahall ,i
<br /> not eactend or postpone the due date of the monthly installments referred to in pnragraphs 1 and 2 hereof or change
<br /> the amount of such installments. � �4�
<br /> If under paragraph 18 hereof the Yroperty is acquired by Lender, all right, title and interest of Borrower in ,�,
<br /> and to any insnrsnce policies und in and to tlie proceeds thereof (to tlie extent of the sums secured by this Mort- ,�
<br /> gage immediately prior to such sale or acquisition) resulting from damage to ihe Yroperty prior to the sale or x , '„
<br /> acquiaition shall pass to Lender.
<br /> 6: Yreservation �d Mmatea�sce of Property; Leaseholds; Coadomiaiums. Borrower shall keep the Prop- `
<br /> erty in good repair and shall not permit or commit waste, impairment, or deterioration of the Property and shall
<br /> comply with the provisions of any lease, if this \ Iortgage is on n leasehold. If this �lortgage is on n condomiaium
<br /> unit, Borrower shall perforn� ali of Borrower's obligntion, under the declaration ot condominium or msster deed ,
<br /> �. � the by-]aws and regulations of the condominium project und constituent documents.
<br /> 7. Proteetioa oi Lendei s Seeurity. If Borrower iails to perform the covenants and agreements contained in
<br /> this Mortgage, or it any action or proceeding is commenced �vhic6 materially sffects Lender's interest in the Prop-
<br /> , 3 erty, i�cluding, but not }imited to, eminent domain , insoh•ency, code enforceinent, or arrangements or proceed-
<br /> i ings invotving a bankrupt or decedent, then Lender at I,ender's option , upon notice to Borrower, msy make such
<br /> ! appearances, disburse such sums and take sucl� action as is neceesary 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 /> smounte disbursed by Lender pursuant to this paragrapl� 7, witl� interest thereon, shall become additiona! indebt-
<br /> ednese of Borrower secured by this �fortgage. Unless Borrower and Lender agree to other terms of payment, such
<br /> amounts ahall be payable upon notice from Lender to Borrower requesting payment tliereof, and shall bear inter-
<br /> eet from the dste of disbursement at the rate stated in the Note unless payment of interest at such rate would be
<br /> contrary to applicable Iaw, in which event such amounts shall bear interest at the highest rate permisaible by
<br /> applicable law. �Tothing contsined in tl�is pnragrapli 7 shnll require Lender to incur any expe�se or do any act
<br /> hereunder_
<br /> . -f 8• Inspoetioa. Lender �nuy �nake or cauQe to be inade reasonsblc entries upon and inspections of the Prop-
<br /> } erty, provided that Lender shall give Borroa•er notice �u•im• to nnp such insnection specifying reasonable .cause
<br /> ? therefor related to Lender's interest in the Property.
<br /> 9. Condemaatioa. The proceeds of any a�vsrd or claim for damages, direct or consequential, in connection
<br /> with aay.condemnation or other taking of the Property. or part thereof, or for conveyance in lieu of condemna- �
<br /> r tion, are hereby assigned and shall be paid to Lender. �`i ':
<br /> °' In tlie event of a total taking of the Property, the proceeds shall be applied to the sums secured by this Mort- �.-•.� , , `. ,
<br /> gage, with the exceas, if any, paid to Borrower., In the event of a partial taking of the Property, unless Bonower ^� '^
<br /> , and Lender otherwise agree;in writing, tl�ere ehall be applied to the sums secured by this Vlortguge sueh pro or- r'�
<br /> ,h tion of the proceeds as ia equal to that proportion which the amount of the aums secured by this Mortgage imme- , �, '
<br /> � diately prior to f,he date of faking bears to the fair inarket value of tlie Pro ert • immediatel � � "
<br /> : p } y prior to the date of G�- '. � LL.
<br /> F:��� �
<br /> , taking,.wi�the balance of ;the proceeds paid to Borrower. , , ,-
<br /> ; If the Pmperty is abando�ed by Borrower or if nfter notice by Lender to Borrawer that the condemnor offers "+�r: ` ,,� '�
<br /> x; . to make an award or settle a claim= for damages, 'Bonoveer fails to respond to Lender within 30 days of the datc �.:..k .,�,. ,��
<br /> -' : of eech notice, I:ender is sutkorized" to collect and ap��ly the proceeds at Lender.a option eitlier to restorntion or
<br /> c � repair oF the Property. or to the sums secured by tl�is \fortgage.
<br /> - ;3 3Tnleq`a Lender'snd Borrower bthertvise agree in writing, sny such application of proceeds to principal shall
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