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2. 1 hal. ~n .uder n~?~r lull) tu pn~l~l lhr .rcurily ul th~~ m.~rlga~,r, thr nx~~tg.~gur, tugclhcr N~~h. .~nJ in a~i.liu~~n lu, th~ nxmthl~
p~yminl~ unJ~r thr ~trn» ul thc nutr .~tiu~~d hr~:h~, un thr tin~ J;~y uf ra:h munth until the .aid n.~tr i. lull~ paiJ, w~ll pa~ tn tht
mortgagee ihr li~ll~w~ng.um.:
(a1 An artr~unt ~ufCkiem tu proviJe ~Ar huldcr hrrcof w~th furxls tu pay the next murtgage ~nwranta prcmium ~f thu m~~rumcnt and
the note seeurrd herehy arr insurrd, ~x a munthly charge tin litu of a mon~age insura~xe prrm~uml if they are held by the
tircrctary af Housing and U~ban [kvel~~pment, as folk~ws:
111 If and so long ac caid nott oi evsn date and this ~RStrument are ~nsu~od ur are re~n+ured undtr the Drovisions uf the
Nat~unal Housing Act, an amount suffic~ent to accumulate in the hands of the hoWe~ one 11) month priur tu its due Jate the
annual rtxxtgage imurance p~rmium, in urJrr w pn?v~de ~urh hulder with funJs a~ pay +uch premium ta ~he Secrttary ot
Nousing and U~ban [kvelopmtnt pursuan~ to the Na~iunal Housing Act, as amrtwled, a.ix1 applicable Re~ulaUons
Meteunder, o~ ~
1111 If and so long as aaid note of even d~te ancl this instrumznt are held by thz Secrctary of Hnu~ing anJ Urban Lkvelopmtnt,
a monthly ch;?rge lin lieu ui a mcxtgagc in.uran~r prrmiuml which shall br ~n an artxwnt equa~ to one-twrlflh 1111_') of
unt-half 1'•~1 ptr centum the average out~tanJ~ng balsnce due un the note computeJ without taking mto ace~unt
J~lirpuencies ur prepayments;
Ibl A+um rqual to the grounJ rrnts, if any, next due, plus the prrmiums ~hat w~ll next be¢ome due and payable on policies of flre
arxi uther huzard in.uranc.e covering the rtwrtgaged properry, plus taxes and acxs+ments next Jue on the mortgaged properry lall
as estimated by the mortga~ee) less all sunu already paid therefor divided by the number of months to elapse before one munth
prwr to ihe date Nhrn such grounJ rent~, prem~ums, ta~ces, arxi assessments will become delinquent, such sums to t+e held by
mur~dagee in trust to pay said gruunJ rents, premiums, taxcs, and sptcial as.seismcnts: and
1c) All paymencs ment~oned in :he two proceding subsectirns of this puagraph and all payments ki be made urnier the nutc sccured
hercby s~all br aJde.1 tugethcr and the ag~yegatr amount thcreof shall be paid by the nwrtgagor each month in ~inglz payment
ta be applicd by tht murtgagce to the f~dlowing items in the order sct forth:
111 premium chsrges unJer the cuntract of in~urance with th: Secrctary of Housing and Urban Development, or munthly
chatge (in lieu of mongage insurance prem~uml, az the case may be;
UI? ground rents, taxes, assessments, fire, a~xi other hazard in~urance premiums;
U11) interest un the note secured hereby; a~x1
(IY) artwrtization of the principal of said note.
Any Jafic~rncy ~n the amount of auch :~ggrtgatt munthly payment ,hatl, unle,~ made g~x~J by the murtgag.x prior tu the Jur date of
the nexi suth payment, cumutuir an rvent uf default under thi~ murtgage. The [r.~xtgagre may collect a~~late charge" nol to e~ceed two
cenu ~2c1 for e2ch Jullar IS11 of rach payment more than fifteen 1151 days ~n arrears tu covrr the ~xtra expense involved in hanJling
dclinqucnt p:+ymtnts.
3. That if tht tut~l uf the pa~mtnu maJe by thr mortg~gur unJer Ihl of paragraph'_ preceding ~ha~l ercred the amuunt of the
paymtnts aewally maelr by th~ m~xlgagrr, fix grounJ rent~, taxt~ anJ asseacments and ~nsurance premium~, as the case may be, wch.
excess at the optio~ of the mortg~ee, shall, be credited on subsequent paymenu ro be made by the mortgagor, or rcfundod to the
murtgagor. If, huwever, the rtwnthly peymenu ma.1e by ~he rtw~tgagor undec Ihl of paragraph 2 pre:.eJing ~hall not be sufficieot to pay
gruurxl rents, taxc~ arxi acsrs~mrnts and inwrance premiums, as the case may br, when the same shall becume du~ 3rx1 payable, then the
nwrtgagor shnll pay to the murlgager any :~muunt nrce»ary a~ maLe up ihe defi~:ierky, on or t+efore ehe date when payment of wch
ground rents, taxes. asstssrr~nts, or imurance premiums shall be due. If at any time the m~xtgagix shall terxler tu ~he mortgaRee in
accaxdancr with the proviuons uf the note scYUred herzby, full payment of the ~ntire indebtr.iness represented thereby, the nwrtgagee
snall, in wmputing ihe amuunt uf such irxirbtctilnes+, crrJit to the account of the mortgagor all payments mad~ under the provisions of lu)
of paragraph 2 hercof wh~ch tAe murtgagee has not become obligatrd tu pay to the Secretary of Housing and l;rban Development arxi any
halancr remaining ~n the funds accumulated under thr pruvi.ion+ of (h? of said para~raph 2. If thFre shall be a drfault under any of the
pru~nio~s of thn m~xtgage, rrtiulling in a~S~blic sale uf the prrmiu-s cuvere+~ltefH+r; Or i~he nlortgag!! aA~otrts the property otherNi~
after default. the m~xtgagre sh311 :+ppl~, at the time of the commencemenLo~.~YL1~~'~1~A~'1R ~1~nle:thoProprrty i, otherwise
acyuirrci, th~ bafance thrn rem~in~ng in tht funds accumulatrJ under tb) q(`pate~raph ~q~t~g~F~~ y~:tge~~u~ lhr am.~unt of -
pnncipal then rem:~inmg unpaid undrr .aiJ nutr arxi .hsll pruperly aJjust any,payments which sha'1 6aye, byep m~ie und~r lul of ~aid
paragraph. ' . .
J. That he will pay all taxes, asse+,menGc, watrr r3trs, arni ~Kher g~~vernmental ur municipal charges, fines, or impa~~t~uns. for Nhich
provuion ha. nut t+ern made here~nhrfure, and in drfault ther~~~f the m.xtg:~gre may pay the tame: and that he will prumptly deli~~er the ;
~ uffi~ial recriptt therefur tu thc mortgager.
$ 5. That he will pcrmi~. cummit. ur ~uffer nu wa,tr. impa~rment, ur ileteriora~ion uf ~aid property or any part thereof: :~rxi in the event
uf the failure of the rr+ortgagor to lczp the huilJing+ un +aid prcm~~r+ :~nd thuse to be rrz~ted on +aid prrmises. or improvement+ therrun.
i in gu~xf repair, the mortgagee may maAe such repain ati in it+ Jiscretiun it may Jeem necessary f~x the proper pre~rvation thereof. and
t the full anxwnt of tach and e~~eiry wch payment shail be imrr.c~iiately due and payable, and shall bt se~ured by the lien of thi~ mortgage.
~ 6. Thai he will pay all and s~ngular the costs, charges, anJ eapenses. including reasonable IaNyer's fees, anJ costs of abstracts of title.
~ incurred or paid at any ume by the rtwrtgagee becau+e vf the failure on the part of the rtwrtgagor prumpUy anJ fully to perform the
F agreements and covenant. of ,aid promisxxy notr and this mortgage, and said costs. charges, anef expense~ shall t+e immediately due and
t payable and +hall t+e ~ecured by the lien of thiti m.xtgage.
7_ That he will kerp the improvements now exi~t~ng or hereafter erectixi on the rtwrtgagcY! property. imurzd as may be required Gum
i
umr w time by the mortgagee sgainst I~s by fire anJ other hatards, cawlaties, anJ contingencies in such amount~ and for such pen~xls as
~ may be rrqu~red by mortgager. and will pay promptly, when due, any prrmiumc on such insurance for paymr~~ of which pruvision has not
been made hereinbefore. All inwrance shall be carried in compania approved by mortgagee and the policies and renewals thereof shall
- be held b~~ mortgagee and have attacheJ th~reto los~ payable clauses in favur of and in torm acceptnble to the mortgagee. In event of loss
~ he w~ll givr immediate nodce by mail to mcxtgagce. :+nJ mortgagee may maAe proof uf Irns if rwt made prompUy by mortgagur, and each '
~ ~nsurarxe company cuncerned is herehy authuriceJ and Jirrctzd to make payment for such loss directly to rrwrtgagee inste:~d uf to '
~ rtx~rtgagor and mortgagce joinUy. and the incurance procreds. or any part thereof, may be applied by mortgagee at its uption eithrr to the
~ reductiun uf the inJebtrJnesi hereby ucureJ or to thr re~toration ~x ~epair of the proptrty dam:~ged. In event uf fore~l~»ure of th~s
~ mortg~ge ur other transfer of tiUr to the mortgagrd pruprrty ~n extinguishm~nt of the indebtedness secured hereby, nll right, title, and
~ntere~t of thr mortgagor in snd to any insurance policic~ Ihen ~n furce shalt pas~ tu the purchaser or grantee. :
~ 8. That thr mortgagee may, at any time penAiAg a suit upon this mortgage, apply to the court having jurixlicuon thereof for the ;
~ appointment of a re~eiver. and ,uch court shaU forthM~th appoint a receiver of the premises covered hereby all and singular, inctuding all :
~ and ~ingular the irxome. profits, iuues, and revrnues from Nhatcver source derived, each anJ every• of which. it b~ing ezpre+sly s
~ unJerstiwd. ~ti hereby murtgaged a~ if specifically set forth and deteribed in the granting and habendum clauses hereof, anJ such receiver
£ ~hall ha~•e all the broad anJ effective functions •rnd puwers in anyw~se entrusted by a court to a receiver, and such apFw~ntment shall be
mede by wch court a, an admiUed eyuity anJ a matter of ~t+solWe right to caid mortgagee. and Nithout refererxe to the adtquacy or
~ ~nad uacy of~the value of the ro rt mort a ed or to the solvene or ~nsolvenc of saiJ mort a or or the defendents. arxl that wch
- ec1 P Pz } B' 8 Y Y S B
" rents, profits, incume, i~sues, atxi re~•rnurs shall t+e applieJ b~~ wch rece~ver accurding 1o the lien of th~s mortgage arxi the practice of wch
~ourt. In ~he rvent of any default un the part of the mortgagur hereunder. the mortgagor agrees to pay to the mortgagee on demand as a
reasunaMlt monthly rcmal for the premius an amount at least equivalent to one-taelfth 11/121 of the aggregate ot' the tw°elve monthly
; installments payable ~n the then current year plus the actual amount of the annual taues, assessmenls, water rates, and inwrance premiums
for such yrar not covereJ by lhe aforesaid monthly payments. '
9. That lu) in the event of any breach of this mortgagc or default on the part of the rrxxtg~gor, ar Ib) in ~he e~~ent that any of said
wm~ of money herein referred to be not prompdy and fully paid withuut demanJ or notice. or !c~) in the event that rach anJ every the
cUpulatium. agreements. cund~uum. and cavenants of said nae and this mortgage, are not duly. promplly. and fully perfurmed; then in
cither or any such evenl, the said aggregate sum menuoned in said note then rema~mg unpaid. w ith interest accrueJ to that time, anJ all
" trK~nry. ucureJ herehy. ~hall become due and payable forthM ith. ur thereafter. at thr oQtion of SaiJ mixtgagee. a. fully and completely as
if all of thc said suma of money were u: iginally ~t~pulated to be paid un such day. anything in saiJ notr or in thi~ rTwrtgage w the contrary
notv~ithstanJ~ng; and thereu~m or thereafler. at Ihe uptiun of said mortgagee. without raUCe or demarxi, ~wt at lav~ or in equity, may bt
- pro~ecutcvi a~ if all muney~ ~ecureJ hereby had matured prior to itti instiwtion. The murtgagee ma~• forecluse this mortgage, as to the
amuunt ~o Jeclared due and payable. anJ ~he wid premises thall hr wld to satisfy and pay the same together w•i;n a~sts, expenses, and
allowanceti. In c:+se of parhal loreclusurc uf this mc~rtgage, the m~xtgaged prem~ses shall be wld wbject to the continuing lien uf this
- rrwrtgage fur Ihe amuunt of thr Jebi nut thrn due anJ unpaid. In such ca~e the provision~ of this paragraph may again be availed of
" therrafter from time to time by the mortgagee.
10. 1 h-rt the rrxirtg~gur w~II g~ve immeJiate nouce by mail to the nwrtgagee of any cumeyarke, tramfer, or change of uwnership of
thc premis~ti.
11. fhat no wa~ver of any co~•enant here~n or of the uhligatiun tiecurai hereby~ shall ~t :~ny time Ihereafter be held tu be a waiver of
the tcrm~ hereuf or of thr ru~te secured hereby.
= 12. 7hat if Ihe rrw~rtgagur default in any of the covrnants or agreement, contained herein, or ~n said nute, then the mortgagee may
perform the ~ame. arxi all expenJhures I~ncluJmg rea.unable aUorncy's feesl maJe by thr m~xtgagee ~n so duing shall dr~w intercst at the
rate ut forth in the not~ SecureJ hcreby, and shall tx repayable immcJ~ately anJ w~thout demand by the mortgagor to the mongagee, arxf.
' wgether w~th mterat anJ c~xts accruing thercon. shall be secured by this mortgage.
soQR rAC~
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