What is simple mortgage?

If the mortgagor fails to repay the loan, the lender has the right to sell the property and recover the amount from its sale. This mortgage system is called simple mortgage. In this system, the possession remains with the mortgagor (borrower).

When a simple mortgage is required to be registered?

In simple terms, a registered mortgage is a category of loan where the borrower voluntarily gives the bank full rights to the property in case of loan default. In such a scenario, you as a borrower have allowed the bank to dispose of the property which you can default the loan if you want.

What does registered mortgage amount mean?

Registration A conventional mortgage is registered for the actual amount of the mortgage loan – the amount you borrow. For example, if you borrow $250,000 through a conventional mortgage to purchase a home valued at $325,000, the lender will register the mortgage for the actual amount of the loan, $250,000.

Which is also called as registered mortgage?

Registered mortgage is also known as ‘Deed of Trust’. A registered mortgage meets all the necessary legal requirements to create a mortgage or a charge. If the borrower repays the loan according to the terms and conditions of the home loan agreement, the title of the property is given back to the borrower.

How do I do a simple mortgage?

What should a Simple Mortgage Deed cover?

1. The relevant personal details of the parties such as full name, residential addresses and ages of the parties to the agreement,
2. Details regarding the property in question,
3. Details regarding the extent of interest of the mortgagor and the mortgagee over the mortgaged property,

Who is in the possession of property in simple mortgage?

Possession remains with the mortgagor in the case of a simple mortgage. The security which is obtained by the mortgagee is of the mortgaged property, not of the rents and profits accruing from it. As per Section 68, if a simple mortgagee sues for enforcement of his security, a decree for possession would be illegal.

What does loan Registered mean?

A loan register is an internal database of maturity dates on loans belonging to a servicer. The loan register shows when the loans are due and lists them in chronological order by maturity date.

How many types of mortgage deeds are there?

Mortgage loans in India are available under 6 different mortgage types.

How do I draft a simple mortgage deed?

Is an unregistered mortgage enforceable?

Unregistered NSW mortgages are enforced by seeking orders in the NSW Supreme Court Equity division for: Judicial sale and possession of the property (the latter being by way of seeking specific performance of an express contractual right, which hopefully is set out in the mortgage); or, The appointment of a receiver.