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<br /> 3 If under paragraph IS hereoE the Property is sold or the Property is othenvise acquired by I,ender, Lender
<br /> shall apply, no later than immediately prior to thc snlc ot tiic Property or its acquisition by I.ender, any Funds
<br /> held by Lender at the time oC application as n credit against the sums �ecured by this VTortgagc.
<br /> 3. ApplicaGon oE Paymenls. Unless spplicablc I�tw provides otherwise, all payments received by Lender
<br /> under the Note and paragrapLs 1 and 2 hereof shalt bc applied 1>y Lender first in payment of amounts payable to
<br /> ' ; Lender by Borrower under paragraph 2 Lereof, then to irterest payablc on the Note and on Future Advances, if
<br /> any, and then to the principal of the Note anci to the principal of I�'uture Advances, if any. : , ,.�}
<br /> 4. CIacages; Liens. Borrower shall pay ull taxes, assessments nnd other charges, fines and impoaitions attrib- � '� '
<br /> � � utgble to . the Property which mny nttain s priority over this 14ortgage, nnd ground rents, if uny, at Lender's � "s '
<br /> { � optioa in the manner provided under �arngmph 2 hereof or by Borrower making payment, when due, direcWy to j
<br /> the payee thereof: -Borrower shall promptly furnish to I.endcr all notices of amoimts due under this paragraph , "
<br /> � ,� aad in the event Borrower shall mske payment directly, Borrower shall promptly [urnish to Lender receipts evi- ;
<br /> ,� Q dencing sucli payments. Borrower shall promptly discharge nny lien which has priority over this :liortgage ; pro- '
<br /> F � vided, that Borrower shall not be required to discliarge Any such lien so lon� ns Borrower shnll agree in writing to 'r
<br /> ; the psyment of the obligation secured by such lien in a manner acceptable to Ixnder, or shall in good fsith contest
<br /> fi ' auch lien 6y, or defead enforcement of sucl3 7ien in, iegai ��rocecdings �vhich operute to prevent the enforcement of
<br /> i � the lien or forfeiture of the Property or nny part tl�ereof.
<br /> j � 5. Hazard Insuraaee. Borrower shall keep the improvements no�r existing or hareafter erected on the Prop- ��
<br /> ' } erty insured against loss by fire, hazards inctuded within the term "extended coverage", and such other hazards as
<br /> ; � Lender may require und in such amounts und for sucL periods as Lender muy require ; provided, that Lender shall , �.
<br /> 3 not reqaire that the nmount of such coverage exceed ti�nt amount of coverage required to psy the sums secured 'by
<br /> i this Mortgage.
<br /> i The insurance carrier providing tl�c insurance shall be chosen by Borrower suhject to approval by Lender,
<br /> � provided, thnt such approval shal! not be unreasonably withheld. All premiums on insurance policies shali be paid � :
<br /> q at Lender's option in the manner provided under paragrspl� 2 I�ereof or by Borro�ver 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 R;;
<br /> fi its interest, may procure insurance on the improvements, pay the premiums and such sum shall become ; � :;
<br /> i 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, rnnstitute a defauit z i
<br /> under the terms of this Mortgage.
<br /> All insurance policies and renewals thereof shall be in fonn acceptable to Lender and shnll include a standard
<br /> I mortgage clause in favor of and in form acceptable to Lender. Lender shall havc ihe rigl�t to hold the policies snd ' '
<br /> f renewals thereof, andBorroa•er shall promptly furnish to Lendcr all renewal notices and all receipts of paid pre-
<br /> . � miums. In the event of loss, Borrower shall give prompt notice to the insurance currier and Lender, snd Lender ;
<br /> may make proof of loss if not made promptly by Borrower. "�
<br /> � ,�.
<br /> `{ Unless Lender and Borrower otherwise agree in writing, insurauce proceeds shall be applied to restorstion or 1 ;+
<br /> repair of the Property damaged, provided suc6 restoration or repair is economically feusible and the security of , „'
<br /> � ! this Mortgsge is not Wiereby impaired. If such restorntion or repair is not economically feusible or if the security '!
<br /> :� of this �iortgage would be impaired, the insurance proceeds shall bc applied to the sums secured by this Mortgsge, t'
<br /> t with the excess, if any, paid to Borrower. If the Yroperty is abandoned by Borrower or if Borrower fails to respond '
<br /> � �`r;
<br /> { to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settle a claim for � .u,,
<br /> � insurance benefits, Lender is suthorized to collect and apply the inaurance proceeds at Lender's option either to i t
<br /> restoration or repnir of the Property or to the sums secured by this �3ortgage. f � c,!
<br /> Unless Lender and Bonower otherwise agree in �vriting, any such upplication of proceeds to principsl shall
<br /> j not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or chsnge ; '
<br /> � the amount of auch inetallments_
<br /> � If under paragraph 18 hereof the Property is acquired by Lender, n11 right, title and interest of Borrower in � :
<br /> and to any insurance policies and in and to the proceeds thereof (to the extent of the sums secured by this Mort- 4`
<br /> gage immediately prior to sueh sale or ncquisition ) resulting from damuge to the Yropert y prior to the sale or �
<br /> ' � acquiertion a ha l l pass to Len der. °
<br /> 6. Preservatioa �d Mmntaa�ce o! Property; Leaseholds; Condomiaiums. Borrower shall keep the Prop-
<br /> erty in good repair and shall not permit or commit wuste, impairment, or deterioration of thc Property and shall
<br /> ' � comply with the provisions of any lease, if this \Iortgage is on a leasehald. If this Mortgage is on a condominium � �
<br /> unit, Borrower shull perform all of Borrower's obligations imder the declaration of condominium or master deed, r
<br /> the by-laws and regulations of the condominium project and constituent documents.
<br /> fi 7. Proteetioa of Lendez's Sacurity. If Borrower fuils to perform the covenants and agreements contained in
<br /> S this Mortgsge, or if any action or proceeding is con�menced which materially nffects Lender's interest in the Prop-
<br /> i erty, including, but not limited to, eminent domnin , insolvency, code enforcement, or anangements or proceed-
<br /> ;;i ings involving a bankrupt or decedent, then Lender at I.endcr's option, upon notice to Borro�ver, may make such
<br /> si appearances, disburse sucli svms 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 /> , � amounts disbursed by Lender pursuant to this paragraph 7, �rith interest thereon, shall Uecome udditional indebtc
<br /> edaess of Bonower secured by this �fortgage. Unless Borrocver and Lender agree to other terms of payment, such
<br /> � amounts ahall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br /> eat from the date of disbursement at the rate stated in the Note unless payment of interest at such rate would be
<br /> contrary Lo applicabie la�v, in which event such amaunts shall bea.r interest at the highest rate permissible by
<br /> Y� appl�cable law. Nothing contained in this paragrap6 i shall reryuire Lender to incur rsny expense or do any act
<br /> hereunder.
<br /> 8 Iaspaetion, Lender may �nake or cauee to be mndc reasonablc entries upon and inspections of the Prop-
<br /> erty, provided that I.ender sl�all give Borrower notice ��rior to atn�- suc6 inspection cpecifying reasonable cause
<br /> � therefor Telated to Lender's interest in the Propert�•.
<br /> `� 9. Condemaation The proceeds of any award or cisim for dsmages, direct or conseqnential , in connection
<br /> with any'condemnation or other taking of the Property, m• part tliereof, or for conveyance in lieu of condemna-
<br /> a tioaysiehereby assigned and shall be paid to Lender.
<br /> .� In the evept of a total taking of the Property, the proceeds ehall Le upplied to the sums secured by this Mort- ---r--�-
<br /> gage, �vit� the excess, if any, pnid to Borro�ver. In tlie event of a partial taicing of the Property, unless Borrower ,., � „`':
<br /> and Lender 4thenvise agree in �vriting, tl�ere shall be applied to tUe suins secured by this �Iortgage such propor-
<br /> tioa-of.the:proceeds sa is equsl to that proportion which the amount of the svms secured by this Mortgsge imme- ` `
<br /> diatelypriga� to, the dste oftakingbears to the fair ivarket vslue of tLe Property immediately prior to the dste of � �,'�"'
<br /> talang, w��he�baiance of the pmceeds paid to Borrower. �x '
<br /> I£ thetPa'opertyjisabandoned bgBorrower or if after notice by Lender to Borrower that the condemnor offers �s� `'�
<br /> t
<br /> to.iaske ari`aWsrd 'or settle a claini idr damagea,`$orrower fails to respond to Lender within 30 days of the date <'.*''� ''��
<br /> � of;saohnotice� T.ender is authorized to collect and apply the proeeede at Lender's option either to rextoration or ` �
<br /> repa�r of the Property or to the susns aeeured.by this \fartgage.
<br /> '� Un1e9s Lender aad Borrower' othex�vise agree in writing, any such application of proceeds to principal shall
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