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1�iJ5� (1) month prior to its due date the annual mortgage insurance premium in order to provide such holder
<br />Q �� V with funds to pay such premium to the Secretan of Housing and Urban Development pursuant to the
<br />4 National Housing Act. as amended, and applicable Regulations thereunder: or
<br />(11) If and so long as said note of even date and this instrument are held by the Secretary of Housing and
<br />Urban Development, a monthly charge (in lieu r,j a mortgage issurance premium) which shall he it an
<br />amount equal to ono- twelfth (1112) of cite half t l /2) per centum of the average outstanding balance
<br />due ort the note computed without taking into account delinquencies or prepayments:
<br />(b) A sum equal to the ground rents, if any, next due, plus the premiums that will next become due and payable on
<br />policies of fire and other hazard insurance covering the mortgaged property, plus taxes and assessments next due
<br />on the mortgaged property (all as estimated lie the Morrgageei less all sums already paid therefor divided by the
<br />number of months to elapse before one month prior to the date when such ground rents, premiums, taxes and
<br />assessments will become delinquent, such sums to be held by Mortgagee in trust to pay said ground rents, pre -
<br />miums, taxes and special assessments; and
<br />(c) All payments mentioned in the two preceding subsections of This paragraph and all payments to be made under
<br />the note secured hereby shall be added together, and the aggregate amount thereof shall he paid by the Mortgagor
<br />each month in a single payment to he applied by the Mortgagee to the following items in the order set forth:
<br />(I) premium charges under the contract of insurance with the Secretary of Housine and urban Development,
<br />or monthly charge (in lieu a.Jmortgage insurance premium), as the case may be;
<br />(11) ground rents, taxes, assessments, fire and other hazard insurance premiums;
<br />(111) interest on the note secured hereby; and
<br />(IV) amortization of the principal of said note.
<br />Anv deficiency in the amount of any such aggregate monthly payment shall, unless made good by the Mort-
<br />gagor prior to the due date of the next such paymcut- constitute an event of default under this mortgage. The
<br />Mortgagee may collect a "late charge" not to exceed four cents (og) for each dollar (S I ) of each payment more
<br />than fifteen (15) days in arrears to cover the extra expense involved in handling delinquent payments.
<br />a. That if the total of the payments made by the 'Mortgagor under (b) of paragraph 2 preceding shall exceed
<br />the amount of payments actually made by the Mortgagee for eround rents, faxes and assessments or insurance pre -
<br />miums, as the case may be, such excess, if the loan is current, at the option of the Mortgagor, shall be credited bv
<br />the Mortgagee an subsequent payments to be made by the Mortgagor. or refunded to the Mortgagor. if, however, the
<br />monthly payments made by the Mortgagor under (b) of paragraph 2 preceding shall not be sufficient to pay ground
<br />rent, taxes and assessments or insurance premiums, as the caso• may be, when the same shall become due and pay-
<br />able, then the Mortgagor shall pay to the 1lortgagee any amount necessary to make up the deficiency, on or before
<br />the date when payment of such ground rents. taxes, assessments or insurance premiums shall be due- If at anv
<br />time the Mortgagor shall tender to the Mortgagee, in accordance with the provisions of the note secured hereby',
<br />full payment of the entire indebtedness represented thereby, the Mortgagee shall, in computing the amount of such
<br />indebtedness, credit to the account of the Mortgagor all payments made under the provisions of (a) of paragraph
<br />hereof which the Mortgagee has not become obligated to pay to the tiecretary of Housing and t'rban Development
<br />and any balance remaining in the funds accumulated under the provisions of (b) of paragraph 2 hereof. If there
<br />--!tall be a default under any of the provisions of this mortgage resulting in a public sale of the premises covered
<br />hereby, or if the Mortgagee acquires the property otherwise after default_ the Mortgagee shall apply, at the time of
<br />the commencement of such proceedings, or at the time the property is otherwise acquired, the balance then remain-
<br />ing in the funds accumulated tinder (14 of paragraph 2 preceding, as a credit against the amount of principal then
<br />ruining unpaid tmder said note, and shall properly adjust any payments which shall have been made u. der (a)
<br />of paragraph 2,
<br />4. That the Mortgagor will pay ground rents, taxes, assessments, water rules, and other governmental or municipal
<br />charges, fines, or impositions, for which provision has not been made hereinbefore, and in default thereof the Mortgagee may
<br />pay the same: and that the Mortgagor will promptly deliver the official receipts therefor to the Mortgagee.
<br />5. The Mortgagor will pay all taxes which may be levied upon the Mortgagees interest in said real estate and improve-
<br />ments. and which may he levied upon this mortgage or the debt secured hereby (but only to the extent that such is not prohibit-
<br />ed by law and only to the extent that such will not make this loan usurious). but excluding any income tax, State or Federal.
<br />imposed on Mortgagee, and will file the official receipt showing such payment with the Mortgagee. Upon violation of this under-
<br />taking, or if the Mortgagor is prohibited by any law now or hereafter existing from paying the whole or any portion of the afore-
<br />said taxes, or upon the rendering of any court decree prohibiting the payment by the Mortgagor or any such taxes. or if such law
<br />or decree provides that any amount so paid by the Mortgagor shall he credited on the mortgage debt. the Mortgagee shall have
<br />the right to give ninety days* written notice to the owner of the mortgaged premises, requiring the payment of the mortgage
<br />alert. if such notice be given, the said debt shall become due, payable and collectible at the expiration of said ninety days.
<br />b. That should he fail to pay any sum or keep anycovenant provided for in this Mortgage, then the Mortgagee, at its op-
<br />tion. may pay or perform the same. and all expenditures so made shall be added to the principal sum owing on the above note.
<br />shall be secured hereby, and shall bear interest at the rate set forth in the said note. until paid.
<br />7. That he hereby assigns, transfers and sets over to the Mortgagee, to be applied toward the payment of the note and all
<br />sums secured hereby in case of a default in the performance of any of the terms and conditions of this Mortgage or the said
<br />note, all the rents. revenues and income to be derived from the mortgaged premises during such time as the mortgage indebted-
<br />ness shall remain unpaid; and the Mortgagee shall have power to appoint any agent or agents it may desire for the purpose of
<br />repairing said premises and of renting the same and collecting the rents, revenues and income, and it ma% pay out of said in-
<br />comes all expenses of repairing said premises and necessary commissions and expenses incurred in renting and managing the
<br />same and of collecting rentals therefrom; the balance remaining, if any, to he applied toward the discharge of said mortgage
<br />indebtedness.
<br />& That he will keep the improvements now existing or hereafter erected on the mortgaged property, insured as may he
<br />required from time to time by the Mortgagee against toss by fire and other hazards, casualties and contingencies in such
<br />amounts and for such periods as may be required by the Mortgagee and will pay promptly, when due. any premiums on such
<br />insurance provision for payment of which has not been made hereinbefore. All insurance shall be carried in companies ap-
<br />proved by the Mortgagee and the policies and renewals thereof shall he held by the Mortgagee and have attached thereto loss
<br />payable clauses in favor of and in form acceptable to the Mortgagee. ]n event of loss Mortgagor will give immediate notice by
<br />mail to the Mortgagee, who may make proof of loss if not made promptly by Mortgagor, and each insurance company con-
<br />cerned is hereby authorized and directed to make payment for such loss directly to the Mortgagee instead of to the Mortgagor
<br />and the Mortgagee jointly, and the insurance proceeds. or any part thereof, may he applied by the Mortgagee at its option either
<br />to the reduction of the indebtedness hereby secured or to the restoration or repair of the property damaged. In event of foreclo-
<br />sure of this mortgage or other transfer of title to the mortgaged property in extinguishment of the indebtedness secured hercb%.
<br />all right, title and interest of the Mortgagor in and to anv insurance policies then in force shall pass to the purchaser or grantee.
<br />9. That as additional and collateral security for the payment of the note described, and all sums to become due under this
<br />mortgage, the Mortgagor hereby assigns to the Mortgaged: all profils, revenue%. royalties, rights and benefits accruing to the
<br />Mortgagor under any and all od and gat. teases on said premises, with the right it) iecei%e and receipt for the s;tme and apph
<br />them to said indebtedness as well before as after default in the conditions of this mortgage. and the yfortgagre ma% dvmr ,Fld, sue
<br />for and recover any ;uch paetnents w$en due and pdyablc, but shall nut he required o to d, I hn as.ignmtent is r(, trrmu:,ttr
<br />.nd become null and toid unim release of this ttrongaRe.
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