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<br />If under paragraph lfi hereof the Yroperty is saki ur the Yeaperty is otherwise acquired by Lender, Lender
<br />shall apply, rea later titan immediately prior to the sale of the Yrapert}• or itV acquisition by Lender, any rands
<br />held by-Lender at the time of application as a credit against. fife sums secured by this S'[ortgage.
<br />3. Appticctzssn o! Payrtte~rls. Unless ?tptilieable !an• provides otherwise, ;all payment, reeeiveti by Lender
<br />under the Note and paragraphs 1 and 2 hereof shall he alrpiied lay hander first in payment of amounts payable to
<br />Lender by Borraw•er under paragraph 2 hereof; then- to interest payable on the Note an<i on Future Advance:;, if
<br />any, and then to the. principal of the \ ota and to the principal of Future Advances, if any.
<br />$. Cl2arges;-Liens. Harrower- dial; ,:a ~ all taxes; assessments and-other charges. 5nes and impositipns attrib-
<br />utalsle to the Property wlrieh may attain r, priority over this ~IOrt„age, and gmtutd rents; if any, ai Lender's-
<br />o3rtiun in the manner provided uitcler laaragraplr:2 hereof ar by Burrower ttial~~ing lrayn?snt, when due, direetEy to
<br />the-payee thereof. Borrower shall praniptdy furnish to Lender-all notices of amauttts due under this paragraph,,
<br />`~ and in the event i3o;rower shall make payment-direatdy, Borrower-sha11 promptly furnish to Lender receipts evi-
<br />~°' denting such payments. Bori~oa~er shall promptly discharge any lieu which- has priority over this _l^tortgage; pro-
<br />vided, that Borrtta=er shaE} not lee required to discltargz aa} sttcEt -Dien sa-long as Harrower sl,a,i agree in writing to
<br />the payment cif the obligation secured bJ .such lien in a manner acceptable to Fender, ar shall in goad faith coitus -
<br />~ such lien by; ar defend enforcement of sueh lien in, legal ltrocoedings which operate is prevent the enforcement of
<br />~' the lien or forfeiture of the Property or any tract thereof.
<br />rs. H~czd Isisuzactte, Harrower shall keep fife i[rpravements nan• Existing ar lterreafter erected on the Prop-
<br />~ city insured against loss by fire, hazards included +vithin the term "extended coverage", and such outer hazards. as
<br />fi,, bender may require and in sueh amounts and far sueh periods as Lender may require; provided, that Lender- elicit
<br />not require that the amount of snap coverage exceed that amount of coverage racluired to pay the sums seaured'tiy .
<br />this t,+Iortgage.
<br />The insurance carrier providing Lhe insurance shall tie chosen by Harrower subject to approval by Lender;
<br />provided, that sueh approval shall not be unreasonably withheld. All premiums on insurance policies shalt be paid
<br />at bender's option in the manner provided under paragraph 2 hereof or by Borrower tusking pay mert, when due, -
<br />directiy tgthe insurance carrier.
<br />In the event any policy is not renewed eri or before ten days of its ezpiratian, the Le_~der, to protect
<br />its interest, may procure instrsanee an the improvexents, pay the premiums and such sum shall become
<br />immediately due and payable with interest at tine rate set forth in said note until paid and shall be
<br />secured by this A4ortgage. Failure by Bonawer to comply may, at option of Lender, constitute a default
<br />under the terms of this Ivlortgage.
<br />All insurance policies and renewals thereof shaIf lra in fonu acceptable to Lender and shalt include a standaad
<br />mortgage clsuse in favor of and in form acceptable to Lender. bender shall have tl'ie right to bald fhe poliaie~ and
<br />renewals thereof, and Borrower shall promptly furnish Lo bender all renewal notices and all receipts of paid pie-:
<br />miums. In the event. of loss, Borrower shad give prompt notice to the insurance carrier and Lender,. and Lender`
<br />may Hake proof of loss is" Hat made promptly try Borrower.
<br />Unless Lender and Borrower otherwise spree in writing, insurance proceeds s1;a11 be applied to res#oration'ge
<br />repair of the Property damaged, provided such restoration or renair is economically feasible and the security of
<br />this A4ortgage is-Hat thereby impaired. If sucl: restoration or repair is not economically feasible or if the security
<br />of this ~Iartgage would be impaired, Lhe insurance proceeds shall 1>a applied to t1tF sums secured by this 3'btiti~!~~a~,
<br />with the excess, if any, paid to Borrow~r.if the Yroper~y is abandoned lry Harrower ar -iT Borrower Tails ~ respotil
<br />to.LEader within 30 da53 after notice by Lende* to Borrower that the insurance carrier offers to settt¢ a claim.-for-
<br />insurance benefits, Lender is sutharized to coEEect and apply the hrsuraree proceeds at Lender's option either to
<br />risFw ativu yr icparr of `cite Ptvperty ar tG the Sttms secured vy tn7S 'tiortgage. - - - - - -
<br />Unless Lender and Borrower otherwise agree in writing, any such application of praaeeda to principal shall _
<br />not ex#ead ar postpone the due date of the monthly insta}Invents referred to- in paragraphs 1 and: 2 hereof or change
<br />the amount of such installments.
<br />If under paragraph 1S hereof the i'rape~y is acquired try Lender, all right, title and interest of Borrower irr
<br />and to anysnsuranee policies and in and to the proceeds thereof Tta the extent. of the sums-secured by this 1Kart-
<br />gsa~ immediately prior io such sale or acquisitioril resulting -from damage to the Property. prior to the. sale ar
<br />acquisition sltali pass to Lender.
<br />6. Preservation surd Mointenouce of property; Leasenoids; Coadominiutzts. Borrower shall keep the Prop-
<br />erty in good repair and shall not permit or eamaiit cv3ste, irnpairinen±, or deterioration of the Property and shall
<br />~:omply with the prevision, of say lease, if this ~iartgagc is on a lassehald. If this :liortgage is on a condominium
<br />unit, Harrower shall perform aft of Borrower's obligations under the declaration of condominium ar master deed,-
<br />the bylaws and. regulations of the condominium project and constituent documents.
<br />7: protection of Leadei s Severity, If Borrower fails to perform the eavenants and agreements contained in
<br />this Alartgage, or if any action or proceeding is commenced which materially affects Lender`s interest in the Prop-
<br />city, including, but not limited to, eminent domain, insolvency, cede enforcemen#, or arrangements or proceed-'
<br />ings involving a lzankrupt or decedent, then 3~tnder at Lender's option; upon notice to Borrower, may make such
<br />appeara;ices, disburse such sums and take such action as is necessary to protect Lender's interest, ancluding; but
<br />acct limitsl b, disbtit~etaent trf reasonable attorney's Zees end entry upon the Property to make repairs.: -Any
<br />ani~tirtts disbiti'et d Ezy Lender pursuant to-this paragraph 7; wiiit interest thereon: shall became additional irTtdgltt;
<br />edness of Barrov+er retitled by this ~forlgage. Unless Borrower and Lender agree ter other-terms o£.payment; sueh
<br />coca '.,s shall ~ payable upon notice franx Lender to Burrower ~~uesti=-,g payrtie- t tlterzai; and sltnti 'oear inter-
<br />- est from the dafe of disbursement. at the rate staters in the Vote unless payment of interest at sueh rate would 6e.
<br />eanare,y to applicable law,:in which event such amounts shall beat interest at the highest-rate permi~ible by
<br />applicable-law. Nothing contained in flits paragraph 7 shall req>rire Lender to incur any expense or da any set
<br />her~urder.
<br />8. InapectioR. Lender may rUake.ar cause to tie tnadc:xeasonahlc entries upon-and inspections of the 1'roix-
<br />qty, provided that Lender ehsli.give Bo;rower notice. l+riar- to am suelx inspection .specifying reasonable ea-use,
<br />tu'erefar reiatad to Fender's interest'in theProperty. .
<br />~aadv-.a;~n. The procaeda of arty award or claim fnr damages, direct or eoasetlueatial, in eonna+stian
<br />with any eoademnatian ue other tal€ing of°ft3e property. or part fhereGf, oi• fur ~rarFUevattce sirlieu of e_ondeiurra- -
<br />-~ion, are hereby asstgnei and YhaiE ba paid to iendee.
<br />In the event of a fatal fakir.; of the Yroperty, the_lrores shall be applied to the sums secured #ry.this it,`ort-
<br />gage, with the excess, if any, haidco Borrower. In the~vant of a pagtiai taking of the Prsp•ecty; unlenii'$artivwef
<br />artsi Ilenderot_t:era•iseagree in R~riting, (here shall ire applied.ta the ,gins secured by this mortgage.-such propor- - -
<br />tiort of the proceeds as is egvsl to that proportion whirl: the-i€rtiount,of the runt.- secured by=~iiis ~#orf~ge iznme=
<br />diately prior to the unite Of taking Bears to the fair market value of the Yroperty,itnmedizat~lp. prior~#p=the df-te of"-
<br />Laking, with the balance of the prodeds paid to Borrcwer.
<br />Tf the ism; :r+y is ahandonai by Berra~•e, cr if after .tati~.c 1,-~r Lend~.ta $orrower t#at the condemnor oBeers
<br />to m_ke an award o sett,e a claim far ;lnmuges, Borrowor fails to respond to Lender svitAin-30 days of-the-date.
<br />of such notice, I,endsr Is nuthttriaed to collect- and apply the proceeds at E:euder's' mption sit-her to restoration or
<br />repair of the Yroperty or to thsswns secured by yhi::\Iartgage.
<br />tin'iess bender acrd;Barrowar othenvirat agree iii writing, any-sueh applieafian of proceeds to principal shall
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