|
<br />Bonower and Lender co'vcnanl and agree llS rollows:
<br />
<br />'#~'nn'1-O-3-?-9-5
<br />
<br />I, That Borrower will pay the indebtedness. as hereinbefore
<br />p.rovided. Privilege is reserved 10 pay the debl in whole or in part on
<br />any installmenl due dale,
<br />
<br />2. That. together with. and in addition to, the monthly paymenl~
<br />of principal and interest payable under the terms of the note secured
<br />hereby. the Borrower will pay to the Lender. on the lirst day of each
<br />month until the said nole is fully paid, the following sums:
<br />
<br />(a) A sum equal to the ground rents, if any. next due. plus Ihe
<br />premiums that will next become due and payable on policies of fire
<br />and other ha7.ard insurance covering the property. plus laxes and
<br />assessments nellt due on the property (all as estimated by the Lendt'r)
<br />leu all sums already paid therefor divided by the number of months
<br />to elapse before one ( I ) month prior to the date when such ground
<br />renLO;. premiums. laxes and as...essments will become deliquem, such
<br />sums to be held by Lender in !rUSlto pay said ground rents,
<br />premiums. taxes and special as.'lCSSments; and
<br />
<br />(b) All payments mentioned In the preceding subsecllon of Ihls
<br />paragraph and all payments to be made under the note secured
<br />hereby shall be added logether, and the aggregate amount thereof
<br />shall be paid by lhe Borrower each month in a smgle paymenl to be
<br />applied by the lender 10 the following items in Ihe order set forth:
<br />
<br />(I) ground rents. laxes. asses...menL~, fire and ot.her hazard insur-
<br />ance premiums;
<br />
<br />(II) interesl on the note secured hereby;
<br />
<br />(III) amortizauon of lhe prinCIpal of said note; and
<br />
<br />(IV) laic chargC5.
<br />
<br />Any defiCiency in the amount of such aggregale mOnlhly payment
<br />shall. unless made good by the 8orrower prior 10 the duc dale of lhe
<br />nexI such payment constllute an event of default under thl~
<br />mortgage. The Lender may collect a "late charge" nOlto eXl:ced four
<br />cents (4() for each dollar ($1 ) of each payment more than fifteen
<br />( IS) days in arrears to cover the elltra expensc involved in handling
<br />delinquent payments
<br />
<br />), ThaI if the total of the payments made by the Borrower under
<br />(al of paragraph 2 preceding shall exceed the amount of paymcDl~
<br />actually made by the tender for ground renb. tues and as.'iCssment~
<br />or insurance premiums, as the l:asc may be, such excess, If the Inan .\
<br />current, at the option of the Borrower, shall be credited by Ihe
<br />Lender on subsequent payments to be made by the Borrower, or
<br />refunded to Ihe Borrower, If, however, the monlhly paymenh made
<br />by Ihe Borrower under I a) of paragraph 2 preceding shall not be
<br />sufficient to pay ground rents. laxes and assessmenls or lDsurance
<br />premiums. as the case may be, when the same shall brcllmc due and
<br />payable. then the Borrower shall pay to the Lender any amount
<br />necessary 10 make up Ihe deficiency, on or before the date when
<br />payment of such ground rents. taxes, as.\essments. or ,"surann'
<br />premiums shall be due If at any lime the Borrower shall tender III
<br />lhe Lender. In accordance with the prOVISlom of the nott' \el'ured
<br />hereby. full paymeDl of Ihe entire IOdebledness represented thereby,
<br />lhe lender shall, in com pUling the amounl of such mdebtednes.s,
<br />credit to the accnunl of the 8orrower any balam:e rl'malOlOg In the
<br />funds accumulated under Ihe proVISIOns of (a I 01 paragraph 2 hereof
<br />rr there shall he a default under any of the prOVisions of thl~
<br />inslrumenl r('sulting in a public sale of the premises covered hert'b~,
<br />
<br />or if th;: Lender acqUires Ihe pmpeny otherwise after default, Ihe
<br />lender shall apply, at the time of lhe commencement of such
<br />proceedings. or 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 />
<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 Lender may pay the same; and that the
<br />Borrower will promptly deliver the official receipts therefor to Ihe
<br />lender.
<br />
<br />5, The Borrower will pay alltaxc.~ which may be levied upon the
<br />lender's interest m said real estate ami improvements. and which
<br />may be levied upon this instrument or the debt secured hereby (but
<br />only to the extenl that such is not prohibited by law and only to the
<br />extent that such will not make Ihls loan USUriOUS), but excluding any
<br />income tax, State or Federal, imposed on lender. and will file the
<br />official receipt show In!! such payment With the lender. Upon
<br />violation of this undertaking. or if Ihe Borrower is prohibited by any
<br />law now or hereafter existing from paying the whule or any ponion
<br />of the aforesaId talles. or upon lhe rendering of any court decree
<br />prohibitmg the payment by the Borrower of any such taxes. or if
<br />such law or dc:cree provides that any amount so paid by the
<br />Borrower shall be credited on the debt. the Lender shall have the:
<br />right to give ninety days' written notice to the owner of the premises.
<br />requiring the payment of the debt If such notice be given. the said
<br />debt ,hall become due, payable and collectible at Ihe ellpiration of
<br />said ninety days,
<br />
<br />f. ThaI should the Borrowcr fall to pay any sum or keep any
<br />covenanl prOVided for In thiS IOslrument. then the Lender, It its
<br />opuon, may Imy or perform Ihe same, and all expenditure!> so made
<br />shall be added to the principal sum owing on lhe said note, shall
<br />be securl'd hcrcby, and shall bear Inlerest althe rate set fonh in the
<br />saId ncllC, unul paid.
<br />
<br />7 Thai the 8orrower hereby as!"gns. transfers and sets over to the
<br />l.ender, to be applied toward the payment of the note and all sums
<br />secured hereby in CB.'iC of a default in the performance of any of 'he
<br />lerms and co~dillom of Ihis instrument or the said note. all the rents.
<br />revenues and income to be derived from the said premises dunng
<br />sUl:h Ume as Ihe mdebtedne.o;s shall remain unpaId. and the Lender
<br />shall have power to appOInt any agent or agents II may desire for the
<br />purpose of repairing said premises and of renting the same and
<br />COIlI.'Cllnl! Ihe rents. revenues and mcome, and It may payout of slud
<br />ml:omes all expenses of repainng said preml!>{.'S and necessary
<br />~'lHnmISSlllns and expenses Incurred in renung and managmg the
<br />same and of colleclIng rentals therefrom; Ihe balance remalOmg. if
<br />an ~, to be applied toward the discharge of said mdebtednC!o....
<br />
<br />R That Ihe Borrower will keep Ih~ Improvements now exisllng or
<br />herealter erected on the property, msured as may be reqUired from
<br />lime 10 lime hy the Lender agomsl loss by fire and other hu.ards,
<br />casualties and conllngencles '" such amounts and for such peTlods a...
<br />may be reqUired by the Lender and will pay promptly. ~'hen due.
<br />any premiums on such insurance, proVision for payment of which
<br />hll..\ not been made herembefore, All Insurance shall be earned 10
<br />compames approved by the I.ender and the pohl:ICS and rcnewal~
<br />thereol shall be held by the I.ender and have altlchcd therelo los~
<br />payable dausc~ III hlvor ot amI," form acn:plable 10 the I.ender In
<br />
<br />Page 2 01 !i
<br />
<br />HUD-121t3DT ,1
<br />
|