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<br />atrrower and Lender covenant and agree as ft*ow%:
<br />I _ 'That lkirmwer will pay the indebtedness, as he -reinbeforc
<br />provided. Privilege is reserved to pay the debt to whole or in part on
<br />any installment due date.
<br />2. That, together with, and in addition to, the monthly payments
<br />of principal and interest payable under the terms of the note secured
<br />hereby, the Borrower will pay to the Lender, on the first day of each
<br />month until the said note is fully paid, the following sums:
<br />(a) A sum equal to the ground rents, if any, next due, plus the
<br />premiums that will next become due and payable on policies of Fire
<br />and other hazard insurance covering the property, plus taxes and
<br />assessments next due on the property (all as estimated by the Lender)
<br />less all sums already paid therefor divided by the number of months
<br />to elapse before one (1) month prior to the date when such ground
<br />rents, premiums, taxes and assessments will bmwrre deliquent, such
<br />sums to be held by Lender in trust to pay said CISN M� tents,
<br />premiums, taxes and special assessments; And..
<br />(bb) All payments mentioned in the preceding subs- :tiiarro[ this
<br />paragraph and all payments, to be made tmder the note secured
<br />herebv shalO be'added together, and the Wwgate amount thereof•
<br />shall be paid by the Borrower each monks in a single payment to be
<br />.applied by the Lender to the following items in the order set forth:
<br />' {I) ground rents, taxes, assessments; fire-and other hazard insur-
<br />ance premiums;
<br />(11) interest: on the note secured h' erebv.
<br />(PI) amortization of the principal of said note; and
<br />(IV) late charges.
<br />Any deficiency in the amount of such aggregate monthly payment
<br />shath- unless. made gnod by the Burrower �rinr rn rhP �i�ie date of the
<br />next such payment, constitute an event of default under this
<br />mortgage. The Lender may collect a "late charge" not to exceed four
<br />cents (44) for each dollar (SI) of each payment more than fifteen
<br />(15) days in arrears to cover the extra expense involved in handling
<br />delinquent payments.
<br />3. That if the total of the payments made by the Borrower under
<br />(a) of paragraph 2 preceding shall exceed the amount of payments
<br />actually made by the Lender for ground rents, taxes and assessments
<br />or insurance premiums, as the case may be, such excess, if the loan is
<br />current, at the option of the Borrower, shall be credited by the
<br />Under on subsequent payments to be made by the Borrower, or
<br />refunded to the Borrower. If, however, the monthly payments made
<br />by the Borrower under (a) of paragraph 2 preceding shall not be
<br />sufficient to. pay ground rents, taxes and assessmen.�, or insurance
<br />premiums, as the case may be, when the same shall ot, -' rte due and
<br />payable, then the Borrower shall' pay to the Lender any amount
<br />necessary to make up the deficiency, on or before the date when
<br />payment of such ground rents, taxes, assessments, or insurance
<br />premiums shall be due. If at any time the Borrower shall tender to
<br />the lender, in accordance with the provisions of the note secured
<br />hereby, full payment of the entire indebtedness represented thereby,
<br />the lender shallt in computing the amount of such indebtedness,
<br />credit to the account of the Borrower any balance remaining in the
<br />funds accumulated under the provisions of (a): of paragraph 2 hereoll
<br />If there shall be a default under any of the provisions of this
<br />instrument resulting in a public sale of the premises covered hereby,
<br />89- 10068 4
<br />tit if the Lender acquires the pmpeity othowne after di;fault, the
<br />Lender shall apply, at the time of the cummemunient ote such
<br />Proceedings, rir at the time the property is otherwise acquired, the
<br />balance then remaining in the funds accumulated under (a) of
<br />paragraph 2 preceding. as a credit against the amount of principal
<br />then remaining unpaid under said note.
<br />4. That the Borrower will pay ground rents, taxes, awessments,
<br />water rates, and other governmental or municipal charges, fines, or
<br />impositions, for which provision has not been made hereinbefore,
<br />and in default thereof the Lender may pay the same; and that the
<br />Borrower will promptly deliver the official receipts therefor to the
<br />Lender.
<br />5. The Borrower will pay all taxes which may be levied upon the
<br />Lender's interest in said real estate and improvements, amd which
<br />may be levied upon this instrument or the debt secured hereby (but
<br />only to the extent that such is not prohibited by law and only to the
<br />extent that such will not make this loan usurious), but excluding any
<br />income tax, State or Federal, imposed on Lender, and will ni,e tbe.
<br />official. receipt showing such payment with the Lender. klpot:
<br />violation of.tltii utiykrtmPs V, or if the Borrower is pro"ited by any
<br />law now at, hr:mP& era'&:rig from paying the whole- or any portion
<br />�nfthc c;totesrid tort, Qm upon the rendering of acry cvuri da:ree
<br />,prohibjling ttie payt*ei t ley the Borrower of any such taxes, or if
<br />such ixw, Or dt tree provides that any amount so paid bw the
<br />Borrower c shall be W&W3 on the debt, the Lender shall. have the
<br />right to give ninety day ;C w duen notice to the owner of the premises,
<br />requiring the payment cr dw debt. If such notice be given, the said
<br />debt shall. become due, irayaale and collecabre at the expiration of
<br />said ninety days.
<br />6. That should the Borrower fail to pay any sum or keep any
<br />covenant provided for in this instrumem then the Lender, at its
<br />option, may pay.or perform the same, and all expenditures so made
<br />sinail be added w the principai sum owing on the said note, shall
<br />be secured hereby, and shall bear interest at the rate set forth in the
<br />said note, until paid.
<br />7. That the Borrower hereby assigns, transfers and sets over to the
<br />Lender, to be applied toward the payment of the note and all sums
<br />secured hereby in case of a default in the performance of any of the
<br />terms and conditions of this instrument or the said note. all the rents,
<br />revenues and income to be derived from the said premises during
<br />such time as the indebtedness shall remain unpaid, and the Lender
<br />shall have power to appoint any agent or agents it Inay desire for the
<br />purpose of repairing said premises and of renting the same and
<br />collecting the rents, revenues and income, and it may pay out of said
<br />incomes all expenses of repairing said premises arrd necessary
<br />commissions and expenses incurred in renting and managing the
<br />same and of collecting =44s therefrom; the balance remaining, if
<br />any, to be applied toward the discharge of said indebtedness.
<br />8. That the Borrower Kill keep the improvements now existing or
<br />hereafter erected on the property. insured as may be required from
<br />time to time by the Lender against loss by fire anid other hazards,
<br />casualties and contingencies in such amounts and for such periods as
<br />may be required by the Lender and will pay promptly. when due,
<br />any premiums on such insurance, provision for payment of which
<br />has not been made hereinbefore. All insurance shall be carried in
<br />companies approved by the Lender and the polices and renewals
<br />thereof shall be held by the Lender and have attached thereto loss
<br />payable clauses in favor of and in form acceptable to the Lender. In
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