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<br />a9 101122
<br />!Borrower and Under covenant and agree as follows:
<br />f 1. That Borrower will pay the indebtedness, as hereinbefore
<br />provided. Privilege is reserved to pay the debt in whole or in
<br />part on any installment due date.
<br />2. That, together with, and in addiuen to. the monthly
<br />payments of principal and interest payable under the terms of
<br />the note secured hereby. the Borrower will: pay to the Lender.
<br />on the firs. da -ef each month until the said note is fully paid,
<br />the following sums.-
<br />(a) A sum equal ter the ground rents, if any, next•dueh plus
<br />the premiums that will next- become due and payable on policies
<br />of fire and other hazard insurance covering the property, plus
<br />taxes and assessments next due on the property (ail as estimated
<br />by the Lender) less all sums almady paid therefor divided by the
<br />number of months to elapse before one (1) month pAor to the
<br />date when such ground rents, premiums,. taxes and awk--sments
<br />wU1 become delinquent, such sums to� be held liy Liwt:: <. in trust
<br />to pay said ground rents, premiums, tauaa;�.sVci;
<br />assessments; ara '
<br />(b) All payalmats mentioned in the preceding su inr� of
<br />this parag+r..aitft: iz alt, payments to be made under tlrn cite
<br />o6mrtd her_'iri'.shall f:d'added together, and the aggrzgaTe
<br />' uinount thetvaf Ell ill'be paid by the Borrower each month in a
<br />single payment. tc be applied by the Lender to the following
<br />items in the order set forth:
<br />(1) ground rents, taxes, assessments, fire and other hazard
<br />insurance premiums;
<br />(11) inter -t on the note secured hereby;°
<br />(111) amortization of the principal of said note; ivd
<br />(IV) late charges.
<br />Any deficiency in the amount of such aggregate mcrthly
<br />payment shall, unless made good by the Borrower -,-nor to the
<br />due date of the next such payment, constitute an e:rasr of
<br />default under this mortgage. The lender may co)l,:a: a- "late
<br />charge" not to exceed four cents (4¢) for each do'ia-(15i) of
<br />each payment more than fifteen (15) days in arrcarL to cover the
<br />extra expense involved in handling deRicViantt payments.
<br />3. That if the total of the payments made by the &)rrower
<br />under (a) of paragraph 2 pimeding shall exceed the arr:ount of
<br />payments actually made by the Lender for ground rents. taxes
<br />and assessments or insurance premiums. as the case may be.
<br />such excess, if the loan is current, at the option of the
<br />Borrower, shall be credited by the Lender on subsequent
<br />payments to be made by the Borrower, or refunded to the
<br />Borrower. If. however, the monthly payments made by the
<br />Borrower under (a) of paragraph 2 preceding shall not be
<br />sufficient to pay ground rents, taxes and assessments or
<br />insurance prem_}.ums, as the case may be, when the same shall
<br />become due and payable. then the Borrower shall pay to the
<br />Lender any amount necessary to make up the deficiency, on or
<br />before the date when payment of such ground rents, taxes.
<br />w- ,rL- ssments, or insurance premiums shall be due. if at any time
<br />thi: Borrown shall tender to the Lender, in accordance with the
<br />p- otiisions of the note secured hereby, fu,, "1 payment of the entire
<br />ir._debtedness represented thereby, the Lender shall, in computing
<br />the amount of such indeL• edness, credit to the account of the
<br />Borrower any balance remaining in the funds acc mutated under
<br />the provisions of (a) of paragraph 2 hereof. If there shall be a
<br />default under any of the provisions of this instru —mi resulting
<br />in a public sale, of the premises covered hereby, ar i)' the Lender
<br />acquires the property otherwise after default, the Lender shall
<br />apply. at the time of the commencement of such'. proceedings. or
<br />at the time the property is otherwise acquia:d; Ifitr�4lance then
<br />remaining in the funds accumulated under (aT oft lt4s tj raph 2
<br />preceding, as a credit against the amount of pt9tt+tlai,4Ctt
<br />remaining unpaid under said note.
<br />4. That the Borrower will pay ground rents, taxes,
<br />assessments. water rates, and other governmental or municipal
<br />charges. fines, or impositions, for which providaifhas not been
<br />made hereinbefore, and in default thereof the Lender may pay
<br />the same; and that the Borrower will promptly deliver the
<br />official receipts therefor to the Lender.
<br />5. The Borrower will pay all taxes which may be levied upon
<br />the Lender's interest in said real estate and improvements, and
<br />which may be levied upon this instrument or the 'debt secured
<br />hereby (but only to the extent that such is not prohibited by taw
<br />and only W the extent that such will not make this loan
<br />usuriousp.. but exdudfsg: any income tax. State or Federal.
<br />imposed: en. Lender, and *gill rate the official receipt showing
<br />such pa }merit with the Lender. Upon violation of this
<br />undertakin;,, or if the Borrower is prohibited by any law now or
<br />hereafter Misting from paying the whole or any portion of the
<br />aforesaid taxes, or upon the rendering of any court ditree
<br />prohibiting the payment by the Borrower of any such taxes. or
<br />if such law or decree provides that any amount so paid by the
<br />Borrower shall be credited on the debt, the Lender shali have
<br />the right to give ninety days' written notice to the owner of the
<br />premises, requiring the payment of the debt. If such notice be
<br />given, the said debt shall become due, payable and collectible at
<br />the expiration of said ninety days.
<br />6. That should the Borrower fail to pay a4 sum or keep aau.
<br />covenant prnvided for in this instru-ment, ihen the Lender, at its
<br />option, may pay or perform the Fa.=,• and all expenditures so
<br />made shall be added to the princip4:,•sum owing on the said
<br />note. shall be secured hereby, and shall bear interest at the rate
<br />set forth in the said note. until pa,b,l.
<br />7. Tta-, the Borrower hereby am, -ts, transfers and sets ovw
<br />to the Lender. to be applied to-AwS t'ae payment of the note
<br />imd all sums secured hereby in case of a default in the
<br />p,rformance of any of the terms and conditions of this
<br />instrument or the said note, all the rents. revenues and income
<br />to be dsrived from the said premises during such time as the
<br />indcbt: dove s shall remain unpaid, and the Lender shall have
<br />power to appoint any agent or agents it may desire for th!
<br />purpose of repairing said premises and of renting tiz sam: Fnd
<br />collecting the rents. revenues and income, and it mt:v p, y out of
<br />said incomes all expenses of repairing said premises a :,d .
<br />necessaiy commissions and expenses incurred in rentirr::: *. �•
<br />mana,a r-g the same and of collecting rentals therefrom;
<br />bale. �:e remaining, i` zny, to be applied toward the discharge of
<br />said indebtedness.
<br />8. That the Borrower will keep the improvements now
<br />existing or hereafter erected on that property, insured as may `e
<br />required from time to time by tti: L rrder against loss by f::,:
<br />and other hazards, casualties and,- =.tingencies `-T, such arrcw.i.
<br />and for such periods as may be required by ffc i.atri,,sr and �-- J
<br />pay promptly, when dt:ai, any premiums on such ,tt:,u-ance,,
<br />provis•c y for payment of which has not been made
<br />herein.b+:fore. All insurance shall be carried in compalms
<br />appro-ied by the Ler,,:,..r and the policies and reiuewals therpaf
<br />shall be held by tkc- Lm6er and have attached dhe eto toss
<br />payable clauses in favor of and in form acceri tole to the
<br />Page 2 of 5 t HUD- 92143DT -1
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