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<br /> If under paragraph 18 hereof the Property is sold or the Property is othenvise acquired by Lender, Lender
<br /> shnll apply, no later tlian immediately prior to the snlc of the Property or its r3cquisition by Lender, any Funds
<br /> held by Lender nt the time of upplication as a credit a�ainst thc swns .ecured b�• this Mortgagc.
<br /> 3. Applieation oi Payments. Unless applicable In�r provides othernise, all puyments received by Lender
<br /> ;� . under the Note and paragrspLs 1 snd 2 hereof shal ! hc np�licd by Lender first in payment of amounts payable to
<br /> 4 Lender by Borrower under paragraph 2 hereof, then to interest pssyablc on thc Note and on Future Advances, if
<br /> any, and then to the principal of the Notc and to tlie principal of Future Advances, if any. A�
<br /> # 4. Cla�ges; Lieas. Borrower sl�all pay all tasxes, assessments and other charges, fines and impositions attrib-
<br /> � utable to the Property which may nttain u priority over tliis vIortgage, and E;round rents, if any, st Lender's � '
<br /> � option in the manner provided under paragraph 2 hereof or hy Borrower �naking payment, when due, directly to ��. Y
<br /> " the payee thereof. Borro�ver shall promptly furnish to Lender a!1 notices of nmounts duc under this paragraph,
<br /> t and in the event Borrower shall muke payment directly, Borro�cer sl�al! promptly furnish to Lender receipts evi-
<br /> � dencing such payments. Borrower shall promptly discharge uny lien �vhich has priority .over this VLortgsge ; pro-
<br /> vided, that Borrower shall not be required to discf�arge any sucl� lien so long as Borrower sl�al] a�ree in writing to
<br /> j the payment of the obligation secured by such lien in a inanner acceptaUle to Lender, or shall in good taith contest
<br /> ; suoh lien by, or defend enforcement of such lien in , legal praceedings �vhich operate to prevent the eniorcement of
<br /> a � the7ien or forfeiture of the Property or anp pnrt thereof.
<br /> _ ? .�a S. Hazard Insur�ce. Borrower shall keep tl�e improvements now existing or hereafter erected on the Ptop-
<br /> 'r p erty insured sgainst loss by fire, liazards included �vithin the term "extended coverage", and sucli other hazarda as �
<br /> � ,� Lender may require and in such amounts and for such periods ns Lender may requirc ; provided, that Lender ahaq
<br /> ; ; � not require that the amount of such coverage exceed that arnount of coverage required to pay the suma aecured 'by
<br /> ; p this Mortguge.
<br /> The insurance carrier providing tlie insurauce shall be chosen by Borrower subject to aapprovul by I.ender ;
<br /> " � � provided, that such approval shall not be unreasonably withlield. All premiums on insurance policies shsll be paid
<br /> � W at Lender's option in the manner provided under paragraph 2 hereof or by Borrower making payment, when due, `�
<br /> ' � directly to the insurance carrier.
<br /> � In the event an hc is not renewed on or before ten da s of its ez uation the Lender to ' ;�^
<br /> .� Y Po Y Y P . , Protect � � ck � x.
<br /> i its interest, may procure insurance on the improvements, pay the premiums and such sum shall become g
<br /> ' i immediately due and payable with interest at the rate set forth in said note until paid and shall be , _'�;:
<br /> f secured by this Mortgage. Failure by Borrower to cornply may, at option of Lender, constitute a defauit
<br /> � under the terms of this Mortgage. r
<br /> j All insurance policies and rene�vnls thereof shall be in fonu acceptable to Lendcr and shall inelude :t standard ;
<br /> 1 mortgage clause in favor of and in form acceptable to Lender. Lender shsll have the right to hold the policies and � �;.
<br /> renewals thereof, and Borrower sha11 promptly furnisl� to Lender all renewal notices and all receipts of psid pre- {
<br /> 1 miums. In the event of loss, Borrower shall give prompt uotice to the insurance carrier and Lender, and Lender
<br /> ` � may make proof ot loss if not made promptly by Borrower.
<br /> � a Unless Lender and Borrower otl�envise a�ree in writing, insurance proceeds s6a11 be applied to restoration or ' ' '
<br /> ; t repair of the Property damsged, provided such re�taration or repair is economically fessible 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 thie Mortgage would Ue impaired , the insurance proceeds shall be applied to the sums secured by this Mortgage, ` �.
<br /> with the excess, if sny, paid to Borrower. If the Property is abandoned i�y Borro�ver or if Borrower fails to respond t-
<br /> � to Lender within 30 days after notice by Lender to Borrotver that the insurance carrier offers to settle a claim for �
<br /> insurance benefits, Lender is authorized 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 this \Iortgage. ,�;j
<br /> f Unless Lender and Borrower othenvise ngree in writing, any such applicntion of proceeds to principal ehall i :
<br /> ; � not extend or postpane the due date of the monthly installments referred to in paragraphs 1 nnd 2 hereof or change `
<br /> , Ehe amount of such installments. 4
<br /> ` � If under psragraph 18 hereof the Property is acquired by Lender, all right, title and interest of BorroWer in ' T
<br /> and to any insuranee policies und in and to the proceeds tliereof ( to tl�c extent of the sums secured by this Mort-
<br /> , gage immediately prior to such sale or acquisition) resulting from damage to the Property prior to the sale or `�"
<br /> ; acquisition shall pass to Lender. , ;
<br /> '; 6. Preservation �d Mmnten�ce of Property: Leaseholds; Condomiaiums. Borrower shnll keep the Prop-
<br /> o erty in good repair and shall not permit or commit wuste, irnpairment, or deterioration of the Property and shall
<br /> � comply with the provisions of any lease, if this \Iortgnge is on a leasehold. If this Mortgage is on a condominium
<br /> { unit, Borrower shall perform all of Borrower's obligations wider the declaration of condominium or master deed,
<br /> $ the by-laws and regulutions of the condominium project and constituent documents.
<br /> a 7. Proteetion of Lender's Securily. If Borrower fails to perform the covenants and agreements contained in j
<br /> j thia Mortgage, or if any action or proceeding is commenced �vhich materiully uffects Lender's interest in the Prop-
<br /> � � erty, including, but not limited to, eminent domain , insol�-ency, code enforcement, or arrangements or proceed-
<br /> � inge involving a bankrupt or decedent, then Lender at I.endcr's option , upon notice to Borrower, may make such
<br /> ; j appearaneea, disburse sucl� sums and take such action ns is necessary to protect I.ender's interest, including, but
<br /> � not limited tq disbarsement of reasonable sttorney's fees snd entry upon the Property to make repairs. Any
<br /> amounts disbursed by Lender pursusnt to this paragrapli 7, with interest thereon , shall become ndditional indebtc
<br /> ; edness of Borrower secured by this Jiortgage. Unless Borrower and Lender agree to other terms of payment, such
<br /> �� amounts shall be paysble upon notice from Lender Lo Borrower requesting payment thereof, and shall bear inter-
<br /> eat from the date of disbursement at the rate stnted in the Note unless i�ayment of interest at such rate would be
<br /> . � contrary to applicable law, in which event such amounts shall bear interest at the highest rate permiasible by
<br /> >� applicable law. Notliins contuined in this psragraph i shn11 require I,ender to incur any expense or do sny act
<br /> • i hereunder_
<br /> �' 8. Inspeetioa.- Lender may tnake or cause to be made reaeonablc entries upon and inspections ot the Pmp-
<br /> ' ert rovided that Lender sl�all
<br /> � y, p give Borrower noticc ��rior to anp such inspection speciiying reasonable cause
<br /> ,� therefor relsted to Leader's interest in the Property.
<br /> , 9. Coademaatioa. The proceeds of any award or claim for damages, direct or consequential, in connection
<br /> witii any condemnation or other taking of the Property, or part thereof, or for conveyance in lieu of condemna-
<br /> �'� tion, are hereby asaigned and ahall be paid to Lenden -.=`�
<br /> �.��.
<br /> � In the evenL o£ a total taking of the Property, the proceeds shall bc applied to the sums secured by this Mort-
<br /> gsge, with the excese, if any, paid to Borrower. In tl�e event of a partial taking of the Property, unless Borrower :: ~
<br /> and Lender otherwiee agree in writing, there sl�sll be applied to t13e amns secured by this rlortgage such propor- - �; ' �
<br /> tion of the proceeds as is equsl to that proportion which the smount of the suma secured by thia Mortgage imme- � �+�'� ,' ;,• '
<br /> $ 49 '"
<br /> diately prior to the,date of taking besrs to the fair msrket vatlue of tl�e Property immediately prior to the date of �: ?
<br /> `� ��B, a'� � �slance of`,the pmceeds paid to Borrower. � ;;�. "
<br /> • �e,.. ��� � -t ; �
<br /> -� If the'Property i;s abandoned by Bortower or if nfter notice by Lender to Borro�ver that the condemnor offers . ;;,,� � y
<br /> : ? to make an award or "settle a clairii for dainsges, Borrower fails to respond to Lender within 30 days of the date
<br /> . . . ;:<
<br /> •.,+ ofwsuah 'notice,-Lender is sutt�oriaed` to collect and sp�ily `the pcoceeds at Lender's option either to restoration or
<br /> s repair of tkxe Property or to the sums aecured by tliis \iortgage.
<br /> _ Uriless. 7,ender and Borrower othernise 'sgree in ryriting, any such application of proceeds to principal shall
<br /> ; �� ``�✓; „�` .
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