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<br />~",~'--. ~ ~,, ,., +u.U ~i U 1 f }month prior to its due date tt;e anneal mortgage inusuuar•~e piretnrnarr± nt order x{3 protvile such balder
<br />with funds to pay rcaa:lh premiurn io the Secretary of ('i'ttsttang and lirttan Developrnenx pursuant trr the
<br />Natsonai Hot~isig Act. as artrertdrd. and applicable Regirlatiorrs thereunder: or
<br />(II) If and sir iottg as said note of even date artd this irtstrurnen; are held by the Secretary of housing and
<br />Urban Development, a monthly Charge (in lieu aja rna sage insurance premium) which shall be in an
<br />amount equal to one-twelfth {1)12) of one-half (f J?} per centum of the average outstanding balance
<br />due on the note computed without taking into account delinquencies or prepayments;
<br />(b) A sum equal tq the ground rrnts, if any, next due, plus the premiums that wdl next become due and payable on
<br />policies of fire and other hazard inwrance covering tfte mortgaged property, plus taxes and assessmenu rrexi due
<br />on the mortgaged property /all as estimated btu the Mortgagee) Less all sums already paid therefor divided by the
<br />number of months to elapse before one month prior to the irate 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 <_hall be added together, and the ap~regate amount thereof shall be paid by the Mortgagor
<br />each month in a single payment to be applied by the Mortgagee to the following items in the order set forth:
<br />(1) premium charges under the contract of insurance with the Secretary of Housing and Urban Development,
<br />or monthly charge /in lieu of mortgage insurance premium), as the case may be;
<br />(11) ground rents. taxes, assessments. Ere and other hazard insurance premiums;
<br />(tit) 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 Mbrt-
<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 `gate charge" not to exceed four cents (4g) for each dollar ($1) of each payment more
<br />than fifteen { 1 S) days in areas to cover the extra expense involved in handling delinquent payments.
<br />~, That if the total of Nte payments made by the Slortgagor under tb? of paragraph 2 preceding shall exceed
<br />the amount of payments actually made 6y the 1lorigagee for eround rents, taxes and assessments or insurance pre-
<br />miums, as the ease may be- such excess, if the loan is current, at the option of the Mortgagor, shall fie credited by
<br />the Mortgagee on subsequent payments ut be made by the Mortgagor, or refunded to the Mortgagor. If, however, the
<br />monthly payments made by the Mortgagor under (L) of paragraph 2 preceding shall not be sufficient to pay gated
<br />rent, taxes and assessments or insurance premiums, as the case may be, when the-same shall become due 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 ylorigagee, in accordance with the provisions of the note secured hereby,
<br />full payment of the entire indebtedness represented thereby, the 1lorigagee 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 paragaph 2
<br />hereof which the Slortgagee has not become obligated to pay to the becreiary of housing and l rban iJevelopment
<br />and any balance remaining in the funds accumulated under the provisions of (r,) of paragraph 2 hereof. IF there
<br />shaii 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 acquiree 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 remais•.-
<br />ing in the funds accumulated under (6J of paragraph E preceding, as a credit against the amount of principal then
<br />remaining unpaid under said note, and shalt properly adjust any payments which shall have been made under (a)
<br />of paragraph 2,
<br />6. That the Mortgagor wiH pay ground rents, taxes, assessments, water rates, and other governmental or municipal
<br />charges, floes, 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 />s. ?he 1•iar[gagor 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 nr the debt secured hereby tout only [o the extent that such is not prnfiibit-
<br />ed by taw 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 fie 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 be credited on the mortgage debt, the ivtortgagee 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 />debt. If such notice be given. the said debt shall become due, payable 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, at its op-
<br />tion, ma}• pay or perform the same, and all expenditures so made shell be added to the principal sum owing on the above note,
<br />shall be secured hereby, and shaii bear interest at the rate set forth in the said note, until paid.
<br />7. That he hereby assigns, transfers and sets over [o 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 a}ortgage or the said
<br />note, 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 fie applied toward the discharge of said mortgage
<br />indebtedness.
<br />8. That he will keep the improvements now existing or hereafter erected on the mortgaged property, insured as may be
<br />required from time to time by the Mortgagee against loss 6y fire and other hazards, casualties and contingencies in such
<br />amounts and-for such periods as-may be required by tfie 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 be held by the Mortgagee and have attached thereto loss
<br />payable clauses in favor of and inform acceptable to the Mortgagee. In event of Ines Mortgagor will give immediate notice 6y
<br />mail-io tht.Mortgagee, who may make proof of loss if not made promptly by Mortgagor, and each insurance company con-
<br />cersted-is hereby aui#iprized and directed to make payment for such loss directly to the Mortgagee instead of to the Mortgagor
<br />and the Mortgagee faintly, and the insurance proceeds, or any part thereof, may rte applied by the Mortgagee at its option either
<br />io the reduction of the indebtedness hereby secured or to the restoration or repair of the property damaged. [n event of foreclo-
<br />sure of this mortgage or other transfer of titledo the mortgaged property in extinguishment of the indebtedness secured hereby.
<br />all right, title and interest of the Mortgagor in and to any insurance policies then in force shall pass to the purchaser or grantee.
<br />9. That as additional and coltaieral security for the payment of the nose described, and alt sums to become due under this
<br />mortgage,-the Mortgagat>ftereby assigns [o the Mortgagee all profits, revenues, royalties, rights and benefits accruing to the
<br />?~ivrta.,;,:.r aiid°- shy ^:^d-alt ^°7 °^d gas }: ^'d p:° see, with th° .ighr .., .ecei.~ sad fo, the same and appt y
<br />them to said indebtedness as well before as after default in the conditions of this mortgage, and the Mortgagee may demand. sue
<br />for and recover any such payments when due and payable, but shall not be required so to do. This assignmem is to terminate
<br />and become Holt and void upon release of this martgtige...
<br />FHA-21A3M i1C-771
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