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HomeMy WebLinkAbout0342 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 -4-