|
If under paragraph 78 hereof the Property is sold or the Property is otherwise acquimd by Lender, Lender
<br />shall apply, no later than immediately prior to the sale of the Pr•opert.y or its acquisition by Lender, any Funds
<br />~„ held by Lender at the time of application as a credit against the sum; secured by this 3lorigage.
<br />~ 3. Application of Payments, unless applicable l:rn provides otherwise, all payments received icy Lender
<br />ty under the Note and paragraphs 1 and 2 hereot• shall ITC applied by Lender lust in payment of amounts lsayable to
<br />~ Lender by Borrower ender paragraph 2 hereof, then to interest payable on the \TntC and on Future Advances, if
<br />~ any, and then to the principal of the \otr and to the princilta] of Future Advances, it any,
<br />4. Charges: Liens. Borrower shalt pay ail tales, assessments and other charges, fines and impositions attrib-
<br />arable to the Propert}' which may attain a priority over this Mortgage, and ground tents, if any, at Lender's
<br />~ option in the manner provided under paragraph F hereof or by Borrower making payment, when due, directly to
<br />~ the payee thereof. Borrower shall promptly furnish to Lender all notices of amounts due under this paragraph.
<br />and in the event Borrower shall make payment directly, Borrower shall promptly furnish to Lender receipts evi-
<br />dencing such payments. Borrower slsall promptly discharge any lien .which has priority over this Mortgage; pro-
<br />vided, that Borrower shall not be required to discharge any such lieu so long as Borrower shall agree in writing to
<br />the payment of the obligation secured by such lien iu a msnrer aceept.able to bender, or shall in good faith contest
<br />such lien by, or defend enforcement of such lien in, legal proceedings which operate to present the enforcement of
<br />the lien or forfeiture of the Property or any part thereof.
<br />5. Hazard Insurance. Borrower shall keep the improvements now existing ar hereafter erected on the Prop-
<br />erty insured against loss by fire, hazards included within the term "extended coverage", and such other hazards as
<br />Lender may require and in such amounts and for such periods as Lender may require; provided, that. Lender shall
<br />not requite that the amount of such coverage exceed that amount of coverage required to pay the sums secured'by
<br />this Mortgage.
<br />The insurance carrier providing the insuranre shall be chosen br 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 in the manner provided under paragraph 2 hereof or b}• Barron-er making payment, when due,
<br />direetip to the insurance carrier.
<br />In the event any policy is not renewed on or before ten days of its expiration, the Lender, to protect
<br />its interest, may procure insurance on the improvements, pay the premiums and such sum shall become
<br />immedia_teiy due and payable with interest at the rate set forth in said note until paid and shah be
<br />secured b}> this Mortgage. Failure by Borrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage.
<br />All inssrrattee policies and renewals thereof slsxll he in form arceptable to Lender sad shxli include a standard
<br />mortgage clause in favor of and in form acceptable to Lender. Lender shall have the right to hold the policies and
<br />seneasals thereof, and Borrower shall promptly futtsish to Lender all renewal notices and sli receipts of paid pre-
<br />mitn:s. In the event of lass, Borrower shall give prompt notice to the #nwrsnre carrier and Lender, and Lender
<br />may make proof of loss if eat made promptly by Borrower.
<br />Unless Leader and Borrower othernise agree in writing. insurance proceeds shall be applied to restoration or
<br />r~sair• of the Pmpem• damaged, provided such restoration or repair is economically feasible and the security of
<br />flog ?riortgage is rat thereby impaired. Ii such restoration or repair is not economically feasible or if the security
<br />of this Mortgage would be impaired, the insurance }poceeds shs#I be applied to the sutras secured by this Mortgage,
<br />with the excess, if any, paid to $orrower- If the Yroperh> is abandoned by Borrower or if Borrower fails to respond
<br />to Lender within 30 days after notice by Lender to Borrower thsi the insurance carrier offers to settle a claim far
<br />insurance benefits, Lender is authorised to collect and apply the insurance proceeds st IRnder~ option either to
<br />restoration or repair of itse Property or to the sun>_c secured by this Mortgage.
<br />Unless Lender and Borrower athenrise agree in writing, any such application ai proceeds to principal shall
<br />r~ erttead ar postlsone Ilse due date of the monthly ina-taliments referred to in paragraph:: I and 2 hereof or change
<br />the amount of such iastaIltnents.
<br />If tinder paragraph 18 hereof else Property is acquired by Lender, x#3 right, title and interest of Borrower in
<br />sad to soy insurance galieies and in and to the proceeds. thereof eta the extent of else sums secured by this Mort-
<br />gage immediately prior to such sale ar acquisitions trsulting Tram datrsage to thy- Property prior to the a-a#e or
<br />as~uie#is® shall pass to Lender.
<br />ti asd w pzo;: Leasahaids; Caad~tiunts. Borrower shall keeg the Prop_
<br />erty is good repair and slsaii eat permit ar commit u-aste, impairtrtent. or deterioration of the Property and shall
<br />eaaaply >icith the pnoriaions ai any lease, if this \irtgage is an s leaseisold. Ii this lortgage is on a condominium
<br />emit„ $txrawcr shall perform all of Bonroacer's obligations under the declaration of condominium or master decd,
<br />the by-Isaws and zegulatiens ai the condominium project and constituent documents.
<br />7. Baasteetion of Lama's Saearity. Ii Borrower asi3s to Ixriornt the corenants and agreements contained in
<br />thg Martga;c, or if any action ar prt:ceeding is commenced which materially affects Ixnder ~ interest in the Prop-
<br />erty, ~claaaing, but naz limited to, eminent domain, itt;olvencv, rode enforcement, ar arrangements or prot>eed-
<br />irrvolvitg a bankrupt car deeedmt, xhca Leer at Ixnder ~ ogtiar., upon notice to Borrower, may make sash
<br />app, diabtrrsc strr}s sums and take such actiar. ao; is necessary to protect Lender's interest, including, but
<br />sot limited to, disfxurswsent of teaeoaable attorney's fees and earn upon the Property to make repairs. Any
<br />sss>imsts disburscxf by Leader purat to tl4zs I,*aragraph 7, with interest then3on, shall become additional indcb#c
<br />edaem of Barsaxv~ seettred by obis \tongagc. l;nless Borrower and Lender agree w other Terms of payment, such
<br />aor alsatl be payable upon aotire from Lender tts Borrower ra~ueating payment themof, and shall hear inter-
<br />eat frown Ilse date af~ disbursrmersL at #lx rate s*.,ated in the ?tote unless payment of irstercat at such rate would be
<br />to afSplscable law, in tchich et`eat such amounts shall bear interest at the highest rate pcrmiasibk by
<br />apse law. ~aehing contained is thi= paragraph i shall require Ixnder to incur any expense or do any act
<br />$. Iarpae~aa. Leader may Hake or cau.~ to t,c madr trawnablc entries upon sad ins}secriona of the Prop-
<br />+er[ty; p~a7ided that. I.ersclcr shall give Borrower nosim ptiar to env +uels ntapectaon specifying reaaorsable carter
<br />an• se?~ta! to T,smdas•'a isste:te~ ~ the Property -
<br />9. Caadaesa6oe. Tate prasxeda of say award or claim for damages, dsrert ar eunsrquential, in rnrmcetian
<br />~J ea• other taking of xisc Property. or hart thereof. or for conveyance in lieu of coademaa-
<br />tasa, ate hmeby and shall be paid tcs i.ender.
<br />Ia tsveast ~ a total takir~ of the Praperry, the proceeds slsal# he applied to the sums secured by this ~fort-
<br />E~. trtt3t-tltie e~t~ssa, ~ a}ny, paid is $aetrverer. In the evcsst, of a partial taking of the Property, unieas Borrower
<br />Aard Iieetiee st+iriltt is nnitiog, tb~c alsali be sppfied to the autos assured by this Mortgage such prn}wr-
<br />rasa ai t~ln pseadeds sa a equal to t1r*t prvparrticua wfiieh the amwnt of the sums aeeurYCf by this Mortgage imme-
<br />3 psl~ria else die ~ faklsg bra3s to the fair uraratet: value of Ilse Pr~seriy immediately prior to the date of
<br />eriti the BaJ~uos ~`t;6e praoeet~t paid Ca Bazrower.
<br />Ii #te Prstg is alsaadot~d by Borrower ar it after ixuiec by Lender to Harrower that the condemnor offers
<br />is staioe an awat+ti ar setkfe a alslai-fair darn>~, $orrower fails to respond to Ixnder within 30 days of the date
<br />-L~~tw~~-~ '~ ~w.;'~~~ ap,^-'.-~ ~~.€ a* I~add;•~r'a optaos cle=ar tts ; ~orat~sn ar
<br />~ twaa Prosy iw to the aflta aaaarast by Mortgage.
<br />IIaIaY LestdEt sn:i Borzaw~ otherrise isgne Ira writing, any such application of proceeds to principal shall
<br />;~ ~,
<br />
|