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If under paragrapl; I8 hereof t!!e Yroport.y is sold or the Prnpert~• iti u[heneisc ;required by Leader, bender
<br />shall apply, no later than immediately pria• to the sale of the Yropcrty or its a<~qui.~ition by i,ealer, sm~ f•'unds
<br />l;eld by Lender at the time of application as a credit against nc~ suur.5 secured Irv ttii~ ~iurtgs~,•.
<br />3. APglicutlon of Poyatents. Unless al,I;iirnhic law provide= otherwis;•, .rll payments receive, by 1.,encler
<br />under the Aete and l,aragraplra 1 and ^ Irm-cof shall be aI?plicd by Lender first. ir: payment ui anwunts payable to
<br />Lender t;y Borrower under paragraph 2 hereof; rhea to interest payabh, an rho irote and nn Future advances, if
<br />any, and then to the principal of the Natc and to the- principal of Future Advances, if any.
<br />~. Chargest Liens. Borrower shall uav nIl taxes, assessments and other charges. Ines and impositions atfrib-
<br />ut~tile to the Property which znay attain a priority over this mortgage, earl graune? rents, if any, at LenderE
<br />•hc a d ' '~ B,.., ..,k ..n ,~
<br />„~ option ir, mr=nner pz. t;dei, un er paragratz,s }rereaf cr :ty rower t,,,z t,.- I:ayment, wnett da:-, utrectly to
<br />the paree~thereas`. Borrowm• shad prnmpth= furnish to Lender aR notices of sutaarnts doe wtdcr this paragraph,
<br />' and in t-he event Borrower shall make pay~n,ont rirectly, Barrorrer s?rail promet!y furnish to Under receipts evi-
<br />`F='` deneing such payments. Bartrocver shall promptly discharge any lien ;e-hich has priority over this lortgage; prn-
<br />vided, that Borrower shad not be required to discharge any such lien so Iona as Harrower shall agree in writing to
<br />the payment of the obligation secured by such lien in a manner acceptable. to bender, ar :r}raii in good faith contest
<br />•-- such lien by, or defend enforcement of such Iie,n in, legal prnceedirtgs x bleb apeeate to preveni the enforcetent of
<br />the lien ar forfeiture of the Property or any part. tirereaf.
<br />~ 5. Iiaaazd Insurance. Borrower shall keep lire intprorernents naty ,,risking or hereafter erected on the Prop-
<br />f`> arty insured against Ions by fire, hazards included within the term "extended coverage`', and each other hazards as
<br />,~ Lender may require and in such amounts and far such period< r.s Lender may` requim; provided, that Lender shat{
<br />not require that the amount of such coverage exceed that amouni of caveraQc rernrired to pay the sums secured'hy
<br />this 14iort~gage.
<br />The insurance carrier providing the insurance shall be dtosen by Borrower subject to approval by Lender;
<br />provided, that such approval shall not he unreasonably withheld. All premiums on insurance policies shall be paid
<br />at Lender's option iu the manner provided under paragraph ? hereot or try Borrawer making payment, when due,
<br />directly to the insurance carrier.
<br />In the Event any policy is not renewed on or before ten days of its sxpiraiian, the Lender, to protect
<br />'rte interest, may procure insurance on the improvements, pay the premiums and such earn shall become
<br />immediately due and payable with interest at the rate set forth in said rote until paid and shall be
<br />secured by this Iviortgage. Failure by Borrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage.
<br />All irsuranee policies and renewals thereof shoji be in form acceptable to Lender and shall include a standard
<br />mortgage clause in favor of and in iarm acceptable to Leader. Lender shall have, [he right re h~'.u the policies and
<br />renewals Thereof, and Borrower shall promptly furnish [o Lender all renewal notices and all receipts of paid pte-
<br />tztiums. In the event of loss, Borrower shall give prompt notice to dte insurance carrier and Lender, and Lender
<br />may make proof ai loss if not made prampth• by Borrower.
<br />Unless Lender and Borrower otherwise agree in tcritiug. insurance proceeds shall 6e applied to restaration or
<br />repair of the Property damaged, provided suck; restaration or repair is ecnna;nically ie:asible and nc~• security of
<br />this \iortgage is not thereby impaired. If such restoration ar repair is not ecoaonticaliy feasible or if the security
<br />of this 1ortgage would be impaired, the insurance proceeds shag! bz znpiied to the sums secured by this Mortgage,
<br />with the excess, if any, paid to Borrutver. If the Property is abandaneri by Borrawer nr if Harrower fails to respond
<br />to Lender within 30 days after notice by Lender to Harrower that the insurance carrier offers to settle a claitzr jar
<br />insurance benefits, Lender is authorized to roll°eG and apply the insttrrutcv 17rnceeds at Lender's option ei+iier t~,
<br />restoration or repair of ttze Property or to the sums secured 6y this Mortgage.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shalt
<br />not extend or postpone the due date of the monthly irtstallmen*.s referred to in paragraphs 1 and 2 hereof er change
<br />the amount of such installments.
<br />If under paragraph 18 hereof the Property is acquired by Lender, all right, title and interest of Borrower in
<br />and to any insurance policies and in and to the proceeds thereof !to the extent of the sums secured by this ~iort-
<br />gaga immediately prior to such sale or acquisition'r resulting from damage io the Property prior to the sale or
<br />acquisition shell pass to Lender.
<br />&. Preservation and Maintenance of Property: Leaseholds: Condominiums, Borrower shall keep the Prop-
<br />erty in good repair and shall not permit or commit waste, impairment, or deterioration of the Property and shall
<br />comply with the provisions of any lease, if this Mortgage is on a Leasehold. If this lortgage is on a condominium
<br />unit, Borrower shall perfornt all of Borrower's obligations under the declaratio,t of condominium or master deed,
<br />the'cy-laws and r~,uiatians of the candeminiunt pra;ec*. and consti±-uertt documents.
<br />7. Proteetiaa of I,andei s Security. If Borrower jail:. fo pectoral the covenants and agreements contained in
<br />this :4ortgage, or if any action or proceeding is commenced which materially affects Lender's interest in the Pmo-
<br />erty; including, but not Limited to, eminent domain, insolvency, code enforcement, or arrangernenks or pr~ceed-
<br />ings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrawer. may make such
<br />appearances, disburse such sums and take such action as is necessary to protect Lender's interest, including, but
<br />not liitit2d to, disbursement of reasonable a*_totney = fees and entry upon the Property to make repairs. Any
<br />amounts disbursed by Lander pursuant to this paragraph i , with interest thereon, shall become additional indebt-
<br />edness of Borrower secured by this ?:iortgage. Untess Borrower and Lender agree do other terms of payrrtent, such
<br />amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br />est fmm the date of disbursement at the rate stated. in the Note unless payment of interest at such rate would be
<br />contrary to applicable Isw, in which event such amounts shall bear interest at the highest rate permissible by
<br />applicable taw. Votltiag contained in this paragrapL° 7 shall require Lender to incur any expense or do any act
<br />hereunder.
<br />8. Igsgection. Lender tnay make or reuse to be made reasonable entries upon and inspections of the Prop-
<br />erty, provided that Lender shall-give Borrower native prior to any ~urtt insnectian specifying reasonable cause
<br />therefor related to Lender's interest iri the Property.
<br />9. Cmdemaation. The Proceeds of any award- nr claim for damages, direct ar consequential, in cann~tion
<br />evith any eondemnatien.ar other taking of the Property, ar part thereof, ar far conveyance in lieu of candemna-
<br />tiofa, are hereby assigned and alkali tte paid to Lender:
<br />In the event of a total taking of the Property, Cite proceeds shalt ltc applied to the sums secured by this ~iort-
<br />gage; with the,exe, }{ any, paid to Borrower: in the event. of a partial taking of tkre Property, unless Borrower
<br />and Lender atherwSse 8gree in writing, £here shall be spphecl to -the suihs secured by this dfartgage such proper-
<br />. thin of-the proceeds as is equal to that-proportion whielt the antaunt of the sums secared by this 4ortgage imme-
<br />diately prier to the date of taking-bears to the.#air anarket valve of the Property immediately prior to the date of
<br />taking, with the balance oft-he proceeds paid to Borrawer.
<br />If tltt Yroper+,-; rs attandone8 by Borrower or if after notice 6y Lender to .Borrower that the condemnor offers
<br />to make su awairl or settle s claim for diniages $ormwer-fails to respond to Lender within 30 days of the date
<br />of-such nsstiee; fender is authorized to oolleet`and apjtly the proceeds a~t Lender's option either to restoration or
<br />repair of the Property or to the sums secured by this _ltartguge.
<br />Untess Lender-and Borrawer othernzse agree in writing, any such application of proceeds to lrincipal ehall
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