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<br />If under paragrapft 1S hereof the Property is Hold or the Property is otherwise acquired by Under, bender
<br />shall apply, no later than immediately prior to the sa(c of the Property or it€ acyuisit,ion by Lender, any funds
<br />held by Lender at the lima of applicatiat as a credit ags;inst the sums €ecurerl by this Mortgage.
<br />3: Appiica#ion aE Payrxsants. Unless applicable law provides otl±erwsse; all paymex;ts received by Lender
<br />under the NoEe slid paragraphs i and 2 hereof shalt he applied ]ty Lender first in payment. of amounts payable to
<br />Lender by Borrower under paragraph 2 hereof, then to interest IaayaUle on lire Note and on Future Advances, if
<br />any, and then ta-the principal of. the Nate and io the principal of Future Advances, if any.
<br />4: Charges Liens. $orrower shall pay all taxes, assessments and other charges, fines and- impositions attrih•
<br />utgble to tiro PiaperQy which may a:kafn a pria,^ity-over this Mortgage, and ground rents, if any, st I,eniler's
<br />option in the manner provided under ~;arsgraph 2 hereof or-lrv $orrower making payment, when due, directly. to
<br />the pay:.e the~af, rruwer shall promptly furnish to Lender-all notices of amannts due under this paragraph,
<br />~ and, in the event Fsorrower shah make payment directly, Borrower shall. prsmptly furnisin to Lender receipts evi-
<br />denei_ng malt psymeats. Borrower shall promptly discharge-any ,lien +.vhieh has priority. ovQt-this :tTartgage; ,pro-
<br />- ~= vided, that Borrower shsJi not be required-to discharge any such lien so-long as >3orrawer shall agree in ~ritittg to
<br />~,,," the payment of the abligstian secured by-such lien- ro ;x manner seesptahle t.a Lender, ar shall in-good faith contest
<br />such Iien b~, or defend enforcement of such Iiexx ir., legal }:racaedings ~.v}rich operaie to prevent the enforcement of
<br />the-lien or forfeiture of the Property or any part-thereof-
<br />5:'Eierzar+d Insurance: 'Harrower shall keep the iinj>rovenrents now- existing ar hereafter erected on the Prap-
<br />~ orty insured against loss }sy fire, hazards included within the term "extended coverage", and such other }xasards as
<br />j.,, Lender may require and: in such aniaunts and for such periods a= Lender may regnire; provided, that- Lender strrali
<br />not lire that the amount of suah. coverage exceed that amount o€ coverage required to pay the sums seeirxd'by
<br />this Mortgage.
<br />T'hs msurance carrier providing the insurance shall be chaser, by Borrower subject to approval lry. Lender;
<br />provided, that such approval shall nut be unreasonably withheld. All premiums on insurance policies shall be paid
<br />at Lender's option in the manner provided under paragraph 2 lxereo€ or by $orrower making payment, when due,
<br />dfi~ctly to the insurance carrier.
<br />In the event any policy is not renewed an or before ten days of its expiration,_the LendEr, to protect
<br />its interest, may procure insurance on the improvements, pay the premiums aqd -such .sum shall become
<br />immediately due and payable with interest at the rate set forth in said- Hate tmtil paid and shall lac
<br />secured by this Irfaztgage, Failure by Borrower to comply may; at option of Lender, constitute a default.
<br />under the terms of this- Mortgage.
<br />All insurance policies and renewals thereof shall be in form acceptable to Lender and shall include a strndard-
<br />mortgage clause in favor of and in form acceptable to Lender. Lender-shall have the right to bald the policies and
<br />renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and aIl receipts of paid pze-
<br />H~uma. In the eveni of loss, Borrower shall give. prompt notice to the insurance carrier and Lender, and- Lender
<br />may make proof of loss if Hat made promptly by $orrower.
<br />Unless Lender and $orrower otherwise agree in writing, insurance proceeds shall be applied to restoration or
<br />repair of the Property damaged, provided such restoration or repair is econonically feasible .and the security of
<br />this i~fartgage is not thereby impaired. If such restoration or rpair is not economically feasible or if the security
<br />of this ~fartgage would be impaired, the insurance proceeds shall Ire applied to the sums secured by this Mort;:.,
<br />with the.exeess, if any. r-'•t to Harrower, if the Property is abandoned-by $orrower or if Barro~er fails to iesp©nd
<br />lei .Lender within 30 days- after notice by Lender to Borrower that the insurance carrier offers to settle a -claim far
<br />insurance benefits, Lender is autliorrzed to collect and apply the insurance nroeeeds gt Lesder.'s o~ataa either to
<br />restoration ar repair of the Property or to the -sums secured by this :1ortgage.
<br />Unless Lander and Borrower otherwise agree in writing, any such application of proceeds to principal shall
<br />- not exterxd or postpone the due date of the monthly install.=rxents referred to in paragraphs I and 2 hereof ar change
<br />the amount of such installments.
<br />If nnder.paragraph I$ hereof the Property is acquired by Lender, all right, title and interest of $orrowaa in
<br />sod tp any insurance policies and.fn and to tiro proceeds thereof (ta the extent of the sums secured. by this Mort-
<br />gage immediately prior to suah sale ar acquisitfonl resulting tram damage to the Property priar_to the sale or
<br />acquisition shat pass to Lender.
<br />6: Presezoatioa sad M®atsttonc6 of Property: Leas®holds: Coadomsaiums. Borrower shall keep the Pzrop-
<br />erty in good repair and shs31 rot permit or com.nii waste, impairment, or deierioratian of the Property and shall
<br />comply wiih the gravisians of any lease, if ibis 3ortgage is on a leasehold. If this i44ortgage is on a condaminitmx
<br />unit, Borrower shall perform all of Borrower's ohligatiotns under the declaration of condominium or master dew,
<br />t}~ by-laws .and resgulatians of the condominium prajec and eansr.ituent documents.
<br />?= Pr4tectroa of kyndsr s Sseuritq= If Banower fails to perform the eavenants and agreements contained in
<br />this ~3attgage, or if any sedan or proceeding is commenced wlxich materially affects Lender's interest in the Prop-
<br />erty, inehxding, but hot 1rmited to, eminent domain. insolvency, code enforcement, or arrangements or proceed-
<br />izxgs involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make- such
<br />appearances, disburse such sums and take such action as is necessary to protect bender's interest, including, but
<br />na6limited ta, dichuxseuxent of :•estanable aiiaraey"s fees and entry u~,An the Propert-,~ to make repairs- ~Lrsy
<br />astounts siisbeusotl I:y Lender pursuant to this paragraph 7, with interest thereon, shall become additional iud
<br />e~dness 9f Borrower secured by this 1ortgage. Unless Borrower and Lender agree w other terms of payment; such
<br />amount$ siisli. be payable upon notice from Lender to Burrower requesting payment thereof,-and shall bear. inEer-
<br />est from the date of disbtrrsement at the rate stated in the dote unless payment of interest st suah. rate wauItl be
<br />epnfsazy Sa applicable law; in which-event such amounts shall bear interest at the highest.zate permissible by
<br />appfietiliie 1svr. ;lathing eautained in this paragraph 7 shall require Londer to incur any expense ar de say set
<br />lr~er~d"er:
<br />8. Irrspe`Roe. bender may make ar cause to he made reasonab}e entries upon and inspeetiotrs of the Frap--
<br />ercy, Proviced that Lender sty;: ~iie $orrower notice lxrior fa any sorb-inspeetiori speo%fying rensoriable Cause
<br />therefor reiaied to Lender's interest in the Propertp.
<br />~: Conciamnation. the proceeds of any award or claim for damages, ctiseet or ransequentisl, in aann~tion
<br />-with env cc,ndemnstinn ar other taking,af the Property, ox•-part thereof, or far conve_vsnce in lieu of conilomria> _
<br />lion, are hereby assigned and shall be paid to fender.
<br />xnthe event. of a total takia of the Property, fhe;t~cseds shalt he rpplied to the sours secured by thi9 Vt=--
<br />gage, With tke~e>;Geas, if any, paid to fsotro>ti'ar.~Iu tlxam[eni of a partial taking of the Propert}~, unless Barrorrer-':
<br />and Lender atherwSse agree in R•riting, there 'shall be ap151iect to the autos secured by this ~Iort.gage such propor:`
<br />lion of the proceeds as is equal ko that proportion which the amannt of the sums scoured by this ~tdortpage imme- -.
<br />distoly prior to th;, datg of taking oea~ to the fair ttxarkat, value or' .tire Property imxi2t~fiatety prior trr the date of
<br />taking, with tyre balance of the prxecdP paid to Horroxer.
<br />If u,a c r„pertg is abandoned by Bgrrawer ar i€ niter naiiee by I.enrfer to $ormwer Thai-the condemnor offers
<br />tcs make ati award ar settle a claim for damage4, Bottowe:• tails to respond to Leader witli;n 3Ct days of the date
<br />of Hoch notice; Lander is authorized to eo}lec4 anil Kpply the pEaceeda at I,eitder'>•; option- either tti iw,storation or
<br />repair of the Property or to tine sums secured Uy this ltartgage.
<br />.Unless Lender and Borrower otherwise Agmc in vrriting, any suahapplicatian of proceeds to principal shall
<br />r ~' F
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