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<br /> �'�-- 10'78'73 �
<br /> s7. Condemnation. 'ihe procad,g of any award c,r ciaim ios damages.diiut or rnnceq�entisd,in rnnnxtion with a�s�y
<br />� condemnation or other taking of any part of the Property,or for conveysnce in plax of coodemnation,an hereby agsigned _
<br /> and shall be paid to Lender to the extent of the full amount of the indebtodness that nar�ains unpaid unda the Nou anJ this
<br /> � Security Instrument Lender shall apgly sach procteds ro d�e reduction of the indebtedness under the Note and this Sxyuity •
<br /> Instrument, fust ta any ddinquent amounts appiied in ttx orckr providod in Pazag�h 3. and then top�pa ymrnt of
<br /> � principal. An� application of the proceeds to the prinzipat shall not ezi�d a pos�One t!� due date of the monthly
<br /> payrnents, wh�ch are nferred to in Paragraph 2. or change tbe amoant of suelj paymrnts, qny tz 4�p�s over an
<br /> amount requiral to pay all outstanding indebtedness under the Note shall be paid�o t6e entity kgally d�' thaeto.
<br /> 8. Fees. L.ender may collect fxs and charges authorized by the Secretny. -
<br /> , 9. Grounds for Aocekration of Deb� .
<br /> ia)Default I.ender may,except as limited by regnlations i.csued by the Secr�tary in the case of payment defaults, .
<br /> require immediafe payment in full of atl sums secured by this Security lnstrvment�t: •
<br /> (i)Borrower defauits by failing to pay in full aey montlilY paymm�raNit�d by dus Secvrity Instrument prior-„
<br /> to or on tbe dne date of the nezt monthly payrt�ecit,or
<br /> . (ii)Borrower dtfaults by failing.for a period of thirty days,to petf'orm any other obligations contained in this
<br /> Secunty InstntmenL
<br /> (b)�ale Without Credit ApFrovaL Leeider shall.if pesmitted byapplicable law and�+ith the prior approval of the '
<br /> Secretary,require imirxdiate payment in full of all the sums secunc!by this Secvrity Innrument if:
<br /> (i) All or part of the Property.or a bcneficial inoerest in a�st oaming all or part of the Property,is soW or
<br /> otherwise transferrtd(otha than by devise or descent)by ttx Bo:rower,and
<br /> (ii)The Property is not occupied by the punchaser or grantx as his or ha principal residence,or the purchaser
<br /> or grantee does so occupy the Property but his or her credit ha4 not bcen approved in acx;or�ance
<br /> with the requirements of the Secrctary
<br /> ��)�o Walver. If circumstances occur that would permit Lendtr to rsqnire immaiiate payment in full,but Lx�der
<br /> does not require such payments,I.ender dces not wacve us rights with respxt to subsequent events.
<br /> (d)Regulations of HUD Secretary. In many cinvm,stano�regutations issued by the Secretary will limit I.ender's
<br /> rights, �n the case of payment defaults, to roquire immediate payrnent in full and foreclose if not paid: 'Il�is
<br /> Security Inswment does not suthorize acceleration oc fureclasure if not pertnitud by rcgulations of the Sa�netary.
<br /> (e)Mortgage Noi Insured. Borrower agr�e.s that st.ould this Security Inswment and the note secured�hereby not
<br /> be eligible for insuran�e under the National Housing Act within 8 months from the
<br /> date hereof,Lcnder may,at its opfion and notwithstanding anything in 1'aragraph 9.requiro immediate payment in
<br /> full of all sums secured by this Sec�rity Instrumen� A written statement of any authorized agent of the Secrctary
<br /> ilated subseqaent to 8 rrionths from the date hereof,declining to insure this Security
<br /> Instrument and the note secured thereby,shall be dcemed rnnclusive proof of such ineligibility. Notwithstanding
<br /> the foregoing, this option ma,y not be ezercised by I.ender when the unavailability of insurance is sofely due to
<br /> Lender s failure ro remit a mortgage insurance premium to the Secrctary.
<br /> 10. Reinstatemen� Borrower has a right to be reinstated if L.ender has requircd immediate payment in rall because of
<br /> Borrower's failure to pay an amount due under the Note or this Security Instrument 'Ihis rEght applies even after foreclosure
<br /> proc�eedings are instituted. To reinstate the Security Inswment,Borrower shalt tender in u lump sum a!1 amountt required;o
<br /> bring Borrower s account current including, to the extent they are obligations of Borrowa under this Security Inswment,
<br /> foreciosure costs and masonable and customary attomeys' fe�s and expen.ces properly associated with the foreclosure
<br /> proceeding. Upon reinstatement by Borrower, this Security Inshvment and the c+bligations that it secures shall remain in
<br /> effect as if L.ender had not required immediate payment in full. However,Lender is not required to permit reinstatement if:
<br /> (i) Lender has sccepted reinstatement after the rnmmencemeat of foreclosuro proccedings within two years immediately
<br /> preceding the commencement of a curreRt foreclosuro proceaiing, (ii) reinstatement will preclude forcclosure on diff^rcnt
<br /> grounds in the future,or(iii)t�instatement will adversely affect the priarity of the lien_reattd by this Security 1nsWment
<br /> ll. Borrosrer Not Released; Forbearance by I,ensler �Iot a Walver. Ext�nsion of the time of payment or
<br /> modification of amortization of the sums secured by this Securiry Instrument grantai by Lender to any sucassor m interest
<br /> of Borrower shall not operate to release the liability of�he original Borrower or Bomower's svccessor in interest I.eoder
<br /> shall not be required to commence proceedings against any successor in interest or refuse to eztend �me for payment or
<br /> otherwisr, modify amortization of the sums securecf by this Security Iastrument by ceason of any demand made by the
<br /> origina� Borrowec or Barrower's successors in inttres� Any forbcazance by Lender in ezerc;�u�g any right or remedy shall
<br /> not be a waiver of or preclude the exercise of any right or remedy.
<br /> 12. Successors and Ass3gns Bound;Joint�d Several Liabllity;Co-Signers. '1'he rnvenan`c and agn�emenL4 of this
<br /> Security Instrvment shall bind and benefit the successors and assigns of L.ender and Bomower,sabject to the provisions of
<br /> Paragraph 9(b). Borrower s covenants and agreements shall be joint and several. �,1ny Borrower who co-signs this Security
<br /> Instrument b�t dces not ezecutc the Note: (a)is co-signing this Security Instrument onlv to mortgage,grant and convey that
<br /> Borrower s interest in the Property under the tem�s of this Socurity Instcument;(b)'r.;not p�rsonally obligated ro pay the sums
<br /> secu:ed by this Security Instnimenr,and(c)agrees that L.ender snd any other Borrower�►ay agr�to eztend,modify,forbear
<br /> or make any accommocIations with regard to the tG�ms o:this Securety Inswment or the NOte withou► t�at Borrower s
<br /> consenG
<br /> 13. Notices. Any notice to Bnrrower provided for in this Securit;r Instrument shall be given by deGvering it or by
<br /> mailing it by first class mail ur.tess applicable law requi�s use of another method. The notice shail be directed to the
<br /> Property Address or any othcr address Borrower designates by notice to I.ender. Any natice to Lender shall be given by first
<br /> class mail to Lender s address stated herein or any address I.enda designetes by nodce to Borrower. Any nopce provided
<br /> for in this Securiry Inswment shall be deemed to have been gi�en w Borrowrr or L.endtr wheo given as provided in this
<br /> paragrap h.
<br /> • 14. Govern(ng Law; Severability. 'I7iis Security Instrument shall be governed b�+ Federal law and the faw of the
<br /> jurisdiction in which the Property is located. In the event that any provision or clause of th�s Security Instrument or the Note
<br /> conflicts with applicable taw,such conflict shall not afFect other provisions of this Security Inswment or the Note which can
<br /> be given effect without the conflicting provision. To this end the provisions of this Security Insuument and the Note are
<br /> dxlared ta be severable.
<br /> 15. Borrower's Copy. Borrower shall be given one conforn�ed copy of this Security Instrument.
<br /> ' 16. Assignmerit o[Rents. Bo�rower unconditionally assigns and transfers to L.ender all the rents and rtvenues of the
<br /> Property. Borrowcr authorizes L.ender or L.cnder's agents to coltcct tt�e rents and revenues and hereby directs each tenant of
<br /> the Property to pay the rents to Lender or Lender s agenu. However,prior to I.ender's notice to Borrower of Borrower's -
<br /> breach of any covenant or agrermcnt in the Security Instrument,Bocrower shall collect and raxive all renta and revenues of
<br /> the Property as uvstee for the txncfit of Lender and Borrower. This assignment of nnts constitutes an�bsolute assignment
<br /> and not an assignment for addidonal security only.
<br /> If L.ender giv�s notice of breach to Borrower. (a)all rents ra�eived by Borrower shall be held by Bomower as trustce
<br /> for benefit of I.er.der only, to be applied to the sums socured by thc gecurity Inswment• (b) Lender shall be entitled to
<br /> collect and receive all of the rcnts.,f the Property;and(c)each tenant of the Property sha11 pay all nnts due a�d unpaid to
<br /> L.ender or L,endei's ageni on T.ender's written demand to the tenant
<br /> Bormwer has not ezecuted any prior assignment of the rents and has nat and will not perforrn any act that woulci
<br /> prevent L.ender from exercising its rights u�der ihis Paragraph 16.
<br /> Lender shall not be requircd to enter upon, take control of or mainmin the Property before or aRer giving notice of
<br /> breach to Borrower. However, Lender or a judicially a�pointed receiver may do so at any time there is a breuch. Any �
<br /> application of mnts shall not cure ar waive any defautt ar mvalidate any other right or remcdy of L.ender. This assignment of
<br /> rents of thc Prn�erty shall terminate when the debt secured by the Security Instrument is paid in full.
<br /> (Pnge 3 of I pagrsl � -
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