HomeMy WebLinkAbout0991 Wraparound Mortgagee by Martgagor to the :irst Mortgagee in
payment of ~uch sums due under such mortgage.
7. In the event that the unpaid principal balance of the }
First Mortgage is reduced by the First Mortgagee a~plying ~
insurance proceeds in reduction thereof or by prepaymenLs made by
~ortgagor with the prior written consent of the Wraparound
Mortga~ee so that the ~raparound Mortgagee's obligations
hereunder to pay to the First Mortgagee the unpaid principal
balance of said r'irst Mortgage is similarily reduced, then and in
such event, the Wraparound Mortgagee agrees that Mortgayor's #
obligations to pay the total indebtedness to Wraparound Mortgagee
hereunder shall be likewise re3uced by an equivalent amount;
such equivalent amount to be deducted from the final payment to
be made by Mortgagor to the Wraparound Mortgagee hereunder in the
inverse or~er of their due date.
8. If the Wraparound Mortgagee shall default in making a
requ~red payment of principal and/or interest under the terms anu
conditions of the First Mortgage, the Mortgagor shall have the
right to advance the sums necessary to cure such aefault and all
funds so advanced by Mortgagor together with interest thereon at
the rate of 12$ percent per annum shall be credited against the
next installment(s) of principal and interest due under the note
secured by this Mortgage. ~
9. Mortgagor and the Wraparound Mortgagee agree to promptly
send to the other copies of any notices received by them from the
First MQrtgagee or from insurer$ of the property.
10. The Wraparound Mortgagee agrees to send to Mortgagor at
the time the Wraparound Mortgagee makes each payment provided
herein to be made by the Wraparound Mortgagee to the First
Mortgagee evidence that each such payment has been made (a c~py
of the Wraparound Mortgagee's transmittal letter, if any, will
suffice), should Mortgagor so request of the Wraparound Mortgagee
in writing.
11. N~twithstanding any provision to the contrary contained
herein, interest shall not be payable by the Wraparour.d Mortgagee
upon any sums deposited with or held in trust by the riaparound
Mortgagee pursuant to any provision hereof.
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12. Mortgagor shall have the right to prepay the whole or
any part of the unpaid balance of the indebtedness here~ander at
any time without penalty. However, it is agreed `aetween
Mortgagor and the Wraparound MortgageP that any prepayments shall ~
be first applied to the payment of the First Mortgage and the
Note secured thereby. Any prepayment shall be applied to the
interest ac~rued to the date of prepayment and then to the ~
principal indebtedness. Any prepayment being applied to the ~
principal shall be directly paid for principal reduction of the
First Mortgage and the Note secured thereby, and any amounts over
and above the entire principal indebtedness of the First Mortgage
and the Note secured thereby shall be paid over the to Wraparound
Mortgagee herein.
13. Mortgagor shall obtain insurance on the property for
the highest insurable value, and Mortgagor agrees to provide the
insurance company with the names and interests of the Wraparound
~ Mortgagee and the First biortgage as their respectire interests
appeax and are otherwise governed by the terms and condition~ of
this Mcrtgage.
14. Mortgagor shall permit Wrap~round Mortgagee to make
rPasonabie ir~spections of tt~e property, provided that Wraparound
Mortgagee shall give Mortgagar prior reasonable notice specifying
eoa~ 494 ~~GE 9~s