What is a Mortgage?
A mortgage is a way to use one’s real property, like a house, a land or a building as a guarantee for a loan to get money. Many people do this to buy a home they use for mortgage, the loan provide them the money to buy the house and the loan is guaranteed by the house.
Simple Mortgage –
Section 58 (b) of the transfer of property act defines simple mortgage as a transaction whereby, ‘without delivering possession (owners or occupancy) of the mortgaged property, the mortgagor binds himself personally to pay the mortgage money and agrees, expressly or impliedly, that in the event of his failing to pay according to his contract, the mortgagee shall have a right to cause the mortgaged property to be sold by a decree (an order of law) of the court in a suit (a case in a law court) and the proceeds of the sale to be applied so far as may be necessary in the payment of the mortgage money.
There is no foreclosure of the mortgaged property . Normally a mortgage is to be registered if the mortgaged money is rupees 100 or more.
A mortgage deed is to be executed in the presence of two witnesses and appropriatley stamped.
Download Simple Mortgage deed https://www.lawnn.com/wp-content/uploads/2016/04/Simple-Mortgage-Deed-Sample.pdf