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2. That. in ixJtr mu~e fully tu pro~~tit 1ht.tcurity af thi. mortYa~a ~he ~w~~r:~or, u~t~her rith, arni in aJduiun to, thr munthiy
paymenu unJtr ~he terms of the n~xe sccunYi hrrehy, .~n the first day uf txh montA until ~hC ~aii! nutt is fully p;~iu, vrill pay w tht
nw~tg:~re the futtuwing sumc:
ta) An amuun~ sut'bcient to pruviJe ~he holder hercoi with funds to pay ~he ntx~ mort~a~t inwrance pr~mium if this inurument and
the note ucuced hereby are insured, or a moMhly chur=e lin lieu of a mo~tp~e insu~ance prcmium) if they ue hcid by the
Secretary at Huusin~ aad U~ba~ Devefopment. as folbMS:
lU If and :o lon~ as said note o[ even date and this instrume~t are i~.surcri or are rcinsured u~xier the provisions of the
Natiu~al Housin~ Act. an amount suPficient to accumulate in the hands of the holdti one t I) month prior to iu due date the
annual mort~a~e insu~ance premium, in or~ to pruvide such hddtr with funds to pay such premium to the Secretary of
Housinj and Ucban Development punuant to the National Housint Act. as amendcd, and applicabie Re~ulatiw~s
therewxier. or
Ilq If and so long as uid note of eren date a~xi this instrument are heW by the Sec~etuy oi Housing ard Urban Develupmcnt,
a mon~hly cAarje (in lieu of a moctgage insuran~:e premium) v?~hich shall be in an amount equal to une-twelfth (1l12) of
one-half l~s) per cen~um of the ave~age outstarniin~ balanre due on the note computtd without takina into account
delinquencies or prepaymenu;
Ib) A wm equal to the ~ound rents, ii any, neat due, plus the premiums that will next beconx due anJ payable on policics of fire
ancl othe~ hazard insurance covenng ilie mortgage~ properly, plus tues and acsessmrnts oext ~fur on the mort~aged propeny (all
as estimYtcd by the mongaaee) las all sums al~ea~y paid therefor divided by the number of' months to elapse before one month
prior to the date wt~en stKh ground rents. premwms, taxes, and assessmena will become deli~quent, such sums to bt held Dy
mortgagee i~ trust to pay said grouad rents, premiums, tues, and special assessmtnts• and
(c) AH payments mentioned en the twe preceding subsections of this parag~aph and all paymcnts lo be made uode~ the note secu~ni
he~eby shall be added together and the aggregate amount thoreof sQall be paid by the mortgago~ each month in a sic~gk payment
to be applied by the mwtgagre to the fdlo• •ing items in the orde~ ut torth:
<t) premium charges under the contract of incurance with the Secretary of Housing and Urbao Develupmcnt, o~ monthly
cha~ge (in lieu of mortgage insurance premium), as the case may be•
llt) graund rents, taxes, asussments, fin, and otMr hazard insurance prcmiums;
(111) i~terest on the note securod hercby; and
(1V) artxxtitation of the ~+rincipal of said nota _ -
Any defxiency in the amount of such aggregate monthly paymeot shall, unless made g~xx1 by the mortgag~ prior to thr due Jate of
the next such payment, constitute an rvent of default under this morlgage. The mortgagte may cdlect a~~late charge" nut w~xcccd two
cents 12c) for each dollar IS1) of each payment more than fiftetn I151 days in arrears to covtr the extra exprnse invulved in ha~xfling
delinquent paymtnts.
That if the total of the payments made by the mortgagor unJer Ib) of paragraph 2 precrding shall exctc~l the amount of the
payments actually rtwde by the mortgagte, for ground rents, la~es and assessments anJ iosu~ance premiums, as tAe case may be, such
oW'~ ~~~e mo~t8a8K. shall, be crcdited on subsoquent payments to be made by the mortgagor, or rcfunded to the
mortgagor. If, hoK•ever, tF~r moothly payments mede Ay Ihe mongagor under Ib) of paragraph 2 preceding shall nut be sutfcient to pay
grau~xl rents, taxts and assescmtnts and insurance prrmiums, as the case may be, when the same shall Decome due a~x1 payable, then the
murtgagor shall pay to the mortgagee any artwu~t neces~ary to make up the defi~iency, un ix t+efore the Jat< when payment of +ach
gmund rertts, ta~cs, assescmtnts, or insurance prcmiums shall be due_ If at any time the mortgagcx shall tender to the mortgagee in
xcordance with thc provisions of thr nwe secured hereby, full payment of the entire indebttdness ~epresented thereby, the inortgagee
shall, in computing ehe amount of such inJebtedness, credit to the account of the mortgagcr att payme~ts made uaJer the p~ovisions of la)
of paragraph 2 hereof which the mortgagee has not Eecome obligated to pay to the Secretary of Housing arni Urban Devebpment am1 any
ba:an~e remaining in the furxis xcumulatnl under the provisiuns of Ib? of said paragraph 2_ If there shall be a default urxier any of the
provisioac of thic mixlgage. resulting in a public sak of thr prrmises coveratl hereby, ur if thr m~xtgagte acqueres the property otherw i~e
after default, ~t?e mortgagee shall apply, at ihe time uf ~he commrncement of such procteifings ar at thr timr the proprrty ic otherw•iu
xquircvi, the balance then remaining in th~ funds accumulated under Ib1 af pazagraph 2 preceding as a crrdit against th~ amciunl of
prirx:ipal taen remaining unpaid urnier s:~id note anci shatl praperly adjust any paymertts which shal! have l+errt maJe unJer (a) of said
paragraph.
S. That Ae wi11 pay all taxes, acsessments, water rates, aixi other governmental or municipal charg~c. fines. w impositions, for which
provi.iun has nut been made hereinhefo~r, and in default thercof the mwtgagee may pay the samt: and that he will promptl~• Jeli~•er the
official receiptc therefor to the mortgaget.
5. That he vrill permit, commit, or wffer no waste, impairment, er Jeterioration uf said prupeny v: any part thereuf: arnl io the erent
of the failure of the mortgago~ to keep the buiWir.gs ort said•premises and ehox to be erecled on said premixs. ur impruvements thereon.
in g~wd repair, the mortgagee may make such rrpairs az~n its discretion it may deem ~ecessary for the proper preservation thereof, anJ
the full artwunt of exh and every• such payment snall t+e immeciiatcly due and payable, and shall bc secured by the lien ~f this mortgaRe.
6. That he a•ill pay all and singular the c~~s. charges, and expenses, including reasonable lawyer s fees, and costs of at+xtracts of title.
ertcurreci or paid at any tima by ~he mongagee brcause of the fa~lure on the part of the mortgagor promptly and fuhy to perform the
a~reements and covenants of said promiscory note and this mongage, and said costs, charges, and expenses shalt t+e immediately due ancl
payable and shall be secur~d by the lien of this mortgage_
7_ That he wi11 keep the improvements now existingor h~reafter erected on the mortgaged propeny. insureJ as may be requirc-~i from
time to time by 1he mortgagee against loss by fire and othez hazareis, casulaties, arni contingencies in such arrwunts anJ for such peri~xls as
may be required by mortgagee, and x•il! pay promptly, v?hen due. any premiums on such incurance for paymrnt of which provisivn has not
been made hereinbefore_ All inwrance shall be carried in companies apprmed by monaagee and the policies and renewals thereof shall
be he1J by mortgagee and have attached thereto luc~ payable clauses in favor of and in form acceptable ta the mortgagee. In event of Ic,ss
he wiN give immeJiate rtvtice by mai! to mortgagee, anJ mortgagee may make pr~wf of loss if not made promptly by mortgagor, anJ each
insurance company concerned is hereby authorized and directed tu make payment for such loss dirrctly to mortgagee insteaJ of to
nwrtgagor anJ mortgagre jointly, and the insurance procecYts, or any part theroof, may be applied by morigaget at its option either w the
reduciiun of the indebteJness hertby secureJ or to the restoration or repair of the propMy damaged. In event of forecknure of this
mortgage or other trander of title !o the m~xtgagcJ property in extinguishment of the intlebteJness secured hereby, all right, title. anJ
~nterest of the mortgagor in anJ to any insurance pulicies then in force shall p~ss to the purchaser or grantee.
8. That if the premises, or aay part thereof. be ~ondemned uader any poNer of emiaenl domein, or acquired (ot a rublic use,
the damages, proceeds, and the consideration for such acqnisition, to the e:tent ot the (ull amouat of iadebtedness upon this
~fortgaar,and~hP~~te secured hereb~ remaining unpaid.are hereby assigned b}- the liortgagor tothe ~tortga~~e ~nd shait be paid
(urthh~th to th~ 11ortRaRee to be applied by iL vo account of the iadebtedness secured hereby, rhethet dae or not.
9. That Ihe mortgagee may, at any time perniing a suit upon this mortgage, apply to the court having jurisdiction thereof far the
appointment of a receiver, arxi such ra:» ~haU Gxthwith appoint a receiver of the Qremises covered hereby alt anci singular, irnluJing all
anJ singular the income. profits, iscues, and rerenues from w~hatrver source derived, each and every of w~hich. it txing expre~sly
understaod. is hereby mortgaged as if specifically set fonh and described in the granting and habendum daases her~G anJ cuch receiver
shall have all the broad ancl effeclive functions anJ pow~en in anywise entrusted by a court to a receiver, and such appointment shaH be
made by such court as ao admitted equity and a matter of at~solute right to said mortgagec, and witFwut rekrence to the adequacy~ or
inadequ= -y- of the value of the propeny mortgaged or to the solvency or inwlvency of said mortgagor or the defendents. and that such
rents, prohts. income_ issua, and revenues shall be applied by such receirer according to the tien of this mortgage ancl the practice of such
court. In the event of any default on the part of the mortgagor berconder, the mortgagor agrees to pay w the mortgagee on demand as a
reasonable monthly rental for the premixs an amount at least oquivalent to one-tw•elfth ! 1/121 of the aggregate of the twefve munthly
~nstallments payable in the then current ycar plus t6e actual amount of the annual taxes, a~sessments, Karer rates. and insur~nce premiums
for such year not cove~ed by the aforrsaid monthly payments.
l0. That In) in the event of any breach of this mortgage or default on ~he part of the mortgagor. ..r Ih1 in the event that any of SaiJ
sums of money hercin referrad to be not prompUy and fully paid witheut demand or notice. or (r) in the eveat that each ancl every the
stipulations, agreements, conclitions. ancl covenants of said nolr and this mortgage. are no! duly, promptly, and fully performed: then in
eithe: or any such e~•ent. the said aggregate sum mentioneJ in said note ~hen remainig unpaid. with interest accrued to that time. a~xf ali
moneys secured hereby, chall become due aod payabie forthw~th, or thereatter, at the option af said mortgagee, at fully and completety as
if aN af the said sums of rrwrtey were originaUy stipulated tv be paid or, such clay. anything in saiJ note or in this rrx~rtgage to the contrary
notw ithstanding: and thereupon or thereafter. at the option of said martgagee, without notic°_ or demarul. suit at law or in cquity. may be
prvsecutecl as if all moneys st~ured hertby had mawrecl prior to its institution. Thc mortgaRee may foreclose this ox~rtgage, as to thr
amount so dccla,cd due and payable, and tht sai~ premises shall bt sold to satisfy anJ pay the same t~ether with axts. expenses. and
allowances. In case of partial foreclosure of this mortgage. the mcxtgageJ precnises shall tx suld subject to the continuing licn of this
rtwrigage for the amount of the debt not then due and unpaid. fn such case the provisions of this paragraph may again bc availccl of
thereaRer fro:n time to time by tht mortgagee.
I 1. That the mortgagor w ill give immediate notice by mail to the mortgagee of any conveyance. transfer, or change of ownership of
the pr~mises.
12. That no waiver of any .ovcnant herein or of the obl~gation secured heretw shall at any time thereafter t+e hcld to be a waiver of
the terms herrnf or of Ihe nole sccural hcreby.
u R_ FACi
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