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<br />If tmcier paragraph 18 hereof the Yropcrty- is gold or the Yngrert;v is otircrwise acquired by Lender, bender
<br />,hall apply, no later than inunediateiy prior to the stile ai the Pmperkv m' its acquisition by Lender. env bonds
<br />held by Lender nt. the tirue of application as a credit agsinst the soars seemed be thi.=. Aiortga~e.
<br />3. Application of Payments. Unless applicable law provides othenvisc, all payments mcvived by Lender
<br />^ndcr the Note and paragraphs I and 2 hereof shall he applied by Lender first. in payment of amounts payable to
<br />Lender b}- Borrower under paragraph 2 hereof, then to interest payable on the Note and on Puh•-•e Advances, iE
<br />any, and then to the principal oI the Notc and to the principal of Putw•e Advances, it any.
<br />9. Chargesi Liens. Borrower shall pay ail taxes, assessments and other charges, fines and impositio??s attrib-
<br />utable to the Property which may attain apriority-over this Mortgage, and ground rents, it uny, at Lender's
<br />option in the manner provided wider paragraph 2 hernof or try Bm•rowet• making payment, when due, directly to
<br />the payee thereof. Burrower 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 tarnish to Lender receipts evi-
<br />dencing such payments. Borrower shall promptly discharge ;ury lien which has priority over this Mortgage; pro-
<br />vided, that Borrower shall net be required to discharge an}~ such lien so long as Borrower shall agree in writing to
<br />~+i the payment. of Ghe obligation secured by ;ash lien iu a manner acceptable to Lender, or shall iu good faith contest
<br />s~ such lien by, or defend enforcement of such lien in, Icgsl proceedings which operate to prevent. the enforcement. of
<br />~ the lien er forfeiture of the Property or an}• part thereoY.
<br />~ 5. Hazard Insurance. Borrower shall keelr the improvements now existing or hereaftet• erected on the Prop-
<br />~ erty instu•ed against loss by fire, hazards iuclnded within the Germ "extended coverage", and such other hazards as
<br />Lender may require and in such umouuts and tar such periods :c Lender may require; provided, that Lender shall
<br />r ~ not require that the amount of such coverage exceed that amount of coverage required to nay the sums secured'by
<br />~ this Mortgage.
<br />~. The insurance carrier pmvidiug the insurance shsli be chosen 1?y- Borrower subject to approval by Lender;
<br />provided, Thai such appravnl shsll not 6a unreasonably withheld. All premiatus an insurance policies shall be paid
<br />at Lender's option in the meaner provided under parngrapL 2 hereoi or by Borrower making payment, rtihen due,
<br />directly to the insursnce carrier.
<br />In the event any pulley 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 wdth interest at. the rate set forth in said note until paid and shall be
<br />secured ley this Mortgage. Failcre by Ftorrower to comply may, at option of Lender, constitute a default
<br />under the harms of this Martgage.
<br />All insursnec: 1'rolicies and renewals thereof ..<hall he in form scveptahie to Lender :md she]? nrchxle a standard
<br />mortgsge elattse ire favrrr ot• sari in form acceptable ro Lender. }.ender shall have the right to hold fhc palieles ;rttd
<br />renewals thereof, aancl Borrower shall prompt?y lurnish to Lender all renewal natives and all receipts of paid pr~-
<br />miums. In the e•.•ent- of loss; Burrower shall give prompt notice to the insurance carrier sad Lenyivr, s't?ti Lender
<br />may make. proof of loss if nob mane prourptdy b}• Borrower.
<br />Unless Lender ;rod Harrower otherwise agree in writing, insura.ce proceeds shall he applied to restoration ox
<br />repair of the Property damaged. provided such restoration or repsir is econorricsll}' fvasibie and the sevurit.v of
<br />this Mortgage is not [hereby impsired. It such restoration or repair is not evonamically feasible ar if the security
<br />of this Mortgage would 6e impsired, the insurance lrraceecis s!?all be appliei? to eha sums secured by this Rloregage,
<br />with the excess, if any, paid to Borrower. If the Yropcrty is sbandoned h}• Barrawer or iE Harrower fsiis Go respond
<br />to Lender within 30 days after notice by Lender to Borrower chat the insurance carrier atlers to settle a claim for
<br />insurance benefits, Lender is authcrized to collect sad apply the insurance proceeds at I:ender's option either to
<br />restoration or repair of the Property ur to the sums secured b}• this \lortgage
<br />Unless Lender rind Barrawer athenvisc ogre; in writing, any such application oY proceeds t<? principal shall
<br />riot extvr-d ar post!;ana tlrv dos date of the tnanthly installrrsvncs refs creel to itt paragraphs f and 3 hereof or change
<br />the amount of such installments.
<br />If under psrugrsph IH liereot' the Property is acquired by Lender, ail right, title and inter#~st; of Berrowar in
<br />and to arp insut:tracc policies and to ant to the proceeds thereof tea fire extent of tlrv sum.; sevur'Ki by this aiaxt-
<br />gage irr acl t tv irrkar ko Luc t _ale ar ~t~tu:-tt:;r.: *s. ul±irg Erato dstnagt' to ihi Ptak}crty prier to the sulk ttr
<br />acquisition shall !,rasa; to Lander.
<br />e. Preaervatioa anti Maiateaanee of Property; Leaseholds: Candomiaiurna. Borrowet• shat! keep the }'rop-
<br />-- crty in good repair an% shah not permit ar commit wsste, impairnent, ar detcviorstiau at the Propert.}° and shall
<br />comply with the provisions of any lease, if this Mortgage is on a leasettoht. If this V~tortgage is oa a comiomiuium
<br />unit, Borrower shall perform all of Borrower's ubligatiotr_- under the declaration of condominium or masker need,
<br />the by-Jaws and regulation; of the condominiuw project and constituent documents.
<br />7. Protection of Lendei s Security. if Borrower fails to perform the covenants anti agrevnu•nts contained in
<br />this Martgage, or if any actin? or proceeding is commenced which matarialty affects Lender's interest in the Prop-
<br />erty, including, but not limited to, eminent domain, insotvency, Bode enforcement, ar arrangement. or prereecri-
<br />ings involving a bankrupt or decedent, then Lender at Leader's optian, upon native to Borrower, may make such
<br />appearances, dirtntr~e such Burns fwd take such action as is necessary to 1?rotect Lvrtder's interest, including, but
<br />not limited to, ! rsbursanrent of reasonahlc attarncy'e lees and entry upon t-he Property to make rapaira. Any
<br />araaa:nts disburse+.t by i.ender pursuant to this paragraph ; , with interest thereon, shalt bvcorue additiarrsl iadebtr
<br />edness of 13arrowt+r secured by ihi; \lortgage. Unless Borrower and Lender agree to other leans of payment, such
<br />amounts shall 6c oaayrable upon notice from Lender to Borrou•vr requesting frayrnvnt thareoi, and shat! hear inter.
<br />eat from the data of dibursemvnt at the rate statcxl in the Nate unless payment of interest at aueit rate would ha
<br />contrary to nppRicabie law, in which evt`nt such amounts shalt bear interest au the highest rate permissible by
<br />applicable htw, ~othiug eantained in this paragraph 7 shat) require Lender to incur any e.Ypense or do any act
<br />hereunder.
<br />~= I~~i~'-ice I e t,k:; c ?alt, r t ssc= to Ix rtiacir reasonahrc t nkrieM upon anck inapevtons of fhe ;*rap:
<br />arty, provided thae Lrnicr _Irau gn-c Barrowvr nonce actor to :tr,}- .nth insl?evtien st??vifyitw; reasonahlc cau~
<br />therefor related to Lc-nder'a interest in the Property.
<br />9. Condemnation. The pracevcis of uny atvani ar claim for dmnages, dirvvt ar vons~ua:ntial, in vctntrevtiatt
<br />with any randemnatiar? or other taking of the Yrolxrty, ar parE tkrvreat, or tar canvvyanee in lieu ai condemna-
<br />tion,are hereby assignvtt and shalt be paid to Lvnder.
<br />In the event of a rural taking of the Yropcrty, thr proceeds shatt ha apptieti to the rotas svcurecl la}• this \[art-
<br />-gage, with the excess, if any, paid to Borrower. In tire: event of a psrtial taking of the Property, unless Borrower
<br />and Lender athenvise agree in v citing, there st?all 6e appiiecl to the soars secured by this Rortgage such propor-
<br />tior. of the proceeds as is equak to that proportion which the amount of the sums secured by thisliortgagv imme-
<br />diately prior to the date o[ taking bears to the fair market value of the Yropcrty immediately prior to the date of
<br />taking, with the halanc?e of the proceeds paid to Borrower.
<br />If the Property is abandoned by Harrower or ii after notice by bender to Borrower that. the condemnor offers
<br />W make an sward ar settle a claim for dainagvs, Borrower fails to rvspoad to Lender within 3D days of the date
<br />of such natiee, Lender is authorised Go callecG and apply the proceeds ai Lender's option either to restoration ar
<br />repair of the Property ar is fire ruins secured 6y tlria .!lortgage.
<br />Unless Lender and Borrower otherwise agree in writing, any such application of proceeds to principal shall
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