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prior to co~pletion of construction the Mortgagee shall have
the option to receive and apply the same on account of the
indebtedness hereby secured, or to permit the Mortgagor to
receive and use it, or any part thereof for reasonable
repair or replacement of the Project without thereby waiving
or impairing any equity, lien or right under and by virtue
of this mortgage. In the event any such sum or sums becomes
payable after completion of construction Mortgagor mav, at
its option, apply the same to repair or replacement of the
Project or to apply the same on account of the indebtedness
hereby secured. In event af loss or physical damage to the
mortgaged property the Mortgagor shall give immediate notice
thereof by mail to the Mortgagee and the Mortgagee may make
proof of loss if the same is not made promptly by the Mortgagor.
In event of foreclosure of this mortage 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 policies then in
force shall pass to the purchaser or grantee.
8. The Mortgagee may, at its option, and without
waiving its right to accelerate the indebtedness hereby
secured and to foreclose the same, pay either before or
after delinquency any or'all of those certain obligations
required by the terms hereof to be paid by the Mortgagor for
the protection of the mortgage security or for the col-
iection of the indebtedness hereby secured. All sums so
advanczd or paid by the Mortgagee shall be charged into the
mortgage account and become an integral part thereof, sub-
ject in all respects to the terms, conditions, and covenants
of the aforesaid promissory note, and this mortgage, as
fully and to the same extent as though a part of the or-
iginal indebtedness evidenced by said note and secured by
this mortgage, excepting, however, that said sums shall be
repaid by the Mortgagor to the riortgagee, together with
interest at the default rate soecified in th? nr~migcnry
note forthwith upon its demand and be in addition to the
regular monthly installments provided by the promissor.y
note.
9. That the abstract or abstracts of title covering
the mortgaged property shall at all times, during the life
of this mortgage, remain in the possession of the Mortgagee
and in event of the foreclosure of this mortgage or other
transfer of title to the mortgaged property in extinguish-
ment of the indebtedness secured hereby, all right, title
and interest of the Mortgagor in and to any such abstracts
of title shall pass to the purchaser or grantee.
10. That no waiver of any covenant herein or of the
obligation secured hereby shall at any time hereafter be
held to be a waiver of the terms hereof or of the note
secured hereby.
I1. That in order to accelerate the maturity of the
indebtedness hereby secured because of the failure of the
Mortgagor to pay any tax assessment, liability, obligation
or encumbrance upon said property as herein providea, it
shall not be necessary nor requisite that the Mortgagee
sliall first pay the same.
12. To the extent of the indebtedness of the Mortgagor
ta the Mortgagee described herein or secured hereby, the
Mortgagee is hereby subrogated to the lien or liens and to
the rights of the ownPrs and holders thereof of each and
ever~ mortgage, lien or other encumbrance on the land des-
cribed herein which is paid and/or satisfied, in whole or in
part, out of the proceeds of the loan described herein or
~~.`~ 353 ~~E 341
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