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$5-- 105824
<br />The Mortgagor in order more fully to protect the security of
<br />this Mortgage, agrees:
<br />L That he will pay the indebtedness, as herembefore provided_
<br />Privilege is reserved to pay the debt in whole or in part on any
<br />installment due date.
<br />2. That, together with, and in addition to, the monthly
<br />payments of principal and interest payable under the terms of the
<br />note secured hereby, the Mortgagor will pay to the Mortgagee,
<br />on the first day of each month until the said note is fully paid,
<br />the following sums:
<br />(a) Amount sufficient to provide the holder hereof with funds
<br />to pay the next mortgage insurance premium if this instrument
<br />and the note secured hereby are insured, or a monthly charge (in
<br />Lieu of a mortgage insurance premium) if they are held by the
<br />Secretary of Housing and Urban Development, as follows:
<br />(1) If and so long as said note of even date and this in-
<br />strument are insured or are reinsured under the provisions of the
<br />National Housing Act, an amount sufficient to accumulate in the
<br />hands of the holder one (1) month prior to its due date the zn-
<br />nual mortgage insurance premium in order to provide such how
<br />,.rirh Aindr. rn nv sr-], t— ..hz mtary nI mousing and
<br />Urban Development pursuant to the National Housing Act, as
<br />amended, and applicable Regulations thereunder; or
<br />(11) If and so long as said note of even date and this in-
<br />strument are held by the Secretary of Housing and Urban
<br />Development, a monthly charge (in lieu of a mortgage insurance
<br />premium) which shall be in an amount equal to one - twelfth
<br />(1 12) of one -half (lit) per centum of the average outstanding
<br />balance due on the note computed without taking into account
<br />delinquencies or prepayments;
<br />(b) A sum equal to the ground rents, if any, nest due, phis the
<br />premiums that will next become due and payable on policies of
<br />fire and other hazard insurance covering the mortgaged property,
<br />plus taxes and assessments next due on the mortgaged property
<br />fall as estimated by the Mortgagee) less all sums already paid
<br />therefor divided by the number of months to elapse before one
<br />(1) month prior to the date when such ground rents, premiums,
<br />taxes and assessments will become delinquent, such surds to be
<br />held by mortgagee in trust to pay said ground rents, premiums,
<br />taxes and special assessments; and
<br />(c) Ali payments mentioned in the two preceding subsections
<br />of this paragraph and all payments to be made under the note
<br />secured hereby shall be added together, and the aggregate amount
<br />thereof shall be paid by the Mortgagor each month in a sin& .
<br />payment to be applied by the Mortgagee to the following items in
<br />the order set forth:
<br />(1) premium charges under the contract of insurance with
<br />the Secretary of Rousing and Urban Development, or monthly
<br />charge (in lieu of mortgage insurance premium), as the case may
<br />be;
<br />ment more than fifteen (15) days in arrears to cover the extra ex-
<br />pense involved in handling delinquent payments.
<br />3. That if the total of the payments made by the Mortgagor,
<br />under (b) of paragraph 2 preceding shall exceed the amount of
<br />payments actually made by the Mortgagee for ground rents, taxes
<br />and assessments or insurance premiums, as the case may be, such
<br />excess, if the loan is current, at the option of the Mortgagor,
<br />shall be credited by the Mortgagee on subsequent payments to be
<br />made by the Mortgagor, or refunded to the Mortgagor. If,
<br />bow-ever, the monthly payments made by the Mortgagor under
<br />(b) of paragraph 2 preceding shall not be sufficient to pay
<br />ground rents, taxes and assessments or insurance premiums, as
<br />the case may be, when the same shall become due and payable*
<br />Then the Mortgagor shall pay to the Mortgagee any amotmt
<br />necessary to make up the deficiency, on or before the date whin
<br />payment of such ground rents, taxes, assessments, or insurance
<br />premiums shall be due. If at any time the Mortgagor shall tender
<br />to the Mortgagee, in accordance with the provisions of the note
<br />secured hereby, full payment of the entire indebtedness
<br />represented thereby, the Mortgagee shall, in computing the
<br />amount of such indebtedness, credit to the account of the Man-
<br />gagor all ma.'_ under the provisions of (a) paragraph 2
<br />hereof which the Mortgagee has not become obligated to pay to
<br />the Secretary of Housing and Urban Development and arty
<br />balance remaining in the funds accumulated under The provisions
<br />of (b) of paragraph 2 hereof. If there shall be a default under
<br />any of the provisions of this mortgage resulting in a public sale
<br />of the premises covered hereby, or if the Mortgagee acquires the
<br />property otherwise after default, the Mortgagee shall apply, at
<br />the time of the commencement of such proceedings. or at the
<br />time the property is otherwise acquired, the balance then remain-
<br />ing in the funds accumulated under (b) of paragraph 2 preceding.
<br />as a credit against the amount of principal then remaining tnTpait9
<br />under said note, and shall properly adjust any payments which
<br />shall have been made under (a) of paragraph 2"
<br />S. That the Mortgagor will pay ground rents. taxes.
<br />assessments, water rates, and other governmental or municipal
<br />charges. fines, or impositions, for which provision has nor been
<br />made hereinbefore, and in default thereo` the Mortgagee
<br />pay the same; and that the Mortgagor will promptly deliver the
<br />official receipts therefor to the Mortgagee.
<br />{. The Mortgagor will pay all taxes which -navy be levied upon
<br />the Mortgagee's interest in said real estate and impr=ovements,
<br />and which may be levied upon this mortgage or the debt secured
<br />hereby (but only to the extent that such is not prohibited by lase
<br />and only to the extent that such will not make this loan
<br />usurious), but excluding any income tax, State or Federal, im-
<br />posed on Mortgagee, and will file the official receipt showing
<br />such payment with the Mortgagee. Upon violation of this under-
<br />taking, or if the Mortgagor is prohibited by any Law now or
<br />hereafter existing from paying the whole or arr portion of the
<br />aforesaid taxes. or upon the rerde -ring of any court decree ,:.o=
<br />(I1) ground rents, taxes, assessments, fire and other hazard
<br />such law or decree provides that any amount so paid by the
<br />insurance premiums;
<br />Mortgagor shall be credited on the mortgage debt, the Mortgagee
<br />(III) interest on the note secured hereby;
<br />shall have the right to give ninety days' written notice to the
<br />(IV) amortization of the principal of said note; and
<br />p
<br />owner of the mortgaged premises, requiring the payment of the
<br />mortgage debt. If such notice be giccnt the said del, shalt
<br />W) late charges,
<br />become due, payable and collectible at the expiration of said
<br />Any deficiency in the amount of such aggregate monthly pay-
<br />mncty days.
<br />ment shall, unless made good by the Mortgagor prior to the due
<br />That should the fail to pay any stunt keep any
<br />date of the next such payment, constitute an event of default
<br />v
<br />covenant provided for in this mortgage_ then the Mortgagee. at
<br />in this m
<br />under this mortgage. The Mortgagee may collect a "late charge'
<br />'
<br />its option, may pay or perform the same, and all expenditures so
<br />not to exceed four cents (4C) for each dollar (3I) of each pay-
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