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If under paragraph 78 hetttof rite Property ie ,old ur rhu~ F'rrtptert}• i= othcrtvise acquired b~- Lender, Lender
<br />~tus!1 appl}-, no later than irnmediateh= prior to the ss;c of nc~~ Prcrl,crt)• nr its aequi~itian h-y Len,,ter, am• Funds
<br />held by Lender at the time of appiicatiot, as a teen{it again:ut th+r sanr~ -ecunai Ly this! 3Icertgage.
<br />3. Application of Payments. Unless apnlii^ahlc lath 1,ircividr~.a a>thern-:ec, ,e!l pasyments recei'ti=ed lay Lender
<br />under the ATOte and paragraphs I and `L hereof sltatl Ito alaplied by Lent{i-r fn•st in pactraen4,. of au,oturi~s l,>ayable t~a
<br />I;ender by Borrower under faragraph 2 hereof, then to interest payable on the Sete and iID Future Advturces, if
<br />any, and then to the principal of the iVote and to the pritcipal of Furitre Advances. if any.
<br />4. Charges; Liens. $orrower shall pay all taxes, assessments anti outer charges, fines and impositions att.rib-
<br />t=table to the Property which may art-sin a priority over this ~tortgap;e, and ground rents, if any, at Lender's
<br />option in the manner provided under paragraph 2 hereaf or by Borrowc° snaking payment, when due, ctirecth- to
<br />the payee thereof. Borrower shall promptly firrnish to bender all notices of amounts due tinder this paragraph,
<br />and in the event Borrower shall make payment directly, Borrower shall promptly fumieh to Lender receipts evi-
<br />dencing such payments. Borrower shall promptly discharge any lien which has priority over this lortgage; pro-
<br />~ vided, that Borrower shall not be~ required to discharge any such lien so long as Borro~rer ,hall agree in .:riting to
<br />the payment of the obligation secured by such Tier; in s manner acceptable to Lender, or shall in good faith contest
<br />such lien by, m• defend enforcement of such lien in, legal proceedings which operate to prevent the enforcement of
<br />the lien or forfeit-are of the Property or any part thereof.
<br />~ 5. Hazard Insurance. $orrower sl?all keep the improvements uoe• 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 may require and in such tuuourrts nud for such periods as L,entier may require: provided, that Lender shall
<br />not require thai the amount ot" such coverage exceed that tnnount of coverage required to pay the sums seeured'by
<br />~ this 3lartgage.
<br />1`+ The insurance carrier providing the insurance shall be chosen by Burrower subject to approval by Lender;
<br />provided, that such approval shall tree be unreasonably withheld. All premiums on insurance policies shalt be paid
<br />at Lender's option in the manner provident water paragraph ': hereaf or 6y 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, tare Lender, to protect
<br />its interest, may pentane 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 htartgage. Failure by Borrawer to comply may, at option of bander, constitute a default
<br />under flee terms of this Mortgage.
<br />All insurance policies and renewals thereof shall be in forut acceptable to Lender and =_hsll include a standard
<br />rnarcgage ciattse in favor of axrir in `lore, acaeptzsb}e to L4ndrr. Lr,ndir -shall hsFC the tight t€= hail the paiici,~s ;utt1
<br />renewals thereof, and Borrower shall promptly furnish to Lender all renescal notices and a!l receipts of paid pre-
<br />miums. In fire event of loss, Borrower shall give prompt notice to the insurance carrier and Lender, and Lends:
<br />tuay make proof of lass if not made promptly by Borrawer.
<br />Iinless Tender and Borrower otherwise agree in ~crat-ing. insurance proceeds shall be applied to restorat-ion ar
<br />repair of the 1'roperiy damaged, provided such restoration or repair is economically feasible anti the securit}• of
<br />this Mortgage is not thereby- impaired. If such restoration or repair is nut economically ieasibie or if the security
<br />of this Mortgage would be impaired, the instn•snce proceeds shall be applied to the Burns secured by this Mortgage,
<br />with the excess, ii any, paid to Ron•ou•er. If the Property is abandoned by Rarrower ar if Borrawer €ails to respond
<br />to Lender within 30 days after notice by Lender to Borrower that the insurance carrier offers to Bettie a claim for
<br />insurance benefiis, lender is authorized to cotlect and apply the insm:zncc proceeds at tender's option either ?o
<br />restoration or repair of the Property ar to the sums secured by this Mortgage.
<br />ITnless Lender and Borrower otherwise agree in writing, any such .opplicatiou of proceeds to principal shall
<br />not extend or postpone the due date of the monthly installments referred to in 1aragraphs 1 anti 2 hereof or change
<br />tlse amount. of such instaUmenL.
<br />If under ltaragrap.". IS hereaf the Property is acquired 'oy Lender, all right, tine and interest e?f Iiormwer in
<br />and tif~ arty insurance poheie€ and in and to t-he pruceet :r therevf Ito t-he extant- of the amps secured by this Mart-
<br />gage irnnx=diat~ely prior Io such sale ar a,,quisitiun, resulting from damage ar the Prcrt~erty prior to the sale ar
<br />aectuiitian shalt pass to Lender.
<br />~, Pr':s~*rvaticn ~:d ?yla~tsn~rree of P:'aperty; Leaseholds; Cencic~r ierrso. Rarrower sh_ all ?<nep CV.e I'rttp=
<br />criy in good repair and slraii not permit or commit wnste, nnpairu~ent, or dtstc=rioration of the Property turd shall
<br />catuply with tit€: itravisions of any- lease, if this :tturt.gage is cut a lcasetraid. If this y`Iorthage is an a candaminiurn
<br />unit, Iarrower ?hsl} perform ail of Ilarrau-t•r s ob[igaiinn under the ~dreiaratia?? ai conden;niurs~ ar ma::ter dse.d,
<br />the by-laws and regulat-inns of the condaminiunt prajert and !•onstituent document.
<br />7. Protection of Lender's Security. I€Borrawer fail to per€ornt the coventsntc: and agreements contained in
<br />this Jortgage, or if any action or proceeding is commenced which nttsterially affects lender's interest in the Prop-
<br />?rGy, including, but, not limited ta, ctnincnt- d~ra.;:. touh~rncy, ,•,hh• infect=eats=nt, or atrangetnents or proeeed-
<br />ings involving is bankrupt or decedent. then Linder at Leaeier', option, ut?un petite,: ttt Borrotcer, ?nay make Burt
<br />appearances, disburse stti•h sums and take such at•tiou as i~ noel=nary ?t, prutccr Lender'<_ interest, irtclttdutg, but
<br />not limitc~i ta; disburscmettt of reasonable attontey'- It=es and t=ntry upon tht' Property to usakc repairs- :1ny
<br />amounts disbursed by Lander pursuant to t}ris paragraph ~ • ~~-ith htterest tltcrean, shall become additional indebt-
<br />edness oi_• Iorrower scoured by this ylort-gaee. ihtlc~~ Rarrower and Lender agree to other teruk of payment, lurk,
<br />amount=. shall be payable upon notice irotu Lcrttier tv Rarroter reyuesung payumut thereof, and shall bear int.er-
<br />eet tram the date of disbursement at the erne stated in the Aat.i urdrss ttayntent of interest at such rata would bo
<br />contrary to applicable taw, to which event such sruounts shall irear interest. st the- highest rate permissible by
<br />applicable ipso. tiathint; conttined in this t.aragrapit ~ shall require I=entice to incur any expense ar da any act
<br />hereunder.
<br />8. InsPeetion, LFrnder Wray nttskc yr reuse to 6c tuaclr r=ts~ausblt• ctttries upon and inspertiaus of thc~ Fritp-
<br />~rt~~, r r.. id€ii i ~, i.arcicr °-ti:lit ei:i^ lzclrFiiivr-r tiatii r' t~rtii*' 4-. .. _ .:a?s t, ,{,--Ii°,.t?an 5pnctfying rF.1-.~. .... ti F~c.x
<br />therefor related to Lender's interest in the I'ratx rtv.
<br />9. CanderUnatian. 'Pte proceeds of any award or claitu far dsnmgcs, dire-ct or consequential, iu canueetiau
<br />wtth nny canderasnation ar ether taking of the Prat>erty, ar tttsrt thereof, or €tn• ram'ecanee in lieu of eondcrnna=
<br />floe, are hereby assigrted and shall be paid to Leader.
<br />In the event of a total taking of the Property, the prose eds +hai! 6r applied to the suers secured by this Mort-
<br />gage, with the excess, if any, paid to Borrawer. I^ tlCe',?vent of s partial taking of the Property, unless Borrower
<br />and Under otherwise agree in writing, there shall be applied to the Bunts seeurttii by this Mortgage such prapor-
<br />tian of the proceeds as is equal to that proportion which the amount of the stuns secured by this Mortgage imme-
<br />diately prier to the date of taking bears to the fair urarkct value of fire Property iutrucdiateh• prier to the date of
<br />taking, with the balance of the proceeds paid to $orrower.
<br />If the Property is abandoned by $orrower or if after notice by Lender to Borrawer that the condemnor offers
<br />to make art awarl or settle a claim far damages, Borrawer fails to respond to Lender svrthin 30 day°s of the date
<br />of such notice, Lender is authorissti to lot}ect and apply t-ha proaeetia at Lender, option either to restoration er
<br />repair of rho Ptap2rty or to rho sums securz;d by this \ f ort ;age=
<br />i}pleas i,ender and Borrower at~.etwise agree in writing, any such application of proceccls to principal shall
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