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<br /> If itnder parugraph 18 hereof the Property is sold or the Property is otfierwise acquired by Lender, Lender
<br /> shull spply, no later than immediately prior to thc salc of thc Property or its acquisition by Leuder, any Funds
<br /> held by Lender ut the time of Application as a credit against thc swns �ecured by this VIortguge.
<br /> 3. Application of Paymeats, TJnless bj>PIICbI)IC la��� provides othenvise, ull pAyments received by Lender
<br /> under the Note and pnragrapfis 1 nnd 2 hereof shflll bc applied I>y J.ender flrst in payment of amounts payable to
<br /> fI,P�dar by B7*rosver txnda� p8i��'3p22 2 liareof, then to iatarest •�syablc cn tlic �ioLc an� on Futurc A:.�v�nces, if �`�
<br /> � any, a�id then to the principal of the Note and to the principnl of I'uture Advances , if any. ,;
<br /> 4. ' Chargea; Liens. Borrower shall pay uli tnxes, assessments and other charges, fines and impositions attrib- ':
<br /> ; � ut$ble to the Property �vhioh may attain n priority over tliis viort�age, and �round rents, if any, at Lender's
<br /> C\2 option; in the mAnner provided under paragraph 2 hereof or by Borrower making payrnent, when due, directly to
<br /> <� CO the payee thereof: Bonower ahall promptly furnish to Lender al ! notices of nmounts due under this paragraph,
<br /> : ! , CO and in the event Borrower shall make payment directly, Borro«•er shall promptly {urnish to Lender receipts evi-
<br /> .. i C�2 dencingauch payments. ,Borrower shall promptly discharge any lien which hxs priority over this A4ortgage ; pro-
<br /> O vided, thatBorrower shall not be required to discharge any such lien so long as Borrower shall agree in writing to
<br /> "'J' the payment of the obligation secured by such lien in a manner acceptable to I.ender, or shnll in good faith contest �
<br /> � such lien by, or defend enforcement of such lien in, legal proceedings �vliich operate to pre�•ent the entorcement of
<br /> � T the lien or forfeiture of the Property or any purt tliereof. '
<br /> � � 5. Hazard lasurance. Borrower shall keep tl�c iiuprovements now existing or l�ereaftcr erected on the Prop-
<br /> ' ". erty insured againat loss by fire, hazards included within the term "extended coverage", and such otlier h$zards as
<br /> � Lender inay require and in such amounts and for such period5 us Lender muy require ; provided, that Lender ehall R
<br /> � not rec;uire f,hat the amoun6 of such coverage exceed that amount of coverage required to pay the eums aecured 'by
<br /> : , this Mortgage.
<br /> - i The insurance carrier providing tlie insurance shall be chosen by Borrower subject to approval by Lender ;
<br /> '. � provided, that such npprovai shall not be unreasonably withheld. Ali premiums on insurance policies shall be paid ` " '
<br /> at Lender's option in the manner provided under paragraph 2 hereot or by Borro�ver making payment, when due, }
<br /> directly to the insurance carriea
<br /> In the event any policy is not renewed on or before ten days of its expiration, Lhe Lender, to prutect '
<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 /> ' ' AI2 insurance policies snd renewals thereof shall be in form �cceptable to Lender nnd shull include a standard ' � '
<br /> �xiortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to Lold the policies and � w;
<br /> renewals thereof, and Borrower shall promptly furnish to Lender all rene�val notices and all receipts of paid pre- ` �
<br /> ; f miums. In the event of loss, Borrower shall give prompt notice to the insurnnce carrier snd Lender, and Lender i ;;
<br /> # may mske proof of loss if not made promptly by Borrower. � Y,
<br /> �' Ualess Lender r►nd Borrower othenvise agree in writing, insurance proceeds shall be applied to restoration or �
<br /> repair of the Property damaged , provided such restoration or repair is econo�nicully feusiUle and the security of , ;;
<br /> this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security , .;:
<br /> � of this A�tortgage would be impaired, the insurance ��roceeds shall I�c npplied to the sums secured by this Mortgage, ��r ='
<br /> with the excess, if any, psid to Borrowec. If the Yroperty is abandoned by Borroa-er or if Borrower fails to respond r ,.'
<br /> � to Lender within 30 days after notibe by Lender to Borrower tliat the insurance carrier offers to settle a claun for � �
<br /> ' insurance benefits, Lender is outhorized to collect and upply the insurance proceeds at L.ender's option either to � = r ; `"'
<br /> restoration or repair of the Property or to tl�e sums secured by tUis �fortgage.
<br /> � Ualess Lender and Borrower otherwise agree in �vriting, any such sspplication of proceeds to principal shsll
<br /> (; not extend or postpone the due date of the monthIy installments referred to in paragraphs 1 nnd 2 hereof or change �
<br /> ` � the smoant of such installments. '
<br /> If tander paragraph 18 hereof the Property is acquired by Lender, sll right, title und interest of Borrower in `
<br /> �� and to any insurance policies and in and to the proceeds tliereof (to the extent of the sums secured by this Mort-
<br /> �: gage i:amediately prior to such sale or acquisition) resulting from damage to the Property prior to the sale or
<br /> aequieition shall psss to Lender.
<br /> ' 6. Preservation �d Mmatea�ce of Property; Leaseholds; Coadomiaiums. Borrower shall keep the Prop-
<br /> ' �, erty in good repair and shall not permit or commit waste, impairment, or deterioration of the Property and s6s11
<br /> :' comply with the provisions of any lease, if this \Iortgage is on a leasehold. If this Mortgage is on a condominium
<br /> r unit, Borrower shall perform all of Borrower's obtigations under the declaration of condominium or master deed,
<br /> ' � the by-Iawa and regulations of the condominium project and constituent documents.
<br /> 7. Protectioa of Lendei s Seeurity. If Borrower fuils to perform the covenants and ugreements contained in
<br /> Ehis blortgage, or if any action or proceeding is commenced �vhich materially affects Lender's interest in the Prop-
<br /> erty, , iacluding, but not limited to, eminent domain, insolvency, code entorcement, or arrangements or proceed-
<br /> inga involving a bankrupt or decedent, then Lender at I.ender's option, Upon notice to Bonower, mny make such
<br /> a ' appearaaces, disburse such sums and take such ssction as is nececsary ta protect Lender's interest, including, but
<br /> � not limited to, disbursement of reasonable attorney's fees and entry upon the Property to make repairs. Any
<br /> smounts diebursed by Lender pursuunt to thie paragraph 7, wit6 interest thereon, shall become additional indebt-
<br /> � ednese of Borrower secured by this Mortgage. Unless Borrower und Lender agree to other terms of payment, such
<br /> amonnts ehall be payable upon notice from Lender to Borrower requesting payment thereof, and ahall 6ear inter-
<br /> est from the date of disbursement at the rate stated in the Note unless payment of interest at such rate would be
<br /> contrarg to applicable law, in which event such amounts shall Uesr interest At the higheat rate permiaeible by
<br /> applicable law. Nothing contained in tl�is paragraph 7 shnll require Lender to incur any expense or do any act
<br /> hereunder.
<br /> " 8. Iaspection. Lender may make or cause to bc madc reaQonablc entries upon and inspections of the Prop-
<br /> erty, pruvided that Lender sl�all give Borrower notice p�tior to nnp such inspection specifying reasonable csuse
<br /> therefor related to Lender's interest in the Pmperty.
<br /> 9. Coadeaiaation. The proceeds of uny award or claim for damages, direct or consequential, in connection
<br /> , ,� with any condemnation or othei taking of the Property , or part thereof, or for conveyance in lieu of condemna-
<br /> ,,. tion, are hereby aseigned and shall be paid to Lender.
<br /> :: In the event of a total taking of the PropeTty, the proceeds sl�a}l De applied to the sums secured by this Mort- ""`" .
<br /> �� � gage, �vith the e�ccees, if any, paid to Borrower. In tlie event of a partiai taking of the Property, unless Borrower "� �
<br /> ` and Lenc3er otherwise agree ,in .writing, tliere sl�all be applied to the sums secured by this �Iortgage such propor- ,.; �' -
<br /> '� Eion of tFie proceeds ea is equal to that proportion which tlie amount of the sums secured by this Mortgage imme- �; ` '`
<br /> � ' ivately prior to the date of #aking bears tS the fair ivarket value of tl�e Property immediately prior to the date ot °�`
<br /> talnng, wifSt`the balanCe of the proceeds paid to Borrower. � `� '`
<br /> I£ f,t'xe�PmgerEydu abaddoned by Borrower or i£ aftec notice by Lender to Borro�ver that the condemnor offers ' '- ` °
<br /> '" to.make =an< awstd"or'.settle s claim for dama g e s, Borrower fails to res pond to Lender wi t hi n 3 0 days o f t he da t e "'""' � ��'
<br /> „ �a of snch,rnot�ce, ' }3eader;is suthorised' to 'collec� snd" ap��ly the proceeds at Lender's option either to restoration or
<br /> regai� o£ the Propeity or to the aums secured by this .11ortgage.
<br /> � .;� Unleda Lender and_ Borrowec' othernise agree ,in writing, any such application of proceeda to principal shal!
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