|
<br />(I) month prior to its due date the annual mortgage insurunce premium in order to provide such holder
<br />with funds to pay such premium to the Secretary of Housing and Lhban Development pursuant to [he
<br />National Housing Act, as amended, and applicable Regulations thereunder: or
<br />{II) 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 oja mortgage insurarce premium) which shall be in an
<br />amount equal to one-twelfth (t/12} of one-half {1/3) per centum of the average outstanding balance
<br />due on the note computed without takh:g into account delinquencies or prepayments:
<br />(b) A sum equal tq the ground rents, if' any, next due, plus the premiums that will next become due and payable un
<br />policies of fire and other hazard insurance covering the mortgaged property, plus taxes and assessments next due
<br />~ on the mortgaged property (a(F as estfrnateJ by the Mortgagee) Icss 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 />J fc) 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 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 />([) premium charges under the coritrac? of insurance with the Secretary of Housing and Urban Development,
<br />or monthly charge /in lieu ojmortgage ntsurance premium), as the case may be;
<br />{II) ground rents, taxes, assessments, fire and other hazard insurance premiums;
<br />(lII} 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 Mort-
<br />gagor prior to the due date of the next such payment, constitute an event of default under [his mortgage. The
<br />Mortgagee may toilet[ a "late charge" not to exceed four cents (4tt) for each dollar (3I) of each payment more
<br />than fifteen (IS) days in areas to cover the zxtra expense involved in handling delinquent payments.
<br />3. Thal if the total of rho payments made by thn 19nrtgagor uncle ~ti! of par;graph 2 proceeding sh°II ~...~ed
<br />the amount of payments actually made by the Mortgagee for eround rents, taxes and assessments or insurance ptxr-
<br />miums, as the case may be, such excess, if the Loan is current, at [he option of the Mortgagor, shall be credited by
<br />the Mortgagee on 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 case map be, when the same shall become due and pay-
<br />able, then the Mortgagor shalt pay to the ilongagee 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 shat) be due. if at any
<br />time the Mortgagor shalt tender to the Alortgagee, in accordance with the provisions of the note secured hereby,
<br />lull payment of the entire indebtedness represented thereby, the 1longagee 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 2
<br />hereof which the lfortgagee has no[ become obligated to pay to the ~ecrelary of Housing and 1`rban Development
<br />and any balance remaining in the funds accumulated under the provisions of (b/ of paragraph 2 hereof. If there
<br />shall 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 Ume the properg• is otherwise acquired, the balance then remain-
<br />ing in the funds accumulated under (b} of paragraph 2 preceding, as a credit against the amount of principal then
<br />remaining h laid under said note, and shalt properly adjust any payments which shalt have been made under (a)
<br />PmaB['aP
<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 [hereof the Mortgagee may
<br />pay the same; and that the Mortgagor will promptly deliver the official receipts therefor to the Mortg:[gee.
<br />5. The Mortgagor will pay all taxes which may be levied upon the Dfortgagee's interest in said real estate and improve-
<br />ments, and which may be levied upon this mortgage or the debt secured hereby (but Doty to the extent that such is not prohibit-
<br />ed by law and only to [he 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 oiTicial receipt showing such payment with the bSor[gagee. Lpon 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 [axe=_, 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 ou nee of the mortgaged premises, requiring the payment of the mortgage
<br />debt. If such notice be given, the said debt shall became due. payable and rnllectible 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 />lion, may pay or perform the same, and all expenditures so made shall be added to the principal sum ov:ing 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 Mort¢agee, to be applied toward the payment of the note and all
<br />sums ,ecured hereby in case of a default in the performance of am of the term. end conditiom of this mortgage or the said
<br />note, all the rents, revenues and income [o be derived from the mortgaged premise, during such time as the mortgage indebted-
<br />ness shall remain unpaid; and the Mortgagee shall have power to appoint any agznt er agents it may desire for [he purpose of
<br />repairing said premises and of renting the same and collecting the rerts, revenues and income. and it may pay Dui of said in-
<br />comes ail expenses of repairing said premises and necessary commissions and expenses incurred in renting and managing [he
<br />same and of collecting rentals therefrom; the balance remaining, if any, to be applied toward the discharge of said mortgage
<br />indebtedness.
<br />g. That he will kelp 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 by fire artd other hazards, casualties and contingencies in such
<br />amounts and for such periods as may !x required by [fie Afortgagce and wilt pay promptly, when due, any premiums on such
<br />insurance provision for payment of which has oat been made hereintrefo:e. Ali 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 in farm aettptabte to the Mortgagee. In event of loss mortgagor will give immediate notice by
<br />mail to the Mortgagee. who may make proof of loss if not made prompBy by Mortgagor. and each insurance company con-
<br />cerned is hereby authorized and directed to make payment for such loss directly to the ;vtortgagee instead of to the Mortgagor
<br />and the Mortgagee jointly. and the insuranoe proceeds, or any pan thereof, may be applied by the Mortgagee at its option either
<br />to the reduetionoF the indebtedness hereby secured or to the restoration or repair of the property damaged. In event of foreclo-
<br />sole of this mortgage or oriter tra[tsFer of title to the mortgaged property in extinguishment of thz indebtedness secured hereby,
<br />alt right, [hk 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 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 Mortgagee all profits, revenues, royalties, rights and benefits accruing to [hc
<br />Mortgagor under any and all oil and gas teases on said premises, with the right to receive and receipt for [he same and apply
<br />them to said Ntdtbtednessas well before as after default in the conditions of this mortgage, and the Mortgagee may dent.u[d, sue
<br />for and recover any such payments when due and payable, but shah no[ be required so to du. This assignment is to terminate
<br />and become null and void upon release of this mortgage.
<br />FHA~2143M (1077)
<br />~ t~._
<br />
|