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HomeMy WebLinkAbout2623 the manner provided by statute, a~y tax or assessment c~hich Mortgagor may desire to contest. Mortgagor shall, if required by Martgagee, deposit with Mortgagee, concurrently with all installment payments to be made under the Note (installment payments being deemed any periodic payment of inCerest only or interest and principal as required by tlie Note), a swn equal to the taxes and assessments on the Property for the immediately preceding year divided by the number of install- ment payments to be made each year under the Note; provided, that on the execution hereof, Mortgagor shall, if required by Mortgagee, deposit such sum as shall, together with sums to be deposited concurrently with each installment payment, be sufficient to pay all taxes and assessments in full as and when the same become due and payable. If funds deposited hereunder are insufficient to pay such taxes and assessments for any year, Mortgagor shall, within ten (10) days of demand therefor by Mortgagee, deposit additional funds necessary to pay the same in full. Mortgagor agrees that all sums so de- posited shall be irrevocably appropriated to Mortgagee in trust to be applied to the payment of such real estate taxes and/or special assessments and at the option of Mortgagee after default may be applied on the unpaid indebtedness. 4. Insurance. Mortgagor shall keep all buildings and improvenents now or hereafter situated on the Property insured against loss or damage by fire, windstorm and such other hazards as may reason- ably be required by Mortgagee (including, without limitation, policies of rent insurance) in an amount of 80X of the full insurable value thereof. riortgagor shall also provide liabi- lity insurance with such limits for personal in~ury and death and property damage as Mortgagee ~a~~ require. All such policies of insurance shall be in forms, companies and amounts satisfactory to Mortgagee, with mortgagee clauses in form and substance satisfactory to Mortgagee, including a provision re- quiring that the coverage evidenced thereby shall not be ter- minated or materially modified without ten (10) days prior written notice to Mortgagee. Moxtgagor shall deliver aZl policies, including additional and renecval policies (or, at Mortgagor's option, duplicate originals or certified copies ; thereof to Mortgagee, with all premiums therefor paid. i ~ In case of loss, Mortgagee is hereby auti;orized either (a) ~ to settle and adjust any claim under such insurance policies ~ without consent of Mortgagor or (b) to allow Mortgagor to agree with the insurance company or companies on the amount to be paid upon the loss. In either case, Mortgagee is autho- rized to collect and receipt for any such insurance money. ~ Such insurance money may, at the option of Mortgagee, either be applied in reduction of the principal balance of the hote ur any other sum secured hereby, whether due or not, or be held by Mortgagee and used to reimburse t~fortgagor for the cost of the rebuilding or restoring buildings or improvements on the Property. Interest shall not be allowed on any fnsurance pro- ceeds held by the Mortgagee pending completion of reconstruct- ing or repairin~ such buildings or improvements. The buildings and improvements shall be so restored or rebuilC as to be of at least equal value and substantially the same character as prior to such damage or destruction. Such policies of insur- ~ ance and all renewals thereof are hereby assigncd to the Pfort- _ gagee as additional security for the payment of the indebted- ~ ~ ness hereby secured and the Mortgagor hereby agrees that any ! ~ values available thereunder upon cancellation or termination ~ of any of such policies or renewals, wl~ether in the form of ~ return of pre~riums or otherwise, shall be payable to the ~ riortgagee as assignee thereof. ~ ~ In case of loss after foreclosure proceedings have bcen ~ . ~ - 3 - ' eooK 206 P~~E 2619 ` ~r . , ~ - - ~ - ' ~~~`~~,..s ~ ; ~ 3' ~fi r ~v 1 ~ ~ : - ~ ~ . _ ~ _ a`' r: .r