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<br /> If under parsgraph 18 hereof the Property is salcl or tlie Pronerty is otherwise acquired by I.ender, Lender
<br /> shall apply, no later than immediately prior to thc salc of tl�e Property or its acquisition by Lender, any Funds
<br /> lield by Lender at the time of upplication as n credit ngninst tlie su�ns secured by this Vlortgage.
<br /> 3. Application o! Payments. Unless npplicnblc la��� provides otherwisc, a11 payment,� received by Lender
<br /> under the Note and paragraplis 1 and 2 hereof shall bc npplied by 1,ender first in ��ayment of amounts payable to
<br /> Lender by Borrower under paragraph 2 I�ereof, tLen to interest payablc on thc Note and on Futurc Advunces, if
<br /> any, and then to the principal of the Nnte an�l to the lirincipnl of Futu:e tldvnnccs, if any. '
<br /> ; 4. Ch�ges; Liens. Borrower shall pay all taxes, assessments nnd other charges, fines and impositions attrib-
<br /> � utpble to the Property which may t►ttain a priority over tihis rlortgage, und ground rents, if any, at Lender's
<br /> ; � option in the manner provided under paragraph 2 hereot or by� Borrower mnking pttyment, when due, directly to
<br /> � C\2 the payee thereof. Borrower ' shalt prompEly furnisli to 7.ender all notices of amoimts due under this paragraph,
<br /> � and in the event Borrower shall make payment directly, Borro�r-cr shall promptly furnish to Lender receipts evi-
<br /> � C\2 dencing such paymente. Borrower shall promptly discharge any ]ien which has priority over this il4ortgage ; pro-
<br /> ,' O vided, that Borrower shall not be required to discharge any such lien so long as Borrower shall a�ree in writing to '
<br /> " � � the payment of the obligation secured by such lien in n manner acceptnble to Lender, or shsll in gaod faith contest
<br /> such liea by, or defend enforcement of sucl� lien in, legal ��roceedings which operate to prevent the entorcement of
<br /> � the lien or forfeiture of the Property or any part tlicreof. :
<br /> 5. Hazard 7nsuraace. Borrower shu21 keep tl�c improvements no�v existing or hereafter ereeted on the Prop-
<br /> erty insured against loss by fire, hazards included within the term "extended coverage", ssnd such other hazards as
<br /> Lender may require and in such amounts and for such periods as Lender may requite : provided, that Lender ahe11
<br /> not require that the amount of such coverage exceed thnt amount of coverage required to pay the sums secured 'by
<br /> ihis Mortgsge.
<br /> The insurance cnrrier providing the insurance shall be chosen by Borrowcr suhject to approval by Lender,
<br /> provided, that such approval shall not be unreasonably withheld . �ll premiums on insurance policies shall be paid
<br /> st Lender's option in the manner provided under paragrnpli 2 hereof or by Borrower making payment, when due,
<br /> directly to the insurance carrien
<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 auch sum shall become
<br /> inunediately 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 Bonower to comply may, at option of Lender, constitute a default �
<br /> under the terms of thie Mortgage. s
<br /> All insurance policies and renewals t6ereof shall be in fonn acceptable to 7,ender and shall include a standard
<br /> �nortgage clause in fsvor of and in form acceptsble to Lender. Lender yhall 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 /> miuma. In the event of loss, Borrower sl�all give prompt notice to the insurnnce carrier and Lender, and Lender
<br /> may make proof of loss if not made promptly by Borrower.
<br /> + Unless Lender and Borrower othenvise agree in writing, insurunce proceeds shall be applied to restoration or
<br /> `' repair of the Property damaged, provided such restoration or repair is economicnlly feasible and the security of ,
<br /> ' thie rlortgage ia not thereby impaired. If such restoration or repair is not economically feasible or if the security `
<br /> � of thie Mortgage would be impaired, tlie insurance proceeds sliall E�c npplied to the suins secured by this Mortgage, �
<br /> i with the exceas, if any, paid to Borrower. If the Property is abandoned by Borrower or if Borrower fails to respond
<br /> ' to Lender within 30 days after notice by Lender to Borrower ttiat the insurA.nce carrier offers to settle a claim for
<br /> : insurance benefits, Lender is suthorized 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 this �iortgage. '
<br /> �; Unleas Lender and Borrower otherwise agree in �vriting, any such appIicntion of proceeds to principal shall ;�
<br /> not extend or postpone the due date of the monthly instal6nents referred to in paragraphs 1 and 2 hereof or change
<br /> the amount of such installments.
<br /> , �' If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in
<br /> Z and to any insurance policies und in and to the proceeds thereof ( to the extent of the suma secured by this Mort-
<br /> �f gage immediately prior to such sale or acquisition) resulting from damage to the Property prior to the sale or
<br /> ;. acquieition shall pass to Lender_
<br /> --i 6. Preaervation mad Mmntea�ce of Property; Leaseholds; Condominiums. Borrower shall keep the Prop-
<br /> �; erty in good repair and ahall not permit or commit waste, impAirment, or deterioration of the Property and shsll
<br /> � comply with the provisions of uny lease, if this \Iortgage is on a leasehold. If tl�is Mortyage is on a condomininm
<br /> i unit, Borrower shall perform all of Borrower's obligations under the declaration of condominium or master deed,
<br /> � the by-laws and regulations of the condominium project und constituent documents.
<br /> 7. Protectioa of I.eadei s Security. If Borrower fuils to perform the covenunts and agreements contained in
<br /> � this Mortgage, or if any action or proceeding is commenced �vhich materiully uffects Lender's interest in the Prop-
<br /> � erty, including, but not limited to, eminent domain, insol�•ency, codc enfarcement, or arrangements or proceed-
<br /> inge invoIving a bankrupt or decedent, then Lender at I_ender's option, upon notice to Borrower, may make such
<br /> appearances, disburse suct� sums and take sucli uction as is necessary to protect Lender's interest, including, but
<br /> not limited to, disbursement of reasonable attorney's [ees and entry upon the Property to make repaire. Aay
<br /> smounts diebursed by Lender pursuant to this paragrupl� 7, �vith interest thereon, shatl Uecome additional indebt-
<br /> edness of Borrower secured by this vlortgage. Unless Borrower and 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 payment of interest at such Tate would be
<br /> contrary to applicable law, in which event such amounts shall bear interest at the highest rate permisaible by
<br /> applicable law. Nothing contained in this paragrapli ? shnil require Lender to incur uny expense or do any act
<br /> hereunder_
<br /> 8- Iaspeefion. Lender may make or esuse to he inadc reasonablc entries upon and inspectione of the Prop-
<br /> � � erty, provided that Lender sl�sll give Borroa�er notice ��rior to nny such inspection s�,ecifyin� reseonnble cause
<br /> � therefor related to Lender's interest in the Property.
<br /> "p 9. Comdemuatioa. The proeeeds of uny nward ' or claim for damages, direct or consequential , in connection
<br /> with any condemnation or other taking of the Property, a• part thereof, or for conveyance in lieu of condemna- ��
<br /> tion, are hereby assigned and shall be paid to Lender. " �*y ;
<br /> In the event of s total taking of the Property, the pmceeds sl�all l�e applied to the sums secured by this Mort- * �
<br /> gage, witfi the excess, if any, paid to Boao�ver. In the event of a partial taking of the Property, unlesa Borrower ' � i
<br /> and Lender otherwise agree in writing, there sliall be applied to tlie aums secured by this D4ortgage such propor- I ' ""
<br /> > :
<br /> tion of the pmceeds' as is equsl to that proportion which tl�e amount of the .sums secured by this Mortgage imme- -+ �.; ':
<br /> diately prior to the date of,taking bears tothe isir �narket value of the Pro ert immediatel �, ^'
<br /> p y y prior to the date of
<br /> talong, anththe balapce of'the proceeds paid . to Borrower. � ;
<br /> ti If tfie;Prn rt � _„«
<br /> pe y;9s,abandoned by BorrocRer or if after notice by Lender to Borrower that the conderonor offers �;.t �;�;�
<br /> . � to make aa award or settle 'u claim' for'damsgea, Borrower fails to respond to Lender within 30 dsys of the dste " �
<br /> _) of:eueh' naEice, L'ende:r is authar9zed to eollect and ap�iiy tlie proceeds at Lender's option either to restoration or
<br /> Y� repsir,of the Property or to the aume aecured`by this \Iortgage.
<br /> • Unless Lender and Borrower othertv5ae' agree in �vriting, any suoh applicstion of proceeda to principal ahall
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