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<br /> If under paragraph IS hereof t.hc Property is Sold or the Property is othenvise ncquired by Lender, Lender
<br /> shsll apply, no later than imntediately prior to thc salc of the Property or it� acquisition by Lender, any Funds
<br /> held by Lender at the timc of up��lication as a credit against tl�c cums secured by this \4orignge.
<br /> 3. Application' oi Payments. Unless a�plicnUlc ]:��v provides othenvise, all payments received by Lender
<br /> under the N�te and paragrapl�s 2 and 2 hereof sliall bc applied by I,encier first in payment of uinuunts payable to
<br /> � Lender by Borrower Under paragraph '2 hereof, then to intcrect puyablc ai thc Note and on Tuture Advances, if ;
<br /> ony, and then 6o the t?rincipal of the Note an<l to tlie principal of Futwe Acivnnces, if any. " •�
<br /> 4. Ch�rrgesi Lien�. Borrower sirall puy ali taxe.g, nssesstnents and other charges, fines and impositions attrib- f �
<br /> "` ,� ut�ble to the Property which may attain a priority over this �iortgage, and ground rents, if any, at Lender's }
<br /> option. in the manner prnvided under para�raph 2 hereof or by Aorrotver making payment, when due, directly to
<br /> ' -3 � the pnyee thereof. Borrower shall promptly furnisli to Lender all notices of amounis duc widcr this paragraph,
<br /> � � and in the event Borrower sl�all make p�,yment directly, I3orrow•er shall promptly furnish to Lender receipts evi-
<br /> '� � dencing sucl� payments. Borrower �hall promptly discharge any lien which has priority over this �lortgnge ; pro-
<br /> � � r„i vided, that B�rrower shall not be required to discliar�e any such lien so long as Borrower shn11 agree in writing to t
<br /> � � the paytnent of the obligation secured by sucti lien in :i inanner acceptable to I.ender, ur sha: l in guod faith contest �
<br /> � —� such lien Uy, or defend enforcement oi sucl� lien in, legai proceedings �vl�icli operate to prevent thc en£orcement of
<br /> { ' the lien or forPeiture of the Property or any part, thereof. ;
<br /> , � � 5. Hazard Insur�ee. Bono�ver shall keep the improvements now existing or heresiter erected on the Prop-
<br /> - 'j f\ erty insured against loss by fire, hazards included �vithin the term "extended coverage", und such other httzards as
<br /> - j Lender muy require and in such amounts and for such periods as Lender may require ; provided, that Lender ehall �
<br /> ; not require that the smount of such coverage exceed thut �mowit of coverage required to pay the sums secured 'by
<br /> this Mortgsge.
<br /> - � The insurance carrier providing the insuranee shall be chusen by Borrower subject to approvul by Lender ;
<br /> i provided , that such approval shall not be unreasonebly �vithheld . ryll premiums on insvrnnce policies shall be paid
<br /> � st I.ender's option in the manner provided under paragraph 2 hereof or by Borrower �naking payment, wl�en due,
<br /> ; directly to the insurance carrier. �. �;
<br /> In the event any policy i� not renewed on or before ten days of its expiration, the Lender, to protect
<br /> its interest, may procure insusance 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 /> ' 1 seeured by this Mortgaqe. Failure by Borrower to comply may, at option of Lender, constitute a default
<br /> - � nnder the terms o£ this Mortgage. -
<br /> t Ali insurance policies and renewals thereof �hall be in form ncceptable to I.endcr nnd shall include a standard
<br /> : � mortgssge clause in Favor of und in Sorm acceptable to Lender. Lender c��all have the right to hold the policies and �
<br /> renewals thereof, and Borzowex• shall promptly furnish to Lender all renewul notices und all receipts of paid pre- �
<br /> � miums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lender � �,;
<br /> f may make proof of loss if not made promptly by Borro�ver. ;
<br /> � Unless Lender and Borrower otherwise agree in �vritin�, insurance proceeds shall be applied to restoration or `
<br /> � repair af the Property damaged, provided such restoration or repair is ecunamicnily feasible and the security of `; k °'
<br /> r � this Mortgage is not thereby impaired. If such restoration or repair is not economicnlly fensible ur if the security =
<br /> 3 of this Mortgage would l�e impaired, the insurance proceeds shall be applied to the sums secured by thiE Mortgage, '
<br /> 'I with the excess, if any, paid to Borrower. If tl�e Yroperty is abandoned by Borrower or if Borrower fails to respond `'
<br /> f to Lender wif.hin 30 days ofter notice by Lender to Bonower that the insurnnce carrier offers to settle s elaim for ? �
<br /> insusanes benefits, Lender is ctuthorized to collect and apply the insurance proceeds at Lender's option either to �
<br /> r� restoration or repair of the Property or to the sums secured by tl�is �Iortguge. r
<br /> .� Unleas Lender and Borrower othenvise agree in yvriting, sny such application of proceeds to principal shall !
<br /> not extend or postpone the due date of the monthly installinents referred to in paragraphs 1 and 2 hereof or change , ,,
<br /> j the amount of such installmenta. , !c
<br /> � If under paragraph 18 hereof the Yroperty is acquired by Lender, nll right, title and interest of Bormwer in `
<br /> � and to any insurance policies and in and to the proceeds tl�ereof � to the extent oF the sums secured by this Mort-
<br /> -a gage immediate]y prior to such salc or acquisition) result.ing from damage to Llic Property prior to the sale or
<br /> acquiaition shall pass to Lendea F
<br /> 6. Preservatioa �md Mmaten�ce of Property; Leaseholds; Coadomiaiums. Borrower shall keep the Prop-
<br /> erty in good repair and shall not permit or commit waste, impnirment, or deterioration of the Property nnd shall
<br /> comply with the provisions of any lesse, if this �3ortgnge is on a leasehold. If this Mortgage is on n condominium
<br /> unit, Borrower shall perform all of Borrower's obligations under the declnration of condominium or master deed ,
<br /> .� the by-laws and regulstions of the condominium project and constitucnt documents.
<br /> 7. Protection of Leader's Security. If Borrower faits to perform the covenants and agreements contained in
<br /> this Nlortgage, or if any action or proceeding is commenced which materinlly affects Lender's interest in the Prop-
<br /> erty, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceed-
<br /> � inge involving a bankrupt or decedent, then Lender ut I,ender's option, upon notice to Borrower, may make such
<br /> � sppearances, disburse sucli sums and take sucl� action 3s is necessnry to protect Lender's interest, including, but
<br /> { not limited to, disbursement of ressonnble attorney's fees and entry upon the Property to make repairs. Any
<br /> � smounte disbursed by Lender pursuant to this paragraph 7, �vith interest thereon , shall become additional indebt-
<br /> edness of Borrower secured by this �iortgage. Unless Borrower and Ixnder agree to other terms of payment, such
<br /> amounts shalI be payable upon notice from Lender to Borrower requestin� payment thereof, and shall bear inter-
<br /> : .',� eat from the date of disbursement at the zate stated in the \Tote unless payment of interest st such rate would be
<br /> � contrary to applicable law, in which event such amounts si�alt bear interest at the highest rate permissible by
<br /> spplicable Isw. Vothing contained in this paragraph 7 shnll require I.ender to incur any expense or do any act
<br /> � 6ereunder.
<br /> � 8. 7aspeetioa. Lender may make or cause to be inadc reasonable entries upon and inspections of the Prop-
<br /> j erty, provided that Lender sl�all �ve Borrower notice ��rior to nnp such inspeetion �pecifying reasonable csuse
<br /> ,� tLerefor related to Lender's interest in the Property.
<br /> 9. Condema¢tion. The proceeds of uny uward or claim for dnmages, direct or consequential, in connection
<br /> *; � with any condemnation or other taking ot the Property, or part thcreof, or for conveyance in lieu of condemna-
<br /> � , j tiort, are heteby assigned and shall be paid to Lender. � .
<br /> ' � In the event of s total tsking of the Property, the proceeds sl�all 1>c applied to the sums secured by this Mort- ""�"'�`
<br /> ;:� gage, �vith the pccess, if any, paid to Borrower. In the event of a partisl taking of the Property, unless Borrower ''
<br /> snd Lender otherwise sgree in writing, there .sliall be applied to tlie sums secured by this Mortgage such propor- � ' A' f
<br /> ; tion of the proceeds as is equal to thatproportion which the nmount of the sums secured by this �fortgage imme- �� ,
<br /> , ' . dia�ly.piior to the date of taking bears td the fuir msrket value of tl�e ProperLy immediately prior to the date of ';.:�
<br /> ;, talong, with the $al'si�ce oPthe proeeeds paid to Borrower. � �
<br /> IE theProperEy is abandoned by , Borrower or if after notice by Lender to Borrower that the condemnor offers f` :� *s.e
<br /> ��`, W n4alce '8n ;rivVard Or settle a claim for d#magea, Borrower fails to respond to Lender within 30 days of the date }'"� ' '�
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<br /> - . of suoh�ao'tice, I;ender is authorised -to collecb and gpply the proceeds at T.ender� option either to reaborntion or
<br /> , � reps�r of'the Property:or to the sums secured:by tliia �Iortguge.
<br /> < � UnlAse Lender and Borrower othenviae agree im �vriting, any such application of proceeds to principul shall
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