Borrower &ad Deader Colwell and tone as Mows.
<br />1. That Borrower will peg the indebtedness, as hereinbefore
<br />priwfded. privikge is reserved to pay the debt in whole or in part
<br />on any installment due date. :
<br />2. That. together with. and in addition to, the monthly
<br />payMCM of principal and interest payable under the terms of the
<br />note secured hereby. the Borrower will pay to the Lender, on the
<br />Cant day of each match until the said note is fully paid, the
<br />followia suers:
<br />ia3 Aso%. t sufficient to provide the bolder hereof with fonds
<br />to pay the next mortgage insurance pretnhim if this instrument and
<br />the note secured hereby are insured, er a monthly charge (in lieu
<br />of a mortgage fnsurancv premium) if they are held by'the
<br />Secretary of Housing and Urlttt i. Development, as follows:
<br />(1) If and so long ass-'a we of even date and this instru-
<br />trtent are insured or are reinscrei$ t6d�. tH�provisioni of the Na-
<br />tional Housing Avg. an amoyrt '.rC tiLh EsT accumulate in the
<br />hamds of the holder one (ty.t lji _7 {nrty` ;tC: its due date the annual
<br />mortgage insurance premium fir tie tr t .isovide such holder with
<br />funds to pay such premium to cite scqr_4.�- of Housing and Ur-
<br />ban Developeent pursuant to the l 4WL Housing Act. as
<br />amended. and applicable Itegutatiors pis der: or
<br />(Ii) if and so long as wiz' aote,cf, even date and this mstnt-
<br />ment are held ti) the Secreia s .cif i4cus3ng and Urban Mclop-
<br />ment, a monthly charge (tit lieu of a Insurance premium)
<br />which shall be in an amount equal to omr 'mvelfth 0 � 12► of one -
<br />half (1/2) per centum of the average c-4fAUnding balance due on
<br />I note computed without taking inu, :lp4uunt delinquencies or
<br />ptr�ayrstents:
<br />(b) A sum equal to the gr ,mrtd rents, = . next due. plus the
<br />premiums 13at. xtil nest become due ao.' ' able on policies of
<br />fire and otttte famrd insurance cotierit:%Y Tfsi :. pToperty, plus taxes
<br />and assessmt -W . ext due to the proptiv.- 1:11 as estimated by the
<br />Leader) less ja sums al-eW. -#; imid therefor divided by the number
<br />of months to elapse before, one (1 f month prior to the date %then
<br />stitch ground rents, premiums. taxes and dsw%smel'K %ill t1C�olne
<br />delinquent. suede sums to be held by I.;:cj4cr In trust to {lay said
<br />ground rents, premiums. taxes and sptoctl assessments: and
<br />(c) All payments mentlonW is'. -.-I i mo- preceding subsections of
<br />cius paragraph and all paytr:c. z, - -�Ow, made under the note
<br />secured hereby shall be added the aggregate :a►tount
<br />thereof shall be paid by the month in a %mgte pay -
<br />ment to he applied by the Lender to thix ti;llowutg Items in the
<br />order set forth:
<br />(1) premium chaf,,,W4 under the contract of Insurauce with
<br />the Secretary of Housing erred Urban Development. or rnonthly
<br />Chuge (in lieu of mortgage insure +nve premium), as the case may
<br />Ix:
<br />(II► ground rents, taxes- assessments. fire and other Ward
<br />insurance premiums:
<br />(111) interest on the note secured 11eleby:
<br />(IV) amortization of the pnncgx +l o: said rCte staf.
<br />(V) fate charges.
<br />Any deficiency in the amount of such aWegate nt001911y pay-
<br />ment shall, unless made good by the Burrower prwr t -s fete due
<br />date of the nett such payment. 4.onstitute an event of default
<br />under this mortgage. The Letuler may collect a "late charge" not
<br />to eutvd four cents 1841 for each dollar (SI) of each payment
<br />more than fifteen (i5) days in arrears to cover the extra expense
<br />involved in handling delinquent payments.
<br />1, That if the total of the payments made by the Borrower
<br />under (b) of paragraph 2 preceding shall exgeed the amount of
<br />pbayrnents wA aRy made by the binder for ground rents, taxes and
<br />assessments our insurance premiums; as the case may be.'such cx-
<br />cess, if the loan is current, at the option of the Borrower, shall be
<br />credited by the Lender on subsequent payments to be made by the
<br />Borrower. or refuTnded to the Borrower- If. however, the monthly
<br />paytaettts trade by the Borrower under (b) of paragraph 2
<br />preceding shall not be sufficient to pay ground rents, taxes and
<br />assessments or insurance premiums, as the case may be, when the
<br />settee shall become due and payable. then the Borrower shall pay
<br />to the Lender any` amount necessary to make up the deficiency, on
<br />or before the date when payment of such ground rents. taxes.
<br />assessments, or insurance premiums shall be due. if at any time
<br />the Borrower shall tender to the Lender, in accordance with the
<br />provisions of the note secured hereby. full payment of the entire
<br />indebtedness represented thereby, the Lender shall. in computing
<br />the amount of such indebtedness. credit to the account of the &ir
<br />rq#cr all. p4. ihlcrrlS made under the prfvjh.ors of (a) of paragraph:
<br />Z.Itreof whicA the Lender has not I;e. 6mc obligated to pay WIND
<br />RA,-netary of Housing awt. Vrbaq Development and baldnc:,r "
<br />rri;iining in the funds s.cwtt3atlated under the prowsio&orlC fill `of
<br />paragraph ZI hereof. If there shall be a default undtis• r _ r z the
<br />provisron�. sift' this instrument resulting in a public safe ic� ; "tlli:' .
<br />premises tut,"til hereby, or if the tender acquires the property
<br />otherwise after default, the Lender shalt apply, at the tithe of the
<br />commencement of such proceedings, or at the time the property is
<br />otherwise acquired, the balance then remaining in the. funds ac-
<br />cumulated trader, (b) of paragraph 2 preceding, as �'crcdit against
<br />the aft;mz: r: f principal then retnainfngtunpaid tender said note,
<br />and chal►'�%-.!perty adjust any paymcats which shag have been
<br />made under (a► of paragraph 2.
<br />>. That the Borrower, wil). pay ground rents, taxes; imessments.
<br />water fares, and other gd%irmnemal or municipal charges. fines,
<br />or Impositions. for which provision has not been made
<br />herelnbefore, and in default thereof the Lender may pay tite same:
<br />and that the Rorrower mill promptly deliver the official receipts
<br />therefor to the L ender.
<br />5. the Borrower will pay all tares which tnay be levied upon
<br />the t.endcr's interest in said real estate and improvements, and
<br />which may h%: levied upon this instrument or the debt secured
<br />hereby (but only to the core a that such Is not prohibited by law
<br />and only to the extent thin such will not make this loan usurious).
<br />but cticiuding any income tar. State or Fcderal, imposed on
<br />i.ender. and will file the official receipt showing such payment
<br />with the I.t-nder. Upon violation of this undertaking. or if the .
<br />il%,rrower is prohibited by any law now or hereafter existing 6.1514
<br />paying the whole or any portion of the aferesajd tyr.%:r j ca upon
<br />the rendering of any ct,urt decree prohibiting the yav:aent by the
<br />Burrower of any such taxes. or if such law or decree provides that
<br />any amot +:tt so paid by the liorrower- •shall be credited on the I$irbl,
<br />the Lender shall have the right to grvi r,inay days' written rid -1vr
<br />to the ouncr of the 1;•rrniscs, requirir;b the payment of the debt.
<br />If such notice tx g)%cls . t4t: said debt st ;a;f,tsecori%s due, payable
<br />and collectlhle at the 0 wiration of said itinely da!;V,
<br />6. That should the Hoiroacr to (lay any sum or keep alts'
<br />covenant provided for in this in,11-vrruetlt, then the Lender, at us
<br />option, nfay pay or perform tl,v sats;e, and all c %rmiditures so
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