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to the holder of•a lien under a mortgage or similar instrument to
which this Mortgage is expressly subject; and the insurance proceede
er any part thereof if received by the Mortgagee may be applied by
the Mortgagee, at its option, either in reduction of the indebted-
ness hereby secured, or to the restoration or repair of the mort-
gage~d property da.naged. In the event of forclosure of this Mort-
~ r
gage', or of ar.~f transfer of title ta the mortgaged property in ex-
tinguishment of such indebtedness, all right, title and interest
oi the ~tortgagor in and to every such insurance policy then in Yorce,
subject to the rights and interests of the holder of any such prior
lien, shall pass to the grantee acquiring title to the mortgaged
property ~ogether with sucn policy and appropriate assignment of
such right, title and intere9t which shall be made by the Mortgagor.
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7. (a) In order more fully to protect the security of this
Mortgage, the Mortgagor shall deposit with the Mortgagee together
wi~h, and in addition to, the payment of principal and interest monthl~t
on accc~ant of the Note secured her~by, until the Note is paid in ~
~ull, a:~ a~nount of money equal to the total auiount of ( i) grAUnd ~
rents, if any, next becoming due, (ii) the premiums n~xt becoming .
due on the policies of fire and all other hazard insurance required
by this ~iortgage with respect to the mortgaged property, (iii) taxes, i
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assessments, water rates and other governmental charges next becoming ~
due on the mortgaged property (all the foregoing amounts as estimated
by the i~Ior~gagee and set forth in a written notice of such estimate
oy the ;~Iortgagee to the Mortgagor from time to time), less all ~
amounts that may already have been paid therefor, divided by the
number of calendar months to elapse before one calendar month~prior '
i to the date when such ground renta, premiums, taxes, assessments, ~
~ water rates and other governmental charges, respectively, will ~
~ become due and payable. If any amount referred to in clauses (i) ~ #
~ through (iii•) hereof is required to be deposited by the Mortgagor . ~
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~ under a mortgage or similar instrument having priority over the lien ~
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~ of this ~Iortgage, the Mortgagor shall make the deposits required •
~ by this Paragraph 7 only in the event of the termination of such
~ obligation under the prior mortgage or similar instrument. The
~ Niortgagor shall give prompt notice in writing to the I~ortgagee of .
s
~ t'ne occurrence of ~che last mentioned event. Al1 such amounts so ~
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deposited with the Mortgagee shall be held by the Mortgagee, or any
agent designated by it, in trust to be used only for the payment :
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~ of suca gn-~und rents, premiums, taxes, asaesament~, water rates ~
~ and other governmer.tal charges. No interest shall be payable by ~
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y the Mortgagee on any sum so deposited.
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~ (b} Al1 amounta required to be depo9ited with the Mortgagee
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a
~ - nonthly ~in accordance with Paragraph 7(a) hereof, and the amount oP , i
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