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<br />GL?
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<br />If render Ivi•;ragraph i8 hereof the Yrohrrtp im sold srr Ttse IPro,;ertc i~ ritex-,~re a~qu'uned i;t• Is_r3der. Lender
<br />s4tali ~al~,uply, no later than immediately prior to ri:c• Talc of rite- Pno;3e°r';~ uss its ;ucsui<i.ic~tn l~r Lraxisr, rtv:}• I•~~unai:,;
<br />]tell by L~cnt'ler at the time of applicatior, as a ~°,rediC again-~ rche Lr ~ cure- n~~ thi ~Iertiga,,c.
<br />3. ';Appliecttion of Payments. L'~nless apl:I'reablr lau provider otl.erwt s, all payments rer.Frived by ;Landes
<br />under Ehe'1~'ote and paragraphs l and 2 ibereof s~taII be applied iuy Lcndfr fir_-t rn payment of amounts payable to
<br />I~nder by Borrower under paragraph 2 hereof, titer to interest payable on the 'title and ar, Future Advarcec, if
<br />any, and than Lo the principal of the "dote anti to rite principal of Future advances, ii any.
<br />4. Charges; Liens. Borrower shall pay all kaxes, assessments and other charges, fines and impositions attrib-
<br />utable to the Property which may attain a priority over this Mortgage, and ground rents, if any, at Lender's
<br />option in the manner provided under paragraph 2 hereof or by Borrower rnakirg payment, when due, directly to
<br />the payee thereof. Borrawer shall promptly furnisl: to Lender all notices of amount_c 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 shall promptly discharge any Lien 4vhieh has priority over this lortgage; pro-
<br />vided, that Borrower shall not be required to discharge any such lien se long as Borrower shall agree in writing to
<br />the payment of the obligation secu*ed by such lien ir. a manner acceptable to Lender, or shall in good faith contest
<br />such lien by, or defend enforcement. of such lien in, legal l7roceedSngs which operate to prevent the enforcement of
<br />the lien or forfeiture of the Property or any part thereof.
<br />5. Haaard Loauraace. Borrower shall keep the ituprovetnents now existing or 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 ma}• require and in such amounts and for such periods as Lender may require: provided, that Lender shall
<br />not require that the amount of such coverage exceed +.itat. amount of coverage required to pay the sums secured'by
<br />this lwfortgage.
<br />The irsurauce carrier providing i.he insurance shall be chosen by Borrower subject to approval by ?ender;
<br />provided, that such approval shall not be unreasonably withheld. All premiums on insurance policies shalt be paid
<br />at Lender's option in the manner provided under paragraph 2 hereof or by Borrower 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 expiration, the Lender, to protect
<br />its interest, may procure insurance on the improvements, pay the premiums and such sum shall 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 Borrower to comply may, at option of Lender, constitute a default
<br />under the terms of this Mortgage.
<br />All insurance policies and renewals thereof shall be in form acceptable io Lender and shall include a standard
<br />mortgage clause in fever of and in form acceptable to Lender. Lender shall have the right io hold the policies and
<br />renewals thereof, and Borrower shall promptly furnish to Lender all renewal notices and all receipts of paid pre-
<br />miums. In the event of loss, Borrowet• shall give prompt notice io the insurance carrier and Lender, and Lender
<br />may make proof of loss if not made promptly by Borrower.
<br />Unless Lender and Borrower otherwise agree in writing; insurance proceeds shall be applied to restoration or
<br />repair of the Property damaged, provided such restoration or repair is economically feasible and the security of
<br />this Mortgage is not thereby impaired. If such restoration or repair is not economically feasible or if the security
<br />of this Mortgage would be impaired, the insurance proceeds shall be applied to the sums secured by this Mortgage,
<br />with the excess, if any, paid to Borrowet•. If the Property is abandoned by Borrower or if Borrower fails to respond
<br />to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to settle a claim for
<br />insurance benefits, Lender is authorized to collect and apply tL•e insurance proceeds at Lenders option either to
<br />restoration or repair of the Property or to the sums secured by this Jortgage.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall
<br />not extend or postpone the due date of the monthly installments referred to in paragraphs 1 and 2 hereof ar change
<br />the amount of such installments.
<br />If under paragraph I$ hereof the Property is acquired by Lender, all right, title and interest of Borrawer in
<br />and to any insurance policies and in and to the proceeds thereof (to the extent of the sums secured by this Mort-
<br />gage immediately prior to such sale or acquisition) resulting from damage to the Property prior to the sale or
<br />acquisition shall pass to Lender.
<br />6. Preservation and I~.aiateaance of Property; Leaseholds; Condominiums. Borrower shall keep the Prop-
<br />erty in good repair and shall not pertnit or commit waste, impairment, or deterioratiot: of the Property and shall
<br />comply with the provisions of any lease, it this ~Iartgsge is on a leasehold. If this Mortgage Ss on a condominium
<br />unit, Borrower shall perform all of Borrower's obligations under the declaration of condominium or master deed,
<br />the by-laws and regulations of the condominium project and constituent documents.
<br />7. Proteetioa o! Lander s Security. If Borrower fails to perform the covenants and agreements contained in
<br />this Mortgage, or if any action or proceeding is co;umenced which materially affects Lender's interest in the Prop-
<br />erty, including, but not limited to, eminent domain, insolvency, code enforcement, or arrangements or proceed-
<br />ings involving a bankrupt or decedent, then Lender at Lender's option, upon notice to Borrower, easy make such
<br />appearances, disburse such auras and take such action as is necessary to protect Lender's interest, including, but
<br />net limited tA, disbtusement of reasonable attorney's fees and entry upon the Property to make repairs. Any
<br />amounts disbursed by Lender pursuant to Chia paragraph 7, with interest thereon, shall become additional- indebt-
<br />edness of Borrower secured by Ghis Mortgage. Unless Borrower and Lender agree to other terms of payment, such
<br />amounts shaft be payable upon notice from Lender to Borrower requesting payment thereof, and shall bear inter-
<br />estfrom the date of disbursement at the rate stated in the Note unless payment of interest at such rate would be
<br />contrary to applicable law, in which event such amounts shall bear interest at the highest rate pet•mieaible by
<br />applicable law. Nothing contained in this paragraph 7 shall require bender to incur any expense or do any set
<br />hereunder.
<br />8. Inspection. Lender may make or cause to be made reasonable entries upon and inspections of the Prop-
<br />erty, provided that Lender shall give Borrower notice lu•ior to app such inspection specifying reasonable cause
<br />therefor related to Lender's interest in the Property.
<br />9. Condemnation. The proceeds of any award or claim for damages, direct or consequential, in connection
<br />with any condemnation ar other taking of the Property, m• part thereof, or for conveyance in lieu of condemna-
<br />tion,. aze hereby assigned and shall be paid to Lender.
<br />In the event of a total taking of the Property, the proceeds shall 6e applied to the sums secured by this ~iort-
<br />gage, with tl?g excess#if any; paid to Borrower. In the event of a partial taking of the Property, unless Borrower
<br />'and Lead~i• bthersv"t~ agree to writing, -there shall be applied to the emns secured by this Mortgage such propor-
<br />tion of the proceeds as is equal to that t roportion which the amount of the sums secured by this ;Mortgage imme-
<br />diately prior to the date of taking bears to the fair tuarket value of the Property immediately prior to the date of
<br />taking, with the balance of the proceeds paid to Borrower.
<br />If the Prgpertg ie abandoned by Borrower or if after notice by Lender to Borrower that the condemnor offers
<br />io make an :award or settle a claim far damages, Borrower fails to respond to Lender within 30 days of the date
<br />of such notice, Lender is authorized to enllect and apply the proceeds at Lender's option either to restoration or
<br />repair of the Property or to the sums secured by this \iortgage.
<br />Unless. Lender and Borrower othervise agree in writing, any such application of proceeds to principal shall
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