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<br />( I ) month prior to its clue date the annual mortgage insurance prenuoill in order to provide site r hill er
<br />with funds to pay such premium to tine Secretary cif Housing and l than Dtvelopnient pursuant to tine
<br />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 (lousing Wad
<br />Urban Development, a monthly charge fin lima uj a mortgage insurance premium) which shall be in an
<br />amount equal to one - twelfth (I /12) of one -half (1/2) per centtun of the average outstanding balance
<br />due on 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 fall as estimated by the 3fortgagee l less all suns already paid therefor divided by the
<br />number of months to elapse before one nronth prior hr 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 paragraphs and all payments to he made under
<br />the note secured hereby shall he added together. and the aggregate amount thereof shall be 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 />(f) premium charges under the contract of insurance with the Secretary of Housing and t!ahan lhvetopnnent.
<br />or monthly charge (in lieu o mortgage insurance prenduni), as the case may he:
<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 />Any deficiency in the amount of any such aggregate monthly payment shall, unless made good by the Mlort-
<br />gagor prior to the due date of the next such payment, constitute an event of default under this mortgage. The
<br />Mortgagee may collect a "late charge" not to exceed four cents (411) for each dollar (51 ) of each payment more
<br />than fifteen (151 day's it arrears to cover the extra expense involved in handling delinquent payments.
<br />:3. 'Phat 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 ground rents. taxes anti 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 by
<br />the Mortgagee on subsequent payments ur be made by the Mortgagor. or refunded to the Mortgagor, If, howe=ver, the
<br />monthly payments made by the Mortgagor under /h; of paragraph 2 preceding shall not be sufficient to pay ground
<br />rent, taxes and assessments or insurance premiums. as the case man' be. when the same shall become due
<br />and pay-
<br />able. then the Mortgagor shall pay to the Mortgagee 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 any
<br />time the Mortgagor shall tender to the Mortgagee, in accordance with the provision., 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 (u) of paragraph 2
<br />hereof which the Mortgagee has not become obligated to pav to the Secretary of Housing and Urban Development
<br />and any balance remaining in the funds accumulated under the provisions of (6) of paragraph 2 hereof. If there
<br />shall be a default under any of the provr i ^ns 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 under (J of paragraph '_r preceding, as an credit against the amount of principal then
<br />remaining unpaid under said note, and shall properly adjust any payments which shall have been made under; a)
<br />of paragraph 2.
<br />4. That the Mortgagor will pay ground rents. taxes, assessments. water rates, 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 prompth deliver the official receipts therefor to the Mortgagee-
<br />s. The Mortgagor will pay all taxes which may be levied upon the Mortgagee's interest in said real estate and improve-
<br />ments, and which may be levied upon this mortgage or the debt secured herebv thut 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). hilt 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 io the owner of the mortgaged premises, requiring the payment of the mortgage
<br />debt. if such notice he given. the said debt shall become due, pavahle and collectible at the expiration of said ninety days.
<br />6. That should he fail to pay any sum or keep any covenant provided for in this Mortgage, then the Mortgagee, art its op-
<br />tion, may pay or perform the came. and all expenditures so made shall he added to the principal sum owing on the above note,
<br />shall he secured hereby. and shall bear interest at the rate set forth in the said note, until paid.
<br />?. That he hereby assigns. tr ri4ers and sets over to the Mortgagee, to he applied toward the payment cif the note and all
<br />sums secured hereby in case of it default in the performance of any of the terms and conditions of this Mortgage or the said
<br />mote. all the rents. revenues and income to he 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 may 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 />R. 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 loss by hrt . q other hazards, casualties anti contingencies in such
<br />amounts and for such periods as may he required by the Mortgagee .and will pray promptly, when due. any premiums on such
<br />insurance provision for payment of which has not been made hereinbefore. All insurance shall he carried in connpanies 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 a, the Mortgagee. In event of loss Mortgagor H ill give inomediaw 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 )oi,uly, and the insurance proceeds., or any pail thereof, stay be applied by file Mortgagee W1 its option either
<br />to the reduction of the indebtedness herchy secured or to tine restoruion of repair of the property dannaged. In event of forcclo
<br />L sure of this mortgage or other transfer of title lit the mortgaged properiv lit extinguishment of the indebtedness secured herehv.
<br />alt right, title and interest of the Mortgagor in and to any insurance policies then in force shall pass to the purchaser or giantee.
<br />9 That as additional ami ,ollalo,d security for the payment of the little described. and all sums to becomc duc under Nits
<br />mortgage, the Mortgagor herehv assigns io the Mortgagee .ill profits, rcvcnucs t avaltics riphts :Ind henefils :ikotling to Uac
<br />Mortgagor under ,any and all oil and taus teases t,it sail premises. •..nth the right tai :ciei n i recclpl for [tie %,Inie and apph
<br />iticin t1i 4:1111 indch1c,loc`rs a1 \k01 helwe as after defatll if) the,olitlown, 111 tnl, rlmtgg gzc..Into ill(' ,t all'tg,gCc Illio dctllmid, tae
<br />for 01111 rrunrr arty 111.11 113 rncaits alien due :Ind pawahlr, hot cha!l not he i-rof .c, in ,i,I i his asslgnnnent is to Icrmrll.t
<br />,tij fYw, a+rtlr ,tai! snort . ot,', ,I r'., o) I c' Ic i ,c , It t lit, m„r ivt ,vc
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