Mortgage deed, loan agreement, Agricultural limit

What is mortgage

A mortgage is the transfer of an interest in specific immoveable property for the purpose of securing the payment of money advanced or to be advanced by way of loan, an existing or future debt, or the performance of an engagement which may give rise to a pecuniary liability. The transferor is called a mortgagor, the transferee a mortgagee; the principal money and interest of which payment is secured for the time being are called the mortgage-money, and the instrument(if any) by which the transfer is effected is called a mortgage-deed.

Documents required for Mortgage deed

• Identity Proof of Mortgagor, Mortgagee and witnesses.
• Residence Proof of Mortgagor, Mortgagee and witnesses.
• Ownership proof of mortgaged property.
• No objection certificate form Urban property.
• Two passport size photographs of Mortgagor and Mortgagee.

Stamp duty, Registration Fee, Computer Fee, Pasting Fee in Punjab:-
Stamp duty 4% of total mortgage money
Registration fee : 1% of total mortgage money
Computer fee : Rs. 1,000/-
Pasting fee : Rs. 400/-

When a document is presented for registration language unknown to registering officer, the translation shall be transcribed in the register of documents of the nature of the original, and, together with the copy, shall be filed in the registration office. the translation shall be treated as if it were the original.

Simple mortgage

Where, without delivering possession 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 and the proceeds of sale to be applied, so far as may be necessary, in payment of the mortgage-money, the transaction is called a simple mortgage and the mortgagee a simple mortgagee.

Mortgage by conditional sale

Where, the mortgagor ostensibly sells the mortgaged property- On condition that on default of payment of the mortgage money on a certain date the sale shall become absolute, or On condition that on such payment being made the sale shall become void, or On condition that on such payment being made the buyer shall transfer the property to the seller, The transaction is called mortgage by conditional sale and the mortgagee a mortgagee by conditional sale: [provided that no such transaction shall be deemed to be a mortgage, unless the condition is embodied in the document which effects or purports to effect the sale.]

Usufructuray mortgage

Where the mortgagor delivers possession or expressly or by implication binds himself to deliver possession of the mortgaged property to the mortgagee, and authorizes him to retain such possession until payment of the mortgage-money, and to receive the rents and profits accruing from the property or any part of such rents and profits and to appropriate the same in lieu of interest, or in payment of the mortgage-money, or partly in lieu of interest or partly in payment of the mortgage money, the transactions called an usufructuary mortgage and the mortgage an usufructuary mortgagee.

English mortgage

Where the mortgagor binds himself to repay the mortgage-money on a certain date, and transfers the mortgaged property absolutely to the mortgagee, but subject to a proviso that he will re transfer it to the mortgagor upon payment of the mortgage-money as agree, the transaction is called an English mortgage

Mortgage by deposit of title deeds

Where a person in any of the following towns, namely, the towns of Calcutta, Madras, 5[and Bombay,6 [***] and in any other town7 which the 8[State Government concerned may, be notification in the Official Gazette, specify in this behalf, delivers to a creditor or his agent documents of title to immoveable property, with intent to create a security thereon, the transaction is called a mortgage by deposit of title deeds.

Anomalous mortgage

A mortgage which is not a simple mortgage, a mortgage by conditional sale, anusufructuary mortgage, an English mortgage or a mortgage by deposit of title deeds within the meaning of this section is called an anomalous mortgage.

Mortgage when to be by assurance.- Where the principal money secured is one hundred rupees or upwards, a mortgage other than a mortgage by deposit of title deeds can be effected only by a registered instrument signed by the mortgagor and attested by at least two witnesses.
Where the principal money secured is less than one hundred rupees, a mortgage may be effected either by a registered instrument signed and attested as aforesaid or except in the case of a simple mortgage by delivery of the property. References to mortgatorsto include persons deriving title from them:- Unless otherwise expressly provided, references in this Chaoter to maortgagors and mortgagees shall be deemed to include references to persons deriving title from them respectively] Rights and liabilities of Mortgators

Right of mortgagor to redeem

At any time after the principal money has become due, the mortgagor has a right, on payment or tender, at a proper time and place, of the mortgage money, to require the mortgagee
(a) to deliver to the mortgagor the mortgage deed and all documents relating to the mortgaged property which are in the possession or power of the mortgagee,
(b) where the mortgagee is in possession of the mortgaged property, to deliver possession thereof to the mortgagor, and
(c) at the cost of the mortgagor either to re-transfer the mortgaged property to him or to such third person as he may direct, or to execute and (where the mortgage has been effected by a registered instrument) to have registered an acknowledgement in writing that any right in derogation of his interest transferred to the mortgagee has been extinguished: Provided that the right conferred by this section is called a right to redeem and a suit to enforce it is called a suit for redemption. Noting in this section shall be deemed to render invalid any provision to the effect that, if the time fixed for payment of the principal money has been allowed to pass or no such time has been fixed, the mortgagee shall be entitled to reasonable notice before payment or tender of such money.