HomeMy WebLinkAbout1133 2. "fhal, in ordtr nwrt fully to prot~t Ihe ~rcu~ity uf thi+ nwr~gage, thr murtgagur, tugrthrr w~i~h, arni in aJditiun to, the monihly
paymenh unJer tht terms of lhe nute s~ur~ti1 hrrcby. ~~n the fint day of r:Kh munth until the wiJ note i~ fully p:~iJ, ~ill pay tu thr
murlgagre 1hr folluwing sums: •
la) An amount sufficient to provide the holJer hercof with furxis to pay the next mortgage iosurance p~emium i! thi+ instrument and
the note secured hereby are insu~ed, or a monthly charge (i~ lieu of a mortgage insu~ance premium) if they are held by the
Secrctary af Housin~ and ll~ban Development, as follows:
11) If and so long as ssid note of even date and this instrument are insured o~ are ~einsured unJer the provisians of the
National Housing Act, an amount su~cient to accumulate in the hands oi the holder one (1) month prior to its due date the
a~nual mo~t~age insurance premium, i~ onie~ to provide such holder wi~h funds to pay such premium to the Secretary of
Housing and Urban Development pursuant to the Nalional Housing Act, as amendai, and applicable Regulatiuns
thereunder, or
1111 If and so lortg as said note of even date a~ef this instrument a~e held by the Secretary of Housing and Urban Development.
a monthly charge lin lieu ot a mortgage insurance prcmium) which shall be in an amount equal to one-twelfth 11/12> of
one-half per centum of the average outstanding bala~e due on the note computed without taking into aacount
delinquencies or prepayments;
Ib) A sum equal tn.tht grauod.csnts..if eny. Mus~~.~l~ls_~he premiums that wiU next bccome due and payable on policies of fire
arxl other hazard insurance covering Ihe mortgageJ property, plus taxes and assessments next due on the mortgaged prc~perty (all
as cstimated by 1he mortgagee) less all sums already paid therefor dividod by the number of months to elapse beforc one month
prior to the date when such ground rents, prem~ums, taces, and assessments will become delinquent, such sums to be held by
mortgagee in trust to pay said ground rents, premiums, taxes, and spccial assessments; and , .
(c) All payments mentioned in the two preceding subsections of this paragraph and all payments to be made under the note securai
hereby shall be added together and the aggregate amount thereof shall be paiJ by the mortgagor each month in a single payment
to be applied by the mortgagee to Ihe following items in the order ut forth:
(1) premium charges under the contract of incurance with the Secretary of Housing and Urban Developmen!, or rtwnthly
charge (in lieu of mortgage insurance premium), as the case may be: -
(11) ground rents, taxes, assessments, fire, and other hazard insurance premiums;
(111) intcreu on the nwe secured hereby; and
(IV) amortization of the principal of said note.
Any deficicncy in the amount of such aggregate monthly payment shall, uniess made gooci by the morigag~x priur to the dur datr of
the next such payment, constitute an event of default u~xier ~his mortgage. The mortgagee may collect a"late charge" not to eaceed two
cents 12c) for each dollar ISI) of exh payment more than fifteen IISI days in azrears to cover the extra expense i+?volved in handiing
delinquent payments. _
3. 77?at if the total of thr payments made by the mortgagor u:~der Ib) of paragraph 2 preceding shall exceeJ the arm~unt of the
payments actually made by the morlgagee, for ground rents. tanes and ascessments anJ insurance premiums, as ~he case may be, such
eacess at the option of the mortgagee. shall. be credited on subs~quent payments to be made by the mongagor, or refund~d to the
mortgagor. If, however, the monthly payments made by the mortgagor under Ibl of paragraph 2 preceding shall not be sufficient to pay
ground rents. taaes arxf assessments and insurance premiums, as the case may t?e, when ihe same shall bnome due a~x1 payable, then the
mortgagor shall Fay to the mortgagee any amount necessary- to make up the deficiency, on ur before the date v?•hen payment of ,uch
grounei rents, taxes, assessments, or insurance premiums shall be due. If at any time the mortgagor shall tender to the mortgagee in
xcordance with the provisions of the note secured hereby, full payment of the entire inJebtedness represented thereby, the ~rwrtgagee
shall, in computing the amount of such irniebteclnest, crniit to the account of the mortgagor all payments made under the provisions of Ia1
of paragraph 2 hereof which the mortgagee has not become obligated to pay to the Secretary of Housing a~d Urban Development ancl any
balance remaining in the funds accumulate~i under the provisians of lh~ of said paragraph 2. If th=re shall be a default urxier any of the
pruvisions of this mortgage, resulting in a public sale of the premises cuverecl hereby, or if the m~xtgagee aoquires the property otherwise
•rfter default, the mortgagee shall apply, at the time of the commencement of such proceedings or at the time the property is otherwice
acquired, the balance then remaining in the funds accumulateci under /6~ of paragraph 2 prcc~ng as a credit against the amount of
principal then remaining unpaiJ under said note and shall pmperly adjust any payments which shall have been maJe under lu) of said
paragraph.
4. That h~ w•ill pay all taxes, assessments, water rates, and other governmental or municipal charges, fines, or impositions, fur Hhich
provision has not been made hereinbefore, and in default thereof the mortgagee may pay thc same: and that he aill prurnptly delivcr the
ofncial receipts therefor to the mortgagee.
5. That he will permit, commit, or suffer nu watte, impairment, or deterioration of saiJ property or any part thereof: and in the event
of the failure of the mortgagor to keep the buildings on said premises and thase to be erected on said premises, or improvements thereon,
in goaf repair, the mortgagee may maAe such repairs at in its dixretion it may deem necessary for the pn~per preservation thereof, and
the full amount of each and every such payment shall be immediatcly due and payable, and shall be secured by the lien of this mortgage.
6. That he will pay all and singula~ the costs, charges, and expenses, including reasonable lawyer's fees, and costs of abstracts of title.
incurred or paid at any time by the mortgagee because of the failure un the pan of the rrwrtgagor promptly anJ ful{y to perform the
~il agreements and covenants of saiJ promixsory note anJ this mortgage, and said costs, charges. and eapenses shall be immeJiately due anJ
~ payable and shall be secureJ by ihe lien of this mortgage.
~ 7. That he wi11 keep the improvements now rxisting or hereafter erected on the mortgaged propeny. insured :ss may be requirrd from
time to time by the mortgagee against loss by fire and other hazarcis. casulatjes, and contingencies in such arrwunls and for wch periexls as
may be required by mortgagee, and w~ill pay promptly, when due, any premiums on such insurance for payment of which provision has not
bcen made hereinbefore. All insurance shall be carriod in companies approved by morigagee and the policies and renewals thereoC shall
t+e held by mortgagee and have attached therelo loss payable clauses in favor of and in form acceptable to the mortgagee. In event of loss
he w•ill give immediate notice by mail to mortgagee, anJ mortgagee may make proof of loss if not made promptly by mortgagor, arni each
msurance company concerned is hereby authorized and directed to make payment for such loss direcdy to mortgagee instead of to
mortgagor and mortgagee joinUy, arxi the insurance proceeds, or any part thereof, may be applied by rtwrtgagee at its option either to the
reduction of the inciebtedness hereby secured or to the restoration or repair.of the property JamageJ. In event of forecli»ure uf this
mortgage or other transfer of title to the mortgaged property in extinguishment of the indebtedness secured hereby. all right. title, and
interest of the mortgagor in and to any insurance poticies then in force shall pass to the purchaser or grantee.
8. That if the premises~ or any part thereo(, be eondemned under any po~+er o( eminent domain, or acquired tor a public use,
the damaRes. proceeds, and the consideration [or such acquisition. to the extent of the (ull amount ot indebtedacss upon this
\lortgaRe, and the Vote secured hereby remaining unpaid, are hereby assigned b~ the ~lortgagor to the ~IortgaRee and shall be paid
fotthwith to the ~1ortRaRee to be applied by it on account o( the indebtedness secured hereby, w~hethcr due or not. ~ ~
9. That the mortgagee may, at any time pending a suit upon this mortgage, apply to the court having jurixiiction thereof fur the R
appointment of a receiver, and such court shall forthwith appoint a receiver of the premises covered hereby all and singular, including all
anJ singular the income, profits. issues, anJ revenues from a~hatever source derived, each and every of which. it being expressly
understood. is hereby mortgaged as if specifically set forth anJ described in the granting and #~abe~dum clauses hereof, and such receiver _
shall have all the broad and ef'fective functions and powers in anywise entrusted by a court to a receiver, and such appointment shall be
made by such court as an admitted equity and a matter of absolute right to said mortgagee, and without reference to the aJequacy or
inadequacy of the value of the property mortgaged or to the wlvency or insolveney of said mortgagor or the defendentc, anci that such
~ rents, profits, income. issues, and revenues shall be applied by such receiver according to the lien of this mortgage and the practice of such
court. In the event of any default on the part of the mongagor hereunder, the mortgagor agrees to pay to the mortgagee on demand as a
~ reasonable monthly rental for the premises an amuunt at least equivalent to one-twelfth { 1/121 of the aggregate of the twelve munthly
installments Payable in the then current year plus the acwal amount of the annual taxes, assessments, water rates, and inwrance premiums
~ for such year not covered by the aforesaid monthly payments.
~ ~p, That la) in the event of any breach of lhis mortgage or default on the part of the mortgagor. or Ih) in ~he event that any of said
sums of money herein referred to be not promptly and fully paid without demand or notice, or Ic) in the event that each and every the
~ siipulations, agreements, conditions, and covenants of said note and this mortgage. are not duly, prompUy, anei fully performed: then in
either or any such event, the said aggregate sum mentioned in said note then remainig unpaid. wi~h interest accrued to that time, anJ •rll
moneys secured hereby. shall become due and payable forthN~ith, or thereafter, at the option of said mortgagee, as fully and completely as
~ if all of the said sums of money were originally stipulateJ to be paid on such day, anything in said note or in this mortgage to the contrary
notwithstanding; anJ thereupon or thereafter, at the option of said mortgagee, without natice or Jemand, suit at law or in equity. may be
~ prosecuted as if al! moneys socured hereby had matured prior to its institution. The mortgagee may foreclose this mortgage, as to the
~ amount so declared due and payable, and the said premises shall be sold to satisfy and pay the same together with axts, expenses, and
~ allowances. In case of putial forecbsure of this mortgage, the mortgaged premises shall be sold subject to the continuing lien of this
~ mortgage for the amount of the debt not then due and unpaid. In such ~ase the provisions of this paragraph may again be availeJ of
thcreaRer from time to time by the mortgagee.
11. That the mortgagor w~ill give immediate notice by mail to the mortgagee of any conveyance, transfer, or change of ownership of
the prcmises.
12. That no waiver of any covenan~ herein or of the obligation secured hereby shall at any time lhereaRer t+e held to he a w~aiver of
~ the terms hereof or of the note secured hereby.
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