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If under lsaragraph 38 hereof the Property is sold or rite Proprrey is otherwise acquired by Lender, bender
<br />shall apply, no later #ftan immediately prig to the sate of rho Propert.v or its acquisition by Lender, any Funds
<br />held by Lender at. the time of application as .t credit again.5t the sums secure<t by this 44Iox'tgage.
<br />~, Application of Payments Unless applicable lacy provides other wise, all psytnents received b,Y Lender
<br />under the Note and paragraphs :and 2 hereof shall he a[xplieci I}y T,cndcr first in payment of amounts payable to
<br />Lender by Borrower under paragr,gp}t 2 hcretif;-thezt to interest. payable on }.he Nate and sax Future Advances, if
<br />any-, and then to-.the principal of th¢ Ngte and lea tlie;lirincipal of Future Advances, if any:
<br />~l. Cliargea;-Elena Harrower shall pay-x11 taxes:, assessments and ether charges, flaw aitd impositions attrib-
<br />utable to the Property which map attain-a. priority over tkis ~Sortgage; and ground rents, if any;.at Lender's
<br />~ option is the manner provided raider paragritplt'l hereof or by $arrgwer making-payment, when due,-direetIy to
<br />the payee thereof. Bgrrawer shall promptly furnish, to Lender ail notices ofamounts due -ender this paragraph,
<br />anti is tie syeaw ~grra~vpr shall xna~e pWyr.^~. directly; Borrarsssa• shall ixranxptly furnish to Zender receipts. evi-
<br />~ denaing sacix psymenEs. Hbrrnwer shall promptly discharge any Iles which lxas priarica over this aiartgage ; pro-
<br />~ yided, thatBorrower shall not'be-required tq diselxarge any-such. lien so long as Borrower shall agree in_xeriting to
<br />~ thepayment of the gbligafinn seaured by such Tien in n manzter acceptable W Lender, or shall in gaol faith coat~.st
<br />~ such lien icy,. sir defend enforcement of sueli lien in; legal gxraceedings iihish operate to prevesit the enforcement of
<br />the lies or forfeiture of the Property or any-part thereof.
<br />~ 5. Flazard fnsurance: $arrower shall keep the improvements 2tnw existing ar hereafter erected on the Prop-
<br />erty insured against loss Icy fire, hazards included withixx the ter€u "extended coverage", and such other hazards as
<br />Lender ma}' require and i:x such amounts and fcr suet: periods as I:ender may require; provided,-that Lender a}eall
<br />~:equire that fheamount of such c~verage.exceed that amatmt of coverage required to pay $lie sums aecured'by
<br />this ivlartgag2.
<br />~'he insurance-carrier providing the insurance shall be chosen by $orrawer subject to appraysi by Lender;
<br />provided, tlxat such approval shall. sat be unreasonably withheld, AlI premiums on insaianee poi"zcies shall be paid
<br />at Lender's option in 'the manner provided under paragraph 2 hereof or by Borrower making payment, when due,.
<br />directly to the insurance carrier.
<br />In the. event say pglicy is not renewed on or before ten days of its expiratiart, the- Lender, to protect
<br />its interest, may procure itrsursnce on the improvements, pay-the premiums and such sum shall became
<br />immediately due and payable with interest at the rate set Earth in said sate until pasd sad shall be
<br />secured by this ?~*ertgage. Failure by Borrower to comply may,. at aptioa of Lender, caastitvte a defatilt
<br />under the terns- of this :. ;<'tgage.
<br />Ala insurance palieies and renewals thereof shall be in form aecegtable to Lender and-shall include a standard
<br />c;•artgso~ sIA,~~ in fav~raf and in form acceptable to Lender- Lender sltail have the right to ixold the poi*_cies and
<br />renewals thereof, and Borrower shall promptly furnish to Lander all renewal noticPS and all receipts of paid pre-
<br />miuma. In the event of loss, Harrower shall give prompt notice fn rite insurance carrier and Lender, and.Leader
<br />may make proof of lass if sat made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing, insurance proceeds shall be applied to restoration- or
<br />repair of the Property damaged, provided such restoration or repair is economically feasible- and the security of
<br />this A4artgage treat thereby impaired. If such restoration or repair is sat economically feasible or if the security
<br />of tlsis I4fortga$e would be impaired, the insuraance proceeds shah be applied to the sums secured by this A~ortgage,
<br />with the excess, if any, paid to Hoxrower. If the Property is ab9rdaned by Borrower or if Barrawer -faits to rear -~d
<br />t€k wader within 3zJ days-after settee by Lender to Harrower that the insurance carrier off€rs-to sattIe a elairri tae
<br />insuraace benefit,,, Lender is authdrized to eolTeet and apply the insurance proceeds at Lender's- aptimx eitlt®r to
<br />restoration or repair of the Prapert_v or to the sums secured by this ylort~;age.
<br />Unl~ Lender and Harrower otherwise agree. in writing, any such application of proceeds to principal shall
<br />sat extend or poatpoae the due date of the monthly installments referred to in paragraphs i and 2 hereof ar change
<br />the. aaxauat of such installments.
<br />If under paragraph I$ hsreaf-flee Property is required by LE:tcier, all right, title and interest of Harrower in
<br />and to snyinsnranee policies and in ana €o the proceeds thereof (to the extent of the sums secured by tills M~rt-
<br />gage immediately prior to such sale or acquisitiaixt resulting from damage to the Property prior to the. sale or
<br />aequiaitiaa shall pass to Lender.
<br />6. arsrtas3rt ~t3INla~t®ssrarg ©, Pzcsparty; lecaazs~lda; Gs4dEminiu:ns. Barmwer shall keep the Prop-
<br />erty in good repair and shall not permit or commit waste, impairment; ar deterioration of the Froperty sad shall
<br />eamplp with the provisions of any lease, if this i4~artgage is on a leasehold. If this 14ortgage is on a condominium
<br />unit, Borrower shall perform all of $orrower`s obligations under the declaration of condominiums ar master deed,
<br />fire by-laws and regulations of the condominium project and constituent documents.
<br />ya P*at~-:si. of I~dsr'>€ SsES~riig= If Barrow?r fails to perfo:~n the covenants and agreements euatair#ed is
<br />this A•io:'£gage, ar if any action or proceeding is commenced whiclx material3y affecfs Lender's intereaL in the-Ptap-
<br />erty, including, but-sat limited to, eminent domaiu, insolvency: code enforcement, or arraugements or proeeeal-
<br />ings involving a bankrupt or decedent, than Lender at Lender's option, upon settee to Barrawer, may make such
<br />appearances, disburse suelx sums and take such action as is necessary to protect Lender's interest, including,-but
<br />not limited ta, disbursement of reasonable attorney's fees and entry upon the Pmperty to make repairs: Any
<br />aminia#s<tsbu~d by Ler~3er pcusuant to this paragraph 'r, .vith interest thezeaix; shelf beer-me additional iadebt-
<br />edneas of Boriawfzr secured by this liortgage. Unless Barmwer and Lender agree to ether terms of payment,. sash
<br />amaun$a shall be payable upon notice from Lender io Borrower requesting payment thereof, and shall boar later-
<br />eat from the date of disbursement at the rax stated in the Hatt ur.Iess payment of interest at such. rate would be
<br />contrary to applicable law, in whian evert such amounts shall bear interest at the highest rate peraiiasihIe by
<br />applicable law. l~Tothiag containedsn this paragrapl: 7 shall require Lender to incur any expense or da asp set
<br />httr.witider,
<br />$: Leader may make yr cause to ire-made reasanablc entries upon and ittspeetians drf ~~~e=Prop-
<br />erty, provided-that Lender shall give Borrower notice prier to env such inspection speeifyiirg reasonable cause
<br />therefnrrelated tp Lender's interest in the Property.
<br />9 'lXxe proceeds of any award or elaiin for damages; direct or aansequgntasl, in eana~ion
<br />wi#~ auy a;udexriastiixit or ether taking cf rile Property, ar jxart,°th~reof; or for eonvevanee'iu lieu of enndsmna-
<br />tian; are bareffy assigned and shell be paid tar bender.
<br />In theevent of a tataI_tsking:of lire Yroperty, the ]x[act~tis shail,lie applied to the sums secur~l6y-this D+Ias'E-
<br />gage, with the esters, if asp, paid fc Harrower: Iat dte event of s partial tabing of tie 'F?zvperfy, unless $orrower
<br />and Lender otherwise agree in writing, there shall be apttiied to the sums secut~ci 6v`thin ~Iattgege such prop~r-
<br />tiaa of the proceeds as is egaal to that proportion witioh the amount of the sans secured be tfsis ?Mortgage imtae-- -
<br />diately-prior to the date of taking bears to the fair market valae of the Properly imwediately prior to the date of
<br />~k+ng, with the halance of the proceeds paid. to Borsow•er.
<br />If the ?rafrerty is sbandoneil by Borrar'er or iC after notice<by Lender to $orran•er fast°the ttondemAOr offtus
<br />to slake an aw-era or seine a claim for damages, Borrower fails to respond tQ L:ensler arithin days- of the date
<br />of such notice, Lender is aatho°ized to eiollee.t and apply ti:c procecYlr, et. Lender's r;ptipn either to restoration or
<br />repair c+f the Propirty or to the same secured 6 ;• £ltis liartgage.
<br />~nlesv Tender: and Boxrawar athern~iac_ agree in wriyingj any such :applloation of proceeds to principal sha11
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