|
` i
<br /> If under paragrsph 18 hereof the Property is sold or the Property is otherwise acquired by I.ender, Lender �
<br /> shnll apply, no later thnn immediately prior to the salc of the Pro�icrtv or its acryuisition by Lencler, any Funds
<br /> held by Lender at the time of application ss a credit against tl�e su�ns sccured b�� this \Tort.gagc.
<br /> 3. Applieatioa of Payaaeats. Unless 3pplicablc la�e �irovides othenviae, all payments received by Lender
<br /> under the Note and paragrapLs 1 and 2 I�ereoP shn❑ he upplied 6}• i_endcr first in payment of amounts payable to
<br /> Lender by Barrower under paragrapti 2 liereof, tiien to interest pnyable on the Note and on Future Acivances, if
<br /> u.ny, and then to the principal of the Note und to tl�e principAl of Future Advances, if any.
<br /> j 4. Ch�ges; Liens, Bonower shall puy All taxes, assessments nnd other chnrges, fines and impositions attrib-
<br /> utable to the Property which may attsin n priority over ti:is Vlortgage, and �round rents, if any, at Lender's `
<br /> � � option in the manner provided under purngraph 2 hereof or by Bonower making payment, when due, directly to !
<br /> 'I � the payee thereof. Borrower shal2 promptly furnish to Lender all notices of amounts duc under this paragraph, '
<br /> ' ' 1 'r"� and in the event Borrower shall make payment directly, Borroa•er shall promptly furnish to I.ender receipts evi-
<br /> . 1 r"i dencing auch payments. Borrower shail promptly discharge a.ny lien which has priority over this \-fortgage ; pro-
<br /> � vided, that Borrower ahall not be reqnired to discl�arge any sucl� lien so lon� as Borrowcr s6ai1 agree in writing to
<br /> � � the payment of the obligation secured by such lien in s manner ncceptable to Lender, or 5hn1I in good faith contest
<br /> � such lien by, or defend enforcement of such lien in, legal proceedings which operate [o prevent the eniorcement of
<br /> : i pp the lien or forfeiture of the Property or nny pnrt t6ereof.
<br /> ^ 5. Hazard Insuraaee. Borrower shall keep the i �nprovements now existing or hereaftcr erected on the Prop-
<br /> erty insured against loss by fire, hazards included within the term "extended coverage ", and such otlier hazards ss
<br /> ` ; Lendertnay require and in such amounts and for such �ieriods ns I.ender muy require ; provided, that Lender shall
<br /> not require that the amount of such coverage exceed that amount of coverage required to pny the sums secured 'by
<br /> ' this Mortgage.
<br /> ` ; The insurance carrier providing the insurauce shall be chosen bp Borrosver subject to approval by Lender ;
<br /> provided, that such approva] shall not be unrensonably withheld. All premiums on insurance policies shall be paid ,
<br /> at Lender's option in the msnner provided under paragraph 2 hereof or by Borrower making payment, when due,
<br /> d'uectIy 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 until 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 insurance poticies snd mnewals thereof shall be in fonu twceptable to I.ender and shaIl include a standard
<br /> mortgage clause in favor of and in forn� acceptable to Lender_ Lender shall have the right to hold the policies and
<br /> renewals thereof, and Borrower shall promptly furnish to Lender ull renewal notices and all receipts of paid pre-
<br /> miums. In the event of loss, Borrower shall give prompt ��otice to the insuruncc carrier und Lender, and Leader
<br /> may make proof of loss if not made promptly by Borrower.
<br /> Unless Lender and Borrower othenvise sgree in writing, insurnnce proceeds shalI be applied to restoration or
<br /> ': s repair of the Property damaged, provided such restoration or repair is cconomicall}- feasible and the security of
<br /> this Mortgage is not thereby impaired. If such restoraiion or repair is not economically feasible or if the security
<br /> of this �fortgsge would be impaired, the insurance ��roceeds sliall bc applied to tlie sums secured by this Mortgage, i
<br /> ' ; ., with the exeess, if any, paid to Borrower. If the Yroperty is abandoned by Borrower or if Borrower fails to respond �
<br /> ` to Lender within 30 days after notice by I.ender to Borrower that the insurance currier offers to settle a claim for �
<br /> , ;
<br /> x ineurance benefita, Lender is authorized to collect and upply the insurance proceeds at Lender's option either to '
<br /> i =. restoration or repair of the Property or to the sums secured b5 this \Iortgage.
<br /> = IInless Lender and Borrower otherwise agree in writing, uny sucii application of proceeds to principal shail ;
<br /> y not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change !
<br /> � tfie amount of such instailments.
<br /> If under paragraph 18 hereof the Yroperty is acquired by Lender, all right, title and interest of Borrower in `
<br /> and to any insurance policies and in and to the proceeds thereof (to the estent of the sums secured by this Mort-
<br /> ; "� gsge immedistely priar to such sale or nequisitionl resulting from damnge to the Property prior to the sale or ' '
<br /> ncquisition shall pass to Lender.
<br /> � 6. Preservation �d Mmateacmce of Property; Leaseholda; Condominiums. Borrower shall keep the Prop-
<br /> erty in good repair snd shall not permit or commit waste, impairment, or deterioration of the Property and shall
<br />' comply with the provisions of any lease, if this \fortgage is on a leasehold. If this Mortgsge is on a condominium
<br />�` ' unit, Borrower shall perForm all of Borrower's obtigations under t.he declnration of condominium or master deed,
<br /> -? the by-laws snd reguIations of the condominium project a�d constituent documents. ;
<br />�. . : 7_ Protectioa of Lender's Security. If Borrower fails to perform the covenants and ugreements contained in
<br /> E , ; this Mortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Prop-
<br />` : - erty, including, but not limited to, erninent domain , in,oh•ency, code entorceinent, or arrangements or proceed-
<br /> ings involving a bankrupt or decedent, then Lender at i.ender's option , upon notice to Borrower, may make such
<br />€' '; appearances, disburse euch sums and take sucli action as is necessary to protect Lender's interest, including, but
<br /> not limited to, disbursement of reasonable attorney's fees and entry npon the Property to make repairs. Any
<br />� amounts disbursed by Lender pursuant to this paragraph 7, with interest thereon, shall become additional indebt-
<br />� " edness of Borrower secured by this biortgage. Unless Borrower nnd Lender ugree to other terms of payment, such
<br /> amounts shall be payable upon notice from Lender to Borrower requesting peyment thereot, and shall bear inter-
<br /> _ eat from the date of disbursement at the rate stated in thc Note unless pnyment ot interest at such rate would be
<br />' contrary to applicable law, in which event such nmounts shall bear interest at the highest rate permissible by
<br /> f � applicable law. Vothing contsined in this paragraph 7 shnll require I.ender to incur uny expense or do sny net
<br />; y hereunder.
<br /> 8. Inspae4on. Lender may make or cause to he madr rensonahle enkries upon and inspections of the Prop-
<br /> ; erty, provided that Lender shall give Borrower notice prior to nnp �uc6 inspection �pecifying reasonable cause
<br /> ` therefor related to Lender's interest in the Propert�•.
<br />� � 9_ Coadexanatioa. The proceeds ot any award or claim ior damages, direct ar consequential, in connection
<br /> ° with any condemnatSon or other taking of the Yroperty, or psrt thereof, or for conveyance in lieu of condemna-
<br />� � tion, are hereby assigned and shall Ue paid to Lender.
<br />' '": In the event of a total taking of the Property, the i�roceeds c��a�� be applieci to the suma secured by this Mort-
<br />� (� gage, with the excess, if nny, paid to Borrower. In tl�e event of a purtial taking of the Property, unless Borrower "` ^
<br /> ` and I,ender otherwise agree in writing, tfiere sliall be applied to tlie sums secured by this �fortgage such propor-
<br /> r '��, tion of the proceeds as is equal to that proportion which tl�e amount of the sums secured by this blortgage imme- �
<br />�,f� diately prior to the date.of,taking bears to the fair ivarket value of the Property immediately prior to the date oF
<br /> h, � taldng, with�tl�e balance of�,he proceeda paid to Borrower.
<br /> i -� If the Property is abandoned by Borrower or if after notice by Lender to Borrower that the condemnor offers
<br /> fi '^ � to make'an gward or settte s cisim for damages; Borrower fails to respond to Lender within 30 days of the date
<br /> ` ' of 'such notic�, Lender is suthoriced 'to r.ollect and s ly the
<br /> - pn proceeds at i,ender's option either t.o reetoration or
<br /> w- ;; repsir,of the Property or to the sums eecured by tl�is _liortgage_
<br /> ; Unless I,ender and Borrower otheMvise agree is writing, sny such application of proceeds to principal shall
<br /> � • .
<br /> . . � � 4,� . �i
<br />
|