|
_ r-
<br /> ..
<br /> (
<br /> If under paragraph 18 hereof the Property is sold or the Property is othenvise acquired by Lender, Lender '
<br /> shall npply, no dater thnn immediately prior to t6e sale of tl�e PropmYy or its acyuisition by Lender, any Funds
<br /> held by Lender at the time of application as a credit ugainst the sums secured by this Vfortgaga
<br /> 3: Applie¢6on af Paymeats. Unless applicnblc laa• provides other�vise, nll pay�nents received by Lender
<br /> � under the Note und paragraplis 1 and 2 hereof shall br ap�ilied by Lender ftrst in payment of amounts paysble to
<br /> ;� Lender by' Borrower under pAragragh 2 hereof, then to interest �iayable on tl�e 1�otc and on Future Advances, if ;,
<br /> any, and then to the principal of the i�Tote and to tlie principal of Future Advances, if any_
<br /> °> 4. Cfiargea; Liene. Rorrower sLall pay aq Laxes, assessments and other charges, fines and impositiona attrib-
<br /> `�; - ,� ut$ble to the Property which may attain a priority over tliis Mort�age, nnd ground rents, if any, at Lender's r�'
<br /> � ,� option in the manner pravided under, paragraph 2 hereof or by Borro�ver making payment, �vhen due, directiy to �,.
<br /> y � the payee thereof_ Borrower sha1L promptly furnisli to Lender nll notices of amounts due tmder thia paragraph, r
<br /> ; �, T„� and, in the event Borrowershall make payment directly, Borro�ver shall promptly furnish to Lender receipts evi-
<br /> � d dencing such payments. $orrower shaI] prompt]y discl�ar�e uny lien which has priority over this \Zortgage ; pro- "
<br /> ; ' ` vided, that Borrower shali not'be required to diacliarge any such lien so long as Borrower shall agsee in writing to
<br /> the payment of the obligation secured by sucli lien in a inanner acceptnble to Lender, or shall in goo3 faith contest
<br /> auch lien by, ar deFend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of
<br /> � the lien or forfeiture of the Property or any part tl�ereof.
<br /> ^ 5. Hazazd Insuzance. Borrower shall keep tiie improvements now existing or hereufter erected on the Prop-
<br /> erty insured against loss by fire, hazards included within the term "extended caveruge", and such other huzards as
<br /> ' �' Lender may require and in such amounts 1nd for such neriods as Lender muy require ; provided, that Lender shall
<br /> � not require thut the amount of such covera�e exceed that umount of covera�e required to pay the sums secured 'by
<br /> ` this Mortgage.
<br /> The insurance carrier providing tl�e insurance shal] be chosen by Borrower suhject to approval by Lender ;
<br /> ±; provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies shall be paid �"
<br /> at Lender's option in the manner provided under paragraph 2 hereof or by Borrower making psyment, when due,
<br /> directly to the insurance carrier.
<br /> ; In the event any policy is not zenewed 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 /> ;j under the terms of this Mortgage.
<br /> �' All insurance policies and renewals thereof shall be in fonn acceptablc co Lender und shall include a standsrd
<br /> " mortga�e clause in favor of and in fonn acceptable to Lender. Lender shall I�a��c the ri ht to hold the
<br /> g policies nnd
<br /> ; : �' renewals thereof, and Borrower shall prompWy furnish to Lender all renewal notices and all receipts of paid pre- .
<br /> ;r � miums. In the event of ]oss, Borrower shall give prompt notice to the insurnnce carrier und Lender, and I.ender -
<br /> o may make proof of loss if not made promptly by Borrower.
<br /> I Unless Lender and Borrower othenvise agree in writing, insurnnce proceeds shall be applied to restoration or
<br /> i repair of the Property damaged, provided such restoration or repsir is economically feasible and the security of
<br /> ` � this Nlortgage is not thereby impaired. If such restorntion or repair is not economically feasible or if the security
<br /> ' of tbis biortgage would be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage,
<br /> �. with the excess, if any, paid to Borrower. If the Yroperty is aban<loned by Borrower or if Borrower fails to respond
<br /> ;; to Lender within 30 days after notice by Lender to Borrower 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 tliis \Iortgage. '
<br /> � Unless Lender rsnd Borrower othenvise agree in writing, any such application oF proceeds to principal shall �
<br /> � noL extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof or change "
<br /> a the smount of such installments. ;�
<br /> } If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in t�
<br /> 3 and to any insurance policies and in and to the proceeds tLereof (to tlie extent of the sums secured by this Mort-
<br /> f gage immediately prior to such sale or acquisition) result.ing from dacnage to the Property prior to the sale or s
<br /> � acquieition shall pass to Lenden
<br /> 6: Praservatioa �td Mmntea�tca of Property; Leaseholds; Condominiums. Borrower shull keep the Prop-
<br /> E erty in good repuir 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 a leasel�old. If this �lortgage is on a condominium
<br /> unit, Borrower shall perform all of Borrower's obligations under the declarntion of condominium or master deed,
<br />� the by-laws and regulations of the condominium project and constituent documents.
<br />� 7. Proteetion of Lendei s Security. If Borrower fails to perform the covenants and agreements contained in
<br /> k :
<br />�, this Mortgage, or if any action or proceeding is commenced which tnaterially a�ffects Lender's interest in the Prop-
<br />€; - erty, ineluding, but not 7imited to, eminent domain , insoh•ency, code enforcement, or arrangements or proceed-
<br /> ings involving a bankrupt or decedent, then Lender at 7.ender'� option, upon notice to Borrower, may make such
<br />� - q appearances, disburse such sums and take such action as is necessary to protect Lender's interest, including, but
<br />; :{ not limited to, diabursement of reasonable attorney's fees �nd entry upon the Property to make repairs. Any
<br />, ; amounts disbursed by Lender pursuant to this pAragraph 7, �cith interest thereon , shall become additional indebt-
<br /> '. � edness of Borrower secured by this �iortgage. Unless Borrower und Lender ugree 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 /> est from the date of disbursement at the rate stated in the Note unless psyment of interest at such rate would be
<br /> contrary to applicable law, in which event such nmounts shall bear interest at the highest rate permisaible by
<br /> applicable law. Nothing contained in this porngrapl� 7 shnll require I.ender ta incur any expense or do any sct
<br /> 6ereunder.
<br /> 8. Iaspeetion. Lender may make or cau�e to be madc reaconablc entries upon and inspections of the Prop-
<br /> � erty, provided that Lender shall give Borrower notice ��ria• to any such ins��ection specif�ying reasonable cause
<br /> , .,j therefor zelated to Lender's interest in the Property.
<br /> 9. Condemaation. The proceeds of uny s�varci or claim for dnmages, direct or consequential, in connection
<br /> with any eondemnation or othertaking of the Property. or part thereof, or for conyeyance 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 proceeds shall be applied to the sums secured by this Mort- q �
<br /> gage, with the excess, if any, paid to Borrower. In tUe event of a partiul taking of the Property, unless Borrower
<br /> and ,I,ender otherwise agree in writing, there sl�all 'be applied tu tl�e su�us secured by this Mortgage such propor-
<br />�,{, tion 6f the;proceeds as is equsl to that proportion which tl�e amount of the sums secured by this Mortgage imme- '
<br /> f^ diately prior to tl�e dste of•taking bears to the fair marketi value of tl�e Property immedintely prior to the date of
<br />•,, talring, wit�;the balBriCe of the proceeds paid to Borrower.
<br />;; If the Pmperty is abandoned by Borrower or if after notice by Lender to Borrower that the condemnor offers
<br /> to;Taske su, awaril. or settle u claim- for damages, Borrower.fails to respond ta Lender within 30 days of the date
<br /> „ . .�
<br /> of:suchsnotice�.Lender is:suthorized to collect and ap��ly the>proceeds ' at Lender's option eit-I�er to mstoration or
<br /> ,$ repair of Ehe Property or:to the aums aecured by ti�is \fortgage.
<br />:: � ; �Tnleas Lender snd Borrower other�vise agree in avriting, any such application of proceeds to principal shall
<br /> � _
<br />, :i'.'� � � � � � � §; :� : �
<br />
|