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If under }~aaragraph 1S heeeaf the Propm•ty is sold or tldc Yroperty is ot}'tervs~ist: aequit•eti. I+g- Lel+te{er. Lersdcr
<br />shall apply, ^ct later than inunediately prior tat the salrr of Ghe I'ropert~ ear its ;tcyuis~ition in• L.ender.:ttty I•'unsas
<br />held by Lc,rttler at. the tinge of apfalicattion as a eredi~t.:~,gain=t. the sum. .,ernrc,i by thi.t ~Iortgagr.
<br />;i. Application of Paginents. Ilnless applirat~le (taw Itrovi;Irs~ otittrwt>r,„~• a,ll pa}nmm~ti Irt;civt¢t fi>}- L~e~ndt~tr
<br />under the Note and paragraphs I anti `L hereof sfttrll Ire :apRilittd b}• L,~tranlcr tirsl in paytncnt of tttatatsnts l;rt~tyable t.o
<br />Lender by Borrower under paragraph ~ hereof, Isltett to interest Itayrtlzpe nn tits, 1"Soi,erv unad'~ ran ~Ii'ttr.~ux+ }riva~rtates. if
<br />any, and then to the principal of the Note and to the ln'1RCIpaI of Future .~dcanc•es, if ors.
<br />4. Chargett; Liens. Harrower shall pay all taxes, assessments and other charges, fines and impositions attrib-
<br />utable io the Yroperty which may attain a priority over this 3tortgage, and ground rents; if any, at Lender's
<br />option in the manner provided under iaragraph 2 hereof or by Horrow•er 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 Borroaver shall make payment directly, Borrower shall prompt!}- tarnish to Lender receipts evi-
<br />~) dancing such payments- Borrawer shall promptly discharge any lien which has priority over this Mortgage; pro-
<br />vided, that, Borrower shall not be required to discharge :ut}• such lien so long as Borrower shall agree in writing to
<br />the payment of the obligation secured by such lien in a manner acceptable to Lender, or shalt in good faith contest
<br />such lien lay, or defend enforcement ot" such lien in, legal proceedings which operate to present the enforcement of
<br />the lien or forfeiture of the Yroperty or any part thereo+.
<br />5. Hazard Insurance. Borrower shall keep the improvements aow• existing or hereafter crocked on late Pmp-
<br />(,~ arty insured against loss by fire, haaards included within the term "extended coverage", and such other hat,ards as
<br />n Lender may require and in such amounts and for such prriods tts Lender may req•.tire, procidad, that Le*.rder shall
<br />not require that the amount of such coverage exceed th:u amomtt of coverage required to pay the sums securnd'hy
<br />This i\Iortgage.
<br />The insurance carrier providing the insurance shall be chosen by Borrower subject to approval by Lender;
<br />provided, that such approval shall not be unreasonatily wiihheld. 9l1 premiums on insurance policies shall be paid
<br />at Lender's option in the ntam;er provided undec• paragraph 2 hereof or by Borrower making pa}-:nent, when due,
<br />directly to the insurance carrier.
<br />In the event any policy is not renet.•ed 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 payahte with interest at the rate set forth in said noie until paid and slraii i,i:
<br />secured by this blartgage. Failure by Borrower to comply may, at option of Lender, constitute a default
<br />under the trra~s of this &iortgage.
<br />A31 insurance policies and renewals thereof shall be in funs acceptable to Lender and -hail include a standani
<br />mort{;age clause in favor of and in form acceptable to Lender. Lender shall have the right to bald tlra: Italicies and
<br />renewals thereof, :and $orrower shall prantptl}• furnisl: to Lender a'.I renewal notices and all receipts of paid pre-
<br />miums. Lt the event of loss, Borrower shall give prompt notice to the insurance carrier and I,endar, and Lender
<br />may utake proof of loss if not made promptly by Borrower.
<br />Unless Lander and Borroaver athenvisc agree in writing, insurance. proceeds shall be applied to resmraticm or
<br />repair of the Yroperty damaged, provided such rastot•atiott yr repair is crunu+nicaliy feasible atxi the securit}- of
<br />this liort.gage is not thereby impaired. If such restoration or repair is not economicaliv feasible or if t.he. aerurit}'
<br />of this \iortgage would be impaired, the insurance proceeds shall 6e applied to the sums secured by this Dlortgage,
<br />with the excess, if any, paid to Borrower. If the Yroperty is abandoned by Borrow•cr or if Borrower iaiis to respond
<br />to Lender within 30 days alter notice by Lender to Borrower That the insurance carrier offer, to settle a claim for
<br />insurance benefits, Lender is authorised to collect and appl}• the insurance proceeds at Lender's option either to
<br />restoration or repair of the Properly or to the sutras secured b}- [his \[ortgage.
<br />Unless Lender and Borrower otherwise agree. in writing, any such applicat•iou of pmeeeds to principal shall
<br />not extend or postpone the due date of the monthly instalitnenta referred io to paragraphs I and `l. hereof or change
<br />t=he amount of such instaltmente.
<br />1t under paragraph iaa hereof cite•r`rvprrta' is acyuireu I.y Leuue+, <., rig.,t, t - u,-,.. ,rarr: ° B;,.ru:-.r ,,
<br />and to W,t}• ineur.:nta i~oiici~ and in .,r.,: to thr proceeds thereof itu tlu~ extent of fate gums seeurec4i,v t{+is ?,iort-
<br />gage immediately prior to such sale ar ac•quisitioot resetting from d:ut+agr to the Yropert-ti prior to the sale or
<br />.. ;-',d:ran t! nn ,:- ~c r__ I.e! jf'-r.
<br />i ~~6. I~reservation and ASaiatenanca of Psagarty: Leasshalda: Candaminiuma. Barrtwer shsali k~cp tne Yrvp-
<br />erty : - - oat rep air atui sltali ntn perm. €tr ceatunn' waste, ittt{ta=.rtucnE ur deteriaratior, u€ the Yrapi?rty and sl;sll
<br />comply r t`lr •ha -+ro,+y+c. ~f an}-' ~ ~, if tht ilartgu~e is -oat a ,+~a claal~{• It this \Iorty,ae is e;: a eandamtnirrrrt
<br />unit, Einrrower _etrall pts•ftirm all of Borrower's obligations +~nder• tl+c dut~laratiun of randatariniutn trr toaster did,
<br />the by-laws nod regular{oats of t}te eandotttuuatu project :tad constituent documentl5.
<br />7. 1?raia..tiosr of bender's Security. if Borrowee fail. to perform the covenants ami agreements eantatne<i ir:
<br />this \Iort~age, ar if any action or proccedin}; is connuenced whiel+ materially afi'ects bender's interest in the Prop-
<br />ert.y, including, t,ut net Limited to, eutinent iiunwiu, iu•oh•ency, rodr enfurrentent, ur eu•raugentcnts or proeetal-
<br />ings involving a bankrupt or decadent, thou Lender at Lender's uptiun, upon nottcc• to Borrawer, =nay make such
<br />appearances, disburse such awns sad take such action as is necessary io protect Leu~ter's interest. including, but
<br />oat L*mited to, dishursentent of reasonable attorne_y's fee; and entry upon the Yro}terry to _utake repaint. ~tty
<br />arriounts tiiabu~ed by Lender pursuant to this paragraph 7, a~•ith interest thereon, shall laecame additional irtdebtr
<br />edness ui Borroaver seeure,t 6y this Mortgage. finless Borrower and Lender agree to other ternts of payment, such
<br />amounts shall be payable upon notice from Lender to Borrower requesting payment thereof, and shad bear inter-
<br />$at Irom the date. ni disbutse.tuent at the rate stated in the Vote unless payment of interest at such rate would be
<br />contrary to apphcable law, in which event such aruaunts shad bear interest. at t-he highzet rates perniiasibir 6y
<br />appticatrie iaw.:votitiug contsritted in ti+is parrgrapit 7 shall require Lender tat incur guy expense or do any act
<br />hereunder.
<br />B. Inspasiion. Lender utay make ar cause to he tuade reasonable retries upon and inspections of the Prop-
<br />- arty, pray{deal drat Lender shat; yivc Borrower notice prig to anv such it~st+ectiort speeifyine< reasonable eattse
<br />tfierefar related to Lender's irttere±t rn the Yroperty,
<br />3. Cmidamnaiios. The proceeds of nny award ar ciaitn for' damages, direct ar consequential, in connection
<br />with nny condemnation or other taking of the Yroperh•. or part thereof, or fur ronceyauco in lieu o{ eundcnma-
<br />tion, are hereby assigned and shall be paid to Lender.
<br />In the event of a total taking ai the Yroperty, the l+roreeds .Hall br applied to the runts secured by this ilort-
<br />gage, with rho exeesa, 9f arty, paid to Borrawer. In the ev@nt of a partial taking of the Frapert}•, unless Borrower
<br />and Lender otherwise agree in writing, them. shall be appiieti tv the sutras securc^d by this llortgagc such proltor-
<br />• lion of rho praeeeds as is equal act :hat prapartion which the amount of the sums secured by this :lfortgage imme-
<br />diately prior to the dart: of taking bears to the fair warset value of the Yroperty itmucdiateh• prior to the date of
<br />taking, with the balance of the proceeds paid to Borrawer.
<br />If iho Property is abandoned by Botrnwer or if after notice by Lender to Borrower that the condemnor offers
<br />to make an award or settle a claim for damages, Borrower faits to respond to bender within 3t1 days of the date
<br />of such notice, Lender is author{ued to collect grad apply the ptaoeeda at Lender's option Dither to restoration or
<br />repair of the Yroperty or to the stuns secured by this \iortgage.
<br />Unless Lender and Borrower otherwise agr~ in writinP, any such application of proceeds to principal shall
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