|
Iteorrower and Lender covenant and agree as follows:
<br />i 1- That Borrower will pay the Indebtedness, as hereinbeforc
<br />provided. Privilege is reserved to pay the debt in whole or in part on
<br />any Installment due date
<br />2. That, together with, and in addition to, the monthly payment-,
<br />of principal and interest payable under the terms of the note secured
<br />hereby, the Borrower will pay to the tender, 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 Aarard insurance covering the property, plus taxes and
<br />assessments next due on the property (all as estiasimd by the Lender)
<br />kss 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 become deliquent, such
<br />sums to be held by tender in trust to pay said ground rents,
<br />premiums, taxes and special assessments: and
<br />(b) All payments mentioned in the preceding subsection of this
<br />paragraph and all payments to be made under the note secured
<br />hereby shall be added together, and the aggregate amount thereof
<br />shall be paid by the Borrower each month in a single payment to he
<br />applied by the lender to the following items in the order set forth:
<br />(1) ground rents, taxes. assessments, fire and other hazard insur-
<br />ance premiums;
<br />(11) interest on the note secured hereby;
<br />(111) amortization of thr: principal of said note; and
<br />(IV) late charges.
<br />Any defm*my in the amount of such, aggregate monthly payment
<br />shall. unless trade good by the Borrower prior to the due date of the
<br />next such payment, constitute an event of default under this
<br />_ MCr% — The I,-- -r FriaY C,01leii s lair eimrgc- not to exi cc foot
<br />cents (44) for each dollar ($I) of each payment more than fifteen
<br />(15) dares is arrears to cover the extra expense involved in handling
<br />il:,:.,it xyments.
<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 />actualiEy made by the tender for ground rents, taxes and assessments
<br />or insurance premiums, as the case may be. such excess, if the loan is
<br />turret, At the option of the Borrower, sfiall be credited by the
<br />Lender on subsequent payments to be made by the_ Wrrower, or
<br />refunded to the Borrower. If, however, the montPi-f 'payments made
<br />by the Borrower under (a) of paragraph. 2 preceding shall not be
<br />sufficient to pay ground rents, taxes aitdi aixssnsents or insurance
<br />Premiums. as the Case may be, when the saryte shatubecome due and
<br />payable, then the Borrower shall pay to the lendeo 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 ishall be due. if at any time the Borrower shall tender to
<br />the Under. in accordance with the provisions of the note secured
<br />hereby, full payment of the entire indebtedness represented thereby,
<br />the Lender shall, in computing the amount of such'iidebtedness,
<br />-&edit to the account of the Borrower any balance remaining in the
<br />funds accumulated under the provisions of (a) of paragraph 2 hereof.
<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 />V
<br />1
<br />or if the Lender acquires the property otherwise after default, the
<br />tender khall apply, at the time of the commencement of such
<br />p(oceedings, or at the time the property is otherwise acquired, the
<br />balancv then remaining in the funds accumulated under f 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, assessments,
<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 tender may pay the same; and that the
<br />Borrower will promptly deliver the official receipts therefor to the
<br />lender.
<br />S. The Borrower will pay all taxes which may be levied upon the
<br />Lender's interest in said real estate and improvements. and 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). bµt excluding any
<br />income tax, State or Federal, imposed on tender, and will, rile the
<br />official receipt showing such payment with the tender. Upori
<br />violation of this undertaking, or if the Borrower is prohibited by any
<br />law now or hereafter existing from paying the whole or any portion
<br />of the aforesaid taxes, or upon the rendering of any court decree
<br />prohibiting the payment by the Borrower of any such taxes, or if
<br />such law or decree provides tharatlY- Amount so paid by the
<br />Borrower shall be credited on the debt. the tender shall have the
<br />right to give ninety dayi' written notitt to the owner of the premises,
<br />requiring the payment of the debt. 0-4< �h notice be given, the said
<br />debt shall become dui:, payable aod'alectible 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 instrument, then the Lender, at its
<br />option, may pay or Perform the same, and all expenditures so made
<br />shall be added to the principal sum owing on the said note. shall
<br />be secured herehv, arl(f.ehall h! 8r:ttlteres! at «ae rate =t .!;:.1: iii Inc
<br />said note, until paid.
<br />7. That the Borrower hereby assigns, transfers and seta 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 unpg oL and the Lender
<br />shall have power to appoint any agent or agents it may desire for the
<br />Purpose of repairing said premises and of renting the same and
<br />collecting the rents, revenues and ingame, at}d it may pay out of said
<br />incomes all expenses of repairing said premises i rid necessary
<br />commissions and expenses incurred in renting aitd managing the
<br />same and of colleaing rentals therefrom; the balance remaining, if
<br />any. to be applied toward the discharge of said indebtedness..
<br />8. That the Borrower will 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 and 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 policies and renewals
<br />thereof shall be held'bj the Lender and have attached thereto loos
<br />Payable clauses in favor of and in form acceptable to the Lender: In
<br />Page 2 of 5
<br />,
<br />MUD- 92143DT -1
<br />I
<br />4
<br />r ,
<br />k,-
<br />
|