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If under paragraph 18 hereof the Property is :old ar t1rB Property is athenvisc :rrgttireci 'rsy Lender, Lender
<br />shall apply, no later than immediately prior to tht~ sale of the }'roperty or its acgtrrcaitian by l,etrder, any Funds
<br />head by Lender at the fine of application as a credit.- against du' stun. secumd h~~ this :Aortgage.
<br />$. Application of Payments. IJnlcss ::I.itlicahie lea' iu•ovides otherwise, all payments received by Lender
<br />under the Note a?td paragraphs 1 and 2 hereof shall ioc apl*iied by Lender first- in payment of amamks payable to
<br />Lender by Borrower under paragraph `l hereof, then to interest payable on the Note and ar. Future Advances, if
<br />any, and Then to i:ne principa} of the irotc and to the principal of i•uture Advances, if any.
<br />¢, Charges; Liens. Borrower snail pav alI taxes, assesstt?ants and other charges, fines and impositions attrib-
<br />utable to the Property which may attain a priority.tver thisitortgage, and ground rents, if any, at Lender's
<br />option in the manner }travid2•.: under l;aragra}>h ~ hereof ar l,;• Bonnwer makine naymer?t,_ ?vhen due, directly t.o
<br />the novae tharaaf. Borrower sl?ail promptly furnish to Lender a14 notices of antaunts .lac under this-baraaraph,
<br />and in•the event Barrowar shall make payment directly. Borrower shall }>rompily furnish io Lender receipts evi-
<br />~' dancing such payments. Borrower siraii promptly discharge any lien which has priority over this Aortgage; pro-
<br />'~°'t vided, that Bormwar shall net be required tp discharge any such lien sa long as Borrower shall agree in writing to
<br />L`-:ihe navment of the obligation secura~+ L-y sac}: Ii€n in .r rnanre^ acceptable to Lender. or shall in good faith contest
<br />+~suBh lien Uy, ar defend ahfarBeri,cnt of such liBn in, legal }rraBecdirtgs ::•I:iBI: operate rn ;;r,>vent the enforcement of
<br />.°-+the lien or forfeiture of the Property or any part thereof.
<br />.:a 5. Hazard Insurance. Borrower shall keep the iniprovea?eats haw existing ar 'hereafter erected or. the Prap-
<br />arty insured against loss by fire: hazards included within the tens "extended coverage", :and such other hazards as
<br />~ Lamer may require and in such amounts and for such neriads as Lender may require ; pravitied, that Lender shall
<br />la; not squire that the amount of suelt coverage exceed tl-iat amouni of coverage regt?trecl t.o }ray the sums aesured'by
<br />this 4`4ortgage.
<br />The insurance carrier providing ilre insurance shall be chosen by Borrower sub~PCt to approval by Lender;
<br />provided, that such approval shall not be unreasonably withheld. Ai3 premiums on insurance palicies shall be paid
<br />at Lender's option in the manner provided under paragraph `2 hereof or by Bor?•awer making payment, when due,
<br />directly to the insurance Barrier.
<br />In the event-any pofiey is hat renewed on or before ten days of its expiration, the Lander, to protect
<br />its interest, may procure insurance on the iutprovements, pay the premiums and such sum shall became
<br />immediately due and payable with interest at the rata set forth in said Hate until paid and shall be
<br />secured by this Mortgage. Railure by Borrower to comply may, at option of Lender, constitute a de#ault
<br />under the terms of this Mortgage.
<br />Ail insurance palicies and renewals thereof :hail be in forth acceptable to Lender and shall include a standard
<br />tnortgaga Blouse in favor of and in form acceptable to Lender. Lender'shall have the right- to hold the policies and
<br />renewals thereof; and Borrower shall promptly furnish to Lender ail renewal notices and ail receipts of paid pre-
<br />miums. In the event of loss, Harrower shall give prompt notice to the insurance carrier and Lender, and Lender
<br />may make proof of loss if not made promptly bq Borrower.
<br />Uniass Lender and Borrower otherwise agree iu writing, insurance proceeds shalt he applied to restoration or
<br />repair of the Properly damaged, provided such restoration or repair is econamica}l_r• feasible and the security of
<br />this 1ortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security
<br />of this l~Tartgage would be impaired, the insurance proceeds shall i>e applied to the sums secured by this Mortgage,
<br />with the excess, if any, paid Co $orrevQr: If the Property is abantlo=.ted by Harrower or if Borrower fails to respond
<br />to Lender within 30 day s after notice by Let?der to Bo?-rawer thai the insurance carrier offers to settle a Blaim far
<br />insurance benefits, Lender is auiharized to Boiled and apply tlrc insurance proceeds at Lender's o}rtian either tr
<br />restoration ar repair of th€ T~,agerty ar to the sums secured by this Mortgage.
<br />Unless Lender and Borrasver otherwise agree in writing, any such application of proceeds to principal shall
<br />not extend or postpone the due date of the monthly installmeuts referred io in paragrapl?s 1 and 2 hereof or charge
<br />the amount of such installments.
<br />If under paragraph 18 hereof the Property is aBquired 6y Lender, sii right, title and interesi of B,arrower in
<br />and to any insurance policies and in and to the proceeds thereof stn the exient of the sums secured by this Iviort-
<br />gaso immediately prier to such ral€. ar acquisitioal-culling from damage to the Property prior to the sate or
<br />acquisition shah pass to L€nder.
<br />fi. Freservatioa and Maintenance of Property; Leaseholds: Condominiums. Borrower shall keep the Prop-
<br />erty in goad repair and stroll hat permit or commie waste. impairrt?eni. or deterioratiar: of the Properly and shall
<br />comp}y with the provisions of any lease, if this Jortgage is on a leasehold. Tf ibis Mortgage is on a condominium
<br />unit, Ban•ower shall perfonu alt of Borrower's obligations under the declaration of condominmm or master deed,
<br />Iha by-laws chid regulations of the eandartiniun; ,,.ra;ect and constituent. documents.
<br />?, Protection of Lender`s Security. If Harrower fails. to perforn? the covenants and agreements contained in
<br />this Mortgage, or if shy faction or proceeding is comp?eneecl ;virich materially affects Lender's interest in the Prop-
<br />erty, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements ar proceed-
<br />ings involving a bankrupt or decedent, Then Lender at Lender's option, upon notice to Harrower, may make such
<br />appearances, disburse such sums and take suBh action as is necessan• to protect Lender's interest, including,-but
<br />not Limited to, disbursement of reasonable attorney's 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 />etfnea~a a# Harrower secured by this Mortgage. unless Borrower and Lender agree to other terms of payment, such
<br />amounts shall be payable upon notice from Lander to Borrower requesting payment thereof, and shall bear inter-
<br />est from the date of disbursement at the rate stated in the Note unleU payment of interest at such rata would be
<br />Bonfirary to applicable law, in which event such amcunts shalt bear interest at the highest rate permiasible by
<br />applicable lsw. Nothing contained in this paragraph 1 shall require Lender to incur any expense or do any act
<br />hereunder.
<br />$. Inspection. Lender may ?Hake or cause to he rnadc reasonable eniries upon and inspections of the Prop-
<br />erty, provided that Lender shall give Harrower notice prior to any such inspection specifying reasonable cause
<br />therefor rotated t-0 L: nder's interest in the Prape,-ty.
<br />9.. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in cannectian
<br />arith.rcny eandetnnation ar nth€F takL~ig of ti?e Praliarty. or part thereof, ar for conveyance in lieu of condetnna-
<br />lion, are hereby agsigried and shaft ba paid to Lauder.
<br />In the Qyt~s_ tt trf °a total taking of the Property, the prace~}s shall he applied to the sums secured by this ;Llort-
<br />gage,arriClx the e;itcess, if any, Maid to Borrower: In the avant of a partial-Caking of the Prapesty, artless Barrawar
<br />and Lender athenviss agree in eYriting, there ehali be applied to the sz~i'ns secured. by this 3~fortgage such pr~por-
<br />tion of the proceeds as is equal to that, proportion which the amount of-the sums seBUred by this !>Iortgage imme-
<br />' diatelg pioi° to the dates a€ faking bears to the fair ittarkct wafue of t}te Pmparty;imniediateiy prior to the date- of
<br />Wig, with balance of the pracaada paid to Borrower.
<br />If Eke~?raperty, i~ abandoned by iiorrpwei• or if after notice try Leirder to Barrawar that the condemnor offers
<br />to mak€-.ail award or settle a claim tar ctamagas~ 8orrawer failr, to respond to Lender within 3© days of the dais
<br />of ouch notice, Lender is autharirad to collect and apply fife }3roceeds'at Lender's option either to restoration or
<br />repay of the Property or to the sums aeetirad,by this >Iprtgage.
<br />Unless Lender and Borrower athernise agree in writing, any sualr application of proceeds to principal shall
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