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<br />If under paragraph 18 hereof the Property is sold or the Property is atlrerwise arquired by Lender, Lender
<br />.hall apply, no later than immediately prior to tba; solar of dze Prolrcrt;v nr its acquisit.ian by Lender. any funds
<br />held by Lander at the time of application as a credit- against the sums secured by this i~fartgagc.
<br />3. fipplicatioa of Payments. Unless aptrlicabk ,ax- provides otherwise, ell payments received by Lender
<br />order the Note and paragraphs 1-sntl 2 hereof shall be applied by Lender fiz:st in payment af' amounts payable to
<br />Lender by Borrower under paragraph 2 l,ereaf, then to interest, payable on the Tote and on Future Advances, if
<br />any, and then t~o the principal of t-he :Vot€ and to the principal of Future :~dvanG~s, if any.
<br />~, i;natges: liens. Borrower sl.al} li:;y` all taxi, as~essri=rats rated aChcr r,}targes, fines grid impositions attrila-
<br />uvabla to the Pzap;?rLy whirl: mGy attain a pixoriiy aver this llorkgage, and ground rents, if any; at Lender's
<br />option in tl*e manner provided under paragraph 2 hereof or by $orrowwer making payment; when due, directly to
<br />the payee thereof. Borrower shall promptly Fvrnisli to bender ail- notices of amounts-due under this paragraph,
<br />~ and in the event Borrower shall make patn:entdirtctly; Borrav.-er shalt piomptly furnish to Lender receipts evi-
<br />denting such payments. Botrower shall promptly discharge any -lien which has liriority aver this lSartgage; pro-
<br />~`".+ vided, that Borrower shall not be req,ired to discharge any such lien so long as $orrower shalt agree in writing to
<br />+"'1 the payment of the ob}igafion secured by suci: lien in .x manner acceptable to Lender, or shall in good faith contest
<br />~'^.+ such lien by, or defend enforcement bf such lien in, legal Erroceedings which operate- to prevent the enforcement of
<br />~ the lienar farfe=tore of the Property or any part thereof.
<br />S. i~iaztad Insurance. B6rrou"eT shall keep the itprovements nocv ez~isting or hereafter erected on the Pz'op-
<br />1 erty insured against loss by fire, hazards included wit}rin the term '`extended coverage"; and such other hazards as
<br />~ Lender may require and irx such amounts sad far suck periods as Leader ?ay require; provided, that Lender shall
<br />'- not require that the amount of such coverage exceed that amount of coverage required to pay the sums sectued'by
<br />this Itidrtgage.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender;
<br />provided, that such approval sha}I not be unreasonably withheld. All premiums on insurance policies shall be paid
<br />at Lender's option in the msnaer provided under laragraph 2 hereof ar by Borrower making payment, when due,
<br />directly to the insurance Barrier.
<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 prenuums and such sum shalt become
<br />immediately due and payable with interest at the rate set forth in said note until paid -and shall be
<br />secured by this Mortgage. Failure by }3orrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage.
<br />All insurance policies and renewals thereof -hall be in form acceptable to Lender and shall include s standard
<br />aorgage clause in favor of and in Farm acaeptstrh~ to Lender. Lender shell have the right to hal<i the policies and
<br />renewals thereof, and Borrower shall promptly furnish to Lender nit renewal notices and all receipts o[ paid pre-
<br />miums. In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lender
<br />may make proof of loss ii not made promptly 1>y $orrower.
<br />Unless Lander and Borrow°er otherwise agree in writing, insurance taraceeds shall be applied to restoration or
<br />repair of the 1'ropert3- damaged, provided such restoration or rel+ai^ ~s ecanomicalh• feasible and the security of
<br />this Mortgage is not thereby impaired. If such restorattian or repair is ;oak cconotnieal'sy feasible ar if the security
<br />of this Mortgage would be impaired, the insurance proceeds shall Ire applied is tlae sutras secured by this 14fortgage,
<br />.:th Zi o;d ~ i€. t3 n u 1 a,} ~.., R.. B ' f c poi:'
<br />tx e excess, if any, p~ to Ba .. the r,.per_ s a 'ant a u..awrer .. arrawe. ails to , .,
<br />to Lender within 30 days after notice by Lender to Borrower titai the insurance carrier oilers to settle a claim for
<br />insurance benefits, Lender is authorised to tallest and angly the insurance proceeds st bender's option either Lo
<br />restoration or repair of the Property- or ro the sums secured by ties 3lartgage.
<br />Unle~ Lender and Borrower atherwisg agree in writing, any svoh appucatian of pmteeds to principal shall
<br />not extend ar postpone the due data e€ the mantl;ly installments referred to in paragraphs I and 2 hereof or Change
<br />the amount of such instalhnants-
<br />If under paragraph I8 hereof the Property is acquired 6y Lender, aI1 right, title and interest of $orrower in
<br />and to any insurance policies and in and to the proceeds thereat Ito the extant of the sums secured by this Mort-
<br />gage immediately prior to such sale ar a<'quisitian! resulting from damage to the Property prior to the sale or
<br />aaquisitian shall pass to lender.
<br />& Preservation and Maiateaaace of Property: Leaseholds; Coadoasiaiums. Borrower shall keep the Prop-
<br />erty in good repair and shall not hermit ar commit waste, impainrent, or deterioration of the Property and shall
<br />comply with the provisions of any lease, if this Mortgage is on a leasehold. If this Mortgage is an a condominium
<br />unit; Harrower shall perform all of Borrower's obligations under t}?e declaration of condominium or master deed,
<br />rho by-laws and regulations of the condominium project and constituent documents-
<br />7. Protection of Lender's Security. If $orrower faits to perform the covenants and agreements contained in
<br />this ~Iartgage, or if any action or proceeding is comnzeneed w Mich materially affects Lender's interest in the Prop-
<br />erty, including, but not limited to, eminent domain. insoh-ency, code enforcement., ar arrangements ar prateed-
<br />ings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, may make. such
<br />appearances, disburse such sums and take such action as is necessary to prefect Lender's interest, including, but
<br />not limited tq disbursement of 'easonable attorney's fees end entry aeon the Property to make repairs. Any
<br />amounts disbursed by Lender pursuant to this paragt•ap12 7, with interest thereon, shall became additional indebt-
<br />educes of Borrower secured by ttris tifartgage. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts shall be payable upon notice from Lender to Harrower requesting payment thereof, and shalt bear inter-
<br />est #t»m the date of disbut~ement at the rate stated in the lots unless payment of interest at such rate would be
<br />tantrarg:to applicable law; in which event such amounts shall bear interest at the highest rate permissible by
<br />applicable law. ~Iathrng contained in this paragraph 7 shad require Lender to incur any expense ar do any"-.act
<br />hei`eunder.
<br />$. Ynspeetion. Lender mac make ar cause to be made zeasonable entries upon grid inspections a€ the Prap-
<br />erty, prcryideti• that -Lender-shall love Harrower naiice prim- to any such insiiect-ton slaecifXing resisoisabie cause..
<br />therefor relateii t4 Fender's interFCt in the Property.
<br />9. Co$demnalson. T1te liroteeds of any sward ar claim for damages, direst ar consequential, in tarmEetiisu
<br />witdt any eondemtgatian.or other taking of-the Prapertg, or i>art thereof, ur for coirveyanee- irLlieti gf tatxlentna~.
<br />tioa, are hemby gssigned end shall Ue paid to Lender.-
<br />In the etrent of a tot$1 taking of the Yiopertyr; the proceeds shall be applied to the sums secured -by this Mort-
<br />guge; te;th +.he erLCess, if any, paid to B6Sar«e^. In the-event of a lrartiai fatting of -the. Property, wxless Borrower-
<br />. sed Lender ctb¢rxi.Se sgrr~:-io:wiiting, them slt`,11 1tz app}ieti to the su.us seethed icy phis aga.~tigage such p~pot_:
<br />tiara of the prat.. ~° s is seual t9-ti t ~i-rapc~,on v ha h as amount ai the sums secured ray-this~~~iortgage -.`rdn¢~>
<br />' diately prior to the data of taking-bears to the fair market value of the Property imtaediat;ely prior io Idle datb_sif
<br />taking, with the ba}anae of Llie proceeds paid to fiorTawer.
<br />If the Property is abaridaned by iorrower or if niter notice by bender to Borrnzer that the condemnor pffets
<br />iQ utake a:: a14•s,rd ar mottle a clai~u far demages, Borrower fails to respond io Lender iVititiri 3p days of the date
<br />of sttc:i notice, I:c~r is authorised to col}ere anri apply lire procectis at. F:~ender's option either to restoration or
<br />repair of the Property ar to the sums secured tr.- tdzis ~Iartgage.
<br />'finless Lender: end $ortbwer otiteriviee agree in writing;.-any such application of proceeds to principal shall
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