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<br />(II) If and so long as said Note of even date and this instrument are held by the Secretary of Housing and Urban Development, a
<br />monthly service charge in an amount equal to 1/12 of I /2% of the average outstanding principal balance due on the Note
<br />computed for each successive year beginning with the first day of the month following the date of this instrument, if the
<br />Secretary of Housing and Urban Development is the Mortgagee (Beneficiary) named herein, or the first day of the month
<br />following assignment, if the Note and this instrument; are assigned to the Secretary of Housing and Urban Development,
<br />without taking into account delinquencies or prepayment;
<br />b. A sum equal to the ground rents, if any, next due, plus the premiums that will next become due and payable on policies of fire
<br />and other t3F8POF15' insurance covering the premises covered hereby, plus water rates, taxes and assessments next due on the
<br />premises covered hereby (all as estimated by the Mortgagee) less all sums already paid therefore divided by the number of
<br />months to elapse before one month prior to the date when such ground rents, premiums, water rates, taxes and assessments will
<br />become delinquent, such sums to be held by Mortgagee in trust to pay said ground rents, premiums, water rates, taxes, and
<br />special assessments.
<br />c. All payments mentioned in the two preceding subsections of this paragraph and all payments to be made under the Note secured
<br />hereby shall be added together and the aggregate amount thereof shall be paid each month in a single payment to be applied by
<br />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, acting by and
<br />through the Federal Housing Commissioner or service charge;
<br />(II) ground rents, taxes, special assessments, water rates, fire and other pimapeFEy insurance premiums;
<br />(Ill) interest on the Note secured hereby;
<br />(1V) amortization of the principal of said Note;
<br />10. In the event the Mortgagor fails to pay any sums provided for in this Mortgage, the Mortgagee, at its option, may pay the same.
<br />Any excess funds accumulated under (b) of the preceding paragraph remaining after payment of the items therein mentioned, shall be
<br />credited to subsequent monthly payments of the same nature required thereunder; but if any such item shall exceed the estimate therefor, or
<br />if the Mortgagor shall fail to pay any other governmental or municipal charge, the Mortgagor shall forthwith make good the deficiency or
<br />pay the charge before the same becomes delinquent or subject to interest or penalties and in default thereof the Mortgage may pay the
<br />same. All sums paid by the Mortgagee and any sums which the Mortgagee may be required to advance to pay mortgage insurance
<br />premiums shall be added to the principal of the debt secured hereby and shall bear interest from the date of payment at the rate specified in
<br />the Note and shall be due and payable on demand. In case of termination of the Contract of Mortgage Insurance by prepayment of the
<br />Mortgage in full, or otherwise (except as hereinafter provided), accumulations under (a) of the preceding paragraph hereof not required to
<br />meet payments due under the Contract of Mortgage Insurance, shall be credited to the Mortgagor. If the property is sold under foreclosure
<br />or is otherwise acquired by the Mortgagee after default, any remaining balance of the accumulations under (b) of the preceding paragraph
<br />shall be credited to the principal of the Mortgage as of the date of the commencement of foreclosure proceedings or as of the date the
<br />property is otherwise acquired; and accumulations under (a) thereof shall be likewise credited unless required to pay sums due the
<br />Secretary of Housing and Urban Development, acting by and through the Federal Housing Commissioner under the Contract of Mortgage
<br />Insurance:
<br />11. That the Mortgagor will pay all taxes which may be levied upon the Mortgagee's interest in said real estate and improvements,
<br />and which may be levied upon this Mortgage or the debt secured hereby (but only to the extent that such is not prohibited by law and only
<br />to the extent that such will not make this loan usurious), but excluding any income tax, State or Federal, imposed on Mortgagee, and will
<br />file the official receipt showing such payment with the Mortgagee. Upon violation of this undertaking, or if the Mortgagor is prohibited by
<br />any law now or hereafter existing from paying the whole or any portion of the aforesaid taxes, or upon the rendering of any court decree
<br />prohibiting the payment by the Mortgagor of any such taxes, or if such law or decree provides that any amount so paid by the Mortgagor
<br />shall be credited on the mortgage debt, the Mortgagee shall have the right to give ninety days' written notice to the owner of the mortgaged
<br />premises, requiring the payment of the mortgage debt. If such notice be given, the said debt shall become due, payable, and collectible at
<br />the expiration of said ninety (90) days.
<br />12. That Mortgagor will not commit, permit, or suffer waste, impairment, or deterioration of said property or any part thereof, and in
<br />the event of the failure of the Mortgagor to keep the buildings on said premises and those to be erected on said premises, or improvements
<br />thereon, in good repair, the Mortgagee may make such repairs as in its discretion it may deem necessary for the proper preservation thereof,
<br />and any sums paid for such repairs shall bear interest from the date of payment at the rate specified in the Note, shall be due and payable on
<br />demand and shall be fully secured by the Mortgage;
<br />13. That if there shall be a default in any of the terms, conditions, or covenants of this Mortgage, or the Note secured hereby, then
<br />any sums owing by the Mortgagor to the Mortgagee shall, at the option of the Mortgagee, become immediately due and payable. The
<br />Mortgagee or any holder of this Mortgage and the Note secured hereby shall then have the right to enter into the possession of the
<br />mortgaged premises and collect the rents, issues, and profits thereof. In any action to foreclose, the holder of this Mortgage shall be
<br />entitled to the appointment of a receiver of the rents and profits of the mortgaged premises as a matter of right and without notice with
<br />power to collect the rents, issues, and profits of said mortgaged premises, due and becoming due during the pendency of such foreclosure
<br />suit, such rents and profits being hereby expressly assigned and pledged as additional security for the payment of the indebtedness secured
<br />by this Mortgage, without regard to the value of the mortgaged premises or the solvency of any person or persons liable for the payment of
<br />the mortgage indebtedness. This Mortgagor for itself and any subsequent owner hereby waives any and all defenses to the application for a
<br />receiver as above and hereby specifically consents to such appointment without notice, but nothing herein contained is to be construed to
<br />deprive the holder of the Mortgage of any other right, remedy, or privilege it may now have under the law to have a receiver appointed.
<br />The provision for the appointment of a receiver of the rents and profits and the assignment of such rents and profits is made an express
<br />condition upon which the loan hereby secured is made;
<br />14. That no waiver of any covenant herein or of the obligation secured hereby shall at any time thereafter be held to be a waiver of
<br />the terms hereof or of the Note secured hereby;
<br />15. That all payments made by the Mortgagee to remedy a default by the Mortgagor as aforesaid and the total of any payment or
<br />payments due from the Mortgagor to the Mortgagee and in default shall be added to the debt secured by this Mortgage and shall be repaid
<br />to the Mortgagee upon demand. Any such sum and interest thereon at the rate specified in the Note shall be a lien on the premises, prior to
<br />any other lien attaching or accruing subsequent to the lien of this Mortgage;
<br />16. That so long as the Mortgage is insured under the provisions of the National Housing Act or held by the Secretary of Housing
<br />and Urban Development, it will not voluntarily create or permit to be created against the property subject to this Mortgage any lien or liens
<br />inferior or superior to the lien of this Mortgage, and further it will keep and maintain the same free from the claim of all persons supplying
<br />labor or materials which will enter into the construction of any and all buildings now being erected or to be erected on said premises;
<br />17. That the improvements fi4etR=to be made upon the premises above described and all plans and specifications comply with all
<br />municipal ordinances and regulations made or promulgated by lawful authority, and that the same wili tilion uampiution comply with all
<br />such municipal ordinances and regulations and with the rules of the fire rating or inspection organization, bureau, association or office
<br />which are now or may hereafter become applicable to the premises above described;
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