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If under paragraph IS hereof the Property is sold or the Property is otherwise acquired by Lender, Lender
<br />shall apply, no eater than immediately prior to the sale of the Property ar its acquisition Ixy bender, any Funds
<br />held by Lender at the tune of application as a credit against the sums secured by this :Mortgage.
<br />~. Plppiismtian of Payments Unless applicable lea' provides otherwise; a!I payments received by Lender
<br />under tt:e IVats and paragsaplss I an*I 2 hereof shall Ixc slilxlietl liy Lender first in payment of amounts payable to
<br />Lender by $brrawer under paragrapit,2 -hereof, tlsen to interest ;xayable on the prate and on Future Advances, if
<br />any, and then ta.the principal of-the \ote and to the principal of Future Advances, if env.
<br />4. Ghsrgas; Iaena. Barrawershall pay a,lI Caries, ssseisinents and outer charges, tines and impositions attrib-
<br />uts6fe to the Property which may attain a priority over this 3ortgage, and_graund rnnts, if any, at Lender`s
<br />~? option in the manner pros~ided ~mder paragraph ? hereof or by Harrower making payment, when due; directly to
<br />v~ the payee thereof. Borrower s6aii promptly furnish. to I:eruler all riotiees of amounts -duo under this paragraph,
<br />. ~ sad in the event Barraiver shall-.make paynsent direatlg, Borrower-shad pramgily Furnish to Lender receipts evi-
<br />- s;.: dewing ssrcl: p~y:nents.-Burrower shall p=ampty.discharge any -lien shish bas priciriLy-:aver this ~3ortgage; pr~-
<br />- ~ vid~l, that Borroami shall not be required to discharge any such Ten sc Iang as Borzouer shall agree in writing to
<br />the-payment of the obiigAtian seeisred by~°irelt lien in a manner acceptable to Lender, ar shall in goad faith contest
<br />such Iien by, ar defend enforcement of such lien ir.; legal proceedings svl»ah operate to prevent the en[arseznent of
<br />tfre lieu or forfeiture "of the Praperty or any part thereof.
<br />;i. 1'Taaardfrssnrciace. Harrower shall-keep the improvements now existing or hereafter erecteiI on the Prop-
<br />ertp insured against loss-by fire, hasards included Suit-pin the term "extznded coverage", and such other haaards.as
<br />i.ender may require sad in-.shah amounts and for such periods as Lender xnay require;-provided; that. Leader shall
<br />naE require-that the amount of such coverage exceed that amount a£ coverage required to-pay the. suing secured'og
<br />this Mortgage.
<br />The insurance carrier providing the insurance shall ire chosen by Borrower subject tv approval by Lender;
<br />provided, that such approval shall riot be unreasonably withheld. All premiums on insurance policies shall be paid ,
<br />at Lender's option in the manner provided under paragraph 2 hereof or by Harrower making payment, when due,
<br />directly tax thernsurarree carrier.
<br />In the event any policy is sot renewed on or before ten days of 'rte expiration, the Lender; to protect
<br />its interest, may procure insurance axt the improvements, pay the premiums and such sum shall become
<br />immediately due and payable with interest at the rate set Earth in said mote until paid and shall be
<br />seemed by this Mortgage: l:`aiIrrre by Harrower to comply may, at option of I.errder, coristitute'a.default
<br />under the farms of this Mortgage.
<br />."xll -;.~ursnee policies and r€~newals thereof shall ba in faint acceptable to Lender and shall inciuda s sta-d
<br />mortgage clause in favor of and in-farm acceptable to Lender. Lender shall have the ght to hald'thexpoliezes-and-
<br />renewals Thereof, and Borrower shall promptly furnish to Lender all renewal notices and al! receipts ~f paid- pre-
<br />miums. In the event of lass, Borrower shall give prompt native to the insurance carrier and Lender, sal! Leader
<br />may make proof of Iossrf not made promptly by Harrower.
<br />Unie~ bender and- Borrower ather•evise agree in writing, insurance proceeds shall be applied to restoration ar
<br />repiair of the Property damaged, nravided such restoration or repair is economically feasible and the security of
<br />Spiv R4vrtgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security
<br />of this i4lortgage would be impaired, Ilse insurance proceeds shall 1>z applied to the. sums secrtred by-this Mor..gaga, _
<br />with she excess, i£ env; ~ ='d to Borrower. If I'he Praperty is abandoned by Borrower or if Bormiver fails to respond
<br />to Lender withiir 3t) days after notice by Lender to Borrower t'nat the iasursnae carrier offers tn-settle a maim for
<br />insurance benefits, Lender is authorized ;.a collect and apply-the irisaranae proceeds at bender's carrion-eitiret,~
<br />restoration ar repair of the Property ar to the sums secured Ixy this ortgage.
<br />i3as#,tess Lender and Borrower otherwise agree in writing, any such application of proceeds to principal ,shall
<br />natextend or po;#Iione the due date of the montIily installments referred to in paragraphs I sad 2 hereirf or ehdrige
<br />the amausst of such installments.
<br />If under paragraph I8 hereof the Property is acquired by Lender, alt right, Title and interest of Borrower ur
<br />aad to any inssirsnce policies and in and to the proceeds thereof tta tlse extent of -the- sums accused bj this Moir
<br />gage immediately prior to such sale ar acquisitienl resulting from damage fa the Property prior to the safe or
<br />a~y° --a+d"vion shall pass to i~ndar.
<br />B. llreaervatl~ ~ bfiaiainguaco of Prapertyr Lieas$hsricLgr Condamiaiurns. Borrower shall keep the Prop-
<br />erty in goad repair and slraIl not permit or commit waste, impairment, or deterioration of the Property and shall
<br />comply with the provisions of any lease, if this liorigage is on a Ieasehol~. If this 'riarfgsge is on a condominiurrr
<br />unit, $orrower shall perform all of Borrower's obligations under the declaration of condominium or master deed,
<br />byAlowa arm regrlatians a£ the carrdominium project and constituent documents.
<br />T. Prrteation srf I.am.rers'Security. If Harrower faits to perform the cavenaats and agro-zmants eontain8d in
<br />ties ~iorsgsgs, ar if any action or proceeding is commenced which materially affects Lender's interest in the Prop-
<br />erty, iaehrding, but not limited to, eminent domain,. insolvency, code enforcement, ar arrangements or proeeed-
<br />lags invaIving a bankrupt or decedent, then Lander at bender's option, neon notice to Borrower, may make"such
<br />s}igearsnees, diskrurse such sums and take such action as i. necessary to protect Lender's interest, including; but
<br />rrat iimiterf to, disbursement of reesrirsalile stt~urrey's fees and. entry upon the Property W usake npaira. Hay
<br />amounts disbarsed by Lender pursuani to this paragraph i, with interest thereon, shalt 1>eoame additional indebt-
<br />edriesa of Harrower assured by this ICfortgage, Unless $orrower and Lender-agree to other terms of payment, snap
<br />arnoun#s shall be payable upon notic a freru Lender is Borrower requesting payment therear', and shall bear later- _
<br />eat from the date o£ disbursement at-the rate stated in the 'V'ote unless payment of interest at such rate would b€
<br />eaatrary to applicable law; in whielr event such-amounts shalt bear interest at the highest rate permisrdbie by
<br />app"ueaire Isw. 3Ynthing contained in-this paragraph 7-shalt require Lender to incur any expense or do any-sot
<br />- hereunder.
<br />$. .- Lender may make or cause to !xe made reasrzrrahla entries upon and inspections of the Prop-
<br />erty; Qrovidrei-that Lender sial3 give 13ormwnr notice prior to env suelt inspeeticin specifying reasonable eaiwe
<br />tliesefor ralafn€d to Lender's interact in the Pmperi:Y• c
<br />°. Casdemaaiioa. - - the prods-of sng-award ac Flsim for° damages; direct ae cass~atsntisl, in aonne~ion =
<br />with guy card3rsnation or oilier taking of the Property, ar part tlxeretif; ar f:zr oouveyanae in lieu ©f condemner
<br />tics, are hereby assigned and shall Ire paidtobender. .
<br />lir the event of a total taking a# the I'r<rperty, the n~oeeeds,s}xail be applied to the auras secured by this A~ittrt--
<br />aa¢e, with the ezae~4, ii env, pald:t+R Harrower. Irt the event of a uart.ial faking of the Property, unlr~_Btxrmwer - f
<br />and Lender otherwise agree in uritiag, there sisatl be applied to tlse cams secured by this. Mortgage such pmpor- ~
<br />lion of the ptviceeds ac is equal to that proportior. which the amount of the sums scoured by i4iart¢isge iattrt8-,
<br />diotely prior. to the date of tsL`ing bears to the fair. sasrket value of the Properly im:nediatly giriar to the date of -
<br />cs~ting, iei+.h the baience of the proceeds paid to Borrower.
<br />-_ 7.f tl:e Propzriy iff ahsncionee by Borrower or it :after notice by t,enrier to ISarmsrer first: the eandeinnor offers
<br />to make sn sward or settle a claim for damages, Borrower Tali` to respeird t<t LetiderwitF.in-30 days of-the date
<br />of such notice, Lender is authorized to i~llecf and apply t;;e proceeds ~t Lender's option-either ttx restoration ar
<br />iiepair of the Praperty orto fire s•.rms secured by this \lorigate.
<br />Unless l<endex and Borrower atlrerwise agree iu-writing:: aril sash application of proceeds is principal shall
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