|
<br />88-106450
<br />
<br />Borrower Hod Lender cO'Yenant and agree as rollows:
<br />
<br />1. Thai Borrower will pay the indebtedness, as hereinbefore
<br />provided. Privilege is reserved 10 pay the debt in whole or in
<br />par! on any inslall:nent due date.
<br />
<br />2. That. to.1gether with, nnd in addition to, the monthly
<br />payments of principal nnd interest payable under the terms of
<br />the nOle secured hereby, the Borrower will pay 10 the Lender,
<br />on the first day of each month until the said nOle is Cully paid,
<br />the following sums:
<br />
<br />(al A sum equal (0 the ground rents, if any, next due. plus
<br />the premiums that will next bereme due and payable on policies
<br />of fire and other hazard insurance covering the property, plus
<br />taxes and assessments next due on the propeny (0// as eslimated
<br />by the Lender) less all sums already paid therefor divided by Lhe
<br />number of months 10 elapse before one (I) month prior to the
<br />date when such ground rents, premiums, taxes and assessments
<br />will become delinquent. such sums to be held by Lender in trust
<br />to pay said ground rents, premiums, taxes and special
<br />assessments; and
<br />
<br />(b) All payments mentioned in the preceding subsection of
<br />this paragraph and all payments to be made under the note
<br />secured hereby shall be added tcgcther, a.'1d the aggregale
<br />amount thereof shall be paid by the Borrower each month in a
<br />single pa~"menl 10 be applied by the Lender 10 the following
<br />items in the order set forth:
<br />
<br />(I) ground rents, laxes, assessments, fire and other hazard
<br />insurance premiums;
<br />
<br />(IJ) interest on the note secured hereby;
<br />
<br />(Ill) amortization of the principal of said note; and
<br />
<br />(lV) late charges.
<br />
<br />Any deficiency in the amounI of such aggregate month1}'
<br />paymenl shall. unless made good by the Borrower prior to the
<br />due date of the next such paymenl, constitute an event of
<br />default under this mortgage. The Lender may collect a "Iatc
<br />charge" nOI to exceed four cents (M:) for each dollar (51) of
<br />each paymenl more than fifteen (IS) days in arrcars 10 cover the
<br />extra expense involved in handling delinquent pa}1t1Ctlts,
<br />
<br />3. Thai if the lotal of the payments made by the Borrower
<br />under (a) of paragraph :z precediog shall exceed the amount of
<br />payments actually made by the Lender for ground rents, taxes
<br />and assessment5 or insurance premiums, as the case may be.
<br />such ellCess, if the Joan is current, at thc 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 nol be
<br />sufficienl to pay ground rents, taxes and assessments or
<br />insurance premiums, as the case may be. when the same shall
<br />become due and payable. then the Borrower shall pay to the
<br />Lender any amounl necessary to make up the deficiency, on or
<br />before the date when payment of such ground rcnts, taxes,
<br />assessments, or insurance premiums shall be due. If at any time
<br />the P...orrower shall tender to the Lender, in accordance with the
<br />::.ovisions of the oote secured hereby, full payment of the entire
<br />indebtedness represented thereby, the Lender shaJl, in computing
<br />the amount of such indebtedness, credit to the account of the
<br />Borrower any balance remaining in the funds accumulated under
<br />the provisions of (D) of paragraph 2 hereor. If there shall be a
<br />default under any of the provisions of this instrument resulting
<br />in a public sale of the premises covered hereby, or if Ihe Lender
<br />
<br />acquires the properly olherwise after default. the Lender shall
<br />apply, al the time of Ihe commencement of such proceedings, or
<br />at the lime the property is otherwise acquired, the balance then
<br />remnining in the funds accumulated under Ill) of paragraph 2
<br />preceding, as a credit against the amount of principal then
<br />remaining unpnid under snid note.
<br />
<br />4. That the Borrower will pay ground rents, taxes,
<br />assessments. water rates, and other governmental or municipal
<br />chargei, fines, or impositions, for which provision has not been
<br />made hereinbefore. and in default thereof the L~der may pay
<br />the same; and that the Borrower will promptly deli vcr the
<br />official receipts therefor to the Lender.
<br />
<br />5, The Borrower will pay all taxes which may be levied upon
<br />the Lender's interest in said real I:SUite 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 law
<br />e.nd only to the extent thai such will nOI make this loan
<br />usuriouc;), bUI excluding any income tax, State or Federal~
<br />imposed on Lender, and will file the official receipt shov.ing
<br />such payment with the Lender. Upon \io1ation of this
<br />undertaking, or if the Borrower is prohibited by any law now or
<br />hereaf1er existing from paying the whole or any portion of the
<br />aforesaid taxes, or upon the rendering i)f any cuun decree
<br />pr.:lhibiting the paymeDl by the Borrower of an}' such taxes, or
<br />if such law or decree pro\-ides that any amoun1 so paid by the
<br />Borrower shaH be credited on the debt, the Lender shall ha\'e
<br />Ihe right to give ninety days' "Tinen notice to tbe ov.T1er of the
<br />premises, requiring the payment of the debt. If such notice be
<br />gi\'en. the said debt shall become due. payable and collea:ible at
<br />the expiration of said ninet).. days.
<br />
<br />6. That should the Borrower fail to pa).' any sum or keep any
<br />covenant pro\ided for in this instrument. then the Lender. at its
<br />option, may pay r"r perform the ~e. and all expenditures $0
<br />made shall be added to the principal sum owing on the said
<br />note, shall be secured hereby, and shall bear in[~ at the rate
<br />..et forth in the said note, until paid.
<br />
<br />i. That [he Borrower hereby assigns, lransfers and sets o\ter
<br />to the Lender, to be applied toward the payment of the note
<br />and all sums secured hereby in case of a default in the
<br />performance of any of the terms and conditions of this
<br />instrument or the said note. all the rents, Te\'enUe5 and income
<br />to be deri\ed from the said premises during such time as the
<br />indebtednc::ss shall remain unpaid, and the Lender shall ha\'e
<br />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, Te\Penues and income, and it may pay OUI of
<br />said incomes aU e)[pens~ of rcpairing said premises and
<br />necessary commissions and expenses incurred in renting and
<br />managing the same and of collecting renmls thercfrom; the
<br />balance remaining, if any, to be applied toward tbe disdlar~ of
<br />snid indcbtednes!t.
<br />
<br />8. That the Borrower will keep the improvemenu DO\\'
<br />cltisting or hereafter erected on the prcperty. insured as may be
<br />required from time to time by the Lender n.gainst loss b}' fire
<br />and other hazards, cnsualtit:!t and contingencies in such amounts
<br />nnd for such periods as may be required by the Lender and v.-ill
<br />pay promplly, when due. an)' premiums on such insurant%.
<br />proviSIon for payment of which hn.s not been made
<br />hereinbefore. All insurance ~hall be carried in comp.l1niclt
<br />approved by the Lcnder and the polkie:. and renewals IhereoJ
<br />shall be held by 1he Lender and havc attached thereto los,s
<br />payable clauser. in favor of and in form acceptable 10 the
<br />
<br />.J
<br />
<br />J
<br />
<br />Page 2 of 5
<br />
<br />HUD.92143DT-l
<br />
|