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<br />if under paragraph 18 hereof the Prolrerty is saki or the Property is otherwise aoquired by fender, Lender
<br />shall apply, no later than immediately prior to the sale of the Property or its acquisition t>y T.ender, :boy funds
<br />held by Lender at the time of application as a credit against the sums secured he this Nlartgage.
<br />3. Applieatioa of Poymeais, Unless appliesble lan• provides otherwise, all payments received by Lender
<br />under the Vote and paragraphs 1 and 2 hereof shall be applied by Lender first in t>sysnent of amounts payable to
<br />Lender kry Harrower under paragraph Z hereof, the;a to interest pa.yah}c on the ;\ate and on Future Advances; if
<br />any, and then to the principal o$ the 7?ote and to-the principal of Future Advances, if any.
<br />~. t~x~ges: Liens._. Barzawer shalt pay all taxes, assessments and other charges, fitter and impositiaiis attrib-
<br />u~abis to the Prop$rty which m&y;attain a Irriority arse this.Mortgage;-sad ground- rents„ if any: at Lender<
<br />~. option in the manner presided under parsgr~ph 2 hereof or bti Borrower snaking payment, when due, directly to -
<br />,{~., the payee thereof. Horrower shall'pmmptly furnish is Lender alI notices of amounts due under this paragraph,
<br />~ and is the evetat Horrower-shall-make payment diteetky, Hormwer-shall promptly furr:ish to I,e$ader rsesipts evi-
<br />~ dsneing sash pay_*nen#s. Borrower sliakl protnptly discharge any Lien which has priority aver th'ss ~3ortgaga, pra-
<br />~ vided, that Borrower shall not he required to discharge any rooks lien so .long as Borrower shad agree Sn writing to
<br />~ the payment of the obligation secured by such lien in at manner secepfalrie to Lender, or shall in goad faith contest:
<br />such lien Izy, or defend enfore~metat of such lien in, legal proec~zdsngs rc-kaieh operate io prevent the en€oreeirasat of
<br />~ the lien or for#eiture of the Property or any part ttaereaf.
<br />~ 5, Hazaad Iasurmae®. Borrower shall keep the improiements now existing or hereafter erected an the Prop.-
<br />erty insured against loss by fire, hazards included within the term "extended coverage", and-such other Yaazards as
<br />Lender may require and in such amounts and for such periods as Lender may regtaire; provided,. that Lender sltiati
<br />oat requite that the amount of such coverage exceed that amount of coverage required to pay the sums secured'by
<br />this Mortgage.
<br />The insurance carrier providing the insurance shall Ire chosen ba Borrower subject to appmvak by Lender,
<br />provided, that such approval shall not-be unreasonably withheld. All premiums on insurance policies shall be paid
<br />at Lender's option in the manner prnvided under paragraph 2 hereof or by Borrower makvag payment, when due,
<br />directly to the insurance carrier.
<br />3n the event any policy is not renewed on or before ten days of its expiration,-the Leader, to protect
<br />its interest, may procure insurance oa the improvements, pay the premiums and- such sum shall became
<br />immediately doe and payable with interest at ttae rate set forth in said Hate until paid and shall be
<br />secured bs this Mortgage. Failure by Borrower to comply may, at option of Lender, coastitnte a de#ault
<br />urtder the terrtas of tnis 4lortgage. ~,
<br />Alt insarance policies and renEwais tlaerecif shalt be in form acceptakaie to Lender and shall include a standstd
<br />mortgage clause in favor of sad in farm acceptable to Lender. Lender shall have the right to paid .the policies and
<br />renewal€ thereof, sad Borrower shall pmtnptly furnish to Lender ail renewal notices and ail receipts of paid pre-
<br />miums. In the event of loss, Harrower shall give prompt notice to the insurance carrier and Lender, and Lendee
<br />easy make proof of toss it' not made promptly by Borrower.
<br />Unless Lender and Harrower otherwise agree in writing, insurance ?rraceeds shall be applied to restaratioa of
<br />repair of the Property damaged; prodded-such restoration or repair is econanicaliv feasible and the security of
<br />this iifortgage is oattlrereby impaired. If surh restoration or repair is oat eranarnically feasible or if the security
<br />ei this ~iortgsge would be impaired, the insurance proceeds shall be applied to the sums secured by this 2+3ortgsge~
<br />wit,k the excess, if any, pain w Borrower. Y# the Property is abandoned by Borrower or if Borrower fails to i~poad
<br />ta, i~ ,tarwi~in ?Q days after na+; ¢ by Lender to R~rr;,Q-Qr rt.at rh¢ ;n=uranaA Varier o~rers to rattle a mina :ut
<br />sna.ttrance ~nefits, Lender is authorized to colleVt and apply the insurance pracew~s at Lender`s option either to
<br />rsration or repair of the Property or to the sums secured by tlsis lortgage.
<br />Unless Lender and $ormwer otherwise agree in writing, any such application of proceeds to principal shall
<br />oat extend or postpone the due date of the monthly instaltmen%s referred to in paragraphs 1 and 2 hereof or change
<br />t~ amount of such installments.
<br />If under paragraph ZS hereof the Property is acquired by Lender, atI right, title and interest of Hntrovrer in
<br />and is any insurance pviicies and in and to the pre!seeds thereof jto the extent of fire sums secured by this 11Sort-
<br />gage immediately prior to such sale ar acquisitianj resulting from damage to the Pmgerty prior to-the saIs or
<br />acquisition shah pass to bender.
<br />6~ Pseasrsatioa clad hi~afsrcaaee of Property: Lease§olds: Caadomiaiuau, Harrower shall keep the Prop-
<br />erty in goad repair and shall not permit or commit waste, impairment, ar deierioratian of the Property and shat!
<br />comply with the provisions of any lease, if this 1-iortgage is on a ieasahold. If this Mortgage is on a eondaminium
<br />unit, Borrower shall perform sIk of Horrawer's obligations under the declaration of candaruinium ar niaster deed,
<br />ihs by-laws and regulations of-the candaminiuna project and constituent documents.
<br />^.. Protection of Leader's Security. I# Horrower fails to perform the covenants and sgreements contained in
<br />this •iortgage, cir if asp action or proVeeding is commenced which materially affects Lender's interest in the Prop-
<br />. erty, including; -but -not limited to, eminent domain, insole-ency, cod? enforcement, or arrangements or graeeed-
<br />ings involving a bankrupt ar deeedeat, then Lender at Lender's option, upon notiVS to Horroiver, may make such-
<br />appearanees, disburse such sums and take such action as is necessary #o protect Lender`s interest, including, but
<br />oat limited- to, disbursemesrat of reasonable attorney's fees and' entry upon the Property to rooks repairs. Any
<br />amounts disbursed by Leader pursuant to tnis paragraph 7, with interest thereon, shall. become additions} indebt-
<br />mess of 13arriawer secured by this lfortgage. Unless Horrower and Lender agree to other terms of payment, such
<br />amounts-shat! be payshls upon notice from Lender to Horrower requesting payment thereof, sad shall ,hear int;a•-
<br />eart from the date of disbursement at the rate stated in the Note unless papnaerit of interest at such rate would- be
<br />gnatrary to applicabio law, in which event such amounts shall bear interest at the highest sate permi~fble by
<br />applicable.law, hTothing contained in dais paragraph 7 shalt reduire Lender to inc+a*-any expense or da any. act.
<br />hereo_ nd_er.
<br />°de °° tit .:tra ~,,.i ~ rt tba pro _
<br />$.-3nisq»ctiOCf, !.ender rosy inaice ar cuu_~ to ie ... ..s ::pan.....,. inrp,,.,. ~, .,. ~,
<br />-- epty,_r:rr~vidcui that ~nde3 slmli give I#.arrower notice i?rioaf to env suers inspection specifying`reasonnhls eaLt~
<br />iisersfar related to Lender's iats_*ast is tlae Property:
<br />9, C~a°x~a ~'hs prooneds e# gay award ar claim-for damages, dirset ar canaequelitisl, in conaeistitfn f
<br />frith s.ny eonde~ttticuz or other takitsg of the ~mpsrt3~~ ar }rart thsreaf, or #©r ixinvsyaucstn-.lsey of e®imtemna-
<br />t:cm, are hereby aaaigas~l cud shall'ere;Pard to l:etider.
<br />I^. t_he event-a#w iii ta~..,n- g of the Pro;~::~ , t:ss.p;~rreds si:r.Il lre ispplisd to the sums °Qeeur~ by this ;~ic>rt-
<br />gage, ~~ith the sxESas; if any, paid to Borrower. n tl~e e4-ent. of s Iiartisl taking. of the Property, uttle~ ~ortower '
<br />end Lauder ot#ieax*iss $gree in writinr„ There slrrstl be aplrtied to the some seinrred by tiliis Aortgage suc}i-prapor>
<br />bore of the proceedk as is egos; fe that proportion which the snaount of the Bums secured by this iviortgage iansme-
<br />distoly-prior to the date of taking beam to the fair market value of the Property immediately: }rrior to tl~ date of
<br />Wig, vritlatlte balane: of the proceeds.,, aid Ler Horrewer.
<br />L ?he Property is abandoned by Bormuer or if rate; notice t;;• Lender to &orran•er that tlieaondemnot` a$ers
<br />tarnake;;ii a~•ard or settle a ataim for damages, Borrower fails to rFSrrdasd ~to L`entler wiiahiu 3ildays of-the date
<br />of such saatice. Leader is authorised to collect rind alipiy th~• p[viceeds.aL Tender's aptiirn Cititsrto restoration ar
<br />repair' of the Prapertti:-ortn the sums secured bm ti;is llorigage.
<br />Unless Lender and Borrower othsrcvigc >Zgree in writiug; any such application of prbeeeds to principal shall
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