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<br />If tinder paragraph i$ hereof the Property is sold or the }'roperty is otherwise acquired by Lender, Lender
<br />shall apply, no later t-ban iannediate[y prior to ih~ sale of the Yralterty ar it;; acquisition by bender, any Funds
<br />held by bender atthe time of application as a credit against. the sums secured by this Mortgage..
<br />3. Plppkeatian of Payments. Unless n»Itlicahlc t!uv provides othervise, nll payments received by Lender
<br />under the Nate and paragraphs I and 2 hereof sha11 he appliExl by Lender first in payment of amounts payable to
<br />Lender by Barrowor under paragraph 2 hereof, then to interest payable on the. Note and on Future Advances, if
<br />any, and then to the principal of the Nate an_ d to the principal of future A<ivanees, if any.
<br />4. >:itarges: Lams. Borrower snail pay ati taxes, assessments and other charges;- fines and impositions attrib-
<br />utab~eto the.Pm#ierty-which may attain a priority over this 3fartgage, and .ground- rents, if any, at bender's
<br />option in the manner provided under paragraph 2 het•eo£ or I;y Borrower making payment, when due, directly to
<br />the payee thereof. 8oarower shall pro*-natty furnish t~ I.sndvr all notices of amaunts duo t:nd~r this paragraph;
<br />and in the event Borrower shall inaice ptiyment directly, Borrower shat! pronaptlp furnish to bender receipts evi-
<br />`;,f3 dancing such payruents. Borrower sltali promptly-discharge any Tien which has priority over this ~Ivrtgage; pm-
<br />£'` vided; that Harrower sltali not by required to discharge any sueh lien so long as Borrower shalt agree in writing to
<br />GtJ the payrrtent of theobligation secured by sueh lien in a manner acceptable tc Lender, or shall in good fait"h contest
<br />U`» such lien by, tirde£t;trd enforcement of such lien in, Legal proceedings which operate to prevent the en#vrcement of
<br />r,~ the lien-or-forfeiture-o£ the Property or any' part thereof. -
<br />:~ 5. 1#azarel dnsucatice: Harrower shall keep the improvements now existing or hereafter erected on the Prop-
<br />arty insured against loss by fire, hasards included within the term `extended coverage", and such other Ita2ards as
<br />t7g Lender mag require and in each amaunts and for such periods ors I;ender mat= require; provided, that Lender shalt
<br />~ not require that the amount of such coverage exceed that amount o£ coverage required to pap the sums sectired'by
<br />this Mortgage.
<br />The insurance carrier providing the insurance shall he chaser. by $orrawer subject to approval by Lender:
<br />provided, that-sueh approval shall not be unreasonably withheld. Ail greminms on insurance policies shall be paid
<br />aL Lender's option in the manner provided under paragraph 2 hereof or by Borrower making payatent, when due,
<br />directly to the insurance carrier.
<br />Ia 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 such sum shall become
<br />immediately flue-and payable with interest at the rate set forth in said note until paid and shaIl be
<br />secured by this A~ortgage. Failure lty Borrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage:
<br />411 insurartee policies and renewals thereof shall be in form acceptable to Fender and shall include a standard
<br />mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and
<br />renewals ihereaf, and Borrower shalt promptly furnish to Lender all renewal notices and all receipts of paid pre-
<br />miums: In the event of loss, Borrower shall give pzompt notice io the insurance carrier and Lender. and Lender
<br />may make proof of loss i£ not made promptly by Borrower.
<br />Unless bander and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration or
<br />repair of the Property damaged; provided such restoration or repair is seononticaily fRasitile nod the security of
<br />this t~+Iartgage is not thereby impaired. If such restoration or repair is not economically feasible ar if the security
<br />of this Mortgage would'be impaireri, the insurance proceeds shall he applied to the sums secured- by Ibis Mortgage,
<br />with-tare excess, if any, paid txtBorrower, I£ the Property is abandoned by Eo_ttawer o: ig Borrower Fails to"'rsspe~
<br />to bender within 3p daps-after notice by Lender to Borrower that the insurance aarrier offers trr settle:a claim frrr
<br />insurance: benefits, Letrdea rs authorized- to collect and apply -the insurance y~raceeds at Lender's option either to
<br />restoration oe repair of the Property or to the sums secured by this _llaitgage.
<br />UnIeas Lender and Borrower otherwise agree in writing, any sash application of proceeds rte principal shed
<br />net extend or p~tpone the due datE of the anontldy instaltments referred to in paragraphs 1 and 2 hereof or change
<br />the ataoant of sueh instsliments.
<br />€f trader paragraph 18 hereo# the Prnpcmty is acquired by Lender, all right, Title -and- interest of $vrrower an
<br />and tv arty irtsuranre policies and in and io fire proceeds thereof tto the extent of trite stuns secured liy this. -Mora-
<br />gage ianmediately prior to such sale or aequisition:I resulting from damage to the Property prior ttt the sale of
<br />acquisition shat peas to Lender.
<br />& Paeservatiaa and Mastteusmee of Property: Leaseholds: Coadcmiaiums. Harrower shalt keep the-Prop-
<br />erty in gaud repair sari shall not permit or commit waste, imosirment, or deteriorstian of the Property and-shall
<br />casmpiy with the provisions of any Iease, if this Zlortgagc is on a leasehold. If ibis Mortgage is yr a eondaminium
<br />unit, Borrower shall perform ail of Borrower's obligations under the declaration of condominium or master deed,
<br />the by-laws and regulations of the condominium praiect and constituent documents.
<br />7. Psotectf9a of Lender`s Security. If $ormwer faits to perform the covenants and agreemen#s contained in
<br />this idloxtgsge, orif arty action or proceeding is commenced which tnateriatty affects Lender's interest in the Prop- -
<br />erty, iaeludsrrg, but not liimited to, eminent domain, insolvency, code en€oreement, or arrangements or proceed
<br />ings involving a bankrupt or decedent, then Lender at bender's option, upon notice to Harrower, may make such
<br />appearances, disburse such sums and take such action as is necessary to protect Lender's interest, including, but.
<br />tacit #imit~f to, :disbt,u~rsement of reasonable attorney's fees and entry upon the Property to make regaiis. Aire
<br />amounts disbursed +'JT Lender pursuant to this paragraph 7, with interest thereon, shall became additional iadeiit-
<br />exti[ess of Borrower secured- by this Mortgage. Elrties-s Borrower and Lender agree to other terms of payment, sueh
<br />amaunts shall he payable upon not`sce from Lender to Borrower request:itg payment therimf, and'shal~ bear inter-
<br />eat from the date of disbursemeit at rho rate stated in the lclote unless payment of interest at such rate.wo» ld"
<br />~ appiicabia Iaw, in which event sueh amounts -shall bear interest at the highest rate permissible by
<br />applicahte law. 1Vothing contained in ibis paragraph "r shall require Lender to incur any expense or $o any act.
<br />hurnler_ -
<br />~. actisn. Lender may make ar cause to be rnadc reasvnabl~ entries upon and inspeetioes of the I?top-
<br />erty; provided'that Lender shall-give 13orrakwer notice prior. Co-any such inspoatioir specifying reasistiabie cause
<br />Lbw#ar re;tat~f to Lender`s interest in the Property.
<br />"-"'s- inae ~ravaeeia ot"-any award or elsim f9r daiirages, direct or eorr~quetatiat, in`aoaneotion
<br />with tiny coadcnrmatiorr eta other taking of the I'ivxperty: or kart th$reo`. oa° far coni-eystiee~-lit Lieu qf' corrdettina~` "
<br />tiott, axe hezeity assigzsed araf shall be paid to Lender.
<br />In trite eventof atotaltakingof the.Property,. the proceeds shall tie a»plisd to the sums secured by fhis lwfort-
<br />gagg; with t~ eitoeba, if-any, paid- to B~ntver. In ttie event of a partial taking of the Property, unless Borrower
<br />ar~d L~1§flt3i' Otherw~e iii-~, there shall be a~iplierl to itte soma secured tw t.his tifartgage such propor-
<br />the ps_'aa tsequal tok#iat prnpartion which ttte amount of the sums s,~cured 1>y this Mortgage imme-
<br />;tiately gsrx`or to-the date of tslt;fg irvars:fd tfi~ fair market valae of the l?ropert.y immediately prior to the date of
<br />tsl, with Lfie 6aianee of tFte pt~eods paiei to Y.orrower.
<br />~' ttse G':~art; ,° itl:;.ndaat~ by $a, pro: ~, or if aft: r notice try I,rtrtder to $ormwer thsttite eondemnor.of#ers
<br />to ~ak~ ap ar, and at seittia a elaiir far dxntxge;,, Burrower fails to respond iv Learder wit.~.in .3t) daVs of the data
<br />m aiinh iiatiae; Lender ie suthoirlsad tenealket:and apple t•he {proceeds"at Lenders option eitiiei• to resto'rstion ar
<br />repsirof fd~ Fi,~ or to theaums seeuiied 6y t#is \Iorigage:
<br />fi3srih~ Zznder end Borrower vthersrisa" wee as writing, any such appYraatian of pzoaeeds to principal shall
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