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<br /> If uader paragraph 18 hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br /> shall �pply, no later than immediately prior to the salc of t6e Property or its acquisition by Lender, any Funds
<br /> held by Lender at the time of app]ication as a credit agsinst the sum5 secured by this :bIortgagc.
<br /> 3. Applicatioa 'of Payments. Unless np�ilicablc In�e provides otherwise, all payinents received by Lender �`
<br /> : under yhe Note and paragraphs 1 and 2 hereof shnll 1>c upplied by Lendcr first in payment of amounts payable to "
<br /> i Lender by Bortower under paragrapl� 2 I�ereof, then to interest pay�.ble on the Note and on. Future Advances, if fA
<br /> ,, � any, snd then to the Principal of the Note and to the principal of Future Advances, if any. � ' � Y�
<br /> Q 4. Ch�ges; Liens. Borrower sliall pay all tnxes, ussessments and other charges, fines and impositiona attrib- �
<br /> �.j utable to the Property which may nttain a priority over this �7ortgage, and ground rents, if uny, at Lender's ,,
<br /> ��. option in tt►e manner provided under ��aregraph 2 hereof or by Borrower making pnyment, when due, directly to
<br /> � � the payee thereof. Bonower shalt promptly furnish to Lender all notices of amounts due under this para ra h �
<br /> g P , ;,
<br /> ? � and in the event Borrower shall make payment directly, Borro«•er shall promptly furnish to Lender receipts evi- '
<br /> ' � denaing sucli payments. Borrower shall promntly discharge any lien which has priority over this \4ort�age ; pro- n
<br /> ' � vided, that Borrower shaD not be required to discliarge any sucl� lien so long as Borrower shall agree in writing to ' "
<br /> j f the prsyment of the obligation secured by such lien in a manner acceptnble to Lender, or shall in good faith conteat
<br /> ; � auch lien by, or defend enforcement of such lien in, legnl t�roceedings �vhich operate to prevent the enforcement of `
<br /> ; the lien or forfeiture of the Property or uny part thereof. '
<br /> ' - S. Hazard Insur�ee. Borrow•er shall keep the im�rovements no«• existing or hereatter erected on the Prop- F t;
<br /> � erty insused against loss by fire, hszards included wiLhin the ferm "extended coverage", snd such other hazards ss
<br /> ` }s Lender may require and in such amounts and for sucl� periods as Lender may require ; provided, that Lender shall "
<br /> not require that the amount of such coverage exceed thnt amount of coverage required to pay the sums secured 'by
<br /> + this Mortgage. `
<br /> ' I The insurance carrier providing tlie insurance shall Ue chosen by Borro�ver subject to upproval by Lender ; ,: �
<br /> ; j provided, that such approval shall not be unreasonably withl�eld. All premiums on insurance policies shall be paid
<br /> '; i at Lender's option in the manner provided under parugrapli 2 hereof or by Borrower making payment, when due, '.
<br /> ? direetly 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 ' n
<br /> . }. . i, � � t F.,
<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 /> 'i 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 sliall be in tonn acceptuUle to I.ender And shall include a standard .
<br /> tnortgage clause in favor of and in form acceptable to Lendec Lender shall hsve the right to hald the policies and � �' *��
<br /> `i renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid pre- ^ s a}
<br /> i miums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lender � t �,
<br /> , ; may make proof of ]oss if not made promptly by Borrow•er. °,' ' ,r;
<br /> � Unless Lender and Borrower othenvise agree in �vriting, insw•ance proceeds shall be spplied to restoration or f '` ��`:�'
<br /> ! repair of the Property damaged , pravided such restoration or repair is economically feasible and the security of ' '�'
<br /> � this Mortgage is not thereby impaired. If such restoration or repsir is not economically feasible or if the security = + - "��4
<br /> of this NIortgage would be impaired, the insurance proceeds shnll be applied to the sums secured by this Mortgage, 7 ' 1 a
<br /> with the excess, if any, paid to Borrower. If the Yroperty is abandoned by Borrower or if Borrower fails to respond K `Y. `��.�
<br /> • � to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settle a claim for ' , 7 � 5'; ��,,,;":
<br /> ineurance 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 Uy this \Iortgage. �
<br /> Unlesa Lender and Borrower othenvise agree in writing, any such upplication of proceeds to principal shall w
<br /> not extend or postpone the due date of the �nonthly installments referred to in paragraphs 1 und 2 hereof or change
<br /> _ � Ehe amount of such installments. •
<br /> If under parsgraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in �
<br /> + � and to any insurance policies and in and to the proceeds tl�ereof (to the extent of tl�e sums secured by this Mort- �
<br /> gage immediately prior to such sale or acquisition ) resulting from datnage to the Property prior to the sale or =
<br /> acquisition shall pass to Lender. 3 � " ' `
<br /> 6. Preservation �d Mmaten�ce of Pzoperty; Leeseholds; Coadominiums. Borra�ver shull keep the Prop-
<br /> � erty in good repair and shall not permit or commit waste, impnirment, or deterioration of the Property and ahall
<br /> comply with the provisions of any lease, if this \Iortgage is on u leasehold. If this viortgage is on s condominium '`
<br /> uait, Borrower shall perform all of Borrower's oUligations under the declaration of condominium or master deed,
<br /> the by-laws and regulations of the condominium project and constituent documents.
<br /> 7. Protectioa of Lendei s Security. If Borrower fails to perform the covenants �nd agreements contained in
<br /> this Mortgage, or if any action or proceeding is commenced �vhich materially affects Lender's interest in the Prop-
<br /> erty, including, but not limited to, eminent domnin, insoh•ency, code enforcement, or anangements or proceed-
<br /> inga involving a bankrupt or decedent, then Lender at I,ender's option , upon notice to Borrower, may make auch
<br /> appearances, disburse sucli sums and take sucl� action as is necessary to protect Lender's interest, including, but
<br /> k' not limited to, disbursement of resaonable attorney 's tees and entry upon the Property to make repairs. Any • '
<br /> amounts diabursed by Lender pursuant to this pnragrapli 7, with interest thereon, sha❑ become additional indebtc , ; `
<br /> ednesa of Borrower secured by this �fortgage. Unless Borrower and Lender agree to other terms of payment, such
<br /> amounts shall be payabie upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br /> est fmm the date of disbursement at the rate stated in the A'ote unless payment of intemst at such rate would be
<br /> contrary to applicable law, in which event such amounts shal! bear interest at the highest rate permissible by "
<br /> applicabie law. Nothing contained in this paragraph 7 shnll reryuire Lender to incur any expense or do any act
<br /> hezeunden
<br /> ' 8. Inspsetion. Lender �nay inake or cause to hc �nadc renconnblc cntries upon and inspections of the Prop-
<br /> � erty, provided that Leader shall give Borroa•er noticc ��rior to nny �uch inspection specifying reasonable cause < <'.'-
<br /> therefor related to Lender's interest in the Property.
<br /> ` 9. Coademnation. The proceeds of any award or claim for damages, direct or consequentisl, in connection
<br /> with any: condemnation or other talcing of the Property, or part tl�ereof, or for conveyance in lieu of condemna- r�,;.
<br /> „ tion, ere hereby asaigned and shall be paid to Lender. �---;;, � i ,;{
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<br /> In the event of s totsl taking of the Property, the proceeds sl�sll lre npplied to the sums secured by this Mort- �
<br /> gage, �vith the excess, if any, paid to Borroryer_ In the event of a partisl taking of the Property, unless Borrower � � {�� '-v^
<br /> and Lender otherwiae agree in writing, there sl�all be app}ied to #!ie aums secured by this 1blortgage such propor- fr
<br /> w
<br /> tion of the-proceeds ss is equsl to that proportion which the amount of the sums secured by this Mortgage imme- �" '
<br /> diately .prior to tfie date oi taking bears to tl�e fair market value of tlie Property immediately prior to the date of � ��,,
<br /> tainng, wi�b`t„he balarice of'the proceeda paid; to Borrower. '�r.
<br /> If tke;:l?tope�jvr`ig �abandoned by'Borrower. or if after notice by Lender to Borrower that the condemnor offers •.,.:..�+ * :a�+•'
<br /> to make,aii award or seLtle a claim for damages, Borrower fails io respond to Lendcr �rithin 30 days of the date
<br /> ',� of?�uch" notice,` Lender, is authorized'to collect.and a{mly the.:proceeds at Lender's option eitl�er to restoration or
<br /> ;� repear of the Property or to the'suins secured by:this \iortgage.
<br /> "j UriIe3sLender' and. BorroweroLherwise:agree, in -zvritiag, any such application of proceeds to principal shall
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