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<br /> � If under paragraph 18 hereof the Property is sold or the Yroperty is other�vise ncquired by I.ender, Lender
<br /> shall apply, no later thua immediately prior to thc salc of the Property or its acquisition by I.ender, any Funds
<br /> held by Lender at the time of application as u credit againat the sums secured bp this Vlortgage.
<br /> ; 3. lipplication o! Payments Unless applicablc Is��• provides othenvise, ull payments received by Lender
<br /> ± under the Note and paragrapiis 1 and 2 hereof shall bc applied by I,ender first in payment of amounts paynble to
<br /> ' Lender by Borrower under paragrapli 2 hereof, thei� to internst payablc on the Note and on Future Advances, if �
<br /> � � uny, and then to the principai of the Nate and to t6e princi�ial of Future Advances, if any.
<br /> � 4. Cfiarges; Liens. Borrower sl�all pay all taxes, assessments and other char�es, fines and impositions attrib- ;
<br /> � utable to the Property which may attain a priority over this VIortga�e, and ground rents, if any, at Lender's � ' �
<br /> � option in the msnnerpro�ided under paragraph 2 hereof or by Borrower making �nyment, when due, directly to
<br /> j � the payee thereof. Borrower shall promptly furnish to Lender all notices of amoimts due under this paragraph,
<br /> � and in the event Borrower shall mske payment directly, Borrower shall promptly furniah to Lender receipts evi-
<br /> � dencing sucli psyments. Borrower shsl! promptly discliarge any lien �vhich has priority over this �Iortgage ; pro-
<br /> ; ( vided, that Borrower ahall not be required to discharge any- sucl� lien so long us Borrower shnll agree in writing to a:
<br /> f ap the payment of the obligation secured by such lien in :i inanner acceptable to Lender, or shall in �ood faith contest P
<br /> i �+ such lien by, or defend enforcement of such lien in , legal proceedings �vhich opernte to prevent the enforcement of �
<br /> � the ]ien or forfeiture of the Property or any part thereof.
<br /> � S. Hazard Insuraaee. Borrower shali keep d�c i�nprovements no�v existing or hereafter erected on the Prop-
<br /> � erty inavred sgainst loss by fire, hazards inciuded within the term "extended coverssge", and such oUier hazards as
<br /> Lender may require and in such amounts nnd for such periods us I.ender may require ; provided , that Lender shsll
<br /> � not require that the amount of such coverage exceed ttiat nmounL of coverage reqaired to pay the sums secured 'by
<br /> ] this Mortgage.
<br /> i The insurance carrier providing the insurance shall be chosen by Borro�r•er subject to approval by Lender ;
<br /> provided, that such appraval shall not be unreasonably �vithheld. �11 premiums on insurance policies shall be paid
<br /> � nt Lender's option in the manner provided undcr paragrapli 2 llereo[ or by Borro�ver making payment, when due,
<br /> � directly to the insurance carrier. ;
<br /> 9 In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect t
<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 policies and renewals thereof shall be in fonn acceptuble to Lender iind shnll include a standard " ,
<br /> �nortgage clause in favor of and in form acceptable to Lender. Lender shall havc thc rigl�t to liold the policies and
<br /> r renewals thereof, and Borrower shall promptly furnish to Lender ull rene�vul notices and all receipts of paid pre- � ' `
<br /> .; t miuma. In the event of loss, Borrower shall give prompt notice to the insurnnce carrier and Lender and Lender a
<br /> � may make proof of loss if not made promptly by Borrower. '
<br /> .� Unless Lender $nd Borrower otherwise agree in �vriting, insurance proceeds shall be applied to restoration or � .
<br /> repair of the Property damaged, provided sucli restoration or repair is economically fea=ible and the security of �'.'
<br /> ; thieD�lortgage is not tl�ereby impaired. If such restoration or repair is not economically feasible or if the security
<br /> , 5 of this Mortgage would be impaired, the insurance proceeds shall bc upplied to the sums secured Uy this Mortgage, ! f'
<br /> � with the excess, if any, paid to Borrower. If the Yroperty is abandoned by Borrower or if Borrower fails to respond � f`
<br /> � to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settle a claim for �
<br /> f ineursnce benefits, Lender is authorized to collect and npply tl�e insurance proceeds at Lender's option either to � e`
<br /> ; restoration or repair of the Property or to the sums secured by this llortgage.
<br /> Unlesa Lender and Borrower othenvise agree in writing, any such applicution of proceeds to principal shall , _�.
<br /> S not extend or postpone the due date of the �nontlily installments referred to in paragraphs 1 and 2 hereof or change ;�
<br /> ' � the amount of such instaIlments. � ;r�
<br /> } If under paragraphl8 hereof the Property is acquired by Lender, all right, title and interest of Bonower in
<br /> '� and to any insurance policies and in and to the proceeds tl�ereof (to tLe extent of the sums secured by this vlort-
<br /> gage immediately prior to such sale or acquisition) reeulting from damage to the Property prior to the sale or , � ��
<br /> ,`� acquieition shall pass to Lender.
<br /> ; 6. Pzeservation �d Mmateaance af Property; Leaseholds; Coadominiums. Borrower shall keep the Prop-
<br /> r erty in good repair and shall not permit or commit waste, impairment, or deteriorution of the Property nnd shall
<br /> � comply with the provisions of nny lease, if this \Iortgage is on a leasehold. If this vlortgage is on u condominium
<br /> Y unit, Borrower shall perform ull of Borrower's obligations under the declaration of condominium or master deed ,
<br /> F the by-laws and regulations of the condominium project and constituent documents.
<br /> 'r 7. Protectioa of Leader's Sacssrity. If Borrower fails to perform the covenants and agreements contained in '
<br /> 'j this Mortgage, or if any action or proceeding is commenced �vhic}� materially affects Lender's interest in the Prop-
<br /> :l erty, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceed-
<br /> { ings involving a bsnkrupt or decedent, then Lender at J.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, disbursement of reasonable attorney s fees and entrp upon the Property to make repairs. Any
<br /> ,i amounts disbursed by Lender pursuant to this paragraph 7, witli interest thereon, shall become additional indebt-
<br /> '3 edness of Borrower secured by this Mortgage. Unless Bonower and I,ender agree to other terms of payment, such
<br /> � amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br /> eet from the date of disbursement at the rate stated in the 1�Tote unless payment of interest at such rate would be
<br /> contrary to applicsble Iaw, in which event such amounts shall bear interest nt the highest rate permissible by
<br /> �� applicable law. Nothing contained in this paragraph 7 shall require Lender to incur any expense or do any act
<br /> � hereunder_
<br /> 8• Inspechon. Lender may make or cause to be tnade reasonnble entries upon and inspections of the Prop-
<br /> erty, provided that Lender shall give Borrower notice ��rior to 1m� such inspection specifying reasonuble cause
<br /> � _ . therefor related to Lender's interest in the Property.
<br /> 9. , Condemaation. The proceeds of any award or claim for damuges, dirnct or consequential , in connection
<br /> with any condemnation or other taking of tl�e Property, or part thereof, or for conveyanee in lieu of condemna-
<br /> tion, are hereby essigned and shall be paid to Lender. � '
<br /> In the event of a totaI taking of the Property, the �iroeeeds slisll be applied to the sums secured by this Mort- "" c""'� �
<br /> „ gage, wrth the excess, if any, paid to Borrower_, In , tl�e event of a partial taking of the Property, unless Borrower
<br /> and Lenderptherwise agree in writing, there shall be applied to the smns secured by this Viortgage such propor- f i° '
<br /> tion of the proceeds as is equsl to that proportion which the amount of the sums secured by this Mortgage imme- J #�'?� y
<br /> diately pnor to the date of taking bea,ts to tl�e fair market value of the Property immediutely prior to the date of �s.:
<br /> ��B, �:`theblialarice b€ the procgeds paid to Borrower. �
<br /> . If thertPio y . 3, ,,,» Y
<br /> pertyie abandoned b Borr6wer or if nftec notice b Lender to Borrower that the condemnor offers k' ?� „wy
<br /> to make:an awaixi or settle s claim for dumages; Borrower fnils to reapond to Lender within 30 days of the dste {--'
<br /> : of suoN'aOttice, Lender is suthoriaed 'to collect and spply the proceeds ac Lender's option eittier to restoration or
<br /> repsir of Ltie Propeity or to the s�ms secured .bg this �Iortgssga
<br /> - Unless Lender'and Borrower 'othernise agree in �vriting, any auch application of proceeds to principal shall
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