HomeMy WebLinkAbout2178 2. That, in order more fully to protect the security of this mortpge, the mortgagor. together with, and in addition to, the monthly
payments under the terms of the note secured hereby, on the first day o! each month until the said note is fully paid, will pay to the mort-
gagee the following sums:
(a) An amount sufficient to provide the holder hereof with funds to pay the next mortpge insurance premium if thls instrument and
the note secured herby are insured. or a monthly charge (in lieu of a mortpge insurance premium) if they are held by the Secre-
tary of Housing and Urban Development u follows:
(1) li and so long u aid note of even date and this instrument are insured of ue reinsured under the provisions of theNational
Housing Act, an amount sufCcient to accumulate in the hands of the holder one (1) month prior to its due date the annual
mortpge insurance premium, in order to provide such holder with funds to pay such premium to the Secretary of Housing
and Urban bevelopment pursuant to the National Housing Act, as amended, and applicable Regulations thereunder; or
(Il) if and so long as said note of even date and this instrument are held by the Secretary of Housing and Urban Development,
a monthly charge (in lieu of a mortgage insurance premium) which shall be in an amount equal to ono-twel[th (1/12) of
oao-hal[ (1 /2) per. centum of the avetaga outstanding balance due on the note computed without taking into account de-
linquencies or prepayments: -
(b) A sum equal to the ground Hots, if any. next due, plus the premiums that will next become due and •payible on policies of fire
and other head insurance covering the mortgaged property. plus taxes and assessments next due on the mortpged property (all
u`eatimated~by the mortgagee) less all surds already paid therefor' divided by the number of months to elapse before cute month
prior to the .date when stcch ground ants, premiums, taxes, and assessments will become delinquent, such sums to be held by
mortgagee in trust to pay said ground rents, premiums, taxes, and special assessments; and
(c) All payments mentioned in the two preceding subsections of this paragraph and ill payments to•be made under the note secured
hereby shall be added together and the aggnpte amount thereof shall be paid by the mortpgor each month in a single payment
to be applied by the mortgagee to the following items in the order set forth:
(I) -pranium chases under the contract of insurance with the• Secretary of Housing and Urban Development, or monthly
chuge (in Ueu of mortgage insurance premium), as the case may be: ' .
(lI) ground ants, taxes, assessments, fin, and other hazed insurance premiums:
(Ill) interest on the note secured hereby; and _
(IV) amortization of the principal of said note.
Any deficiency in the amount of such aggnpte monthly payment shall, unless made good by the mortgagor prior to the due date of
the next such payment, constitute an event of default under this mortpge. The mortgagee may collect a "late chuge" not to exceed four
cents (4~) for wch doUu (S1) of each payment more than fifteen (15) days in arrears to cover the extra expense involved in handling do-
linquent payments.
3. That if the total of the payments made by the mortgagor under (b) of paragraph 2 preceding shall exceed the amount of the pay-
ments acttully made by the mortgagee, for ground rents, taxes and assessments and insurance premiums, as the case may be, such excess if
the loan is current, at the option of the mortpgor, shall, be credited on subsequent payments to be made by the mortpgor, or refunded to
the mortgagor. If, however, the monthty payments made by the mortgagor under (b) of paragraph 2 preceding shall not be sufficient to
pay ground Hats, taxes and assessment and insurance premiums, as the case may be, when the same shall become due and payable, then
the mortgagor shall pay to the mortgagee any amount necesury to make up the deficiency, on or before the date when payment of such
ground rants, taxes, assessments, or insurance premiums shall be due. If at any time the mortpgor shall tender to the mortpgee in accord-
ance with the provisions of the note secured hereby, full payment of the entire indebtedness represented thereby, the mortgagee shall, in
computing the amount of such indebtedness. credit to the account of the mortpgor all payments made under the provisions of (a) of para-
graph 2 hereof which the mortpgee has not become oblipted 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 default under any of the provisions
of this mortpge, resulting in a public sale of the premises covered hereby, or if the mortgagee acquires the property otherwise after do-
fault, the mortpgee shall apply, at the time of the commencement of such proceedings or at the time the property is otherwise ac-
quired, the balance then remaining in the funds accumulated under (b) of puagraph 2 preceding as a credit against the amount of principal
then remaining unpaid under said note and shall properly adjust any payments which shall have been made under (a) of said paragraph.
4. That he will pay all taxes, assessments, water rates, and other governmental or municipal chuges, Lines, or impositions, for which
provision has not been made heninbefore, and in default thereof the mortgagee may pay the same; and that he will promptly deliver the
official receipts therefor to the mortgagee.
5. That he will permit, commit, or suffer no waste, impairment, or deterioration of said propert)r or any part thereof; and in the
event of the failure of the mortgagor to keep the buildings on said premises and those to be erected on said premises, or improvements
thereon, in good reF~~, the mortpgee may make such repairs as in its discretion it may deem nec ry for the proper preservation there-
of, and the full amount of each and every such payment shall be immediately due and payable, anted 31taU basecured by the lien of this
mortgagee. •r •.1<'•
6. That he will pay all and singulu the costs, chuges, and expenses, including reasonable lawyer's fees, and costs of abstracts of
title, incurred or paid at any time by the mortpgee because of the failure on the part of the mortgagor promptlyr'and fully to perform the
a cements and covenants of said romissory note and this mortgage, and said costs, charges, and expenses shall be immediately due and
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payable and shall be secured by the lien of this mortpge.
f 7. That he will keep the improvements now existing or hereafter erected on the mortgaged property insured as may be required from
I time to time by the mortpgee against loss by fue and other hazuds, casualities, and contingencies in such amounts and for such periods as
I may be required by mortpgee. and~will pay promptly, when due; any premiums on such insurance for payment of which provision has not
been made heninbefore. All insurance'shall-be carried in corttpanies approyed•by mortpgee and tht policies and renewals thereof shall be
held by mortgagee and have attached thereto loss payable clauses in favor of and in form acceptable to the mortpgee. In event of loss he
will give immediate notice by marl to mortpgee, and mortgagee may make proof of loss if not made promptly by mortpgor, and each in-
surance company concerned is hereby authorised and directed to make payment for such loss duectly to mortpgee instead of to mortp-
gor and mortpgee jointly, and the insurance proceeds, or any part thereof, may be applied by mortpgeEat its option either to the reduc-
tion of the indebtedness herby secured or to the restoration or repair of the property damaged. In event of foreclosure of this mortpge or
other transfer of title to the mortgaged property in extinguishment of the indebtedness secured hereby, all tight, title, and interest of the
mortgagor in and to any insurance policies then in foice shall pass to the purchaser or grantee.
8. That if the premises, or any-part thereof, be condemned under any .power of eminent domain, or acquired for a public use, the
~ damages, proceeds, and the cogsidention for such•acquisition, to the extent of the full amount of indebtedness upon this Mortgage, and
the Note secured hereby remaining unpaid, an hereby issigned by"the Mortgagor to the Mortpgee and shall be paid forthwith to the Mort-
gagee to be applied by it on account of the indebtedness secured hereby, vahethar due or qot.
~ 9. That We mortpgee may, at any time pendrag a suit upon this mortpge, apply to the court having jurisdiction thereof for the
appointment of a receiver. and such court shall forthwith appoint a receiver of the premises covered herby all and singular, including all
and singtclu the income, profits, issues, and revenues from whatever source derived, each and every of which, it being expressly under-
stood, whereby mortgaged u if specifically set forth and described in the granting and habendum clauses hereof, and such receiver shall
have all the broad and effective functuons and powers in anywise entrusted by a court to a receiver, and such appointment shall be made by
such court u an admitted equity and a chatter of absolute right to said mortgagee, and without reference to the adequacy or inadequacy of
g the value of the property mortgaged or to the solvency or insdvency of said mortpgor or the defendant, and that such rent, profits, in-
come, issues, and revenues shall be applied by such receiver according to the lien of this mortpge and the practice of such court. In the
event of any default on the part of the mortpgor hereunder, the mortgagor agrees to pay to the mortpgee on demand as a reasonable
monthly natal for the premises an amount at least equivalent to ono-twelfth (1/12) of the aggrepte of the twelve monthly installments
payable in the then current yea plus the actual amount of the annual taxes, as:euments, water rates, and inwrance premiums for such
i year not covered by the aforesaid monthly payment.
~ 10. That (a) in the event of any beach of this mortgage of default 6n the part of the mortgagor, or (b) in the Brent that any of said
sums of money herein tgferred to be sot promptly and fully paid without demand or notice, or (c) in the event that each and every the sti-
pulations, agreement, conditions. and covenant of said note and this mortgage, are not duly, promptly, and fully performed; then in
either ar any such event, the said aggrepte sum mentioned in said note then remaining unpaid, with interest accrued to that time, and all
moneys secured herby. shall become due and payable forthwith, or thereafter, at the option of said mortgagee, as fully and completely
u if all of the said sum: of money were originally, stipulated to be paid on such day, anything in said note or in this mortgage to the con•
trary notwithrianding; and thereupon or thereafter, at the option of said mortpgee, without notice or demand, suit at law or in equity,
may be prosecuted as J all moneys secured hereby had matured prior to its irutitution. The mortpgee may foreclose this mortpge, ss to
the amount so declared due and payable, and the said premises shall be sold to satisfy and pay the same together with costs, expenses, and
allowances. In case of partial foreclosure of this mortpge, the mottpged premises shall be sold subject to the continuing lien of this mort-
gage for the amount of the debt not then due and unpaid. In such case the prorisions of this puagraph may spin be avac~ed of thereafter
from time to time by the mortpgee.
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