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2. That, in order nwre fully to p~atect the security af this mort~a~e, lhe rrwrl~aso~, to~cther with, and in adJilio~ ~a the mon~hly ~
p•syments under thc terms of the note secured hereby, uo the fi~st day of each month untii 1he aaid natc +s fully paid, will pay ~u tht ;
mo~tga~ee the fallowin~ sums:
(a) An amvu~t su(liciea! to provide the holder hereot with funds to pay the next mort~a~e i~wrance prcmium it this instrume~~ and
the notc securcd hereby are insured. a a moothly char~e (i~ lieu of a mort~a~e insu~ance premium) if ehey ue held by the
Socrcary of Hausi~ and Urban Development, as fdbws:
(U if and so lon~ ss said oote of eve~ date and this imuumeot ue insured or a~e reinsured under the provisioi?s of the
National Housing Act. s~ amouat sutt'~cient to accumulate in the handa of the talder one t 1) mon~hprior to its due date the
a~nual mort~t insurance premium. in order to provide such hdder with funds to pay such pcemium to the Secretary oi
Housing and Urban Development pursuant to the National Housin~ Ac~ as amended. and applicable Regulations
the~eunder, or ~
(Iq If and w long as said note of evtn date and this irutrument are held by the Sccretuy of Housing aod U~ban Development. ?
a monthly charge lin lieu of a inortgage irtsurance prcmium) which shal) be in an amount equal to onatwelQh (1112) of ;
oaahalf (~4 ) per centum of the average ou4standing balance due on the note computed without taking into aocount
delinquencies or prepaymenu;
(b) A sum equal to the Yround rents, if any, neat due. plus the prcmiums that will next become due and payable on policies of firc
and other hazard iniurance covering thc mbrtgaged ptoperry, plus taxa and assessments neat due on the mortgaged properry (all
as estimaced by the mortgagee) less all surns airtady paid therefor dividod by the number of months to tlapae betore oae month
priur to the date when such ground rmts, prem~urtu, taxes, and assessmen4s will become delinquent, such sums to be held by
mortgagee in t~ust to pay said ground re~ts. prcmiums, taxa, and special assessments; and
Cc) All payments mentioned in the two pnceding subsections of this paragrap6 and all payments w be made under the note secured
hcreby shall bc added together and the aggregate amount thereof shall be paid by the mo~tgagor each month in a singk paymcnt
to be applied by the mortgagce to the following items i~ the order ut forth:
(1) prcmium charges under the contract of insurance with the Secrctary of Housing and Urban Devebpment. or monthly ~
charge (in lieu of mortgage insurat~ce premium), as the case may be;
UI) ground rents, taxes. assessments, 6re, and other hazard insurance premiums:
(111) interai on the nde secured hereby; and
~(IV) amortilation of the principal of said note.
Any deficiency io lhe amount of such aggregate monthly payment shall, unl~s maJe gcx~d by the mortgagor prior to the due date of
the next such payment, constitute an event ot default under ~his mortgage. The mortgagee may collect a"late charge" not to exceed two
cents 12c) for each doUar IS11 oi each payment more than fifteen (15) days in arrears to cover the extra expense involved in hanciling
delinquent payments.
3. That if the total of the payments made by the morigagor under lb) of paragraph 2 preceJing shall exceed the amount of the
payments actually made by the mortgagee. for ground rents. taxes and asussments and insurance premiums, as the case may be, such
~xcess at the option of the mortgagee, shall, be crcdited on subsoquent payments to be made by the mortgagor. or rcfuadod to the
mortgagor. if, however, the monthly payments made by the mortgagor under Ib) of paragraph 2 preceding shall not be sufricient to pay
gruund rents, taxes and assessments and insurance premiums, as the case may be, when the same shall become due and payable, then the
mortgagor shall pay to the mongagee any amount necessary to make up the deficiency, on or before the date when payment of such
ground ~ents, taxes, assessmcnts. or insurance premiums shall be due. If at any time the mortgagor shall tender to the mongagee in
accordance with the provisions of the note secured hertby, full payment of the entire indebtedness repraented thereby. the mortgagce
shall, in computing the amount of such i~deMedness, credit to the aocount of the mortgagor all payments made uader the provisiuns of (u)
of parag~aph 2 hereof wt~ich the mortgagce has not become obligated to pay to the Secretary of Housing and Urban Development and any
balance remaining in the funds accumulated under the provisions of (b? of said paragraph 2. If there shall be a defaul[ under ~ny of the
provisions of this mortgage, rau(ting in a public sale uf the premises cuvered hereby, or if !he morigagee aoquires the property otherwise
after defau!!, the mortgagee shall apply. at the time of the commencement of such proceedings or at the time the property is otherwise
acquired, the balance then remaining in the funds accumulateJ under fb) of paragraph 2 prececfing as a credit against the amount of
principal i~~en remaining unpaid urnier saiJ note anc! shaH Properly adjust any payments which shall have been made under (a) of said
paragraph.
4. That he will pay all taaes, assessments, water rates, arxl other governmental or municipal charges, fines, or impositions, for which
provision has not been made hereinbefore, and in default thereof the mortgagee may pay the same: and that he will promptly deliver the
ofncial rcreipts therefor to the morigagee.~
S. That he will permit, commit, or suifer no w:~ste, impairment, or deterioration of said property or any part thereof; and in !he event
of the failure of the mongagor to keep the buildings on said premises and Ihose to be erected on said premises, or imQrovements thereon.
in good repair, the mortgagee may make such repairs as in its discretion it may deem necessary for the proper preservati~n thereof, and
the full amount of each and every such payment shall be immediately due and payable, and shall be securod by the lien of this morigage.
6. That he will pay ali and singular the costs, charges. and eapenses, including reasonable lawyer s fees, and costs of abstracts of tiqe.
incurred or paid at any time by the mortgagee because of the failure on the part of the mortgagor promptly and fully to perform the
agreements and covenants of said Promissory note and this mongage, and said costs, charges, and txpenses shall be immediately due and
payable and shall be secured by the lien of this mortgage.
That he will keep the improvements now existing or hereaRer erected on the mortgaged propeny, insured as may be required from
time to time by the mortgagee against loss by fire and other hazards. casulaties, and contingencies in such amaaots and for wch periods as
may be required by mortgagee, ar~d will pay promptly, when due. any premiums on such insurance for payment of which provision has not
been made hueinbefore. All inwrance shall be carriod in compa~ies approved by mortgagee and the policios and renewals thereof shatl
be held by mongagee and have attached thereto loss payabte clauses in tavor of and in form acceptable to the mortgagee. In event of loss
he wilf give immediate notice by mail to mortgagee, arxi mortgagee may make proof of loss if not made promptly by mortgagor, and each _
insurance company cor~cernM is hereby authorized and directed to make payment for such loss directly to mo~tgagee instead of to
mortgagor anci mortgagee jointly, and the insurance proceeds, or any part thereof, may be applied by mortgagee at its option either to the
reduction of the indebtedness hereby secured or to the restoration or repair. of the property damaged. In event of foreclosure of this
mortgage or other transfer of title to the mortgaged property in extinguishment of the indebtedness secured hereby, all right, titte. and
interest of the mortgagor in ancl to any insurance policies then in force shaH pass to the purchaser or grantee.
8. That if the premises, or any pa~t thereof, be condemoed under ~ny power ot eminent domain. or acquired (or a public use, ~
the damages, ptoceeds, end t6e consideration (or such acquisition, to the e:tent o( the full amount ot indebtedness upon this
\lortgage,andthe\ote secured hereby remaining unpaid,are hereby assigaed by- the Nortgagor tothe 1lortgagee aad shall be paid
torthNith to the ~IortRaRee to be appl"eed by et oo account ot the indebtedness secured hereby, whether due or not.
9. That the murtgagee may, at any time pereding a suit upon this mongage, apply to the court having jurisdiction thereof for the ~
appointment of a receiver, and such court shall forthwith appoint a receiver oCthe premises covered hereby all and singular, including all
and singutar the income, profits, issues, and revenues from whatever source derived, each and every of which, it being eapressly
understood, is hereby mortgaged as if specifx;ally set forth and described in the granting and habendum clauses hereof, and such raeiver
. shall have all the broad and efTective functions and powers in anywise entrusted by a court to a receiver, and such appoinlment shall be
made by such caurt as an admitted equity and a matter of absolute right to said mortgagee, and without reference to the adequacy or
inadequacy of the value of the property mortgaged or to the solvency or insolvency of said m~rtgagor or the defendents. and that such
rents, profits, income, issua, and revenues shall be applied by such receiver according to the lien of this mortgage and )he practice of such ~
court. tn the event of any default on the part of the mortgagor hereunder, the mortgagor agrees to pay to the mortgagee on demand as a
reaspnable monthly rental for the premises an amount at least equivalent to one-twelfth 11/12) of the aggregate of the twelve monthly
installments payable in the theD current year plus the actuai amount of the annual taxes. assessments, water rates. and insurance premiurtu
for such year not covered by the aforesaid monthly payments.
~p, That (a) in the event of any breach ot this mortgage or default on the part of the mortgagor. or Ib) in the event that any of said
sums of money herein referred to be not promptly and fully paid without demand or notice, or (c) in the event that each and every the
stipulations, agreements, conditions, and covenanis of said nae and Ihis mortgage, are not duly, promptly. and fully performed: then in
either or any such event, the said aggregate sum mentioned in said note then remainig unpaid, with interest accrued to that time, and all
moneys secured hereby, shalt become due and payable forthw•ith, or thereafter, at the option of said mortgagee, as fully aod completely as
if ali of the said sums of money were originally stipulated to be paid on wch day, anything in said note or in ihis mortgage to the contrary
notwithstanding: and thereupon or thereafter, at the option of said mortgagee, without notice or demand. suit at law or in equity, may be
prosecuted as if all moneys socured hereby had matured prior to its institution. The mortgagec may toreclose this mortgage, as to the
arrwunt so declared due and payabre. and the said premises shall be sold to satisfy and pay the same together with costs. expenses, and
allowances. In cax of partial foreclosure of this mortgage, the morlgaged premises shall be sold subject to the continuing lien of this
mongage for the amount of the debt not then due and unpaid. tn such caze the provisions ot lhis paragraph may again be availed of
thereafter from time to time by the mortgagee.
l l. That the mortgagor will give immediate notice by mail to the mortgagee of any conveyance. transfer, or change of ownership of
the premises.
12. That no waiver o! any covenant herein or of the obligation secured hereby shall at any time thereafter be held to he a waiver of
the terms hereof or of the note secured hercby.
aGOK 212 °4i;i
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